Why 80% of HR Teams Are Doing Strategic Work Wrong

 

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We spend all our time fixing business workflows, so why is HRs own workflow still broken?

In the most recent HR Leaders Podcast episode, I had an inspiring conversation with Jeffrey Schmitz, Former Chief People Officer at Zebra Technologies.

He explains how his team successfully restructured their entire HR operating model by separating daily tactical operations from long-term talent strategy. By replacing fragmented, manual support with a centralised service hub and self-service workflows, Zebra built a scalable foundation for digital transformation while keeping culture at the centre.

5 things you’ll learn from this episode:

  1. The structural model shift that allowed Zebra to transition from 60 HR Business Partners down to 8

  2. The simple "start at the centre" rule that turned daily support tickets into an operational data goldmine

  3. The non-negotiable tech stack foundation HR teams must build before attempting to deploy AI tools

  4. The single candidate trait Zebra looks for that matters far more than rare technical AI expertise

  5. The culture stewardship strategy Zebra used to navigate a massive M&A carve-out and hybrid work shift

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That is what Arist is building with the first end-to-end AI agent for enablement.

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Its AI agents can interview employees, uncover talent gaps, create personalised learning, and deliver it directly through tools like SMS and MS Teams.

Because the future of enablement will not be built by more content or more manual workflows. It will be built by teams that can spot business needs faster, deliver learning that fits the moment, and prove impact.

With Arist, AI agents become a way to close skills gaps faster, improve performance, and help employees get the right learning before the business has already moved on.

 
 


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There's a lot of things that are changing.


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When I think about the companies I've worked for over the years, I think culture


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and the investment in culture is important.


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And when I think about one of the learnings I've had as I've moved into HR, by the


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way, we don't even call it HR anymore because I think it's kind of a cold way of


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thinking about managing. We call it the people team, and my title is the chief


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people officer, and I think it's a little bit more human than


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HR, and is a little more personable.


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But culture's


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critical, and while the culture needs to be owned and exist in


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everyone, it's got to be stewarded by the people team or


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the HR team. And I think it never goes out of style.


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When people feel like they're part of the culture, they'll stay, and they'll do


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great work, and they'll be engaged, and you can never stop investing in it.


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Jeff, welcome to the show, my friend. How are you?


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Good. Thanks for having me, Chris.


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Yeah. Well, first and foremost, you've got one of the most interesting backgrounds


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so far of the episode, as


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a big fan of many of the things you've got behind you and shows


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on there. So I love the fact that you have them on display to bring a bit of


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yourself to the office. What's your favorite


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thing on the shelf behind you?


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Well, there's lots of good things up there, but I'll hit on two.


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One is, and it's partially a business and a passion, I


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love American football. I'm a Bears fan, which means I've


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had a frustrating few decades.


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But


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Zebra's actually the official player tracker of the NFL, so we have chips in the


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ball.


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Oh, nice.


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In the pads of the players at every NFL


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game, and have so for a good 10 seasons.


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And so that's an exciting thing. So, that's representative of my passion for


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football and also Zebra's interaction and what we do with the NFL.


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And "The Mandalorian," I


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guess I don't like to think of myself as


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a "Star Wars" lover, but I think I'm wrong.


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I think I am, so I-


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Oh, you're in denial. You're one of the people in denial. Okay. I like it.


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I'm denying my love of "Star Wars," but I love "The Mandalorian," and


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a friend of mine sent me this Mandalorian helmet, so that's


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probably the second favorite thing back there.


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Yeah. In my little man cave in my house, I have all of the different


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similar size helmets all the way across the wall.


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Really?


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Yeah. And they all light up. So I was like


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collecting them, and I was like, "Oh, I can just put them all the way across the


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wall now." So when I saw that, I was like, kind of feels like a little bit home


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right there.


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It's very good to have the physical...


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Like when you watch a "Star Wars" episode, the-


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Yes


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... precursor is all the helmets going by.


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And that was my idea. That was my idea exactly.


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Most people wouldn't even understand it if I said that, but you get it.


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So I had that. I have a black wall, like a charcoal wall, and then I have all of


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the helmets with a backlight all the way.


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I never thought I'd say that on the show, but there we go.


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And I never no idea that you had the technology in


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the footballs and the tracking because I've known about your company, a


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long time ago when I used to actually run one of the world's largest supply chain


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and logistics summits. So I used to bring together over 10,000 chief


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supply chain officers.


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Yeah.


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And you guys were one of our sponsors


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back then. This is a long time ago. And a lot of the products and solutions


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that you offer now, when I was looking on the website over the last couple of days,


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I was like, "Wow, how cool it is that the company's evolved since


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I interacted with the business." It's almost night and day.


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So my co-founder,


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he worked with me in the same company.


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He was like, "Oh my God, Zebra Technologies, like the barcode."


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Right.


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So let's get into it anyway.


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Yeah.


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I was geeking out a little bit on that.


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Yeah. So tell everyone a little bit more about your background and your journey to


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where we are now because, like many others, I know you kind of found HR along the


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way


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to-


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Right. Yeah, I don't think if you would've asked me when I graduated college


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way back in 1985, "Hey, are you interested in running


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HR?" I don't think I would've had that on my list of things, but I started out


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as a computer scientist and a computer engineer, and I started my


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career writing code. And I think probably we'll get


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through more of the story and some key learnings along the way, but I started


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there. My curiosity led me to eventually go into product


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management, eventually into marketing.


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I've been a general manager running a P&L.


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I came to Zebra in 2016 to be chief marketing officer,


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and at some point along the way, I asked for, and at some point I got, and there's


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a longer story there, to run HR, and I was running both for a while, and I had a


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choice.


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And they asked me, "Do you want to run marketing? Do you want to run HR?


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You're doing both, but you got to pick one." And I picked HR.


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Yeah. It's so interesting because all three


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areas of your background is really


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the most important aspects of being a HR leader.


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You've got the technical side, which many HR leaders are catching up


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with the age of AI and-


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Mm-hmm


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... and just the overall technological transformation we've been on for the


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last 20 years. The


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way in which


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marketing and HR,


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there's so much crossover, right? That we're seeing there now.


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Especially, I think emerged a lot more during the pandemic when there was a lot


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more communication, personalization in the way we


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already approach marketing for our customers that was looking at it through the


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lens of our employees, that it almost felt like you was meant to be in this role


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to bring it all together.


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Yeah, Chris, you're right. There's definitely some overlap.


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That's the one I point to the most is communications.


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The one that I think I would add to your list is running a business.


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I think running HR


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And understanding that HR is here to support the strategic interest of the


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business, and the most important asset any CEO will tell you they have


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is their people. And so I think having an understanding


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of our business and the impact that people have on the


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business is also important, and I think it's a good backdrop


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to say what HR is doing is about affecting the business.


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It's not HR for HR or the science of HR.


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It's actually to put the right talent in the right places


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to drive the business.


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Yeah.


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And that's the right background.


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I completely agree. My good friend, Dave Ulrich, would always say, "HR is the


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business, and the business is HR."


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Yeah.


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Right. And you have to focus on the business.


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Otherwise, there is no HR, and there is no people.


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There's no company, right?


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Yeah.


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As well. So


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during the transformations, obviously, you've gone through significant digital


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transformation, operational transformation.


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How has the HR function had to evolve in


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tandem to keep up with these constant shifts?


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Yeah. I'll tell you, one of the things that I noticed as a person


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who was in engineering for a while, I was in complex


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engineering processes, is the process related to product


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development is pretty substantial and has grown over the


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years. And it's an orchestration of everyone from manufacturing to


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engineering, to the mechanical engineering, if it's hardware, to the


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software engineering, to the firmware, to the design for manufacturing.


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It includes a lot of people, and it's very complex.


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And one of the things I recognized when I came to HR


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was... And by the way, we were running what I would consider, since you mentioned


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Dave Ulrich, I haven't met


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him, but we were running a classic Ulrich model,


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which with a lot of HR business partners, which you'd think would connect


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us to business, and there's lots of goodness there.


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But what I recognized is


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we were not running in the most effective and


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efficient way. Because by having HR business partners in


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the business, and we had a third of our team doing that, we


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were catering to the needs of individuals, and we weren't always


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sensing what the aggregate needs were because the HR business partners,


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depending on their skills, would do different things at the desire of those


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executives when they were embedded in the business.


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And what I found is we ended up being very reactive.


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We would respond to stimulus, but we weren't proactive.


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We did a lot of things manually, so we put a lot of


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HRBPs, and they did a lot of the work versus the COEs, and we


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also delivered a very inconsistent level of service.


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And so those are some of the problems that I saw with our


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version of the Ulrich model that we were running.


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And


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this is going to be a relatively long answer, but I think it's really important.


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So one of the things I did is I started with a hypothesis.


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We brought in some external help, and we said, my hypothesis was we're


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getting pretty good results, but we're just working way too hard to get it.


