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Six Sigma Is Draining Employees’ Creativity

Andrew Smart

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“Now I have to tell you something, and I mean this in the best and most inoffensive way possible: I don’t believe in process. In fact, when I interview a potential employee and he or she says that ‘it’s all about the process,’ I see that as a bad sign … The problem is that at a lot of big companies, process becomes a substitute for thinking. You’re encouraged to behave like a little gear in a complex machine. Frankly, it allows you to keep people who aren’t that smart, who aren’t that creative.”

Elon Musk, founder of Space-X and Tesla Motors

If you have a job at any sizable company there is a good chance you’ve been forced to endure Six Sigma training, or at least some watered-down derivative. Your instructor may have reminded you, as mine did, of a newly converted religious fanatic prosely­tizing his faith. Imagine a cross between a Scientologist and a Jehovah’s Witness, tastefully attired in business casual.

According to an official account, Six Sigma is an organized and systematic method for strategic process improvement, plus new product and service development, that relies on statistical methods and the scientific method to make dramatic reductions in customer-defined defect rates.

Don’t worry about trying to understand what that even means: it turns out that not even Ultimate Lean-Master Six Sigma Black Belts know how to translate that description. Six Sigma is neither statistical nor scientific. You can quite easily get through Six Sigma training by pretending to know what it means.

So let’s just pretend.

Supposed Truth about Six Sigma

A paper on Six Sigma theory by R. G. Schroeder in the Journal of Operations Management from 2008 identifies several definitions: Six Sigma is “a high-performance, data-driven approach to analyzing the root causes of business problems and solving them.”

Also it’s a “business process that allows compa­nies to drastically improve their bottom line by designing and monitoring every business activity in ways that minimize waste and resources while increasing customer satisfaction”; also it’s “a disciplined and statistically based approach for improving product and process quality”; also it’s “a management strategy that requires culture change in the organization.”

The single most important goal of the Six Sigma is to reduce varia­tion in organizational processes by using disease vectors to spread throughout the company. These vectors are improve­ment specialists, a structured method, and performance metrics.

This is similar to what the underlying disease in epilepsy does to neurons. During a seizure, the variations in the neu­rons are reduced. Reducing variation in the brain is devastating.

Applied to an entire company, the Six Sigma process is analo­gous to an organizational epileptic seizure.

Capitalist corporations must execute a strange balancing act between two poles on a spectrum that are paradoxical. On the one hand, they must work to the shareholders’ immediate benefit—hence Six Sigma. On the other hand, they need ideas for innovative products. Both these contradictory elements are required for the elusive “competitive advantage.”

The Six Sigma process is analo­gous to an organizational epileptic seizure

The Human Brain, Variety and Creativity

The only system we know of in the universe that can be innovative is the human brain. But the brain seems to need things like freedom, long periods of idleness, positive emo­tions, low stress, randomness, noise, and a group of friends with tea in the garden to be creative. The truth is that we can’t have it both ways. Until we figure out how to give robots a “creative mode,” humans are going to be the only source of innovation for the foreseeable future.

The human brain actually seeks out and thrives on its own variation. With each new experience we have, our brain is irre­versibly changed. These changes become more profound and stable if we rest between new experiences. This allows our brain to consolidate what it has absorbed and integrate it into our own sense of self, therefore making meaning out of experience.

The process is different for each experience and different for each person. Neuroscience is discovering that a crucial part of this process is to allow the brain’s default mode network time to be active. A resting brain is necessary for this to happen.

In my experience, the one thing employees complain the most about at large organizations is all the “process.” Every internal employee survey I have seen shows that people approve of “process” the least, and in fact feel very negatively about it.  If you want a sure fire way to reduce morale, induce widespread cynicism, stop innovating, and turn people into mindless bureaucrats why not give Six Sigma or any related process improvement fad a try.

Perhaps the most mind blowing thing about these processes is that all the independent research (of which there is little) on whether or not they actually improve the bottom line is equivocal at best.

In other words, Six Sigma ruins your day, and it doesn’t even work.

Photo by Pierre

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What Gen Z’s Arrival In The Workforce Means For Recruiters

Meghan M. Biro

Generation Z’s arrival in the workforce means some changes are on the horizon for recruiters. This cohort, born roughly from the mid-90s to approximately 2010, will be entering the workforce in four Hiring Generation Z words in 3d letters on an organization chart to illustrate finding young employees for your company or businessshort years, and you can bet recruiters and employers are already paying close attention to them.

This past fall, the first group of Gen Z youth began entering university. As Boomers continue to work well past traditional retirement age, four or five years from now, we’ll have an American workplace comprised of five generations.

