Work Rules!
A New Philosophy of Work
- Trust employees fundamentally: Build systems based on trust rather than control
- Focus on creating a great culture: Recognize that culture drives performance and innovation
- Give employees freedom: Provide autonomy to make decisions and solve problems
- Base decisions on data: Use evidence and experimentation to guide people practices
- Measure impact rigorously: Track outcomes of HR initiatives like any other business function
- Look beyond conventional wisdom: Question traditional HR approaches and management practices
- Apply behavioral economics: Use nudges and choice architecture to help employees make better decisions
- Build transparency into systems: Share information openly, including compensation and performance data
- Recognize psychological safety’s importance: Create environments where people feel safe to take risks
- Balance employee needs with business goals: Find approaches that benefit both individuals and the organization
Finding Exceptional Talent
- Define “exceptional” concretely: Create clear criteria for what constitutes exceptional talent
- Emphasize cognitive ability: Prioritize learning ability and problem-solving skills in hiring
- Look for leadership potential: Identify candidates who lead without authority
- Seek culture contributors, not culture fit: Find people who add to your culture rather than simply fitting in
- Involve employees in hiring: Use hiring committees rather than individual decision-makers
- Establish structured interviews: Ask consistent, job-related questions of all candidates
- Create work sample tests: Use job-related tasks to evaluate actual performance
- Avoid typical interview questions: Steer clear of brainteasers and hypothetical scenarios
- Focus on achievement over experience: Look for accomplishments rather than roles
- Implement predictive analytics: Use data to improve hiring success rates
Making the Hiring Process Work
- Set a high bar consistently: Maintain rigorous standards for all hires
- Design deliberate assessment: Create a hiring process that tests for your most important attributes
- Train interviewers thoroughly: Ensure evaluators know how to conduct effective interviews
- Separate assessment from decision-making: Have different people collect data and make hiring decisions
- Mitigate unconscious bias: Implement specific practices to reduce bias in the hiring process
- Optimize candidate experience: Create a respectful, engaging experience regardless of outcome
- Track quality of hire: Measure how well hiring decisions predict later performance
- Review hiring outcomes regularly: Analyze hiring data to improve decision quality
- Engage hiring managers meaningfully: Ensure they understand their role in the process
- Invest time in hiring: Recognize that thorough hiring processes save time and money long-term
Building Best-in-Class Benefits
- Focus on meaningful benefits: Prioritize offerings that truly impact employee wellbeing
- Adapt benefits to life stages: Create programs that support employees through different life events
- Apply behavioral economics to benefits: Make the best options the default choices
- Balance standardization with personalization: Create consistent frameworks with individual flexibility
- Consider families, not just employees: Design benefits that support employees’ loved ones
- Make wellness convenient: Remove barriers to healthy behaviors and preventive care
- Address financial wellbeing: Provide education and tools for financial health
- Design for inclusion: Ensure benefits work for employees of all backgrounds and circumstances
- Create supportive leave policies: Build generous, flexible approaches to time away from work
- Test benefit effectiveness: Measure impact of offerings on employee health, happiness, and retention
- Separate performance assessment from development conversations: Hold distinct discussions for evaluation and growth
- Gather multi-source feedback: Collect input from peers, managers, and reports
- Focus on objective evidence: Base evaluations on specific behaviors and outcomes
- Combat assessment biases: Implement processes to reduce common rating errors
- Create calibration processes: Compare evaluations across teams to ensure consistency
- Focus on development planning: Help employees create concrete growth plans
- Enable peer recognition: Create systems for colleagues to acknowledge contributions
- Balance individual and team performance: Recognize both personal achievement and collaborative success
- Provide regular feedback: Create mechanisms for ongoing, timely input beyond formal reviews
- Hold managers accountable: Evaluate leaders on how well they develop their teams
Building a Learning Organization
- Make learning part of everyday work: Integrate development into regular activities
- Promote teaching and sharing: Create expectations that knowledge is shared, not hoarded
- Build feedback-rich environments: Establish practices for regular, constructive feedback
- Create psychological safety: Make it safe to admit mistakes and ask questions
- Design onboarding for learning: Start new employees with development-focused experiences
- Balance challenge and support: Provide stretching assignments with appropriate guidance
- Model continuous learning: Demonstrate learning behaviors at all leadership levels
- Measure learning outcomes: Track development progress, not just training hours
- Create peer learning opportunities: Enable employees to learn from each other
