Tech Companies Should Move To Detroit!

You might have seen this chart recently over at Business Insider:

Screen Shot 2016-06-06 at 11.10.07 AMWe all probably got this. It costs a TON to live in San Fransico! Way too much. You’re crazy if you want to start a tech company in San Fran.  So, what do all those super smart folks do? Yeah, stay west coast and just go a bit more north to Seattle, still expensive, but seemingly cheap in comparison to San Fransico!

It’s one of the main reasons Austin, TX became a hotbed of tech startups and headquarters about a decade ago. Relatively cheap to place to live. Access to a major university (Univ. of Texas), which gives you young, talented, tech savvy folks. Nice weather.

Here’s the magical formula to picking a place to house your tech company:

  1. Access to talent.
  2. Place people want to live.
    1. Good weather.
    2. Hip vibe.
    3. Affordable. (not necessarily an important factor – but increasing in importance!)

Give this magical formula, I’ll give you the number 1 destination of new tech startups!

DETROIT!!!!

Well, actually it’s Ann Arbor, which is about a 15-minute drive from Detroit’s International Airport, a Delta hub and one of the nicest airports around. Which means direct flights to almost everywhere. Home to the University of Michigan and great talent pipeline (Michigan State is also 50 minutes away). So, you have two Giant universities and roughly 80,000 students within easy driving distance.  A ton of other smaller universities within a 50-mile radius as well (Eastern Michigan, Wayne State, Oakland Univ., Univ. of Toledo, etc.).

It’s super cheap to live. Ann Arbor is a great college city, with access to the bigger Metro Detroit area within a thirty-minute drive. Access to someone of the world’s largest freshwater lakes. Toronto is an easy, cheap flight, or 4-hour drive away.

Okay, you won’t get super nice weather. You’ll get four seasons, midwestern work ethic and so much more for your money you won’t understand why anyone ever went west to begin with!

Oh, I hear you. What about the talent?  The Detroit Metro Area is one of the world’s largest engineering centers in the world! You know about all the auto companies, but what you don’t know is that Google has been growing an empire in Ann Arbor for years, and doing it quietly because they don’t want others hoarding in on the secret!

So, yeah, Seattle is way cheaper than San Fransico. You only have to pay 35% of pay towards rent. In Detroit, you only have to pay about 15% of your pay towards rent!

Detroit! The new San Fransico! We even have a bridge!

Recruiting is a Team Sport

I was recently listening to one of my favorite podcasts, HR Happy Hour, with Steve Boese and Trish McFarland, with their guest Daniel Chait, the CEO of Greenhouse. Greenhouse is the one the hottest ATS platforms on the market and Steve attended their user conference. (I didn’t go because I wasn’t invited, even though I sang their graces over a year ago on the world renown T3 – Greenhouse!)

Daniel made a comment on the podcast that was really good:

“Recruiting is a team sport.”

He’s absolutely right! One thing I tell Talent Acquisition leaders is that you need to establish this up front when you start a new position. During the interview, find out who “owns” recruiting in the organization you’re thinking about going to. If they say, “you!” or “recruiting does”, or anything in those terms, run!!!

Recruiting in not a function of one department.  The answer I love to hear is, “the hiring managers own recruiting”. I can work with that!

Great recruiting only happens when it’s a priority by all parties involved. I tell TA pros that recruiting will happen with or without you. If an organization fired everyone in Recruiting today, they’ll still find ways to hire people tomorrow!  So, find ways to add value to the talent attraction that needs to happen with each hiring manager.

Recruiting is a team sport, but you can’t have a bunch of ball hogs on the team!  This isn’t hero ball!  I want my organization to recruit like Golden State shares the ball! Everyone’s involved. Everyone’s excited and bought in. Everyone understands the importance of each other’s contributions.

Greenhouse built their software with this philosophy. An ATS that easily gets everyone involved in the right way. This isn’t a one department function, Recruiting is an organizational function.