Marketers and researchers have been obsessed with Millennials for over a decade; they are the most studied generation in history, and at 80 million strong they are an economic force to be reckoned with. HR pros have also been focused on all things related to attracting, motivating, mentoring, and retaining Millennials and now, once Gen Z is part of the workforce, recruiters will have to shift gears and also learn to work with this new, lesser-known generation. What are the important points they’ll need to know?

Northeastern University led the way with an extensive survey on Gen Z in late 2014 that included 16- through 19-year-olds and shed some light on key traits. Here are a few points from that study that recruiters should pay special attention to:

  • In general, the Generation Z cohort tends to be comprised of self-starters who have a strong desire to be autonomous. 63% of them report that they want colleges to teach them about being an entrepreneur.
  • 42% expect to be self-employed later in life, and this percentage was higher among minorities.
  • Despite the high cost of higher education, 81% of Generation Z members surveyed believe going to college is extremely important.
  • Generation Z has a lot of anxiety around debt, not only student loan debt, and they report they are very interested in being well-educated about finances.
  • Interpersonal interaction is highly important to Gen Z; just as Millennials before them, communicating via technology, including social media, is far less valuable to them than face-to-face communication.

Of course Gen Z is still very young, and their opinions as they relate to future employment may well change. For example, reality is that only 6.6% of the American workforce is self-employed, making it likely that only a small percentage of those expecting to be self-employed will be as well. The future in that respect is uncertain, and this group has a lot of learning to do and experiences yet ahead of them. However, when it comes to recruiting them, here are some things that might be helpful.

Generation Z is constantly connected

Like Millennials, Gen Z is a cohort of digital natives; they have had technology and the many forms of communication that affords since birth. They are used to instant access to information and, like their older Gen Y counterparts, they are continually processing information. Like Millennials, they prefer to solve their own problems, and will turn to YouTube or other video platforms for tutorials and to troubleshoot before asking for help. They also place great value on the reviews of their peers.

For recruiters, that means being ready to communicate on a wide variety of platforms on a continual basis. In order to recruit the top talent, you will have to be as connected as they are. You’ll need to keep up with their preferred networks, which will likely always be changing, and you’ll need to be transparent about what you want, as this generation is just as skeptical of marketing as the previous one.

Flexible schedules will continue to grow in importance

With the growth of part-time and contract workers, Gen Z will more than likely assume the same attitude their Millennial predecessors did when it comes to career expectations; they will not expect to remain with the same company for more than a few years. Flexible schedules will be a big part of their world as they move farther away from the traditional 9-to-5 job structure as work becomes more about life and less about work, and they’ll likely take on a variety of part time roles.

This preference for flexible work schedules means that business will happen outside of traditional work hours, and recruiters’ own work hours will, therefore, have to be just as flexible as their Gen Z targets’ schedule are. Companies will also have to examine what are in many cases decades old policies on acceptable work hours and business norms as they seek to not only attract, but to hire and retain this workforce with wholly different preferences than the ones that came before them. In many instances this is already happening, but I believe we will see this continue to evolve in the coming years.

Echoing the silent generation

Unlike Millennials, Gen Z came of age during difficult economic times; older Millennials were raised in the boom years. As Alex Williams points out in his recent New York Times piece, there’s an argument to be made that Generation Z is similar in attitude to the Silent Generation, growing up in a time of recession means they are more pragmatic and skeptical than their slightly older peers.

So how will this impact their behavior and desires as job candidates? Most of them are the product of Gen X parents, and stability will likely be very important to them. They may be both hard-working and fiscally savvy.

Sparks & Honey, in their much quoted slideshare on Gen Z, puts the number of high-schooler students who felt pressured by their parents to get jobs at 55 percent. Income and earning your keep are likely to be a big motivation for GenZ. Due to the recession, they also share the experience of living in multi-generational households, which may help considerably as they navigate a workplace comprised of several generations.

We don’t have all the answers

With its youngest members not yet in double digits, Gen Z is still maturing. There is obviously still a lot that we don’t know. This generation may have the opposite experience from the Millennials before them, where the older members experienced the booming economy, with some even getting a career foothold, before the collapse in 2008. Gen Z’s younger members may get to see a resurgent economy as they make their way out of college. Those younger members are still forming their personalities and views of the world; we would be presumptuous to think we have all of the answers already.

Generational analysis is part research, but also part theory testing. What we do know is that this second generation of digital natives, with its adaption of technology and comfort with the fast-paced changing world, will leave its mark on the American workforce as it makes its way in. As a result, everything about HR will change, in a big way. I wrote a post for my Forbes column recently where I said, “To recruit in this environment is like being part wizard, part astronaut, part diplomat, part guidance counselor,” and that’s very true.

