PSMJM AY / 2 0 1 6 • VO L / 4 3 • I S S U E / 5

THIS MONTHDOES YOUR FIRM HAVE PURPOSE? / 1-4

2015 PROJECT BONUSES / 2

DID YOU KNOW? / 4

DEFINING THE “UNWRITTEN RULESOF ENGAGEMENT” / 5

DO A/E FIRMS WITH UNLIMITEDPTO ACTUALLY EXIST? / 6

TREAT YOUR EMPLOYEES LIKEADULTS FOR A CHANGE / 6

AN ATTENDEES’ TAKEAWAS FROM PSMJ’S 2016 HR SUMMIT / 7

SOLUTIONS-BASED HUMANRESOURCES / 8-9

DID YOU KNOW? / 9

BUILDING A CULTURE OF ENGAGEMENT: WHY IT MATTERS / 10-11

UPCOMING EVENTS / 12

TIME TO STOP USING PERSONALITYASSESSMENTS / 12

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“The two most important days in your life are the day you are born and the day you find out why.”

For Ms. Donna Gaines, founder and former CEO of Gaines International | Allen Austin, a thriving, 35+-year international A/E/C recruiting firm based out of Chicago, this quote is more than just a clever Twainian quip oft-heard at birthdays and baby showers. No, for Gaines it’s a mantra—or, perhaps more accurately, the driving principle that shapes her professional and personal lives (which, for Gaines, are unapologetically intertwined).

“I didn’t know what to call it at first,” says Gaines, this ‘finding out of why’—a.k.a., the purpose of life, truly the most fundamental (and inscrutable) existential question of all. “Intuitively, I knew that my purpose was to help people live better lives. I felt this, and I knew I wanted that personal mission to be reflected professionally in my firm’s values and goals. But I didn’t know how to articulate it.”

But with the help of Rob Andrews, Chairman & CEO of Allen Austin (and Gaines’ eventual business partner), and some key business books (listed below), articulate it she did: “what I wanted, and what I integrated into my firm, almost without knowing it, was a purpose-driven culture—where the value of helping people lead better lives became a professional mindset.”

In the world of recruiting—so much of which is founded on greed and financial motivation, as Gaines describes—the idea of a purpose-driven culture, where your people always come first, is almost unheard of:

“A purpose-driven culture is about your people. You have to really care about their lives, their livelihood, and where they’re going to go in the world. And, yes, at first, you sometimes have to compromise your profits to give the people in your organization a purpose, a ‘greater good’ reason for why they do what they do. But in the end, the fact of the matter is, if you take care of your people, they’ll take care of your clients.”

Gaines has unequivocally found this to be true. Putting aside financial gain as a motivational driver, Gaines found that if her firm’s people were success- and purpose-motivated to make others’ lives better, financial remuneration inevitably followed.

And Gaines isn’t the only one who’s found success with this philosophy. Gary Miller, CEO and Chairman of CannonDesign, was a client of Gaines who truly breathed, ate, drank, and slept the notion that aiding people in the betterment of their lives was, and should be, the ultimate goal. Twenty-eight years ago, Miller’s firm had 150 people; now, with Gaines’ help, the firm boasts more than 1100—and has one of the lowest turnover rates in the industry.

Gaines, too, has enjoyed success with retention. With a turnover rate of merely 7%—and dozens of employees having served decades at the firm—Gaines knows that she’s onto something good—and she protects that “something” fiercely. “People make up the business, so we recruit carefully and tirelessly to ensure we have a perfect cultural fit,” says Gaines (for a copy of Gaines’ article,“Interviewing for Cultural Fit,” please email lterry@psmj.com). With every recruiting question, she asks herself: “What would our culture do?”

DOES YOUR FIRM HAVE PURPOSE? by Lauren K. Terry

A D V I C E F O R A / E F I R M L E A D E R S : D A T A - D R I V E N , P R O V O C A T I V E , A C T I O N A B L E

PUBLISHER / Frank A. Stasiowski, FAIA EDITOR / Lauren K. Terry GRAPHICS/LAYOUT / Marc Boggs PUBLISHED BY / PSMJ Resources, Inc.10 Midland Avenue, Newton, MA TEL / 617-965-0055EMAIL / customerservice@psmj.comWEB / www.psmj.com

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For Gaines, working to help others and enlivening this value in employees is not just a ‘nice idea.’ “I believe it and mean it. Having a purpose-driven culture—where the focus is truly on your people—requires dedication,” she says. “You have to live it everyday, walking the walk and talking the talk. It’s a lifestyle.” l

If you would like more information on having a purpose-driven culture and how to integrate one into your firm, please see Gaines nternational | Allen Austin’s “Case Study of a Purpose-Driven Culture” below.

After more than 30 years at Gaines International | Allen Austin, Donna Gaines “retired” the way most ambitious, always-on-the-move leaders do: by continuing to work. She is now the Managing Partner and Principal at Riverview Consultants, Inc., a firm that educates small- and medium-sized business owners on available business exit options. Exit strategies focus on both the business and the owners and include educating professionals from legal, financial planning, leader assessment, and executive search backgrounds. Gaines will be featured in an upcoming article in PSMJ on how she successfully managed her exit strategy from her firm, and she is currently contemplating the idea of writing a book on recruiting.

RECOMMENDED READING:Leadership and Self-Deception, Arbinger Institute

Five Dysfunctions of a Team, Patrick Lencioni

Getting Naked, Patrick Lencioni

The Anatomy of Peace: Resolving the Heart of Conflict, Arbinger Institute

Positive Intelligence, Shirzad Chamine

Managing Transitions, William Bridges

Case Study of a Purpose-Driven CultureI recently sat down with Joy Avery, Vice President/Operations and General Manager at Gaines International | Allen Austin, to learn more about having a purpose-driven culture and how to bring it to life.

Does Your Firm Have Purpose? ...(continued from page 1)

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Kate Allen, P.E., is Director of A/E/C Industry Surveys for PSMJ. She can be reached at kallen@psmj.com.

