What Makes A Good Employee?

by Bill Kalmar

May I have the envelope, please!

Each year at this time a momentous event is announced in the pages of a prominent magazine. No, I’m not talking about the Sports Illustrated swimsuit edition, although thoughts of that warm me up on frigid evenings in Michigan (sorry if that’s sexist). I’m referring to Fortune Magazine’s announcement of “The 100 Best Companies To Work For.”

For us quality and customer-service geeks it’s an opportunity to examine the inner workings of some of the best organizations in our nation. For the companies who applied for this recognition it’s a guessing game to see where they rank among some of their peers and who is labeled No. 1.

Ever since this list was first published I’ve been following and reviewing these companies like a broker follows blue chip stocks or a wine connoisseur absorbs Wine Spectator’s list of the top bubbly. We all want to work for an organization that espouses sound customer-service processes and provides employees with a safe, challenging, rewarding environment. Fortune Magazine lists those companies.

After the list is published each year, the featured companies are flooded with unsolicited applications. In fact, in the current edition of the list there’s a section entitled, “How To Get Hired By A ‘Best’ Company.” As the author points out, “Looking at the past decade, our top 25 each year have averaged job growth of 14 percent.” The author goes on to mention that it helps to know someone at the company, because thousands of people submit applications. Before it opened in 2006, the Doha Hotel in Qatar received 25,000 applications for 600 positions.

Before we get into the specifics of these companies, let’s first examine how they were chosen. There’s that special moment in the Oscar awards program where two or three sartorially correct accountants come out on the stage with a briefcase containing the envelopes naming the winners for the evening. Of course we learn how the balloting was done. So in imitation of the Oscars, here’s how “The 100 Best” were selected:

“More than 105,000 employees from 446 companies responded to a 57-question survey. Two thirds of a company’s score is based on the survey, which is sent to a minimum of 400 randomly selected employees from each company and asks about things such as attitudes toward management, job satisfaction and camaraderie. The remaining third of the score comes from an evaluation of each company’s responses to a culture audit which includes detailed questions about demographic makeup, pay and benefits programs, and open-ended questions about the company’s people-management philosophy, internal communications, opportunities, compensation practices, diversity programs, etc. About 1,500 companies participated in the survey. Any company that is at least seven years old with more than 1,000 U.S. employees is eligible.” (Courtesy of FORTUNE magazine)

I have used this listing in my presentations to illustrate the attributes of these organizations. In that regard, I first shared the following 12-point list with QualityInsider readers in “The Corporate Running of the Bulls.” Interspersed with that list are examples from the “100 Best” list:

What makes the “100 Best Companies To Work For” so great:

They make people feel that they’re part of a team or, in some cases, a family.

• With an average salary of $90,083, the 1,376 employees of American Fidelity Assurance call this Oklahoma insurer their “second family.”
• National Instruments yearly stages an employee-appreciation week with executives serving breakfast and culminating in a family outing day.
• Nugget Markets throws a year-end bash, and in 2007 took all of its 1,322 employees whitewater rafting.
• In 2007, as is the case every year, the Plante & Moran team gathers at its annual conference, an opportunity to bond. Partner Jeff Jenkins stated that the theme was to “amp it up,” which means that in workplace and with client relationships and in family-oriented activities, the staff was asked to ratchet it up another notch while living the “golden rule” (i.e., treat others as you would like to be treated) More energy results in better client service, a more enriching work environment and better results.

They encourage open communication, informing their people of new developments and encouraging them to offer suggestions and complaints.

• The CEO at Adobe Systems answers employee e-mails within 24 hours and employee councils feed management with ideas.
• After feedback from employees, SRA International switched insurers, added health savings accounts and adoption aid, and increased 401(k) matches.
• Four times a year employees at Nike are invited to an all-employee meeting where feedback and suggestions are encouraged.
• The head of Yahoo hosts monthly chat ’n’ chow lunches with employees and even answers employee questions online.
• Perhaps the lowest turnover rate in the hotel industry (18 percent) is attributed to J. W. Marriott Jr.’s visits to 250 Marriot properties each year and meeting with employees.
• Cisco Systems uses an employee feedback/suggestion system, “On My Mind.”

They promote from within, letting their own people bid for jobs before hiring outsiders.

• Eighty-five percent of managers at supermarket Stew Leonard’s were hired in house. This supermarket has been featured in many of quality guru Tom Peters’ columns. Here’s a bonus: CEO Stew Leonard Jr. has a surefire way to determine the strength of the economy: “I look for the mashed-potato effect. If customers are buying our freshly-prepared mashed potatoes instead of whole potatoes, then the economy is doing well. Lately, bulk potato sales have been going up, so there’s a concern about where the economy is going.” The so-called experts can cackle about their charts and their prognostications, but for me, I’m focusing any investments I might make on the “mashed-potato” metric.
• At S.C. Johnson & Son more than half of employees are over age 45, 28 percent have worked there more than 20 years, and 78 percent more than six years.
• Twenty-three percent of Herman Miller’s workforce are “Water carriers,” employees who have 20 or more years with the company.