As someone who loves change, I believe there has never been a more exciting time to be immersed in both the HR and the technology space. How do you feel about what’s on the horizon as it relates to the future of work and the impending arrival of Generation Z? I’d love to hear your thoughts.

Social tools are playing an increasingly important role in the workplace, especially for younger workers. Learn more: Adopting Social Software For Workforce Collaboration [Video].

The post What Gen Z’s Arrival In The Workforce Means For Recruiters appeared first on TalentCulture.

Image: Bigstock

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About Meghan M. Biro

Meghan Biro is talent management and HR tech brand strategist, analyst, digital catalyst, author and speaker. I am the founder and CEO of TalentCulture and host of the #WorkTrends live podcast and Twitter Chat. Over my career, I have worked with early-stage ventures and global brands like Microsoft, IBM and Google, helping them recruit and empower stellar talent. I have been a guest on numerous radio shows and online forums, and has been a featured speaker at global conferences. I am the co-author of The Character-Based Leader: Instigating a Revolution of Leadership One Person at a Time, and a regular contributor at Forbes, Huffington Post, Entrepreneur and several other media outlets. I also serve on advisory boards for leading HR and technology brands.

How To Find The Talent You Need To Solve Challenges That Don’t Exist Yet

Mike Ettling

Although executives, analysts, and experts regularly try to predict where business is headed, the pace of innovation continues to exceed our expectations and imagination – especially when it comes to the world of work. Not only is technology impacting how we work and interact with each other, it’s transforming what we actually do for work.People walking on office concourse --- Image by © Igor E./Image Source/Corbis

Consider this: 2 billion jobs that exist today will disappear by 2030, according to futurist Thomas Frey. 2 billion. That’s roughly 50% of all of jobs worldwide. Cathy N. Davidson, Duke University professor, backed up this prediction in her book Now You See It, noting that 65% of children entering grade school this year will assume careers that don’t yet exist.

How can you possibly plan for a future workforce in jobs we can’t today know? And how can we develop talent when we don’t what our business will need not just in a few years, but even in a few months from now?

The future of talent acquisition relies on a broad footprint enabled by technology

The dynamic of workforce mix is changing. Employees no longer fit neatly into a box, nor should they. Salaried employees. Hourly employees. Contingent employees. These categories are more fluid than ever.

As digital businesses like Uber and Airbnb have shown, the understanding of “employee” is being redefined to include people who are not employed in the traditional sense or necessarily found on the company payroll. Rather, they are customers – on the other side of the seller-buyer relationship.

This new approach does not come without risk. Once the salary-wage relationship is removed from the employer-employee equation, the degree of employee loyalty and affinity seen in the past will slowly deteriorate. This forces CHROs to adjust how to relate to their existing workforce, and as important, their future employees and the people who influence them.

To create an employer brand that is more fluid and differentiated, CHROs should consider four things:

1. Your employer brand matters whether you’re actively recruiting or not.

Your employer brand needs to be an interaction that happens consistently – whether or not you are looking for new talent to join your team at the moment. And while the brand is not the sole purview of HR, HR is in the best position to shepherd it.

2. Expand your footprint to attract the best – before they’re even in the workforce.

In our age of social media, people follow brands they admire. But here’s a secret: This also brings an opportunity for following high-performing professionals within or outside the industry as well as students of all ages who are mastering valuable skills.

As I look at my two school-aged boys, I see firsthand how their new generation – Gen Z – will create their own definition of work and career fulfillment. Pretty soon, new graduates will be less concerned about job titles and more interested in working for companies with whom they feel an affinity. And increasingly, these interactions begin long before a job search.

3. Master the science of data – no PhD required.

How many of us groan when terms like “data science” and “number crunching” get mentioned? Today’s technology is taking away the fear factor; analysing data is becoming more intuitive and delivering more valuable insights. And increasingly, the machines are doing it for us, melting processes along the way.

4. Engage before Day 1.

HR today has the tools to become less about process and more about employee engagement. Onboarding is a perfect example of how, and why it matters.

Typically, onboarding has been about providing the physical things a new employee needs to start working: security badge, laptop, desk assignment, setup of a 401k account, and payroll deductions to name a just a few. None of this generally happens until the person walks through the door on Day 1.

Now we have the ability to make onboarding a social interaction, allowing a new employee the opportunity to be engaged before they even start. HR can provide the ability for new employees to connect with their manager, along with peers who can help them better understand and navigate the organisation, and potential mentors who can help them become successful – reducing the traditional ramp up process that can take months or longer.