For professional design firms, project performance is key to profitability. Is your firm benchmarking project performance and tying that to firm-wide strategic initiatives and incentive strategies? While project performance bonuses are talked about frequently as a tool for accountability, few firms report actually providing this type of cash bonus to employees. In fact, according to PSMJ’s 2015 Bonus & Benefits Benchmark Survey Report, the percentage of firms using this type of bonus actually dropped from 25% in 2011, to 19% in 2013, and finally to 14% in 2015. With today’s accounting software, monitoring project performance has been made much easier – so this decline was quite a surprise! However, the use of project bonuses varies significantly based on the size of the firm and the types of services offered by the firm. Larger firms are 5X more likely to provide bonuses for project performance than small firms. Firms practicing in full-service architecture and engineering (A/E/P/I) and Environmental offer project performance bonuses more often than firms practicing in other areas. According to PSMJ’s most recent 2015 Bonus & Benefits Benchmark Survey Report (the next release will be 2017):

FIRM SIZE

1-20 Staff21-50 Staff51-100 Staff101-200 Staff201-350 Staff351-500 Staff>500 Staff

SERVICES OFFERED

ArchitectureArchitecture with Interior DesignEngineering – PrimeEngineering – SubconsultantEngineering – SurveyA/EA/E/P/IEnvironmental

PERCENTAGE OF FIRMS OFFERING PROJECT BONUSES IN 2015

9%10%18%8%

12%50%50%

PERCENTAGE OF FIRMS OFFERING PROJECT BONUSES IN 2015

4%12%15%8%

16%26%28%28%

FROM THE EDITOROn March 30th – April 1st, PSMJ and The Employee Engagement Group hosted our 7th Annual A/E/C HR Summit in sunny Seattle, WA (yes, I said sunny—70-degree weather for the entire conference!). Attracting 200 of the most esteemed HR professionals in the industry, the HR Summit focused on how to accelerate growth, engage employees, retain talent, and find and hire new talent. The HR Summit was so successful that we decided to dedicate an entire issue of PSMJ to today’s most relevant HR challenges (and successes!). In the next few pages, you’ll find contributions from HR Summit speakers, attendees, and experts in the field of HR in the A/E/C industry. We encourage you to submit your HR questions and stories to us—you can do so by emailing me at lterry@psmj.com. Who knows? You may be published in an upcoming edition! For now, we hope you enjoy this issue—and discover some new ideas, tips, and practices that you can implement today. Thank you!

R BENCHMARKS FOR SUCCESS

2015 PROJECT BONUSES by Kate Allen, PSMJ’s Director of A/E/C Surveys

A D V I C E F O R A / E F I R M L E A D E R S : D A T A - D R I V E N , P R O V O C A T I V E , A C T I O N A B L E 3

4 make it your friend. Then, and only then, will you accomplish things beyond your imagination. When you do fail, and you will as you are human, give yourself grace and redirect your behaviors as soon as you see it; in other words, fail fast. You need to fail to get to your end goal; again, we are human, after all. Stay engaged with your people on a daily basis. Get to know who they are, what is going on in their lives, what motivates them and what matters to them. Treat them like people, not a means to an end. You are all in this purpose-driven journey together; you can’t get there alone. Daily, have conversations around your purpose and the impact each person can have in the firm and in their clients’ lives. People need to own the purpose in order for it to be successful and meaningful. Listen to your people and understand their struggles; then spend time with them to help them grow and give them the resources to get to where they want to go. If they feel cared for and see evidence that you are listening to them, they feel valued. LT: HAS THIS DESIRE FOR A PURPOSE-DRIVEN CULTURE CHANGED/INFLUENCED ANY OF YOUR “BEST PRACTICES”? DO YOU HANDLE MENTORING DIFFERENTLY, PERFORMANCE REVIEWS, ETC.?JA: Again, our purpose is to enhance the lives and effectiveness of our associates, clients, and leaders of the world. We take this responsibility very seriously and personally. Consistent connection with our people is priority whether that means daily, weekly, or monthly conversations to keep our finger on their pulse. Understanding what is working for them and where the potential pain points are allows us to recalibrate and redirect proactively rather than reactively. Our desire is for them to not only grow but also to help them find their career dream and give them the platform to catapult to that dream. We spend too many hours of our lives at ‘work’ to not feel a sense of passion about what we are doing. Performance reviews carry a negative feeling and connotation as it is the one time of the year that an employee is ‘told’ what they have done right or wrong all throughout the year. It isn’t fair to give them knowledge of their strengths and areas where they need developed one year after the fact and then to judge them on those opinions. To add to the negativity, we then give them another year to improve or else that very same issue appears again on their next performance review.

That process is broken and doesn’t allow for employee development, ownership, fulfillment or engagement. A purpose-driven culture takes care of their employees and enables the employees to take care of the

JOY AVERY (JA): Building a purpose-driven culture is a commitment you make, and a journey you begin that never ends. It is not a destination or something that you “roll out.” Being purpose driven is a state of mind, body, and spirit. It is a filter through which you design strategy, make every decision, craft every initiative, and hire every employee. It determines who you’re being, not just what you’re doing. Becoming a purpose-driven organization is much like an overweight, out-of-shape person becoming a healthy in-shape person. At first it’s a diet, a regimen and takes tremendous discipline. In the end, if you’re successful, it’s a lifestyle. Just like the out-of-shape person who gets healthy, maintenance and diligence are required to maintain and improve. There are clear manifestations of a true purpose-driven, high- performance culture. First is that the organization’s core purpose is greater than just making money. Second is that they outperform their peers financially by at least 25%, usually more. Third is that front line employees are engaged, are crystal clear about the organization’s objectives, and how they fit in. Fourth is that workforce AND customer retention rates exceed industry averages by at least 50%. Fifth is that they’ve found a way to measure what matters including leadership effectiveness, employee engagement and satisfaction, customer satisfaction and strategy validation. Finally, everything is kept in balance: customers, employees and shareholders are all treated with equal importance, dignity and respect. LAUREN K. TERRY (LKT): HOW DO YOU EFFECT A PURPOSE-DRIVEN CULTURE IN “EVERY DAY” LIFE? ARE THERE CERTAIN STEPS YOU TAKE ON A DAILY, WEEKLY, OR MONTHLY BASIS?JA: Our purpose at Gaines International | Allen Austin is to enhance the lives and effectiveness of our associates, clients, and leaders of the world. Allow me to help define our terminology. Our associates are our internal people, clients are our external clients, and by leaders of the world we mean leaders within organizations that we are honored to come alongside and guide/advise through difficult times as well as those who are impacted by our clients. Intentional behavior is how one effects a purpose-driven culture in “every day” life. Some people will ‘get it’ and will be drawn to it and others won’t. That’s not right or wrong; it is just reality and it is ok. Those that choose purpose-driven intentional behavior are those that will find a sense of ownership and engagement. Daily, I ask myself “Why am I doing what I am doing? Does it get me, our people and our clients to the end goal?” Weekly, I reassess where my focus is as it relates to our purpose-driven goals and ask myself the same questions: does it get me, our people and our clients to the end goal? Flexibility is key when growing both people and a company so stay flexible and on a monthly basis reassess if an course correction needs to take place (new revenue generating initiatives, mentoring opportunities, new hire needs).

Some interpret a need for recalibration as failure or loss in direction. You can’t be afraid of failure or to do a course correction if you are going to do great things. Anything worth doing will most likely scare you or make you uncomfortable; embrace that fear and discomfort and

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Case Study of a Purpose-Driven Culture ... (continued from page 2)

WRITE FOR PSMJDo you have some new, innovative tips to share with others about running an A/E firm? PSMJ is looking for great writers and stories for Professional Services Management Journal! Writing for PSMJ is a remarkable opportunity to enhance your authority, add to your professional resume, bring name recognition to your company, and see your name and contact info in print in a prestigious and highly regarded journal.

