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Emerge StrongerLeading organizations invest in ‘fit’ as a strategy to excel in good times and thrive in tough times.

Written by:Gail Rieschi and Sean Slatervpi Inc.

© Copyright 2010 vpi Inc.2 www.vpi-inc.com I 1-888-336-9500

Emerge Stronger

Focusing on ‘fit’ as a way to both emerge from the current recession stronger and better equipped for the upward climb toward organizational health, stability, growth and profit.

It’s beginning to happen. The economic tsunami is receding and we are beginning to see signs of stability and, yes, an economic upturn. Canadian corporations are launching new strategic plans, targeting recovery, renewal, even measured growth. But are we well enough prepared to ensure that our new, optimistic strategic plans garner for us the success we want and need?

Even now, some organizations are losing to “greener pastures” the skeleton staff of star performers they held onto during the crunch. As we begin to ramp up in anticipation of the new business opportunities our strategic plans are targeting for us, our talent recruitment efforts will face some tough competition. How then, do we adequately prepare, on shoe-string, recessionary budgets, to build the infrastructure we need to support our new strategic plans and goals? How do we retain our existing star performers and ensure that future hires will meet organizational needs? Companies that have invested in establishing and strengthening the fit between the company and the people that work within it have the answer. Their experience proves that strong employee-organization fit is the best weapon in their arsenal.

A Quick Look Back

On July 23, 2009, the Governor of the Bank of Canada, Mark Carney, declared that the recession in Canada was over. To date, very few individuals and even fewer organizations have felt any positive change, and nobody is celebrating the ‘technical end’ of the Great Recession. Yet, in the general scheme of things, Canada fared better than most other countries, and few would argue that Canada was better buttressed against the challenges presented by the stock market crash and real estate market implosion than was our southern cousin. On a positive note, this allowed Canada’s status as an independent nation, and not simply “the 51st U.S. state”, to be recognized on a global level as our independent fiscal and regulatory policies were proven to both make sense and be necessary.

Still, while the results of the recession were, overall, less devastating in Canada, Canadian businesses were significantly shaken. Organizations from St. John’s to Nanaimo to Whitehorse have been impacted in ways they hadn’t even considered, let alone planned for. Many closed their doors; those that remained were forced into a defensive position in order to stay solvent. That meant “trimming the fat”; reducing costs, including manpower; and implementing strategic plans which focused on a singular goal: Survival. Those organizations still in operation can be congratulated for achieving their shared goal.

Canadian corporations are launching new strategic plans, targeting recovery, renewal, even measured growth.

© Copyright 2010 vpi Inc. 3www.vpi-inc.com I 1-888-336-9500

A Look Ahead: The View from the Top

We really are emerging from the worst of the tsunami. While Mr. Carney’s July, 2009 comments may have felt a bit premature, as we move into the second quarter of 2010, Canadian businesses are beginning to sense stabilization and, yes, even indications of some improvement in corporate and consumer spending. As the last major economy to enter the recession and the first to emerge, corporate Canada finds itself in a position of strength. Cautious optimism is beginning to take hold. Businesses, large and small, are finally raising their heads and focusing not just on getting through the day, but on the future.

New strategic plans are being designed. And where last year’s plans were defensive and survival-focused, we now hear corporate Canada talking cautiously in terms of revitalization, prospecting and growth, and planning accordingly.

With credible intelligence predicting a return to economic stability and growth, and business leaders shedding the mantle of self-preservation and survival in favour of growth and development, what remains to be done is to ensure that the new strategic plans are implemented well and appropriately. Underlying supports are critical if we are to be successful in restoring our businesses to health and if our business targets are to be achieved. Just as important is the need to design those underlying supports with an understanding that we are emerging from the recession as far different organizations than we were prior to the economic decline.

