|The Thousand Smile of my son Jol jr.|
BOARD CAN BE BETTER
Boards of directors are supposed to be independent, but in fact they are often dependent on management for information. My ongoing research has shown that more cooperative approaches and new technologies can make directors increasingly effective as evaluators and advisers. Surprisingly little attention has been paid to the limited extent and compromised value of information sharing between companies' management and boards of directors.
Directors are entrusted with protecting shareholder interest, but they are often dependent on management for information on the very things they are expected to examine, assess and oversee, including management's performance.
Boards need to take more initiative in assessing their companies' performance, but are unlikely to be able to do so they can get relevant information whn they need it. This study on corporate governance has shown the board's ability to provide meaningful overviews and useful advice is determined by the quality, timeliness and credibility of the information it has; most boards have a long way to go in this area.
The study has,so far, come up with the three main considerations:
1. The pressures on management and boards to deal with information flow are likely to increase;
2. High-quality information is as vital to effective governance as it is to good performance; and
3. Technological solutions will dramatically improve the ability of boards to identify , acquire, analyze and act on the most relevant information.
Recent events have highlighted complex questions for corporate governance. What are the minimum amounts and kinds of information that directors need to make prudent business judgments and effective decisions?If a potentially significant ethical lapse is revealed, directors may not be able to rely solely on information from management.
RECRUITMENT AGENCIES: KNOWING YOUR WORKERS
New research offers insights into workings of recruitment agencies. The world of work has changed; companies aim at being lean. Maintaining large full-time workforces is no longer possible for many firms. Companies in need of skilled specialist workers often do not have the staff in place to search for and hire people for short-term projects. Staffing firms that can provide companies with temporary workers have emerged as important players.
The recruitment agencies are effectively the employers of the workers;the best way to increase their profits and maintain their relationships with client firms is by establishing long term realtionships with the workers they place. That way, they are much more likely to make solid placements that will gain them a reputation for providing their clients with the best possible workers.
The research analysis revealed that firms can change higher prices and obtain higher margins when they place workers with whom they have longer relationships. The only difference between workers was the length of their relationship with the agency. In long-term relationships the firm acquires a great deal of information about the workers it places, which is invaluable in deciding how well each worker would suit a given company's needs. This translates into higher pay for the workers , encouraging them to stay with the agency;it also translated into higher profit margins for the firm.
These findings provide important insights as to how firms can increase their profits through the accumulation of private information about workers. This approach is very different from the current concentration by some recruting firms on cultivating relationships with the clients, for whom they find workers, rather than the worker themselves.
EMPLOYEES' VIEW ON TALENT MANAGEMENT PROGRAMME
New research examines the issue of talent management from the employee perspective. This will help organizations understand how best to focus talent investment and resources.
The main findings from the study:
- The vast majority of respondents said talent management programmes made them feel more engaged at work.
- The main reasons for wanting to be a participant in the programmes: the belief that the development activities offered help to people in the future , and also the hope that the programme would help individuals progress up the economy at a faster pace.
- Respondent were uncertain about the main objectives of programmes:half believed they were to help them perform better in their current job; the other half thought they were more about preparing them for a future role.
- Senior managers saw the benefits of the programme as increasing their networks; developing new skills ; and learning from a challenging experience.
Leadership support and sponsorship of talent initiatives were found to be strong across all the participating organizations. However, internally;support across divisions and between line managers was inconsistent, which could compromise the effectiveness of programmes. Organizations need to actively support peer groups present on the talent programmes. These people are often the highest performing employees across the business. They should be encouraged to meet and network beyond the programme. This will help organizations get the most out of these groups, harnessing their energy and creativity.