Is the Customer Right 100% of the time?
The rule of thumb that I abide by is the customer is right 90% of the time. Let me explain why. There are some HR practitioners who will manage to the needs of their business regardless of if it is the "right" or "ethical" thing to do. Should we support our business leaders, hiring managers, management, or business owners when we know that their practices are not in compliance with federal, state and local laws? I have to say that again, I have seen many HR professionals fail as they often want to be viewed as going along with the program or not being against the needs of the business, but again I ask, is the customer always right?
Over the years, I have seen a difference in how this question plays out with the size of the organization. Small business owners want you to have flexibility and willingness to work with the customer’s needs and some owners say that should trump any agreement, policies or procedures that are put in place. Larger organizations often have many polices or procedures in place, but some organizations do not do a great job of enforcing these policies and procedures with their executives, managers and employees. Many times these policies and procedures are viewed as a hindrance to the business instead of being seen as a value add.
For example, there was a manager who was upset with a HR practitioner about not "working with them on their terms." I have to say that the HR practitioner was correct in this case as the manager had instituted practices and exhibited behavior that violated federal, state and local laws. This is where my 10% rule comes in. If this HR practitioner had followed the direction of the manager, the organization would be in violation of several laws and would have exposed the company to possible costly employment practice liability lawsuits.
Even in this economic climate, we see companies being involved in activities that could trigger an employment practice liability lawsuit. So, how can you, we manage to this important issue? Let’s first start by managing the expectations of our customers. Sometimes they will not like what you have to say or what you have to do. However, if the policies and procedures are put into place, let's enforce them. It really is that simple. Next, adopt the 10% rule. If you are the expert, be the expert! Smaller companies should understand that with their limited resources they are particularly vulnerable to the costs associated with employment practice liability lawsuits.
So, my thoughts would be: To all executives, managers, employees and HR practitioners----Do not position yourself or your organization to have to address these employment practice concerns in the first place. Even in 2009, many companies may be insured and many of our small to mid size businesses may find themselves under-insured to deal with the costly litigation that often results, when we support a 100% of the behavior and practices of our customers. With the tight credit market, many companies may find it difficult to obtain credit to pay for such a loss or to continue their business operations. So, let’s not even position your company to have to address these issues in the first place. Start by implementing the 10% rule, so you can mitigate the issues that often result from going along with the 100% rule.

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