Topgrading

Why A Player Human Resources Loves Topgrading

Sometimes Topgrading has been portrayed as a CEO initiative, with HR tagging along.  Of course, CEOs are major advocates, since their performance is so obviously connected to talent in the organization.  When CEOs hear about Topgrading  and learn that some of their peers are improving hiring and promoting success from 25% to 90%, they go nuts.  “How can we be so far behind other companies in picking people!?”  It’s unfortunate when they have to drag HR to the party, to direct HR to embrace an A player standard, or to train managers in the superior Topgrading Interview process.  C player HR managers balk, but the A players love Topgrading, because it enables them to:

• Earn respect.

Historically the HR executive has been like the field goal kicker, a second-class citizen except during a few moments of glory (a successful labor negotiation, or whatever).  Why?  HR used to be the least accountable function.  However, Topgraders measure hiring and promoting success, install procedures to improve it, and they are held accountable for improving talent.  When they are credited with dramatic improvements in talent, they get respect.

• Earn high salaries.

HR has historically been the lowest paid function, but there are more and more exceptions.  When HR can show plummeting costs of mis-hires and mis-promotions, and improvement in percent A players in management from, say, 50% to 80%, they earn the bigger bucks.  A recent study by Aon identified 172 HR executives who were among the five best-paid managers in their companies.

• Enjoy marketability.

If Topgraders don’t get the recognition and rewards they deserve, they can find another job in a nanosecond.  Hundreds of Topgrading companies are eager to hire Topgraders in HR, today!Yesterday (as I wrote this), the new head of HR at a Global 100 company told me why his predecessor had been fired.  The CEO had been lamenting 25% success in hiring and when the former head of HR resisited at introducing Topgrading, he fired her.

• Lead.

Typically the CEO wants superior talent and is willing to make the hard decisions (raising the bar, firing C players, etc.), but most rely on HR to lead the way, to outline the strategy and tactics, and to execute well.

Fortunately some parts of Topgrading are pretty easy to install.  Introducing Topgrading Interviews does NOT mean scrapping existing HR practices.  The job analysis, job description, and round-robin behavioral interviews are kept.  The Topgrading Interview is tacked on, so the change can be smooth and easy.

In talent reviews Topgraders in HR typically have the deepest insights into people, because they are frequently asked to be the tandem interview partner to a hiring manager,  HR managers become the most accurate at predicting who will succeed, fail, grow, or fade.  That knowledge, of course, converts to leadership.

In my experience, which includes in-depth assessments of over 600 HR executives, the A players love Topgrading and the C players don’t.