The Chief Happiness Officer Blog

Category: Leadership

Leadership is an insanely important discipline. Here you’ll find the thought, tools and tricks of the trade of great leaders.

  • Want better work-life balance? Learn from Denmark!

    Copenhagen Balance

    3 of my fellow Danes, Camilla Kring, Vivi Bach Pedersen and Anders Raastrup Kristensen have written a report on how Danish businesses have become more productive by focusing on work-life balance.

    This is how they open the report:

    The future can be found in Denmark. In this report we show how some of the most successful companies in Denmark developed their business through an innovative, results-oriented focus on balancing employees’ work and private lives.

    • Denmark has a unique position in the world when it comes to balancing work and private life:
    • Denmark has one of the highest participation rates for women in the workforce. (75% of women are in the workforce).
    • Among all EU countries, Danish employees have the highest degree of influence over their work.
    • (85% of employees indicate that they have an influence on their work situation).
    • Danish employees have some of the world’s most flexible work conditions. (43% of employees can regulate their work hours to meet their private needs).
    • Danish employees have some of the best maternity/paternity leaves in the world (combined one year leave per child).

    The crucial insight in the report is that work-life balance is not about sacrificing business goals for the employees’ well-being. In fact, a good work-life balance makes the company more successful and profitable.

    Read the whole report here – it’s clearly very written and has many tips and ideas for workplaces all over the world who want to create a

  • David Marquet: Happiness at work on a nuclear submarine

    When David Marquet took command of the nuclear submarine USS Santa Fe, he knew he needed to change a lot of things. It was the worst performing submarine, was never ready for its missions on time and was basically the laughing stock of the US navy.

    David came in with a plan to improve the results on the submarine and thereby make its crew happier. By accident, he found that he had to do it the other way around: Make the submarine a happy workplace and results would follow.

    The new plan worked, and the USS Santa Fe became the best performing submarine.

    In this speech from the Arbejdsglaede Live! 2013 conference, David Marquet explains how he did it and how you can create a happier workplace too.

  • Watch this awesome speech by Charlie Kim, CEO of Next Jump

    I recently wrote about New York based company Next Jump and the world-leading things they’ve done to create a very happy workplace.

    Here’s a fantastic speech from their founder and CEO Charlie Kim where he talks about the principles behind Next Jump:

    It’s an hour long and I highly recommend watching the whole thing.

  • Watch this incredibly inspiring speech by Charlie Kim, CEO of Next Jump

    I recently wrote about New York based company Next Jump and the world-leading things they’ve done to create a very happy workplace.

    Here’s a fantastic speech from their founder and CEO Charlie Kim where he talks about the principles behind Next Jump:

    Watching it, I was constantly entertained, enlightened and inspired. Two of my favorite points are Kim’s assertion that corporate values are meaningless (or possibly even harmful) and his passionate advice to get comfortable with failure. It’s great, great stuff.

    It’s an hour long and I highly recommend watching the whole thing.

  • Can you cope with criticism at work?

    PraiseI am quoted extensively in this CNN article about criticism and praise in the workplace.

    The article also quotes two interesting studies:

    The study, done by the University of Michigan Business School several years ago, compared team performance to the frequency of praise and criticism given within the teams.

    The best-performing teams used about six times as many positive comments for every negative one. It found that the worst performing teams, on average, used three negative comments for every positive one.

    American psychologist, John Gottman, has found a similar ratio for positive and negative comments from spouses leading to happier marriages.

    This is a topic we work with extensively because constructive feedback (both negative and positive) is so important for creating a happy workplace. Check out some of our other articles on this below.

    Related posts

  • Happiness at work at Next Jump

    nextjump

    On my speaking tour of New York and Boston last week I had a chance to visit Next Jump and talk to their CEO and founder Charlie Kim and what I saw and heard there just blew me away.

    What they’re doing to create a happy workplace is world-leading. Some of what they’re doing is great, some of it is insanely great and one thing they do is almost unheard of and completely revolutionary. Read on to find out what that is.

