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Beyond the Seat at the Table: Claiming Authority through Cost Savings and Psychological Trust
Episode 4420th January 2026 • Future Proof HR • Thomas Kunjappu
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In this episode of the Future Proof HR podcast, Thomas Kunjappu sits down with Kendall Schultz, Chief People Officer at Triumph Behavior Support, to explore what it really takes for HR to move beyond a cost center and earn authority inside fast-growing, high-pressure organizations. With over 15 years of experience across venture-backed and private equity environments, Kendall shares how HR leaders can build credibility through execution, not permission, while navigating scale, risk, and constant change.

Kendall breaks down why waiting to be invited into strategy conversations no longer works for HR. Instead, she explains how people leaders must proactively identify risk, eliminate waste, influence decisions, and operate with the same rigor as product and finance teams. From finding significant cost inefficiencies to treating people operations like a product roadmap, she outlines how HR can become a true value engine for the business.

The conversation also explores the human side of authority. Kendall shares how psychological safety, ethical leadership, and transparency are not soft concepts but essential operating principles, especially during restructures, layoffs, and periods of rapid growth. She explains why HR must be present, consistent, and willing to make hard calls to build trust that scales beyond the HR function itself.

Topics Discussed:

  1. Reframing HR from cost center to value engine
  2. Earning authority through execution, not title
  3. Treating people operations like a product
  4. Finding operational inefficiencies and reducing organizational waste
  5. Building credibility with CEOs and founders in PE and VC environments
  6. Embedding psychological safety into daily operations
  7. Leading ethically through layoffs and restructures
  8. The limits and opportunities of AI in people operations
  9. What skills HR leaders need to stay relevant and future-proof their role

If you are an HR leader, people operator, or executive navigating scale, scrutiny, and constant pressure to prove value, this episode offers a clear, experience-backed view of how HR can earn lasting influence and relevance in the future of work.

Additional Resources:

  1. Cleary’s AI-powered HR Chatbot
  2. Future Proof HR Community
  3. Connect with Kendall Schultz on LinkedIn

Transcripts

Kendall Schultz:

Most companies don't realize that it needs to be a seat.

2

:

They know they get to a certain

size that they talk to their

3

:

peers in different companies.

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:

Oh, you need somebody within HR.

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:

They don't even really

know what that means.

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:

They don't know what level

of individual they need.

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They don't know what background

of that individual they need.

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:

And it differs depending upon

the size of your organization.

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:

If you're the right person

that's coming in with a strategic

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:

mindset, the seat is there.

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You just have to take it.

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:

Thomas Kunjappu: They keep

telling us that it's all over.

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For HR, the age of AI is upon

us, and that means HR should

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be prepared to be decimated.

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We reject that message.

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The future of HR won't be handed to us.

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:

Instead, it'll be defined by those

ready to experiment, adopt, and adapt.

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Future Proof HR invites these builders to

share what they're trying, how it's going,

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what they've learned, and what's next.

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We are committed to arming HR

with the AI insights to not

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just survive, but to thrive.

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Hello and welcome to the Future Proof

HR podcast, where we explore how

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forward-thinking HR leaders are preparing

for disruption and redefining what it

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means to lead people in a changing world.

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I'm your host, as always,

Thomas Kunjappu, CEO of Cleary.

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And today, I am happy to welcome in

Kendall Schultz, the Chief People

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:

Officer at Triumph Behavior Support.

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With 15 years of experience in high growth

environments across venture and private

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:

equity portfolio companies, Kendall

has led talent and people strategies

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at organizations like constellation

Software, WeWork, and Capsule.

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A dynamic operator who blends TA

depth with HR strategy, Kendall has

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built scalable systems and championed

psychological safety and delivers

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measurable results in complex, rapidly

changing settings, especially when

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M&A or IPO readiness or PE value

creation is a part of the assignment.

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So Kendall, welcome to the podcast.

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Kendall Schultz: Thank you.

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Happy to be here.

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Thomas Kunjappu: Let's go way back to the

beginning tell me about your first job

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Kendall Schultz: I started out in the

RPO world had no idea what recruiting

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was it was in the economic downturn of

:

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are really forcing you to get a job with

benefits so i ended up getting connected

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with somebody who worked at a company

out of boston and got an offer on the

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spot came with benefits and signed wasn't

really sure what I was diving into, but it

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definitely was a sink or swim environment.

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And that's where I got my start in

recruiting and led me to where I am today.

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Thomas Kunjappu: So that is

definitely a sink or swim environment.

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What's been some takeaways, if any, that

you've kept alongside with you throughout

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all these years across all these roles?

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Kendall Schultz: Yeah, I think

some of the main things is really

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partnership with your hiring managers.

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Obviously, I think some of the main

things is really partnership with

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your hiring managers, obviously.

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I think that extends all

the way into HR as well.

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The foundation of communication and

kind of beating them to the punch.

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I always, you know, I still

leverage this even with my team.

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You could be doing work behind

the scenes, but if you're not

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communicating and vocalizing it,

it's as if it's not being done.

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People are human beings.

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There's anxieties, right?

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They have a boss to answer to as well.

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So you have to be able to provide the

data and the backing of proof to what

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you're actually doing, the work that's

being done, regardless of whether

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or not it leads to success, right?

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That could be anything from sourcing or

outreach and thinking outside of the box.

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Being able to provide that communication

and that insight and tell that story is

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only going to create a bigger bond, deeper

bond with individuals you're working with.

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And that, I think, leveraging

partnership is where you get a

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success in hiring in the long run.

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Thomas Kunjappu: Okay.

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So, Kendall, let's talk about

something that's often talked

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about, the seat and the table.

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When we were doing our prep

call, I remember it struck me.

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You said that HR can't wait to be invited.

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Yes.

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So how do you create demand

and claim that C-suite seat?

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Kendall Schultz: I think you have to

go in with a mindset of being a fixer

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and a solutions-oriented individual.

