McKesson: High-Volume Veteran-Focused Hiring Solution

McKesson: High-Volume Veteran-Focused Hiring Solution

Life Sciences RPO

McKesson: High-Volume Veteran-Focused Hiring Solution

As one of the world’s largest life sciences and healthcare companies, McKesson required a high-volume hiring solution to fill positions across multiple departments. PeopleScout delivered an RPO solution with a special emphasis on boosting diversity and the client’s veteran hiring initiatives.

10 + Year Partnership
95 % of All Requisitions Have Diverse Candidates
8 % Over 8% Veteran Hiring Achieved, Up from 3.3%

McKesson has engaged with PeopleScout for 10 years. Over the course of our partnership, PeopleScout has managed hiring for a variety of positions including professional, managerial, sales, finance and administrative roles. PeopleScout’s engagement includes a specific focus on hiring veterans in all positions to support McKesson’s goal to become known as a top employer for veterans and military spouses.

Solution

VETERAN TALENT COMMUNITY

PeopleScout created a Veteran Talent Community which provides McKesson with access to thousands of active and passive veteran job candidates and opens the door to additional job opportunities for veterans.

IMPROVED WEB DESIGN

PeopleScout helped to administer a customized McKesson veteran careers webpage to attract and process veteran candidates.

RECRUITMENT MARKETING

Veteran-targeted marketing and sourcing strategies were developed including improving relationships with more than 800 military organizations, posting jobs on veteran job boards and social media marketing.

ONGOING TRAINING

PeopleScout provides ongoing training and education for members of the recruiting team to ensure military resumes are matched with civilian job requirements.

SCREENING PROCESSES

A veteran priority screening process was created to identify and prioritize veteran candidates.

DIVERSITY & INCLUSION

PeopleScout hired a Navy veteran to lead the D&I initiative on the recruiting team.

Results

HIRING SUPPORT

In 2019, PeopleScout managed more than 3,000 hires across North America.

DIVERSITY IMPROVEMENT

PeopleScout provides a diverse slate of candidates on 95% of all requisitions.

INCREASED VETERAN HIRING

Veteran hiring improved from 3.3% to 8.6%.

STRONGER EMPLOYER BRAND

Targeted veteran recruitment and marketing strengthens McKesson’s veteran employment brand, resulting in McKesson being recognized as a leader in veteran hiring by national media outlets.

McKesson’s Veteran Talent Community, veteran landing page and recruitment marketing strategy are supported by PeopleScout’s proprietary talent technology, Affinix.

At a Glance

  • COMPANY: McKesson Corporation
  • INDUSTRY: Life Sciences, Pharmaceuticals, Healthcare
  • PEOPLESCOUT SOLUTIONS: Recruitment Process Outsourcing, Talent Advisory, Affinix
  • ANNUAL HIRES: 3,000
  • ABOUT MCKESSON: McKesson Corporation is a diversified life sciences and healthcare services leader dedicated to advancing health outcomes for patients everywhere. The organizaiton partners with biopharma companies, care providers, pharmacies, manufacturers, governments and others to deliver insights, products and services to help make quality care more accessible and affordable.

COVID-19 Series: How to Capitalize on an Uncertain Talent Market

It’s been an uncertain year; we’re all facing a lot of uncertainty. If there’s one word everyone would like to retire at the end of 2020, it’s “uncertain.”

Unfortunately, uncertainty burnout creates neither more clarity nor more confidence. Therefore, talent leaders need to think long-term and take action to be ready for whatever lies ahead.

However, despite the challenges of 2020, there is a silver lining for employers. This year has created one of the best hiring markets that employers have seen in a long time. At the end of 2019, employers were facing skills shortages and record low unemployment; it was difficult to find candidates for almost any role. Now, there are a vast number of top-tier candidates who are looking for new jobs.

But, those in-demand candidates won’t stay on the market forever and the employers that start hiring now will have a competitive advantage: They’ll be able to capture those high-caliber workers first.

So, how do you get ahead? We asked PeopleScout Vice President of Global Growth Operations and Solution Design, Krista Sullivan de Torres, to talk about how employers can capitalize on the current talent market.

Why should employers take the risk of bringing on new employees during such an uncertain time?

For the past several years, we have been in a candidates’ market. But, unfortunately, due to the pandemic and its economic repercussions, a lot of organizations have had to let go of strong, high-performing employees. This is the first time in recent history where there has been so much outstanding talent on the market – making now a great time to hire.

This moment is a perfect opportunity for employers to look strategically at their own organizations to identify key roles that contribute to their long-term success and then fill those roles with top performers.

Employers that act quickly will have a competitive advantage because they’ll have the best people to guide their own recoveries. It can take a long time to onboard a new employee and get them up and running, especially in a strategic role. So, the sooner you start hiring, the sooner these new employees can add value to your organization.

Are there any common misconceptions you’re seeing about the current talent market?

I think there are two things. The first is about the quality of candidates on the market. Some leaders make the incorrect assumption that employees who are let go during layoffs are not top-performers. While that may have been the case for some organizations in the past, with this pandemic, we’ve seen organizations have to make the really tough decision to lay off or furlough some of their best performers.

The other misconception is that some talent leaders believe that, because there are so many candidates on the market, they don’t need to focus on candidate experience. Great candidates are always going to have options – no matter what the market looks like. It’s true that there is an abundance of candidates on the market now, but if you want to hire the best people, you still need to provide an exceptional candidate experience.

What should employers keep in mind about the candidates who are on the market right now?

It’s important to be mindful of the fact that candidates are also facing a lot of uncertainty. They want to know if they’re joining an organization where they will have the stability to stay and grow over a long period of time.

There is also a lot of fear of change, and passive candidates are less willing to take on new roles. As a talent leader, you should focus on having open, honest discussions with job candidates where you can address their concerns specifically.

What can employers do to ensure their hiring process is safe for everyone involved?

Job candidates are worried about the health and safety of their families. They don’t want to take a role or go through an interview process that would put anyone at risk. At PeopleScout, we’re seeing a lot of clients move toward a fully virtual model to address these concerns. In fact, between March and September of 2020, we saw a 900% increase in the use of virtual interviews by our clients.

Throughout the pandemic, we’ve seen people adapt quickly and grow more comfortable with video interviewing and other virtual processes. Depending on the role, we’re seeing companies add everything from on-demand audio screenings to live video interviews. I think this will stay with us for a long time.

