Power employers 2005: where to work and why in Latin America

Latin Trade, Dec, 2005 by Alexander V. Ragir

Today more than ever, companies are focusing on improving their images. Shattering the steel-and-glass image of corporate life and replacing it with a more relaxed, humanistic one is good for employees, who become more productive and boost the bottom line. Developing corporate culture that fosters employee happiness and teamwork has become a top priority for many multinational companies.

In our third annual LATIN TRADE Best Employers survey we set out to find those companies that would be best for an executive with five to 10 years experience in any given industry, which would be somebody who is already a middle manager. Our ideal job seeker is looking for a place to prepare him or her for the next move. We asked which company would this middle manager have the best, most enlightening business life, one that would prepare him or her for an upper management position anywhere in the world.

The two companies mentioned most were information-technology giant IBM and consumer-products company Procter & Gamble. Others repeatedly mentioned, and featured here as well, include American Express, Citigroup and Coca-Cola. Talking to employees and human-resources executives LATIN TRADE found that these respected employers have several traits in common: accountability, integrity, ownership and leadership. But all those in human resources agreed that without teamwork most talents go to waste. Respect for the individual and giving employees the independence to succeed are two of the underlying reasons these companies are LATIN TRADE'S most respected employers.

IBM

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A decade ago, IBM transformed itself, turning into a virtual mirror of its clients' needs. Once a software behemoth on its way to bankruptcy, today it is agile, changing its color like a chameleon to whatever tint the customer demands, says Lucio Toninelli, director of human resources for IBM in Latin America. Toninelli remembers hearing the first speech by Lou Gerstner, the outsider CEO credited with turning the company around. Gerstner tore down the embedded formal culture and the corporate ladder system plagued with unaccountability. The information technology industry now demands flexibility first, Toninelli says. Now a horizontal structure made up of smaller, more-accountable teams, IBM continues to evolve. "The company is flat," Toninelli says. "In three steps you're close to the CEO."

But Toninelli is not scouting people who just want to hop, skip and jump their way to the top. "They can't be self-centered," he says. "They have to center on the clients." That philosophy is exemplified by IBM's hiring process, which does not focus on individual interviews but emphasizes exercises where managers can observe behavior. One key characteristic the company looks for is adaptability, he says. Also weighted heavily are creativity, a drive to achieve results, a good sense of responsibility and a passion to lead. "Being able to listen is more important than being able to talk," he says.

Same goes for the company. Three years ago, IBM sent out a survey on the company's core values. Ninety percent--at the time 350,000 employees--responded, Toninelli says. IBMers have a strong sense of identity and willingness to contribute, he says. The employees named as their top values: dedication to every client's success, innovation for progress, trusting other employees and accountability. Toninelli says Latin Americans are exemplary in this respect. Every two months, 26 questions are sent out to a sample of employees asking for their opinion on management, effectiveness, and their personal experience. Generally, 70% of employees in Latin America respond, substantially higher than the company's average of 45%, Toninelli says.

This desire to contribute is how people succeed in IBM, he says. Even if they know nothing about computers. "If we are looking for an [IT] expert, we need an expert, but getting people from other places enriches the culture," Toninelli says. "Lou Gerstner came from Nabisco." Innovators with potential to be an executive are also highly valued. "These people need the ability to create strategic relationships, to take on challenges, to manage growth and take risks," he says.

Luz Elena Salazar, an IBM financial specialist in Mexico, likes this form of ownership. She says the independence to problem-solve the way the employees see fit, without micro managing, is motivating. "The offices in Brazil, or in Venezuela or anywhere else, don't have to do things the same way," Salazar says. "If you see that in Mexico it is better to do something one way, you can do it." Her work is task driven, she says. As long as she finishes what is assigned, she can develop her own projects and even create her own work schedule. Compensation is geared to performance.

Focusing on the customer, too, does not go unnoticed, says Ligia Fumi Tsubouchi, a marketing strategist in Brazil. Before IBM she spent four years in banking; the most striking difference, she says, is how IBM invests in its employees. Besides getting a master's degree mostly financed by IBM, Tsubouchi's best training ground was moving from department to department, she says. In eight years at IBM she worked in telemarketing, sales, project operations and business development. "Now I have a lot more understanding of the company," Tsubouchi says. "It's common that employees go to different areas." She says the informal atmosphere helped her move easily from department to department. "There is a closeness between employees," she says. "Employees' offices literally do not have doors."