Latest news with #culturaltransformation
Globe and Mail
6 days ago
- Business
- Globe and Mail
When it comes to talent, companies are usually better off with the internal candidate they know
Brooke Struck is the founder and principal facilitator at Converge, which supports organizations through strategic and cultural transformation. David Knechtel is the managing director at Client Counsel. The next five years will be a critical time for talent management because by 2030 even the youngest Baby Boomers will turn 65. But there's a persistent challenge to making the most of your people's potential: when it's time for change, we too often reach outside the organization, dreaming of that superstar who is just waiting to arrive – if only we can find them. When external talent is brought in, they usually command about 18 per cent higher compensation than an internal candidate, according to a report in Administrative Science Quarterly. That pay increase wouldn't be so bad, except that they perform worse than internal promotions over the first 24 months. Bad goes to worse when you consider that external hires are 20 per cent more likely to leave the organization – during their first year alone, according to an article from Deloitte Insights. Perhaps you've seen this inside your own organization. We have. David was working with a team who needed a leader for a national team. The previous hire had been brought in from the outside, through a previous collaboration with an executive. Her start on the job hadn't been a resounding thunderclap of success. Early stumbles were chalked up to 'settling in,' early wins were all celebrated as evidence of her stardom (and of the even more impactful outcomes expected down the road). But those eye-popping results never materialized. After some months, things still weren't working out, and by this time the honeymoon period was over. Both sides realized that a change was needed. Nevertheless, the leadership team still believed (in the face of this recent negative experience) that the external route was the way to go when replacing their previous 'superstar.' They weren't moved by the reality that 75 per cent of internal hires succeed in their new roles or that among internal hires nearly half stay a further 3 years with the company, according to HRForecast. Rather, internal candidates were discounted as 'just not ready' or 'not strategic enough.' The reality though is that, unsexy as it is, we're usually better off with the candidate we know well – warts and all – even if they lack any of the outsider's mystique. After many discussions among the team David was working with, senior leadership finally agreed to 'take the chance' on an internal candidate. For the team, it was a huge win to see a trusted manager advance and there were a number of unexpected benefits: faster decision-making, better understanding of the evolving marketplace and a wider number of existing relationships that could be leveraged. And the team achieved their best performance ever as a result. These dimensions start to tell the story behind the numbers. Internal candidates bring a depth of organizational know-how and relationships with them to their new roles, starting from Day 1. This helps them to be more effective in the early going. Relationships also keep people in jobs, which can help to explain why internal hires stay longer. They understand their colleagues and can be more effective by driving greater performance of those around them. Finally, when a close-knit team sees the leadership team valuing their work and trusting them to deliver more, they're encouraged to rise to the challenge. They see that there really are opportunities worth seizing, improving employee loyalty. This will be especially important in the coming years, as nine in 10 Millennials prioritize career growth potential as an essential consideration when deciding to take a job, according to Robert Walters. With the turnover to come, organizations that demonstrate that advancement opportunities are real will have an advantage in the competition for talent. So how do we decide when an internal or external hire might be a better choice? Here are some practical tips to consider, given your situation: It's very du jour these days to encourage team members to take a growth mindset. What we're advocating here is that – if we want our team members to succeed and our organizations along with them – it's not enough for employees to take a growth mindset about themselves. We as leaders need to have a growth mindset about them as well. This column is part of Globe Careers' Leadership Lab series, where executives and experts share their views and advice about the world of work. Find all Leadership Lab stories at and guidelines for how to contribute to the column here.
Travel Daily News
03-06-2025
- Business
- Travel Daily News
Vision Hospitality Group promotes O'Mally Foster
Vision Hospitality Group promotes O'Mally Foster to chief people officer, reinforcing its people-first strategy, cultural transformation, and purpose-driven hospitality leadership. CHATTANOOGA, TENN. – Officials of Vision Hospitality Group, Inc., a Chattanooga-based hotel development and management company, announced the promotion of O'Mally Foster to chief people officer. In his new role, O'Mally will continue to uphold the organization's core values; lead cultural transformations during periods of growth or change; reinforce Vision's shared purpose; promote internal career advancement to cultivate talent from within; leverage people analytics to track engagement, retention and cultural progress; and align HR policies to actively advance the organization's mission of environmental stewardship, community service and cultural respect through its people practices. 'Since he joined Vision in 2017, O'Mally has been integral to our growth, most recently serving as our senior vice president of human resources,' said Mitch Patel, founder and CEO of Vision Hospitality Group. 'O'Mally's promotion marks a pivotal moment in our five-year strategic plan, underscoring Vision's unwavering commitment to our purpose-driven mission: to be the best, most respected hotel company in America by putting people first, leading with a purpose and delivering exceptional performance.' With over 30 years of hospitality experience, Foster joined Vision Hospitality Group from The Chattanoogan Hotel, where he served as director of human resources. He previously held similar leadership roles with respected hotel companies such as Noble Investment Group and Benchmark Hospitality. Foster exemplifies the company's mission of service to the communities through his volunteer work with United Way, the American Heart Association and Chattanooga Cares, as well as through his service on the Chattanooga Downtown Council. 'It has been my mission to consistently champion a workplace environment rooted in respect, inclusivity and purpose, and that remains my focus moving forward,' Foster said. 'Our people are our greatest asset. When they thrive, so does our company. As we look ahead, our strategy focuses on enhancing lives—not only for our associates and guests, but also for our investors and communities. By prioritizing people-centric leadership and aligning our culture with operational excellence, we are poised to continue to elevate guest satisfaction, achieve market share leadership, and deliver strong financial returns.' 'O'Mally's unwavering dedication to Vision Hospitality Group's culture and people has been nothing short of exemplary,' Patel added. 'Throughout his tenure, he has consistently championed a workplace environment rooted in respect, inclusivity and purpose. His people-first mindset has been a driving force behind numerous initiatives that have empowered associates at all levels to grow, contribute and thrive. By fostering open communication, cultivating leadership and reinforcing Vision's core values, O'Mally has not only strengthened the organizational culture but has also deepened the company's commitment to enhancing lives. His leadership continues to inspire a collective pursuit of excellence that resonates across every corner of the organization.' Headquartered in Chattanooga, Tennessee, Vision Hospitality Group was founded in 1997 by Mitch Patel. With a diverse portfolio encompassing over 40 hotels affiliated with esteemed brands such as Hilton, Marriott, Hyatt, and InterContinental, Vision Hospitality Group continues to push the boundaries of hospitality excellence.
