Alexandra Levit's Water Cooler Wisdom

Business Owners: Don't Get Tripped Up By Misclassification

My organization, the Career Advisory Board, which was established in 2010 by DeVry University, recently completed a research study with MBO Partners on the future of independent work.  We were interested in this topic because we had seen statistics that by 2020, nearly half the American workforce will consist of contract workers.

Although organizations are employing increasing numbers of freelance workers, many are not properly schooled on how to classify these workers – which often leads to trouble down the line.  Fortunately, staffing, recruiting and search firm Wunderland has provided these tips for accurately telling the difference between a full-time employee and a contractor.

Self-Employed

• Duration of employment is on a per project basis
• Individual is employed by many companies or other individuals
• Individual uses their own tools and resources to perform work functions
• Individual does not receive training from the company
• Individual does not receive supervision on work hours or requirements
• Individual is compensated per project and the employer does not withhold taxes
• Individual is not eligible for benefits

Company-Employed

• Individual is considered to be a long-term, integral part of the business
• Individual is employed by one company
• Individual uses company tools and resources to perform work functions
• Individual does receive training from the company
• Individual adheres to company policies and requirements
• Individual is compensated hourly or via salary and the employer withholds taxes
• Individual is eligible for benefits

The Misclassification of Workers

According to Wunderland, organizations sometimes think that classifying a full-time employee as a contractor saves them time and eliminates the need to pay taxes and benefits.  Sometimes, they just don’t know better.

So what happens to an organization that misclassifies employees?  Occasionally nothing, but often the IRS finds out.  A misclassified worker can file an anonymous report, or you could arouse attention when you report IC earnings on a 1099 form that look suspiciously like a salary.  Either circumstance could trigger an IRS audit and/or financial penalty, which you certainly do not want.

In addition to IRS problems, misclassification can result in the diminishing of employee trust and company reputation. Employees won’t feel good about working for an organization that doesn’t leverage sound business practices, and if the word were to get out publicly that you aren’t paying employees their due, you could find yourself in the middle of a PR nightmare.  And finally, misclassification could negatively impact culture.

For more of my advice, head over to the SilkRoad blog.

Do You Know What You Do Really Well?

At the SilkRoad annual Connections conference, I heard a great session on driving a purpose-driven culture by Stacie Mallen.

Stacie is a VP of HR for Ulthera, Inc., a manufacturer of a device that is used for non-invasive, non-surgical lifting and tightening of the skin.

Stacie started the session by handing out hedgehogs (stuffed, not real).  She wanted us audience members to think about our purpose in work and life, illustrating what is known as the Hedgehog Concept in Jim Collins’ Good to Great.

Collins told the story of the clever, devious fox and the simple hedgehog.  The wily fox keeps coming up with new ideas to eat the hedgehog, but the hedgehog beats the fox every time by doing his one trick: curling up into a thorny ball. The hedgehog knows what it does really, really well.  It keeps doing it and keeps winning.

I earned a toy hedgehog in the session when I expressed my true purpose as providing concrete guidance to others based on my own work experiences.  I do this well, and I’m most successful when I don’t stray too far from it.

Finding Your True Purpose

Your true purpose is found at the intersection of three things:

• What you are deeply passionate about
• What you can be the best in the world at
• What drives your economic engine

In instructing us how to find purpose – both for ourselves and our organizations – Stacie cited the work of Roy Spence, author of the bestselling book, It’s Not What You Sell, It’s What Your Stand For.  Spence has helped organizations such as Southwest Airlines, BMW, the University of Texas, Wal-Mart, and the Clinton Global Initiative achieve greatness by obsessing about purpose. Southwest Airlines, for example, worked hard not just to lure customers away from older airlines but to also offer affordable air travel, democratizing the skies. Likewise, Wal-Mart brought goods that were once distant luxuries to rural families.

Spence wrote:  “Purpose is a reason for being that goes beyond making money, and it almost always results in making more money than you ever thought possible.  Especially during times of great economic uncertainty, purpose is the key to creating and maintaining a high- performing organization, deserving just as much attention as strategy, execution, and innovation.”

For advice from Stacey on taking action on the organization side, check out the rest of the post at the SilkRoad blog.

What Kind of Culture Are You?

In a session at SilkRoad Connections, Ulthera’s Stacie Madden placed the onus for cultural assessment on HR representatives.  Fortunately, auditing your culture does not have to be an overly complex or expensive proposition.

The Organizational Culture Assessment Instrument is a valid method to examine organizational culture and the desire for change.

University of Michigan business school professors Robert Quinn and Kim Cameron developed the model of the Competing Values Framework, consisting of four Competing Values that correspond to four types of organizational culture.  Every organization has its own mix of these cultures, which include:

Clan Culture

This working environment is a friendly one. People have a lot in common, and it’s similar to a large family. The leaders are seen as mentors (and maybe even father and mother figures to Millennial employees) and the organization is held together by loyalty and tradition. Success is defined within the framework of addressing the needs of the clients and caring for the people. The organization promotes teamwork, participation, and consensus.

