Cornerstone Blog

By Larry Shoemaker, President

An article published by McKenzie & Company in June, Resilience for Sustainable, Inclusive Growth, noted that “today, the world is beset by several crises of global importance,” then went on to discuss a number of these in detail.  Five months later these same crises are even more severe. The Conference Board’s Measure of CEO Confidence™ fell to 32 to start Q4, reflecting the deepest level of pessimism their quarterly CEO survey has found since 2008-2009.  

From all indications, difficult times will persist for quite some time. The steps leaders take today will greatly influence how they navigate the challenges and ensure their organization’s future.    

Success tomorrow requires focus on what you can impact today. Your short-term actions determine how successful your organization will be. Each organization and situation has different challenges, but there are some actions that every leader must take to increase the probability of success. Not surprising, many of these actions concern people.   

A Way of Thinking 

Difficult times have resulted in a new term, “productivity paranoia.” In September, Microsoft published a survey from 20,000 people in 11 countries which reflected people are working more than ever, while leaders are questioning if their employees are being productive. The perception gap is huge – 87% of employees report they are productive at work, while 85% of leaders say that the shift to hybrid work has made it challenging to have confidence that employees are being productive.  Perhaps the question should be whether activity or impact is the goal, and how it is being measured.  There must be transparency in defining what is more important. Once it is agreed on, it must be communicated. Any lack of clarity will erode trust. 

Culture is a critical key to success. My simplified definition of culture is “how we do things around here.”  Leaders must examine their organization and ensure it is prepared for a rapidly changing, complex environment that includes ongoing disruptions which could have long-term consequences.  Open, two-way communications are required. Dialogues must ensure the term “status-quo” is removed from the organization’s vocabulary and replaced with “adaptability.”  Employee engagement, based on mutual respect and trust, is required. Everyone must believe they have responsibility to contribute to the organization’s success and will be held accountable for their performance. A clear understanding of expectations, and a commitment to deliver them, is every employee’s responsibility.   

A Way of Acting 

Decisive, quick actions propel organizations. It is important to do things right, but too much analysis leads to slower decisions and missed opportunities. Willingness to take calculated risks and respond quickly sets the tone for resilience. The inclination to make decisions without having as much information as preferred establishes an“ action oriented” culture, but to be effective, it must also include willingness to accept responsibility for those decisions. Every decision or action will not be right, but organizations and individuals with resilience will rebound from mistakes and grow stronger.  In many organizations, employees who are prepared to make decisions are not permitted to do so.  Passing this authority and responsibility along to employees expands their potential to contribute as well as their personal development.   

Getting There 

People are the building blocks for resilient organizations.  Employees that are capable, feel they are part of the organization’s success, and want to provide input, are required.  Every current employee in the organization may not have this ability, but many will, and with training and development, many more also can. An additional insight from the earlier-mentioned Microsoft survey is that about 75% of employees noted they would stay at their current company longer if they could benefit from learning and development. Resilience includes providing your current employees tools for their success, which in turn enhances your organization’s success. 

Every new hire is an opportunity to bring the “right individual” into your organization and is an important step for the organization’s future.  Perhaps this statement by Joe Trammell, owner of Texas CEO Magazine, says it best “each time you hire, you have a choice to either hire the best possible candidate or to hire whoever is most affordable or available. Look for talent always. Also, make sure you have a culture that encourages skills development, creativity, and job advancement. Otherwise, you risk wasting and losing the talent you worked so hard to recruit in the first place.”  Resilient organizations require the right employees – those that fit their culture and are committed to their performance.  The time and effort to make certain you achieve a successful hire is an investment in your future.   

Committing   

Change is inevitable.  Resilient organizations can quickly recover from disruptions, and even become more successful. Culture is the framework within which resilience resides. The environment must encourage. Employees who are committed and connected have a positive impact on business results.  Those who know what they are accountable for typically perform well. 

Resilience includes having a culture that is based on responsibility and accountability, the right people, and efforts to prepare them to succeed. People must have the ability to think creatively, be curious, and want to be part of the organization’s success. These personal characteristics must be part of the evaluation process for new hires and internal promotions, and leadership must support them in every decision.  Getting there is a journey, but well worth the process. It isn’t free, but if done with purpose, it is well worth the investment. 

We at Cornerstone International Group help clients around the globe build resiliency. Are you and your leadership team focusing enough on resilience? 

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Larry Shoemaker is President of Cornerstone International group, and founder of Shoemaker & Associates/Cornerstone Atlanta.  He has helped clients build and develop leaders to meet organizational challenges for more than a quarter century. 