If you’re interested in writing for us or have a story idea for an upcoming issue, please write to Lauren Terry, PSMJ’s Editor, at lterry@psmj.com.

P S M J / M A Y / 2 0 1 6 4

clients. Taking care of our employees means helping them to achieve their dreams through listening to their dreams, and goals, giving them the platform and resources to achieve those dreams and keeping connected with them to ensure their needs are met. Deep ownership and passion for our clients isn’t sustainable if our people aren’t our passion. Mentoring should happen daily; encouragement, development and redirection should be a normal part of how you spend your time. If you find that someone is not in the right role, it is better to learn it earlier on and find a better role for them then it is to drag it out and have a miserable employee. Hire people with the right DNA, not just those that have the right skill set. Those with the right DNA can learn elements of their job, will have a positive attitude, and will take the journey with you because they own it, and they will know you have their back.

LT: IT’S OFTEN SAID GREAT LEADERS MUST LEAD BY EXAMPLE. AS A LEADER IN THE ORGANIZATION, HOW DO YOU TAKE STEPS TO “WALK THE WALK” AND “TALK THE TALK”?JA: Keeping the end goal in mind should be the focus. Why are we doing what we are doing? Our CEO of Allen Austin, Rob Andrews frequently asks, “What are we doing, daily, to advance the ball towards our cause?” Leaders must stay focused and exhibit purposeful behaviors. One example: if you identify someone in your organization that isn’t operating at full capacity, spend time with him/her and find out what is going on. Perhaps their role doesn’t align with their dream or they feel stifled. Do what you can to help them through this discovery process and adjust their role or realign them into a new role that plays to their strengths, challenges them, and makes them feel valued and a part of achieving your firm’s purpose. This allows them to grow and brings energy and commitment to their lives. Perhaps their role isn’t the issue at all, perhaps they are having difficulties at home and just need someone to listen to them. You will be amazed at the commitment and drive you will find in your employees when they feel and see that you care for them. As long as you have the right people on the bus, when the going gets tough, your people will take the journey with you. Intentionally being business-minded and keeping our people at the forefront of our decisions creates an environment of trust, empathy, and focus. Do the right thing. LT: DOES HAVING A “PURPOSE-DRIVEN CULTURE” AT WORK TRANSLATE INTO YOUR PERSONAL LIFE AT ALL? IF SO, HOW SO?JA: People and processes are my passion. I have found my dream career and that passion translates into my personal life seamlessly. When people are happy at work and exhibit purposeful, intentional behaviors, they are happier at home and live with a sense of purpose there as well. My passion at home is my family and being purposeful about creating an environment of positivity, fulfillment, and unconditional love and acceptance. Being focused and intentional about what matters personally allows for a fulfilling life whether at home or at work.

LT: TELL ME A STORY ABOUT HOW THIS FOCUS ON CULTURE HAS POSITIVELY IMPACTED YOU OR ONE OF YOUR TEAM MEMBERS.JA: I can think of several examples as to how we have made adjustments within the organization to give our people a platform to achieve their dreams. Personally speaking, in helping to create and lead a culture where our purpose is to enhance the lives and effectiveness of our associates, clients, and leaders of the world, I can say that I don’t go to ‘work’ every day. I go to an environment where I adore the people, we have each others’ backs, and are working towards one goal. That sense of purpose draws people closer together when we need to weather the tough times and brings a family-like bond. I want nothing more than to take care of our people and clients and have each one know that I have their best interests at heart, that I genuinely care for them, their personal success, and the success of our clients.

LT: IS THERE ANYTHING ELSE YOU’D LIKE TO ADD THAT I HAVEN’T TOUCHED UPON?JA:We aren’t responsible for what happens to us but we are responsible for how we respond to what happens to us. We can choose to be a victim of our environment and spend our lives blaming our circumstances for who we have become or we can rise above and change who we are, for the better, which will in turn, positively impact those involved in our circumstances. Sometimes taking risks is scary but if you surround yourself with talented, positive, driven people, you will be amazed at what you can accomplish together. Life is short; let’s live with purpose both at home and at work. l

Joy Avery is the Vice President of Operations at Gaines International | Allen Austin and brings almost 19 years of business experience to the firm. Based out of the Chicago Gaines office, Joy is responsible for leading and managing all aspects of the firm (infrastructure, processe, and people) to ensure the firm fulfills its primary purpose and mission and successfully executes its strategy.

Joy is passionate about the purpose-driven and relationship-driven culture of Gaines International | Allen Austin. One individual at a time, one company at a time, we are changing the world through enhancing the lives and effectiveness of our associates, clients and leaders of the world.

Prior to returning to the firm, Joy was with GE (General Electric) Healthcare focusing within the engineering and technology sectors of the medical device space. During her tenure there, she was a part of the talent recruitment leadership team focused on elevating the brand through a consultative approach in talent identification, recruitment and advisement. During Joy’s initial footprint with Gaines International, she was a Consultant and assisted clients in identifying strategic hires within the Architecture, Branding, Engineering (Civil, MEP, Structural), Interiors, Landscape Architecture, Real Estate Development, and Urban Design & Planning spaces.

Case Study of a Purpose-Driven Culture ... (continued from page 3

DID YOU KNOW? The U.S. Labor Department and Chief Learning Officer report that 150,000 employers and labor management organizations participate in its Registered Apprenticeships program — companies including Blue Cross Blue Shield, Chrysler, General Electric, Walgreen Co., and Whirlpool. Do you have a successful apprenticeship/mentoring program that you’d like to share with us? Please do so by emailing lterry@psmj.com. l

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Corporate culture has become the latest buzz-term in business lexicon. So popular in fact, that early last year, Meriam Webster announced that “culture” was the number one Word of the Year for 2014.

No longer is business solely about profits and paychecks. People crave something deeper. As technology and social media break down barriers, we are experiencing a huge shift toward interactions and experiences that are transparent and meaningful. Of course, in the design profession, we’ve always known this. Josh Levine, co-founder of CULTURE LABx, a non-profit community for professionals, designers and founders passionate about cultivating company culture, shared in an Inc. magazine interview this month that if a company is serious about remaining competitive in the next decade, culture management is critical.

IT’S JUST THE WAY WE DO THINGS AROUND HERE.A Google search on the term “organizational culture” yields over 11 million results – a good many of which strive to answer the question “What is it?” I like to refer to corporate culture as the “Unwritten Rules of Engagement.” We’re all talking about it, but the concept can be very elusive. It’s not a category that shows up in the employee manual. It’s not laid out in offer letters or job descriptions, and most times, it’s not outlined on firm websites. And yet, it is the strongest driver of leadership and employee behavior every day.

Attempts to define the culture at a firm can often result in a focus on symptoms of culture rather than its underlying roots. Take the quintessential Ping-Pong table. Found in many break rooms, it can be a great way for colleagues to gather, blow off steam and relax at the end of a challenging week. But wait – who is that wielding his personal racket, the one with the killer backspin ready to gobble-up competitors in an all-out showdown? If the answer is ‘our fearless CEO,’ the Ping-Pong table might be a symptom of a very different underlying culture at play.

