Maintaining a Great Culture

In 2009, Honest Tea was named a “Best Place to Work” by Bethesda Magazine, and this year, it was picked as a Winning Workplace by Inc. magazine.  Miri McDonald an expert on organizational development, recently spoke with Debra Schwartz who is the director of human resources for Honest Tea, a beverage company based in Bethesda, Md.  They spoke about Debra’s role in cultivating the company’s progressive culture. An edited transcript of their conversation follows.

What factors do you feel have contributed to winning these important awards?

Culture, which starts with hiring. The only way to maintain a culture is to hire the right people. Anyone we interview, no matter what position, is asked: “Why do you want this position and why do you want to work for Honest Tea?” The answer has to be creative, passionate and real for them to make it to the next round.

You are a member of Honest Tea’s executive team. Some companies don’t include the director of HR as part of their leadership. How do you think this decision has benefited Honest Tea? What do you say to companies that don’t include HR as part of the executive team?

HR belongs at the table for many reasons. HR brings an internal perspective and represents the employee’s view.  If you leave us out we cannot be the business’ advocate to the employees, we cannot explain all points of view.

What do you think are the top five trends for human resources over the next few years?

• Use creative models to add value. That means being creative with salaries, bonuses, and benefits without taking anything away from the employee. At the end of the day if we are not making money, then HR doesn’t exist.

• Position HR as customer service and internal marketing. HR is here to make the lives of employees easier and better.

• Make smart use of fringe benefits. This term has long been associated with company cars, lavish expense accounts and the like. The new trend is wellness-related benefits.

• Be limber. Don’t box yourself. As long as you’re not doing anything illegal or unethical, it’s OK to break the rules and bend with the business to make employees happy. Happy employees lead to even more loyal customers.

• Remember the personal follow-up. Employees like to know that their company cares about them. Whether someone is new or has been there a long time, a personal touch such as a call, e-mail, or short interaction to ask how they are, and what is going on in their lives goes a long way in building relationships.

I am proud to say that Honest Tea is ahead of the pack and already making strides in these areas.

What other advice do you have for human resource professionals that strive to make their companies a better place to work?

It is HR’s job to take care of the employees, their needs and their families’ needs so that the employee can take care of the business and customer. Listen, really listen to their needs and wants, and adjust accordingly.

Potential candidates may have the experience, education and skill set to do the job, but what do you include in your hiring practices to ensure your next hire will be a representation of your organizational culture?

HR Integrate vs. Administrate

Back in January Charlie Judy, HRFishbowl, asked for posts for his blog, HR Trench entitled Integrate vs. Administrate.

Well I didn’t have my Blog back then, but was so impressed with the response provided by Steve Browne, Executive Director of Human Resources for LaRosa’s Pizza that I saved it.  I reviewed it again yesterday and still think Steve hits the nail on the head when differentiating being happy in your HR role or Not.

Steve wrote:  I know too many HR folks who are miserable in what they do as a profession.

In looking at this, I had to ask myself the question – “Why are they miserable and I’m not ??”

The answer was pretty clear only because of how I have been encouraged and “allowed” to perform at my Company.  About a year ago, my boss, the COO, asked me to draw a picture of what HR should be at our company.  I honestly was a little baffled because he literally wanted a picture of what I’d like HR to be.  After some deep reflection, and many cups of coffee, I came up with a picture and went back to present it to him.

I followed the “before and after” model that you see in those weight loss commercials because I wanted to express how HR was being utilized now and what it should be.  The “before” model showed every department as silos – including HR.  HR was only used if, and when, people needed it primarily for administrative tasks or employee relations problems that were now teetering on legal action.  In contrast, the “after” model took HR and spread it in a row that spanned all of the departments.  I explained that HR should be integrated throughout all departments and levels of the company because all of them have humans!!

Seems simple, but it worked.  He agreed that HR should be integrated vs. administrative.  Strategic on a regular basis vs. processing paperwork.

This frees me every day knowing that HR is expected to be integrated to move the Company forward.  I wish HR professionals everywhere would follow an “integrated” approach!!  If they did, they would see that the “trench” that we’re in is actually very cool and exciting!!

Thanks guy’s for reminding us we are in a great profession full of so much potential.

LaRosa’s has been in business for over 50 years, and has 63 locations in the Ohio, Kentucky, and Indiana region.  Steve has the daunting task of building and maintaining an environment and career experience that keeps LaRosa’s employees engaged in this highly competitive multi-location business.  You can follow Steve on Twitter and follow Charlie Judy on http://www.HRfishbowl.com.