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Yeah.


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And we're spending too much of our resources on the transactional, and we're not


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doing enough of the proactive strategic elements of HR,


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and we need to do something different about that.


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And when we benchmarked it out, that's exactly what we found.


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I also had a hypothesis that we weren't spending enough in HR.


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That turned out to be wrong. So it wasn't completely right.


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But it was wrong. And so-


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It was where you were allocating that money.


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Right.


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Yeah.


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And so we


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took on a transformation journey ourselves to say, "Hey, look,


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we want to be guided by a North Star.


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And the North Star has to be how do we have a better manager and employee


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experience? That's got to be our North Star.


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But along the way, we have to find a way to create room to be more strategic


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without spending more money." And what that means is


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we need to be really good at the transactional so that that doesn't take our best


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people to do. We need to be able to sense and listen from


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when we see the different cases coming in. We need to be able to learn from that.


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We need to be able to modify what we're doing. We need to get really good.


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We need to make sure that our technology stack, our organization,


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and our processes are set up to optimize the transactional


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but create room for the strategic, so we can get really


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proactive. We can sense what's happening in the business, and we can start thinking


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about


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what is the workforce we need six months from now, 12 months from now, or


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24 months from now? Where I don't think we spend enough, we haven't spent as much


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time in that. And by the way, I would argue, we also have to teach our


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leaders


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to be more attentive to that. Because the first discussion I had about workforce


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planning with even some of our own leaders in the business that say, "Look, the


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workforce planning I need is you to fill my reqs."


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Right? And that is important.


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Sure.


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But what are the skills we need six months from now?


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That's short-term thinking. Yeah,


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100%. Oh, man, that was so much to take in. I don't even know where to start.


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Okay.


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In a good way. Could you share some practical examples


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of some of the things that you identified


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during that process, and then that you've now changed?


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Yeah. I can pick probably a lot.


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Maybe I'll pick


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a couple for you that I think will be helpful.


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So one of the things that we always had service centers, and we're


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global, and we had service centers around the world.


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But I think what we weren't doing with the service centers is we were doing


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some basic tasks, and I don't think we ever really thought about


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optimizing that function. As part of trying to get


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better at the transactional components, one of the things we did is,


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and this is a huge cultural shift, is we said, "Look, we know most people in the


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business know where their HR business partner is.


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They go to their office from everything from a transaction to a therapy.


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But what we want you to do is we want you to start at what we call start at the


229

00:11:50.720 --> 00:11:52.220

center. Create a case."


230

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And I want a case to go to the service center, even if they can't resolve it,


231

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because I want to see, and I want to sense the trends, and I want to have an early


232

00:12:01.500 --> 00:12:05.440

indication of what are the kinds of problems our employees are having, and I want a


233

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record of that. I'd got no record of that if it went to the HR business partners.


234

00:12:09.180 --> 00:12:12.609

So a huge cultural shift of changing where the first point of


235

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entry is into HR, and then getting really good at making sure that The service


236

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center could answer more questions.


237

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The ones they couldn't, we had a way of tracking and escalating.


238

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We knew how quickly we were responding.


239

00:12:24.552 --> 00:12:28.232

I could manage and set an SLA of how responsive I wanted to


240

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be. That was a huge transformation, and it wasn't just in HR.


241

00:12:32.232 --> 00:12:35.412

It was also how everybody in the business engages with HR.


242

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That's one gigantic change, and I would say that that involved everything


243

00:12:40.812 --> 00:12:44.252

from technology to people to process.


244

00:12:44.332 --> 00:12:47.992

So that probably covered all. Another one we may talk about later is we


245

00:12:48.032 --> 00:12:50.772

wanted to relook at the onboarding process.


246

00:12:51.412 --> 00:12:55.132

And I think for every group, if you looked at Gartner data, you'd find attrition


247

00:12:55.152 --> 00:12:59.112

for most companies is higher in the first few years, and it stabilizes


248

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after that. Why is that?


249

00:13:01.752 --> 00:13:05.392

And some of it's the onboarding process, and it's everything from how you treat


250

00:13:05.452 --> 00:13:08.932

the candidates, to how they onboard, to how they integrate, to how they feel they


251

00:13:08.952 --> 00:13:11.632

belong, to the tasks they get. How do we optimize that better?


252

00:13:11.642 --> 00:13:15.122

And so we did a whole journey mapping of what that looked like


253

00:13:15.152 --> 00:13:19.102

today versus what we want it to look like, and we, again, applied new process,


254

00:13:19.192 --> 00:13:22.452

new technology to improve that. So those are a couple-


255

00:13:22.512 --> 00:13:22.802

Yeah


256

00:13:22.802 --> 00:13:24.312

... wildly different examples.


257

00:13:24.392 --> 00:13:28.172

No. I love that because what it also does is it


258

00:13:28.252 --> 00:13:31.952

also frees up your HR business partners to focus on more value-add


259

00:13:31.992 --> 00:13:32.532

tasks,


260

00:13:33.472 --> 00:13:37.172

rather than being order takers. Because that kind of ends up what's happening,


261

00:13:37.232 --> 00:13:40.142

right? And to your point, it's fragmented feedback,


262

00:13:40.952 --> 00:13:42.711

whereas now you have one source of truth.


263

00:13:42.792 --> 00:13:46.582

You could start to look at the data and then really then make strategic


264

00:13:46.612 --> 00:13:50.412

investments based on that, as opposed to it being spread


265

00:13:50.472 --> 00:13:53.112

everywhere and not being able to do that.


266

00:13:53.172 --> 00:13:53.252

What


267

00:13:54.912 --> 00:13:57.552

feedback did you get from your HR team now?


268

00:13:57.572 --> 00:14:00.312

Because they're going to have to work very differently as well, right?


269

00:14:00.352 --> 00:14:01.632

Themselves.


270

00:14:01.712 --> 00:14:04.702

Look, this is one of the things I always point to is


271

00:14:05.132 --> 00:14:08.612

the hardest thing for humans to do is change,


272

00:14:09.292 --> 00:14:10.172

right? And that's why it's


273

00:14:11.692 --> 00:14:15.492

somebody who's been up and down in weight, or people who struggle


274

00:14:15.552 --> 00:14:18.112

with, "I want to stop smoking." It's really hard.


275

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It's really hard because you need sustained change.


276

00:14:22.062 --> 00:14:24.352

And so change management is critical.


277

00:14:24.872 --> 00:14:28.412

So I would say that we did a couple things that I thought were really


278

00:14:28.432 --> 00:14:28.912

important.


279

00:14:29.932 --> 00:14:33.352

One is, and it's the input we got from Gartner early on, is co-creation.


280

00:14:33.832 --> 00:14:36.552

We're going to change fundamentally the job of the HR business partners.


281

00:14:36.632 --> 00:14:37.792

By the way, we went from


282

00:14:39.052 --> 00:14:42.892

60 down to under 10 HR business partners as part of


283

00:14:42.932 --> 00:14:43.132

this.


284

00:14:44.492 --> 00:14:47.482

And so one of the things we recognized is we had the team to come along.


285

00:14:47.582 --> 00:14:48.892

We needed them to come along with us.


286

00:14:49.212 --> 00:14:49.472

Yeah.


287

00:14:49.482 --> 00:14:49.572

And


288

00:14:50.432 --> 00:14:53.452

the idea of co-creation was important. So we brought people into the process.


289

00:14:53.892 --> 00:14:55.311

By the way, there was both good and bad to this.


290

00:14:55.412 --> 00:14:55.542

I think


291

00:14:56.352 --> 00:14:58.072

the good news is it gave people


292

00:14:58.952 --> 00:15:02.932

a hand in what we were doing and why we were doing it, and I think we communicated


293

00:15:02.972 --> 00:15:05.372

a lot, and they had a lot of say in how this happened.


294

00:15:05.432 --> 00:15:06.932

So it wasn't something I


295

00:15:07.892 --> 00:15:10.392

hope they don't feel was imposed upon them.


296

00:15:11.112 --> 00:15:13.752

They feel like they were part of it.


297

00:15:14.012 --> 00:15:17.732

The bad news on that is it meant they saw it coming along the way, and so


298

00:15:17.792 --> 00:15:21.012

for some people, it wasn't going fast enough, or for some people, they thought it


299

00:15:21.052 --> 00:15:24.172

wasn't real because it took time to do that.


300

00:15:24.252 --> 00:15:28.212

But I think that was one of the most important things that we


301

00:15:28.292 --> 00:15:32.001

did to help people transition. The other thing we did


302

00:15:32.052 --> 00:15:36.001

is some of it was forced, right? By implementing tools or by changing


303

00:15:36.032 --> 00:15:38.392

the organizational structure, we forced some change.