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It's an iterative department and industry

or mechanism within an organization.

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There's always something to be done.

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And the reason that you're brought in

is because these CEOs and founders or

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Speaker: Credits of other departments.

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They know there's things that need

to be done and fixed, but you can't

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rely on them to tell you what it

is because that's not their world.

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So you really have to come in on day

one, evaluate what is being done.

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And I always am a firm believer that we're

deep rooted in product management to a

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certain extent because there's a roadmap

similar to a product roadmap, right?

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Kendall Schultz: You have to be able to

back up and look at it and say, okay,

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what do we have here?

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What is the highest risk,

number one, for the company?

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What is the lift?

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What can we do right away?

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And let's start chipping

away at that list.

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And essentially, what are the

building blocks off of that?

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What is that going to lead you to so you

have to have a mindset of one at a time

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kind of tackling but again I

think it just kind of goes back

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to my same response to the last

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question is you have to be the one with

communication to bring here's what's

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wrong here's how we're going to fix

it you can't just bring problems You

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have to bring the solutions with it.

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That's where you're going to

eventually get a seat at the table.

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You have to take it.

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Most companies don't realize

that it needs to be a seat.

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They know they get to a certain

size that they talk to their

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:

peers in different companies.

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:

Oh, you need somebody within HR.

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They don't even really

know what that means.

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:

They don't know what level

of individual they need.

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They don't know what background

of that individual they need.

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And it differs depending upon

the size of your organization.

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Some companies rapid grow really quickly

to 50 people and they've been okay

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without it, but they're looking to scale

within a year's time, 12 months to 500.

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What you need is not

a junior level person.

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So if you're the right person

that's coming in with a strategic

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:

mindset, the seat is there.

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You just have to take it.

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Thomas Kunjappu: So what about

the other related thing that we're

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always fighting against, which is

this view as a cost center, right?

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It's like a cost sink sometimes.

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And especially if you take the example

that you're talking about where there's

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an executive team that's just, or a

CEO that's never had experience with a

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senior HR person before and just hiring

because they're, quote, supposed to.

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Yeah.

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Or the board tells them to.

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Yeah,

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in such a world, how

do you take that seat?

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And also, how do you, like, what

are the budget realities, right?

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If you're actually trying to

get an agenda executed on.

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And how do you do that?

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Kendall Schultz: I actually

love this question.

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Because especially in the startup

world, would say it's not just PE.

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It's also in venture-backed organizations.

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They do look at it as zero

rate on return, right?

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But that's because they don't

understand the value of people.

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You can have the best product

or service in the world.

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You don't have people.

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You don't have anything.

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So yeah, we're often looked at as

a support function, but we're also

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hiring and retaining your individual.

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So we technically are the highest

generating revenue department for

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you because if you have a sales

team, who's hiring that sales team?

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Who's building out their bonus structure?

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We are.

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Sometimes payroll, but in my experience,

most payroll teams are full of accounting

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individuals and not actual finance people.

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So the other thing is when you're

growing and scaling as a company,

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there are so many different products

out there to use internally, right?

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You get ads, you have

individuals reaching out to you.

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It happens to me all the time.

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I got a couple of calls

today about products.

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I get five emails a day about coffee

chats to try to help me do X, Y,

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and Z, which I'm already doing.

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When you don't realize that you

probably should do your research

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and it's like buying a car.

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You're not going to just

go to one dealership.

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You're going to price compare.

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There's ways to look at an organization.

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What are their current vendors?

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Renegotiate contracts.

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Leverage these vendors

against one another.

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You're going to have cost savings.

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I did it in Constellation.

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I put $250K back in the

budget within a month.

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So when I look at what's the operational

cost of my team, I've already paid

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for myself plus for the entire

year within a 30-day time frame.

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And that's not counting all the

other work and things that we're

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doing from a risk perspective.

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You're talking about EEOC claims.

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You don't have us in place.

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You're going to get hit with those

left and right because you probably

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don't know the laws that are changing

constantly, the regulations, how

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to even terminate an employee.

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When an employee is wronged, when

they're terminated, the first thing

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they're doing is reaching out to a

resource or a lawyer and filing a claim.

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It might go nowhere, but that

costs you time and money in and

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of regards to where it ends up.

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You want to hire a lawyer to fight that?

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They bill by the hour.

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Thomas Kunjappu: Yeah.

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Kendall Schultz: So when I think of it

from a holistic perspective, if you do

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it right and your hands are in the weeds,

you are directly affecting and impacting

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how the budget is created and spent

with an organization, not only for your

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department, for the entire ecosystem.

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Thomas Kunjappu: So tell me what that

looks like, that ultimately really

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being embedded in the strategy of

the organization itself and people's

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strategy being downstream from that.

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What does that look like if

you're really operating at that

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level that you're imagining?

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It's not even a question that

you're a part of the C-suite.

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It's obvious that we're working on

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the strategy and that you have input.

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What does that look like?

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That you have input.

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What does that look like?

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How do you know that you're operating

at that level as an HR leader?

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Kendall Schultz: You have

to take it upon yourself.

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I don't think that most people in

my seat, especially I would say the

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older generations, it's why I always

lean towards calling it the industry

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is changing to people operations.

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HR is checking boxes and they're taking

emails and complaints and concerns and

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pretty much just being order takers.

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If you want to be a true operational

function, you have to be able to

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dig in to the strategies of how

the company is actually operating.

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There's a lot of business

strategy that comes into play

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when you're in a seat like mine.

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And it doesn't come from

anyone else in the company.

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You have to go in and just do it.

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I ask for forgiveness, not

permission, quite frankly.

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I like to do my homework,

bring everything together.

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I think data points, again,

telling the story, doing your due

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diligence, and then bringing that

directly to your decision maker.