Beer in the fridge, half-day Fridays and a generous vacation policy –all fall into the symptom category, and they show up throughout the organization, from the design of your space, to career growth, firm rituals and rewards and your brand. To go beyond symptoms, you need to move past ‘what’ you do to understand ‘why’ you do it. Answers to the questions ‘what are we passionate about?’ and ‘what are our real commitments?’ help leaders to begin peeling the onion.

ARCHETYPES PROVIDE ANSWERS.A framework that can be very helpful in uncovering the ‘why’ and measuring the culture at your firm lays in the concept of archetypes. Popularized by Swiss psychiatrist Carl Jung, archetypes are patterns of belief and behavior that are common to all human beings. They cross time and culture. In fact, the same storylines and characters we can identify in Greek and Roman mythology show up in our movies and advertisements today.

It’s because we already understand them at a gut-level that identifying and working with these patternscan be so powerful – and a quick way to create group understanding. Here is a peek at the 12 archetypes

DEFINING THE “UNWRITTEN RULES OF ENGAGEMENT”WHAT IS CORPORATE CULTURE AND WHY SHOULD YOU CARE? By Theresa Agresta, Partner, CultureTalk

most commonly found in organizational culture. Just reading these simple descriptions brings insight. A deeper dive is available at CultureTalk.com.

1) Innocent: Life as it should be. Exemplars of optimism, Innocents see the glass as half-full. 2) Everyperson: All for one and one for all. The Everyperson is real, honest and hardworking.3) Hero: Bring it on. With discipline and focus, Heroes inspire us to move faster toward clear goals.4) Caregiver: Make people a priority. Caregivers are the first to lend a hand and guide outcomes.5) Explorer: Don’t fence me in. Explorers are forever focused on what’s new.6) Lover: Build relationships. Lovers tap into our senses and create experiences and memories.7) Revolutionary: Conventions were made to be broken. Revolutionaries do things radically differently, on purpose.8) Creator: Pair art with science. Creators mold a world of possibilities into something refined and functional.9) Ruler: Take control and lead. Politically savvy and well-connected, Rulers rely on authority and expertise.10) Magician: Makeyour vision a reality. Magicians dream bigger, change our perspective, and transform the world.11) Sage: To know is to grow. Sages support every endeavor to learn and teach others as they go.12) Jester: Laugh and the world will laugh with you. Playful and spontaneous, the Jester makes any day a little brighter.

WHAT CAN BE MEASURED CAN BE MOLDED. Once you’ve identified the underlying drivers of your culture, new opportunities open up. You can use this framework to move beyond symptoms and make clear decisions around:

• Recruiting:Attract right-fit employees with clear, authentic messages • LeadershipTransition:Identify those that share the firm’s real commitments• Communication: Share the cultures of different firm divisions and locations• M&A:Compare cultures and assess the strength of a potential deal• StrategicPlanning: Establish actionable priorities and goals• CultureShift:Pinpoint necessary changes and make a plan to move toward a new archetypal pattern• Branding:Understand the real values that differentiate your firm and make them the centerpiece of brand messages and design.

And perhaps most importantly, you’ll finally be able to answer the question “What’s it really like to work here?” with confidence. l

Theresa is a founder in the CultureTalk Survey System, a framework that defines organizational culture. She assists firms at the intersection of culture and communications as theyimplementchange initiatives, evaluate mergers, reposition brands, transition leaders and develop teams.

Theresa began her career in PR for Windows on the World in NYC’s World Trade Center. She served for nine years as PR manager at EYP, a national architecture and engineering firm. She is also a founding partner in Allegory Studios, a brand development and marketing firm specializing in the use of archetypes.

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Deanna Lantieri, Director of Human Resources at P.W. Grosser Consulting (PWGC), a 55-person environmental engineering firm in Long Island, is no stranger to the traditional workplace. At her previous jobs, Deanna regulated her firms’ employees as strictly as you probably do: taking note of employees’ days off, sick time, and even if they’re a few minutes late.

Butthen,whenLantieriwashiredatPWGC,thatallchanged.

“At first, I thought, ‘This can’t be normal. They’re putting on a show for me,’” says Lantieri. “With five branch offices across the country, I kept waiting for one of our firms to go traditional on me.”

Well,nineyearslater,she’sstillwaiting.

With retention through the roof and a mere five people let go in the last nine years, PWGC is clearly doing something right. “Our culture is very flexible, very family-oriented, and cooperative,” says Lantieri. “People help each other all of the time. There’s no yelling, screaming, or cursing; it’s a quiet, respectful, and professional office.”

The word “professional” is key to Lantieri and PWGC. “We’re not hiring people who didn’t graduate high school,” she says. “Everyone here has a least a BS. Every member of our firm, no matter how old or experienced, is a professional. And we actually treat them like what they are—professional adults.”

Due to that treatment, there is no egregious monitoring of the staff, no counting of hours or PTO, and no “8-5” expectation (“It’s a non-issue,” reports Lantieri). The employees of PWGC enjoy incredible flexibility and mutual support.

Lantieri credits this “treat-employees-like-the-adults-they-are” mentality to the firm culture nurtured by CEO Paul Grosser. “Paul realizes that just having a degree doesn’t necessarily make an employee a mature person,

but that when you put them in an environment where everyone is treated as respected professionals, they conform, and they don’t even realize it.”

AndtheperksofworkingatPWGCdon’tstopthere.

With PWGC offering 100% benefits coverage that starts on day one of employment, an employer-assisted housing program wherein participants can get up to $35,000 to buy a new house, a college-savings plan for parents, and a plethora of other benefits, it’s no wonder “no one wants to leave us,” says Lantieri.

And though in the nine years Lantieri’s been there, there’s not been one single reported abuse of the firm’s flexibility, Lantieri still cautions that such an enterprise may not be right for everybody. “If a CEO is fearful of going into this type of culture, then don’t do it. Keep your traditionalist values and continue to slap hands and watch every move your employees make.”

But there’s no doubt Lantieri believes the flexible, cooperative, adult culture PWGC promotes is the better option. “The fact is that transitioning to a more ‘mature adult culture’ will get you more ‘mature adult behavior’ 99% of the time. When you’re stingy and on top of people, they’re going to be just as stingy back and not willing to give you that extra five minutes.”

Ultimately, PWGC’s philosophy, as created by Paul Grosser and supported by Deanna Lantieri, can be summed up in one simple statement they both passionately believe: “When you give more, you get more.” l

Would your firm ever consider more flexible HR policies? If you already have more flexible HR policies, do you find them successful? Let us know! Email lterry@psmj.com.

Deanna Lantieri has been employed as Director of Human Resources at P.W. Grosser Consulting, Inc. since February 2007.