By Lina Sintes, Partner and Managing Director, Cornerstone Bogotá, Columbia  

Early in True Grit (the 1968 novel and movie adaptations) Mattie Ross encounters the man she intends to hire: Reuben “Rooster” Cogburn.  Mattie has been warned that Cogburn, ageing, overweight and a drunk, is moreover a “crazy vagabond.”  But when they meet, she recognizes he has the quality she needs to accomplish her mission. A 14-year-old girl, she needs help tracking down the man who killed her father. As she says to the baffled gunfighter, “They told me you had true grit and that is why I came to you.” She hired him, and in the end, they got their man. 

The word grit has had an interesting journey, starting from greot, an Old English word for earth, sand, or gravel. From the early 19^th century, the abrasive denotations of the word world began to connote positive personal qualities. “I admire your sand,” the town horse trader grudgingly admits to Mattie.   

Angela Duckworth is a professor of psychology at the University of Pennsylvania.  Her research focuses on the relationship between achievement and character: is there a missing link between IQ and talent, and ultimately success? Her findings suggested that one word conveys the, well, grittiness needed to achieve goals.  Her 2013 TED Talk, “Grit: The Power of Passion and Perseverance,” has attracted over 28 million viewers.  Her 2016 book of the same name became an instant bestseller. As an executive recruiter, I sensed that her research findings could provide valuable insights into selecting the right candidates for executive positions. In fact, they are valuable lessons for anyone who wants to maintain their edge:  

1. Strike a balance between competence and confidence. Trust your abilities but work hard to improve them. Put aside your ego to listen to others.  

2. Find trainers/ mentors who will praise your accomplishments but challenge you to extend your boundaries.   

3. Practice deliberately to become a better version of yourself. Malcolm Gladwell says that mastery requires 10,000 hours of practice, which are not always fun. But mastery requires pushing aside complacency and boredom.  

4. Find a support group that can help you through the rough patches. 

5. Most importantly, never quit on a bad day.  There are times when emotions blur objectives, when it is easy to simply slide off the wagon. But then you’ll have to live with the regret of not sticking it out to the end. 

These are important personal standards. They are also character traits that executive recruiters are looking to discern in executive hires, those who need to have the grit to carry out formidable challenges.    

By Lina Sintes, Partner and Managing Director, Cornerstone Bogotá, Columbia  

Come gather ’round people 
Wherever you roam 
And admit that the waters 
Around you have grown 

These are the first lines of the iconic song Bob Dylan recorded nearly 60 years ago, and the “waters” — political, economic, geographical, and social uncertainty – are still growing higher around us.  Googling “uncertain world” generates 560 million hits in less than a second. Pandemics, the threat of nuclear war, the certainty of climate change threaten all of us. (Though, for far too many, finding food to eat, water to drink and medicines to escape diseases already tamed in the First World are more pressing uncertainties.) 

The business world has not escaped the relentless waves of uncertainty.  As Joerg Esser pointed out recently in the Harvard Business Review,  

“The Covid-19 pandemic, the war in Ukraine, the reshuffling of supply chains and capital structures — the past few years have seen unprecedented disruptions, and the turmoil shows little sign of letting up any time soon. Challenges abound, and companies are finding it nearly impossible to plan for the future.”¹ 

But I believe we must maintain a positive attitude regarding the vicissitudes pummeling personal and corporate life. I have studied the literature on uncertainty, and the four counsels below strike me as beacons that will help us keep our heads above water. 

1) Establish clear and visible goals for yourself and your team: These goals should be challenging but attainable.  Break down large goals into “chunkable” portions that will allow you to recognize and celebrate real achievements along the way.  Psychologists have shown that early wins encourage us to stay the course until the ultimate goal is reached.    

2) Concentrate on your sphere of control:  It’s easy to blame external factors when plans go awry.  Keep a flexible open mind regarding events you cannot control; focus on what you can control. A focused mind will increase your chances of being successful. 

3) Be “indistractable”: Traction literally means “to pull,” so distraction is the opposite — to draw away from. “Indistractable” is a slang word popularized by behavioral engineer  Nir Eyal in his book  Indistractable: How to Control Your Attention and Choose Your Life. You become indistractable when you can identify what brings you closer to your goals – the “aha” moment that generates traction and results in both your and your company’s valuable use of time and effort.  Urgent activities (e.g. scrolling through your social media) can become distractions when they lead way from important activities, such as buckling down and carrying out important tasks.  

Of course, the old adage about “all work and no play” still applies; no one can be 100% indistractable. Taking a break can provide you and your team with positive camaraderie which can translate into more productivity. But being distracted responsibly is the key consideration.   