A New Corporate Landscape

The Canadian corporate landscape has undergone a fundamental change. Canadian businesses, in large measure, are far different from those of the pre-recession era. True, we are leaner, smaller and perhaps less confident, having experienced the erosion and, in some cases, disappearance of our previous markets and/or client base. More importantly, most have been transformed from mature state status, where preserving the status quo and maintaining tried-and-true business practices could secure their market share. In the new economy, Canadian businesses are looking more like fledgling business ventures than mature state organizations. Rather than on maintenance and measured growth, the focus of most Canadian enterprises will be on rebuilding. They will be prospecting once again. They will be hungrier and much more innovative, seeking to understand, find their place and secure their market share in an as yet undefined new economy.


So what does that mean for our new strategic plans and support strategies?

All indications are that Canada’s emerging corporations are designing new strategic plans that are aggressive and growth focused. And why not? If the economic pundits are to be believed, we have every reason to expect that a growing and healthy economic climate awaits. A growth strategy is more than just necessary; it is achievable. That said, the financial impact of the last 24 months will mean that the growth-focus must be tempered by a degree of caution and risk aversion. Most organizations find themselves without much venture capital to speak of, so there is very little room for error.

Perhaps more than ever before in each organization’s history, it will be imperative that the strategic plan be executed fully and successfully. To do this, the total engagement of each and every member of the team must be guaranteed. This then, becomes the central issue, yet one which unfortunately, most organizations fail to recognize.

Human Resource Strategy – Overlooked; Undervalued

The success of any business plan is dependent on the development, implementation and execution of “second order” strategies. These strategies flow from the corporate business plan and demarcate the activities, goals and objectives that each business unit must meet in the pursuit and achievement of the corporate plan. Corresponding strategies are therefore necessary for (among others): operations; sales and marketing; design and development; and, most importantly, human resource management.

Research has shown, however, that while most businesses devote appropriate time, attention and resources to second order plan development, the design of a corresponding human resource management strategy is often overlooked completely (Christiansen & Higgs (2008), go so far as to suggest that HR strategy is too often relegated to “third level” status). And it is in this omission that organizations essentially program themselves for failure.

Appropriate and strategic talent management, important at every stage of the business life cycle, becomes critical when companies begin to rebuild. Companies of course understand the need to put a “staffing up” plan into place as they position themselves for growth. We are seeing this occur even now as the economy begins to heat up and companies are experiencing an increase in business orders. But an effective human resource (HR) strategy goes well beyond managing head count; it needs to address and achieve alignment between values represented by the new strategic plan and those of their most important raw material – their talent pool. The willingness and cooperation of the talent pool to embrace the new strategic plan is the lynchpin upon which success depends. And it is by no means a “given”. Not even with retained personnel.

Employee alignment with the business strategy must be the focal point and key performance area for the “second order”, supportive human resource (HR) strategy. This requires time, attention and effort. The expectation which all too often prevails that personnel will quickly and willingly adjust to a newly charted course of action (read: business strategy), is naïve and inherently faulty. Resistance to change, especially if externally imposed, is part of the


human condition. HR plans must ensure that both retained and newly hired personnel understand, embrace and commit to the new business direction and strategy. To attain this, the focus of all HR activity must be on the achievement, of individual employee/corporate alignment, most often referred to as “person-organization fit”.

The Business of Fit

Person-Organization (P-O) fit can be defined as the congruence between the employee’s (existing or prospective) goals and values and those of the organization. It is one of many types of “fit” that organization development specialists have identified as important considerations in HR management practice. It is also the type least often considered or privileged in recruitment activity. Yet there exists a great deal of evidentiary support that P-O fit is the most critical, both for the success of the organization and for the individual employee’s health, well being and enduring job satisfaction.

A vast amount of research conducted in the area of P-O fit was summarized succinctly in 2007 by Gottschalg & Zollo. Their findings suggest overwhelmingly, that organizations that focus on the alignment between employee personal objectives and the goals of the organization derive competitive advantage over those organizations that don’t. This holds true even when those organizations that don’t consider the alignment

component do in fact possess some traditional components of competitive advantage (i.e. better price; better offering; additional features & benefits). Gottschalg & Zollo describe the results of this alignment between individual and organizational interests as “the degree to which the members of the organization are motivated to behave in line with organizational goals”. More simply put: P-O fit.