In today’s digital economy, it’s less about the job and more about the talent. How are you preparing?

Want more future-focuses strategies that empower your workforce? See 6 Habits Of Mind That Will Impact The Future Of Work.

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Mike Ettling

About Mike Ettling

Mike Ettling is the President of SAP SuccessFactors. He is an inspirational, visionary and highly dynamic leader with a wealth of leadership expertise, genuine business acumen, and an exemplary record driving multi-million dollar sales, marketing initiatives and transformation in a global context.

Teaching Machines Right from Wrong

Dan Wellers

 

By 2018, smart machines will supervise over 3 million workers worldwide.
21% of consumers in an FTC study had confirmed errors on their credit reports.
2014: the first annual Fairness, Accountability, and Transparency in Machine Learning conference.
A private university encouraged 20-25 students to drop out based on AI predictions of
poor grades.

Real-world examples of misused AI algorithms abound. These are just a few:

  • Women who weren’t pregnant — or weren’t ready to reveal it — received special offers of baby products and “congratulatory” messages.
  • People with minority ethnic names received a disproportionate number of ads implying they had criminal records.
  • Guests at a party learned a ride-hailing company kept track of customers who stayed out all night and went home in the wee hours.

Ethical-Edge Cases

Credit scoring algorithms designed to evaluate lending risk are now commonly used to gauge reliability and trustworthiness, determining whether someone should get a job or apartment.

Insurance underwriting algorithms determine the extent, price, and type of coverage someone can get, with little room for disagreement.

Healthcare algorithms could be used to penalize the currently healthy for their probability of future illness.

Algorithms often use zip codes as proxy for (illegal) racial profiling in major decisions, such as employment and law enforcement.

Self-driving cars will have to learn how to react in an accident situation when every possible outcome is bad.


What Should We Do About It?

All machine learning contains assumptions and biases of the humans who create it — unconscious or otherwise. To ensure fairness, business leaders must insist that AI be built on a strong ethical foundation.

We can:

  • Monitor algorithms for neutrality and positive outcomes.
  • Support academic research into making AI-driven decisions more fair, accountable, and transparent.
  • Create human-driven overrides, grievance procedures, and anti-bias laws.
  • Include ethics education in all employee training and development.

Above all, we must consider this a human issue, not a technological one. AI is only as unbiased a tool as we make it. It’s our responsibility to keep it on the ethical straight and narrow.


Download the executive brief Teaching Machines Right from Wrong.


Read the full article AI and Ethics: We Will Live What Machines Learn

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About Dan Wellers

Dan Wellers is the Global Lead of Digital Futures at SAP, which explores how organizations can anticipate the future impact of exponential technologies. Dan has extensive experience in technology marketing and business strategy, plus management, consulting, and sales.

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Why Millennials Quit: Understanding A New Workforce

Shelly Kramer

Millennials are like mobile devices: they’re everywhere. You can’t visit a coffee shop without encountering both in large numbers. But after all, who doesn’t like a little caffeine with their connectivity? The point is that you should be paying attention to millennials now more than ever because they have surpassed Boomers and Gen-Xers as the largest generation.

Unfortunately for the workforce, they’re also the generation most likely to quit. Let’s examine a new report that sheds some light on exactly why that is—and what you can do to keep millennial employees working for you longer.

New workforce, new values

Deloitte found that two out of three millennials are expected to leave their current jobs by 2020. The survey also found that a staggering one in four would probably move on in the next year alone.

If you’re a business owner, consider putting four of your millennial employees in a room. Take a look around—one of them will be gone next year. Besides their skills and contributions, you’ve also lost time and resources spent by onboarding and training those employees—a very costly process. According to a new report from XYZ University, turnover costs U.S. companies a whopping $30.5 billion annually.

Let’s take a step back and look at this new workforce with new priorities and values.

Everything about millennials is different, from how to market to them as consumers to how you treat them as employees. The catalyst for this shift is the difference in what they value most. Millennials grew up with technology at their fingertips and are the most highly educated generation to date. Many have delayed marriage and/or parenthood in favor of pursuing their careers, which aren’t always about having a great paycheck (although that helps). Instead, it may be more that the core values of your business (like sustainability, for example) or its mission are the reasons that millennials stick around at the same job or look for opportunities elsewhere. Consider this: How invested are they in their work? Are they bored? What does their work/life balance look like? Do they have advancement opportunities?

Ping-pong tables and bringing your dog to work might be trendy, but they aren’t the solution to retaining a millennial workforce. So why exactly are they quitting? Let’s take a look at the data.