304

00:15:38.812 --> 00:15:41.702

And I'll give you another good example of a decision I think is really


305

00:15:41.732 --> 00:15:45.682

good. Throughout my career, didn't matter what job I've had, what I've


306

00:15:45.732 --> 00:15:48.902

always found is when you have a leader, and I'm not saying it's impossible, it's


307

00:15:48.952 --> 00:15:49.372

just hard,


308

00:15:50.192 --> 00:15:53.882

who owns both strategic and tactical things, it's really hard for


309

00:15:53.912 --> 00:15:57.662

humans. What I find is you're attracted to probably one or the other,


310

00:15:58.032 --> 00:16:01.142

but most of us under pressure will work on the tactical urgent-


311

00:16:01.732 --> 00:16:02.032

Yeah


312

00:16:02.042 --> 00:16:05.272

... and ignore the things that take longer, or are harder, or require more


313

00:16:05.312 --> 00:16:09.222

collaboration. So what we tried to do is actually separate them


314

00:16:09.252 --> 00:16:12.841

organizationally, and I think this has been really


315

00:16:12.892 --> 00:16:16.192

helpful, and it's just playing out, so we'll see.


316

00:16:16.212 --> 00:16:18.812

But one of our key roles of our leaders is what we call talent.


317

00:16:18.832 --> 00:16:22.292

This is what I call the strategic things. So what do they own?


318

00:16:22.352 --> 00:16:23.772

They own


319

00:16:24.692 --> 00:16:26.872

talent acquisition, really strategic.


320

00:16:27.552 --> 00:16:31.292

They own what we call TML, so talent management, learning and development.


321

00:16:31.352 --> 00:16:32.751

How do you develop people?


322

00:16:33.811 --> 00:16:37.612

They also own what we call TSPs now, what was HR business


323

00:16:37.672 --> 00:16:39.212

partners or talent strategy partners.


324

00:16:39.532 --> 00:16:42.932

So these are the people engaged at the highest level, the ELT and their staff.


325

00:16:43.012 --> 00:16:46.392

These are the only HRBP functions we have left, effectively,


326

00:16:47.052 --> 00:16:49.132

and they manage the strategic engagement with them.


327

00:16:50.372 --> 00:16:52.872

That's their primary mission. So they own the strategic.


328

00:16:54.272 --> 00:16:58.172

And the tactical, the other key group, and we have COEs in some other groups, but


329

00:16:58.232 --> 00:17:01.012

on the tactical, they own the service center.


330

00:17:02.192 --> 00:17:06.052

But they also own, and amongst other things, they own the HRIS stack.


331

00:17:06.512 --> 00:17:08.812

Now, you might say, "Boy, that's weird."


332

00:17:09.692 --> 00:17:13.492

The reason I think this is important is we're moving from few


333

00:17:13.633 --> 00:17:16.692

things going through the service center to everything at least starting there.


334

00:17:17.412 --> 00:17:21.072

Secondarily, what I want to see movement is I want to see more of


335

00:17:21.152 --> 00:17:24.732

these transactional elements go from being done


336

00:17:24.792 --> 00:17:28.692

by somebody in the service center to being self-service.


337

00:17:28.732 --> 00:17:32.352

So we created a lot of knowledge articles now that we didn't have before, so people


338

00:17:32.372 --> 00:17:36.292

could self-serve. And eventually, I'd like to automate some


339

00:17:36.352 --> 00:17:39.692

of those capabilities. And so having the HRIS stack


340

00:17:40.372 --> 00:17:43.872

and the service center together is really, really important because it allows one


341

00:17:43.932 --> 00:17:47.842

leader to own the transition of largely manual tasks,


342

00:17:47.842 --> 00:17:51.772

adding the knowledge management, doing the self-service, moving to


343

00:17:51.792 --> 00:17:55.462

automation, and creating the infrastructure for AI.


344

00:17:56.132 --> 00:18:00.072

So without those other components, you can't just point AI


345

00:18:00.112 --> 00:18:00.742

at the wind and hope-


346

00:18:00.752 --> 00:18:02.792

Yeah, you've got the foundation that you've built.


347

00:18:02.812 --> 00:18:06.732

So I think those are some of the important decisions and learnings


348

00:18:06.792 --> 00:18:08.592

along the way. And it's still playing out.


349

00:18:08.792 --> 00:18:08.972

So-


350

00:18:09.392 --> 00:18:12.842

Yeah. I honestly love this because


351

00:18:13.272 --> 00:18:17.112

Shane, who's my co-founder, and I split our roles as founders into those two


352

00:18:17.192 --> 00:18:19.476

areas ... strategic and tactical.


353

00:18:20.116 --> 00:18:22.925

So I'm focused mainly on all the strategic tasks in the organization as a


354

00:18:22.956 --> 00:18:25.796

co-founder, and him on the tactical.


355

00:18:25.856 --> 00:18:29.816

And whereas before we were both doing a bit of both when we first started the


356

00:18:29.876 --> 00:18:31.396

business, maybe in the first five years.


357

00:18:31.916 --> 00:18:35.816

The year that we did that, we 3X'd our revenue. Just that one year.


358

00:18:36.016 --> 00:18:36.026

Wow.


359

00:18:36.036 --> 00:18:37.536

Just by me focusing on...


360

00:18:38.476 --> 00:18:42.456

And also, it was the areas that I excelled in, and also the areas that


361

00:18:42.496 --> 00:18:46.456

he excelled in that gave him energy, and we just broke down each task, each work,


362

00:18:46.836 --> 00:18:47.336

all of the


363

00:18:48.256 --> 00:18:51.776

operational, strategic, everything into those two buckets


364

00:18:52.416 --> 00:18:55.016

that you described. So when you were saying it, I was literally like, "That's us."


365

00:18:55.965 --> 00:18:55.965

Yeah.


366

00:18:55.976 --> 00:18:57.736

That's literally how we run our business.


367

00:18:58.276 --> 00:19:01.776

And it was a game changer, absolute game changer,


368

00:19:02.136 --> 00:19:04.016

for us to look through those two lenses.


369

00:19:04.896 --> 00:19:08.396

So I'm responsible for hiring. On that side, I do the


370

00:19:08.476 --> 00:19:12.426

sales. I drive our sales, the vision of the organization,


371

00:19:12.876 --> 00:19:16.496

whilst Shane's delivering on all of my crazy ideas, as he would always describe,


372

00:19:17.306 --> 00:19:21.176

and bringing them into life and managing our finance and operations and stuff


373

00:19:21.216 --> 00:19:25.056

like that. Right. And I'm just out there really trying to challenge the status


374

00:19:25.096 --> 00:19:26.386

quo, breaking things,


375

00:19:27.216 --> 00:19:29.816

building out. We've just released our own


376

00:19:30.896 --> 00:19:34.806

Atlas Copilot, the world's first AI copilot for HR executives, which


377

00:19:34.856 --> 00:19:38.486

is now being used at companies like Netflix and J&J, and HelloFresh, and


378

00:19:38.516 --> 00:19:41.916

Hyundai to upskill and reskill their HR leaders and their teams.


379

00:19:42.456 --> 00:19:46.216

I never would've had that capability to do that if we didn't set things up


380

00:19:46.636 --> 00:19:47.096

the way we


381

00:19:48.076 --> 00:19:48.706

have it right now.


382

00:19:49.636 --> 00:19:52.796

So really interesting to have that approach.


383

00:19:53.536 --> 00:19:57.196

What were some of the key insights, and maybe surprises, once you


384

00:19:57.316 --> 00:20:01.146

centralized that, that surfaced, that perhaps you and the team didn't


385

00:20:01.196 --> 00:20:01.696

expect


386

00:20:02.836 --> 00:20:03.476

along the way?


387

00:20:04.196 --> 00:20:08.036

Well, let me tell you, the number one thing I was expecting that


388

00:20:08.056 --> 00:20:10.756

I would-- I'm still in shock that this hasn't happened.


389

00:20:10.816 --> 00:20:14.356

So we projected as we made this big change, right?


390

00:20:14.476 --> 00:20:18.196

And it was last year, in North America and Latin America, we said, "Boom, here we


391

00:20:18.256 --> 00:20:21.216

go. Everybody, we've changed the organization.


392

00:20:21.276 --> 00:20:23.936

Now we have fewer HR business partners, now called TSPs.


393

00:20:24.736 --> 00:20:28.006

Start at the center. Everybody come make your cases." The first thing I thought was


394

00:20:28.016 --> 00:20:28.606

going to happen is


395

00:20:29.816 --> 00:20:32.036

my phone was going to be ringing off the hook.


396

00:20:32.456 --> 00:20:32.636

Yeah.


397

00:20:33.216 --> 00:20:34.636

That is actually what I anticipated.


398

00:20:35.876 --> 00:20:37.446

Some of the consultants we used said, "Get ready.