    Next Jump’s business is employee rewards programs. Companies who sign up with them can offer their employees discounts at over 30,000 merchants on everything from groceries, diapers and pet food to cell phones, computers, car rentals and travel bookings. 70% of the Fortune 1000 companies use Next Jump and they cover over 100mm+ users globally.

    Their HQ is on 5th avenue in New York and they also have offices in Boston, San Franscisco and London. They have around 200 employees, 75% of whom are highly skilled engineers.

    They have a great culture and great results have followed: 90% of Next Jump’s employees say they love their jobs. Not like – love! Employee turnover is essentially 0, which is almost unheard of, since so many of the employees are highly sought after engineers from MIT and other top US east coast universities. They are also profitable AND growing like crazy.

    IMG_1864
    Dance battle. That’s the CEO on the right boogying down.

    But why are they so successful and happy? There are many things the company does right. Here’s a small sample:

    • There’s a gym where employees can work out. Many companies do and in most cases those gyms lie empty. To actually get people to use the gym, each Next Jump employee belongs to a team, each workout counts towards your team’s weekly score and the winning team earns points. At first only 5% of the employees worked out regularly, in the past 3 years over 80% of the employees have worked out a minimum of twice a week.
    • Subsidised vacations means the company will cover half your family’s vacation expenses (up to $5,000). They want you to take your vacations!
    • Free food – and they really want you to eat well. the first free meal was breakfast. A healthy lunch was then added as an incentive to those who attend a lunchtime fitness class. Healthy dinners are all around building community through eating together.
    • Next Jump is massively into mentorships and coaching and every employee is constantly being encouraged and pushed to grow and develop both professionally and personally.
    • Once a year they fly all employees in for a company party. Main feature: The dance-off. And everyone must dance. There’s more here.
    • They encourage charitable giving. For instance, after hurricane Sandy, many low-salaried new yorkers couldn’t work and therefore lost out on important salaries. Next Jumpers gave 10% of their paychecks to these “Forgotten Ones” and started handing out envelopes of cash with a note explaining where this money came from. People then reported back with pictures and stories which you can see here.

    Now, all of these practices are great and definitely contribute to happiness at work. But wait, there’s more…

    slipnslide
    Don’t forget the massive slip’n’slide at the summer party.

    Here are my 4 favorite things that they do at Next Jump to keep their employees happy.

    4: Code for a cause

    While giving money to charity is great, Next Jump encourages employees to also give something even more valuable: Their skills. Employees can team up to develop much-needed IT solutions for charities who can’t otherwise afford to pay to have these systems done.

    Employees get a true feeling of satisfaction from helping a worthy cause and from directly seeing how their work helps others. Read more about code for a cause here.

    3: MV-21

    While Next Jump of course has a CEO and a board of directors, it also has something very different. Every year the entire company votes to select a team of 21 leaders called MV-21. For the next year, this group has two responsibilities:

    1. They are responsible for growing Next Jump’s core business results.
    2. The group is responsible for leading and developing the company’s culture.

    The key thing here is that this group is voted on by the whole company and not hand-picked by the management team. This means that the company is led by people others want to follow.

    mv21group002
    The MV-21 leadership team.

    If you’re wondering, the “MV” stands for Martha’s Vineyard (a vacation island off the coast of Cape Cod, Massachusetts), where one of Next Jump’s investors owns a compound that the company has been using annually for a leadership offsite. The house sleeps 21 and, hence, the tradition of choosing 21 key employees each year was born.

    2: Recognise those who help others

    Many companies recognise and reward those who do well and top performers are showered with accolades and bonuses. While Next Jump does reward performance, they also reward those who help others do a great job.

    Check out this sign which I saw in their reception area:
    2013-03-29 15.01.27

    So “Project Awesome” is not to reward those who are awesome, but those who help others be awesome. Many companies completely ignore those people – at Next Jump they are the heroes.