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And what I found is, especially with a

very difficult CEO and founder who maybe

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doesn't like to make decisions or likes

to push things off, you have to show them

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the value and essentially make it so it's

their idea, which who cares who gets the

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credit as long as it gets done, right?

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That's the win-win for everybody.

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I think also I always aim high knowing

I want to land somewhere in the middle.

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It's almost like a social

engineering approach, I would

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say, from an advising perspective.

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And in my experience, it works because

you take what you can get, right?

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It works because you take what you can

get right and if I can get anything out

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of I come to you with three scenarios

and you pick the middle road because

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you're comfortable with it I'm okay

with that because I can build off of

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that and they're going to so you're

starting to spend so it's going to it's

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going to it's going to prove itself

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Thomas Kunjappu: So if you're coming

in with three options, you're thinking

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through how you can be successful

no matter what option ends up

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happening ahead of that decision.

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Kendall Schultz: So even if, let's

say they pick the least desirable

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Thomas Kunjappu: decision

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Kendall Schultz: That's made, number

one, getting a CEO and a founder to make

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a decision in and of itself is a win.

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It's not a no.

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I don't take no for an answer

because even if it is a no, it's

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a not right now and a maybe.

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And I can work with that.

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So if get them to buy in,

even if they're skeptical.

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Thomas Kunjappu: Right.

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Kendall Schultz: I'm so confident in

everything that I've done in my experience

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over the course of my career that

I'm willing to bet my position on the

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decisions that I'm making and presenting.

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And I haven't failed yet.

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And I know that, listen, I

know that doesn't sound very

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humble, but I think it's just

experience and it's people, right?

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I work in people.

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You have to be able to understand how

people operate, what makes them tick, how

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you can make them comfortable in making

a decision and getting that buy-in.

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I think every person is different, but

you have to be the person that really

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sits and evaluates and takes it all in.

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And then how do I approach this

with this person, essentially,

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regardless of their position?

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Thomas Kunjappu: It's refreshing

and it's a great attitude

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to have and self-confidence.

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So speaking of that, you mentioned it.

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So I'd like to, I made a

note because I'm curious.

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I want to dig in.

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How does a new HR leader find 100K in

direct cost savings, not theoretical, in

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their first quarter of coming into a role?

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How does one accomplish that?

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Kendall Schultz: There's

a number of things, right?

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So I think

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there's a lot.

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You got to look at

inefficiencies, number one.

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And that's time.

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I like to look at bandwidth.

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If you go dig into each department,

I want to understand the structure.

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Who's doing what?

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Who's reporting into who?

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Who's responsible for?

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What systems are they utilizing?

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If you have people who are sitting

around and it's very easy when

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you're coming in as a new person

because people are very laxed.

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They get set in their ways.

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They're comfortable.

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Those people tend to fly under the radar.

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You have to be able to bring that to

the attention of your decision makers

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and say, hey, we might need to evaluate

how this department's operating.

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And then you start seeing that they

start buying in and saying, wow,

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we have a lot of money waste here.

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Maybe we have the wrong positions.

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That in and of itself, you

have two people doing the same

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job and you don't need them.

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You could be hiring one person

that could be doing it and

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maybe neither of those people.

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And that's you never want

somebody to be out of a job.

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They're probably going to

get bored and leave anyways.

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So that costs you money as well.

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I think the secondary part of it

is digging into the vendors that

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you're I really believe it is digging

into the vendors that you're, I

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really believe it, digging into

the vendors that you're utilizing.

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How much are you paying?

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I've gone into a company and

they were paying monthly for a

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subscription that they've been

using for the past five years.

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I looked and I've led together and I was,

I evaluated that they wasted $100,000

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just because they were paying monthly.

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So it's in the details.

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And I think it's just, it's like

I said in the beginning, it's

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evaluating and understanding.

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You can't go in and just, the mistake

people make, I think, is day one.

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What am I going to change?

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I've seen it before.

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My last organization, they hired a CRO.

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He was very junior, paid him

a lot of money, hired a CRO.

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He was very junior, paid him a lot of

money, but he didn't stop and evaluate

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what is currently happening now.

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He came in super hot and

wanted to change everything.

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It made a complete mess.

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Nobody respected him.

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I had to have hour-long conversations with

him that took time away from my position.

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That's money being spent out the window.

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So I think it's evaluating

your current structure.

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And I think it really is the

vendors that you're utilizing.

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Thomas Kunjappu: Got it.

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And it's the ability to have impact

beyond just the budget that's specifically

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directed at HR, but actually more broadly.

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Yeah, that's nothing.

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What was that?

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Kendall Schultz: HR, in my

experience, never gets a budget.

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We're the first to be let go

in the last few brought on.

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So they're not going to

really give us a budget.

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They're going to give us the ability

to pitch things that we need.

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But typically, you have

to operate very lean.

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So,

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you know, you have to

create your own budget.

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And I think that's where

my mindset comes from this.

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Because if we don't have

one, how can I get one?

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Thomas Kunjappu: And I've talked a lot of

HR leaders where there's teams of one or

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teams of three, where the ratio, it just

continues on for a while, or really what

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you have are a recruiting team internally.

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And there's no one else thinking

about anything else, which I think

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is what you're advocating for around

like strategic thinking around

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creating an HR team that's able

to deliver past the administrative

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elements or just getting people hired.

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It's tricky.

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And we've been talking a lot about

all the different dynamics, almost

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the internal negotiation dynamics

that you need to master to be

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able to get to these outcomes.

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So we've been talking about, I don't know,

efficiency, redundancies, and like how you

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need to really be almost like ruthless in

getting, finding and executing on budget.

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But something that struck me when we

were preparing was your focus on the

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flip side on psychological safety and

embedding that into your operating model

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and systematically into the organization.

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So can you tell me a little bit

about what that means for you?

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Kendall Schultz: I think everything that

we do, because it's so people-oriented,

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it's embedded in psychology.

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You have to understand people.

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You can't speak to one person one

way and another person another way.

