Hope this finds everyone healthy and content.

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1 JUNE 2007 IN THIS ISSUE FROM THE TOP STRATEGY & LEADERSHIP Succeeding through Simple Succession Leading Leaders MUSINGS HR 2.0 is on the Horizon From the Top Que paso, Amigos?? Hope this finds everyone healthy and content. The summer is now upon us; in Houston, of course, that means heat and humidity. In the business world, it means that the year is nearly halfway through. Are we ready for that? My business has been good this year. Some of it planned, some of it blind luck. I'm ok with that, if I could just find a way to replicate "blind luck" in my future plans... This newsletter has some interesting material (of course, I would say that now, wouldn't I?), including thoughts on succession planning and the coming "HR 2.0." Both include my thoughts on these things, and offer some suggestions for future events. As usual, there are always new, relevant articles and materials on the website: Interesting pieces on Processes vs. Employees, and identifying "Semi-Stars." Download and read at your leisure. Don't forget to check out my blogs; several recent entries: On Leadership ( includes comments on "Stars" and "Incentives," with commentary on processes, motivation, and knowledge. On HR ( includes information on the new minimum wage and "paying employees to leave..." What??? As always, I hope this finds you well, both personally and professionally. Warm Regards, D. Kevin Berchelmann President Triangle Performance, LLC kevinb@triangleperformance.com

2 Strategy & Leadership Succeeding through Simple Succession -- Did I mention "Simple??" Ok, in the interest of full disclosure, I believe purposeful succession planning to be the real lynchpin of talent management and leadership development. It's the center, the core... the "Sun" among the galaxy of efforts to create more productive organizations. Pretty pathetic, huh? It's all true. Succession planning is "it." All that and more, when done correctly. So, there's this survey... done by a consulting firm, of course. The Institute for Corporate Productivity (i4cp... get it?), where they asked 799 large and small companies (how's that for a control group?) with established succession planning processes, about their future plans. Over 60% said they are planning to "make changes" to their succession efforts in the near future, and over 75% cited the need to integrate succession planning with other talent management processes. Ya think??? The survey firm then wrote that, "It's important to distinguish between succession management and succession planning." Are you kidding me?? This is why consultants get a bad name. Folks, listen to me carefully... there is no difference between Succession Planning, Succession Management, Succession Efforts, and Succession Whoop-te-do. Let's don't complicate a process that we are already too slow to adopt. We've used "Succession Planning" for years; we don't need a new term for it -- we need a new focus on it. All succession planning requires us to "integrate with other talent management processes." Leadership development, management training & development, recruitment practices, performance management... all are part and parcel to a successful succession effort. Further, succession planning is dynamic. It's not a one-time administrative task, fraught with spreadsheets and profiles that make up a binder in the CEO's office -- it's a constantly evolving set of directions for ensuring an organization's continued success, via effective, current leadership, now and into the future. Don't let consultants, and yes, "I are one," complicate the effort or inject new requirements that make the effort seem too large to implement. It doesn't have to be, and it really is essential.

3 Leading Leaders...Is that like 'herding cats?' Leaders leading leaders... "Leadership Cubed." I was recently at a board meeting, and the chair took a few minutes to recognize one of the directors (we'll call her Linda). Instead of typical platitudes and nameless accolades, this chairman instead described this person in the highest possible manner. Taking some time to address the difficulties of leadership, the challenges we face today, and the issues confronting us as we lead our organizations, he finished with the ultimate compliment: "Linda excels at the most difficult -- she's a leader of leaders." Leading is hard, we all know that. Some of us can make it look easier than others, but we know we are just fooling the masses... it's hard, takes work, thought, and purposeful action. Leading an organization can be nearly thankless and fraught with issues -- some trivial, some extreme. The most important thing we do isn't managing earnings, driving new products/services to market, or even finding and developing "A" players (and I've weighed in on my feelings there). The most important thing we do -- defined by significance, impact, and long-term results, is leading leaders. We set the stage, we act as the example, and we provide resources and break down obstacles. Then we get out of their way and let them lead. There is no higher purpose in leading an organization than ensuring your leaders can lead. Help them, nurture them, even get out of their way at times... but lead your leaders. That's how we get where we're going.

4 Musings HR 2.0 is on the Horizon -- Wait, I haven't figured out the old HR yet! I see HR 2.0 as a real phenomenon, but not necessarily an adjunct to Web 2.0; actually, its formative predecessor was likely closer to HR 1.0. HR 2.0, then, could likely be (my opinion) creating and managing a workforce, focusing on an organization's business efforts, and driving real behavioral change -- through a myriad of related strategies -- to effectively attain those organizational goals. It's holistic, combining all elements seamlessly, including Talent Management, Compensation, Development (leadership & employee), and most importantly, needs to focus solely and passionately outward, and stop this senseless attention to the profession's purported need for respect and that ever-elusive "seat at the table." Sorry for the emphasis, but this cannot be overstated. In other words, HR 2.0 may not be at all "about" HR. Wow... In fact, it may not even be led or managed by HR. I've often said that, now that we've elevated HR's importance in the organization, it may just become too important to be left with HR... this isn't a death knell for the profession, of course; more like a warning horn for those intent on making a "profession of the profession." So, if HR 1.0 represents the 'old' next-generation HR -- seats 'at the table,' more business knowledge, let's be 'partners,' et al... What, then might HR 2.0 look like? Surprisingly enough, I have an opinion on this...! First and foremost, it's no longer about "blocking & tackling." The tactical parts of HR -- the process-centric, task-driven elements of benefits administration, payroll processing and paper-shuffling -- need no longer rest in the HR shop. Put 'em where someone both wants to manage them, and is good at it, like the Controller's function. It's simple transaction management there's nothing more to HR administrivia than there is to managing A/P & A/R. Next, prepare for accountability. Real, personal accountability. If task-centric processes, no matter how well performed, won't give HR leaders credibility and respect, what will? Moving the business forward using successful, relevant human capital interventions. No, that's not consultant-speak. It simply means: "Attention HR Executives: Time to do your Job... Your Real job! We don't care if you do things bigger, better, stronger, faster, or even cheaper -- we want you to do things that propel the organization towards its planned success destination.

5 Just some additional thoughts on the coming of HR It will be employee-centric. The only real dynamic asset we have is people, and their inherent ability to be more productive. It will be highly networked. Connections mean a lot, constant communications through social networks and such. Technology-focused. It must be highly flexible. Lots to be said for sound processes, but not when used to the detriment of the better good. It will evolve into truly results-oriented workplaces. Best Buy is a good example, as is Google. HR 2.0 is making its way toward us as we speak. The old ways of doing things cannot survive in a newer workplace. Ready or not, here we come!! 2007 Triangle Performance, LLC