Jose Ruiz

Loyalty is not what it used to be… and it shouldn’t be.

By Jose Ruiz
Translated from articule published in CNNExpansion.com on Dec. 6, 2009

A few weeks ago my grandfather, who was a top ranking executive in the banking industry back in the 80′s, asked me what I thought about the perceived lack of loyalty in today’s employees. He was surprised to see that now, the average time an employee spends working for a company is around 5 years. An uncle, an entrepreneur, quickly responded loaded with sarcasm: “And what do you think about the perceived lack of loyalty in companies? They think short term and fire people when they don’t need them anymore -this month.” Touche. Hey, in the end, it isn’t personal, it’s just business. It may sound cold and ruthless but it’s not. We just need to sit back and analyze some paradigms that have been redefined over the past decades.

To many, especially amid these hard economic times, loyalty has been discarded in the work place. But the truth is, loyalty has only evolved. I’m sure you will agree with me when I say it is crazy to assume that an organization can commit to an employee for life, just as crazy as an employee committing to an organization for life. It could happen under the right conditions, but one cannot assume or guarantee that it will. Things change and they change fast. Organizations and employees need to achieve independence. Now, this may evoke thoughts of selfishness, but it is quite the opposite. Business relationships exist for a mutual benefit. Employment is not an exception. Loyalty is assuming that the relationship can end. Loyalty is taking into consideration what may happen to the other party when it does and loyalty is taking action every step of the way to guarantee that neither party in the relationship becomes dependant. A dependant relationship in business is not a healthy relationship.

The current economic environment has exposed many of these unhealthy relationships. Let’s delve deeper into the concept of dependence using an example: Bill, an employee at ACME, Inc. is a close friend of his manager. He has helped him when unforeseen events have required him to do a little extra of everything. Bill is a go-to guy at ACME and has been rewarded over the years with generous pay increases. The economy has hit ACME hard and has forced the company to close down. Bill is out of work and now struggles to make ends meet. He was presumably loyal and did everything that was asked of him, including jumping from one position to another. Now Bill is in the open market. His post switching did not allow him to define his own niche or career within a discipline -he has no brand- his resume is a mess and his salary expectations are well above what the market will pay for his skill set. Bill was dependant on ACME and ACME never considered what would happen to Bill in an open job market. By not helping him define a career path, (both internally and externally) and overpaying him, Bill was put in a very bad situation. ACME made him dependant and Bill never realized that he was.

Now, let’s assume a scenario where an investor stepped in, ACME re-opened its doors and re-hired Bill. Bill knows that his life style depends on his current job with ACME. The relationship is at a high risk of turning toxic because Bill’s dependence would most likely have an impact on the decisions he makes at ACME. He knows he needs to protect his job. At best, he will make decisions with a higher degree of fear.

A healthy business relationship and true respect comes with the independence of both parties and the trust resulting from it.

 True loyalty in an employment relationship takes into consideration what will happen to the other party when the business relationship ends. A.J. Smith, General Manager for the San Diego Chargers preaches “We are all Chargers one season at a time, one game at a time”.

As an employee, one must consider all the possibilities, including that your job may end at any given moment. Are you ready for it? Do you know what your market value is? Do you know who may demand your services? Ask yourself these questions constantly. If you are taking on a new assignment, inquire how this will impact your personal brand and your resume. No matter what you do, or what your job may be, consider yourself a freelancer and your job as an assignment. Perform as if every assignment was an trial for the next. Above all, never forget that healthy relationships are based on mutual benefit. Push the other party’s benefit to the edge and you may break the relationship. If you guarantee your independence you will become a better employee. Guarantee the independence of those that work for you and you will have more loyal employees and a healthy relationship.

Be independent and be loyal. The new kind of loyal.

About Heidrick & Struggles International, Inc.
The world’s premier provider of senior-level executive search and leadership consulting services. The firm’s executive recruiters and leadership experts operate from principal business centers in North America, Latin America, Europe and Asia Pacific. In Mexico, Heidrick & Struggles operates offices in Mexico City and Monterrey. For more information about Heidrick & Struggles please visit www.heidrick.com 

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Por Jose Ruiz (CNNExpansion.com)

Una relación de negocios sana y de respeto nace con independencia de las partes, afirma José Ruiz; el director de Heidrick & Struggles dice que el empleado debe pensar en su trabajo como un proyecto.