Not every employer is going to be in the position to start hiring now. Where should they focus their efforts?

If your team isn’t in a position to make hires, focus on internal mobility and making sure your current teams stay engaged. This is especially important if your organization has gone through layoffs or furloughs that have left some employees with an increased workload. To support those workers, make sure that you have a clear communication plan around where the organization is now and what you anticipate for the future. Then, talk to employees about the existing opportunities in your organization that align with their own career goals. Find ways you can make adjustments or provide training now and, when new roles do open up, make sure you consider those internal candidates.

I also want to encourage employers not to lose track of their external candidates. This is a key time to focus on improving your candidate experience and building your talent pipelines. Be honest and clear about where you stand now and what your timeline is, but give them the opportunity to learn about your organization or even engage and build relationships with hiring managers. That way, when the time is right, it will be a quick process to reach out, move the candidate through the process and make an offer.

Are there any final thoughts you’d like to leave us with?

There are so many ways that organizations are dealing with this extraordinary time, and we can all learn from each other. This is a great time to reach out and network with other talent acquisition professionals or potentially engage with a partner to learn and share best practices. Because this is all still so new, it’s a great time to be talking to your peers, networking and seeking out best practices.

A Dynamic IT Recruiting Solution to Support Growth and Improve Candidate Experience

A Dynamic IT Recruiting Solution to Support Growth and Improve Candidate Experience

RPO Recruiting for IT Professionals

A Dynamic IT Recruiting Solution to Support Growth and Improve Candidate Experience

PeopleScout partnered with this healthcare revenue and payment cycle management company to provide RPO recruiting solutions for niche IT roles.

3,000 + Annual Hire in IT Roles
40 % Reduction in Time-to-Hire
Tech-Enhanced Candidate Experience Powered by Affinix™
Tech-Enhanced Candidate Experience Powered by Affinix™

A healthcare revenue and payment cycle management company needed an RPO partner to support the rapid growth that occurred when it acquired a healthcare IT business. Healthcare IT is a niche field with a limited number of candidates and many hard-to-fill positions. To meet its new workforce demands, the client engaged PeopleScout to implement a full-cycle RPO program for both exempt and non-exempt hiring. In addition, they partnered with PeopleScout to provide additional support to their internal talent acquisition teams in areas where hiring volume increased through our Recruiter On-Demand (ROD) solution. 

Situation

The client requires a scalable RPO solution that is flexible enough to navigate hiring spikes throughout the year and to access talent in the niche healthcare IT field. PeopleScout’s RPO program spans high-level technology roles as well as HR, finance, marketing, sales, legal, customer service and sourcing for executive-level candidates. Due to COVID-19, the client also required a new digital interviewing platform to create a consistent experience for candidates as they move through the hiring process.

Solution

Solution Highlights

  • Full-Cycle, Exempt and Non-Exempt Hiring  
  • 3,000+ Annual Hires 
  • Recruitment of Hard-to-Fill Roles 
  • Dedicated Veteran Hiring Resources  
  • Tech-Enhanced Candidate Experience Powered by Affinix™ 

SOURCING FOR LEADERSHIP ROLES

The client leverages PeopleScout’s experience and expertise to source executive-level candidates to fill key leadership roles. 

SOURCING FOR NICHE ROLES

PeopleScout’s expert recruiters work with the client to identify qualified candidates in the competitive healthcare technology talent landscape. 

EMPLOYER BRANDING

PeopleScout’s RPO teams consult with the client to craft precise employer branding messaging and a social media strategy to attract talent for hard-to-fill open positions. 

ATS IMPLEMENTATION

PeopleScout assisted the client in the implementation of a single ATS platform to decrease redundancy and recruiting errors and create a pipeline of better-quality candidates. 

IMPROVED CANDIDATE EXPERIENCE 

PeopleScout implemented Affinix digital interviewing technology to ensure a consistent experience for candidates as they move through the hiring process.  

EMBEDDED RECRUITMENT SUPPORT

PeopleScout recruiters are embedded within the client’s organization and work with their internal teams to navigate sourcing, screening and hiring challenges to improve talent acquisition outcomes for all positions in scope. 

DIVERSITY & VETERAN HIRING

To support the client’s commitment to diversity and veteran recruiting, PeopleScout has a specialized focus and dedicated resources in this area. 

IMPROVED METRICS

PeopleScout’s RPO team provides the client’s leadership with full transparency by monitoring and reporting on metrics important to them including time-to-fill, candidate quality and the speed of the recruiting program.

Results

IMPROVED PERFORMANCE

PeopleScout has improved the client’s recruitment performance by merging people, process and technology to enhance the experience with the recruitment process for candidates, recruiters and hiring managers. Average days to offer accept dropped from 62 days to 37 days for exempt positions, and from 40 days to 22 days for non-exempt, below the client’s target goal of 50 and 40, respectively.

INSIGHTS & EXPERTISE

The client values the input and insights provided by PeopleScout’s experienced RPO team and their ability to quickly source and hire candidates for hard-to-fill positions.

ACQUISITION SUPPORT  

The client has successfully navigated the challenges presented by its acquisition of the previous client’s healthcare IT business with the support of PeopleScout talent acquisition professionals. 

EXPANDED TALENT POOL

PeopleScout’s RPO solution has expanded the client’s talent pool and now sources veteran and diverse candidates more efficiently. 

At a Glance

  • COMPANY: Healthcare revenue and payment cycle management company
  • INDUSTRY: Healthcare Technology
  • PEOPLESCOUT SOLUTIONS: Recruitment Process Outsourcing, Affinix
  • ANNUAL HIRES: 3,000+ IT roles

Talent Pipeline and Candidate Engagement

As we return to work, resiliency, business continuity and recovery are fast emerging as critical priorities for business leaders. Creating a talent pipeline strategy for vital roles is one way organizations can build greater resilience, have clear succession plans and ensure talent continuity. However, with hiring freezes and uncertainty around when hiring will resume has left many talent teams in limbo.

That said, there has never been a more important time to focus on building your talent pipeline strategy to ensure you have the best possible talent on your team and are well-positioned as things return to normal. You may not have positions to fill now, but by building a robust talent pipeline now, you will place yourself in a better position when we return to business as usual.

In this article, we cover how to build a better talent pipeline and engagement strategies and best practices for building stronger relationships with your candidate pool.

What is a Talent Pipeline?

