In my past experience, the HR department has generally been fairly robust with a ratio of about 60 employees to one HR partner. But at BetterCloud, we’ve been doing just fine with a ratio of 1:125 and growing. Why?
It all has to do with being proactive and efficient in activities normally viewed as an afterthought.
We have some powerful organization effectiveness tools up our sleeves. My favorite is our leadership effectiveness program. Every six months, I gather 360° feedback on our 25+ managers at the company, but I mix up the approach. For the first half of the year, we have focus groups with the manager’s direct reports as well as colleagues on other teams that they frequently interact with. For the second half of the year, I do one-on-one interviews with a similar batch of feedback providers.
This isn’t a ground-breaking approach; it’s 360° feedback, an age old tool. Yet, most HR teams are reactive in their approach -- feedback is often only given to an employee on thin ice. Sure, it works quite well for that, but that makes feedback seem like an awful slap in the face.
Here’s how we do it:
Round one: focus groups
1. Be upfront with each manager about why you’re doing these feedback rounds.
2. Select people to participate in providing feedback for each manager. We typically include 15 people in this process, including both direct reports and peers who frequently interact with the manager. Ask the manager and the manager’s manager if there are any people in particular they’d like to make sure is involved.
Pro Tip: I inform the groups via email: “We will be sharing feedback on what X does that is effective and not effective. All of your feedback is anonymous. I chose the participants and X and his/her manager provided a few suggestions. I will act as facilitator and transcribe your responses."
Some companies opt to use third party feedback services such as Reflektive that automate the process. Many software companies offer free trials so you can test whether it makes more sense to provide the feedback manually or through a service.
3. Schedule one focus group with the manager’s direct reports and one with the non-direct reports, putting up to eight people in each group. In each group, type out everyone’s feedback and project it onto a screen to be fully transparent. We discuss what these managers should start doing, what they should continue doing, what they should stop doing and what they should decrease doing. Here’s an example of what I type out:
At BetterCloud, we look for our leaders to constantly be improving:
- Self-awareness
- Emotional intelligence
- Ability to manage conflict
- Ability to build trust
- Interpersonal style
- Problem solving skills
- How he/she influences
- How he/she navigates change
- His/her strategic vision
- His/her strategic thinking
- His/her creativity
4. Next comes a 15-question survey at the end of each feedback focus group. This allows us to receive some quantitative data in addition to the qualitative data from the discussion. Here’s an example:
5. Then, categorize the feedback based on the unanimous themes. More often than not, most people will say generally the same things, just in slightly different ways.
6. Next comes the meetings with managers. This is the time where you can review the major themes you received during the feedback sessions, along with anonymous quotes and all of the survey data. Together, we come up with three action items for the manager to work on.
During this step, it’s important to also loop in HR, so they’re aware of the action items the managers will be working on.
7. Lastly, the manager shares the high-level results and action items with their team. This step is key, as it’s how we close the feedback loop and deliver on our promise to employees to respond to their feedback.
Round two: one-on-ones
1. As in the first round of focus groups, the first step in one-on-ones is to be upfront with the manager about why you’re doing these feedback rounds and what this process will include. Transparency is key!
2. Work with the manager and the manager’s manager on selecting around 15 people to provide feedback (again, include both direct reports and peers). Since you’ll have already done this in round one, you will probably know exactly how to choose these people this time around.
3. Schedule the one-on-ones with the direct reports and also with the non-direct reports. Remember, full transparency upfront is critical. Then, repeat steps four through eight. And next year, do it all again.
At BetterCloud, our continuous 360° feedback program gives us a ton of high-level benefits. You’ll be able to help create a group of leaders who are not only receptive to feedback, but also well aware of their improvement needs. Other benefits include:
- A strong HR/Manager relationship. Remember, you’re helping people become better and ultimately advance their careers!
- The absence of egos. With this method, everything is out in the open.
- Open lines of communication between employees and managers and HR.
- A culture of transparency, risk-taking and learning. We have our managers share the feedback with their teams so that there are no walls of infallibility between managers and employees. The leader’s flaws are all out there on the table. Through this process ,employees should feel more comfortable sharing their own weaknesses with their managers and visa versa.
- A company full of people who are practicing providing feedback in a productive, actionable way.
Oftentimes, people view HR as a reactive discipline. But in the startup world, where efficiency is everything, it pays to be proactive. Create a continuous 360° feedback program today and your organization--and your employees--will be better off in the long run.
