How elevating human experience (Hx) fuels business growth - day 2 Presentation at the IHRM Congress

1. HOW ELEVATING HUMAN
EXPERIENCE (HX) FUELS
BUSINESS GROWTH
CHARLES COTTER PhD, MBA, B.A (Hons), B.A
www.slideshare.net/CharlesCotter
6TH ANNUAL CONGRESS, IHRM KENYA
MOMBASA, KENYA
23 MAY 2019

2. PRESENTATION OVERVIEW
 Human-centred Strategic HRM Objectives
 Transitioning from Employee Engagement to Employee Experience to
Human Experience (Hx)
 Formulating EVP’s and TRS
 Purpose-driven organizations and the Power of Purpose
 Applying 5 Hx transformation principles
 Applying the Collaborative Intelligence Future of Workplace Architecture
Model (Cotter, 2019)

3. AGREE OR DISAGREE?
WHY?

4. STRATEGIC HRM OBJECTIVE
 Develop an agile High Performance Organization (HIPO)
culture and employee engagement i.e. a culture of brand
ambassadors
 Key Role: Behavioural Economist
 https://www.youtube.com/watch?v=PB2P1AlLC-I
 “Our most basic need is to have a sense of belonging and
connection.” (Deloitte)

5. STRATEGIC HRM OBJECTIVE
 Create career fluidity and employment
mobility throughout the career journey.
 Key Role: Career Navigator
 “Centering business around people has never
been more important.” (Deloitte)

7. THE 4 ROLES OF HRM IN CREATING A
HUMAN EXPERIENCE (HX) CULTURE
 Sense-Maker
 Deal/peace-Maker
 Rain-Maker
 King-Maker

8. THE 5 KEY CONTRIBUTIONS OF HRM
IN A COMPLICATED, VUCA WORLD
 When things are complicated, HRM must simplify;
 When there is employee concern, HRM must facilitate
commitment;
 When there is confusion, HRM must clarify;
 When working with and analysing large volumes of Big Data, HRM
must distil, not dilute and
 When there is discord and division, HRM must energize, not
polarize.

11. EMPLOYEE ENGAGEMENT’S EFFECT ON 9
KEY PERFORMANCE INDICATORS (GALLUP,
2013)

12. GLOBAL LEVELS OF EMPLOYEE
ENGAGEMENT (GALLUP, 2013)

15. EMPLOYEE VALUE PROPOSITION
(EVP)
 A resourcing strategy is concerned with shaping what an
organization has to offer to people to join and stay in the
organization. (Armstrong, 2016)
 EVP is a statement of what an organization will provide for people
that they will value - why the total work experience at their
organization is superior to that at other organizations.
 The EVP is an employee-centered approach that is aligned to
existing, integrated workforce planning strategies because it has
been informed by existing employees and the external target audience.

16. EMPLOYEE VALUE PROPOSITION
(EVP)
 Key Selling Points (KSP): Host of financial and non-financial
benefits
 Non-financial benefits:
❖ The attractiveness of the organization
❖ Responsibility – corporate conduct, ethics and CSR/CSI
❖ Respect – diversity and inclusiveness
❖ Work-life balance
❖ Opportunities for personal and professional growth

17. COMPONENTS OF VIABLE EVP

18. TOTAL REWARDS STATEMENTS (TRS)
– RATIONALE AND VALUE
 Organizations need to communicate the total rewards provided to each individual employee,
demonstrating the organization's investment in ensuring employees are competitively
rewarded for their skills, contribution and performance.
 The rewards package that you provide to your employees is among your organization's most
significant investments.
 Total reward statements may help reduce turnover and increase retention rates
 A Total reward statement provides employees with a personalized document that
communicates the overall value of their financial rewards such as base pay, incentives and
employee benefits.
 Total reward statements can also be used to reinforce the communication of less tangible
benefits such as work/life programs, learning and development and flexible work
arrangements.

