Predicting company misconduct before it even happens … really?

Researchers from the Harvard and Tilburg Business Schools think they’ve found a method to do just that.

One of the research techniques that has sprung up in the era of online engagement and interactivity is “mining” reader comments — then analyzing the granular data to discern their wider implications for companies and brands.

One way this happens is by analyzing the words that employees use to describe their own companies on review sites. Doing so can provide clues as to what’s going on inside these companies that others can’t discovers based on forward-facing reporting about the organizations in the business or news press.

Underscoring this point, a study conducted jointly by researchers at Harvard Business School and the Tilburg School of Economics and Management in The Netherlands has found that such information extracted from employee-review websites like Glassdoor.com is helpful in being able to predict potential misconduct beyond other observable factors such as a firm’s financial performance and  industry risk analysis.

The correlating factors revolve around employee observations concerning the environments in which they work – factors like:

  • Company culture
  • Company operations
  • Control practices
  • Performance pressures

Negative or critical comments made within these broad categories contribute to weighing the risk for corporate misconduct.  Business management professor Dennis Campbell of the Harvard Business School notes that the “tone at the bottom” revealed by such comments can be a good early-warning signal of potential misconduct.

“Our theory is that what leads people to commit misconduct is actually the environment they are in,” adds Ruidi Shang, the Tilburg professor heading up the research team.

The Harvard/Tilburg study sifted through information from anonymous reviews of publicly traded U.S. companies that had been posted on Glassdoor.com over a nine-year period between 2008 and 2017.  Focusing on nearly 1,500 companies that had been the subject of ten or more review entries each over the period, by comparing keywords in the comments to actual corporate misconduct cases brought against public U.S. firms over the same period, direct correlations were found between the statements and the companies that were later found guilty of misconduct.

The researchers discovered that certain terms and phrases used by employees in their comments correlate highly to misconduct cases – terms like bureaucracy, compliance, favoritism, harassment, hostile and strict.  Such terms came up disproportionately more frequently in the discussions and comments.

Of course, such analyses are rough measures at best.  Because the researchers drew comparisons between the comments and the corporate misconduct based only on cases that the U.S. government pursued, the methodology would have missed misconduct wasn’t known (or pursued) by the government.  But as for providing “directional indicators,” the methodology seems to be a valid approach. I think we could see it being employed by Wall Street analysts as part of efforts to predict threats to future financial performance – and other potential problems — based on what the granular data reveals.

More details on the study and its findings can be read in this report.

E-mail response time expectations: “The faster the better.”

e-mail inbox managementEver since the advent of e-mail communications, there’s tended to be a feeling that correspondence sent via this mode of delivery is generally more “pressing” than correspondence delivered the old-fashioned way via postal mail.

After all, people don’t call postal mail “snail mail” for nothing.

At the same time, one would think that the proliferation of e-mail volumes and the today’s reality of groaning inboxes might be causing an adjustment of thinking.

Surely, most of the e-mail doesn’t need a quick response, does it?

If 80% or more of today’s e-mail is the equivalent of the junk mail that used to fill our inbox trays in the office in the “bad old days,” why wouldn’t we begin to think of e-mail in the same terms?

But a new survey of workers appears to throw cold water on that notion.

The survey of ~1,500 adults was conducted by MailTime, Inc., the developer of a smartphone e-mail app of the same name.  The survey found that a majority of respondents (~52%) expect a response to their work-related e-mail communiqués within 24 hours of hitting the send button.

Moreover, nearly 20% expect a response in 12 hours or less.

While the survey encompassed just users of MailTime’s app, the findings are likely not all that different for office workers as a whole.

Why is that?  I think it’s because, in recent years, the e-mail stream has become more “instant” rather than less.

Back in the early days of e-mail, I can recall that many of my work colleagues checked their e-mail inboxes three times during the day:  early in the morning, over the lunch hour, and as they were wrapping up their workday.

That’s all out the window now.  Most people have their e-mail alerts set for “instantaneous” or for every five or ten minutes.

With practices like that being so commonplace, it’s little wonder that people expect to hear a response in short order.

And if a response isn’t forthcoming, it’s only natural to think one of three things:

  • The e-mail never made it to the recipient’s inbox.
  • The recipient is on vacation, out sick, or otherwise indisposed.
  • The recipient is ignoring you.

I think there’s an additional dynamic at work, too.  In my years in business, I’ve seen e-mail evolve to becoming the “first line of contact” — even among colleagues who are situated in the same office.  Younger workers especially eschew personal interaction — and even phone contact — as modes of communication that are needlessly inefficient.

Of course, I can think of many instances where e-communications can actually contribute to inefficiencies, whereas a good, old-fashioned phone call would have cut to the chase so much more easily and quickly.

But even with that negative aspect, there’s no denying the value of having a record of communications, which e-mail automatically provides.

And here’s another thing:  MailTime estimates that around two-thirds of all e-mails are first opened on a smartphone or tablet device — so message deliverability is just as easy “on the go” as it is in the office.

It’s yet another reason why so many people expect that their communiqués will be opened and read quickly.

I agree that e-mails are easy and convenient to open and read on a mobile device.  But sometimes the response isn’t nearly so easy to generate without turning to a laptop or desktop computer.

So as a courtesy, I’ll acknowledge receipt of the message, but a “substantive” response may not be forthcoming until later.