Check out Daniel on the HR Happy Hour Podcast and on Twitter, he’s one of the few HR/Talent Tech CEOs that will actually engage people on Twitter. He even occasionally will tweet at me and tell me he disagrees with my posts, which I love!  (which is probably why he didn’t invite me to his user conference…but, really, I’m over it…I still like their tech regardless…maybe it’s because he’s a UofM grad…)

Sourcers Are The New Recruiters?

Come listen to my story about a man named Tim.

Poor Recruiting Pro, barely kept his family fed. 

And then one day he the internet came along, 

and up on his screen came a bunch of profiles. 

Candidates those are. Money, in people form. 

For those of you that are under 40, you might want to go Google Beverly Hillbillies theme song

What the hell is going on in this world?

No, really!?

I started my career out as a ‘Researcher’. Little did I know, that was really just sourcing (or at least what we call sourcing today). My job was to find candidates for jobs we had open. I find a candidate. Do a basic screen. Pass them onto a recruiter who sold them to the client/hiring manager.

I then got my own clients/hiring managers and did the full boat. Find the jobs. Find the candidates. Make the offers. Etc.

When I went to corporate Talent Acquisition almost every shop was doing it the same way. Recruiters were assigned departments, business units, hiring managers, etc. They would work with those individuals when they had openings. Post jobs. Screen incoming candidates. Attend campus job fairs. Maybe, just maybe, a little bit of outbound calling – those were the rock stars. And complain how crappy their ATS was, and how awful the hiring managers were.

That was corporate Talent Acquisition, as I know it, from 7 years ago.

During this time, Sourcing became a thing. Everyone needed to now, break up “Talent Acquisition” into Sourcing and Recruiting.  Sourcers found candidates. The premise being we need ‘outbound’ activity happening. Actual candidate hunting. Recruiters then did screening, setting up interviews, offers, etc.

Somewhere over the past five years. Sourcers have become what Recruiters used to be.  They find candidates. They screen candidates. They set up interviews. I know some are even closing the deal with offers.

So, my question is, today, what the hell do Corporate Recruiters do in those shops that have Sourcers?

It seems like corporate recruiters are now advanced admin professionals. They really don’t have any skills to speak of.  I’m honestly asking TA Leaders! If you have Sourcing doing all of the skill-based activities of recruiting, what are you paying recruiters for? It would seem like you could get some really good Admin Pros do all of the work you have Recruiters doing.

Am I off base on this?

This came up because I met with a TA Leader who was paying their corporate Recruiters $85-100K in salary. She was also paying Sourcers a bit less, $65-80K in salary. When I dug into what they were actually doing, it seemed to me the most valuable of the two was easily the Sourcing Pros! The Recruiters did almost nothing of value for what they were being paid.

The hiring managers in this environment even went to the Sourcing Pros to get information on candidates! Basically, the Recruiters set up interviews, made offers, and onboarding.  To be fair, they were also in charge of ’employment branding’ for which they had an outside firm doing all of that work. Sourcing Pros had candidate experience, recruitment marketing, ATS/CRM, job postings, etc.

It seems like this is coming full circle.  We split the function and now the Sourcers are just becoming what Recruiters used to be. A one-stop shop for filling positions.

What I’m quickly seeing is that the value of these two positions is quickly becoming uneven.  When “Sourcing” as a concept was introduced, it was to have better efficiency in recruiting. Take a difficult function. Split into two parts, and let folks specialize. Through this specialization and synergy, you’ll get more work then everyone running their own desk.  Great theoretical concept!

What I’m finding in most organizations is that the theory isn’t meeting the actual result.

Are you seeing or feeling the same thing? Hit me in the comments, I’m truly interested.

Building HR Service Delivery on a Global Scale – AMEX Edition!

Hey, gang – I have American Express’s VP of HRIS, Adam Krahling, for a cool one-on-one SHRM exclusive where he shares how AMEX built their entire global HR Shared Service delivery model from design through production! This is a free SHRM Webcast with HRCI credits. It’s coming up next week June 8th, Wednesday, at noon EST.