A talent pipeline is a proactive talent acquisition strategy that seeks to identify, engage and recruit talent to build a robust pool of candidates to fill roles as needed. Similar to a sales funnel where leads progress through multiple stages of engagement and are eventually converted into clients, a talent pipeline moves potential job candidates through engagement stages that hopefully lead to making a hire. Like most modern recruitment practices, talent pipelining has been derived from proven sales and marketing strategies.

Talent pipeline

With a talent pipeline, organizations can pick and choose from a highly qualified group of candidates who are already familiar with the organization. The key to a successful talent pipeline strategy lies in candidate engagement because recruiting teams are not focused solely on filling open roles. Rather, they are thinking about how to best meet future talent needs through building better relationships with top talent. In addition to better candidates, talent pipelining allows you to diversify your talent pool, deliver personalized candidate experiences and improve your overall employer brand. 

How to Build a Pipeline of Candidates: Talent Pipeline Strategy and Engagement Starts with Your Employer Brand

how to build a pipeline of candidates

Talent pipelining is about influencing candidate behavior, so the first and most logical place to begin when creating a talent pipeline is the answering the following questions:

  • How do you generate interest in your organization?
  • What differentiating factors set your organization apart from other employers?
  • Why should candidates choose to work for your organization?

To find the answers to these questions, you need to turn to your employer brand. In a talent market that’s reeling from the effects of a global pandemic and calls for increasing racial diversity, your reputation as an employer is now more important than ever to attract high-quality candidates.

What’s more, at a time when candidates can quickly look up information about your organization, from compensation and benefits to the work culture and advancement opportunities, building a strong employer brand is paramount. In fact, according to the Harvard Business Review, a negative employer reputation can costs organizations up to 10% more per hire.

To attract and bring top talent to your organization’s talent pipeline, maintaining and personalizing your candidate-facing content should be a top priority. You can achieve this by improving the content on your careers page and in your social media outreach with high-quality resources, guides, videos.

So, how do you position yourself as an employer of choice in your industry and fill your talent pipeline with qualified talent? Below are some simple steps that can help you get started:

Leverage Your Career Site

The first place many candidates will engage with your employer brand will be through your career site. Use your career site to highlight your corporate values, culture and provide a real glimpse of what life for the employees of your organization is like.

Make sure that your employer brand messaging on your career site is consistent with that on your social media channels, company website and review pages such as Glassdoor and Indeed. Also, make sure your career site is mobile optimized as many mid-career professionals are more likely to search for opportunities on their mobile devices. The easier it is to apply and interact with your organization, the more top candidates you will be able to add to your pipeline.

Candidate Engagement Best Practices: Engage Your Talent Pipeline on Social Channels

Social media has fast become a top recruitment marketing channel. Moreover, according to Glassdoor, 79% of job applicants use social media in their job search, so engaging with candidates and presenting a positive employer brand on social media is essential.

For example, you can build a stronger employer brand and engagement with your target audience by promoting authentic conversations about life within your organization and asking candidates to share what they seek in an employer. You should also celebrate employee achievements, share real-life stories, photos and videos to show potential candidates what it is like working with you. This will make it more likely that candidates will feel comfortable applying for positions at your organization.

Your Employees Are Your Best Advocates

Building on your social media strategy, you can also look at employee advocacy as an effective branding and talent pipeline building tactic. Employee advocacy is the word-of-mouth marketing equivalent for recruitment. Your employees can tap into their networks, refer friends to open roles and bring in more candidates into your talent pipeline.

talent pipeline strategy

Identify employees who can act as your brand ambassadors and share the perks of working with your organization with their network and build a great referral pipeline for talent. Candidates are three times more likely to trust your employees over recruiters to provide credible information about your work culture.

How to Build Talent Pipeline: Communicating with Your Talent Pipeline

how to build talent pipeline

Send Confirmation Emails to Candidates

Sending confirmation emails to candidates in your pipeline who have applied to open positions should be an obvious step, as 96% of job applicants want confirmation their application has been received. However, just 8% say they always get one from a potential employer. You can leverage technology and automate your communication with candidates to make sure emails are sent on time and reach candidates.

You should include in your replies a “thank you” for taking the time to fill out your application, let candidates know when they can expect to hear back about their application status. You do not have to provide feedback to unsuccessful candidates, just make sure you tell any unsuccessful candidates that they have not progressed and thank them again for taking the time to apply. This reply can be automated too.

Keeping your Talent Pipeline Warm During a Hiring Freeze

You may have many talented professionals out of work looking for new opportunities but might not be in a position to do any hiring right now. That does not mean that your recruiting activity should be on hold. In fact, this is the perfect time to work on building and nurturing your talent pipeline.

Keeping candidates “warm” is a balancing act, especially in uncertain times. You can keep candidates engaged by sending them updated press releases, and managers can periodically send a personal note or text to keep the lines of communications open.

You can share updates about the conditions at your organization, statements your CEO has made, or other information to give them an understating of how your organization is dealing with this crisis. These efforts might impress candidates and make them want to work with you even if you do not have an opening yet.

Consider Using a Chatbot

Candidates in your talent pipeline will have questions for you – about the role itself, about the application process or the timeline between applying and hiring. If you have high-volume hiring needs, or your internal recruiting teams are stretched too thin to answer all of the questions, deploying a chatbot to answer some of the most common questions immediately can prevent candidates from losing touch with you or becoming frustrated.

If you are wonder if candidates would be happy accepting answers from a chatbot, modern candidates are already interacting with them, because like Alexa or Siri, they mimic our natural conversational styles.

Your job is to figure out what the most common questions will be and craft answers that the chatbot can supply. Just ensure you have a process in place if the candidate’s question was not answered satisfactorily – that the question then gets routed to a human who can answer it.

Conclusion

Ultimately, effective talent pipelining engagement boils down to how you plan, strategize and leverage technology to support your long-term business needs. The landscape for candidates today is drastically different from the past years. Empathy, flexibility and understanding will go a long way in building lasting relationships with candidates and successfully adapting to the realities of a post-COVID world.

Effectively Leverage Social Media to Improve Your Employer Brand

Until about 10 years ago, simply posting a job opening to a career site like Indeed or Glassdoor may have been enough to get you the right talent to fulfill your hiring needs. That’s because in economic climates where job-seekers are abundant, active candidates would search open positions, see your job posting, read the description and decide whether they wanted to apply. Often, that job posting might have been the first time a candidate engaged with or even heard of your brand.

