Creating a Carrot Culture:
The Executive
Recognition Summit
Nancy Koury King
Chief Operating Officer
OPRS
10 Reasons Recognition Matters at OPRS
Top Predictors to
“I am satisfied with my job.”
I often leave work feeling good.
At work my opinions count.
In my job I have the opportunity to do what I do best
every day.
Management cares for employees.
My organization recognizes excellence.
My performance is evaluated in a manner that makes
me feel positive about working here.
.64**
.58**
.58**
.58**
.57**
.57**
Top Predictors to
“I am satisfied with my job.”
I have the opportunity to learn and grow at work.
.56**
My supervisor cares for me as a person.
.55**
My supervisor recognizes excellence.
.55**
My supervisor does a good job of recognizing my
contributions.
.54**
I am given recognition for my job performance.
.54**
Employee Satisfaction and
Health Department Surveys
30
26.6
25
20
18.3
High Employee
Satisfaction
Low Employee
Satisfaction
15
10
5
0
Scope and Severity Points--ODH
“This data screams to our nurse managers,”
says King. “There is an overwhelming
preponderance of evidence that the
recognition initiative works. It results in
overall better patient care, happier nurses,
fewer headaches for our managers and on and
on. It’s a win for everyone.”
Employee Recognition and
Nursing Turnover
70
62
60
50
40
39
30
20
10
0
Nursing Turnover
Organization Recognizes Excellence High
Organization Recognizes Excellence Low
Panel Discussion
Michele Cox, Quest Diagnostic
Joan Kelly, DHL
Amanda Merriman, McLane
Kal Mistry, VITAS Innovative Hospice
Care
“We made the switch from cash awards to gifts
and instituted training. We started with just
one hour of recognition training for our
managers, but they wanted more, so we’re
working on that. Recognition has really begun
to integrate into our culture—engagement is
increasing by the minute.”
Michele Cox, Quest Diagnostics
“Managers are the most important person in an
employee’s life. We train our managers to know
they make the difference. DHL looked at what’s
driving business results and what’s important to the
organization. Those are the things we reinforce all
the way through our recognition initiatives—no
matter where they are.”
Joan Kelly, DHL
“More often than not there’s no one to say good job
when you’re sweating your butt off in Phoenix! That’s
why focused, strategic recognition is so critical for
maintaining the quality of our workforce. We offer
recognition for everything we hope to motivate—
performance, loyalty and even wellness. Our biggest
focus is training—train, train, train!”
Amanda Merriman, McLane
“We can always improve our recognition efforts.
The key is to not become complacent. Recognition
helps us promote our brand internally, where it
matters and where it translates into better services
for our patients. People may have the skills to do a
great job, but we have discovered that without
praise they are not fully engaged.”
Kal Mistry, VITAS Innovative Hospice Care
SHRM HR Business Leader of the Year
Bruce Pfau
Vice Chair Human Resources
KPMG
Inadequate
Capacity
War for
Talent
KPMG’s
Unique
Issues
Sarbanes-Oxley
404
Less-thanPositive
Press
Legal/
Regulatory
Complexities
and Liability
Where We Are 2 Years Later
 Overall headcount is up 9% from last year and almost 12% over last
two years
 Annualized turnover is down over 5 percentage points and at historical
lows
 Experienced hires are 20% ahead of last year and well ahead of plan
 Firmwide offer-to-acceptance ratio is at 85%
 Firmwide, 39% of experienced hires come through employee referrals
 Made nearly 300 new partners and over 60 Direct Entry Partners
Where We Are 2 Years Later
“Overall, I would say KPMG is a great place to work”
Percent Favorable
80%
75%
76%
2005
2006
62%
60%
53%
40%
2003
2004
How Did We Get There – Summer 2005
Leveraged positive
morale momentum
Multiple methods in
place to listen to our
people
HR at the table
Well planned and
executed
communications plan
Outreach to clients
Partner commitment
and sacrifice
Laser-focused
leadership team
Followed through on
all commitments to
employees
“Those locations that use the Encore program
more often have an average turnover rate two
points lower than low-use locations. When you
consider that each point of turnover means $1015 million to the bottom line, it makes the $7
million we’re spending on recognition the least
expensive thing we can do to keep employees.”