Adam is an awesome speaker, and I’ll be doing my best Oprah impression to interview him and dig out all those hidden secrets!

Every major HR project has its challenges but, when you add in the global perspective, those HR projects just got exponentially more challenging! For large organizations in the banking and insurance industries, these projects also have the added complexity of major regulations and laws that change from country to country. This webinar will assist you in understanding where most organizations fail from a global perspective, how to launch and get a project like this off the ground, and how to ensure your organization is successful in the long run.

The global transformation of HR is upon us, and American Express is leading the charge. Come learn how AMEX’s HRIS team helped lead the company into this new frontier and what strategies and design it incorporated from country to country.

Adam Krahling, vice president of Global HRIS for American Express, and I will dig into the American Express case study on how the company expanded HR service delivery globally. Learn how a large organization like AMEX moved its HR operations forward on a global scale, the impact it had and the step-by-step process they used to ensure success.

You’ll be able to post your questions and thoughts on bringing your HR service delivery project into the modern era. –

CLICK HERE TO REGISTER! 

The Tim Sackett Commencement Speech

It’s that time of year when universities and high schools go through graduation ceremonies and we celebrate educational achievements.  It’s also that time of year when you get bombarded with every great commencement speech ever given.  There is clearly a recipe for giving a great commencement speech.  Here are the ingredients:

1. Make the graduates feel like they are about to accomplish something really great, and not just become part of the machine.

2. Make graduates believe like somehow they will be difference makers.

3. Make graduates think they have endless possibilities and opportunities.

4. Make graduates think the world really wants and need them and can’t wait to work with them.

5. Wear sunscreen.

I think that about sums up every great commencement speech ever given.  Let’s face it, the key to any great speech is not telling people what they need to hear, but telling them what they want to hear!

I would like to give a commencement speech.  I think it would be fun.  I like to inspire people.  Here are the main topics I would hit if I were to give a commencement speech:

1.  Work sucks, but being poor sucks more. Don’t ever think work should make you happy.  Find happiness in yourself, not what you do.

2.  You owe a lot of people, a lot of stuff.  Shut your mouth and give back to them. Stop looking for the world to keep giving you stuff.

3.  No one cares about you. Well, maybe your Mom, if you had a good Mom.  They care about what you can do for them.  Basically, you can’t do much, you’re a new grad.

4.  Don’t think you’re going to be special. 99.9% of people are just normal people, so will you.  The sooner you come to grips with this, the sooner you’ll be happy.

5.  Don’t listen to your bitter parents.  Almost always, the person who works the hardest has better outcomes in anything in life.  Once in a while, a person who doesn’t work hard, but has supremely better talent or connections than you, will kick your ass.  That’s life. Buy a helmet.

6.  Don’t listen to advice from famous people.  Their view of the world is warped through their grandiose belief somehow they made it through hard work and effort. It’s usually just good timing.

7. Find out who you care about in life, and make them a priority.  In this world, you have very few people you truly care about, and who care about you in return.  Don’t fuck that up.

8.  Make your mistakes when you’re young.  Failure is difficult, it’s profoundly more difficult when you have a mortgage and 2 kids to take care of.

9.  It’s alright that sometimes you have to kiss ass.  It doesn’t make you less of a person.

10.  Wear sunscreen.  Cancer sucks.

So, do you feel inspired now!?  Any high schools or colleges feel free to email me, I’m completely wide open on my commencement speech calendar and willing to give this speech in a moments notice!

Failure Is The New Black #DisruptHRCayman

So, last night in the Cayman Islands DisruptHR Cayman went down!  If you don’t know what DisruptHR is, you need to check it out!  It’s the brainchild of my good friends Jennifer McClure and Chris Ostoich. Jen does most of the heavy lifting on this now, and it’s a global phenomenon sweeping across the HR world!

The concept was born from TEDx. You get 5 minutes to present an awesome idea, 20 powerpoint slides that automatically move every 15 seconds. Fast and furious. Alcohol is involved. Anything can happen. It’s the most fun you’ll ever see HR people have!  Contact Jen and bring this concept to your conference or event – it’s a great evening event to open or close a conference, or just to have in your city to energize the HR community!