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Everyone's got triggers.

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But I think if you lead with a

psychological approach, you're

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cultivating an environment where

people, one, do feel safe and they're

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more willing to open up and actually

come to you, which is what we want.

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Right.

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We want to be a place where people are

coming to us because we are the HR team.

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We're here for people.

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Companies oftentimes, and this

is again embedded in HR, HR

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is typically for the company.

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People operations is for the best

interest of the employee and the company.

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So we sit on that line.

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It takes a lot of work to

develop psychological safety

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within an organization.

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You have to communicate and develop trust.

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And again, in my last company, I would

say I came in and there was none.

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People were terrified.

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They did not.

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They thought that if they went to

HR, they were on the chopping block.

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went to the root core of it.

366

:

And essentially, when my CEO

was out of town, pulled the town

367

:

hall and spoke to everybody.

368

:

And essentially, I have

an open door policy.

369

:

There is no repercussion for you

coming forward for anything on

370

:

your own behalf or somebody else's.

371

:

And quite frankly, this

led to some very big wins.

372

:

And then if you have one person coming

to you, they have a good experience and

373

:

you provide a resolution or outcome.

374

:

They're going to tell their great

experience of that to their peers.

375

:

You're going to start developing

a culture that just innately has

376

:

psychological safety embedded in it.

377

:

Thomas Kunjappu: Ah, so you're talking

about the concept of, instead of being

378

:

the hall monitor, having someone who's

open, having a posture that is open for

379

:

employees to feel like they can actually

reveal the core of what's on their mind.

380

:

Kendall Schultz: Yeah, I

think that, here's the thing,

381

:

is they're adults, right?

382

:

If you treat people like an adult,

they will either rise to the

383

:

occasion or they won't, right?

384

:

We're not there to reprimand.

385

:

We're there to reinforce policies and

procedures and develop them, obviously.

386

:

But to your point, like,

we are not homeowners.

387

:

These are adults.

388

:

If there's things peer-to-peer that can be

resolved between one another, you want to

389

:

give them the tools to be able to do that.

390

:

They need to be able

to stand on their own.

391

:

And some people would say

you're developing an environment

392

:

where you're not needed.

393

:

But I think that they're

tied to the culture.

394

:

They are the culture.

395

:

So they're going to be the ones that

you want to change and ones that

396

:

are going to give you insight as

to what's wrong with the culture as

397

:

it stands or what's great about it.

398

:

You're opening the door

to have them have a voice.

399

:

And I think that's extremely important.

400

:

And it ties for attention, obviously.

401

:

Thomas Kunjappu: Right.

402

:

If you feel like you can

be open and honest, right?

403

:

But the nuance there is I thought

404

:

it would be more associated with

how embedding that feeling towards

405

:

your peers, your manager, and

leadership more broadly, as opposed

406

:

to the posture specifically with HR.

407

:

But is that like a step along the way?

408

:

Is that a conjecture?

409

:

Kendall Schultz: Your peers and

your leaders, quite frankly,

410

:

you manage up, even your

411

:

CEO.

412

:

It's no different with a junior

level employee than somebody

413

:

who's also in a C-suite with me.

414

:

They're dealing with their own things.

415

:

It just might be at a different level of,

okay, they're managing people and their

416

:

problems might be a little bit different.

417

:

But I think holistically, it's all

tied to the same fundamental approach.

418

:

Thomas Kunjappu: But I guess I wonder,

what are the limits of the leverage as

419

:

an HR function in creating this concept

of psychological safety within the

420

:

context of an employee's relationship

with their manager and with their

421

:

peers and with their C-suite, as

opposed to their relationship with HR.

422

:

So I think in the example, you're talking

about how it's important to ensure that

423

:

folks can feel like they can come to

people operation, let's call it, and

424

:

there's psychological safety there.

425

:

But how do you take that and translate

that into the day-to-day life?

426

:

People aren't talking to HR all day.

427

:

They're working with each other.

428

:

So how does that, how do you translate

that into just the reformation or

429

:

evolution of the culture, which

has lived without you in the room?

430

:

Kendall Schultz: That's the thing

though, if they've never had

431

:

that, you have to be in the room.

432

:

Because they don't have the

tools or the skills, right?

433

:

So if you're bringing somebody who's

reporting into a manager and a manager

434

:

into a room, you have to be there

to help almost mediate and get them

435

:

to a point where they can then take

those skills and repeat them on their

436

:

own or build off of them and then it

seminates across the organization, right?

437

:

But you can't do it on a piece of paper.

438

:

You can't do it in a policy.

439

:

You can't do it through an email or Slack.

440

:

You have to be involved.

441

:

In my experience, if you're not, you're

only sweeping things out of the rug

442

:

because you're leaving them to their

own devices and not everybody's equipped

443

:

to understand the psychological safety

approach or even what that means.

444

:

I can tell a manager, hey, you

should do this, try this and this.

445

:

Okay, they might go and do it, but

maybe their direct report has a

446

:

problem with their tone, and their

tone was still that way in them.

447

:

You see what I'm saying?

448

:

So you have to get to the root problem and

provide awareness on both sides so that

449

:

they can come together and move forward.

450

:

Thomas Kunjappu: Yeah, it sounds like

you're really advocating for setting

451

:

examples and being consistent in setting

examples throughout the organization.

452

:

And then that can slow down.

453

:

Slowly start to snowball into shifting

the culture forward, especially in

454

:

environments where you have folks

without a lot of experience in

455

:

either management or people dynamics

or a real focus on it, right?

456

:

Yeah.

457

:

And speaking of that, it happens a lot.

458

:

Kendall Schultz: There's a lot of,

let's promote this person because

459

:

we don't want to lose them, but

they have no experience in managing.

460

:

There's no training oftentimes.

461

:

So I've had to advocate for LMS

systems, which legally you're

462

:

supposed to have as oftentimes.