They stress quality, enabling people to feel pride in the products or services they provide.

• Quick action by Mattel in recalling defective toys from China illustrated this company’s focus on quality and safe products.
• Granite Construction has a zero-accident goal and employees are rewarded, not fired, for bringing attention to unsafe situations.

They allow their employees to share in the profits through profit sharing, stock ownership, or both.

• Ten percent of employees’ pay is deposited into 401(k)s at Booz Allen Hamilton.
• Workers at Stanley own at least 50 percent of the company.
• How about a 43-percent stock price rise at EOG Resources, where all employees have stock options.
• Intuit offers all new employees stock options.
• Of the 3,558 employees of PCL Construction Enterprise, 2,200 employees own shares in the company, and many received dividend checks last year in excess of their annual salaries.

They reduce the distinctions of rank between top management and those in entry-level positions, and they bar executive dining rooms and exclusive perks for high-level people.

• Everyone gets overtime pay at David Evans & Associates.
• No one earns more than 10 times anyone else at TDIndustries.

They devote attention and resources to creating as pleasant a workplace as possible.

• Because during tax season the workplace is home six days a week for employees of Plante & Moran, management has designed a building with staff in mind: Custom wood stain throughout the entire building, work stations designed by focus groups, each staff member has his or her own space with a nameplate, and in the front lobby a huge assortment of flowers is replaced weekly. Dan Essad, human resources senior manager stated it best when he was interviewed recently by reporter Carol Marshall for the Oakland Business Review: “We care for our clients, we care for our employees, our community, our families, and that caring is reflected in our space.”

They encourage their employees to be active in community service by providing money to organizations in which employees participate.

• Every employee at Intuit receives four days off with pay each year to perform community service.
• Umpqua Bank provides 40 hours of paid time yearly for employees to volunteer in the community.

They help employees to save with matching funds.

• Aflac boasts a 401(k) matching fund.
• Seven and a half percent of salary is offered as profit sharing at Arnold & Porter.
• Genentech bumped up 410(k) match in 2007—100 percent up to 5 percent of pay.
• Here’s quite a bonus from Boston Consulting Group—15 percent of pay deposited in a retirement plan.
• Alcon Laboratories has the richest retirement program in U.S. business with employee contributions matched 2.2 to 1.
• A 15 percent of pay contribution by Russell Investments is part of their automatic profit sharing.

They try not to lay off people without first making an effort to place them in other jobs, either with the company or elsewhere.

• American Express had 6,000 internal job moves last year.
• There’s a no-layoff philosophy at FedEx.

They care about the health of their employees, sometimes providing physical fitness centers and regular exercise and medical programs. (This was a perk provided by too many companies to mention. This is a sampling.)

• Healthways has walking trails, bikes for rent, and easy-to-locate stairways to encourage exercise.
• Certainly this was to be expected—Nike has a decathletes dinner every year.
• Tennis and basketball courts are provided by AstraZenica.
• eBay has hired a full-time staff of personal trainers and nutritionists.
• A pool, cardio room, a racquetball court, putting greens, and horseshoe pits can be found at SAS Institute.
• At Goldman Sachs, where the average salary of $137,000 keeps people financially healthy, you will also find rock climbing, a martial arts boot camp, massage therapy and Pilates. Even with the over-the-top salaries paid here, the company will even outfit you with workout duds.

They expand the skills of their people through training programs and reimbursement of tuition for outside courses.

• Tuition reimbursement of up to $20,000 and bonuses for advanced degrees, which 65 percent of MITRE employees have, makes this a company that encourages learning.
• Let’s not undercut what Station Casinos is doing—free dealers school for staffers wanting to advance and gain new skills.
• Johnson Financial Group offers a graduate tuition reimbursement up to $10,000.

No. 1 is Google, which prides itself on having fun and minting millionaires. The stock just rose above $700 and 99 percent of employees have stock options.

There you have it. So update your resumes and start campaigning for that new job, unless you are fortunate enough to work at one of these extraordinary companies. I’m just pleased that all of you are still working and supporting my social security and Medicare.

P.S. Finally, for those of you who are anal-retentive like me, I did mention in last month’s column that I would report on two recent books, The Three Signs of a Miserable Job (Patrick M. Lencioni, Jossey-Bass, 2007) and one about General Electric—Jacked Up (Bill Lane, McGraw-Hill, 2007). I suspect that some of you have been searching for that. Rest assured that will be in next month’s column. I thought learning about the best companies better served me and you than harping on a miserable job. I hope you agree.