Don’t think about grabbing DisruptHR Detroit!  I already have bought the franchise, so to speak! If you want in, connect with me and we can discuss a time and place!

I did my DisruptHR Cayman presentation on Failure is the new Black!  Safe to say, I truly believe all of this talk about failure leading you to success is a bunch of bullshit! Failure leads you to more failure, which eventually leads you to give up, not success! But don’t worry about, I’m in the minority, you can still suck up all that failure crap from every leadership guru on the planet!

Was I successful in my 5 minutes?  I don’t know, but you can check it out for yourself at DisruptHR’s website in a week or two. The brilliance of DisruptHR is that they video all the crazy ideas and put them up on the web, so you can’t hide!

Great stuff, check it out. They already have 250 videos of DisruptHR presentations for you to see!

Would You Be Willing To Pay For Interview Feedback – Take 2

“I believe you have to be willing to be misunderstood if you’re going to innovate.”

Howard Marks

Yesterday I wrote a post called Would You Be Willing To Pay For Interview Feedback that caused some people to lose their minds.  I asked what I thought was a simple question: Would you be willing to pay for interview feedback?  Not just normal, thanks, but no thanks, interview feedback, but really in-depth career development type of feedback from the organization that interviewed you.  You can read the comments here – they range from threats to outright hilarity! Needless to say, there is a lot of passion on this topic.

Here’s what I know:

– Most companies do a terrible job at delivery any type of feedback after interviews. Terrible.

– Most candidates only want two things from an interview.

1.  To Be Hired

2. If not hired, to know a little about why they didn’t get hired

Simple, right?  But, this still almost never happens!  Most large companies, now, automate the entire process with email form letters.  Even those lucky enough to get a live call, still get a watered-down, vanilla version of anything close to something that we would consider helpful.

When I asked if someone was willing to pay for interview feedback, it wasn’t for the normal lame crap that 99% of companies give.  It was for something new. Something better. Something of value.  It would also be something completely voluntary.  You could not pay and still get little to no feedback that you get now — Dear John, Thanks, but no thanks. The majority of the commentators felt like receiving feedback after an interview was a ‘right’ – legal and/or G*d given.  The reality is, it’s neither.

The paid interview feedback would be more in-depth, have more substance and would focus on you and how to help you get better at interviewing.  It would also get into why you didn’t get the job.  The LinkedIn commentators said this was rife with legal issues.  Organizations would not be allowed to do this by their legal staff because they would get sued by interviewees over the reasons.  This is a typical HR response.  If you say ‘legal’ people stop talking about an idea.  They teach that in HR school so we don’t have to change or be challenged by new ideas!

The reality is, as an HR Pro, I’m never going give someone ammunition to sue my organization.  If I didn’t hire someone for an illegal reason, let’s say because they were a woman, no person in their right mind would come out and say that.  Okay, first, I would never do that. Second, if I did, I would focus the feedback on other opportunity areas the candidate had that would help them in their next interview or career. No one would ever come out and say to an interviewee, “Yeah, you didn’t get the job because you’re a chick!”

This is not a legal or risk issue.  It’s about finally finding a way to deliver great interview feedback to candidates.  It’s about delivering a truly great candidate experience.  So many HR Pros and organizations espouse this desire to deliver a great candidate experience but still don’t do the one thing that candidates really want.  Just give me feedback!

So, do you think I’m still crazy for wanting to charge interviewees for feedback?

Would You Be Willing To Pay For Interview Feedback?

I get my ideas in the shower. I have a busy life, so it seems like my down time is that solid 5 to 10 minutes I get in the shower. I usually shower twice a day—once first thing in the morning, then before I go to bed. That’s 10 to 20 minutes daily to think and clean. I like going to bed clean. I like waking up with a shower. You’re welcome. You now know my daily cleaning habits. Thanks for stopping by today!