    1: The No Fire Policy

    This is the insane one and the reason I heard about Next Jump in the first place.

    Charlie Kim, the CEO, had long been a proponent of the “hire slowly, fire quickly” approach but had a change of mind and made the radical decision.

    You can read a great interview with Kim about this policy over at David Marquet’s blog but the gist of it is this: Once Next Jump hires you, they will not fire you.

    Their commitment to you is total and they will go to any length to make sure that you are happy and productive. This is not soft in any way – there is a lot of tough love at Next Jump and people are constantly pushed to go beyond their limits and learn new things.

    There’s only one exception to this rule: If you cheat, lie or behave unethically they will fire you.

    You may think that’s a weird idea, but consider these two things. First of all, this works! Next Jump’s staff surveys have shown a direct impact on both employee turnover and happiness. And secondly, this is only possible because of the other processes they have in place, including some very intentional hiring and a massive focus on developing people.

    Again, read David Marquet’s excellent blog post for more details on this revolutionary policy.

    The upshot

    I left the meeting with Charlie Kim completely fired up about meeting a company with such an unwavering commitment to creating a great culture AND with the balls of steel it takes to try so many innovative or even radical ideas.

    Your take

    What do you think – does Next Jump sound like a good workplace? Is there anything they’re doing, that you’d like to see your workplace adopt? Is there something your workplace does that makes you happy? Write a comment, I’d love to know what you think.

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  • Wow – this is one of the best speeches on happiness at work I’ve ever seen

    You must, must, MUST watch this amazing TEDx speech by Bob Chapman, the CEO of Barry-Wehmiller where he talks about a better, happier and more humane way to run a workplace.

    What do you think?

  • Much of what you know about business is wrong. You will continue to believe it even now that you know it’s wrong.

    “Cognitive illusions can be more stubborn than visual illusions”
    – Daniel Kahneman (Source)

    This quote explains why many workplaces are still unhappy even though we all should know by now, that happy workplaces are not only more fun but also make more money.

    In the image above, every horizontal line is perfectly straight. Don’t believe me? Hold up a ruler to your screen and check.

    OK, now you know the horizontal lines are straight. What does your mind see? Bendy lines.

    And in the same way, managers and employees alike are clinging to cognitive illusions like:

    • Work is unpleasant but that’s normal and there are no happy jobs.
    • The more hours we work, the better.
    • If you’re enjoying yourself, you’re not getting enough done.
    • Managers can never be friends with their employees.
    • It’s a dog-eat-dog world and everyone is just out to screw everyone else over.

    The list goes on… you can add your own in the comments.

    Kahneman also notes how hard it is to change your beliefs, even when you know better:

    When my colleagues and I learned that our leadership assessment tests had low validity, we accepted that fact intellectually, but it had no impact on either our feelings or our subsequent actions.

    So how do we overcome our cognitive biases in the workplace (and in general)? It can be done, but it takes work. Here are 5 steps that help.

    1: Be aware of your biases
    This is where it all starts. We all have cognitive biases (Wikipedia has an exhaustive list) but as long as we are not aware of them, we are slaves to them. The first step to overcome a cognitive bias is to know that you have it. And you do :o)

    2: Follow the facts
    What conclusions do the facts actually support? For instance, if you look at productivity studies, permanent overwork leads to lower productivity, not higher. This is what the research shows. This is fact.

    3: Be willing to acknowledge that you have been wrong
    If you believe A but the facts support B then change your beliefs. Everything else is stupid.

    4: Don’t be afraid to stand out
    But this means going against the flow, since everyone else still believes A. Tough! Truth is not decided by majority rule, and it’s absolutely possible for 90% of any group to be dead wrong.

    5: Use stories
    Possibly the best tool for changing peoples’ minds is stories because stories speak to our emotions not just our intellect.

    The upshot

    Much of what you know about business is wrong. If you don’t do something about it, you will continue to believe it even now that you know it’s wrong. This is bad.