399

00:20:37.676 --> 00:20:40.956

It's going to get bumpy." Some of the other CHROs I talked to who have been through


400

00:20:40.996 --> 00:20:41.776

this and are ahead of me


401

00:20:42.756 --> 00:20:46.136

on this journey said, "Get ready. It's going to be bumpy.


402

00:20:46.536 --> 00:20:50.516

Stick with it. Get some things done." And shockingly, and


403

00:20:50.756 --> 00:20:54.456

I think part of us going slowly, which is not my


404

00:20:54.516 --> 00:20:58.446

normal mode of operation, but going slowly, doing the co-creation,


405

00:20:58.476 --> 00:21:02.036

really planning, having the team do a great job, I think, of


406

00:21:02.076 --> 00:21:02.726

preparing.


407

00:21:03.676 --> 00:21:06.976

I got few of them. In fact, I got more people saying...


408

00:21:08.016 --> 00:21:11.216

I always find it interesting. Some employees said, "I wanted to test the new


409

00:21:11.296 --> 00:21:14.616

system, so I gave them a trick question, and it worked okay." I got emails like


410

00:21:14.676 --> 00:21:17.796

that. I got more positives and very


411

00:21:18.596 --> 00:21:18.936

few


412

00:21:20.716 --> 00:21:24.176

people complaining. And we track very closely.


413

00:21:24.376 --> 00:21:26.976

We built an SLA, how quickly we'd respond to issues.


414

00:21:27.436 --> 00:21:31.016

We've had really good results, like well above


415

00:21:31.216 --> 00:21:33.556

90% meeting SLAs.


416

00:21:34.536 --> 00:21:38.186

So I have to tell you, I've been more surprised by the lack of


417

00:21:38.236 --> 00:21:41.096

bumpiness, and I think that's a good execution by the team.


418

00:21:41.136 --> 00:21:41.296

Yeah.


419

00:21:41.316 --> 00:21:45.236

And good planning by the team. I've been more surprised by that than anything


420

00:21:45.316 --> 00:21:46.236

else.


421

00:21:46.776 --> 00:21:50.086

Based on what you said, I'm not surprised because you did the critical step that


422

00:21:50.116 --> 00:21:52.296

most companies miss, is that you brought people on the journey.


423

00:21:53.336 --> 00:21:55.366

So it's not something that's being done to them, right?


424

00:21:55.396 --> 00:21:58.756

They're part of the journey. They understand this is what it means for Chris


425

00:21:59.556 --> 00:22:02.376

on the journey, and you have to constantly communicate that.


426

00:22:02.456 --> 00:22:03.696

That's not a one-time thing, right?


427

00:22:03.736 --> 00:22:07.576

And you're still going to have to do it now, and continue to do so.


428

00:22:07.656 --> 00:22:11.146

That's one of the main things. If you do that correctly and you communicate that


429

00:22:11.156 --> 00:22:13.906

effectively and often, and do a good job of


430

00:22:14.776 --> 00:22:18.516

communicating that through your frontline managers and ensuring that they're really


431

00:22:18.536 --> 00:22:22.356

driving those conversations, the technology part is not the


432

00:22:22.396 --> 00:22:25.716

challenge. It's the cultural shift and the mindset shift


433

00:22:26.196 --> 00:22:29.086

that happens along the way. And we're seeing the same thing right now with AI,


434

00:22:29.336 --> 00:22:30.046

right?


435

00:22:30.136 --> 00:22:30.816

Yeah.


436

00:22:30.836 --> 00:22:32.896

And that's kind of where you're going next, right?


437

00:22:32.936 --> 00:22:35.756

Having an AI agent that can answer all those questions.


438

00:22:35.896 --> 00:22:36.736

It is coming, right?


439

00:22:36.816 --> 00:22:37.016

Right.


440

00:22:38.336 --> 00:22:38.496

Yeah.


441

00:22:38.536 --> 00:22:42.066

We need to put ourselves in the position to be able to leverage


442

00:22:42.376 --> 00:22:45.556

AI, right? So we had some foundational work to do


443

00:22:46.696 --> 00:22:48.816

to be able to leverage AI. So-


444

00:22:49.296 --> 00:22:49.436

Yeah.


445

00:22:49.696 --> 00:22:49.966

Hope it helps


446

00:22:49.976 --> 00:22:53.896

How has this made you reassess the skills and capabilities that you need


447

00:22:53.936 --> 00:22:55.236

now in your own HR team?


448

00:22:57.936 --> 00:23:01.476

Well, maybe the way to start is probably another thing we expected is,


449

00:23:02.656 --> 00:23:05.896

talking to a lot of CHROs, that we'd have some people opting out of


450

00:23:05.976 --> 00:23:08.556

the organization. We've had very little of that.


451

00:23:08.576 --> 00:23:08.936

And again,


452

00:23:10.396 --> 00:23:13.016

I don't think we've done everything right, so I'm kind of painting a pretty rosy


453

00:23:13.036 --> 00:23:16.156

picture, but I thought we were going to be a lot more attrition.


454

00:23:16.196 --> 00:23:19.756

But I will tell you that I kind of feel the same way I feel about...


455

00:23:19.796 --> 00:23:21.096

Let's talk about AI for a second.


456

00:23:21.136 --> 00:23:21.636

Sure.


457

00:23:21.896 --> 00:23:24.656

And skills we might need in HR.


458

00:23:26.356 --> 00:23:30.256

I've been to a lot of seminars, and there's a lot of great things with


459

00:23:30.296 --> 00:23:31.726

AI, and I think AI is going to change


460

00:23:32.716 --> 00:23:35.356

business and HR fundamentally.


461

00:23:39.416 --> 00:23:42.296

But you have to start with the foundational elements where we're at.


462

00:23:42.716 --> 00:23:45.556

And I would say in terms of skills of people, the same thing applies to HR that


463

00:23:45.596 --> 00:23:47.356

applies to the rest of the business.


464

00:23:47.366 --> 00:23:50.836

So I've seen some studies, both internally and externally, about the people who


465

00:23:50.916 --> 00:23:54.446

are looking at AI and using it. So we've done like a lot of companies.


466

00:23:54.496 --> 00:23:57.886

We have a safe sandbox. We have a set of tools people have access


467

00:23:57.916 --> 00:24:01.826

to. And I think it's important for HR to do a couple things to help.


468

00:24:01.876 --> 00:24:05.326

One is we've been engaging with IT on making sure that we're


469

00:24:05.356 --> 00:24:07.916

promoting and training people on AI.


470

00:24:07.926 --> 00:24:11.916

And what we've found is roughly half the people we


471

00:24:11.956 --> 00:24:15.186

have engage with those tools, and they're interested and they're


472

00:24:15.276 --> 00:24:17.976

curious about AI, and that's awesome.


473

00:24:18.716 --> 00:24:22.175

But there's another half that either, for one reason or another, either


474

00:24:22.236 --> 00:24:24.136

apathy or fear


475

00:24:25.816 --> 00:24:27.956

Of replacing the job, don't engage.


476

00:24:28.776 --> 00:24:30.096

And I think that's a skill.


477

00:24:31.896 --> 00:24:35.796

AI skills, but curiosity of AI are important.


478

00:24:35.866 --> 00:24:39.446

And I think one of the things that I've been noodling on, and we haven't acted on


479

00:24:39.496 --> 00:24:43.416

yet, is how do we make sure that, yes, we train our existing employees, we


480

00:24:43.456 --> 00:24:47.216

give them the tools, and we encourage, but also as we're continuing to do talent


481

00:24:47.256 --> 00:24:50.776

acquisition, how do we make sure that we're hiring those half of the population


482

00:24:50.796 --> 00:24:54.036

that's curious, the half of the population who's played with AI?


483

00:24:54.676 --> 00:24:58.436

There's not enough AI experts out there, but the difference of being curious and


484

00:24:58.516 --> 00:25:00.206

open to how it can help you do your job-


485

00:25:00.456 --> 00:25:00.676

Yeah


486

00:25:00.686 --> 00:25:04.665

... is going to be a big skill because the people who are resistant, the


487

00:25:04.676 --> 00:25:06.276

people who don't want to


488

00:25:07.256 --> 00:25:10.656

engage, that's going to be a problem for any organization, in HR or any other


489

00:25:10.696 --> 00:25:10.976

function.


490

00:25:11.416 --> 00:25:15.256

Yeah. No, you're right. One of the big requests we're getting right now is


491

00:25:15.276 --> 00:25:18.966

actually from our partners, to your point, is to help them build AI onboarding


492

00:25:19.056 --> 00:25:19.536

agents.