A separate study conducted by Cornell University and the Gevity Group (2006), actually quantified the benefits of privileging P-O fit in the following areas:

Revenue growth (7.5% increase)•Profit growth (6.1% faster)•Employee turnover (17.1% lower)•

Even Jim Collins, author of Good to Great, which reported on his research into what makes good companies excel, credits appropriate hiring practices which focus on P-O fit (i.e. knowing your culture and hiring people who “fit”), as critical to achieving corporate greatness.

To bring greater clarity to the concept of P-O fit, a brief review of the various types of work-related “fit” is helpful.

Person-Organization (P-O) fit is the most critical, both for the success of the organization and for the individual employee’s health, well being and enduring job satisfaction.


Fit Types Defined

• Person-job fit (P-J) is the area most widely addressed by hiring authorities. At its most basic level, it relates to the technical competency of the job candidate in relation to the technical job demands. Of equal importance, however, are the underlying human job factors — the personality characteristics and personal work traits that are so critical to on-the-job success. Examples of human job factors include attention to detail, abstract reasoning skills, the ability to persuade or influence, a sense of urgency, creativity, process-focus, being a team player, or the ability to work in isolation. • Person-group fit (P-G) and person-supervisor fit (P-S) are self-explanatory and relate to the interpersonal alignment between and among the parties. • Person-organization fit (P-O) is the area least often considered, and yet research demonstrates that this type of fit is critical to both organizational success and individual health and well-being. P-O fit relates to the similarities or match between

the individual’s values, beliefs, interests and personal work traits, as well as the values, beliefs, and culture of the workplace. The key concept that underpins P-O fit is values-alignment. The degree of values-alignment directly impacts the employee’s sense of job satisfaction, level of organizational commitment, and sense of belonging.

The P-J Fit Obsession – The Great Organizational Misstep

In most cases, recruiting practices screen for person-job fit (i.e. can you see the candidate functioning appropriately when compared to requirements of the job?). This tendency is vividly illustrated in previous studies on hiring practices, where over 80% of companies confirmed they make their hiring decisions solely on the basis of job fit. Tellingly, these same companies also acknowledged that 85% of de-hiring decisions were made based on “chemistry” or lack of P-O fit.


Ongoing talent management processes begin to integrate some P-O fit components, but clearly the primary focus continues to be on job fit. Employee performance, for example, is measured largely against the requirements of the job. Similarly, preparation of candidates for new roles within the organization is addressed from a hard-skills and competencies perspective. The focus on P-J fit often results in technical expertise and cultural mismatch, which in turn leads to employee transition out of the organization.

Isn’t Person-Job fit important?

Of course hiring for job fit remains an incredibly important aspect of the recruiting process, but it won’t support building a culture where everyone shares the same values and dedication to achieving results. Screening for P-J fit should effectively be the first consideration in a robust recruiting process. Unfortunately, with many employers, it is the only gate candidates must pass through on the way to employment. Once skills and competencies have been established, the real, heavy lifting begins with the new pool of candidates, all who meet the baseline requirements of the job. The critical work involves identifying those who are aligned with the organization’s values and direction and who will contribute to organizational culture rather than resist or erode it.

Maintenance Considerations

While hiring for P-O fit goes a long way toward positioning the organization for success, the work doesn’t end there. Organizations are living, fluid systems that move, self-adjust and change as necessary to meet the ever-changing market

conditions. Organizations across the world were forced by the economic tsunami to adjust quickly or fail, and Canadian organizations find themselves poised once again for significant strategic change, as they position themselves for recovery. With any organizational change or adjustment, big or small, ongoing attention and maintenance is required to ensure that the organization and its employees continue to move as one and that, as strategic and cultural changes occur, the employees remain onside and committed. And again, this can never be taken for granted.

Two questions emerge: the “why” and the “how”.

First, why is HR management strategy more important for organizations now as they emerge from the recession?

