Case Incident 1
"DATA WILL SET YOU FREE"
To manage talent and prevent turnover, Freescale holds line managers accountable for
recruiting, hiring, and retaining employees. To do that, managers need to project their talent
needs into the future and reconcile those with projected availabilities. Patel provides line
managers with census data that helps them make their Ford CEOAlan Mulally is known for
starting meetings by saying "Data will set you free" and for trying to change Ford's culture to
one that is based on increased accountability, more information sharing, and hard metrics.
"You can't manage a secret," he is also fond of saying. Although it's not clear whether
Mulally's approach will work at Ford, which is known for its self-contained fiefdoms where
little information is shared, some companies have found that managing people according to
hard metrics has paid off. Consider Freescale Semiconductor, a computer chip manufacturer
based in Austin, Texas.
Freescale has discovered that in order to have the right people at the right time to do the
right job, it needs an extensive and elaborate set of metrics to manage its 24,000 employees
in 30 countries. Of particular concern to Freescale is retention. "There's no greater cost than
human capital, especially in the technology industry," saysJignasha Patel, Freescale's director
of global talent sourcing and inclusion. "When you've got a tenured employee that decides to
walk out the door, it's not just one person leaving, it's that person's knowledge and network
and skills."
projections, but at the end of the day, the responsibility is theirs. "What we have done is taken
all of our inclusion data, all our metrics, and we've moved the accountability over to the
business unit," Patel says.
Patel also provides Freescale managers with benchmark data so they can compare their
effectiveness with that of other units. The benchmark data include the number of people
hired, turnovers, and promotions-and breakdowns by demographic categories. "There's [a
return on investment] for everything we do," says Patel.
Questions
3.1 Why do you think Freescale focuses on metrics? Why don't more organizations follow
its approach?
(5)
3.2 As a manager, would you want to be accountable for the acquisition and retention of
employees you supervise? Why or why not?
(5)
3.3 In general, what do you think are the advantages and limitations of such metrics? (6)
6