19. TRS PROCESS FLOW

20. BENEFITS OF TRS

21. THE RISE OF THE HUMAN
EXPERIENCE ECONOMY

22. THE HISTORY OF HUMANISTIC
MANAGEMENT
Maslow’s Hierarchy of Needs (1943)
Alderfer’s E-R-G Theory (1969)
Carl Rogers (1980)

23. THE RISE OF HUMAN EXPERIENCE
Employee Engagement (2014)
Employee Experience (2019)
Human Experience (Hx) - 2025

24. THE RISE OF HUMANITY (AS A SOURCE OF
CORPORATE DIFFERENTIATION)

25. THE RISE OF HUMAN EXPERIENCE
 “At a time when technology has become integral to every aspect of
business, it can feel a little like our humanity gets lost,” says Amelia
Dunlop, principal, Deloitte Consulting LLP.
 “When we talk about creating human experiences, we're really trying to
get down to the individual level. How do we make an impact for that
specific person? How do we create an experience based on what matters
most to him or her?”
 While the human experience can be difficult to articulate, it’s ultimately
defined by the energy, connection, and meaning we live and breathe
each day. Our best experiences are serendipitous, shared, and free

26. "The 7P's of the business success mix
- purpose; passion; potential; people;
patronage, partnerships which all
precede profit."
(Charles Cotter, 2 June 2017)

27. PURPOSE-DRIVEN ORGANIZATIONS
 It requires businesses to organize around purpose
versus profit.
 Purpose is not a statement, it’s an operating model,
and it’s the central organizing structure for HX.
 HX is a transformation of the relationship
between brands and people, driving meaning based on
shared purpose and a reason for being.

29. PURPOSE-DRIVEN ORGANIZATIONS
 HX creates the kind of authentic, deep connections people now seek
from companies.
 When companies start first by examining and establishing their true
reason for being — their purpose — and align that with their
customers and employees, relationships will become more authentic.
 EXAMPLE: With this purpose held strongly at its core, Etsy has
fostered an internal culture in which 91 percent of its employees
feel their values align with the company, and has created a platform
for 15 million sellers to bring their crafts to a marketplace of
more than 54 million members.

31. VALUES-BASED ORGANIZATIONS
 “Well run, values-centered businesses can contribute to
humankind in more tangible ways than any other organization in
society.” - Bill George, former CEO of Medtronic, in his
introduction to “Conscious Capitalism”
 “Profitability is a shallow goal if it doesn’t have a real purpose. We
are equally proud of what we are doing in the community, what we
are doing with our people and how the company has built itself
around a purpose that is not just about making money.“ Howard
Schultz, founder and CEO of Starbucks

32. THE RISE OF THE HUMAN
EXPERIENCE ECONOMY
 Organizations that go beyond delivering on customer experience to elevating the
human experience will be better positioned to create more meaningful
connections, foster loyalty, and drive growth.
 The more we can understand what people value, the more we can engage them
with the stories and experiences that will resonate most.
 The more we can create connections that are meaningful and mutually
valuable for the human and the organization, the better we will all be.
 In this frenetic, impersonal, digital age, who wouldn’t want to be treated just a
little bit more like a human?

34. HX TRANSFORMATION PRINCIPLES
 Principle 1: Live Your Purpose
 Principle 2: Align Efforts
 Principle 3: Elevate Interactions
 Principle 4: Use Insights to Adapt
 Principle 5: Invest in the Now & the Next

36. CONCLUSION AND WAY FORWARD
 HX provides a framework for companies to be the best versions of themselves.
 An HX-optimized organization is not content to keep its head above water in the current
economy, but instead chooses to move ahead, expand relationships, and seize economic
opportunities.
 It is the type of company that refuses to be a transactional service or product provider, but
instead seeks to be an integral and inspirational lever in society.
 It’s the kind of company that makes the world a better place with its people, products
and economic contributions.
 The HX economy is almost upon us. The relationships you forge now and the steps you take
to apply the HX requirements and principles outlined in this perspective will set the stage for
your future success.

37. CONTACT DETAILS

38. QUESTION AND ANSWER
SESSION