- Balance formal and informal learning: Combine structured programs with organic development
Pay and Recognition
- Pay unfairly: Differentiate compensation based on performance and impact
- Explain the compensation philosophy: Help employees understand how pay decisions are made
- Create transparency around pay: Share information about compensation processes and ranges
- Combine intrinsic and extrinsic motivation: Balance financial rewards with meaningful work
- Use spot bonuses effectively: Provide timely recognition for exceptional contributions
- Design recognition for visibility: Make appreciation public when appropriate
- Create peer recognition systems: Enable employees to acknowledge each other’s contributions
- Align rewards with desired behaviors: Ensure incentives reinforce your cultural values
- Consider team-based rewards: Recognize collaborative achievements, not just individual performance
- Test reward effectiveness: Measure the impact of recognition programs on motivation and results
Managing Organizational Culture
- Define values concretely: Translate abstract principles into specific behaviors
- Measure culture regularly: Assess how well your stated values match everyday practices
- Hold leaders accountable for culture: Evaluate managers on how they embody values
- Create culture champions: Identify and empower employees who exemplify your values
- Address cultural violations promptly: Take action when behaviors contradict stated values
- Tell culture stories: Share examples that illustrate your values in action
- Design processes to reinforce culture: Align systems and procedures with cultural priorities
- Connect culture to performance: Show how cultural elements drive business results
- Evolve culture deliberately: Update cultural elements thoughtfully as the organization changes
- Tolerate quirks, not jerks: Allow for individuality while addressing destructive behaviors
Making Decisions Based on Data
- Establish people analytics capabilities: Build teams that apply data science to people decisions
- Ask meaningful questions: Focus analysis on important business and employee outcomes
- Combine quantitative and qualitative data: Use multiple methods to understand complex issues
- Run controlled experiments: Test people practices with rigorous experimental design
- Share results transparently: Communicate findings even when they contradict expectations
- Make analytics accessible: Build user-friendly tools that help managers apply insights
- Focus on practical applications: Prioritize analytics that lead to concrete actions
- Balance privacy with transparency: Protect sensitive information while sharing useful insights
- Build analytics partnerships: Connect people analytics with other data teams
- Create an experimentation culture: Encourage testing and learning in people practices
The Role of Managers
- Focus managers on coaching: Position leaders as developers of talent, not just task managers
- Select managers for people skills: Choose leaders for their ability to motivate and develop others
- Measure management effectiveness: Track key indicators of management quality
- Train coaching behaviors: Develop specific management skills like feedback and development planning
- Reduce administrative burdens: Free managers from unnecessary tasks to focus on people
- Set clear management expectations: Define the specific behaviors effective managers exhibit
- Create peer support for managers: Build communities for sharing management practices
- Hold managers accountable: Evaluate leaders on team development and satisfaction
- Provide management tools and resources: Equip leaders with frameworks and guidance
- Consider management alternatives: Create non-management career paths for technical excellence
Change Management and Innovation
- Focus on the user: Design change initiatives with employee experience at the center
- Start small and iterate: Test changes on limited scale before broad implementation
- Create change champions: Identify influential employees to advocate for new approaches
- Communicate change effectively: Explain both what is changing and why
- Anticipate resistance: Plan for common sources of change resistance
- Create feedback loops: Build mechanisms to gather input during change processes
- Balance top-down and bottom-up: Combine leadership direction with grassroots involvement
- Measure adoption and impact: Track both implementation progress and outcomes
- Tell success stories: Share examples of positive change impact
- Create innovation spaces: Build formal and informal venues for new ideas
Key Takeaways
- Data-driven decisions: Base people practices on evidence and experimentation rather than intuition
- Trust fundamentally: Build systems that assume employees want to do great work
- Hiring rigor: Invest extraordinarily in finding exceptional talent through structured processes
- Performance clarity: Create transparent, objective systems for evaluating contribution
- Development priority: Focus intensely on learning, growth, and development at all levels
- Compensation differentiation: Pay disproportionately for exceptional performance and impact
- Management as coaching: Position managers primarily as developers of people and teams
- Culture by design: Create and maintain culture through deliberate practices and systems
- Meaningful benefits: Design programs that truly matter to employee wellbeing and productivity
- Continuous experimentation: Constantly test and refine people practices through rigorous methods