Millennials’ common reasons for quitting

In order to gain more insight into the problem of millennial turnover, XYZ University surveyed more than 500 respondents between the ages of 21 and 34 years old. There was a good mix of men and women, college grads versus high school grads, and entry-level employees versus managers. We’re all dying to know: Why did they quit? Here are the most popular reasons, some in their own words:

  • Millennials are risk-takers. XYZ University attributes this affection for risk taking with the fact that millennials essentially came of age during the recession. Surveyed millennials reported this experience made them wary of spending decades working at one company only to be potentially laid off.
  • They are focused on education. More than one-third of millennials hold college degrees. Those seeking advanced degrees can find themselves struggling to finish school while holding down a job, necessitating odd hours or more than one part-time gig. As a whole, this generation is entering the job market later, with higher degrees and higher debt.
  • They don’t want just any job—they want one that fits. In an age where both startups and seasoned companies are enjoying success, there is no shortage of job opportunities. As such, they’re often looking for one that suits their identity and their goals, not just the one that comes up first in an online search. Interestingly, job fit is often prioritized over job pay for millennials. Don’t forget, if they have to start their own company, they will—the average age for millennial entrepreneurs is 27.
  • They want skills that make them competitive. Many millennials enjoy the challenge that accompanies competition, so wearing many hats at a position is actually a good thing. One millennial journalist who used to work at Forbes reported that millennials want to learn by “being in the trenches, and doing it alongside the people who do it best.”
  • They want to do something that matters. Millennials have grown up with change, both good and bad, so they’re unafraid of making changes in their own lives to pursue careers that align with their desire to make a difference.
  • They prefer flexibility. Technology today means it’s possible to work from essentially anywhere that has an Internet connection, so many millennials expect at least some level of flexibility when it comes to their employer. Working remotely all of the time isn’t feasible for every situation, of course, but millennials expect companies to be flexible enough to allow them to occasionally dictate their own schedules. If they have no say in their workday, that’s a red flag.
  • They’ve got skills—and they want to use them. In the words of a 24-year-old designer, millennials “don’t need to print copies all day.” Many have paid (or are in the midst of paying) for their own education, and they’re ready and willing to put it to work. Most would prefer you leave the smaller tasks to the interns.
  • They got a better offer. Thirty-five percent of respondents to XYZ’s survey said they quit a previous job because they received a better opportunity. That makes sense, especially as recruiting is made simpler by technology. (Hello, LinkedIn.)
  • They seek mentors. Millennials are used to being supervised, as many were raised by what have been dubbed as “helicopter parents.” Receiving support from those in charge is the norm, not the anomaly, for this generation, and they expect that in the workplace, too.

Note that it’s not just XYZ University making this final point about the importance of mentoring. Consider Figures 1 and 2 from Deloitte, proving that millennials with worthwhile mentors report high satisfaction rates in other areas, such as personal development. As you can see, this can trickle down into employee satisfaction and ultimately result in higher retention numbers.

Millennials and Mentors
Figure 1. Source: Deloitte


Figure 2. Source: Deloitte

Failure to . . .

No, not communicate—I would say “engage.” On second thought, communication plays a role in that, too. (Who would have thought “Cool Hand Luke” would be applicable to this conversation?)

Data from a recent Gallup poll reiterates that millennials are “job-hoppers,” also pointing out that most of them—71 percent, to be exact—are either not engaged in or are actively disengaged from the workplace. That’s a striking number, but businesses aren’t without hope. That same Gallup poll found that millennials who reported they are engaged at work were 26 percent less likely than their disengaged counterparts to consider switching jobs, even with a raise of up to 20 percent. That’s huge. Furthermore, if the market improves in the next year, those engaged millennial employees are 64 percent less likely to job-hop than those who report feeling actively disengaged.

What’s next?

I’ve covered a lot in this discussion, but here’s what I hope you will take away: Millennials comprise a majority of the workforce, but they’re changing how you should look at hiring, recruiting, and retention as a whole. What matters to millennials matters to your other generations of employees, too. Mentoring, compensation, flexibility, and engagement have always been important, but thanks to the vocal millennial generation, we’re just now learning exactly how much.

What has been your experience with millennials and turnover? Are you a millennial who has recently left a job or are currently looking for a new position? If so, what are you missing from your current employer, and what are you looking for in a prospective one? Alternatively, if you’re reading this from a company perspective, how do you think your organization stacks up in the hearts and minds of your millennial employees? Do you have plans to do anything differently? I’d love to hear your thoughts.

For more insight on millennials and the workforce, see Multigenerational Workforce? Collaboration Tech Is The Key To Success.

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