Adhocracy Culture

This is a dynamic and creative working environment. Leaders are seen as innovators and risk takers. Experiments and innovation are the bonding materials within the organization. The long-term goal is to grow and create new resources. The availability of new products, services, and technologies is seen as success, and the organization promotes individual initiative and freedom.

For more types of cultures, check out the full post at the SilkRoad blog.

In Today's Business World, It's Adapt or Die

Just how important is adaptability to business or career success? According to a 2013 study by DeVry University’s Career Advisory Board, 93 percent of hiring managers say that senior-level job seekers need to demonstrate the ability to adapt in order to cope with the ever-changing workplace. This type of senior leader—one who has learned how to roll with the punches—is essential to guiding 21st century businesses.

Gallup’s famous StrengthsFinder talent assessment tool, which includes adaptability as a key dimension, defines the trait as "the ability to live in the present, freely and willingly able to respond to the demands and changes of the moment." Adaptable people are flexible and don’t view the future as a set plan or a fixed destination.

But most company cultures today, even small-business ones, aren't as adaptable as they need to be—they're often ruled by the status quo and “standard operating procedure.”

If you run your business with that mentality, you may find yourself encountering more problems than necessary and having a difficult time adapting to market changes. Rapid technological advances have also increased the speed with which you must make key decisions, and relevant changes must be integrated into your business culture if you want to survive.

Take 3D printing, for instance. Once 3D printing becomes part of the  mainstream, manufacturers and their complex networks of suppliers and distributors must start thinking of their work differently if they're to succeed. 

Unfortunately, disruptive technologies like 3D printing are derailing more businesses instead of positively transforming them. Without enough adaptable leaders, businesses are falling behind.

For the rest of the piece, have a look at the full post at the AMEX OpenForum.

What is Your Time Culture?

In her book The Culture Map, global workplace expert Erin Meyer talks about one particular keynote speech she had to give to an audience in Brazil. Her remarks were slated to last 60 minutes, but the client said she could take all the time she needed.

Meyer didn’t quite believe him. After all, during just about any keynote address in America, you can expect a firm index card countdown:

“10 minutes remaining”

“5 minutes remaining”

“2 minutes remaining”

At “0 minutes remaining,” you’d better get off that stage!

Meyer took 65 minutes to give her Brazilian speech and had a great time responding to questions from an appreciative audience. At the end, though, her client said, “It was great, but it ended so early. You certainly could have gone longer—they were loving it!”

Meyer was confused. “But you gave me 60 minutes," she said. "It would be disrespectful to the group if I took more time than pre-scheduled without getting your permission.”

“But in this situation, we are the customer,” the Brazilian replied. “We're paying you to be here. If you see that we have more questions and would like to continue the discussion, isn’t it good customer service to extend the presentation in order to meet our needs?”

What Is Your Time Culture?

This simple anecdote illustrates the enormous impact of differing attitudes toward time in the workplace. And it’s not just a country thing. Every office in the world—large or small—has a unique culture in regards to time and scheduling. For one company, it may be typical to start a meeting 10 or 15 minutes late, while in another, this practice would be frowned upon. Some organizations encourage hour-long lunch breaks, while others subtly expect that employees will eat at their desks unless it’s a special occasion. 

In the classic book, The Dance of Life: The Other Dimension of Time, anthropologist and author Edward T. Hall explained the difference between monochronic (M-time) cultures and polychronic (P-time) cultures. M-time cultures view time as tangible and concrete. “We speak of time as being saved, spent, wasted, lost, made up, crawling, killing and running out," Hall wrote. "These metaphors must be taken seriously.” 

For more where this came from, have a look at the full post at the AMEX OpenForum.

What 3D Printing Means for You

One Tuesday a few weeks ago, I needed a lime green t-shirt for an event that evening. I took time out of my busy day to stop by Gap. No luck. I went to Old Navy. No luck again. Neither store had the exact shade of green I was looking for. I returned home empty-handed.

Imagine if I didn’t need Gap or Old Navy to buy a t-shirt. Imagine if I could create the t-shirt at home instead. That's the promise of 3D printing technology.

A 3D Printing Primer

For those who need a crash course, 3D printing is the process of making three dimensional, solid objects from digital files. To start, one makes a virtual design of the object using a 3D modeling program (for the creation of a totally new object) or a 3D scanner (to copy an existing object). To prepare the file for printing, software slices the final model into horizontal layers. When this prepared file is uploaded in the 3D printer, the printer creates the object layer by layer. The 3D printer reads every slice (or 2D image) and blends each layer together, resulting in a solid, three dimensional object.

A Revolutionary Transformation in Manufacturing

The first consumer 3D printers are just hitting the market now, but this technology’s potential to transform business and work as we know it is mind-blowing. Here’s what Business Insider had to say about it earlier this year:

"3D printing will give rise to thousands of new businesses, new ways of distribution, and new processes of intellectual property management.  It will create an entrepreneurial and financial tidal wave that could one day dwarf the Internet in its scale and disruptive power.