About the author
William J. Kalmar has extensive business experience, including service with a Fortune 500 bank and the Michigan Quality Council, of which he served as director. He has been a member of the Malcolm Baldrige National Quality Board of Overseers and a Baldrige examiner. He’s also been named quality professional of the year by the Detroit Chapter of ASQP. Now semiretired, he’s a freelance writer for the Detroit News; writes a monthly column for Mature Advisor newspaper; is a mystery shopper for several companies; is a frequent presenter and lecturer; does radio voice-overs; and competes in duathlons.

Editor's Note: This article appeared in the March issue of Quality Digest Magazine which can be accessed at: www.qualitydigest.com

Tips for Fighting Identity Theft

Courtesy of North Island Credit Union's Island Business Connection Newsletter, Winter 2008 issue

Nearly 10 million people were victims of identity theft last year and the incident rate is doubling every two to three years. North Island Credit Union encourages its members and other consumers to take steps now to reduce exposure to these crimes that cost the average victim 175 hours of personal time and $1,500 to correct.

One of our sponsoring member credit unions, North Island Credit Union of San Diego, California, recommends that you take several steps to protect your identity. First, make it difficult for criminals to obtain your social security number (SSN), your birth certificate, and all financial information. Treat these items like you would valuable jewelry. If you don't use them, don't carry them around with you. Keep them under lock and key. If someone requests this information in person, by phone, mail, email, or on a web site, you need to determine if it is a legitimate request. It's always better to politely refuse and stand fast in your resistance to share this information. [Note: the American Consumer Council and the California Consumer Council never ask for a member's SSN or checking account information].

If the medical insurance card in your wallet shows your SSN or that of another family member, ask your insurer to provide you with a card that does not contain your SSN. Alternatively, carry a photograph of the insurance card with only the last four digits of your SSN.

Given the number of financial statements, loan documents, and credit offers that arrive in the mail every week, we recommend that you rent a Post Office box, or have a locking mailbox at your home or business for confidential incoming mail. We also encourage our members to be careful with outgoing mail. Take it into the post office. Don't leave outgoing mail with payments and other financial information in an unsecured place. It's better to be safe than sorry.

In terms of paying your bills online, this actually has become one of the safest ways to conduct financial transactions provided the online merchant has encrypted software that prevents hackers from stealing your information in transit. Most of the established online payment systems are able to protect against identity theft thanks to sophisticated firewalls which they built into their software systems.

On that note, always be suspicious of an unsolicited email that asks you to provide any financial information. There are lots of scams out there and it's always better to "junk" these emails or telephone your financial institution (always use the number of the back of your credit card -- never use the the telephone number in the email) first before you ever give out confidential financial information or your SSN. Remember, most reputable financial institutions do not email you asking you to share your confidential financial information.

Also, it's safer to use a credit card than a debit card when buying items online. Also, we recommend that you use one credit card for all of your online transactions since it's easier to track any fraudulent activity this way.

Under federal law, you are entitled to receive a free credit report every 12 months from all three of the major credit bureaus. This includes toll free calls to: Experian, 888-397-3742 -- www.experian.com; Equifax, 800-437-4619 -- www.Equifax.com; and, TransUnion, 800-916-8800 - www.transunion.com Or, you can visit: www.annualcreditreport.com for more information on how to obtain a free credit report.

If you find any questionable charges on your credit report, immediately contact the financial institution or credit card company that processed the transaction to review the charge. Again, use the telephone number on the back of your credit card or credit union statement to contact the appropriate financial institution.

You also can file a complaint with the Federal Trade Commission at toll free: 877-438-4338; www.consumer.gov/idtheft; and, with local law enforcement or the US Postal Inspector. We encourage you to do this since fewer than 60% of identity theft victims do not notify law enforcement of the crime against them.

Finally, we strongly recommend that you shred all outdated financial documents before throwing them in the trash. This includes tax documents, credit card statements, credit union statements, old checks, and expired credit cards.

Remember, the key to protecting your identity is to make it very difficult for thieves to steal it!
For more information, please visit North Island Credit Union's Center at www.myisland.com

Some Unfinished Customer Service Business

by Bill Kalmar

When finalizing my plans for a new year, it’s always gratifying to realize that all previous plans have been completed. As I recently went through this annual process, I noticed several issues affecting customer service and quality that I’d inadvertently left on the back burner. Consider this an early spring cleaning. With 10 inches of snow on the ground here in Michigan, it also prompts me to dream of warm weather and green, luscious golf courses.

Maybe it’s symptomatic of my being a senior citizen, but little things are beginning to aggravate me. As a starter, traipsing through the whole Medicare registration process is a calamitous journey that isn’t for the faint of heart. One needs a cadre of physicians, pharmacists, and legal beagles to assist in the navigation. It’s similar to a take-home exam, except most of the answers are not in the book. One can only hope that when the complicated package is completed, the road taken is a clear path to reduced health care costs and not some side road to confusion and refusal to provide reimbursement. Evidently meeting and exceeding the expectations of customers has yet to reach the Medicare process.

To make matters worse, it’s virtually impossible to contact any of the health care industry so-called “customer service centers” by phone to guide you through this process. Let me explain.