CIUDAD DE MÉXICO — La lealtad no es lo que era antes… ni tiene por que serlo.
Hace unas semanas, mi abuelo, quien fue un alto ejecutivo en el sector bancario en la década de 1980, me preguntó lo que pensaba sobre la falta de lealtad en los empleados de la actualidad.

Él estaba sorprendido de ver que, actualmente, el tiempo promedio que un empleado pasa laborando para una compañía es de alrededor de 5 años.

Ante esto, un tío empresario se apresuró a responder con sarcasmo: “¿Y qué opinas de la falta de lealtad que se percibe hoy en las compañías? Ellas piensan a corto plazo y despiden a la gente cuando ya no la necesita este mes.”

Touché. Hey, al final, no es nada personal, se trata sólo de negocios.

Podría sonar frío y cruel, pero no lo es. Sólo tenemos que pensar y analizar algunos paradigmas que se han redefinido durante las últimas décadas.

Para muchos, especialmente en medio de estos tiempos económicos difíciles, la lealtad es algo que se ha descartado en el trabajo, pero lo cierto es que la lealtad sólo ha evolucionado.

Estoy seguro de que concuerdan conmigo cuando digo que es ilógico asumir que una organización puede comprometerse con un empleado de por vida. Igual de ilógico que un empleado lo haga con la empresa.

Podría darse bajo las condiciones adecuadas, pero no se puede asumir o garantizar que sucederá. Las cosas cambian y lo hacen rápido. Las organizaciones y los empleados deben alcanzar su independencia. Ahora, esto podría evocar la idea de egoísmo, pero es todo lo contrario.

Las relaciones de negocios existen para un beneficio mutuo. El empleo no es la excepción.

La lealtad asume que la relación llega a un fin. Considera lo que podría pasarle a la otra parte cuando esto pasa y toma las medidas necesarias en cada etapa para garantizar que ninguna de las partes en la relación se vuelva dependiente.

Una relación de negocios dependiente no es sana. El entorno económico actual ha evidenciado muchos de estas relaciones poco saludables.

Profundicemos más en el concepto de dependencia usando un ejemplo: Bill, un empleado de ACME, Inc. es amigo cercano de su director. Lo ha ayudado cuando eventos imprevistos lo han requerido para hacer algo extra. Bill es un hombre con iniciativa en ACME y se le ha recompensado durante años con generosos aumentos de sueldo.

La economía ha golpeado fuerte a ACME y la ha obligado a cerrar. Bill está ahora desempleado y batallando para llegar a fin de mes. Él era aparentemente leal e hizo todo lo que se le pidió, incluyendo saltar de un puesto a otro. Ahora Bill está disponible en el mercado. Su cambio de cargos no le permitió definir su propia especialidad o nicho dentro de una disciplina -no tiene marca- su CV es un desorden y sus expectativas salariales están muy por encima de lo que el mercado pagaría por sus capacidades.

Bill se hizo dependiente de ACME y ésta nunca consideró lo que podría pasarle a Bill en un mercado laboral abierto. Al no ayudarle a definir un rumbo en su carrera, (tanto interna como externamente) y al pagarle de más, dejaron a Bill en una muy mala posición.

ACME lo hizo dependiente y Bill nunca se dio cuenta que lo era.

Ahora, pensemos en un escenario donde un inversionista aparece, ACME re-abre sus puertas y re-contrata a Bill. Bill sabe que su estilo de vida depende de su actual empleo con ACME.

La relación corre un alto riesgo de volverse tóxica debido a que la dependencia de Bill muy probablemente tenga un impacto en las decisiones que él tome en ACME. El sabe que necesita proteger su empleo. En el mejor de los casos, tomará decisiones con un mayor grado de temor.

Una relación de negocios sana y un respeto real proviene de la independencia de ambas partes y de la confianza que se deriva de esto.

La verdadera lealtad en una relación de trabajo toma en consideración lo que le pasará a la otra parte cuando la relación se termine.