TREAT YOUR EMPLOYEES LIKE ADULTS FOR A CHANGE by Lauren K. Terry

"?If you’ve got a burning question about a particular management or marketing challenge facing your firm, PSMJ’s Ask the Expert is the place for you! Each month, we take a question posed by one of our readers and bring to bear the insight of one of our contributors or consultants. The question and corresponding response will then be published right here in PSMJ.

QUESTION: Do you know of any firms that have unlimited PTO?A/E Consultant, Seattle, WA

ADVICE FROM JOHN DOEHRING / PSMJ RESOURCES, INC. I haven’t heard of this yet in any A/E organization that I can remember. I suppose that technically many law firms and consulting firms have this, because they don’t measure utilization as a % of time—they just track total billable hours. As you say, then you just have to get your hours in any way

ASK THE EXPERT

DO A/E FIRMS WITH UNLIMITED PTO ACTUALLY EXIST?

you can and are free to take off whatever days are needed. But in reality every lawyer or consultant I’ve ever known working in this sort of system never takes any time off at all! It takes a lot of work to log 1800 billable hours each year. l

Does your A/E firm offer unlimited PTO? How does it work for you? Please let us know by emailing lterry@psmj.com. For a case study of a firm that has PTO policies but remains very flexibile about them, see “Treat Your Employees Like Aduts for a Change,” below.

John Doehring is Executive Leader of Advisory Services and Training at PSMJ Resources, Inc., and is responsible for the company’s consulting and in-house training business worldwide. In addition to leading a diverse team of highly qualified professional consultants, trainers, and experts, John himself advises AEC firms in the areas of business strategy and planning, marketing and growth, organization development, and operations transformation

A D V I C E F O R A / E F I R M L E A D E R S : D A T A - D R I V E N , P R O V O C A T I V E , A C T I O N A B L E 7

“In the end, all business operations can be reduced to three words: people, product and profits. Unless you’ve got a good team, you can’t do much with the other two.” - Lee Iacocca.

No matter the profile or the size of the practices we manage, the above cannot be more relevant. Our designers, architects, engineers, technical and support staff are our biggest asset. They reflect our image, creativity, heritage and ethos.

We live in an era of heightened practice-wide transparency, greater workforce mobility and design reach but it’s safe to assume that severe skills shortages, culture, engagement and retention are top issues for owners, principals and human resources professionals.

This year was the first time I attended PSMJ’s HR Summit. The relevancy of the topics was appealing, but I was more interested in hearing solutions about our industry-wide challenges through the lenses of different A/E/C studio owners and professionals. All of the concurrent sessions, round-table conversations and labs involved talking about people, engagement and culture that results in high utilization and as a result, profit.

Because we live in the Glassdoor, Yelp and Salary.com era, our compensation structures, best practices and employee experiences are being displayed for the world to see and debate. Given the harsh spotlight of this new trend of transparency, culture becomes a competitive advantage—or our Achilles’ heel. People, culture and engagement are business issues touching operations, finances and ownership. They are no longer topics for HR alone to debate.

Theresa Agresta’s concurrent session on defining work culture alongside Bob Kelleher’s host keynote on employee engagement were eye opening. Hearing the industry data and benchmarking on the low levels of employee engagement and disconnect from company culture is concerning (if you’d like a copy of the above-mentioned data, please email Lauren at lterry@psmj.com). The first question in my mind is: what do we do?

It becomes our responsibility to analyze data, anticipate trends and find personalized solutions to challenges while being sensitive to the nuances of the practice. Although culture and engagement play a critical role in profitability, we seem to be doing a poor job when measuring achievements, shortcomings and engagement. We often confuse the latter with employee satisfaction and are scared to think outside the box when interpreting data. Regardless of the size or structure of the organization, the first driver of culture and engagement is leadership. Performance management and work-life balance is very important but ultimately it comes down to management style and team dynamics.

One of the most important things I took away from the Summit is the importance of a good leadership development program. Engagement starts at the top. An aligned senior leadership group is key to building trust internally and externally, ultimately enforcing a culture where employees can grow and thrive. Our demographics are constantly changing; however, the drivers of work culture and engagement remain the same. I tried to summarize the themes and ideas discussed throughout the Summit in four simple sentences:

•Thesuccessofourpracticedependsonpeople.•Peopledriveperformanceforwardifthey’reengaged.•Employeeengagementisdefinedbyofficeculture.•Cultureisdefinedbyleadershipanditstartsatthetop.

According to a 2015 Gallup survey, only 31% of employees are currently engaged. It is scary to think that two out of three of our employees are not as productive as they could be or looking for a new opportunity. What are the next steps? Let’s take all the knowledge, analytics and benchmarking information we have and start doing the work. Little by little we can impact our team, studio or practice in a meaningful way, placing the focus on what stands at the core of Human Resources, the PEOPLE. l

Julia Vaida has 7 years of HR experience and a Human Resource Management degree from Baruch College, City University of New York (CUNY). She is currently the HR Manager at architecture and planning firm Grimshaw, based out of New York.

AN ATTENDEES’ TAKEAWAYS FROM PSMJ’S 2016 HR SUMMIT

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SOLUTIONS-BASED HUMAN RESOURCES by Mark Morgenfruh, SPHR, SHRM-SCP

Being an HR Professional of 25 years, I initially took offense when the articles “Why We Hate HR” (Fast Company, 2005) and “Why We Love to Hate HR” (Harvard Business Review, 2015) were released. Then, upon reading them I realized they actually aligned with something I’ve said since early on in my career; “I can’t stand stereotypical HR professionals.”I tell my current staff, and have told past staff members who I’ve seen lean towards quoting law and policy to the business, that they need to take a more customized, solutions-based approach to their role.

If you approach every situation with a policy or law that tells the business why they can’t do something, the business is just going to work around you and reduce you to the Personnel Department of the 1980s.

How does a solutions-based HR Professional act? There are several comparisons that help to illustrate the difference:

One example LDG has embraced is carving out HR rules and policies from educational information about the company. For example, we took everything that has prescriptive language out of our HR policy manual and wrote them into individual HR Standards. The Standards are hosted in a particular place on our network along with the Standards of every other support division and our Project Standards.

So when an employee is in the mindset of looking for instructions on how to do something they seek it from our Standards. Everything else that relates to benefits, navigating the firm, performance and advancement we rewrote from the old manual to be an Employee Guide that’s more welcoming and shares a tone that is aligned with our culture and values.This helps demonstrate the different ways in which HR can approach their business.

Another example is collaboration in our recruitment. Often in business there’s the age-old complaint that “HR isn’t filling my jobs.” To be frank, they’re your jobs and hiring managers need to have ownership for them. And in our highly technical industry you do not want HR screening resumes or conducting phone screens. LDG has 10 different operational departments.

HR is not technically versed to write job descriptions, job ads, screen a resume for relevant technical skills and comparable firms, or conduct an interview where we wouldn’t know if one technical sentence the candidate used was better than another.