Several weeks ago, my wife, Mary, and I were at a local shopping center when I decided to contact one of these customer service centers. I called an 800-number and spoke to a delightful young lady who gave me the address of a center that was in the vicinity of the mall. Asking for the phone number presented the first impasse—I was told that the center doesn’t accept phone calls. Fair enough. Just give me directions from the mall to the service center because I had no idea how to get there. The delightful young lady had no idea on directions so I again asked for the phone number. This presented the second impasse.

I was politely informed that she wasn’t authorized to release the phone number and neither was anyone else in the office. I then asked for a supervisor and was told that a supervisor would call me shortly on my cell phone.

Mary and I then left the mall and went to a local restaurant for lunch. There we received a phone call from a health care supervisor who reminded me that not even supervisors were allowed to release phone numbers of these customer service centers. Being the politically incorrect person I am, I suggested that the governor’s office has a listed phone number, the White House handles calls, and I even have a 13-digit phone number for the Vatican. “Are the people in the customer service center more important than the Pope?” I asked and was given a polite “No,” but still no phone number. “Don’t the people who work in the office receive phone calls from spouses, children, and relatives?” Again the polite answer was, “I can’t answer that.”

Here’s where it gets zany. The supervisor asked me for the address of the restaurant where we were dining. When I inquired about the reason, she stated that she would provide me with Map Quest directions. After getting the address from a curious hostess who wondered why I needed the address of a location where I was already ensconced, I provided it to the supervisor. Sure enough, five minutes later I received a call back. Her opening words were: “First of all take a right hand turn out of the driveway. And there are eleven other instructions I will give you”.

Wouldn’t you think that just giving me the phone number would have avoided all this? My caustic comment stating “Is this what you do as a supervisor—preparing Map Quests for customers” didn’t sit well with her, but frankly I couldn’t blame her based on my condescending air.

I suggested that maybe a phone number could be provided for all these customer service centers in the state with a recording that states: “We do not accept phone calls but here are our hours and we are located between American Way and Customer Drive just north of Quality Street.” She took it under advisement.

When we finally located the office, the people were personable and professional. Guess what? All of them had phones. Go figure!

While I still have a burr in my saddle blanket, let’s discuss the issue of magazine subscription renewals. For years I have religiously renewed my periodicals after receiving a notice in the mail. I just assumed that it was time to renew. Some of the offers were too enticing to pass up, such as “pay for one year and receive the second year free” or “pay for one year and send a complimentary subscription to a friend.” I guess during these renewal times I neglected to thoroughly examine the mailing label to determine the expiration date.

Just recently I performed this tedious task on several publications I subscribe to and what a shock. One subscription doesn’t expire until the year 2012. It might just outlive me! Maybe I should make it part of my will so that I can pass it on to my children. Whatever the case, you can be sure I will be meticulous in reviewing expiration dates in the future before succumbing to another renewal notice. I realize that this is just part of good customer service but receiving a monthly copy of American Girl long after our children have flown the coop is a bit over the top for me.

Then there are restaurants putting cutesy monikers on restroom doors just to confuse us senior citizens. This seems to happen more frequently in themed restaurants. For instance a recent visit to the restroom in a seafood restaurant became an adventure. One door was marked “grouper” while the other was labeled “tilapia.” I opted for the “grouper” and fortunately made the correct choice.

I have been in restaurants in northern Michigan hunting country labeled “buck” and “doe” or “mallard” and “drake” and that doesn’t distress me. Or a country-dance emporium with “gents” and “gals” is fine. But when I’m under some pressure to enter the confines of commode headquarters is it necessary for me to understand the sexes of other species? I sure hope not.

Several months ago, I was at a restaurant that had clearly labeled the restroom doors as “men” and “ladies.” Just to confuse me, the other side of the door facing into the restroom was labeled “ladies.” Maybe some type of magical transformation was to have taken place inside, and for a moment I was discombobulated and looked around to make sure I was in the presence of other males. In any event, as a senior citizen it may be time to circumvent all these mind boggling choices and just bring a supply of Depends. When I’m searching for a restroom I really think that expecting me to take a quiz is unreasonable. The next time I’m in that situation, maybe the health care supervisor I mentioned previously could provide me with Map Quest directions.

I saw something interesting the other day about my favorite airline—Southwest Airlines. It seems the airline took a third-quarter pretax charge of $25 million for an early-retirement program. Here’s what caught my attention: Of the 8,500 employees eligible for retirement, only 606 accepted the offer. Having followed the culture and accomplishments of this airline for many years, I’d like to think that the majority of employees are extremely satisfied with their jobs and decided to stay on. The other option is that the offer was stingy, but until proven otherwise I can’t fathom that. In my estimation it’s still the best managed, most customer-friendly airline in the skies.

