Knowledge@Wharton -- Human Resources

Short-sighted Frugality? Employers Who Rein in Compensation Too Much Could Pay a Price Later

Wed, 18 Jan 2012 15:33:22 EST

As economic malaise bleeds into another New Year, many employers are making hard-nosed decisions about benefits and compensation. That means salaries remain flat, health care premiums are up, the 401(k) match has disappeared and bonuses are smaller or nonexistent. The result, not surprisingly, is a dissatisfied workforce. Yet, as Wharton professors and other experts warn, excess frugality on employers' part could backfire in the long run.

'The Bloomberg Way': An Inside Look at How the News Organization Covers News

Mon, 09 Jan 2012 15:48:38 EST

Every reporter, editor, anchor and producer hired at Bloomberg News gets a copy of The Bloomberg Way, a spiral-bound, 376-page tome that guides more than 2,700 news professionals to write about the world's stocks, bonds, commodities, companies, currencies and economies. Written by editor-in-chief Matthew Winkler, the book is a style guide and manifesto, detailing how Bloomberg employees should write, report and behave. Until November, when Bloomberg made the book's 12th edition public, The Bloomberg Way was available only to employees. Now readers can see for themselves how journalists in one of the world's largest news organizations work.

Will a Shortage of Qualified Labor Derail the Brazilian Economy?

Tue, 03 Jan 2012 12:52:26 EST

Brazil is booming. In contrast to the economies of the U.S. and the Eurozone -- where a mix of debt woes, dysfunctional politics and consumer weakness has conspired to dampen economic growth -- Brazil is on track for yet another year of above-average GDP performance. However, while outsized economic growth brings the promise of greater national prosperity, it also poses a host of new challenges, some of which the country may not be fully prepared to address. Chief among them is a shortage of qualified labor.

Saving Vocational Education in a New Arab World

Tue, 03 Jan 2012 12:52:01 EST

The Egyptian and Tunisian revolutions brought hope and optimism to youth frustrated with political and economic paralysis. While rampant unemployment was one of the primary catalysts of the Arab Spring, the unstable state of sweeping political reform has actually decreased employment opportunities for a forgotten middle class. Though many consider Vocational Education and Training (VET) to be the most realistic path towards employment for the region's youth, Arab governments have historically failed to establish an effective VET model. The recent revolutions created new challenges, but bring a momentous opportunity for new governments to prioritize the reform and facilitation of VET.

In Germany, the Oxymoron of Mr. Du

Tue, 03 Jan 2012 12:50:57 EST

In the world of business, there is no worse mistake than addressing your boss, client or counterpart in a negotiation in a way that might be perceived as disrespectful or simply out of place. While all countries have rules when it comes to language etiquette, using the correct terminology in Germany can be a somewhat daunting task. Consider the fact that the German language has two forms for the simple American you: the familiar du and the formal Sie. When, where and why to use one or the other can be confusing -- not just to foreigners, but to Germans as well.

Talent Management at Multinational Firms in China

Tue, 03 Jan 2012 12:46:44 EST

Developing the Chinese market is a top priority for many multinational companies. Across industry sectors, however, they face a common obstacle -- attracting, developing and retaining the local Chinese talent needed to accomplish this goal. Global firms realize the importance of having local leadership in tune with the idiosyncrasies and rapid shifts of the Chinese market. Indeed, over the past 13 years, the American Chamber of Commerce has conducted annual surveys of U.S. companies in China and frequently cites management-level human resource constraints as the top business challenge.

A Conversation with Outlier Malcolm Gladwell

Mon, 21 Nov 2011 11:05:51 EST

While millions of people have read Malcolm Gladwell's books, his ideas have had particular resonance with today's business leaders. Wharton management professor Peter Cappelli and Gladwell were just named to HR Magazine's Top 20 Most Influential International Thinkers of 2011.Cappelli spoke with Gladwell by phone about why Gladwell is an "academic groupie," the inconvenient truths that can spring from scholarly research, and how important decisions -- like going to war or dealing with today's economy -- might be dealt with differently if we were to draw on the "extraordinary wisdom" of universities.

Limited Seating: Mixed Results on Efforts to Include More Women at the Corporate Board Table

Wed, 26 Oct 2011 14:21:51 EST

Although women have been steadily gaining ground for years in the workforce, both in the U.S. and abroad, they still occupy a very small number of board seats in big companies. Some countries have responded by passing laws requiring that a certain percentage of seats on a company's board of directors be held by women. But experts warn that the issue of greater board diversity calls for more than a "one-size-fits-all" solution.

When Your Job Makes You Sick: Employees Find Little Leverage in Today's Workplace

Wed, 28 Sep 2011 13:16:47 EST

With millions of people looking for employment, the workplace these days is an increasingly unhealthy environment for those who still have, and are trying to keep, their jobs. One key reason -- a stagnant economy that reduces the leverage employees have when they attempt to negotiate improved working conditions, move up in their organization or find better jobs outside the company. What can employees do to make their workplaces less toxic?