Today, candidates can see and engage with your brand at hundreds of touchpoints before ever seeing a job posting or visiting your career page. And millions more people are looking for lasting employment now due to the pandemic. Whereas traditional in-person interviews declined, the importance of virtual hiring and an organization’s online presence have drastically risen. While this may sound daunting at first, digital recruitment marketing and the rise of social media mean organizations today can spread their message and establish a strong knowledge of their employer brand with prospective candidates – often before those candidates even think about looking for a job.

Regardless of the economic climate and whether we are at the lowest unemployment rates experienced in decades or the highest, a strong social media presence is imperative to an employer’s recruitment media mix. Now, more than ever, we are all tuned in to what our networks are saying, sharing and recommending online.

In fact, according to a report by LinkedIn, 72% of recruiting leaders worldwide agree that employer brand has a significant impact on hiring. Moreover Jobvite research showed that 59% of candidates followed companies on social media to gain insight into their company culture – myself included! When I was considering joining PeopleScout, social media was one of the main ways I researched what it would be like to work here.

Specifically, I kept an eye out for engaging content, interesting comments and overall employee engagement. PeopleScout’s active social pages with relevant content and employees passionately sharing their work achievements were one of the deciding factors when I chose to come on board. After all, if an omnichannel recruitment marketing strategy were what I would advise to my clients, I had to work for a company that led with the best examples.

Building Your Brand

When it comes down to the critical moments throughout the candidate’s journey, what an employer presents online could be the deciding factor for whether a candidate joins an organization. Truly, if a candidate is debating between two employers and one has a nearly nonexistent online brand presence while the other showcases personality, culture and industry-related insights, it’s clear who will win the talent.

And, it doesn’t just come down to one quick, last-minute Google search. To improve your employer brand in a candidate’s mind takes a persistent effort. For example, say you’re looking to hire a nurse, but the ideal prospect is located outside of your region. Attracting that candidate will be a huge undertaking that isn’t going to happen overnight.

It’s unlikely that the candidate will apply for a job at your hospital out of the blue, especially if they’ve never heard of you before. But, what if that candidate saw one of your Twitter posts about the “10 Things You Should Know as a New Nurse”? Or, maybe a friend sent them your Instagram post of an uplifting quote about providing patient care?

By reaching prospective candidates at multiple touchpoints throughout the hiring cycle with a consistent brand presence, you’ll have a much higher likelihood of establishing a positive impression of your brand. Then, when it comes time to apply, and eventually accept a position, the persona you portray online will have a huge impact on those decisions.

But, while your ideal nurse might be active on Instagram, not all candidates will be. For instance, if you’re looking for a C-level executive, you’ll have better luck on LinkedIn. Conversely, if you’re hiring an elementary school teacher, you might reach them best on Facebook. Determine which social media platforms make the most sense to engage your prospective candidates and focus your strategies there.

If You Want to Improve Your Employer Brand, Go Beyond “We’re Hiring”

Regardless of the platform, simply posting job openings isn’t going to cut it. Instead, think about how you can best show prospects what it’s truly like to work for your organization – whether that means showcasing how your people engage virtually or what life is like when you’re all in the office. In addition to insightful thought leadership, share employee activities, first-person stories, and anything that shows a candidate how they can contribute and connect to your company in ways beyond their skills.

Let’s look a little deeper into how you can improve your employer brand presence on each of the four largest social media channels and how you can utilize each of their unique features to your benefit.

LinkedIn

As the largest professional network, LinkedIn is unlike most other social media platforms. With more than 660 million registered users, almost half of whom are active on a monthly basis, it’s the number one platform to reach both passive and active prospective candidates.

Reach more candidates by:

  • Posting career advice
  • Promoting posts to employees
  • Targeting your posts
  • Optimizing your company page with keywords

Instagram

With more than 1 billion monthly active users, Instagram has seen a 43% increase in users since 2017. What’s more intriguing is the fact that 90% of users follow a business on the platform – users are likely to keep up with brands and see what people are saying about them. Plus, according to Sprout Social, Instagram is the leading platform when it comes to engagement, with a median engagement of 1.6% across all industries.

What does that mean for you? Essentially, Instagram is a great way to utilize employee brand advocates and visuals to showcase company culture.

Engage employees and candidates with:

  • Instagram stories
  • Story highlights
  • Creative grids
  • Instagram Live
  • Instagram TV
  • Comments and direct messages

Twitter

Twitter has about 330 million active users worldwide, and 79% of them like to discover what’s new. This fast-paced social network encourages the real-time sharing of engaging and relevant content, so post often and with timely responses to showcase your expertise.

Utilize:

  • Interest-based targeting
  • Twitter Ads
  • Twitter Polls
  • Retweets with comments
  • Tweet replies

Facebook

Facebook has 2.5 million monthly active users, and 66% of them say they “like” or “follow” a brand on the platform.

To showcase your industry expertise as well as your company culture, take advantage of:

  • Facebook Insights
  • Facebook Pixel for retargeting advertising
  • Page invites
  • Boosting posts

Social Media as a Recruitment Tool

By taking efforts to improve your employer brand on social media and taking advantage of what all the different platforms have to offer, candidates should already have a good understanding of your brand and what it represents by the time they’re on the job hunt. Ideally, they’ll have connected with some of your posts and already have a positive feeling about your company culture.

Then, when it comes time to create a targeted recruitment campaign, your social media presence will have done some of the work for you. To capitalize on this momentum and start generating a stream of qualified candidates, a trusted talent advisor can help.

When Vodafone came to PeopleScout in the UK, they asked us to: help position Vodafone with prospective employees at key universities as a youth employer of choice; change the perception of their target audience; and promote Vodafone as a technology company.

After researching the behavior and interests of Vodafone’s target audience, we learned how Gen Z and Millennials want to engage with employers (through short and succinct videos) and what values drive their decisions. We found that they want to work for companies that focus on making the world a better place, as well as promote a social and fun work environment.

This led to Generation Possible – a social media campaign that speaks to Vodafone’s campus and graduate audience, as well as their desire to have a positive influence in the world. The Generation Possible campaign celebrates everyone’s individuality and empowers them to speak from the heart about how to make change for the better.

improve your employer brand

Conclusion

It’s no secret that candidates are going to research your organization prior to applying for any of your positions or even considering you as a potential employer. By balancing postings on job boards with social media and other touchpoints along the hiring process, you can create a well-respected online presence that accurately represents your employer brand and company culture. So, the next time a candidate researches your company, reads reviews or looks at what current employees are saying online, rest assured that a strong social media presence and strategic recruitment campaign will give you all you need to create a lasting impact in a candidate’s mind.

