How to Speak the Language the CEO will Love

I had the opportunity yesterday to talk to a VP HR who has always sat at the table with the CEO throughout his career at some very impressive companies. I thought I would share with you his perspective on how to build CEO-speak into your resumes, interviews, results, etc.

So this is about how to play the cards right in order to be seen as a true business partner: Much of that will come from what you emphasis within HR. If your conversation and accomplishments are all oriented around compliance based projects and efforts as the value you add to the organization, you distance yourself from the business.

HR has a bit of a double bind. It’s critical to avoid being out of compliance with all the hassles and penalties that come with that. Yet at the same time, that just gets you in the game. What gets you to the stratetgic table is seeing (and being able to articulate) how HR value-add efforts impact the P&L. It’s essential for HR Executives to make that connection and use the language of business. CEO is only interested in one thing– “increasing shareholder value”. HR must connect to that strategy in real ways they can articulate. They need to show the organization how their work impacts the P&L. If they do not, they may not be long at the strategic table.

We have typically forced HR to have to focus on the means not the end-next law, next form, etc., are critical. Unfortunately this isn’t the value add that will be seen as value add. It’s the different between the craft of HR vs the craft of increasing shareholder value.

His recommendations: All of HR, not just the executive leader, should know the P&L and annual report and know how to tie back the hr initiatives to those results. Read the annual report. Make an effort to understand the financial operations and financial results of the organization. Take your rightful place at the table. We need you!

So perhaps as part of your job search strategy, you might listen to CEO shareholder calls, network with CFO’s, learn the key financial terms and concepts. Translate your accomplishments into P&L impact. Talk about EBITDA in your next interview if you really want to ifferentiate yourself with a CEO or CFO.

Comments

2 Responses to “How to Speak the Language the CEO will Love”
  1. Steve Amos says:

    Very good article Kathrine,
    It is very difficult for HR or anyone to understand how important earnings are to a CEO. Get a big picture to solve strategic problems.
    Steve Amos

  2. katherine says:

    Thank you, Steve. It’s not easy for HR to learn this language either since it isn’t (until now I hope) the language of their function.

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