4) Surround yourself with the positive energy you need: This is a subtle attribute – when first encountered, people and places can give off misleading energy “vibes”.  It takes skill to be able to discern energy that is both positive and sustainable. (Making these types of discernments are part of the skillset of Executive Recruiters.) It is important to surround your company – and yourself – with people who need not be pushed to achieve.  Even if they are subordinates, people with positive energy can help you be a better version of yourself!   

Although the swirling sea of uncertainty is in many cases out of our control, what is within our control is the extent to which we allow it to affect our lives.  Keeping calm and becoming “indistractable” can even mitigate the impact of uncertainty on our company’s fortunes.  Ultimately, our energies should be focused on becoming better versions of ourselves as individuals, as corporate leaders, and as members of society, despite the changing times.  

Miami, FL, November 17^th, 2022 – Cornerstone International Group opened its newest office location last week, Cornerstone’s 8^th office in North America.

Cornerstone Miami launched its new space by hosting the Cornerstone Latin America Regional Meeting. Joined by special guest, Marcelo Fumasoni, Microsoft HR Head for LATAM, the regional team was able to meet in person for the first time in three years.

Cornerstone Miami is led by Managing Director, Raul Coz and Regional Chairman, Diego Cubas. This office will serve as a hub joining the U.S. and Latin American markets, reinforcing Cornerstone’s presence in 12 countries in the Americas.

President Larry Shoemaker enthusiastically welcomed the new addition: “We are so happy to add our new office in Miami to serve the Americas. Raul Coz brings experience that will benefit clients throughout the regions.”

The new office offers services in Executive Search, Outplacements, Coaching, and Assessments.

At the closing reception of the Cornerstone Latin America Regional Meeting, members expressed their pleasure at meeting in person once again and saluted the newest member of the Cornerstone family in the Sunshine State.  The members agreed that the strong showing from both the U.S. and Latin America offices was a tangible marker of a Cornerstone motto: One Dream, One Team, One Cornerstone!

By Kevin O’Donnell

Understanding Leadership appeared in the September-October 1961 issue of the Harvard Business Review. Regular readers of the prestigious journal must have been puzzled. Who was W.C.H. Prentice, the author of the piece?  

Far from being a captain of industry, W.C.H. Prentice was a former professor of psychology who had turned his hand to administering schools:  first a commercial college, then a liberal arts college for women, and finally Swarthmore College, ranked among the top three of the “little Ivies” (Ivy League schools) in academic achievement.

In 2004, more than four decades after this article appeared in its pages,  Harvard Business Review republished Prentice’s foundational insights into the qualities of a successful leader. The editors noted,

While his language in some passages is dated, Prentice’s observations on how leaders can motivate employees to support the organization’s goals are timeless, and they were remarkably prescient.

Eighteen years after this reprint, we think Understanding Leadership still stands the test of time. Consider these insights from Prentice:

• Attempts to analyze leadership tend to fail because the would-be analyst misconceives his task. He usually does not study leadership at all. Instead, he studies popularity, power, showmanship, or wisdom in long-range planning. Some leaders have these things, but they are not of the essence of leadership.

• Leadership is the accomplishment of a goal through the direction of human assistants. The man who successfully marshals his human collaborators to achieve particular ends is a leader. A great leader is one who can do so day after day, and year after year, in a wide variety of circumstances.

The theme of the July 2022 issue of the Cornerstone Eagle is the future of work.  Some leadership traits are perennial, it says: “Wisdom and discernment in making the most appropriate decisions are critical.”

W.C.H. Prentice’s Understanding Leadership can help lay the groundwork for making appropriate decisions.  

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The full text of Understanding Leadership can be found on the website of the Harvard Business Review.

By Caroline Kenagy, Brand Manager

Response to https://www.bluesteps.com/blog/4-tips-ace-pre-screen-phone-interview

Like many other things we have adapted over the last 2 years, phone interviews are not going away anytime soon. Phone interviews can be a good way to get an unbiased idea of a potential candidate. For some, phone interviews ease the nerves of being face to face with your potential coworker. Others that thrive on human connection and their own people skills might struggle with the idea of a phone interview. Recruiters often use a phone interview as a way to “Pre-Screen” candidates before spending the time, money, and energy on bringing them into the office. Regardless, there are a couple Do’s & Don’t of Phone Interviews that will always be true.