The world will transform from a macro-manufactured supply chain to a micro-manufactured supply chain. And this supply chain will not be thousands of miles long. Rather than one factory producing 10 million toys a month, there could be 10 million factories producing one toy a month."

For more on 3D printing, head over to the full post at the AMEX OpenForum.

Help! My Male Colleague Thinks I'm Too Emotional!

Here's my final DailyWorth.com question.  Hope you all enjoyed this feature!

"I called a senior-level manager to find out why one of my team members did not pass a board certification. When he provided the feedback, I pushed back with strong points. He immediately pulled the girl card. Instead of addressing my issues, he said: `Obviously you are too emotional to talk now. I said I was fine and asked another question, and then he said: `Why don’t we talk when you have calmed down? Would he have talked to a male colleague that way? I don’t think so. By the way, 'pulling the girl card' is making a reaction that would be normal coming from a man seem emotional when coming from a woman."

It’s not fair, is it? I won’t bother to ask the question: “Were you actually overemotional in the interaction?” Because the truth is, there’s no right answer. Overemotionality is in the eye of the beholder and completely subjective. According to Stephanie Shields in an article for the  Review of General Psychology, because men (as the dominant group) determine what is socially acceptable in a given context, women’s natural and more diverse reactions are more likely to be seen as inappropriate. And per a 2007 study by Van Kleef & Cote, the display of inappropriate emotions is associated with decreased influence in workplace relationships.

It’s important to understand that your male colleague isn’t trying to pull the “girl card.” Rather, unconscious bias may be at play here. Unconscious bias is basing one’s response to someone on an assumption about their gender, age, race, etc. Your colleague might treat a man differently, but he probably doesn’t realize it. So telling him he’s pulling the “girl card” isn’t going to help matters and will probably only escalate the situation. 

Next time you’re in a situation like this, here’s what you should do. At the get go, concisely explain the facts, ask questions for clarification and avoid conjecture. Always strive to be assertive, which is defined as expressing your views while respecting those of others. The core of assertiveness is using “I” statements. In this case, an example would be: “I feel that my team member deserved to pass the board certification. Can you help me understand where you think she needs to improve?”

If there are any objective signs that you are upset or stressed out (e.g. you’ve raised your voice, your hands are shaking or tears are pricking at your eyelids), excuse yourself immediately and continue the discussion when you can remain totally calm and rational. Make sure you do not show anger or defensiveness at the male colleague’s comments.

You say above that you “pushed back with strong points,” which indicates that you might have come across like you were on the warpath. Assertiveness differs from aggressiveness in its diplomatic approach and its validation of others’ points of view. Assertive communicators demonstrate empathy rather than chastising others for their behavior or decisions. Even if the two of you never completely see eye to eye, an assertive approach makes it far less likely that a colleague will pull the “girl card.”

 

How to Present Career Longevity on a Resume

Today's post is another question from a DailyWorth.com reader:

“I am 57 years old, and I'm concerned that my resume goes back too far and may be too long. When the high-tech company I worked for went under, I returned to school, got a master's degree in education and began teaching. I worked in the inner city for 10 years and finally burned out and left two years ago. Since then I have been working part-time in grant-funded positions, but want to go back to full-time work. How can I frame my varied experience on a resume and showcase my skills so it’s obvious that I will bring value to a new employer?”

Great question, and the first thing to understand is that you aren’t creating one resume, but many resumes. Especially if you are applying for jobs that involve different types of roles in different fields, you must customize your resume for each open position. The main way to do this is by including the language in the job description.

For instance, if an advertisement requests someone who uses “creative training methods,” make sure you incorporate that exact phrase on your resume for that job. The employer’s applicant tracking system is programmed to hunt for the words in the job description, so putting them in usually ensures your resume will be looked at by an actual human.

You don’t mention whether you’re trying to break into a new field or not; but, either way, look closely at the job description to determine how to list your experience. Since you’ve had a long career, presumably you’ve acquired critical transferable skills such as project management, client relations and sales. Note any skills mentioned in the ad, put those front and center on your resume and don’t forget to add bullets demonstrating how you applied those skills and how your efforts concretely affected the bottom line.

To address your first point, if you are listing every position you’ve held since you graduated from college, your resume may indeed be too long. Depending on the role you’re going after, remove jobs that are irrelevant — or only slightly relevant — to the new position. 

For example, if you are applying for a job in a Fortune 500 company as a VP of training and development, your teaching jobs may be a better fit than your grant-funded job. Your resume should be concise while also telling a coherent story. Your career, just like life in general, might be a bit muddled — but your job as a great resume writer is not to let that show. 

Finally, working well into your sixties and seventies is a reality for most employees today and organizations should feel lucky to get a seasoned Boomer, but nevertheless, age discrimination does exist. For this reason, I’d encourage you not to advertise your age on your resume. Don’t include the date you graduated from college, and if possible, highlight jobs from the last 15-20 years. Refer to sample resumes from your field(s) online to ensure that you are up-to-date with the most current presentation of information.