Second, how can Canadian businesses ensure that their HR strategy supports and strengthens employee-organization alignment, or P-O fit?

Organizations are living, fluid systems that move, self-adjust and change as necessary to meet the ever-changing market conditions.


Understanding the Why

Now more than ever, it is critical that recovering organizations retain their existing talent pool. A significant amount of down-sizing occurred during the economic downturn, as companies struggled to adjust and survive. Most organizations “made lemonade”, using the opportunity to cull the lesser performers, retaining only their top talent. The knowledge that they are moving into growth mode with a team of “A” players has afforded businesses a sense of security and well being. The reality, however, is that this sense of security may well be, and in fact likely is, unwarranted. Capacity; personal preference; response to change; and self-interest and ego of the organization’s star performers are critical variables that must be both considered and managed within the construct of the HR strategy.

Capacity and Personal Preference:An “A” player in a mature state, healthy organization does not necessarily translate into an “A” player in a recovering, prospecting, organization. In the new order, as the corporation’s strategy changes, so will the roles and responsibilities of the employees, and so will the culture of the organization. Can a status-quo, business-as-usual worker morph easily into an outside-the-box innovator? Can a “farmer” type sales rep who very ably managed an established line of accounts be counted on to “hunt” out new business opportunities – and do so well and aggressively, in keeping with the new organizational culture?

Whether employees have the capacity needed, they may prefer not to take on new responsibilities, see their roles transform, or be comfortable within the organization’s new order and culture. Many will want to remain within the

familiar, the comfortable, and if so, if they remain with the company they will likely perform less well. And with other organizations strengthening their own manpower as they position themselves for growth and recovery, a more traditional opportunity with a new employer may be considered by many of your star performers as preferable. The risk for migration is high.

Response to Change:While the ability to transform and adjust is a valid consideration, the more critical question focuses on the individual’s willingness to adapt. Humans are by nature resistant to change, particularly when the personal reward in so doing is not understood or immediately apparent. If not managed properly, if employees are not assisted to understand, accept and embrace the new work culture, the response will be either disengagement or resignation.

Self-Interest and Ego:After a period of high job loss, new opportunities are coming available daily. Many of your star performers, whom you could ill-afford to retain but did so with an eye to the future, will be tempted by the promise of greener pastures. Head-hunting and poaching are alive and well, and there is every likelihood that your star performers are receiving unsolicited job offers on a regular basis. It cannot be denied that it

Capacity; personal preference; response to change; and self-interest and ego of the organization’s star performers are critical variables that must be both considered and managed within the construct of the HR strategy.


is flattering, even seductive, to be courted and pursued. Better compensation packages speak directly to our sense of self interest; the courtship speaks directly to our egos. And when ego and emotion kick in, in the absence of strong P-O fit, even a competitive counter offer will not be enough to convince your star performers to stay.

Loss of star performers will be a critical, perhaps fatal blow to organizations already battered by the recession; there will be no hope of achieving the new, growth-focused strategic plan. The reliance on the existing talent pool goes beyond just getting the job done. Planned, staged and measured staffing increases will be necessary as the economic recovery continues and the strategic plan takes hold. It will be the existing employees who will train the new talent; who will

act as role models for the company’s work values and work ethic; and who will help to optimize their cultural assimilation and alignment. And if that weren’t enough reason to ensure that P-O fit with your retained employees is maintained and strengthened, consider the knowledge that they possess of the inner workings of your company, and the damage it could mean to you if that knowledge falls into the hands of competing organizations.

As rebuilding organizations begin to strengthen their talent pool through new hiring, the importance of addressing P-O fit during the recruitment process also becomes more critical. It is a reasonable expectation that recruitment

will become a continuous, although cautious and measured activity for the recovering organizations, building as they must from the largely skeleton staff maintained during the recession. And there will be little tolerance for error.