I’m not sure why ideas come to me. My wife says I’m not completely “right.” I get weird things that come into my head, at weird times. This morning I decided to stop fighting the candidate experience freaks (those people that think candidate experience actually matters, which it doesn’t) and finally help them solve their problem. You won, freaks. But I damn well better get a lifetime achievement award at the next Candidate Experience Awards!

Here’s your solution: Charge candidates a fee to get feedback on their interviews.

<Drops mic, walks off stage, give me my award.>

Yeah, that’s what I just said. Let me give you the details; apparently, a couple of you just spit out your coffee.

Candidates want great feedback on their interviews, desperately. When someone really wants something, that certain thing becomes very valuable. HR shops in organizations have the ability to deliver this very valuable thing, but they don’t have the resources to do it well. By well, I mean really well: making that feedback personable, meaningful, and developmental.

Are you willing to spend 15 minutes debriefing a candidate after an interview… a candidate you don’t want? Of course not. What if that candidate paid you $10 for that feedback? That’s $40 per hour you could make just debriefing candidates. Couldn’t you go out and hire a sharp HR pro for like $30 per hour to do this job?

Yeah, that’s why I deserve awards. My ideas are groundbreaking. It’s a big burden to carry around.

Think of this like an airline. Airlines figured out that certain people are willing to pay an extra $25 to get on the plane first, or to be first in line. This is all you’re doing. You’re not taking advantage of anyone; you’re just offering a first-class candidate experience for those willing to pay for it. For those unwilling to pay for first class, they’ll get your coach experience. They’ll get a form letter that says thanks, no thanks, here’s a 10% off coupon on your next use of our service, or whatever you do to make that candidate experience seem special.

A first-class candidate experience for $10. Do you think candidates would pay for that? You’re damn straight they would! Big companies would actually have to establish departments for this! Goldman Sachs, give me a call, I’ll come set this up for you! GM, Ford and Chrysler, I’m like an hour away, let’s talk, I can come down any day next week.

It’s easy to dismiss a crazy idea that some guy came up with in the shower—until your competition starts doing it, it becomes the industry norm, or Jobvite orHireVue or Chequed builds the app and starts selling this a service. My Poppi (that’s what I called my Grandfather) always use to say, “Tim, it only costs a little more to go first class.” People like first-class treatment. People want first-class treatment. People will pay for first class treatment.

Would you pay for great interview feedback, so great it could be considered personal development? How much?

Gender Neutral Bathrooms Coming to a Workplace Near You!

Almost everyone at this point has heard of or seen President Obama’s recent letter to every school district in America basically saying that all transgender students should be allowed to use the bathrooms that match their gender identity.

While this isn’t an actual law the President did add wording to make school districts feel that if they didn’t follow this guidance, they could possibly lose federal funding. That is big because schools rely heavily on this funding to operate.

As you can imagine, this caused major outrage across America. The Washington Times released a poll that showed the majority of American’s actually are not in agreement with the President on this issue. Also, social media blew up with both sides defending their positions on this issue.

All of this leads to what’s the next step – the workplace!

We all know that if the President is going to take a stand on public schools and gender neutral bathrooms, it’s only a matter of time until government workplaces also are mandated, and then that rolls down to private employers as well.

As HR pros, it doesn’t matter what we believe regarding this position. Like many laws and mandates that happen, what we think about it ultimately is meaningless. What we are going to do about it becomes the true issue we face in getting our organizations prepared and compliant.

Here are a number of things you should be thinking about and starting to have conversation with leadership regarding gender neutral bathrooms:

  • This isn’t a moral or political issue. This is a compliance issue. Regardless, this will be a hot issue to deal with in your workplaces. At one point in our society, the majority of Americans thought it was completely normal that Black Americans should have separate bathrooms. This issue is very similar. You need to think about how you will educate your employees on gender identity.
  • Physical organization design can really alleviate this issue in organizations that can afford a design of private bathroom stalls for all. This becomes a funding and logistical issue. After a hundred years of having male/female bathrooms, moving to a design where you only have one bathroom for all with many private stalls (think much more private than current partial wall stalls) becomes cost prohibitive for most organizations, but ultimately might be the best overall design.
  • For the most part, you will have no issues in this transition. Your employees are adults and this is about having a good understanding of what gender identity truly is. More than likely the issues you will face are bullying from a very few employees who refuse to try and understand this issue. Be swift and strong with how you deal with these outliers. This will curtail future issues.