Diversity and Inclusion: Building Employee Resource Groups and Driving Change

Diversity, equity and inclusion have long been a key point of discussion in many organizations’ human resources departments. While the topic has always been top of mind, events in 2020 have shined new light and emphasis on the importance of social justice, anti-discrimination and diversity and inclusion.

Why is Inclusion Important?

employee resource groups

However, according to a PricewaterhouseCoopers Global Diversity & Inclusion Survey, two-thirds of respondents indicated their organizations have not adopted practices to reduce unconscious biases and other barriers to inclusion. Moreover, even among organizations that have adopted such practices, employees are not likely to be aware of the efforts. This illustrates the importance of inclusion in the workplace for candidates.

Creating employee resource groups (ERGs) is an approach you can use to build a more inclusive environment and addresses diversity and inclusion in a more holistic, community-based way. Employee resource groups, also known as affinity groups, have emerged in the workplace as a standard component of diversity and inclusion initiatives. In fact. according to a report from Bentley University, nearly 90% of all Fortune 500 companies have ERGs.

For many organizations, the benefits of employee resource groups have evolved from the primary intent — to provide a forum in which members of an organization who share common interests, issues, or concerns meet to address those issues — to multifaceted benefits that impact an organization’s strategic diversity and inclusion efforts in recruitment, retention, mentoring, leadership development, marketing, customer relations and return on investment.

What is an Employee Resource Group?

The first employee resource groups were initially workplace affinity groups created in response to racial strife of the civil rights era. Joseph Wilson, the former CEO of Xerox, developed the concept following race riots in Rochester, NY in 1964. Wilson and his African-American employees designed and launched the National Black Employees Caucus in 1970 to address racial tension and the issue of workplace discrimination.

Modern ERG programs are the enduring legacy of Mr. Wilson and his colleagues’ courageous efforts. In its most basic form, an ERG is an employee identity or experience-based group that helps employees within an organization build community and share a common cause.

what is an erg

ERGs are generally based on building or strengthening community, providing support and contributing to personal and professional development in the workplace. Most ERGs are volunteer based, though some companies support organizers with a percentage of paid time off or other recognition, including leadership development opportunities.

What is the Purpose of an ERG Program?

While each ERG must define its purpose and goal, common ERG drivers are:

  • An ERG program creates an open forum for employees who share a common identity to meet and support one another in building their community and sense of belonging.
  • ERG programs empower these groups by offering them financial support, organizational support and access to decision-makers.
  • ERG programs facilitate a clear line of communication from ERGs to leadership to voice concerns and solve problems.
  • ERGs provide a resource for leadership regarding employee and community issues, needs and policies.
  • ERG programs seek to advance a respectful and inclusive company culture and reinforce the importance of inclusion.

What Does an ERG Look Like?

ERGs come in a variety of forms, with some of the more popular ones taking the shape of:

  • Diversity groups that foster a sense of belonging among employees that belong to a minority group in the organization
  • Volunteer programs where employees can support charities and other volunteer initiatives
  • Affinity clubs where employees with similar interests get an opportunity to socialize
  • Professional development groups that provide employees the opportunity to share knowledge with their peers from other departments

The Value of Employee Resource Groups and Why is Inclusion Important

ERGs deliver value to organizations and their workforces in multiple ways. They build a sense of community and belonging for employees by connecting people in a social and professional way and encouraging interaction between employees.

What’s more, according to a report from the Society for Human Resource Management, 90% of companies examined said ERGs helped make new hires more comfortable during the onboarding process, and 70% of organizations relied on ERGs to build a workforce to reflect the demographics of their customer base.

ERGs empower employees by giving each group a collective voice to speak with decision-makers and management. Groups are also empowered to assemble and voice concerns as a community. ERGs support learning and development by offering formal and informal leadership opportunities and creating visibility for employees who are active.

ERGs also provide a resource for leadership and decision-makers regarding staff/community issues, needs and policies. And ERGs offer to the company their expertise and experiences to improve equality and equity. They can also be an asset in business decisions to make better, more inclusive products and services.

Lastly, ERGs can also support retention because employees are likely to stay with the company longer if they have built or are part of a strong community within the company and feel heard again, this is why why is inclusion important.

Creating an Employee Resource Group

erg diversity

If you or other employees within your organization would like to start an ERG, it can be difficult to know where to start. Below, we outline the steps to get your ERG off the ground.

Align Your ERG with your Organization’s Broader Objectives

For your ERG to be successful, your purpose should be tied to your organization’s overall mission and values. Is your organization focused on giving back to your community? Or is your goal to build a more diverse workforce?

Choose a topic around diversity and inclusion for your employee resource group that aligns with overall company goals. Think about writing a mission statement for your ERG that touches on your organization’s core values. Showing how your ERG advances the overall organizational strategy will help earn support from other areas of the organization.

Secure Executive Support

Executive support for your ERG is essential for continued success. To gain buy-in, find executive or C-suite sponsors who are personally committed to diversity and inclusion or social impact initiatives. Executives are busy and oftentimes metrics focused, so it may be helpful to come with talking points and data that showcase how an ERG will make a positive impact on your organization.

Make sure HR leaders are invested as well, as you will need their support to share ERGs during the new hire onboarding process and in promotional materials for the ERG.

Building Your ERG Team

Before launching the ERG, establish a communication plan and identify benchmarks for success, including long-term goals and potential challenges. Recruit colleagues willing to take on a leadership role, such as committing to a monthly meeting or making time to plan and execute events.

Then, find other like-minded coworkers who are passionate about supporting your ERG. It’s just as important to have members who are willing to participate and spread the word as it is to have leaders and planners.

Deploying Your ERG Program

A strong communications plan is a major component of an employee resource group’s success strategy. You can begin by creating a simple presentation that outlines the ERG’s goals, events and ideas for participation. You can leverage your organization’s marketing team to use your organization’s brand standards to create a logo for the ERG that ties it directly to the organization. This is an effective way to clearly communicate that your ERG is supported by leadership and is an important initiative.