463

:

So I've had to advocate for LMS

systems, which legally you're

464

:

supposed to have as well.

465

:

So you reinforce it with certain

tools on your side, but I really do

466

:

think it's human to human and it's

providing that support and guidance.

467

:

Thomas Kunjappu: So

468

:

this is all happening in the

context of, I would say, whipsaw

469

:

environments potentially, right?

470

:

Hyper growth, rifts, rehiring, HR

471

:

teams themselves being the first

ones to be let go and then brought

472

:

back when the times are good.

473

:

There's a lot of whipsawing

happening, right?

474

:

And you've been in so many

environments like that.

475

:

Do you have a playbook in this

context that helps protect culture and

476

:

momentum when there's so much whipsaw?

477

:

Kendall Schultz: I think it's

a fundamental characteristic

478

:

by nature, essentially.

479

:

I wouldn't say it's a

playbook that I follow.

480

:

I think it's just a moral

compass, essentially, based on

481

:

any environment I'm going into.

482

:

But I do think it's, I've often been told

483

:

that I advocate to the fullest, right?

484

:

So I make sure that I speak up.

485

:

I continue to hammer the problem

home until people understand and

486

:

see that there needs to be change

or something needs to be addressed.

487

:

There was, I'll tell you, there

was an incident, for example,

488

:

there really was no culture.

489

:

It was a very negative culture.

490

:

It was fear culture, I would say,

in an organization I worked in.

491

:

This employee came to me because she

had been promoted to a marketing team.

492

:

She was going to have to work with the

Chief of the Design marketing department.

493

:

Come to find out, this was her first job.

494

:

She had been there for two years.

495

:

She started during COVID.

496

:

They had an outing, apparently,

and this was prior to my start,

497

:

where, you know, he made some

suggestive, inappropriate comments.

498

:

And it was continual throughout the entire

event that they were kind of team bonding.

499

:

She reported it and nothing was done.

500

:

Now, fast forward to her promotion,

she now has to sit in a room

501

:

and work with this individual.

502

:

She's very uncomfortable.

503

:

The fact that she even stayed

is insane because there's also

504

:

the...

505

:

She can sue or do something about

it there's a three-year statute of

506

:

limitations and she's still working

there so it hasn't even started yet the

507

:

second I found out about this got up

out of my seat which if you're in person

508

:

I think I ran around my office because

you have to have a presence I went

509

:

directly into my CEO and Founder's office

and pretty much laid it on the line.

510

:

And from a moral perspective, essentially

said, if he's not let go, I will quit.

511

:

And he was terminated the next day.

512

:

And he had been working

there for seven years.

513

:

This has been a fantastic

conversation so far.

514

:

If you haven't already done so,

make sure to join our community.

515

:

We are building a network of the

most forward-thinking, HR and

516

:

people, operational professionals

who are defining the future.

517

:

I will personally be sharing

news and ideas around how we

518

:

can all thrive in the age of ai.

519

:

You can find it at go cleary.com/cleary

520

:

community.

521

:

Now back to the show.

522

:

Thomas Kunjappu: Oh, wow.

523

:

Okay.

524

:

Okay.

525

:

So that takes a clear moral compass.

526

:

So this is you're mentioning

in this case where, I mean,

527

:

there's something like proactive.

528

:

Arguably, it's in peacetime.

529

:

Right.

530

:

But it's a it's an example of that.

531

:

Yeah.

532

:

I think what is really tough for so

many employees is like in these times

533

:

of whipsaw where they're like there's

a certain way that we're working.

534

:

But then the reality is all

of a sudden there's a riff.

535

:

Right.

536

:

And there's like this potential

like breach of trust systematically,

537

:

which is really hard regain.

538

:

I think many of our listeners

have been through that

539

:

on different sides of that.

540

:

And no one has empathy, let's

call it for HR leaders as they're

541

:

like executing through that.

542

:

But this is a really tough example.

543

:

But then on top of that, when it's

happening systematically in the

544

:

organization, how does that ethical

and moral compass, how does that

545

:

guide you in these situations?

546

:

Kendall Schultz: I think

I've been through a lot.

547

:

I've had to lead and charge a

lot of risks in the office and

548

:

in restructurings, essentially.

549

:

And you can use either term

interchangeably, obviously.

550

:

But I think the most important

part is you need to do right by the

551

:

individuals that you're letting go.

552

:

So it's dependent upon, let's say,

you also have, there's also situations

553

:

from a state perspective, if you let

go of a certain percentage, you are

554

:

required by law to give garden leave.

555

:

Now, if not, and let's say it's just

under the gun and you can do what you

556

:

want, and I don't say me doing what I

want, but the CEO and founder who's making

557

:

essentially this choice and decision and

then handing it over for us to execute.

558

:

Right.

559

:

I'd like to sit down and essentially

say, let's build out a model here.

560

:

OK, so how long have

the structure and tiers?

561

:

This person's been here a year.

562

:

What is fair?

563

:

I know that realistically,

they're probably not going

564

:

to have a job for 30 days.

565

:

And then in this economy,

it's probably even worse.

566

:

Right.

567

:

So if they've been with us for

two years, let's give them two

568

:

months, things of that nature.

569

:

And there's some negotiating

in there as well.

570

:

I present a plan essentially

before anything's even executed to

571

:

ensure that we're doing right by

the people that we're letting go.

572

:

That's number one.

573

:

Secondarily, you need to get in

front of the employee population

574

:

and you need to calm their nerves.

575

:

I think it needs to come from the top.

576

:

I think it needs to come

from your HR leader.

577

:

And I also think it

needs to be reinforced by

578

:

your department leaders and managers.

579

:

Right.

580

:

So you also have to give them the tools

for people who are going to come to

581

:

them so that they alleviate some of that

what am I next, that nervous energy and

582

:

anxiety that comes along with seeing

your peer no longer sitting next to you.