But, what my department absolutely is on the hook for is creating easy-to-use job description templates, filling in the blanks for managers, establishing a quick way to collaborate on job ads, purchasing a modern and simple applicant tracking system to get qualified candidates to the manager’s inbox, educating our hiring managers on how to conduct excellent interviews to find the top talent. Also in our service model we are responsible for coordinating interviews and handling all the red tape associated with offers (references, drug test, etc). We are charged with making the lifting as light and easy as possible but hiring managers need to be accountable and take ownership for their part, too. We are a team.

However, in the HR space there are subjects that eventually bring us to odds with our operational counterparts. These usually revolve around the “hard stops” or “handcuffs” as they may be perceived by some, and often are tied directly to legal requirements, or are related to the risk of

DO “lead” by example and educating others, and be a consultant to them;

DO create easy-to-use programs, train others, provide ongoing consultation and then let them take ownership of it;

DO work to be a strong facilitator to grow capabilities in others;

DO learn the basics of your business and operations so you can lend relevant and timely advice and consultation;

DO try very hard to advance the goals of the company by being a collaborative resource who brings an open mind and creative ideas;

DO become immersed in your firm’s business plans, seek out areas where HR can assist and enable, then go do it;

DO approach employee relations issues, policy violations and such in a supportive and educational way helping others understand but also being open to learning when “the way we always did it” might not work;

DO always remember that you are there as a support function, creating value by advancing the firm through finding, growing and retaining top talent;

DO work out differences amongst parties directly involved like mature professionals.

DON’T “manage” them with burdensome rules and policies;

DON’T Make policies and programs arduous, confusing, overly-complicated and then get frustrated when operations managers don’t get it right;

DON’T overreach your role, try to take control and make others dependent upon you;

DON’T dictate to the business when your priorities need to be met;

DON’T be HR for HR’s sake;

DON’T remain on the fringe of the business and wonder why you’re not more involved;

DON’T handle policy violators and employee relations with a policing or enforcement mentality;

DON’T make the mistake of misunderstanding the hierarchy of the firm and Operational versus Internal Support functions;

DON’T escalate differences to the CEO. S/He has better things to do.

DOs DON’Ts

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BOOK REVIEW

THE TRUTH ABOUT EMPLOYEE ENGAGEMENTBy Scott D. Butcher2

Patrick Lencioni books were an acquired taste for me. Typically, I prefer my business books to hit me hard upfront with a premise, and then dig deeper with facts, wisdom, and advice. Lencioni is very unique in his approach to writing “business fables”; that is, stories that demonstrate his observations and advice through a fictional scenario that addresses the issues. And yet, he’s also clearly tapped into the importance of storytelling as a way to demonstrate, reinforce, and make memorable the information that he is presenting.

In The Truth About Employee Engagement, Lencioni weaves a tale of a CEO who retires younger than he originally planned thanks to his firm being acquired, and moves with his wife to Lake Tahoe. After just a few days on the ski slopes, he finds himself with an injured knee, suffering from cabin fever. It’s not long until his need to solve problems and manage people becomes overwhelming, and he suddenly finds himself as co-owner of a small Italian restaurant, off the beaten path, that would never make any “best of lists” for customer service or job satisfaction.Throughout much of the book, our intrepid restaurateur, Brian Bailey, tries to apply the management style he used as a CEO to transform the culture of the small restaurant. About the time he sees the fruits of his labor coming to fruition, his former world comes calling and soon he’s the CEO of another company.

Ultimately, Brian is able to take his theory about management and apply it to an exercise equipment manufacturer, restaurant, and regional sporting goods chain. Originally entitled The Three Signs of a Miserable Job, this book is about the importance of having employees engaged in the success of the business – no matter what type of business.

According to Lencioni, a miserable job is “the one you dread going to and can’t wait to leave. It’s the one that saps your energy even when you’re not busy. It’s the one that makes you go home at the end of the day with less enthusiasm and more cynicism than you had when you left in the morning.” He also believes that miserable jobs are found everywhere, no matter the type of position or the industry. So the wealthy CEO of a larger corporation or an A-list Hollywood actor may truly be miserable, while the janitor at a gym may find true satisfaction in their job.

Job misery boils down to just three root causes, believes Lencioni:

Anonymity. “People cannot be fulfilled in their work if they are not known,” he writes. “All human beings need to be understood and appreciated for their unique qualities by someone in a position of authority.”

Irrelevance. “Everyone needs to know that their job matters, to someone. Anyone. Without seeing a connection between the work and the satisfaction of another person or group of people, an employee simply will not find lasting fulfillment.”

Immeasurement. (And the author does note this is his term, or rather the term of the book’s protagonist.) “Employees need to be able to gauge their progress and level of contribution for themselves. They cannot be fulfilled in their work if their success depends on the opinions or whims of another person, no matter how benevolent that person may be.”

Although Lencioni believes this formula is as simple as it is obvious, he also believes that most of the business world is truly missing the boat, which is why the amount of revenue that firms lose due to unhappy employees and constant turnover is staggering. Are you miserable in your job? Do you think that some of your co-workers are miserable? If so, perhaps it is time to reevaluate your firm’s management approach, and look to address anonymity, irrelevance, and immeasurement. And a good place to start is to pick up a copy of The Truth About Employee Engagement: A Fable About Addressing the Three Root Causes of Job Misery. l

future litigation against the company. For these instances you have to approach the situation and listen to their concerns. Their concerns are valid and they are frustrated by legal boundaries or issues they don’t deal with every day.

Attempt to educate them as to why certain steps or rules apply and seek common ground. In the end you’re held accountable for those legal issues that relate to employment law and you may have to stand your ground and protect the company at the risk of that one relationship.

A final word on flexibility. It would be so easy if each situation in the workplace had a single, defined set of steps that were to be followed. Boring, but easy. But no two situations are alike when it comes to dealing with human beings. One person’s chronic lateness for no good reason can mean termination when another’s reason could be a newborn at home so s/he may get some more slack. No law in the land says you must terminate both under the identical circumstances.

An overly-simply example, but my point is that stepping back and taking in all the facts and circumstances can result in different approaches and outcomes for similar situations that make for the most effective outcome each time. And the value you could add to your firm through being a flexible, solutions-based partner and trusted advisor, while only just an “occasional” stick in the mud, would be significant. l

Mark Morgenfruh is the Vice President of Human Resources at Larson Design Group in Williamsport, PA.

Solutions-Based Human Resources (continued from page 8)

DID YOU KNOW? Out of 40 mid-sized firms at PSMJ’s recent A/E/C HR Summit, about 15% use HR Guidelines instead of HR Manuals or Protocols. l

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BUILDING A CULTURE OF ENGAGEMENT: WHY IT MATTERSBy Jeremy Brown

Being able to offer better services, technologies, strategies, products and cost structures can make one organization better than the next, but all of these factors are replicable. What does withstand the test of time and make companies better than their competitors is a workforce comprising of engaged and motivated employees. That’s because engaged workers consistently outperform those who are distant and uninterested in their work. As a result, in the struggle over competitive advantage and skilled talent, the company with the engaged employees will win the war and the battle.