Consider the impact of even a few bad hires on the company’s bottom line. Poor performers who remain can have devastating impact – on productivity; quality; customer relations; corporate reputation; internal relations and morale. De-hiring will be the lesser evil. But whether the decision to part company is made by the organization or the individual, the cost to the organization is substantial. Wrong hires and employee termination has been quantified at, minimally, twice the annual salary for the position, and more frequently at a multiple of three or four. Few organizations can absorb theses types of unnecessary costs, even in their healthiest states. In recovery mode, as most Canadian businesses find themselves today, the cost of even one bad hire may be fatal. Never has it been more important for businesses to hire right, and on the first try.

The need to hire right and to maintain and strengthen the employee-organization connection and alignment will never be more important than it is now, especially for Canadian organizations emerging from the recession and hoping to recover, rebuild and renew. The question then becomes: How? What should the HR strategy consist of to ensure current and ongoing P-O alignment?

Loss of star performers will be a critical, perhaps fatal blow to organizations already battered by the recession.


Considering the “How”

First: Know ThyselfThe first task in the quest for P-O fit is to clearly define the organization. Borrowing from Jim Collins, great organizations know who they are, and hire to suit. Understanding the organization’s current culture, future direction and goals, and what it needs to do or become to achieve its goals, is a necessary first step. Organizational culture audits are helpful, but it really comes down to self-analysis, reflection and clarification at the executive level, followed by clear and ongoing communication, internally and externally.

Second: Shine the LightOnce the organization’s culture, vision, direction and values have been clarified, let the word be heard. The importance of the communication piece, making sure everyone within the organization understands what the company is, what it stands for and where it is heading cannot be under-emphasized. Know thyself, yes, but make sure other key stakeholders, your employees foremost, know you as well.

Ensure that your corporate culture, vision and values are apparent in all job advertisements, and that they are addressed during recruitment interviews as well. Individuals are attracted to organizations that seem to share their own priorities, interests and values. By profiling the organization in recruitment materials and discussion, organizations have a better chance of attracting candidates who are a more natural fit.

Third: Assess for P-O Fit Take a page from the growing evidence-based research that supports privileging P-O fit during the recruitment process. Get well-suited and well-aligned employees from the outset. Do this by ensuring that the goals, objectives, values and style of the potential employees are in line with those of the firm.

To be clear, the P-O fit concept is not a popular psychology fabrication; nor is it the “flavour of the month”. Research which links personality traits to anticipated business outcomes was being conducted as far back as the early part of the twentieth century and continues today. The evidentiary support is substantive. P-O fit can be measured. And when measured and used as an employee selection tool, positive outcomes in relation to organizational productivity and profit; employee retention; and individual health, job satisfaction and commitment are realized. All that is left is to establish, and then appropriately manage the supporting recruitment process.


Fourth: Take a Scientific Approach to HiringUse reliable and valid recruitment tools. And use more than one. Assess the candidate’s suitability in a variety of ways. Avoid hiring in haste. Too often we focus on filling a labour vacancy rather than hiring a new “corporate citizen”, a person who fits and who will, in turn, fill the labour void.

Most hiring managers have made regrettable hiring decisions based on expediency, just a good “gut” feeling, or on the basis of less than accurate reference checks. How many of us, relying on references provided by the candidates themselves, were flummoxed when the ‘…oh sure I’d hire him again’ rockstar failed to impress on the job.

Talent optimization specialists have devoted considerable time, energy, and research toward the development of evidence-based recruitment tools and processes that measure the fit between candidates and the firms they wish to work for. Learn from them and develop a process that suits your own organization. Remember, however, the more tools you incorporate into your recruitment process, the greater your chance of assessing P-O fit accurately. The adoption of a more measured, detailed approach will of course lengthen the recruitment cycle. On the plus side, however, it will reduce the number of bad hires you make, and will save you time, money and heartache over the longterm.

