Savvy business leaders understand that their greatest strategic value to an organization is proactively investing in their human capital as they aim to align culture with strategy for greater business outcomes. You’ll see that as an organization searches for talent, it aims to minimize risk and maximize every individual’s impact.
The goal is to provide a better result through a better fit by assessing each individual’s past performance as well as his or her unique individual characteristics.
And as on-boarding continues to be improved, the hope is to also enhance individual skills and align teams for better business outcomes.
Ongoing training and development can strategically build and increase human capital value in a respective organization. But in the aim for organizational alignment, it is critical not only to grasp today’s culture and strategy but also to succinctly anticipate and define where the organization is headed in the years to come. And when the fit is simply no longer valid and some of that talent must be displaced, downsizing must be managed to effectively reduce loss of productivity and overall morale of the organization and its presence in the market.
The following are two questions you should consider as a business leader:
- Which part of this formula couldn’t benefit from stronger relationships?
- Which individual contributor, team manager, or organizational leader couldn’t benefit from stronger intracompany relationships as well as externally focused relationships?
From the relationships of frontline sales contributors, with their customers and distribution channels, to those of procurement professionals and their most valuable strategic suppliers, all are substantial, quantifiable, and strategic soft assets in an organization’s intracompany relationships. Without them, I struggle to see how any organization, regardless of its size or industry focus, can fully maximize its operational efficiency or effectiveness (not to mention the desire to maintain and ideally gain a competitive market share).
To learn more, read the revised and updated Relationship Economics paperback edition with 40 percent new content, including an all-new chapter 10 on social media and business relationships (Wiley, Feb. 2011).