583

:

It's transparency and

it's open communication.

584

:

And you're going to have people who it's

going to impact their performance, right?

585

:

So it takes a little bit more of

handholding with those leaders to ensure

586

:

that people aren't falling behind.

587

:

That is an empathetic approach.

588

:

And there's, again, a lot

of psychology behind that.

589

:

People are not just

coming in and operating.

590

:

They do have a personal life.

591

:

They do have feelings.

592

:

They do have things that are impacting

their day-to-day that are outside

593

:

of those walls of that office.

594

:

So I think just being mindful of it and

being a human being about it, although it

595

:

is difficult and it's a business decision

and it has to be done, I also like to

596

:

be a source for people that we let go.

597

:

I will be a reference.

598

:

I will help network with you to, if

I hear of a job, I will connect you.

599

:

I will push you forward to agencies and

things that I know exist that I have

600

:

contacts to help you find another job.

601

:

I don't know that everybody

does that, but I do.

602

:

Thomas Kunjappu: Thank you for going

through some of these examples of how

603

:

you might tactically deal with something

that so many of us have been a part of

604

:

in the last few years with the whipsaw of

the COVID boom and end of zero interest

605

:

rate, end of ZERP and all the rest, right?

606

:

Kendall Schultz: There's

607

:

the ups in

608

:

that.

609

:

Thomas Kunjappu: We've all lived it.

610

:

But through that, I think one of

the things I definitely wanted to

611

:

talk to you about was the concept

of HR operations as a product.

612

:

So you've been talking about that.

613

:

And I'm very curious because my own

background is in product management.

614

:

So tell me about how you think about the

service or the product that you offer

615

:

and how that metaphor is useful for you.

616

:

Kendall Schultz: Yeah, I think I like

to think of HR as an iceberg, right?

617

:

People only see the tip.

618

:

There's so much that goes into

operating an organization,

619

:

building out an organization,

which by association we are doing.

620

:

You have to look forward and

align with the company goals.

621

:

And if a company doesn't have goals,

622

:

you have push them to understand what they

are, bring the right people into the room.

623

:

What is everybody working on?

624

:

Where are we working towards?

625

:

What is it going to take to get there?

626

:

Because with that information, I can

then evaluate, okay, what do we need to

627

:

do and what do we need to prepare for?

628

:

So a company changes at 100 people.

629

:

It changes again at 200.

630

:

It changes again at

500 and again at 1,000.

631

:

The way you operate and the things

you have in place today are not

632

:

necessarily going to work tomorrow.

633

:

So you have to anticipate,

just like a product,

634

:

where do we need to innovate and improve?

635

:

And when do we need to do it?

636

:

I push my team and I get pushed

back sometimes until they

637

:

understand where I'm coming from.

638

:

To do the extra work now, it might not be

needed right now, but it sure is going to

639

:

be helpful and useful for us to build off

of what we're going to need to do next.

640

:

So if you do the work on that

now and you had some of that

641

:

prep, it goes a lot faster.

642

:

You can get business decisions a lot

faster, build business cases a lot faster.

643

:

You're not sitting and

digging for the data.

644

:

I'll use Greenhouse for an example.

645

:

Right now, we want to get to a point

where we can proactively understand

646

:

how many people we need to hire.

647

:

We're moving into North Carolina.

648

:

I put greenhouse in place because

they have the best data in the market

649

:

if you set up your product properly.

650

:

I leverage that to show tracking and

trends of what is our activity, where

651

:

are our bottlenecks, where are our gaps.

652

:

That's going to lead you into, okay,

what is our objective in our plan?

653

:

How many people is it going to take?

654

:

We can actually build out a timeline,

essentially, of not only how many people

655

:

do I need on my team now to be able to

fill the needs of this business in a

656

:

specific amount of time, but we can also

agree to a certain number of hardwoods.

657

:

Based on the productivity

that we've had in the past.

658

:

It's just like a product.

659

:

You're looking back at how it's

evolved and how it's been adopted,

660

:

where there are the gaps in how

you can tackle and improve those.

661

:

We are a product team to a certain extent.

662

:

Our product's just people.

663

:

It really is.

664

:

Thomas Kunjappu: Every product team

then is being impacted and is thinking

665

:

about how AI will come into the adoption

loop or into the processes and the

666

:

systems that they've put in place.

667

:

How do you think about that

within this, especially with this

668

:

concept of HR ops as a product?

669

:

Kendall Schultz: It's funny

because when I left my last job, AI

670

:

really took off in a way that had

never really impacted my industry ever.

671

:

We really operate.

672

:

Not much has changed, really,

other than the fundamentals

673

:

and how we approach things.

674

:

But the tools that we've had

have consistently been the same.

675

:

been a department or industry that

not many people have paid attention

676

:

to and from a toolage perspective.

677

:

Not many people have paid attention

to and from a toolage perspective.

678

:

I would say about June of last

year, July, August is really when,

679

:

okay, hey, AI can hire for you,

so you don't need humans anymore.

680

:

These products are brand new, and you're

putting them with people that can sure

681

:

can implement a system, but have never

implemented something like this before.

682

:

It's enablement tool, which

means you still need human

683

:

beings to be able to operate it.

684

:

Now, if you ask anybody, the market

was a mess because you have a number

685

:

of people applying with a system that's

new that hasn't really had a chance

686

:

to operate and collect the proper

data, knocking out almost everybody

687

:

before it even hits a real person.

688

:

So you have jobs that

are not getting filled.

689

:

That's churning and burning cash.

690

:

You have people getting burnt out

and leaving positions because of it.

691

:

And now, okay, wait, maybe we

need one recruiter and they're

692

:

sourcing the same people.

693

:

So talk about money ways.

694

:

Now, do I think AI is good?

695

:

A hundred percent.

696

:

I think we can leverage

it in a number of ways.

697

:

I think about sourcing automation.

698

:

People are out there.