493

00:25:20.636 --> 00:25:24.616

And as part of that, they have the data as well to see


494

00:25:25.816 --> 00:25:27.826

when they're onboarding candidate, even pre-boarding,


495

00:25:28.976 --> 00:25:32.806

their competency and their AI literacy that


496

00:25:32.836 --> 00:25:36.716

they have, to do that. And that's going to become a very important data


497

00:25:36.796 --> 00:25:37.036

point


498

00:25:37.896 --> 00:25:41.356

moving forward. And the onboarding


499

00:25:41.436 --> 00:25:45.376

process with our agent then leads directly into


500

00:25:45.416 --> 00:25:48.656

their learning academies that they


501

00:25:48.756 --> 00:25:52.526

have from... So basically, the entire life cycle, all the way through.


502

00:25:52.896 --> 00:25:56.696

And that shows up within their communication tools, whether it's Teams or


503

00:25:56.816 --> 00:25:59.516

Slacks, that there has to be learning in the flow of work.


504

00:26:00.296 --> 00:26:00.676

Mm-hmm.


505

00:26:01.126 --> 00:26:03.236

And the agent has to have the context


506

00:26:04.136 --> 00:26:06.896

of the business strategy, your culture, your values,


507

00:26:07.796 --> 00:26:08.556

all of your


508

00:26:10.436 --> 00:26:13.826

policies and processes, so that when it's interacting with those


509

00:26:14.116 --> 00:26:16.896

employees in the early days, they can get instant answers to their questions.


510

00:26:16.916 --> 00:26:20.896

They maybe didn't want to ask their manager on the first week


511

00:26:20.916 --> 00:26:22.076

these questions, right?


512

00:26:22.086 --> 00:26:22.086

Right.


513

00:26:22.096 --> 00:26:22.876

But they can just ask


514

00:26:23.996 --> 00:26:25.996

an assistant, and they get the answer they need.


515

00:26:26.056 --> 00:26:29.236

And just remove any friction, or uncertainty, or


516

00:26:29.376 --> 00:26:33.276

fear that they may have, but all of the answers are within


517

00:26:33.296 --> 00:26:36.996

the context of your organization that match your culture, your values.


518

00:26:37.036 --> 00:26:39.716

And so, that's taken us a bit of time to build that out.


519

00:26:39.736 --> 00:26:39.885

We're


520

00:26:41.836 --> 00:26:43.856

already starting to see that that's having a massive


521

00:26:43.956 --> 00:26:47.116

increase in the retention of


522

00:26:48.116 --> 00:26:50.276

people leaving early. But back to your point-


523

00:26:50.656 --> 00:26:50.665

Yeah


524

00:26:50.665 --> 00:26:52.005

... of within that first year,


525

00:26:52.896 --> 00:26:56.336

or even earlier than that, we're seeing in the first six months, there's a big


526

00:26:56.416 --> 00:26:59.756

drop-off. And that's costing companies millions


527

00:27:01.216 --> 00:27:04.356

right as they do that. So it's interesting that if you start that from the


528

00:27:04.416 --> 00:27:08.316

pre-boarding stage all the way through and map out those, really those


529

00:27:08.336 --> 00:27:12.036

moments that matter within the context of your organization, not just a


530

00:27:12.076 --> 00:27:13.716

general AI, that doesn't really...


531

00:27:14.536 --> 00:27:18.196

It has to understand who they are, their role, their responsibilities, align that


532

00:27:18.216 --> 00:27:21.445

with the business, the culture, the values, and of course, your policies and


533

00:27:21.516 --> 00:27:24.396

processes and everything. You bring that all together.


534

00:27:24.436 --> 00:27:28.396

It's something we could only dream of, quite frankly, a few years ago to


535

00:27:28.436 --> 00:27:31.676

be able to do that customized to the individual.


536

00:27:31.686 --> 00:27:32.896

The impact of that could be huge, right?


537

00:27:32.956 --> 00:27:36.616

Like you said, think about people are just used to that higher attrition in the


538

00:27:36.656 --> 00:27:39.606

first six months, 12 months, even 24 months.


539

00:27:40.556 --> 00:27:44.516

But there's an incredible cost, not just to TA and the HR


540

00:27:44.576 --> 00:27:48.505

team, but to the business itself because you're cycling people through,


541

00:27:48.536 --> 00:27:50.636

you're spending management time interviewing.


542

00:27:50.736 --> 00:27:51.026

Mm-hmm.


543

00:27:51.076 --> 00:27:54.976

It's an untold, gigantic cost, and I totally agree with


544

00:27:55.036 --> 00:27:58.476

you. The process has to start early of selection.


545

00:27:58.536 --> 00:28:02.096

Are you selecting the people properly?


546

00:28:02.136 --> 00:28:04.005

Are you setting the right expectation?


547

00:28:04.076 --> 00:28:07.556

Because you have to believe that some of those people are leaving, and it's hard to


548

00:28:07.596 --> 00:28:10.956

get good data from exit interviews because people are always kind.


549

00:28:11.356 --> 00:28:12.616

And they don't want to burn the bridge.


550

00:28:12.656 --> 00:28:16.556

And so either personal or some career thing, but somehow there's


551

00:28:16.596 --> 00:28:19.076

not a good match, or they didn't feel like they belonged, and that


552

00:28:21.076 --> 00:28:21.626

needs to be


553

00:28:23.016 --> 00:28:25.316

solved, and that needs to be solved starting with the interview.


554

00:28:25.516 --> 00:28:26.576

You've got to select the right people.


555

00:28:26.636 --> 00:28:30.496

You have to set the right expectation, and then you have to follow through before


556

00:28:30.536 --> 00:28:32.376

their first day and through their first few months.


557

00:28:32.516 --> 00:28:35.476

Yeah. One of the things that we have to do a whole other conversation on this, one


558

00:28:35.516 --> 00:28:38.186

of the data points we was looking at with the team the other day was fascinating


559

00:28:38.256 --> 00:28:41.886

across all of our partners, is we can now aggregate all that data and


560

00:28:41.956 --> 00:28:45.896

see, here are all the top questions and challenges that they're


561

00:28:45.956 --> 00:28:49.856

asking the agent. So we can say, literally, of these


562

00:28:50.056 --> 00:28:53.836

X thousand employees that joined in at this stage of their onboarding,


563

00:28:53.936 --> 00:28:55.456

these are the questions they're asking.


564

00:28:56.436 --> 00:28:59.736

And it's fascinating to see. It's basic stuff,


565

00:29:00.256 --> 00:29:04.006

really basic stuff. One of the most commonly


566

00:29:04.116 --> 00:29:07.526

asked questions in one of our agents for one of the companies was like, "What's the


567

00:29:07.656 --> 00:29:10.796

menu for the canteen food?"


568

00:29:13.616 --> 00:29:17.286

That was one of them. And so now they just embedded


569

00:29:17.286 --> 00:29:20.226

the menu into the agent because-


570

00:29:20.346 --> 00:29:20.346

Wow


571

00:29:20.346 --> 00:29:24.256

... it's such a... I was talking about it sounds trivial,


572

00:29:24.276 --> 00:29:24.836

but people,


573

00:29:26.156 --> 00:29:29.876

it's a way if you can get them using the agent and then give them an excuse to keep


574

00:29:29.916 --> 00:29:32.376

coming back, why not have that information in there?


575

00:29:32.696 --> 00:29:35.326

Because there's another touch point that means that they're going to use it every


576

00:29:35.416 --> 00:29:35.656

day.


577

00:29:36.496 --> 00:29:36.846

Right. Yeah.


578

00:29:36.876 --> 00:29:39.236

And whilst they're in there, they may see a learning pathway.


579

00:29:39.596 --> 00:29:42.896

They may see some content. So it's like


580

00:29:43.616 --> 00:29:47.456

that's the number one way that you're driving... That was actually Nestle.


581

00:29:47.556 --> 00:29:51.156

Gio and Carlo won't mind me saying that because it was on our podcast anyway.


582

00:29:51.196 --> 00:29:54.856

So Nestle have their agent that they rolled out to, was it over


583

00:29:54.936 --> 00:29:58.716

100,000 employees? And the number one question in their agent


584

00:29:58.756 --> 00:30:01.316

is, "What's on the menu today?"


585

00:30:01.336 --> 00:30:02.896

Yeah. They certainly weren't expecting that.


586

00:30:03.036 --> 00:30:04.076

Yeah. I


587

00:30:06.696 --> 00:30:09.356

love the fact you're building this foundation that you've already built, and you're


588

00:30:09.376 --> 00:30:12.716

on the journey. How are you now leveraging that data to look at


589

00:30:13.836 --> 00:30:16.736

personalizing the employee experience and


590

00:30:17.196 --> 00:30:20.376

meet more diverse needs of your employees?


591

00:30:21.516 --> 00:30:23.556

Yeah. I think that when it comes to


592

00:30:24.516 --> 00:30:25.516

personalization


593

00:30:26.484 --> 00:30:28.304

And this is a good overlap with marketing, as you said.


594

00:30:28.904 --> 00:30:32.204

Marketing is becoming more about personal


595

00:30:33.144 --> 00:30:36.244

components of the offer that you're looking for.