A.J. Smith, Director General del equipo de los Cargadores de San Diego pregona: “Todos somos Cargadores una temporada a la vez”.

Como empleado, uno debe considerar todas las posibilidades, incluyendo que nuestro trabajo puede terminar en un momento dado. ¿Estamos listos para ello?, ¿sabemos cuál es nuestro valor en el mercado?, ¿quien puede necesitar de nuestros servicios? Haz estas preguntas constantemente.

Si estás empezando con un nuevo nombramiento, pregunta cómo esto podrá impactar tu marca personal y currículum. Sin importar qué hagas, o cuál sea tu trabajo, considérate un empleado freelance y a tu empleo como un proyecto.

Condúcete como si cada proyecto fuera una prueba para el siguiente. Sobre todo, nunca olvides que una relación sana se basa en un beneficio mutuo.

Nunca limites las opciones de alguien y ten cuidado con quienes no las tienen.

Si garantizas tu independencia, sin duda te convertirá en un mejor empleado. Garantiza la independencia de aquellos que trabajan para ti y tendrás empleados más leales.

Tienes que ser independiente y leal. Con una nueva clase de lealtad.

| Articulo en CNNExpansion.com

*El autor es Director de la oficina de Heidrick & Struggles en Monterrey, Nuevo León y es miembro de la práctica Industrial global.  Su experiencia profesional incluye más de 13 años en las áreas de ingeniería y administración de operaciones trabajando para organizaciones de manufactura en los Estados Unidos y México.

Es miembro de la Sociedad de Ingenieros Automotrices (SAE) y la Sociedad de Ingenieros de Manufactura (SME).

Es Ingeniero Mecánico Electricista egresado del Instituto Tecnológico y de Estudios Superiores de Monterrey.

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This report details hedge fund search and recruiting trends, as well as compensation activity and salary and bonus ranges, for the first three quarters of 2009 as funds have sought to re-launch and re-brand themselves in the wake of the economic crisis.

| Download Report in PDF

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It’s not a cliche. Leadership is not about the leader, yet many forget.
By Jose Ruiz

If you collected every single article that defines leadership, you’d probably have reading material for a many years and you’d probably go crazy with ideas and suggestions on how to improve your leadership skills.

Leadership is much like parenting. You can read a lot, you can be taught, you can be mentored and guided, but in the end your leadership style will be unique to your experiences and specific situations. There will seldom be black or white answers. However, just like parenting, the one irrefutable characteristic about true leadership is that it is not about you. Good leadership is not reflected in the leader’s actions, it is reflected in the impact and effect of those actions on the team.

This is not a plea for servant leadership, a humble leader, leading from the back, or leading softly. I believe in that, but I don’t believe a good leader can, or should be that all the time.  A leader should adapt to the environment and what the team needs today without losing sight of what will be needed tomorrow and always preparing for that moment when he or she will no longer be there. Guaranteeing the growth and sustainability of the team and the individuals that comprise it beyond the leader’s time is the ultimate trait of a great leader. In fact, the true success of a leader can not be measured without considering the results of the succession plan.

About Heidrick & Struggles International, Inc.
The world’s premier provider of senior-level executive search and leadership consulting services. The firm’s executive recruiters and leadership experts operate from principal business centers in North America, Latin America, Europe and Asia Pacific. In Mexico, Heidrick & Struggles operates offices in Mexico City and Monterrey. For more information about Heidrick & Struggles please visit www.heidrick.com

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Business trends and the current recession are forever changing the way corporations hire and retain talent.
By Jose Ruiz

Monterrey, Mexico (August 28, 2009).-  These are hard times for finding a new job or making a career transition. The state of the economy and uncertainty has forced many companies to downsize. Yes, downsize. Not rightsize. I don’t hear clients tell us they need to hire 100 people because they are rightsizing. Companies are downsizing and in many cases executing accross the board pay cuts. They have also been forced to rethink their strategic and business plans forcing changes in their talent needs. Requirements and career paths have been forever altered.