    Your take

    In your opinion, what are some of the most stubborn and pernicious beliefs in the business world? What beliefs have you changed personally? What helper you change? Please write a comment, I’d love to hear your take.

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  • Why are managers so afraid to show some happiness?


    Billionaire Ingvar Kamprad hard at work

    That day, the IKEA store in Gentofte, Denmark is a hive of activity. Not only is there a European executive meeting taking place, but the company founder, Ingvar Kamprad himself, is in the house. That’ll make most employees straighten up and put in a little extra effort.

    The execs wrap up at 6 in the evening, and Ingvar takes a stroll through the store as if this was the most natural thing in the world, kindly greeting each and every employee. He encounters two female employees talking to each other and approaches them with a smile and the words: “And what are too such lovely ladies talking about?” – following up with huge hugs for both of them.

    Ingvar Kamprad is not merely a multi-billionaire and the top guy of company employing well above 100,000 people worldwide – he’s is also a happy person, and he’s not afraid to show it.

    The same goes for many other top executives like Tony Hsieh of Zappos, Herb Kelleher of Southwest Airlines, Jørgen Vig Knudstorp of LEGO and Brin&Page of Google. Richard Branson of Virgin is perhaps the most famous example of a top exec who isn’t afraid of being happy, enthusiastic and funloving.

    Would you dare to? Can people tell that you’re happy from looking at you? Are you walking the halls of your company with a smile on your face, a cheerful outlook and an unflagging faith in the future? Or have you, like so many other managers, bound yourself to an identity that requires a professional, cold, serious, disparaging and businesslike appearance?

    Happiness pays off. Happiness at work is catching – and when the boss is happy, it’s downright infectious. If you, the person in charge, seem unhappy, you dampen the mood of everyone else in the company. This leads to more sick days, more stress, higher staff turnover and lower efficiency. On the other hand: When you radiate energy, curiosity and enthusiasm, you inevitably pass on your attitude to your employees. They grow happier and more creative, and they’ll ultimately end up providing better service to your customers.

    Happy managers also gain a natural rapport with their employees, and people are much more eager to go the extra mile for a happy manager than for an unhappy one.

    However, there’s one downside to being happy that you should be aware of: You may be regarded as less competent. In an exciting psychological study, participants were asked to read an article and subsequently assess the smartness of its author. Half the participants got an article with a negative, critical attitude towards a certain topic – the other half got an article on the exact same topic, but worded in a much more positive way. The study showed that the author of the negative article was perceived as the more intelligent of the two.

    That’s frankly strange, because loads of studies prove that happy people do a much better job. But apparently, many people also think that happy people aren’t all that serious. They’re seen as kind of happy-go-lucky and maybe a bit gullible too.

    On the whole, however, there’s no doubt that the advantages to being a happy manager far outstrip the disadvantages. So what can you do to bring some more happiness into your management style? Here are three concrete and dead simple suggestions.

    1: Smile.
    Look happy when you’re at work. Smiles are infectious and build good relationships. Don’t be fake, though. It has to be a genuine smile.

    2: Look at the bright spots.
    Many managers spend all their time on problems and all the stuff that doesn’t work. Change tack and spend much more of your time praising good work and finding and cherishing the heroes of your organization.

    3: Cultivate optimism.
    Some managers believe that a permanent atmosphere of impending crisis leads to good results, and they work hard to point out threats in order to create a burning platform. That’s a mistake. If you convey calm, optimism and faith in the future, you create a much more efficient and adaptable organization. Optimism is not an excuse to sit around doing nothing – it’s the most important driver of change there is.

    The upshot

    Studies show that managers on average are happier at work than employees but you wouldn’t usually think so to look at them, since many believe that leaders should be serious rather than happy. They forget that it’s possible to be both.

    Smiling and being happy is no substitute for being good at your job of course. You still need to be professionally competent, efficient and a good manager. But the collective experience of some of the most capable and successful managers in the world shows that being happy makes you a better boss.