596

00:30:37.004 --> 00:30:39.164

You're right to say that the data is


597

00:30:39.984 --> 00:30:43.924

now starting to become available where perhaps we can start to focus on


598

00:30:43.964 --> 00:30:46.984

that personalization. But the starting point for that,


599

00:30:47.844 --> 00:30:51.784

before I can personalize, is I have to make sure that the basic transactions


600

00:30:51.844 --> 00:30:55.434

can be satisfied, and then we can start working


601

00:30:55.504 --> 00:30:59.444

on more of the personalization. So we haven't started, to


602

00:30:59.464 --> 00:31:01.564

be honest with you, trying to personalize the offer.


603

00:31:01.604 --> 00:31:05.494

What I've been trying to do is take all the disparate personal ways that we did


604

00:31:05.564 --> 00:31:08.844

things with humans and said, "How do I answer all the basic questions?" Whether


605

00:31:08.854 --> 00:31:12.733

that's about the canteen food, or it's about what are my benefits,


606

00:31:13.144 --> 00:31:16.664

how do I find a way to get them the information they


607

00:31:16.724 --> 00:31:20.664

need that's transactional as easy as possible to free me up to


608

00:31:20.704 --> 00:31:24.654

start looking at that data, combing through that data, and then


609

00:31:24.724 --> 00:31:26.744

starting to make more personalized offers.


610

00:31:26.784 --> 00:31:30.184

So I think that's a future step for us


611

00:31:31.004 --> 00:31:31.604

at this point.


612

00:31:31.904 --> 00:31:35.584

Yeah. Well, we've spoken about this a little bit already,


613

00:31:35.644 --> 00:31:39.104

but looking ahead, what do you think are the


614

00:31:39.124 --> 00:31:42.964

skills and mindset, and maybe cultural traits, are going to be most


615

00:31:43.004 --> 00:31:46.974

important? Because it feels like we're moving at a pace that I


616

00:31:47.024 --> 00:31:50.784

haven't seen before. Only, what, six months


617

00:31:50.824 --> 00:31:53.464

ago, the role of prompt engineer


618

00:31:54.644 --> 00:31:57.823

was booming. Right? They don't exist anymore because the


619

00:31:58.744 --> 00:32:02.344

LLMs have got so advanced now that you don't need the prompt engineer.


620

00:32:03.144 --> 00:32:03.284

So


621

00:32:04.124 --> 00:32:07.624

I've never seen a skill set and a role come and go so quickly.


622

00:32:07.704 --> 00:32:09.704

So how are you looking at this?


623

00:32:10.584 --> 00:32:11.694

Yeah. I think


624

00:32:13.024 --> 00:32:16.864

this is interesting feedback. So you talk a little bit about what the company


625

00:32:16.904 --> 00:32:19.124

does, what Zebra does, and how it's changing.


626

00:32:19.164 --> 00:32:22.924

And just for the audience, I'll say, you probably see Zebra every day


627

00:32:22.984 --> 00:32:25.104

because if you're in a retail environment or you see-


628

00:32:25.124 --> 00:32:25.714

Yeah, scanners


629

00:32:25.714 --> 00:32:27.924

... one of our scanners or our


630

00:32:28.784 --> 00:32:32.354

biggest product that many people don't think about, if you go to a retail outlet or


631

00:32:32.404 --> 00:32:36.084

you have somebody drop something off at your desk or you're in a United States


632

00:32:36.124 --> 00:32:40.064

postal carrier, you're carrying one of our devices, or if you're signing for your


633

00:32:40.124 --> 00:32:42.524

wine, you're probably signing on a Zebra device, you don't know that.


634

00:32:42.944 --> 00:32:45.184

So when it comes to scanning barcodes, printing barcodes,


635

00:32:47.144 --> 00:32:51.044

or giving a frontline worker a mobile computer so they can better communicate


636

00:32:51.104 --> 00:32:51.404

with


637

00:32:52.384 --> 00:32:53.304

the rest of the staff,


638

00:32:54.184 --> 00:32:56.244

that's normal stuff for Zebra. But


639

00:32:57.204 --> 00:33:00.944

as we think about our why, and I'm a big Simon Sinek fan, yeah, we sit in the


640

00:33:02.864 --> 00:33:06.604

hands of frontline workers today, but when I think about our


641

00:33:06.664 --> 00:33:10.384

why, well, the reason that we exist and our why is how do we really


642

00:33:10.404 --> 00:33:14.224

improve that front line of any business, whether


643

00:33:14.244 --> 00:33:18.014

it's healthcare, manufacturing, transportation, logistics, or retail, our


644

00:33:18.064 --> 00:33:18.654

biggest segment.


645

00:33:19.524 --> 00:33:22.124

How do we make that experience at the frontline better?


646

00:33:22.544 --> 00:33:26.004

We've started getting into different areas, and this has led to different kinds of


647

00:33:26.044 --> 00:33:29.444

talent. So now we are in robotics in


648

00:33:29.484 --> 00:33:33.404

warehouses. We own retail software capabilities that can help


649

00:33:33.444 --> 00:33:37.273

you manage both your inventory and your workforce, so the two biggest


650

00:33:37.304 --> 00:33:40.864

costs for retailers. We're now into machine vision and


651

00:33:40.924 --> 00:33:44.884

manufacturing. So view it as advanced


652

00:33:45.224 --> 00:33:49.204

machine vision or processing of is that


653

00:33:49.244 --> 00:33:51.784

bottle full or has that part been stamped correctly?


654

00:33:52.124 --> 00:33:55.014

So view it as inspection through


655

00:33:56.704 --> 00:33:57.704

video or machine vision.


656

00:33:59.224 --> 00:34:03.144

So what's happened is we've evolved into that satisfying that why


657

00:34:03.204 --> 00:34:07.064

through different methods. I would say we've


658

00:34:07.104 --> 00:34:09.924

learned that there's different talents that pop up as hot talents, just like you


659

00:34:09.944 --> 00:34:12.745

said. Maybe a prompt engineer is something that's really important.


660

00:34:12.765 --> 00:34:16.205

For us, a few years ago, all of a sudden we need robotics engineers, and they were


661

00:34:16.265 --> 00:34:19.995

very much in demand, and they were hard to find, and they were in


662

00:34:20.044 --> 00:34:23.024

certain geos, and they demanded a certain


663

00:34:23.064 --> 00:34:26.455

compensation. And we went, and we worked on that, and we figured out how to solve


664

00:34:26.504 --> 00:34:28.324

that because a robotics engineer may


665

00:34:29.265 --> 00:34:32.754

not think of Zebra. So how do we attract them? How do we build our EVP around them?


666

00:34:33.015 --> 00:34:34.444

How do we have the right compensation?


667

00:34:34.484 --> 00:34:35.194

How do we have the right


668

00:34:36.384 --> 00:34:38.824

way to attract and keep those people was important.


669

00:34:39.205 --> 00:34:42.553

And then as we got into software, cloud native engineers became


670

00:34:42.944 --> 00:34:46.324

really, really important, and someone who'd say, "If I'm a cloud engineer, maybe I


671

00:34:46.384 --> 00:34:50.104

should work for Microsoft Azure, or maybe I should work for Google, or maybe I work


672

00:34:50.165 --> 00:34:53.705

for Amazon. But maybe I'm not thinking about working for a company like Zebra


673

00:34:53.745 --> 00:34:57.714

that's got really cool technology doing really cool stuff." And now


674

00:34:57.764 --> 00:35:01.744

guess what? It's AI, and it's the same problem.


675

00:35:01.824 --> 00:35:03.024

So one of the things that we've


676

00:35:03.964 --> 00:35:05.414

started to work on now is


677

00:35:06.584 --> 00:35:10.244

after we've seen this movie a few times, what's our playbook for what the next-- I


678

00:35:10.284 --> 00:35:13.834

don't know what the next one is going to be, but I know it's going to happen, and I


679

00:35:13.844 --> 00:35:17.614

don't want to relearn that from, or hope that all the people are still around, and


680

00:35:17.644 --> 00:35:19.204

we have the artifacts of what we learned.


681

00:35:19.224 --> 00:35:22.844

We need to start building a playbook around this, and it's something we started to


682

00:35:22.904 --> 00:35:25.484

do. When the next hot thing comes along, what's that playbook?


683

00:35:25.524 --> 00:35:28.394

What have we learned? How do we have a place where we can document those learnings


684

00:35:28.394 --> 00:35:31.264

so we continuously improve when the next big skill comes along?


685

00:35:31.544 --> 00:35:35.524

So I think we've got to start thinking about being more agile and more adaptable


686

00:35:35.604 --> 00:35:39.324

because AI's going to be around for a while. I'm not denying that.