Equipped with your members and materials, generate excitement for the ERG by hosting a company event. Throwing a happy hour — virtually now, because of COVID-19 — is a great way to introduce your ERG’s mission, lay out future events and recruit attendees to grow your group’s core membership.

How Your Organization Can Support Your Employee Resource Group

Your organization can support your employee resource groups in a variety of ways. Your ERG may receive budget and organizational support. However, your organization should not dictate which groups should form, who should join each group or what impact the groups should have. That should be a decision of the group, but it’s important for the organization to provide tools to work towards and measure that success.

This could include charter documentation, purpose workshop, road-mapping templates and exercises, budget tracking tools, support in setting and tracking OKRs, a platform for communication with their group and potential members, visibility within the organization and meetings with senior leadership.

Conclusion

A sense of belonging and inclusion in the workplace is important in order to empower employees and help them bring their whole self to work. Building a strong network or community is a very important step in creating this sense of belonging.

In order to truly empower and support ERGs, it’s important to give the employee resource groups the autonomy to define the scope of their group, to define membership eligibility and most importantly, to define what success means to them.

Succession Planning: Maintaining Talent Continuity

The immediate response to the COVID-19 pandemic by many organizations correctly focused on workplace safety, maintaining business continuity and preserving relationships with key clients and suppliers.

Now, organizations are rebuilding and preparing themselves for the new normal. And, they are taking a good look at their people, processes and systems, including creating or revisiting organizational succession plans.

Establishing a well thought out succession plan is now more important than ever and will continue to be a vital process as baby boomers move into retirement and skills gaps and shortages that were challenges before COVID-19 persist. In this article, we explore best practices for designing and executing a successful succession planning program to help your organization better prepare for workforce disruptions.

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Five Tips for Leading Teams Through Crisis

What is Succession Planning?

For some organizations, succession planning simply means making sure there are replacement candidates for key positions. For organizations with a more comprehensive view, succession planning is a systematic process to ensure leadership continuity in key positions, retain and develop institutional knowledge within key employees for the future, encourage individual advancement and ensure the stability or “bench strength” of key personnel.

Having employees identified as backups makes good business sense, as it allows organizations to fill vital roles with qualified successors quickly. A successful succession planning program should align talent management with an organization’s culture, vision and strategies.

Key Benefits of Succession Planning

  • Identify skill gaps and training needs
  • Retain institutional knowledge in a knowledge economy
  • Replace unique or highly specialized competencies

Building Your Succession Planning Team

The role of HR in succession planning should be to support business leaders, facilitate the process and provide tools and guidance along the way. Engaging stakeholders, particularly senior leadership, is critical. As part of the process, you should conduct interviews with them, invite them to take surveys and attend focus groups to get a better understanding of which roles are considered most essential to operations and the future talent needs of your organization

Plan for Both People and Positions

The first step of succession planning begins with identifying which positions your organization should target based on urgency and how critical the roles are to your organization’s operations. Your succession plan should address both specific positions and individuals to ensure you are covering all of your bases.

When identifying individual employees as potential successors for a role, consider the following traits:

  • Flexible and willing to change roles and work environments
  • Interested in professional development and learning new skills
  • A good communicator who works well with other teams and departments

When identifying positions to include in your succession plan, considering the following:

  • Positions central to strategic goals or that can provide you with a competitive advantage during uncertain times
  • Positions that are specific to your organization or industry
  • Positions of influence and leadership within your organization
  • Jobs with long learning curves, training requirements, specialized licenses and certifications
  • Positions that require institutional knowledge and experience

Assessing Successor Candidates

Once critical positions have been identified, it is time for your succession planning team to identify the employees who can potentially fit into those roles when opportunities emerge. But what should your team look for in a potential successor? To answer this question, examine a candidate’s knowledge, skills and abilities (KSAs). The three terms seem interchangeable. However, they are distinctly different dimensions of a potential successor’s qualifications.

Knowledge: Focuses on the candidate’s understanding of key theoretical concepts important in the role.

Skills: Skills are the capabilities or hands-on experience needed for the application of theoretical knowledge important for the role.

Abilities: Abilities are the innate traits or talents that a person brings to the role if selected as a successor.

KSAs are the core competencies used when assessing talent and can create a better picture of a potential candidate’s strengths and weaknesses and are useful in paving an organization’s development programs and eventually, a successors’ growth in their new role. 

It is essential for you and your organization to develop a KSA profile of each candidate and see if their attributes align well with a specific role.  

Your succession planning team can start building KSA profiles by asking these three questions: 

  • Where does the organization see the role evolving in the next three to five years? 
  • What unique or specialized competencies are needed to succeed in the role?
  • What qualities should the new successor possesses in order to thrive in the role and meet your organization’s business objectives? 

A successor does not need to be someone who will think, talk and react the same way as the incumbent, you just need to be confident that the candidate can step up to the plate when called upon.

Develop Future Leaders Today

While every job is important, leadership positions within your organization would significantly impact your business if left open for a long period. In fact, according to SHRM’s Selecting Leadership Talent for the 21st-Century Workplace report, the cost of replacing a senior executive can range from $750,000 to $2.5 million, and up to $52 million for a chief executive officer. Leaders will undoubtedly be a significant competitive advantage as your organization rebounds and recovers. This means retaining, developing and leveraging future talent is even more important than it was pre-pandemic.

Your succession planning team, which should include HR and other key members of your executive leadership team, should conduct a thorough review of the skill sets of each member of your leadership team and identify candidates with similar skills who could become potential successors. Your team should also determine skills that you might be missing on your current leadership team and will be needed to emerge successfully from the pandemic and beyond.

PeopleScout Solution Spotlight

Design and delivery of leadership and development centers for a law enforcement agency.

  • Our client’s promotion criteria were historically focused on operational knowledge; we lead a shift in focus to also consider leadership capabilities and behavior.
  • We designed a behavioral framework aligned with national law enforcement standards and local leadership aspirations and organizational values.
  • We led the creation of both operational and behavioral exercises for each rank in the law enforcement agency.
  • We trained talent assessors and developed a digital assessment platform with automated feedback reports to create a more centralized process for succession planning.

Leverage Succession Planning to Retain Institutional Knowledge

According to research conducted by Panopto, 42% of the skills and expertise required to capably perform in a given position will be known only by the person currently in that position. Institutional knowledge is a combination of experiences, processes, data, expertise, cultural values and information possessed by specific employees or teams within your organization. It can span decades and is comprised of your organization’s tangible and intangible knowledge that defines who you are and how you operate. While some of this knowledge gets translated into processes and policies, most of it resides in the heads and hands of individual employees.