For the construction industry especially — where according to FMI’s latest research almost 86% of employers are facing skilled labor shortages — the topic of employee engagement is more critical than ever. In this article, we present six universal employee engagement drivers and provide recommendations on how companies can develop sustainable, engaging cultures. Insights are based on FMI’s industry research and conversations with FMI’s partner Leigh Branham, a nationally renowned expert and author of three best-selling books on the subject of employee engagement. THE DISENGAGEMENT CRISIS — THE BIG PICTUREAccording to Gallup’s latest research, nearly a third (32.5%) of U.S. workers were engaged in their jobs earlier this year (Figure 1). The majority (51.9%) of U.S. employees were “not engaged” in January, and 15.7% were “actively disengaged.” In other words, almost 70% of today’s American workers are “not engaged” or “actively disengaged” and therefore emotionally disconnected from their workplaces and less likely to be productive.

Gallup estimates that these actively disengaged employees cost the U.S.between $450 billion to $550 billion in lost productivity every year. In addition, these employees are also “more likely to steal from their companies, negatively influence their co-workers, miss workdays and drive customers away2.”

In conversations with construction industry executives, we have found that the topic of employee engagement is often perceived as something fuzzy and elusive. Responses like “We are contractors. We build stuff. Either you like to build stuff, or you don’t. I’m not so concerned about the fuzzy stuff,” are not uncommon. Yet, at the same time, these executives admit that their employees are their most important assets.

Branham explains the situation as follows: “Whether company leaders know how to derive better value from the employer-employee relationship or not, they at least fundamentally understand that different levels of ‘buy-in’ create different results — some better than others. There are hard elements to employee engagement; it’s not just a ‘feel good’ thing. Those basic elements are: Do employees know how to do their jobs effectively? Do they have the right resources to be effective? Are they surrounded by people that they like and respect?

Do their managers care about them? And do they feel that they are advancing their career and skill sets? You can actually measure those things. They are easy to say and hard to do… and it takes a lot of management and leadership attention to move the needle.”

In construction, where employers are struggling to attract and retain skilled workers, it is time for a fundamental mind shift. The talent challenge is not going away anytime soon; good, skilled workers will likely remain a scarce resource in the future. In fact, now is the time to think of employees as your clients and look for new ways to attract and hold onto them long term. Following are six key drivers that are fundamental to developing a sustainable and engaging company culture.

FUNDAMENTAL DRIVERS OF EMPLOYEE ENGAGEMENTOver the years, Branham has studied data patterns in millions of employee engagement surveys and has narrowed it down to six universal drivers for employee engagement. Branham’s findings support FMI’s industry insights based on employee engagement surveys conducted with more than 50 construction firms as well as a millennial-specific engagement study that included almost 400 industry stakeholders.

1. Caring, competent and engaging senior leaders.

2.AccordingtoBranham,theseindividualsarecompetent,visionary and clear about where the company is headed. This point is especially important for young people who are just kicking off their careers. By explaining the whole picture, company leaders can connect the meaning to their employees. This, in turn, gives workers a clear sense of purpose and an understanding of how their efforts fit within the larger plan.According to FMI’s research, when the company’s vision is inspiring and clearly communicated, younger workers (millennials) are 25% more likely to stay longer with the company compared to those who don’t understand the company’s vision and direction.

3. Effective managers who keep employees aligned and engaged.

4.Bypayingattentiontocuesfromseniorleadersoneffectiveemployee supervision and guidance, the best managers outline clear, concise expectations and provide frequent feedback to workers. According to FMI’s observations, this is an area where the construction industry is currently undergoing some big changes. It’s time to eradicate the archaic management models frequently used in the construction industry and implement performance management processes that factor in ongoing training, coaching, development and associated metrics. By listening to their employees and by taking into account their individual career aspirations and that help strengthen the entire organization and engage the whole workforce for the long term.

5. Effective teamwork at all levels.

“Culture eats strategy for breakfast.” — Peter Drucker, Writer, Professor and Management Consultant

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6.AccordingtoBranham’sresearch,companiesthatareconsidered“best places to work” have fewer hierarchical barriers, or silos, across the organization. They also encourage a high degree of interaction and communication between top and front-line employees. Conversely, in non-engaging company cultures, employees typically feel isolated from senior leaders.The need for better teamwork and communication across all organizational levels — especially between the field and the office — is an ongoing struggle for many construction firms. By encouraging and enabling better communication and more frequent interactions, for example, the field-office relationship can be significantly improved. Put simply, by getting people to work face-to-face, have open conversations via phone, and gain a better understanding of one another’s work environments, these traditional divisions can work together more effectively.

7. Job enrichment and professional growth.

8. Employees like challenges, but they also want to know that they’re well-suited for their positions. Branham’s research confirms that successful employers interview and vet new candidates more thoroughly and place an emphasis on cultural fit first and role fit second. They are also very careful about matching employees’ skills and capabilities with corresponding roles and positions.This is particularly relevant in construction, where many companies lack well-defined career tracks or comprehensive talent development and leadership programs. For younger employees who are just kicking off their careers and feeling out their opportunities, understanding how they can advance from point A to point B is critical. This notion was also confirmed in our millennial study, where survey respondents who understood their career paths and opportunities within their firms were more likely to remain long term with their companies compared to those who didn’t understand their advancement opportunities. And it’s not mainly about advancement; it’s about continuous learning. Paradoxically, the more employees learn and build their resumes, the more likely they are to stay and stay engaged.

9. Valuing employee contributions.

10.Branhamconfirmsthat,“Employeeswhoarepaidinproportionto their efforts feel more valued. If they receive frequent praise and recognition or a simple ‘thank you for going above and beyond,’ they feel more valued and want to put in more effort. If they are given the right tools to do their job and are given a voice in the kinds of decisions that affect them, they feel even more valued and energized.” 3

11. Concern for employees’ well-being.

12.Bydisplayingtrueconcernfortheirvaluedworkers,companiescan significantly improve employee engagement, loyalty and long-term staying power — none of which is easy to achieve in today’s competitive business environment. In the best workplaces, senior-level executives operate on the philosophy that if you give to employees, they will give back to their companies. This is a far cry from traditional belief systems centered on the idea that if managers give to employees, they will take advantage of the company. Setting the tone and defining the vision around a culture of engagement is no easy task for leaders, but when done right, it

can turn your company into an employer of choice. FMI’s industry research4 indicates that employees (of all ages) who perceive senior management’s commitment to their well-being are engaged and more likely to remain long term with their companies compared to those who don’t feel appreciated or valued (Fig. 2). Branham states, “The real meat and potatoes of what it takes to be an employer that engages your workers is providing clear, consistent feedback. There is an art to (performance) feedback. Routine, purposeful check-ins are gradually replacing the arduous, time-consuming and less impactful annual reviews. This type of feedback about individual progress and company objectives is much more meaningful to your employees than putting a ping-pong table in the break room or holding a company picnic…. Invest the time and energy into training your managers to give candid feedback and getting to know your employees personally and understand what makes them tick.”