687

00:35:39.364 --> 00:35:43.324

And I'm a huge fan of AI, and I try to use it to my


688

00:35:43.364 --> 00:35:46.024

advantage. But there's going to be the next hot thing-


689

00:35:46.484 --> 00:35:46.494

Yeah


690

00:35:46.494 --> 00:35:49.384

... and the next hot skill. And rather than trying to predict what it is, I want to


691

00:35:49.424 --> 00:35:51.204

be ready no matter what it is.


692

00:35:51.924 --> 00:35:54.884

Yeah, I agree. We all fought the same thing around the internet.


693

00:35:54.924 --> 00:35:57.924

We fought the same thing around social media.


694

00:35:58.344 --> 00:36:02.164

And now AI, I feel like this will


695

00:36:02.264 --> 00:36:03.764

be bigger than both, to be honest-


696

00:36:03.984 --> 00:36:03.994

Yeah


697

00:36:03.994 --> 00:36:05.844

... in terms of the way it fundamentally changes


698

00:36:06.804 --> 00:36:10.484

everything. The way in which work gets done, the way we work, how we work.


699

00:36:11.544 --> 00:36:12.844

I was thinking about this the other day.


700

00:36:12.884 --> 00:36:16.664

My daughter's seven years old, and I can imagine when she's older, she's going to


701

00:36:16.704 --> 00:36:20.544

be like, "So Daddy, you used to go to a place to do work?"


702

00:36:21.496 --> 00:36:21.676

Right?


703

00:36:22.796 --> 00:36:26.516

Or you used to write this down and do


704

00:36:27.316 --> 00:36:30.936

this manually, which is now what we can do with AI, but just by voice.


705

00:36:31.256 --> 00:36:35.236

We're seeing now the trend of, even in our own app,


706

00:36:35.316 --> 00:36:37.916

most people are just talking to our agent now via voice.


707

00:36:38.296 --> 00:36:39.956

It's getting higher every single month.


708

00:36:40.236 --> 00:36:43.756

So people are getting comfortable now just having a conversation


709

00:36:44.336 --> 00:36:48.296

with AI. So by the time she's older, she's probably going to look at what we do now


710

00:36:49.206 --> 00:36:50.236

and find it pretty funny


711

00:36:51.436 --> 00:36:52.536

that we used to do it that way.


712

00:36:52.856 --> 00:36:56.736

It's funny, a good friend of mine, I borrowed some


713

00:36:56.796 --> 00:37:00.536

of his ideas in the past. He did a whole presentation on, and in my


714

00:37:00.596 --> 00:37:03.556

era, I don't know if you're familiar with this cartoon, "The Jetsons."


715

00:37:03.736 --> 00:37:05.696

Yeah, of course. Yeah.


716

00:37:06.316 --> 00:37:09.345

And he did a whole presentation on all the things that were in "The Jetsons" that


717

00:37:09.376 --> 00:37:13.036

have come true. And if you start thinking about this, I think you're


718

00:37:13.076 --> 00:37:16.036

right that you look at natural language processing,


719

00:37:16.756 --> 00:37:18.596

AI, and where it's leading. I


720

00:37:19.696 --> 00:37:23.656

used to watch "Star Trek" before there was something cool like "Star Wars," and the


721

00:37:23.676 --> 00:37:27.256

idea of the computer being all around us, and it's not something


722

00:37:27.696 --> 00:37:31.616

that is necessarily a physical reality, and having


723

00:37:31.656 --> 00:37:35.536

a natural language interaction with them, and then being able to


724

00:37:35.576 --> 00:37:38.936

do agentic things like, "Okay, now that we've had the discussion, go do this,"


725

00:37:40.396 --> 00:37:41.256

we're pretty close.


726

00:37:41.616 --> 00:37:42.256

Yeah.


727

00:37:42.266 --> 00:37:42.266

Close.


728

00:37:42.316 --> 00:37:46.016

Or even I was watching "Iron Man" the other day, and I was


729

00:37:46.076 --> 00:37:48.296

like, "Jarvis is here."


730

00:37:51.336 --> 00:37:53.016

We already have it as well.


731

00:37:53.236 --> 00:37:55.236

All the pieces are here, right?


732

00:37:55.296 --> 00:37:59.256

I know. It's pretty scary. We haven't got flying cars yet, but we'll see.


733

00:37:59.476 --> 00:38:02.716

We're nearly there. They're nearly there. They're working on it.


734

00:38:03.396 --> 00:38:04.736

Listen, Jeff, I could talk to you forever.


735

00:38:04.836 --> 00:38:08.336

Before I let you go, is there anything we missed that you really want to


736

00:38:09.116 --> 00:38:10.896

share that we maybe didn't touch upon?


737

00:38:11.606 --> 00:38:11.746

Well,


738

00:38:13.876 --> 00:38:17.356

boy, we had lots of topics- ... that we didn't get to.


739

00:38:17.536 --> 00:38:21.366

I think I want to hit one, and maybe this is an old world idea,


740

00:38:21.456 --> 00:38:22.156

but I think it's


741

00:38:23.596 --> 00:38:26.416

kind of evergreen, and that's the idea of culture.


742

00:38:27.296 --> 00:38:31.235

And there's a lot of things that are changing how we work, et cetera, and


743

00:38:31.356 --> 00:38:31.365

I


744

00:38:32.276 --> 00:38:35.426

do think when I think about the companies I've worked for over the years, I think


745

00:38:35.456 --> 00:38:38.156

culture and the investment in culture is important.


746

00:38:38.176 --> 00:38:41.585

And when I think about one of the learnings I've had as I've moved into HR,


747

00:38:42.396 --> 00:38:45.036

by the way, we don't even call it HR anymore because I think it's kind of a cold


748

00:38:45.076 --> 00:38:48.876

way of thinking about managing. We call it the people team, and my title is the


749

00:38:48.896 --> 00:38:52.136

chief people officer, and I think it's a little bit more human


750

00:38:52.856 --> 00:38:56.596

than HR and is a little more personable.


751

00:38:57.956 --> 00:39:01.816

But culture's critical. And while the culture


752

00:39:01.836 --> 00:39:05.756

needs to be owned and exist in everyone, it's got to


753

00:39:05.776 --> 00:39:09.716

be stewarded by the people team or the HR team,


754

00:39:09.876 --> 00:39:12.256

and I think it never goes out of style.


755

00:39:12.616 --> 00:39:16.196

I think when people feel like they're part of the


756

00:39:16.256 --> 00:39:16.616

culture,


757

00:39:17.636 --> 00:39:21.596

they'll stay and they'll do great work and they'll be engaged, and you can


758

00:39:21.616 --> 00:39:23.676

never stop investing in it. And


759

00:39:24.736 --> 00:39:24.996

if you


760

00:39:25.856 --> 00:39:28.716

want, I'll give you a little bit of a story if you have a minute.


761

00:39:28.796 --> 00:39:29.256

Yeah, go for it.


762

00:39:30.016 --> 00:39:34.006

In 2014, Little Zebra, that was a barcode printing company at


763

00:39:34.036 --> 00:39:36.646

the time, that started in 1969,


764

00:39:37.876 --> 00:39:40.436

did the hardest kind of M&A you can do, which is a carve-out.


765

00:39:40.476 --> 00:39:43.696

So when you buy a complete company, it's hard, and culture's always the biggest


766

00:39:43.736 --> 00:39:47.256

issue. But when you carve a piece out of a company and you've got to


767

00:39:47.396 --> 00:39:51.156

rip all the interconnections of that other company out and take it on, it's doubly


768

00:39:51.196 --> 00:39:55.076

hard. And in this case, Little Zebra, a billion-dollar revenue


769

00:39:55.176 --> 00:39:59.136

company, did a carve-out of Motorola of their enterprise business that was


770

00:39:59.196 --> 00:40:02.986

two and a half times its size. And I have to give credit to our


771

00:40:03.036 --> 00:40:05.156

CEO at the time, who's now chairman of the board, Anders


772

00:40:05.996 --> 00:40:09.716

Gustafsson, who said he recognized that culture was an issue, and he said, "We're


773

00:40:09.736 --> 00:40:12.276

going to invest in culture. We're going to define our culture.


774

00:40:12.596 --> 00:40:13.836

We're going to define the values,


775

00:40:14.996 --> 00:40:18.256

and we're going to train everybody on it, and we're going to get everyone to do a


776

00:40:18.296 --> 00:40:20.696

face-to-face session on it. We're going to define what our new culture is, because


777

00:40:20.736 --> 00:40:24.576

we have Little Zebra that runs like a much smaller company, and we have people who


778

00:40:24.616 --> 00:40:28.156

are coming out of a gigantic company, and we need to find a way to build our own


779

00:40:28.196 --> 00:40:30.116

culture." And he did that in


780

00:40:32.636 --> 00:40:36.756

2014,


781

00:40:36.816 --> 00:40:40.465

when the acquisition happened. And subsequently, coming out of


782

00:40:40.496 --> 00:40:44.456

COVID, when we realized in 2020, everyone


783

00:40:44.656 --> 00:40:48.006

went home at a snap of a finger, and all of a sudden, a few years later, we started


784

00:40:48.006 --> 00:40:51.996

trying to get people back in the office, and we were never going back to


785

00:40:52.236 --> 00:40:54.376

what we had before. We were in a hybrid environment.