For example, what happens if your organization’s top sales manager is decides to take an early retirement or accepts a new position at another organization? Do you have a ready replacement? If yes, do they possess the deep institutional knowledge of your organization needed to rally their team and engage clients effectively?

With succession planning, you can ensure that knowledge sharing can occur concurrently between an employee and their potential successor, giving the successor the unique opportunity to gain useful skills and knowledge without a long, on-the-job learning curve. In the following graphic, we outline best practices for training and developing successor talent.

Training and Development of Successor Candidates

Training and development for potential successor candidates can take many forms and should include both real-life scenarios and classroom-style training. Below are a few common exercises to help ease the candidates into their future roles. 

  • Stretch Assignments: Just like the name implies, the employees will have to complete a set of tasks or assignments that stretch their limits. Examples include leading a special project, being assigned to a challenging task, or chairing a committee. 
  • Job Rotations: Enable successor candidates to rotate and assume different roles to obtain new experiences and learn more about the operations and processes of your organization. 
  • Mentoring and Coaching: Create or leverage existing corporate mentorship programs and pair successor candidates with senior employees to provide candidates with ongoing guidance, deeper insights and career support. 

Communication is Key

Clear and concise communication makes the succession planning strategy much smoother. According to research conducted by Massachusetts Mutual Life Insurance Company, around 25% of employees in line to take over a key role in an organization did not know they had been chosen for the role. Consider what this might mean — an employee might believe they have no real future at your company and so might make plans elsewhere.

Be sure to inform each employee you have identified as a potential successor — especially in the case of leadership roles — that they have been ear­marked for a future role (without making an outright promise). Take this opportunity to determine if they are interested. While they might be content with their current position, knowing that you see real promise in them might make them feel valued, resulting in better employee retention.

Conclusion

A well-implemented succession plan will give your organization a sense of the investment you will need to make should backups for key positions be necessary. Whether it’s temporary or long-term, employees who are asked to assume greater responsibilities need support. Regularly checking in with employees will make you keenly aware of what they will need to be successful.

Remember, succession planning is not a one-off task. Organizations need to be agile to keep up with the fast-paced and ever-evolving world. You should regularly discuss and reevaluate your strategy with key stakeholders including front-line managers, your executive leadership team and HR leaders to make sure your plan is up to date.

PeopleScout U.S. Jobs Report Analysis – September 2020

U.S. employers added 661,000 jobs in September, a slowdown from the previous month. Despite the growth, the jobs numbers still remain far below pre-pandemic levels. The unemployment rate fell to 7.9%. Year-over-year wage growth was at 4.7%.

U.S. Jobs Report September 2020 infographic

The Numbers

661,000: The U.S. economy added 661,000 jobs in September.

7.9%: The unemployment rate fell to 7.9%.

4.7%: Wages rose 4.7% over the past year.

The Good

September marked the fifth straight month of job growth, and the unemployment rate fell to 7.9% from nearly 15% in April. This brings the unemployment rate below the peak of the last recession. The largest gains came in the leisure and hospitality sector, which added 318,000 jobs, 200,000 of which came from bars and restaurants. MarketWatch also reports that workers are putting in more hours at work, which is good news.

The Bad

The recovery is slowing down. CNBC reports that the 661,000 jobs added to the economy in September fell short of the 800,000 expected in the Dow Jones estimate. This is also the first month of recovery where fewer than 1 million jobs were added. The New York Times reports that if the recovery continues at September’s pace, it will take 17 months to return to pre-pandemic employment levels.

The Wall Street Journal reports that the number of people reporting their layoffs as temporary has decreased, indicating that more layoffs are becoming permanent. This follows several large corporations announcing large numbers of planned layoffs. Though those numbers were not included in the September report, the news indicates that the recovery will continue to slow.

The Unknown

The September report leaves a lot unknown. This will be the last jobs report released before the 2020 U.S. election, where both President Donald Trump and democratic challenger former Vice President Joe Biden have promised to create millions of jobs. It’s not clear what, if any, impact the report will have on the election. The report was also released on the same morning when millions of Americans woke to learn that President Trump has been diagnosed with COVID-19.

Additionally, MarketWatch also reports that economists don’t agree on what will happen next. Some believe that the recovery will continue to slow and slide backward because of the end of federal aid and the start of the cold and flu season. Others believe the recovery will grow stronger as restrictions continue to lift and people find new ways to cope with the impact of the pandemic.

The Importance of Inclusion in Your Diversity Program

The seemingly never-ending obstacle course of 2020 has been filled with highs, lows and everything in between — from a landmark ruling for LGBTQ+ workers to an international awakening to systemic racism and a global pandemic that has impacted the lives of millions. As organizations around the world face a future more unpredictable than ever before, one thing remains certain: the business case for diversity and inclusion (D&I) is stronger than ever. 

In order to face unique challenges, organizations will need unique thinking, the kind that only comes with a truly diverse team — whether in age, gender, sexuality, race or otherwise. According to a report from the World Economic Forum, companies with above-average diversity scores report nearly 20% higher revenue due to innovation. Moreover, this article from The Conversation cites research from more than 300 Australian studies that conclusively shows how workplace racism has a direct, detrimental impact on performance, accounting for an estimated 3% loss in average annual gross domestic product. 

That said, the driving motivators for organizations to foster effective D&I programs should not be focused only on performance metrics, but rather the desire to make employees feel represented, understood, respected and cared for. While most companies are able to increase their level of diversity, they struggle with cultivating a culture in which those diverse voices are heard — leaving room for improvement in their inclusion efforts. 

D&I: Defined 

Diversity and inclusion in the workplace has been a hot topic for years, so why does it often seem like minimal meaningful change has occurred? Unfortunately, the downfall for many organizations is the misinterpretation that diversity and inclusion are synonymous. To avoid making this mistake, it is important to understand the difference between diversity and inclusion, to better understand why it’s time to shift focus to the latter. 

The definition for diversity is relatively straightforward, and simple enough for most organizations to achieve by tracking demographics and collecting concrete data to ensure they hire and promote people of varying backgrounds. 

However, the definition for inclusion is more difficult to effectively measure results against because every organization can interpret words like “including” and “accommodating” differently.  