That pretty much clears off my back burner. I’m currently reading two new books: The Three Signs of a Miserable Job (Jossey-Bass, 2007), by Patrick Lencioni, and Jacked Up (McGraw-Hill, 2008), by Bill Lane, who was Jack Welch’s speech writer at General Electric for 20 years. The latter book has some interesting comments about why Welch ushered out Gary Wendt, the former head of GE Capital. Suffice it to say that “flatulence at meetings” isn’t an attribute that was high on Welch’s wish list.

Blog Note: This article appears courtesy of the Author. It also appears in Quality Digest.
Copyright © 2006 QCI International. All rights reserved.
Quality Digest can be reached by phone at (530) 893-4095.

About the Author:
William J. Kalmar has extensive business experience, including service with a Fortune 500 bank and the Michigan Quality Council, of which he served as director. He has been a member of the Malcolm Baldrige National Quality Board of Overseers and a Baldrige examiner. He’s also been named quality professional of the year by the Detroit Chapter of ASQP. Now semi retired, he’s a freelance writer for the Detroit News; writes a monthly column for Mature Advisor newspaper; is a mystery shopper for several companies; is a frequent presenter and lecturer; does radio voice-overs; and competes in duathlons.

Tom Hinton of ACC Assesses Most Profitable Companies

by Tom Hinton

In reviewing the results of the Fortune 500 rankings and profit numbers from the second half of 2006, it might surprise you that many of the most profitable companies are not household names. In fact, none of the top ten companies that posted the biggest percentage increases in profits from 2005 to 2006 are US companies. What’s even more surprising, three of the five companies that had the highest percentage gain in profits during the second half of 2006, are in the food services business.

While the ten most profitable companies in 2006 remain household names (ExxonMobil, Royal Dutch Shell, BP, Citigroup, Bank of America, General Electric, Gazprom, Pfizer, and Chevron), those rankings are certain to shift with the downturn in the US economy. Future financial fortunes are shifting from the US to more prosperous markets in Asia, China, India, and South America.

As the United States struggles through a recession in 2008 -- and Japan, Germany, France, China, and Britain try to avoid getting whipped by the American economic backlash -- investors are looking to top-performing foreign companies that are well-positioned to withstand America’s recessionary fallout.

Here are five companies worth examining based on their profitability, superior customer service, strong global positions, and capable leadership.

At the top of the leader board for most profitable companies in 2006 is Compass Group, a British-based company that is considered the market leader in providing food and a range of selected support services to customers in the workplace. Compass Group ranked Number One in “biggest increase in profits during the second half of 2006 with a whopping percentage increase of over 27,000%. That’s right! Mergers and acquisitions certainly helped Compass Group’s bottom line in 2006.

Edeka Zentrale, which ranked Number Two for the biggest increase in profits for the second half of 2006, is Germany's leading food retailer and wholesaler with more than 13,800 outlets which operate as largely independent retailers supplied by its own regional food wholesalers. Edeka Zentrale enjoyed a 3,000% increase in profits from 2005 to 2006.

Alcan was the third most profitable company during the second half of 2006. Alcan has evolved into one of the globe’s leading suppliers of bauxite, alumina and aluminum, and a top-ranked provider of engineered and packaging materials, delivering increased productivity, competitiveness and profitability to customers around the world.
Alcan has some 68,000 employees, including its joint ventures, in 61 countries and regions. It’s based in Montreal, Canada with 2006 revenues of $23.6 billion and a handsome profit gain of over 1,200% from 2005.

China Life Insurance Company captured the fourth spot with 2006 profit gains of 595% as compared to its 2005 performance. China Life provides annuity products and life insurance to individuals and groups in China. The company offers products and services, such as individual and group life insurance, accident, and health insurance. It distributes its products through its direct sales representatives; agents; intermediaries; and commercial banks, postal savings, and cooperative saving institutions. The company was founded in 1949 and is headquartered in Beijing, China.

In the number five spot is Royal Ahold based in Amsterdam, Netherlands. Ahold is an international group of quality supermarkets with operations in the United States and Europe. Among its US brands are Stop & Shop, Giant Foods, and Peapod.com which provides internet-based shopping and grocery delivery for other brands. Ahold enjoyed a 582% increase in profits in 2006.

While the United States will spend most of this year in a recession as a result of its mismanaged war spending and sagging consumer confidence, there are several financial opportunities on the horizon as more foreign companies emerge as profit leaders in 2008.

About the Author: Tom Hinton is president of the American Consumer Council. Tom is a popular speaker at business conferences and corporate events. He can be reached at tom@americanconsumercouncil.org

Consumer Health Care Interests Are Not Being Served by Health Insurers

by Thomas Hinton

Every week, it seems like there's another sad story in the newspaper, or on the television evening news, about the plight of someone who has been denied vital medical care. I'm talking about American citizens who have health insurance and pay their bills.