In the executive search business we are finding that it’s taking longer than usual for executives to transition and find a new job. It’s frustrating and difficult amid hard times and many executives end up questioning if they might be doing something wrong, if they did something wrong in the past or if they are making mistakes during their job search.  No two individuals are alike and while every case is different there is a broad trend on how corporations are hiring and retaining talent. Understanding those trends can help eliminate frustration.

Short term requirements, speed and reaction time dominate the business environment. Corporations need to plan for shorter horizons building organizations that can execute seamlessly and react quickly while guaranteeing profits and long term sustainability.

Time is money. The need for speed and lower costs has made learning curves unbearable in many business environments and it’s having a profound impact in how corporations hire. It’s not about quick learners. They want executives who have been there, done that and can have an immediate impact.. Executives with the right leadership qualities for the task at hand, industry knowledge, technical experience and proven business success in a similar environment.

Hire for attitude and build aptitude is now relegated to entry level employees. The trend for executives is now hire for attitude, assure aptitude and guarantee success.

Assuring aptitude and guaranteeing success requires a close match and fit at four different levels:

I. A broad cultural fit - Broad cultural fit includes the business and corporate cultures. The culture and business dynamics of a private family owned enterprise tends to be very different from a public global corporation. A broad cultural fit will help guarantee long term success.

II. The “Must Haves” – What we typically see in a job description: Qualifications, experience, knowledge, technical skills and functional competencies. These used to be very broad and have now become very discipline and industry specific. These are key elements to a quick learning curve, a fast start and short term success.

III. A “micro” cultural fit –  The broad cultural fit focuses on a global business and corporate cultural. A micro culture focuses on a regional or site level. At this level it is important to seek a fit in behaviors, leadership and management styles of the immediate team including subordinates.

IV. The task at hand - A position or discipline takes on a different meaning depending on the task at hand. The executive and leadership competencies required for turn-around, growth, a contraction or a stable environment can vary widely. A successful turn-around specialist is seldom the best choice for a stable environment.

A fit at all levels is not easy. Many elements that were once considered intangible are now part of a tangible evaluation process and from the stand point of an executive it’s not about right or wrong, good or bad, it’s simply about fit.

About Heidrick & Struggles International, Inc.
The world’s premier provider of senior-level executive search and leadership consulting services. The firm’s executive recruiters and leadership experts operate from principal business centers in North America, Latin America, Europe and Asia Pacific. In Mexico, Heidrick & Struggles operates offices in Mexico City and Monterrey. For more information about Heidrick & Struggles please visit www.heidrick.com

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Back in 1997 FastCompany published this must read article by Tom Peters in its 10th issue. The article takes on a new meaning in today’s web 2.0 environment. Sites like Facebook, Twitter and the blogsphere are a few of the tools that we currently have to brand ourselves and like Tom puts it: be the CEO of Me Inc.

- Jose

The Brand Called You
by Tom Peters | Fast Company, Issue 10, 1997

Big companies understand the importance of brands. Today, in the Age of the Individual, you have to be your own brand. Here’s what it takes to be the CEO of Me Inc.

It’s a new brand world.

That cross-trainer you’re wearing — one look at the distinctive swoosh on the side tells everyone who’s got you branded. That coffee travel mug you’re carrying — ah, you’re a Starbucks woman! Your T-shirt with the distinctive Champion “C” on the sleeve, the blue jeans with the prominent Levi’s rivets, the watch with the hey-this-certifies-I-made-it icon on the face, your fountain pen with the maker’s symbol crafted into the end …

You’re branded, branded, branded, branded.

It’s time for me — and you — to take a lesson from the big brands, a lesson that’s true for anyone who’s interested in what it takes to stand out and prosper in the new world of work…

| Read Tom’s article here

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America Economia (Agosto 2009)

Por Arly Faundes

Cuando todo parece estar en contra, un buen jefe se vuelve fundamental para las organizaciones. Por ello, las crisis son escenarios privilegiados para descubrir al líder que llevamos dentro.