According to Deloitte, “without a shared understanding of inclusion, people are prone to miscommunication, progress cannot be reliably evaluated, leaders can’t be held accountable and organizations default to counting diversity numbers.” 

Deloitte goes a step further by using its research to create a holistic definition comprised of four distinct yet connected elements:  

  • Fairness and respect: The starting point for effective inclusion is ensuring people are treated equitably and with respect — in both nondiscrimination and basic courtesy.  
  • Valued and belonging: People will feel included when they believe their authentic self is valued by others and they feel a sense of connectedness with their peers. 
  • Safe and open: Inclusion is experienced when people feel safe to speak up without any fear of embarrassment or retaliation. 
  • Empowered and growing: True inclusion happens when people feel empowered to grow in their role and do their best work — diversity of thinking can emerge.  

By looking at the depth of these definitions, it’s clear that building and maintaining an effective inclusion program requires considerably more time and effort than it does to reformat a hiring process to increase diversity. While diversity can be measured and those metrics can be used to set and achieve goals, inclusion calls for a continuous cultural reset.  

Inclusion Requires Action 

In a 2020 report by McKinsey & Company, data from three industries with the highest levels of executive-team diversity — financial services, technology and healthcare — showed that “while overall [employee] sentiment on diversity was 52% positive and 31% negative, sentiment on inclusion was markedly worse, at only 29% positive and 61% negative.” Furthermore, the levels of negative sentiment about equality and fairness of opportunity, key indicators of inclusion, were also particularly high — proving that even more diverse companies struggle with effective inclusion.  

So, what are some steps organizations can take toward fostering better inclusion? To gain some insight, LinkedIn asked Black talent leaders their thoughts on what talent acquisition teams can do to accelerate diversity and inclusion. Here are three of their tactics: 

Change how and where you look for talent  

This starts with having diverse recruiting teams. Having recruiters from a wide variety of backgrounds will help employers change the way they think about how and where they find talent — shifting their sourcing beyond the geographies, companies and schools they’ve become accustomed to. 

Make a top-down investment” in diverse employees 

To build diversity into the succession plan, organizations should invest time, money, training and executive sponsorship into their diversity efforts, ensuring representation across the business. By hiring and promoting diverse talent, an organization sends a message of inclusion that ripples throughout the company and into the industry — positioning you as an inclusive workplace that recognizes the value of diverse talent. 

Leverage the power of remote work  

Continuing distributed work strategies beyond the current crisis will allow recruiting teams to source, engage and hire talent where they are. Organizations will no longer be limited to talent that lives in the same geographies as their physical offices, meaning they can expand their scope to locations that are historically diverse.  

These tactics may seem like large feats, and that’s because they are. Building an organization that is truly diverse and inclusive is a huge undertaking that takes time, effort and serious commitment. While you work on the organizational overhaul, keep in mind that there are also some smaller steps you can take along the way: 

  • Provide resources. Inclusion can’t be mandated; it requires the “changing of hearts and minds.” Organizations can do their part by encouraging open dialogue and providing educational resources, like this anti-racist reading list from DiversityInc
  • Break up cliques. We are naturally drawn toward others who are like us, which can often result in cliques. Create opportunities to position employees outside of their comfort zone and into work groups made up of people with various backgrounds. 
  • Form inclusive groups. Create a dedicated task force focused on updating policies that promote your company’s values. Project Include offers more suggestions for creating systemic inclusion here
  • Offer professional development. Offering development programs and mentorship opportunities to underrepresented employees who may have a steeper hill to climb can help them in their career ascent.  
  • Showcase diverse talent. Representation matters, and employees and candidates will understand how you value diverse talent when you celebrate and share their stories

A Continuous Journey 

It can be easy to get lost in the mindset that inclusion is a “one and done” activity. That mindset has a certain allure, because it would mean we could all rest assured knowing we’ve created a workforce that is 100% diverse and effectively inclusive. In reality, inclusion is a continuous journey that requires a concerted effort, focus and determination to effect meaningful change. You can think of it like a long road trip — one that requires multiple checkpoints, refuels and stops to check you’re still going in the right direction. To ensure you’re always on the correct path, it can be helpful to perform a regular inclusion audit that asks: 

  • Does the organization have a continuous representation of diverse talent? 
  • Is diverse talent represented in leadership roles? 
  • Is there room to remove bias in the hiring process? Promotion process? 
  • Are we listening to employee concerns? 
  • Are we regularly surveying employee sentiment on D&I? 
  • Do we know what’s working? What isn’t? 
  • Have we asked employees what they want and need? 

It’s clear that simply hiring diverse talent is not enough. While it’s a start, it’s only part of the solution. Workplace experience and true inclusion is what will help employees feel represented and valued, leading to diverse hires that stay, grow and thrive. The road ahead is a long one, but by implementing the strategies outlined in this article, your organization will be well on its way toward a better diverse and inclusive workplace. 

PeopleScout U.S. Jobs Report Analysis – August 2020

U.S. employers added 1.4 million jobs in August, a slowdown from the previous month. Despite the growth, the jobs numbers still remain far below pre-pandemic levels. The unemployment rate fell to 8.4%. Year-over-year wage growth was at 4.7%.

u.s. jobs report

The Numbers

1.4 million: The U.S. economy added 1.4 million jobs in August.

8.4%: The unemployment rate fell to 8.4%.

4.7%: Wages rose 4.7% over the past year.

The Good

August marked the fourth straight month of job growth, and the unemployment rate fell to 8.4% from nearly 15% in April. This brings the unemployment rate below the peak of the last recession. The New York Times reports that women have made the strongest recovery; however, women took the heaviest hit earlier in the year. The labor participation rate rose to 61.7%, up from last month’s 61.4%, but still below February’s 63.4%.

The Bad

While the continued recovery is good news, it is slowing down. The survey was also taken early in the month of August, before economists say they saw worrying signs in the economy and only shortly after enhanced economic benefits expired. NBC reports that job postings have dropped by 9%, and several large companies have announced additional layoffs or furloughs.

The Unknown

As the recovery slows down, economists are concerned about what is next. The Wall Street Journal reports that the additional waves of layoffs announced by some large employers in August demonstrate that some companies had prepared for only a short-term shut down. Now, as the pandemic continues, leaders need to make additional adjustments.

There is also still uncertainty over a second coronavirus relief bill. More than one month after many elements of the previous bill expired, Congress has yet to agree on how much and what types of aid should be provided.