A detailed, but highly reliable sample process is outlined below:


Task DescriptorInitial Screening Review of Resume; Application Documentation•

Screen for Person-Job (P-J) fit; core competencies• Consider P-J fit as minimum criteria for entry into recruitment process•

First Interview Structured; behavioural; situational questions• Interview questions should be scripted, standardized, and incorporate • behavioural and situational questions designed to identify personality, personal work traits, values and interests for comparison against your corporate culture, values, vision and the human characteristics appropriate to the job (human factor job analysis) Obtain candidate’s (written) agreement to participate in objective testing as • part of the recruitment process

Objective Testing Apply at least one, preferably two objective assessments to determine P-O • and P-J fit Ensure chosen assessment tools are reliable and valid and are read and • interpreted by trained personnelConsider assessments that probe for personal work traits (for comparison • against company profile); valuesConsider hands-on assessments as well, such as work simulation/sampling •

Second Interview Use this interview to probe and explore the “gaps/shortfalls” • identified via TestingEnsure questions posed remain situational; behavioural in nature • Require the candidate to provide clear, real-life examples to illustrate (past • behaviours predict future behaviour/performance)

Third Interview Optional, but optimal• Include opportunity for candidate to meet work group (obtain feedback • from work group for inclusion in selection material)

Reference Verification Ideally, speak to someone other than the reference named by the candidate • who has supervised the candidate in the pastCustomize the questions, based on Testing results, again probing around • the “gaps/shortfall”Require Reference to provide examples and describe real situations, • remembering that past behaviour is best predictor of future performance

Decision-Making Ensure all components of the recruitment process are considered • in the decision making processDo not rely on Testing alone•


Fifth: Keep P-O Alignment on the Radar‘Getting good employees is tough, but keeping them is tougher. Once you get people in the door, you need to give them a reason to keep coming back’ (Kotolli, 2006).

Assuming that you’ve been successful in hiring for P-O fit, it’s important to keep it going. Whether you are dealing with long term or new employees, don’t operate on the mistaken belief that “once-a-fit remains a fit”.

Organizations evolve to accommodate the changing economic landscape and to meet their ever-moving business targets. The degree to which this evolution, this new corporate strategy, impacts employees and their sense of P-O alignment will be dependent on the way in which the organization manages its transformation. This change management plan must form part of the second-order HR strategy, with the focus being on strengthening the employee’s sense of connectedness to the organization: strengthening the P-O fit.

In essence, initial talent acquisition efforts and the energy organizations dedicate to recruiting superstars needs to spill over into ongoing talent management practices within those organizations. The commitment of key performers must be reinforced continually, effectively on a daily basis. How do high performance workplaces do it? What are they doing that other organizations are not?

3Organizational commitment is essential to high performance.

3 kinds: Affective (i.e. emotional attachment to, and involvement in an employing organization);

Continuance (perceived costs with discontinuing employment with the organization);

Normative (sense of obligation on the part of the team to remain a member of the organization).

Affective commitment is most essential – has

the strongest positive effect on desirable

work behaviours (attendance, performance,

organizational citizenship behaviours etc.),

and is significantly negatively related to

turnover intention.

Meyer & Smith, 2000


For employees to continue to feel connected to the organization during times of change, they need to be engaged emotionally. This means they need to:

Understand why change is occurring; •what that will look like; and how it will impact them personally

Have an ongoing sense of belonging •and value. They need to feel they are a necessary part of the change process, and not that it is going on around them, or being done “to them”.

Feel they are making a difference. • They need to understand their role within the bigger picture; how they are contributing; and how they can measure their impact/success within their own job function.

Be recognized and rewarded.•

Understanding; belonging; achievement and acknowledgement. These four factors combine to enhance everyone’s sense of well-being and when respected and addressed within the work environment, increased P-O fit follows naturally.

The following is a list of drivers of P-O fit and employee engagement. The list correlates highly with the concepts of understanding; belonging; achievement and acknowledgement. (see Figure A )

This links between P-O Fit and employee engagement have been supported by a wide array of research, much of it conducted quite recently. For example, when ranking the drivers of employee engagement and satisfaction, top tier players in the engagement consulting industry including Hewitt, Towers-Watson, and Gallup consistently place some version of ‘understanding, connection or alignment between my goals and

P-O Fit and Employee Engagement Drivers

Senior Management Practices1.