No es fácil estar en medio de una tormenta y decidir hacia dónde remar. Alguien tiene que guiar al resto para que todos vayan hacia el mismo lado y no termine por hundirse el bote. Ésa es la labor del líder: conseguir que su equipo lo siga y obtener buenos resultados. No sólo porque los demás sean sus subordinados, sino porque realmente confían en él, en su actuar y en que está tomando las decisiones correctas. “Son aquellas personas que tienen credibilidad por lo que hacen”, dice Fernando D’Alezzio, director de Centro de Negocios Pontificia Universidad Católica del Perú (Centrum).

Esto se vuelve aún más fundamental cuando la tormenta es una crisis económica mundial que azota a gran parte de las industrias, el consumo, el empleo. A todo y a todos. “Una característica de un buen líder es adaptarse a la situación en particular que se está viviendo”, afirma José Ruiz, director general de Heidrick & Struggles en Monterrey, empresa de reclutamiento y consultoría en liderazgo.

Según Ruiz, en momentos de crisis, una persona pasa por tres cuestionamientos. Cuando comienza la urgencia, se pregunta: “¿qué está pasando?”. Después de identificar la situación, evalúa: “¿cómo me está afectando, estoy en riesgo?” Y el tercer paso es asimilar la situación y ver qué sigue y qué se debe hacer. Las respuestas a estas interrogantes son las que un buen líder responde tanto para él como para informarlas a todo su equipo.

Por esto la comunicación y la transparencia son clave. Lo importante, dicen los expertos, es disminuir la incertidumbre. “En tiempos de crisis económica son momentos en que los liderazgos se consolidan y duran por mucho tiempo”, agrega Ricardo Aparicio, académico de Ipade, en Ciudad de México.

¿Y cómo han reaccionado los líderes en América Latina? “Hay que aprender mucho de esta lección”, dice D’Alezzio. “Tenemos buenos gerentes, pero no buenos líderes”. Según el académico, falta una visión hacia el bien común. Una visión de largo plazo y que se trabaje más allá de los beneficios para los dueños de la empresa, sino para la sociedad. “El liderazgo no permea toda la organización”, agrega Roberto Cabrera, especialista de la consultora KPMG. “Se toman las decisiones de manera adecuada, pero no se crea una visión ni se comunica”.

| Leer articulo completo en AmericaEconomia.com

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You Corp.
Succeed by applying to your personal life and career the same principals that propel leading corporations.

by Jose Ruiz

The exact definition of business is a matter of debate.  But without getting into much detail or controversy a business is a legally recognized organization designed to provide goods and/or services to consumers.  Formed to earn profit that will increase the wealth of its stake holders and grow the business itself.
 
If you are reading this there is a high probability that you work, you are either an employee or an entrepreneur.  It really does not matter.  In the end, you do something (your product) and someone pays for it.  People who surround you or depend on you such as your wife, kids, parents are affected by how you do it and what you get. They, along with you, are stake holders. I’m pretty sure that you and your stake holders have felt the need to increase your wealth. You are a business.
 
Working in executive search I speak to many managers and directors from Fortune 500 organizations. They are masters of business strategy and execution yet, most of the time, I get a strange look if not a blank stare when I ask how they have applied those concepts to their person and how they have used those concepts to get to where they are. I truly can’t say they got there by chance. But I’m also not sure it was always something that was planned and mapped out. There are moments in time which change the course of events, alter the paths of your career and change your professional life. Some are positive and some are negative and for most of us the majority of these events are unexpected.
 
When I ask people who have had successful careers what the secret is, the most common response is “hard work and perseverance”. Check! You won’t be successful without them. But I also know many people who have worked hard, been relentless and have fallen short of their goals. There are no guarantees that you will be successful and achieve all of your goals, but I bet you can increase your chances by applying the same business concepts great corporations use. You might already work for one and apply them everyday, you just might not be applying them to yourself.
 
Identify and understand your stakeholders
People who surround you or depend on you such as your wife, kids, parents are affected by how you do it and what you get. What are their needs today and what will they be tomorrow? Your needs and those of your other stakeholders should be your big objective.
 
Know, understand and develop your product/service 
Know what makes you valuable and think about how your current job or activities will affect that value. In the end, your employer is your client. How many potential clients do you have? Be strategic. Everything you do should be part of the creation of a unique and valuable position. A good strategy may require you to make trade-offs – Your resources are limited. Choosing what not to do is just as important as choosing what to do.
 