699

:

If we can put in keywords and locate

individuals, I'm all for that.

700

:

And put them into a pool, into the

ATS, scrape and source and do all of

701

:

that, that takes time away from my

people that they have to go on LinkedIn

702

:

and search in Boolean strings, right?

703

:

We've been working on

Boolean strings for decades.

704

:

Thomas Kunjappu: Yeah.

705

:

Kendall Schultz: So I think it's

something that's going to be important,

706

:

and I think it's going to

change our industry a good bit.

707

:

But I think the businesses need to

understand the impact of it, and I think

708

:

the companies that are selling it need

to understand what they're actually

709

:

pitching because it can be detrimental.

710

:

And we've seen that over

the past 10, 12 months.

711

:

Thomas Kunjappu: Yeah, I've heard

this narrative, not narrative, but

712

:

just like this perspective from a

lot of operators that the AI vendors

713

:

are just beating us over the head

with AI this and that and everything.

714

:

Is going to change.

715

:

And effectively, it's a landscape where

there's a lot of over-promising happening,

716

:

which I think is what you're saying.

717

:

But then you didn't mention, though,

that there's some future where

718

:

there can be maybe some of that

can happen, but at least for now,

719

:

you need to be, there are elements.

720

:

So you specifically called out sourcing as

an element where you actually see value.

721

:

So have there been actually any

integrations or implementations

722

:

that you can speak to already that

right now you feel are already

723

:

starting to make improvements and add

efficiencies to your team and workflows?

724

:

Kendall Schultz: Yeah.

725

:

So, again, I could be a

promoter of Greenhouse.

726

:

They are tried and true.

727

:

And they actually acquired a company I'm

at a loss for the name of it right now.

728

:

But they actually already had sourcing

automation built into their system.

729

:

So it was an offering that they

did their due diligence on,

730

:

purchased the organization and

built it right into their system.

731

:

It's phenomenal because it can scrape

LinkedIn and can do certain things.

732

:

But I do think that there's still

room for improvement, obviously.

733

:

I think there's a lot of room

where AI can come into play.

734

:

I would love to see it tackle

like career fairs and events.

735

:

My team's at a career fair

right now in New York City.

736

:

Maybe we can do something with AI that

allows us to attract candidates as opposed

737

:

to the traditional marketing aspects.

738

:

I'd love to be able to do that

through a platform because

739

:

it is very manual right now.

740

:

So that marketing landscape

hasn't changed a whole lot.

741

:

But there's, you know,

there is a way to do it.

742

:

I'm not an AI expert by any means.

743

:

It's really not my forte.

744

:

But as an end user, look, I like ChatGPT.

745

:

I'll write my emails, plop it in,

make sure that it comes out right.

746

:

So it is a useful tool if

it's in the right hands.

747

:

Thomas Kunjappu: So let's talk

about those hands and how they

748

:

may need to evolve over time.

749

:

So if you had to look ahead a

little bit for the HR function

750

:

itself, and maybe there's some

over-promising with AI recruiters.

751

:

But across all the different use cases

and types of programs that we run in

752

:

the function, there's potential for at

least parts of it for AI to take over.

753

:

So then if you step back and think about

your team or teams like yours, or in PE

754

:

or VC-backed environments that are, I

don't know, growth-focused and need to

755

:

be focused on being lean, what do you

think is going to be demanded more of from

756

:

the HR and people operations function?

757

:

And are there things that are going

to be demanded less of in the future?

758

:

Kendall Schultz: That's a tough question,

quite frankly, because I still believe

759

:

that most organizations still don't

understand HR or people operations,

760

:

whichever you want to call at this point.

761

:

They demand whatever you're

willing to give them.

762

:

I've been in seats where I was hungry

763

:

and I I was hungry and I tackled

everything and next thing you

764

:

know I'm doing payroll systems

and I'm handling green cards.

765

:

Opening entities in

766

:

Dubai.

767

:

I'm handling office management.

768

:

I've had to take a step back after that

769

:

to essentially say okay, this is

what we do and what we don't do.

770

:

There's a lot of education that is

needed, I think, around what HR's

771

:

functionality is and what we offer

and what we're supposed to be doing.

772

:

Because we're looked at

as a support function.

773

:

And if this team can't do

it, we'll give it to the HR.

774

:

They'll figure it out.

775

:

So I really don't think less

is going to be demanded of us.

776

:

I think it's more of education and

boundaries in terms of holding other

777

:

departments and teams accountable

and teams accountable to not

778

:

hand off work because I think

that happens quite frequently.

779

:

They pass the buck, especially in

PE-backed companies because you're

780

:

walking into an organization where

there's never been somebody who's

781

:

actually had recruiting experience.

782

:

So they're hiring on a whim.

783

:

I like this person.

784

:

They're great.

785

:

So you have, again, had a whole

team that I was working with

786

:

that was all in accounting.

787

:

They had zero finance experience.

788

:

There was not a finance team.

789

:

So we had to hire the right people.

790

:

I think it starts with hiring the right

people for your HR team and putting that

791

:

as a focus, because it ties in there.

792

:

We've talked about culture, retention.

793

:

I know we veered off a little bit AI,

but I think it has nothing to do with AI.

794

:

I think it really, we're not there yet.

795

:

I think people just need it.

796

:

Thomas Kunjappu: So then,

yeah, let's talk about that.

797

:

What skills matter most for HR

over the next couple of years?

798

:

Is there anything that's becoming even

more central and important to the role?

799

:

If I were reflecting what you're just

saying, it's just like the ability to

800

:

be an ambassador and like selling the

role itself and like talking about what

801

:

to expect and not expect confidently.

802

:

But yeah, tell me what you think is

going to be what's going to really

803

:

matter in terms of skill sets.

804

:

Kendall Schultz: In

805

:

my space need to develop that

approach because we need to band

806

:

together to start changing the

landscape within these organizations.

807

:

It's very individualized.