Let's review the case of Scott "Scotty" Eveland, a 17-year old senior at Mission Hills High School in Oceanside, California, who was severely injured and paralyzed while playing for his high school football team last fall. While Scotty is making a slow recovery, doctors who are treating him at a San Diego County hospital, are cautiously optimistic about his progress and recommended to Blue Cross of California that he remain at their facility to receive daily physical therapy.

But, Blue Cross of California decided Scotty's care was costing too much money and ordered him moved to another facility. Despite the protests of Scotty's doctors, family, and the Oceanside community, Blue Cross of California refused to change its ruling. The family appealed the health insurer's decision but lost. The have made a final appeal to California state regulators who can -- and should -- overrule Blue Cross of California.

Blue Cross of California noted in its decision that similar care was available at a lower cost, non-medical facility. The family and physicians tending to Scotty strongly disagree. Something tells me they know best since they are involved in his recovery and care every day.

Given this scenario and the gut-wrenching experiences people and patients must suffer through, I must ask the ultimate question: Why is it that health insurers like Blue Cross of California serve as both judge and jury in these matters?

Something is fundamentally wrong here with the health care system and how it is managed. For two years, the American Consumer Council -- along with other consumer-oriented organizations and government agencies -- have rallied against the health care management establishment to challenge the injustices and unfair practices of companies like CIGNA and Blue Cross of California who serve as both judge and jury. In essence, claimants pay their insurance premiums and then, if it suits the whims and financial goals of the health insurers, they decide whether or not people like Scotty recover or remain in a vegetative state. As harsh as it sounds, that's what medical directors and other so-called "health care professionals" are deciding every day. It's a sham!

Is it possible that medical directors, who once swore allegiance to uphold the best care of their patients when taking the Hippocratic Oath (an oath traditionally taken by physicians pertaining to the ethical practice of medicine), have been bought-off by health insurers and compromised in their ability to make unbiased decisions? I think so. How else does one explain their decisions to deny care? Certainly, these men and women are intelligent people. But, it appears they've lost their ability to act rationally and in the best interest of their patient-claimants in order to save their employers a few thousand dollars! Yes, it's really money, but, it's also about the dignity of human life!

When you read the Hippocratic Oath, which dates back to the Fourth Century, and is attributed to the father of medicine, it states unequivocally what is expected of a physician. This includes the medical directors of health insurers who also took this oath:

1. To teach medicine to the sons of my teacher.
   
2. To practice and prescribe to the best of my ability for the good of my patients, and to try to avoid harming them.
   
3. Never to do deliberate harm to anyone for anyone else's interest.
   
4. To avoid violating the morals of my community. (Many licensing agencies will revoke a physician's license for offending the morals of the community).
   
5. To avoid attempting to do things that other specialists can do better.
   
6. To keep the good of the patient as the highest priority.
   
7. To avoid sexual relationships or other inappropriate entanglements with patients and families.
   
   

Clearly, sections 2, 3, and 4 appear to be in question with the continuing care and treatment decisions of certain medical directors of health insurers. This raises some interesting legal questions that consumer groups are exploring. For example, if the "Community" were to sue a health insurer's medical director (or other licensed medical personnel), and a jury found that individual to be guilty of violating their Hippocratic Oath, could the guilty medical director be suspended from practice?

Perhaps it's time for community leaders and families of patients to raise the stakes and organize major boycotts and protests at these companies so that legislators will take action to fix a broken system.

While many health care proposals have been put forward -- including an impractical proposal by Governor Schwarzenegger of California to require all Californians to purchase health insurance -- the ultimate answer, we believe, is for the federal government to adopt a universal health system that provides primary and urgent care for all citizens. Such a plan was introduced by the American Consumer Council and can be viewed at: www.americanconsumercouncil.org

In the final analysis, there must be a national health care program that eliminates health insurers and removes life-and-death decisions from the hands of people who have been compromised in their ability to make unbiased decisions because their allegiance is not to the patient, but rather, a for-profit company that mostly cares about making a profit and not improving the health of the patient.

About the Author. Thomas Hinton is the president of the American Consumer Council and can be reached at tom@americanconsumercouncil.org

Training the Pig to Sing

An old saying has guided me through the years—“Never try to teach a pig to sing. It wastes your time, and it annoys the pig.” A recent article in the Wall Street Journal in the Cubicle Corner section was written by a good friend of mine, Jared Sandberg. In “Bad At Complying? You Might Just Be a Very Bad Listener,” Jared describes a two-day course in the power of listening that he attended. These soft-skill courses—I call them behavioral interventions—have plagued my career for as long as I can remember, and I’ve been trained beyond my intelligence. One of the advantages of my retirement is being removed from those mind-bending courses.

In the above article, Jared describes a situation where the boss is trying to fix someone with training. “There’s fluorescent lighting, stain-resistant carpet, and motivational posters with puppies, elephants, or monkeys.” Is it coming back to you now? Are you having the same heart palpitations I had when I recalled a similar setting?

These behavior-altering courses cover leadership, team building, conflict resolution, how to deal with incorrigible employees, and charting your management style, to name just a few of the sessions designed to improve your thinking.