'Masculine Norms': Why Working Women Find It Hard to Reach the Top

Wed, 03 Aug 2011 14:33:48 EST

Women have been in the workforce for decades, but many will acknowledge that it is still a man's world, and that the unwritten rules of the workplace continue to favor men. So how would they structure a professional environment that would help more women reach the corner office?

From Freelancers to Telecommuters: Succeeding in the New World of Solitary Work

Wed, 29 Jun 2011 11:57:22 EST

As the economy flirts with a double-dip recession and cost-conscious companies hesitate to re-hire, the workplace for many Americans has shifted away from crowded offices to a new world of solitary work. From freelancers to telecommuters to laid-off workers making do with temporary jobs, an increasing number of Americans are reporting to work each day from a corner of their home, a space in the garage or even a table at the local coffee shop. For some, it's a dream come true. But the transition isn't smooth for everyone.

A Recession for Perks? What Companies Offer and What Employees Want

Wed, 22 Jun 2011 15:58:47 EST

Until recently, most discussions of perks focused on what high-tech companies in Silicon Valley were offering their employees, from free gourmet meals and yoga classes to massage therapy and auto detailing. But these days, many companies are simultaneously trying to shake off the recession, keep costs low, retain valued employees and recruit talented new ones. Perks, if designed well, can help achieve these goals.

Why �Men Can�: Don Unger and the Changing Face of Fatherhood in America

Tue, 14 Jun 2011 09:44:51 EST

Donald N.S. Unger, the author of Men Can: The Changing Image and Reality of Fatherhood in America and lecturer in the Program in Writing and Humanistic Studies at MIT, writes about representations of men, masculinity and fatherhood in popular culture. Just in time for Father's Day, Unger shares his thoughts with Knowledge@Wharton on the changing role of fatherhood.

Why Middle Managers May Be the Most Important People in Your Company

Wed, 25 May 2011 16:03:17 EST

Wharton management professor Ethan Mollick has a message for knowledge-based companies: Pay closer attention to your middle managers because they may have a greater impact on company performance than almost any other part of the organization. Mollick's research, based on an in-depth analysis of the computer game industry, is presented in a new paper titled, "People and Process: Suits and Innovators: Individuals and Firm Performance."

Should Performance Reviews Be Fired?

Wed, 27 Apr 2011 14:51:52 EST

"Performance reviews." The words strike fear and dread in the hearts of employees everywhere. Their angst is understandable: Performance reviews typically are not done often enough and all too often are done poorly. Recently, however, the increasing number of knowledge-based companies and a new generation of employees are dramatically changing the performance review process.

Incentive or Gift? How Perception of Employee Stock Options Affects Performance

Wed, 13 Apr 2011 15:12:20 EST

The basic theory of why companies issue stock options to their employees is fairly simple: Profit from exercising those options creates what employers hope is an incentive that will motivate employees. But new research by Wharton professor Peter Cappelli and senior fellow Martin J. Conyon finds that the practice only impacts employee performance when workers earn a sizable payoff from exercising their stock options. Even then, the employees view the options not as an incentive, but as a gift they feel compelled to repay by working harder.

One Woman's Advice to Another: It's Always Time to Speak Your Mind

Wed, 30 Mar 2011 14:25:28 EST

While women have indeed come a long way since earning the right to vote in 1920, they still have not achieved wage and income equity compared with their male counterparts, notes a government report released this month. The reason, according to a series of speakers and panelists at the recent Wharton Women in Business Alumnae Conference 2011, is that women still need to assert themselves more when establishing work relationships, seeking sponsors, trying to make their presence -- and contributions -- known, or negotiating for a raise. As one speaker noted: "Women don't ask."

Gross Domestic Happiness: What Is the Relationship between Money and Well-being?

Wed, 19 Jan 2011 16:05:35 EST

What exactly is the relationship between money and happiness? It's a difficult question to pin down, experts say. While more money may make us happier, other considerations -- such as whether you live in an economically advanced country and how you think about your time -- also play into the equation. An increasing number of economists, sociologists and psychologists are now working in the field, and most agree that there is a strong link between a country's level of economic development and the happiness of its people.

Adjusting to the 'New Normal': The Consequences of Long-term High Unemployment

Wed, 08 Dec 2010 16:38:32 EST

Hopes for an accelerated economic recovery in the United States were dealt a blow last week by a dismal jobs report for November -- including an unexpected rise in the unemployment rate. This news adds more fuel to the growing feeling among many economists that it will likely be several years before the jobless rate falls to what is considered a normal level. The continued atmosphere of uncertainty, experts say, has potential long-term consequences for businesses and employees alike.

The 'Silver Tsunami': Why Older Workers Offer Better Value Than Younger Ones

Mon, 06 Dec 2010 13:14:12 EST

The world's workforce has grown grayer despite predicted labor shortages as the baby boomers start to retire. While older workers can be skilled members of the workplace, many employers are reluctant to hire them because of myths about their cost and productivity. Other employers, however, recognize the value of older workers, suggesting that attitudes toward them are gradually changing.