808

:

I can step into a role in a

company and I'm working one way.

809

:

My peer can step into a role

in a different company and he

810

:

or she's working another way.

811

:

So I think we need to set a precedent

and I think we need to have a voice

812

:

and we need to be able to show

that we are an industry in a vital

813

:

department that is needed in companies.

814

:

I think that message needs to be

spread across the landscape of PEs

815

:

and VC-backed growing organizations.

816

:

change that.

817

:

We have a lot of work to

do just ourselves, I think.

818

:

And it comes from us and networking and

getting together and knowledge sharing.

819

:

tap into my network and I want to

know how somebody's handling this.

820

:

I want to understand what trials

and tribulations they're dealing

821

:

with and how they've tackled it.

822

:

I think that's really where it starts.

823

:

It starts with us and it starts with

developing a message and again, having a

824

:

seat at the table holistically, I think.

825

:

The C-suite, yeah, we're part of

the C-suite, but does everybody

826

:

recognize that within an organization?

827

:

No, not always.

828

:

So we're at the baseline, I

think, of the work is there.

829

:

The skills are there.

830

:

It's recognizing the vital of

our department and our role.

831

:

Thomas Kunjappu: Yeah, I'm

almost translating that in my

832

:

mind is like negotiation skills.

833

:

Like you're basically negotiating

the rationale behind your role and

834

:

what you're doing day-to-day in your

department and resetting in many

835

:

cases what that actually is for the

C-suite that you're collaborating with.

836

:

Because even if they're hiring a

co-C-suite member, they might not have

837

:

the experience of working with someone

at that level with the new way of working

838

:

where you actually can be strategic and

be a leverage point for the organization.

839

:

And often many people are hiring for,

because like you said, they're supposed

840

:

to, they're told that they're supposed to.

841

:

And then the real outcomes that they're

focused on is, okay, I guess they

842

:

can run the compliance things that

we need and then they can go and try

843

:

to help us hire a bunch of people.

844

:

But then putting those pieces together

is not necessarily something people are

845

:

naturally thinking about or asking for,

but that's the gap that you need to

846

:

discover on your own if that exists and

then go ahead and jump into that, right?

847

:

Kendall Schultz: Yeah, I think there's

a combination, and it just light

848

:

bulb went off my head a little bit,

with when they're told that they

849

:

need to hire somebody, again, as

I mentioned, it's, okay, can I get

850

:

a person at this level, like three

years of experience making $80,000?

851

:

They don't understand what they even

need, which is, again, they're calling

852

:

them Head of People, or they're

calling them Chief People Officers,

853

:

but they're three years out of school.

854

:

And they're like, why aren't they?

855

:

They can't do this.

856

:

There needs to be education within our

space that there are people out there at a

857

:

senior level that have years of experience

that have been through the trials and

858

:

tribulations and can share the successes

of why you need to hire and invest in

859

:

somebody more senior because you're

just putting a band-aid on the bullet

860

:

wound to a certain extent with hiring

somebody who's junior and expecting them

861

:

to do everything that this role entails.

862

:

So again, I think it's education

and helping them understand

863

:

what the job description is.

864

:

Thomas Kunjappu: Yeah, so then as we

close out here, Kendall, if you're

865

:

talking directly to your peers, other

hR leaders, and for what really matters

866

:

for the function as we're trying to

future-proof hR and people operations,

867

:

is there a message that you have or

something that comes to mind that

868

:

you would share with your peers?

869

:

Kendall Schultz: Yeah, I think

we all face no's and we're

870

:

fighting uphill battle every day.

871

:

But I think the more that we push

back and show the worth and value of

872

:

what we do, that's going to change

the landscape and the mindsets of

873

:

leaders, CEOs and founders, regardless

of what industry they're in,

874

:

regardless of what space they're in.

875

:

We need to start stepping up

in a way that we're not looking

876

:

at protecting our job security.

877

:

I think that's, I lead with that.

878

:

Quite frankly, I put myself on

the chopping block to ensure

879

:

that things are done right.

880

:

We can't be afraid that

we're going to lose our job.

881

:

We have to create the space and

you won't lose your job if we're

882

:

all doing things that we should

be doing and advocating employees

883

:

that we're supposed to be serving.

884

:

Thomas Kunjappu: I think that's

a great a place as any to leave

885

:

the conversation, Kendall.

886

:

Let's extol everyone out there to have

the courage to do what you probably

887

:

know is right and just lean in there and

make the case for what you want for the

888

:

organization as well as your function.

889

:

And we can move beyond a fear-based

thinking, which I think is prevalent

890

:

actually at this particular moment

with a confluence of factors, with

891

:

the economy, with the hiring cycle

that we're generally in with the

892

:

labor market, as well as AI coming in.

893

:

But thank you.

894

:

So I think it's a very

timely conversation.

895

:

As many folks out there who

are listening are looking to

896

:

future-proof their organizations,

as well as their HR functions.

897

:

And this is a bit of a roadmap, I think.

898

:

Some ideas there about

how you can stay relevant.

899

:

And it'll really stay with me, the

concept of educating your C-suite, right?

900

:

Educating your peers within your function

about what you can and cannot do, but

901

:

leaning into as many things as possible.

902

:

And thank you for all these examples

with the level of specificity at which

903

:

you need to be actually engaged to

actually get that seat at the table.

904

:

So with all that said,

thank you again to Kendall.

905

:

And for everyone out there,

good luck as you're on your own

906

:

journeys to future-proof your

907

:

organizations and the function overall.

908

:

I'll see you on the next one.

909

:

Bye now.

910

:

Thanks for joining us on this

episode of Future Proof HR.

911

:

If you like the discussion, make

sure you leave us a five star

912

:

review on the platform you're

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913

:

Or share this with a friend or colleague

who may find value in the message.

914

:

See you next time as we keep our pulse on

how we can all thrive in the age on AI.

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