… And then, when others don’t show a similar kind of courtesy, I think many of us notice!

Some larger companies with employees who are more geographically far-flung have actually adopted guidelines for e-mail etiquette, and they’ve applied them across every level of the company.

It seems like a good idea to get everyone’s expectations on the same page like that.

Incidentally, the preferred scenario for responding to personal e-mails isn’t really all that different from work-related expectations, even though personal communiqués aren’t usually as time-sensitive.  Respondents in the MailTime survey said that they expect to receive a response to a personal e-mail within 48 hours.  For nearly everyone, waiting a week is far too long.

“Corporate Speak”: Updating the Buzzword Baedeker

Corporate buzzwords
Corporate buzzwords: Meaningless blather, signifying nothing.

All of us are familiar with them: jargon words and phrases that have become so overused, they’re nothing more than meaningless noise.

These are the so-called “descriptive” terms that are meant to add flavor and emphasis to a particular subject, but are more likely to make you want to roll your eyes – or maybe even reach for the nearest comfort bag.

Traditionally, the worst offenders have been high technology companies and other B-to-B firms when it comes buzzwords. But we’ve been seeing the phenomenon leech into consumer categories as well, such as automobiles and healthcare services.

Even worse, we’re now seeing a new generation of buzzwords coming to light, joining the veteran terms that have been plaguing us for years now.

Some of the old standbys are still overused today, unfortunately.  They include terms like:

  • Cutting-edge
  • Flexible
  • Next generation (or the too-cute variation NextGen)
  • Out-of-the-box
  • Partnering
  • Robust
  • Seamless
  • Solutions provider
  • Synergies
  • Toolbox
  • Turnkey
  • Value-added
  • World-class

Today, one may be more likely to encounter a crop of more contemporary-sounding – but equally obnoxious – phrases such as these:

  • Best-of-breed
  • Best practices
  • Core competency
  • Groundbreaking
  • Integrated
  • Mission-critical
  • Scalable
  • Thought leader

Much as we’d like for these buzzwords to just go away quietly, that’s hardly likely. And there’ll be plenty more new ones to come along in the future.

In fact, marketing strategist David Meerman Scott and others are already taking a stab at predicting tomorrow’s new buzz terms. You can view one such prediction here.

Unfortunately, there aren’t any buzz-cuts in the offing when it comes to lowering the level of “corporate noise” out there, however welcome that might be …

So if you can’t beat ’em … join ’em.  Are there any particularly irritating buzz terms you encounber that aren’t noted above?  Post a comment and let’s see what we can add to the list.

This just in: The organization stinks. Now, what are you going to do about it?

I Hate People BookI’m in the midst of reading an interesting book with a provocative title: “I Hate People!: Kick Loose from the Overbearing and Underhanded Jerks at Work and Get What You Want Out of Your Job.” (Little, Brown Publishing, ISBN-10: 0316032298 … also available in a Kindle edition.)

I think this book takes some risks. It certainly bursts a few bubbles in the conventional thinking about organizations and how they work. If you read it, be prepared to discard some of those platitudinous notions about shared mission and vision, organizational behavior, teamwork, matrix management and all the rest.

Coauthored by Jonathan Littman and Marc Hershon, this book fearlessly tackles the thing many workers know but are afraid to say out loud: Every day they come in the office, people have to deal with colleagues who exhibit a host of traits they frankly can’t stand.

We’re well familiar with the types … and Littman and Hershon give us catchy names to describe them, such as:

“Stop Sign” — the person who always finds something wrong or unworkable with the latest idea/product/strategy/solution being proposed. (And isn’t it interesting how many of those issues would entail that person having to contribute a bit more time and effort of his or her own?)

“Switchblade” — be very careful of these people … they’re highly dangerous when you’re not looking!

“Happy Face” — you know, the folks who approach their work at the office the same way they circulate at a cocktail party or spend an evening at the country club.

Or “Time Waster” — there’s no explanation at all needed for this common specimen!

The idea of “teamwork” comes in for pointed criticism by the authors as well. In theory, teams are all about working together to achieve consensus and implement better programs or initiatives that everyone can support. Littman and Hershon remind us that too often, teams produce nothing more than mushy “group think.”

And the bigger the team, the more tepid the results. The authors contend that only a few team members carry their own weight; the others can get away easily with little more than just showing up at meetings. For this reason, we’re advised to join teams of no more than four or five people, where “hiding in plain sight” is far more difficult to pull off.

A good thing about this book is that instead of presenting a litany of problems and then just leaving the entrails on the floor, Littman and Hershon provide ideas for how to work around all of the mediocrity and the frustration. They sugggest practicing “solo-crafting.” What’s that? Basically, it’s taking it upon yourself to “just do it” rather than passing the buck or relying on others. Or, as the authors put it: Stop talking, stop acting, start doing.

The book is quick to point out that solo-crafting doesn’t mean becoming a loner or maverick. It also doesn’t mean becoming a peacock, screaming “Look at me, I’m so great!” — just the kind of person everyone loves to hate.

Instead, by accomplishing more while working within the orgnizational structure, Littman and Hershon contend that you’ll find yourself being recognized for your ability to actually accomplish what others simply give lip service to. And that will result in being asked to perform more key tasks, with more opportunity to be recognized and rewarded for a job well done. Solo, of course.