Organizational Reputation2.

Concern for the customer3.

Innovation4.

Relationship with direct supervisor5.

Learning and Development6.

Understanding of corporate vision7.

Corporate Social Responsibility8.

I know what’s expected of me9.

Figure A

values with those of the organization’ in the top ten factors impacting engagement. Similarly, Gottschalg & Zollo’s research supported the position that employees who feel a connection to the organizational vision, purpose and culture are more engaged. We know, as well, from such research as that conducted by Cornell University and the Gevity Group, cited earlier, that engaged employees are more productive. Gevity clearly illustrates that high performing organizations who set high growth goals and who focus on the alignment of corporate and individual values and objectives historically outperform those that don’t, based on one-year revenue performance


Business performance• – Companies that engage and enable their employees

outperform on both revenue growth and profitability. Organizations in the top

quartile on engagement demonstrate revenue growth 2.5 times more than that

of organizations in the bottom quartile. But companies in the top quartile on both

engagement and enablement achieve revenue growth 4.5 times greater. Moreover,

companies in the top quartile on both engagement and enablement exceed industry

averages on five-year return on assets, return on investment and return on equity by

40 to 60 percent.

Customer satisfaction• – Businesses that have high levels of engagement show

customer satisfaction scores 22 percent higher than companies with low levels of

engagement. But companies that both engage and enable employees demonstrate a

total increase in customer satisfaction of 54 percent.

Employee retention• – Companies with high levels of engagement show turnover rates

40 percent lower than companies with low levels of engagement. But companies

that both engage and enable employees demonstrate a total reduction in voluntary

turnover of 54 percent.

The Hay Group “Tough Decisions in a Downturn Don’t Have to Lead to Disengaged Employees”, August 2009

Figure B

results. It doesn’t seem a stretch, therefore, to make the link between establishing P-O fit and achieving business results.

In a 2009 study (see figure B, below) involving 41 global organizations with over one million employees, the Hay Group confirmed that organizations with high levels of engagement outperform their competitors who don’t.

The data is clear: P-O fit increases employees’ level of engagement, which in turn promotes productivity, profit and employee retention. While preserving an employee’s sense of understanding; belonging; achievement; and sense of value are always important, they take on a more vital role during times of organizational flux, change, growth or redirection.


Conclusion

Fit. Engagement. Alignment. Individually, important objectives for any organization attempting to achieve its strategic plan. Combined, a powerful tool that propels organizational achievement and competitive advantage. Never more important than in times of strategic change. Never more important than now.

All the research points to the fact that organizations with high levels of employee alignment — P-O fit — are more productive, more profitable, more successful. Customers and employees are happier. Turnover is reduced. Organizations with employees who are aligned to the plan deliver better results and enjoy competitive advantage over others in their industry. Management and maximization of P-O fit is clearly a “must” for Canadian organizations emerging from the recession. With a new strategic direction focused on renewal and growth the support of your primary resource – your people – is critical. P-O alignment offers Canadian employers a sure-fire recipe for competitive advantage and ultimately, the successful achievement of the new business plan. With all the challenges that business leaders face on a daily basis, and with the very clear body of available research, it’s crystal clear why Canadian companies must give appropriate attention to their supporting HR strategy, ensuring a tight and sustained fit between their values and those of their employees, and maintaining strong P-O fit: Their success and their competitiveness depends on it.

About vpi

vpi is the leader in fit focused solutions geared to helping Canadian organizations achieve their business objectives by linking their talent management practices to their business strategy.

vpi helps organizations select, manage and motivate the right talent to maximize business performance. We return insurance and disability claimants to work faster. We help people build meaningful career paths. When you need to deliver results, we’re here to help.

Call 1-888-336-9500 or visit www.vpi-inc.com.

At vpi, It’s all about the fit™.

04-30-2010

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Emerge Stronger - vpi.smartsimple.bizvpi.smartsimple.biz/files/386529/f97964/vpi-emerge-stronger-wpaper... · to health and if our business targets are to be achieved. Just as important