I don’t want to seem cynical, but, by and large, people’s behavior cannot be altered. And, just for the record, I’m an annoyed pig.

Victims of these courses quickly learn what’s unacceptable behavior and then camouflage their own behavior from then on. Deep-down, nothing has changed. It’s the old “getting along to get along.” Corporate survival dictates that we wholeheartedly absorb all these recommendations, but how many of us have sleep-walked ourselves through these sessions? Let’s see a show of hands. My hand is up.

I’m not talking about training that provides instruction on new products, a new computer system, diversity training, or a whole myriad of areas that one needs to keep pace with technology. I know people who are involved in such training, and I value their contribution to this line of work. Nonetheless, let me provide some examples of fluff training that I think should be relegated to the “cemetery of bad ideas.”

In a previous career I was a trainer and provided some of this fluff. Nothing seems to account for some of the foolishness I dispensed in the name of training.

One of the ridiculous techniques I taught in a course on quality improvement was to have the attendees take off their shoes and then place them on the opposite feet. I’d ask, “Now how do you feel?” They’d say, “It’s awkward,” “It hurts,” “Let’s go back to the old way.” Then I would counter with, “Change is always difficult, and we just want to return to what was more comfortable.” It’s a wonder someone didn’t throw a shoe at me.

A friend of mine who’s nearing retirement recently attended an internal course entitled “Left Brain, Right Brain.” Many people in his department upon seeing the curriculum tried to opt out, but the corporate all–knowing hierarchy indicated otherwise. My friend said that it was a complete waste of time and at the end of the day he didn’t know if he was left-brained logical and objective or right-brained random and intuitive. He just knew that he was brain dead.

How about the team-building exercise where people are asked to fall backwards into the hands of their cohorts to illustrate trust? Here’s one I saw at a major automaker: People were passed through a labyrinth of rope squares by their associates. This was also done to engender trust but other than a couple of rope burns and some unintentional groping it seemed like another candidate for the cemetery of convoluted ideas.

Many years ago, a financial institution I worked for introduced “Grid Training” for management. For a torturous week we were barricaded in a hotel where we had to determine if we were 9-1s, 9-9s, 1-9s or some other number that would indicate our management style. The sessions were brutal and lasted until well after midnight; many people left in disgust. Senior management never indicated how this would improve the company, and it never did. We were all supposed to emerge equally focused on work and the feelings of others. The senior management team comprised the usual number of ogres, and improvement never happened.

In researching this article, I solicited examples of training sessions that left people discombobulated or flummoxed, but not wiser. One corporate elixir that came back repeatedly was training for 360-degree reviews. Most felt that feedback from superiors, peers, and underlings had turned into “I’ll scratch your back if you scratch mine.” As one respondent commented, “If people had been honest with their reviews, it would have been the end of several amicable working relationships”.

Before you conclude that I’ve fallen out of my hammock and hit my head, I’ll admit there are several training sessions that still resonate positively with me, some of a behavioral nature. The three days of training in the Baldrige process is a valuable session that explores in detail the inner workings of companies, starting with leadership and working your way through workforce resources, strategic planning, and concluding with organizational performance results. If you’re accepted as a Baldrige examiner, it’s free.

A course proven to be valuable in interacting with people, particularly for conflict resolution, is “DISC Training,” which provides guidance in the communication style and preferences of others and how to best “flex” to meet the communication needs of those important to you. It’s understanding people as they are and how to work effectively with them.

Through their Leadership Center The Ritz-Carlton offers a variety of courses that provide insights into its culture and philosophy of hiring people with positive attitudes who don’t require any fixing. The center is a resource for organizations interested in benchmarking many of the business practices that led to The Ritz-Carlton becoming a two-time recipient of the Malcolm Baldrige National Quality Award. These are courses that are appropriate for any company interested in raising their customer service to a higher level. The courses also review the elements of developing a strong management team.

Another stellar training organization is the Disney Institute. Removing barriers that inhibit performance excellence is an integral part of the module.

A behavioral training course that still influences me is “The Executive Technique.” This is a two-day course on developing communication skills, such as organizing and delivering a real-life communication from your listener’s perspective, creating visual aids, how to maintain control of difficult question-and-objection situations, and even a session on proper business dress and etiquette.

And I would be remiss if I didn't mention a resource in my backyard, namely Eastern Michigan University which offers a potpourri of multiple-day courses in quality and continuous improvement in their Center for Quality.

Anther friend of mine, Tom Hinton, who is with CRI Global (out of California) summed up the behavioral-training mystery this way:

“Years ago, when we trained clients in the areas of leadership, customer service, and business excellence, they would thank us, pay us, and then go back to business as usual. Today, our clients are engaged in the training process. Today, clients want to know what results they can reasonably expect from their training investment. Leaders also want to know what they need to do on Monday morning to keep the training lessons fresh in the minds of the employees. I think the reason for the change among leaders is two-fold. First, leaders are now more accountable than every before for organizational success. Second, I think most leaders generally want to move their organizations from good to great by creating a culture of excellence.”

