The longtime CHRO of Citizens Bank says that HR teams treat corporate initiatives like ‘diet fads’ and argues that making real changes can take years of consistency |
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Good morning!
Between the rampant use of AI, numerous decrees from the federal government, and tariff-fueled geopolitical tension, it feels as if the general pace of change in corporate America is skyrocketing. That means HR leaders are feeling pressure from the board, CEOs, or rank-and-file-workers to make rapid organizational shifts to keep up.
But as longtime CHRO of Citizens Financial Group Susan LaMonica points out, HR leaders need to remind themselves that massive workplace change—whether it’s a culture revamp, an upskilling effort, or incorporating new tech—takes time to pan out. And sometimes, it will be years before companies, especially large ones, reap the benefits of these policies.
“Driving organizational change is all about consistency and repetition. And I think oftentimes what happens with some HR teams is they focus on the flavor of the month, whether that be career development, or incorporating new technology,” says LaMonica, who’s led the human resources practices at the bank for more than a decade. “It takes years to shift leadership behaviors that affect culture in any kind of meaningful way.”
CHROs are often inundated with requests across the management team, she says, leading them to treat new initiatives like new “diet fads.” That means discarding them when they either don’t work as expected, or getting bored and wanting to move onto the next big thing. But she emphasizes that it pays for HR to focus on what’s most important for the long-term growth of the company.
That’s something she experienced first hand, especially after helping the organization transition into becoming a public company in 2014. At the time, the demands on her team were significant, and she says it felt as if there were “100 different agendas coming in all at once.”
Instead of trying to individually address a deluge of demands, she gave her team three enterprise-level agendas to lean into: leadership, career development, and innovation.
Overall, LaMonica says it took three to five years to substantially move the needle at the company towards a more healthy, productive culture, and around eight years for Citizens to make it into the top quartile of companies on McKinsey’s organizational health index, the goal she was after at the time.
“If you try to overhaul an entire culture or talent strategy overnight, you may get flash in the pan results,” she says. “But to get what you really want, true change, it takes consistency, alignment, and also narrowing your focus.”
Brit Morse
brit.morse@fortune.com
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A round-up of the most important HR headlines.
Business and federal agencies that laid off too many workers are now asking for them back, creating an awkward scenario for those who accidently got the ax. Wall Street Journal
Entry level roles are harder to come by these days as companies replace roles with AI and look for workers with more experience. Business Insider
Even after becoming the target of federal investigations, Acadia Healthcare’s CEO still came away with a $1.8 million bonus on top of a more than $7 million compensation package. New York Times
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Everything you need to know from Fortune.
Flexibility wins. About two-thirds of investors see potential in companies with unlimited paid-time-off policies, research finds, suggesting they could be outperforming those that don’t offer it. —Orianna Rosa Royle
More RTO tension. Google is telling some remote workers who are closer to company offices to return to the office three days a week or risk losing their jobs. —Beatrice Nolan
Tariff anxiety. The vast majority of Americans say that policies driving the current trade war with China will raise prices for the average American. —Josh Boak, Amelia Thomson-Deveaux and The Associated Press
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