29 August 2011

Job Titles - More Than a Meaningless Label

Think about your organization’s structure. Do job titles have clear meanings and consistency? Are they understood in the context of a hierarchy, to ease career planning for your employees? Unfortunately, it’s not uncommon for titles to become inconsistent in a large organization over a long period of time, especially if your Human Resources department doesn’t provide and enforce clear guidelines for hiring and promotions.

Signs that your company’s job titles may be out of whack:

• There are Managers and Directors that aren't truly managing or directing anyone or anything.
• People with the same titles are reporting to each other, for example, a Director reporting to a Director.
• Employees want a Manager title, simply because they don’t see any other options to advance in the organization.
• There is general dissatisfaction and confusion among the troops, who don’t understand how jobs relate to each other and how to get from Point A to Point B in their careers.

Management struggling with these issues need to plot a corrective course.

If the organization has good guidelines for hiring and promotions, they should be adhered to without exception. As soon as you make one inexplicable exception, you have set a troublesome precedent. Necessary changes can be planned, documented, and implemented over time.

All jobs must have a fully descriptive, current position description. Every position description should be reviewed and approved by HR, and employees should have a copy of their own.

Everyone needs to understand the paths available to advance their careers. Management should take the time to understand employee interests, aspirations, skills, and experience. Provide input into what they need to do to get from where they are to where they want to be, and help them devise action plans to manage their careers.

Senior management; show the courage to make necessary adjustments when business conditions change. If your organizational structure is not functioning to help you achieve your strategic goals, you may have to adjust roles, responsibilities, and titles. Failure to do so can have long-lasting ill effect.

Like it or not, titles are still important in Corporate America. In addition to compensation levels, other benefits and perks may be attached to levels in the job hierarchy. Once given, they are very hard to take away. Egos are fragile and missteps in this area can be very de-motivating to productive contributors. Take the time to partner with HR, get it right, and reap long-term benefits.

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