Well said!

Tom Peters once said, “You should not train anyone in a topic that he or she cannot implement within the workplace within 72 hours.”

Finally, this comment from a former colleague: “Most management behavioral-training classes are worthless in that they are either inane or the brass does nothing to reinforce the taught behavior.”

There are people like me, who have been trained beyond their intelligence, and there are others like the pigs, who are annoyed even when asked to be in a training session. Rather than spend money and time trying to make attitudinal changes, perhaps the answer is to jettison these recalcitrant, irascible employees from the company. A recent incident chronicled by USA Today brings this into focus and clearly illustrates my point:

“Owning up to its bad management, the City Council in Ashland, Oregon, has decided to throw itself on the civic version of a therapist’s couch. The six-member council, plagued by bickering, sniping, and profanity at its public meetings, agreed to spend $37,000 of taxpayer money for professional help to learn how to get along.”

I can imagine the chaos that will ensue when members are passed though a labyrinth of ropes or asked to fall backwards into the trusting arms of their colleagues. After reading about this organizational meltdown, I’ll take my chances training pigs.

In the meantime, I’ve made the transition into retirement not knowing or caring if I’m left-brain or right-brain, or if I’m a 9-1 or a 9-9. The best part? No more role-playing! Now, if I could just figure out a way to correct the aberration in my feet from wearing my shoes on the opposite foot during the training session...

About the Author:
William J. Kalmar has extensive business experience, including service with a Fortune 500 bank and the Michigan Quality Council, of which he served as director. He has been a member of the Malcolm Baldrige National Quality Board of Overseers and a Baldrige examiner. He’s also been named quality professional of the year by the Detroit Chapter of ASQP. Now semiretired, he’s a freelance writer for the Detroit News; writes a monthly column for Mature Advisor newspaper; is a mystery shopper for several companies; is a frequent presenter and lecturer; does radio voice-overs; and competes in duathlons. He can be reached at Billmarykalmar@aol.com

Consumer Council No Longer Supports Product Safety Commission Chairwoman

The president of the American Consumer Council said today that the head of the US Consumer Product Safety Commission, Nancy Nord, should resign for breaching the trust of consumers. Thomas Hinton, president of ACC, a national consumer education organization, called on Nord to resign for "compromising the Commission's integrity" by accepting lavish travel from manufacturers and trade associations that the Commission regulates.

Hinton said, "the US Consumer Product Safety Commission has one job -- to protect consumers. Chairwoman Nord has betrayed the American consumer and compromised her office. She is no longer credible. She should resign immediately to help restore credibility at the CPSC."

Hinton also called on the CPSC's General Counsel to resign for allowing Commission staff to skirt government regulations that prohibit subsidized travel that creates the appearance of a conflict-of-interest. Hinton added, "By allowing members of the Commission and their staff to travel at the expense of those industries it is supposed to regulate, Nancy Nord and her general counsel have violated the spirit of the law. They should resign or be fired." Nord has ordered an ethics probe of the agency after she was accused of taking "gift travel" from industries regulated by the federal government's consumer product safety watchdog.

"Travel by all employees at the CPSC goes through the agency's painstaking review by the Office of the General Counsel. That process has been in place for 14 years," Nord said in a statement. "Nevertheless, because questions have been raised about the adequacy of these long standing procedures, I am asking the Office of Government Ethics to conduct a complete review of the agency's travel acceptance procedures," Nord's statement added.

Hinton dismissed Nord's explanation saying, "Government officials as Ms. Nord's level should know the difference between right and wrong. Given her lack of judgment, she should resign. We no longer trust her to keep American consumers safe."

A report in the Washington Post accused Nord and her predecessor Hal Stratton of taking 30 trips since 2002, including to China, paid in full or in part by industries whose products are monitored by the CPSC or lobbyists.

"The records show that Nord and Stratton repeatedly accepted gift travel for events from industries subject to CPSC enforcement," the report said.

"The records also detail several trips that were paid for by lawyers who represent manufacturers in product liability lawsuits," it said.

Two of the trips taken by Nord, who like Stratton was appointed by President George W. Bush, were paid for by the Toy Industry Association, whose members are "battling public mistrust over lead in toys made by their Chinese manufacturers," the report said.

The report was published amid a raft of recalls of toys imported from China, which have prompted calls for Nord to resign and the CPSC to be overhauled.

A pending congressional bill that would double CPSC funding, broaden its authority, modernize its facilities, and increase numbers of CPSC workers and safety inspectors at US ports was sent to the Senate last month -- despite Nord's opposition.

"It's clear that Chairwoman Nord is in the lap of the special interest and not the American consumer," Hinton noted. "You cannot have an effective, balanced government agency when its leadership has been compromised."