Do

• Smile, the tone of your voice changes when you smile
• Dress up as if the interview were in person
• Have your resume, the job description, company research and interviewee’s LinkedIn profile handy
• Use a professional tone when speaking
• Send an email following up for the next meeting
• Have clear and concise answers ready for common interview questions

Don’t

• Chew gum, breath mints, eat ANYTHING
• Have any distractions in the room (other webpages, children, pets)
• Be on the go, in the car, on a walk
• Interrupt during the conversation
• Have your ringer on to hear other calls
• Use filler words when speaking
• Take the call off speaker phone or use Bluetooth

Remember, you are dealing with pros who can see you through your voice. This is more than a conversation. This is a first impression whether it is in person or over the phone. Take it seriously, pay attention to the inflection when you speak and be yourself.

We are proud to announce that once again, Cornerstone International Group is featured in Hunt-Scanlon Media’s “Global 40” for 2022.  The Global 40 is a gold standard of excellence that identifies the top 40 global talent firms providing executive recruiting and ancillary services worldwide. Cornerstone’s global reach extends to 56 independently-owned offices spanning 40 countries.  The Group is staffed by 225 consultants specializing in key segments and functions.

Hunt Scanlon Media tracks global talent management developments and relays this information via its digital and print platforms.  The organization publishes specialized reports and hosts webinars and industry conferences. The information they provide enables organizations to make better decisions in choosing how to recruit or develop talent.  

“I am pleased that Hunt Scanlon has confirmed our leadership role in a fast-changing industry,” said Simon Wan, Chairman and CEO of Cornerstone International Group. “It signals that we are achieving our mission: helping our clients identify and engage the best senior management talent they need no matter where these outstanding people may be located in the world.”  

Larry Shoemaker, President of Cornerstone, added that as a long-time member of the Association of Executive Search and Leadership Consultants (AESC), Cornerstone International Group adheres to the ethical standards set by this professional organization.  “We have chosen to exceed both industry norms and client expectations since we began in 1989,” he said.

All Executive Coaches recommended by Cornerstone are ICF-Certified (International Coaching Federation). 

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For more information:

Hunt Scanlon “Global 40” 
Cornerstone International Group Website
Simon Wan, Chairman & CEO: simon-wan@cornerstone-group.com 
Larry Shoemaker, President: larry-shoemaker@cornerstone-group.com

By Richard Jackson, Managing Director, Cornerstone Thailand (RLC Recruitment)

The biggest thing I see happening in Asia now is the coordinated push to ramp up the manufacturing of EV – electric-powered vehicles. This will have profound effects on recruitment, especially in China and India – the two most important markets for the future of the global auto industry.

A new sector is emerging with this shift towards electric-powered vehicles, as electronics manufacturers increasingly move into the automotive space. Dashboards are becoming more interactive with glass touchscreens. Big companies like Sony, LG, and Samsung are becoming auto suppliers.

Plus, semiconductor chips need to be more advanced for EVs. Because semiconductor chips are in short supply, and will be for the next 6-12 months, the auto manufacturing landscape is very dynamic right now. The entire sector is going through a period of major growing pains. Covid lockdowns in China has further disrupted supply chain issues, and Russia’s invasion of Ukraine has sent energy prices soaring.

Plug-in vehicle sales last December in China were up 125% compared to 2020, with EV-makers BYD and Tesla leading growth rates among major auto brands towards the end of the 2021. In 2021, EVs represented 15% of China’s domestic market share, up from 6.3% in 2020. China represents 53% of global EV market share, according to the CPCA (China Passenger Car Association).

Ford has plans to invest US$30 billion in EVs and battery technology during the next 8-9 years. Last year, the automaker said it would stop manufacturing and selling cars in India. But already Ford is changing its tune, considering plans to use one of its Indian facilities to build EVs for export, and possibly for sale in the domestic Indian market, citing the “global electric vehicle revolution”.

In Thailand, where I am based, Foxconn is partnering with PTT – the national oil company – to manufacture EVs. The companies plan to invest US$1-2 billion in a joint venture capable of rolling out 50,000 EVs a year, starting in 2024. They are aiming for annual production of 150,000 vehicles by 2030. Thailand is Southeast Asia’s leading auto manufacturer, and the government offers a variety of subsidies, tax breaks, and other incentives for EV production.

This could be one of the first JV’s to unlock synergies between a traditional energy company and a technology leader. With the automotive supply chain reliant on sourcing rare materials such as lithium and cobalt, future OEM business models could trend towards vertical integration with mining and energy companies to control supply and costs.

What does this uptick in EV investment mean for recruiting professionals? I’m advising my automotive clients to start hiring the engineers & designers they’ll need for the future EV market right now. Because when the EV market really takes off, it’ll be too late.