786

00:40:54.776 --> 00:40:58.096

Half the people who had been through the culture training, just through attrition


787

00:40:58.136 --> 00:41:00.426

and growth, weren't here anymore.


788

00:41:00.446 --> 00:41:04.396

The culture needed a reinvigoration, and our new CEO, Bill Burns, when


789

00:41:04.416 --> 00:41:07.286

he came in in 2023, said, "We need to reinvigorate this culture,


790

00:41:08.156 --> 00:41:08.756

and we need to


791

00:41:09.956 --> 00:41:13.796

relook at our values." We had one word, what I call virtues.


792

00:41:14.016 --> 00:41:17.476

How do we turn that into something that's more exciting, and


793

00:41:18.156 --> 00:41:20.756

how do we build the things into it that didn't exist before?


794

00:41:20.796 --> 00:41:23.476

How do we give back to the community? How does that become part of our culture?


795

00:41:23.956 --> 00:41:27.416

How does the customer who didn't exist, how do we bring the customer to life in our


796

00:41:27.456 --> 00:41:29.476

culture? We relooked at our values.


797

00:41:29.736 --> 00:41:32.436

We came up with our real first


798

00:41:33.096 --> 00:41:36.876

stated purpose statement to really define new ways of


799

00:41:36.916 --> 00:41:37.276

working,


800

00:41:38.356 --> 00:41:42.056

and we rolled that out to everybody, and to reinvigorate the


801

00:41:42.136 --> 00:41:43.356

culture. So I would say that


802

00:41:44.876 --> 00:41:46.276

culture is something that


803

00:41:47.476 --> 00:41:50.496

has to be owned by everybody. I define it


804

00:41:51.666 --> 00:41:54.686

in the most organic way possible, which is it's how we treat each other around


805

00:41:54.736 --> 00:41:58.216

here, how we get things done around here, how we treat our customers.


806

00:41:58.236 --> 00:41:59.706

It's got to live and breathe in everyone.


807

00:41:59.716 --> 00:42:03.036

It's not a poster on the wall, and everyone needs to have a common language, and


808

00:42:03.096 --> 00:42:06.996

you really need to invest in it. And the HR or people team


809

00:42:07.056 --> 00:42:10.836

needs to feel the steward of it. And everything we do, whether it's onboarding,


810

00:42:11.056 --> 00:42:14.696

off-boarding, anything in the lifecycle, changes the way people feel about the


811

00:42:14.736 --> 00:42:17.376

company and how we treat each other, and it sets the bar for that.


812

00:42:17.776 --> 00:42:21.556

And so I think culture is the ultimate reason people


813

00:42:21.656 --> 00:42:21.916

stay-


814

00:42:22.436 --> 00:42:22.536

Yeah


815

00:42:22.576 --> 00:42:23.936

... at Zebra, and probably any company.


816

00:42:23.956 --> 00:42:24.056

And


817

00:42:25.676 --> 00:42:28.576

the human resources people need to feel they own it and steward it-


818

00:42:29.468 --> 00:42:33.308

And invest in it, and I just think it's foundational to a great company.


819

00:42:33.388 --> 00:42:34.968

Yeah. I'm so happy you shared that.


820

00:42:35.288 --> 00:42:38.548

I think that's a perfect way to wrap things up, and I completely agree.


821

00:42:38.628 --> 00:42:41.588

I was at my first company from 17 years


822

00:42:41.648 --> 00:42:45.588

old to 27, so for 10 years.


823

00:42:45.688 --> 00:42:45.938

And


824

00:42:46.808 --> 00:42:50.068

I'd never been to school, so I just went straight into work.


825

00:42:50.108 --> 00:42:53.768

And people always ask me, "Why did you stay for 10 years?" Because I had


826

00:42:53.868 --> 00:42:57.668

recruiters calling me every year trying to offer me more money and offer


827

00:42:57.708 --> 00:42:59.768

opportunities. But it was the culture, it was the team.


828

00:42:59.828 --> 00:43:03.428

I really enjoyed going to work and the people that was


829

00:43:03.508 --> 00:43:04.848

around me, and


830

00:43:06.008 --> 00:43:09.808

that was more important to me than an extra few thousand pounds


831

00:43:10.268 --> 00:43:14.068

right? And I'd also built my


832

00:43:14.108 --> 00:43:17.918

own credibility and network and relationships, everything


833

00:43:17.948 --> 00:43:21.708

around that. There's a lot of intangibles, actually,


834

00:43:22.468 --> 00:43:26.288

that you can't really put a name to it, and that's what


835

00:43:26.328 --> 00:43:27.908

kept me there for so long.


836

00:43:29.048 --> 00:43:31.628

And it's quite rare, actually, you see that actually


837

00:43:32.608 --> 00:43:36.428

now. Back when I was younger, it was quite common for people to stay at a


838

00:43:36.488 --> 00:43:40.088

company for 10 years, like the GEs or the Unilevers


839

00:43:40.248 --> 00:43:40.808

or-


840

00:43:40.888 --> 00:43:41.128

Yeah


841

00:43:41.138 --> 00:43:41.138

...


842

00:43:42.508 --> 00:43:46.458

et cetera. Now it's like two years is


843

00:43:46.608 --> 00:43:48.318

a long time, right?


844

00:43:48.828 --> 00:43:49.378

It is. And


845

00:43:50.668 --> 00:43:52.888

that's why I think culture is actually even more important-


846

00:43:52.928 --> 00:43:53.048

Yes


847

00:43:53.068 --> 00:43:54.788

... because there were more obstacles to building it.


848

00:43:55.128 --> 00:43:59.028

How many people have their best friend at work anymore if they're virtual or they


849

00:43:59.048 --> 00:44:02.718

don't come in the office every day? How do you make those connections?


850

00:44:02.728 --> 00:44:05.808

Because I think if work becomes a transaction, if we're all going to just be


851

00:44:05.848 --> 00:44:09.618

contractors and it's just a fee for service, I'm not sure


852

00:44:10.248 --> 00:44:14.188

that's going to be as-- We can talk about engaged employees.


853

00:44:14.248 --> 00:44:16.568

How engaging is it if it's just a transaction?


854

00:44:16.688 --> 00:44:18.748

There's nothing wrong with transactions, but by golly-


855

00:44:19.388 --> 00:44:19.468

Yeah


856

00:44:19.508 --> 00:44:19.808

... you know?


857

00:44:20.428 --> 00:44:22.508

It's one of the reasons why I choose to come in.


858

00:44:23.448 --> 00:44:26.688

We have a remote policy here, but I choose to come in every day


859

00:44:27.508 --> 00:44:29.068

because I just love being around the team.


860

00:44:29.798 --> 00:44:29.798

Me too.


861

00:44:30.288 --> 00:44:33.188

And people, "Oh, well, you're the CEO, you found it.


862

00:44:33.248 --> 00:44:36.108

Why don't you do..." I'm like, "No, that's the opposite." I want to be surrounded


863

00:44:36.148 --> 00:44:39.548

by curious minds. I want to help solve


864

00:44:39.668 --> 00:44:42.887

challenges. I want to be challenged, actually.


865

00:44:43.078 --> 00:44:46.888

It's part of one of the reasons why I come in every day as well.


866

00:44:47.008 --> 00:44:50.988

So listen, we could talk forever, and I really


867

00:44:50.998 --> 00:44:54.648

appreciate what you're doing. And as someone who came across the company very early


868

00:44:54.688 --> 00:44:58.248

in my career when I was in the supply chain world, it's actually incredible,


869

00:44:58.438 --> 00:45:01.728

honestly, what you and the team have achieved to see where you are now.


870

00:45:01.768 --> 00:45:05.668

And I was so surprised when you were sharing examples of where you are now


871

00:45:05.768 --> 00:45:09.508

and where you're heading. Constantly, you clearly have this culture of


872

00:45:09.568 --> 00:45:13.328

curiosity and this innovation and


873

00:45:13.388 --> 00:45:16.037

ability to fail forward and seek disruption.


874

00:45:16.348 --> 00:45:19.658

And part of that, you have to have the people element and the culture and


875

00:45:19.708 --> 00:45:22.428

everything you just described. So congrats to you and the team, and I appreciate


876

00:45:22.448 --> 00:45:24.288

you taking the time to come on.


877

00:45:24.308 --> 00:45:25.688

Thanks for having me, Chris. Really enjoyed it.


878

00:45:25.988 --> 00:45:26.308

It was fun.



Chris RaineyComment