    That is, if you’re not afraid to show it!

    Your take

    Are you a leader? If so, are you happy and not afraid to show it? Or do you adopt a more professional facade?

    As an employee, have you tried working for happy boss? Or a very unhappy one? What was that like?

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  • The top 5 ways NOT to praise people at work

    In 2011 we conducted a study of 1,000 Danish employees from a wide variety of workplaces to try to find the biggest factors that make people unhappy at work. Our study found that the second biggest driver of dissatisfaction at work was a lack of praise and recognition. Too many Danish employees are unhappy and demotivated at work because, even though they do great work, they hardly ever receive any positive feedback and I’m willing to bet good money that this applies in most other countries too.

    That’s a damn shame because studies confirm that workplaces that have a culture of recognition are happier, have lower absenteeism and are more successful.

    So we need more praise at work, sure, but that’s not enough. It’s also about better praise. We won’t create a viable culture of recognition in a workplace simply by increasing the amount of praise given, we must also improve the quality of the praise.

    It is actually possible to praise employees and co-workers in ways that make them less happy at work.

    Here are the top 5 ways NOT to praise people at work. Do you recognize any of these from your workplace?

    1: Obligatory praise
    Never praise people just because you feel you should. Praise has to be meaningful and earned. This means you can only praise others when there is a good reason to do so – which fortunately is quite often.

    Praise given because you have to and not because you feel the person has earned it makes no one happy at work. It will also undermine all future praise, because people can’t trust it to be honest.

    Also, some people will only give praise and tend to avoid giving negative feedback, possibly in an attempt to avoid unpleasant conversations and conflict. That won’t do. Our study showed that people long for feedback at work. They want to know what they do well but they also want to know what they can do better.

    2: Sarcastic praise
    Imagine this said in a wildly sarcastic tone: “Wow, you just did an awesome job on that, didn’t you?”

    That’s not very likely to make anyone happy at work.

    3: Praise mixed with criticism
    Have you ever heard that you should preface any criticism with praise? Some people argue that the best way to give negative feedback is to wrap it in praise, i.e. you should praise, criticize and then praise again at the end.

    I disagree completely with that approach. I say if you have negative feedback, say so. If you have praise to give, do it. But don’t feel like you have to mix the two.

    The problem is this:

    • The praise you do give seems fake – it’s just a preamble to the real message.
    • It seems like you think people can’t take criticism since you wrap it in praise to soften the blow.
    • In the future when you praise people, they’ll just be waiting for the hammer to drop.

    4: Praising some – ignoring others
    If some people get tons of praise while others are consistently ignored, this is highly demotivating since it give the praise-less a feeling of unfairness and of being overlooked.

    A classic example would be a company where the salespeople get all the praise for getting new customers while the people working in the backoffice, who make the sales possible, are routinely ignored and taken for granted.

    Unfortunately it’s easy to end up praising only those people who get the most visible results and ignoring the people backstage. Its also tempting to only praise the people who are most like you, who do work you immediately understand and who do it the way you would have done it. Therefore we should all make an extra effort to appreciate the people who are not like us.

    This is not to say that praise should be handed out evenly so everyone gets the exact same amount of recognition. In any workplace, there will be people who shine and it’s perfectly alright if they get more praise. But it’s important that everyone gets noticed and praised for the good work they do.

    5: Trivial praise
    I once talked to a woman who got lots of praise from her male supervisor at her last job… but only ever for her looks. This was both creepy and utterly meaningless. She’s a highly skilled professional and she wants to be recognized for that – not for something as trivial as how she looks.

    So make sure you praise people for things that actually matter to them and not for superficial matters and trivial accomplishments.

    Your take

    Have you ever been praised in a way that made you less happy at work? Does your workplace have a good culture of recognition? What’s the best way you’ve ever given or received praise at work? Write a comment, we’d love to know your take.

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