WHAT’S NEXT?As the millennial generation continues to make its way into the workforce, and as all levels of employees seek out the most fruitful and rewarding job opportunities in today’s marketplace, leading construction firms will continue to build and shape cultures of engagement. Branham frequently quotes Peter Drucker who famously said, “Culture eats strategy for breakfast.”

Engagement, like a company’s vision, starts at the top and requires leaders to continuously challenge team members and consciously demonstrate a focused effort to engage their employees. FMI will continue to research this area over the coming year, knowing that it will be an especially valuable competitive advantage as the older generations transition out of the workforce and as a new, young generation takes over. l

1 Talent Development in the Construction Industry.2015 FMI Industry Survey.

2 State of the American Workplace.Employee Engagement Insights for U.S. Business Leaders. Gallup. 2013.

3Why Putting Your People First Makes Good Business Sense. Kathryn Jones. THISISKC.com

4 Millennials in Construction: Learning to Engage a New Workforce. 2015 FMI Industry Survey.

Jeremy Brown is a senior consultant at FMI. Jeremy specializes in the areas of market and growth strategy, business development, change management, productivity and project management. Prior to joining FMI, Jeremy served several years in the construction industry in various field and office positions, and he provided consulting to large corporate and government owners by creating effective and efficient real estate and capital management programs. He may be reached via email at jbrown@fminet.com.

Building A Culture Of Engagement... (continued from page 10)

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Years ago I came the closest I’ve been to leaving the A/E business when I became a finalist for the national sales manager position with the country’s largest commercial wildflower seed distributor. Apparently the company was impressed with my business development background, but they expressed concern about my lack of related technical expertise. The other finalist was a botanist who had a more limited sales background.

At a follow-up interview, I was asked to take a personality test. A few days later I was told that I didn’t get the job because my personality profile indicated I was less suited for sales than the other finalist. That was my first experience with the misuse of personality assessments. The use of personality testing to screen employment candidates has exploded in recent years, with an estimated 60-70% of candidates being tested. That’s up from 30-40% just five years ago, according to a survey by Deloitte. Workplace personality testing has become a $500 million-a-year business and is growing 10-15% annually.

Such growth would suggest that these tests have a proven track record. But that’s not the case. Research indicates that personality typing is a poor predictor of job performance or fit. Even the company behind Myers-Briggs, the most popular personality assessment, warns that their test shouldn’t be used to screen potential employees. Besides being unproven as a hiring tool, they believe that its use in this manner is unethical because it’s not voluntary.

Myers-Briggs and similar tests have a fundamental flaw: They attempt to lump people into mutually exclusive categories. For example, you are either an introvert or an extrovert. But most people fall somewhere in between (hence the recent term ambivert). The dividing line between the two is arbitrary, as it would be if all of us were categorized as either short or tall. There are also serious questions about the replicability of the tests. For example, studies have found that retaking the Myers-Briggs assessment as soon as just five weeks later has a 50% chance of reclassifying you as a different personality type. Reproducibility, of course, is a key measure of scientific validity. But the fact is that the science behind these tests is sketchy at best.

Even if personality tests were accurate, the assumption that certain personality types are a better fit for certain jobs is largely a myth. A salesperson, according to conventional wisdom, should be an extrovert—which conveniently excuses most technical professionals from the role since they are predominantly introverted. Except that studies have shown little to no correlation between personality type and sales success. Same is generally true of leaders. Despite the above criticisms, personality assessments do have their place. They can be useful in helping us recognize our personality tendencies and how they compare with those we work with—assuming they agree to share that information.

Identifying employees’ personal strengths is also very valuable. Gallup research has found that focusing on developing strengths is a much better way to improve performance than the more common approach of trying to remediate weaknesses. The StrengthsFinder assessment, which focuses more on character traits than personality, came out of the Gallup research andis used by many of the world’s leading companies.

With any of these assessment tools, however, you want to avoid the temptation to oversimplify. I think that’s one of the primary reasons personality typing is so popular, because it seems to distill the complexities of human personality down to a fewunderstandable categories. But such a “paint-by-the-numbers” approach to leadership is naive. People are not so easily pigeon-holed. A shortcut to understanding others would be welcome, but none are proven. Seems the traditional methods of getting to know people through conversation and interaction still represent our best bet. l

Mel Lester of BizEdge (www.bizedge.biz) helps engineering, architectural, and environmental firms improve business performance by implementing effective strategies in organizational leadership, business development, client service, and project delivery. He can be reached at 540-268-2300 or mel@bizedge.biz.

TIME TO STOP USING PERSONALITY ASSESSMENTS? by Mel Lester

A/E/C PROJECT MANAGEMENT BOOTCAMPAPRIL 28-29 / PHILADELPHIA, PAAPRIL 28-29 / SANTA FE, NMMAY 5-6, 2016 / NEW ORLEANS, LAMAY 5-6, 2016 / PORTLAND, OMAY 11-12, 2016 / DENVER, COMAY 12-13, 2016 / NASHVILLE, TNMAY 19-20, 2016 / AUSTIN, TXJUNE 2-3, 2016 / HARTFORD, CTJUNE 9-10, 2016 / CINCINNATI, OHJUNE 16-17, 2016 / LAS VEGAS, NVJUNE 23-24, 2016 / ARLINGTON, VA JULY 14-15, 2016 / CHICAGO, ILJULY 21-22, 2016 / BOSTON, MAJULY 28-29, 2016 / VANCOUVER, BCAUGUST 4-5, 2016 / SAN DIEGO, CAAUGUST 11-12, 2016 / DENVER, COAUGUST 18-19, 2016 / PHILADELPHIA, PASEPTEMBER 15-16, 2016 / AUSTIN, TXSEPTEMBER 21-22, 2016 / CHICAGO, ILSEPTEMBER 22-23, 2016 / NEWPORT BEACH, CAOCTOBER 6-7, 2016 / KANSAS CITY, MOOCTOBER 13-14, 2016 / SAN FRANCISCO, CAOCTOBER 26-27, 2016 / DENVER, CONOVEMBER 3-4, 2016 / MINNEAPOLIS, MNNOVEMBER 9-10, 2016 / SEATTLE, WANOVEMBER 17-18, 2016 / BOSTON, MADECEMBER 1-2, 2016 / LAS VEGAS, NVDECEMBER 8-9, 2016 / ORLANDO, FL

A/E/C MERGERS & ACQUISITIONS ROUNDTABLEMAY 3-4, 2016 / ALEXANDRIA, VAAUGUST 9-10, 2016 / DENVER, COOCTOBER 4-5, 2016 / SEATTLE, WA

BRANCH OFFICE OPTIMIZATION STRATEGIES ROUNDTABLEAPRIL 26-27, 2016 / BOSTON, MAMAY 10-11, 2016 / ST. PETE BEACH, FL

JUNE 14-15, 2016 / DENVER, CO

UPCOMING EVENTS