Create and propel your personal brand
Yes, you are a brand. Distinguish yourself and make sure you never forget that perceptions matter. People remember you and what you are by what you do and what you reflect. Work on a positive brand.
 
Apply The Hedgehog Concept (Simplicity within the Three Circles)
Good-to-Great companies do what they can do best (as opposed to what they want to do best), what they are deeply passionate about, and they focus on what drives their economic engine.
 
Be effective: Plan and execute seamlessly
Know where you want to go, plan how you are going to get there and when. Be visionary. Spot trends but stay focused and constantly reassess everything.
 
Focus, document and measure relentlessly
Use a central score board and share it with your stakeholders. Goals slip when progress is not being measured…and measured against time. Set milestones at frequent intervals. When gaps occur, question what went wrong and apply corrective actions.
 
Be ruthless with resources and stay financially flexible
We live in a world of cycles. Recessions and economic crisis will happen and most likely a few times in our lifetime. Be prepared, don’t lose focus and be sustainable. Plan long term.
 
Don’t B.S. yourself
B.S. your clients or your stakeholders and it will have an impact on your personal brand. B.S. yourself and you will be on a direct path to failure. Believe your own B.S. and you are done.

Jose Ruizis a Principal in Heidrick & Struggles’ Monterrey office. As an executive recruiter he has worked on executive search projects for multinational clients in industrial sectors and consumer markets. He can be reached at +52 (818) 8625-6521 or jruiz@heidrick.com

About Heidrick & Struggles International, Inc.
The world’s premier provider of senior-level executive search and leadership consulting services. The firm’s executive recruiters and leadership experts operate from principal business centers in North America, Latin America, Europe and Asia Pacific. In Mexico, Heidrick & Struggles operates offices in Mexico City and Monterrey. For more information about Heidrick & Struggles please visit www.heidrick.com

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¿Qué hace a un buen lider en tiempos de crisis económica?

ERIAC Capital Humano - La Revista del Ejecutivo de Recursos Humanos

Num 46 | Mayo-Junio 2009

Por Jose Ruiz 

[Read Article] [Download PDF]

Jose Ruiz is a Principal in Heidrick & Struggles’ Monterrey office. As an executive recruiter he has worked on executive search projects for multinational clients in industrial sectors and consumer markets. He can be reached at +52 (818) 8625-6521 or jruiz@heidrick.com

About Heidrick & Struggles International, Inc.
The world’s premier provider of senior-level executive search and leadership consulting services. The firm’s executive recruiters and leadership experts operate from principal business centers in North America, Latin America, Europe and Asia Pacific. In Mexico, Heidrick & Struggles operates offices in Mexico City and Monterrey. For more information about Heidrick & Struggles please visit www.heidrick.com

Leadership ERIAC, Jose Ruiz, Monterrey

Celebrating its 50th anniversary this year, the AESC (Association of Executive Search Consultants) recently marked the occasion with its annual conference in New York City, themed Globalization: The Leadership Challenge. In recognition of this milestone anniversary, there was a special Gala Dinner honoring search industry leaders past and present, including our very own, Roger Stoy (New York).

The presentations and panel discussions explored the leadership challenge in this new era of globalization. Joined by other CEOs from the executive search industry, Kevin Kelly, Heidrick & Struggles’ CEO, participated in a lively panel discussion focusing on the demand for executive search, the effects of globalization on the industry and how we operate, the pros and cons of the traditional retained executive search business model and the future of advisory services offerings.

Almost no one’s looking to fill top jobs right now–except banks, and no one wants to work for them. …Part of the problem is a “supply and demand issue,” said Kevin. “People don’t want to take the jobs that are available as CEOs of financial service companies.”

Discussing the possible threat of social-networking websites and other job sites to the executive search industry, Peter Felix, the association’s president commented, “I don’t want to be completely cavalier, but LinkedIn is terrific for what it does, but it doesn’t do senior-level assessment and recruiting. I am convinced there is a need for high-quality, high-touch, highly professional service at this level of management.”

The AESC’s annual conference provides high caliber content and top level attendees from the worldwide executive search industry.

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