So, ask your clients who are preparing to transition away from the internal combustion engine: How well prepared are you? Do you have the right people in place to manage this transition? How much time have you spent setting up your people to do this?

Because automakers will need to cultivate and recruit from a different talent group; the smart ones are doing it already. Now is the time to hire. Next year will be the time to train the next generation of EV professionals and get everyone up to speed before the EV tsunami overwhelms the traditional market.

Manufacturers should conduct a comprehensive, grassroots review of HR’s ability to get the right staff in place, now, for a market dominated by EVs – or they will have big problems sourcing the right talent later on.

(This article was drafted by Cornerstone Lima in response to a survey conducted in Peru in the third quarter of 2021. The concerns expressed by the South American business leaders broadly reflect the concerns of executives worldwide, so the survey and comments below by Diego Cubas, CEO of Cornerstone Lima, are relevant anywhere.) 

According to the recent survey “Human Talent Challenges Facing CEOs in 2022”, the main business concern of 55% of Peruvian business owners and executives continues to be the scarcity of local talent that fits the needs of their organization.

As a result, strategic positions within their companies are challenging to fill. While the COVID pandemic initially increased the number of professionals available in the market because many organizations had decided to downsize, companies began to recruit again once a “new normal” established itself. But their search focus had changed: now they were looking for talent with much more digital, innovative, agile, and resilient capabilities.

Today, companies take longer to find the ideal candidate with the necessary skills to achieve productivity and growth. And they are casting their recruiting nets farther. Diego Cubas, Cornerstone’s Chairman for Latin America, has observed this upswing in the “talent without borders” drive. “Recruiting a person who has the skills, fits the culture and has the passion for filling the role increasingly motivates progressive companies to scan the horizons.“

The survey highlighted two significant challenges that CEOs face when making their selections.

40% of CEOs said that finding a candidate who will fit into the firm’s organizational culture is a core concern. 27% also mentioned the need to find a hire with the potential to step up to a higher position.

Recruiters, understanding that these challenges are related, need to spot the ideal candidate’s potential as well as their ability to fill the current position. “In principle, companies must come to grips with the key talent needs in their organization. They should design strategies to identify professionals who possess the skills and knowledge needed now and who can be relied upon to handle what the future may bring,” observes Ignacio Mealla, director of Vistage Peru.

Diego Cubas notes that often the future can be near at hand when a senior hire is almost immediately given responsibilities in addition to the ones usually assigned to a position.   Administrators have to hope that the new employee can handle the added challenge.   But this casual expansion of mandate can result in severe problems for both the new executive and the organization. “As important as identifying talent, the recruitment and selection process must adhere to these four fundamental pillars: holistic understanding of the need, in-depth market research, exhaustive 360 ​​evaluation, and, in some cases, support for the executive through an executive onboarding process”, says Diego Cubas.

Review the management climate of the organization.

Selection is becoming a two-way street at senior levels (and even lower down the hierarchy).  More and more people are looking for workplaces with solid organizational cultures that align with their professional and personal values.  This is why the chemistry with a prospective new boss and the signals emanating from this possible new work environment will influence a candidate’s decision to continue or leave the selection process.

Continually reinforce training programs.

Training programs are vital for both seasoned workers and candidates entering the company. These training programs should respond to the real needs of the organization’s workforce. Building robust programs can be attractive to applicants considering working for an organization.

Click on the links below to learn more about Cornerstone Peru and Cornerstone International Group. Established in 1989, Cornerstone International Group is one of the world’s largest Executive Search groups. Currently, Cornerstone’s global reach extends to 60 offices and 40 countries.

https://cornerstone.com.pe/ (In Spanish) and https://www.cornerstone-group.com  (in English)

Companies that aren’t structurally and culturally inclusive can be harmful to the mental wellbeing of employees who have been hired as part of a diversity program. It often happens that these organizations end up in a zero-sum situation: as they increase their number of diverse employees, many in the original cohort leave.

The problem can be laid to companies not doing the real work of making inclusion a priority. In these situations, negative behavior – from microaggressions to full-on harassment – can frequently arise.

When this does occur, the diverse employee’s complaints are typically not taken seriously. In the aggregate, incidents like these can lead to a workplace that is toxic to diverse employees.

Promoting a culture of inclusion will help diverse candidates feel like they belong, that their ideas are valued, and that their contributions are welcome.

As a policy, increasing inclusion in the workplace will help create a culture of psychological safety. This in turn increases engagement and pays dividends in a more collaborative and innovative workforce.

Hear from Tamica on Inclusion before Diversity