Bruce Pfau, KPMG
100 Best Places
for Latinos to Work
Honor Roll
Best Places to Work
Vision Award
Top 10 Companies
for People with Disabilities
25 Noteworthy Companies
David Ulrich
Best-selling Author
The HR Value Proposition
Context: What’s happening in business that is
changing the game
Technology
Connectivity: always connected
Accessibility: no boundaries
Ambiguity: uncertain future
Industry/economic trends
Transparency: open book management
Adaptability: the need to change
Intensity: market conditions
Convergency: overlap of industries
Demographics
Mobility: movement of talent globally
Diversity: globalization of work force
Spirituality: a need for trust and values
G
L
O
B
A
L
I
Z
A
T
I
O
N
Talent Formula:
Competence * Commitment * Contribution
contribution
talent
competence
commitment
Why worry about leadership brand?
Company
P/E ratio of
company for the
past 10 years
P/E ratio of industry
(not counting the firm)
for the past 10 years
Market
Capital
(in Billions)
GE
27.58
12.88
363.61
J&J
26.02
24.42
174.40
Teva
33.25
23.39
28.75
Pepsi
28.75
21.12
7.23
Boeing
23.82
15.83
70.17
Disney
27.15
19.57
70.53
P&G
27.0
21.2
199.29
Lexus (Toyota)
10.40
9.89
231.33
Nordstom
22.98
19.23
13.63
Recognition implications:
Have we linked our recognition to the right standards?
• Talent: individual performance
• Organization: culture from the outside/in
• Leadership brand: connecting customers to employees?
“We have to pay attention and make sure people are being
recognized first and that they are being recognized for the right
stuff.”
David Ulrich
Chester Elton
Senior Vice President
The Carrot Culture Group
One of largest workplace
surveys ever conducted:
• Focus groups
• Interviews
It is
statistically impossible
to be a
trusted,
communicating,
team-building,
goal-setting manager
unless you use
praise and recognition.
Onboarding:
The process to develop
dedicated, productive and
engaged new employees,
who are more likely to stay
and stay committed.
Champions Celebrate!
Best in Class
Celebrate!
Carrot Culture™ Award
Presented by:
Dave Petersen
President, O.C. Tanner
Carrot Culture™ Award 2007:
DHL
Joan Kelly accepts
The Carrot Culture Award
for DHL
Why Attend?
“I appreciate that The Recognition Summit was what it was billed to be—a high
level forum for sharing ideas and getting the practice of recognition right in our
organizations. Personally, I have so many events to choose from, that it is
critically important that I make the most of the events I choose to attend…The
Summit provided me with key takeaways.”
Jeff Shuman
Vice President Human Resources and Corporate Relations
Recipient 2007 Stevie® for Best Human Resources Executive,
American Business Awards
Harris Corporation
Why Attend?
“The Summit is just phenomenal. We have decided to stay an extra day and
do a debriefing on what we’ve learned. We had some ideas before we came,
but now we know how we need to go about getting the recognition results
we’re after.”
“The sessions have been top notch. I now know how to go back and sell
recognition to our CEO and other members of our leadership team and to help
them understand recognition’s value to the organization.”
Camille Chatman, OfficeMax
Why Attend?
“The Summit has been exceptional. I believe that recognition is a
key lever of business. I come to the Summit to actively network and
participate. I believe in the concepts being presented here and plan to
implement many new ideas.”
Larry Callahan, Vice President HR, Norton Healthcare
“We are at the beginning stages of forming a reward program and
came to The Summit to better understand non-monetary rewards. My
aha’s have come from the myriad of little things that companies are
doing at little or no cost that have an impact on employees.”
Rima Dagia, Marsh USA Inc.