As leaders and HR pros we need to understand that we will have people who are uncomfortable with this issue for a number of reasons, mostly from lack of understanding and change. You can’t gloss over and ignore this issue, it’s a real issue.

Get on the front side of this. Your employees are already forming opinions and talking about this because of Obama’s letter and their children dealing with this issue in their own learning environments. This is a great time for us as HR pros to be proactive and begin addressing this on our own, in our own way, before it gets mandated and we look like we’re running around with no plan.

 

The Greatest Retirement Benefits You Can Give Your Employees

My Dad retired this past year. I’m already ‘leveraging’ him for some time. He has so much of it now! It’s like he won the time lotto and he’s throwing it around because he’s got so much of it. “Hey Dad, can I borrow a couple of hours!? It’s a busy week! I need you to pick up the kids!”

I read this article, The Huge Retirement Benefit You Probably Aren’t Expecting recently:

America is reaching a tipping point. Adults in the busiest phase of life, juggling kids and careers, number about 40 million, which is roughly equal to those near and in retirement, who typically have time on their hands. But the number of adults pressed for time is projected to grow slowly, reaching 49 million by 2050. By contrast, the number of retirees with plenty of free time will explode to 88 million, as more and more boomers retire.

When you add it all up, retirees will have 2.5 trillion hours of leisure time to fill over the next 20 years. This free time will redefine their habits and priorities—even their identities. And yet almost no one is planning for this sweeping change, according to a report from Bank of America Merrill Lynch and Age Wave.

Time is going to be the new currency of future generations. It’s like lake front property, there’s only so much. Unless you live in Dubai and have billions, then I guess you can make new lake front property!

The crazy thing is, organizations aren’t really putting that much effort into figuring this whole thing out. We’re treating it like we’ve treated retirement for decades. “Well, Bill’s retiring, let’s throw him a party, buy him a walker with a horn, and give his work to the new kid.” We aren’t thinking in a new context of what do these ‘new’ folks who are retiring really want?

What I’ve learned from Dad is we in HR are missing some things. Here are some ideas of Retirement Benefits you could offer, but you haven’t even begun to think in this new way of time:

1. Part-time, flexible Mentorships – Some people can’t wait to stop working for your organization. Many feel they’re being ‘nicely’ pushed out, or society makes them feel like ‘it’s time’ to leave. The reality, so many of your retiring employees would love to keep in touch. Help out the new kids. Lead mentor groups on how to deal with customer issues, leadership dilemmas, customer/client feedback, etc. And most would do it for free! They would volunteer their time!

2. Corporate Community Volunteer Programs – Remember, these super valuable, experienced, loyal former employees who love your brand, have a couple trillion (with a T) hours on their hands! Can you imagine how much good will you could leverage in the community if you activated your retirees as volunteers with some direction and leadership!?  It could transform your corporate presence within the markets you serve. BTW – hospitals do a great job at this! There is no reason you shouldn’t be able to do this in your organization as well.

3. C-Suite Bullship Detectors – Your executives don’t always know what’s really going on because they have a bunch of VPs kissing their ass telling them what they think they want to hear. Retirees are a great mechanism to tell your executives what is actually going on, versus what they’re being told. They’re like highly paid consultants, without the highly paid part!  We all need someone without a vested interest to tell us like it is, even when it stings a little. Your retirees would love to do this. Works really well for newer retirees who are still close to the business. Not so well once they get a ways out. You will be shocked at the bond your executives will build with these folks!

Something to think about. How are your new retirement benefits helping your former employees spend and invest their most precious commodity? Time.