I have written multiple posts about SuccessFactors, the fascinating HR software company that espouses and works to enforce a "no assholes" rule since it was founded about 7 years ago. I have visited the company, had the honor of talking to all 400+ employees about the rule a few weeks ago (it felt more like a pep rally for the rule than a speech, it was really fun), and I sat down with CEO Lars Dalgaard for 45 minutes — a bundle of energy and brilliance.
All new employees who join the firm are required to sign 14 rules of engagement. You can see the complete list on Guy’s blog, and note that #14 is "I will be a good person to work with—I will not be an asshole." And also note that the rules end with a commitment to enforce these rules, a very important step for making sure that what people say is actually done, And there is a statement that their rewards will be linked to following the rules:
"I agree to live these values. If my colleagues fail to live up to any
of these rules, I will speak up and will help them correct; in turn, I
will be open to constructive criticism from my colleagues should I fail
to live by these values. I understand that my performance will be
judged in part by how well I demonstrate these values in my daily work."
The rules of engagement appear to be spreading. Another firm is considering adopting these rules since their leaders read about it on Guy’s blog. Check out this post at Architel, an IT support firm in Dallas, Texas. They appear to be asking their employees if they should adopt the rules. They also thank SuccessFactors and Guy for it.
My view is that considering the rules are a great first step. But just posting them and having people sign them won’t help if the rules clash with how people are treated and treat each other. When I talked with Lars, he emphasized that although they had laid out these rules in early days of the company, they still have to work every day to make them come alive, that there are still people who break the rules at times (including himself), and he constantly talks about the rules, calls people on it, and calls himself on it when he has transgressed. So I hope that the rules will help Architel, but they need to be something that people work on every day — as Jeff Pfeffer and I wrote about in The Knowing-Doing Gap, the absolutely worst thing is to talk about values and post on them on the wall, and then to violate them constantly. When that happens, leaders are seen as hypocrites, which breeds cynicism and lack of trust.
P.S. Check out what Lars wrote on BusinessWeek.com on the talent wars.
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