ai to enable next generation of people managers
TRANSCRIPT
#FUTUREOFTEAMS // @WORK_BENCH
AI TO ENABLE NEXT GENERATION OF PEOPLE MANAGERS
Jessica Lin, Co-Founder & General Partner, Work-Bench
@jerseejess | May 2017 | #futureofteams
FUTURE OF TEAMS
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In our work with hundreds of top fast growth startups and
globally-distributed Fortune 1000 corporations in our
enterprise tech ecosystem here in NYC, the most common
refrain we hear:
Managing people is hard. (Note: I also personally worked with a management coach last winter, which was one of the most
transformative experiences in my career to date.)
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THE SAYING
People don’t leave jobs, they leave managers.
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THE NUMBERS
Gallup, 2013
Disengaged employees caused by bad managers cost the nation’s companies between
$450 million and $550 million in lost productivity per year.
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THE MARKET
Corporate Learning & Development is a
$140 billion market.Bersin, 2017
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CHANGING FACE (AND AGE) OF MANAGERS: RISE OF MILLENNIALS
More than 50 percent of millennials now have four or more direct reports.2
1 Pew Research, 2015 2 Deloitte Millennial Survey, 2017
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“Why Do We Spend So Much Developing Senior Leaders and So
Little Training New Managers?”
- Harvard Business Review
HBR, 2016
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RISE OF NEW MANAGERS DEMANDING DIFFERENT WAYS OF LEARNING…
OLD
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• In-person training or executive coaches
• “Binge education”
• Expensive
• Usually only targeted to certain roles or levels
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RISE OF NEW MANAGERS DEMANDING DIFFERENT WAYS OF LEARNING…
OLD NEW SHIFT IN EXPECTATIONS OF TOOLS +
PLATFORMS TO SUPPORT CAREER DEVELOPMENT
• Micro-Learning
• Data and technology driven
• Real-time, continuous feedback
• On-demand, time of need learning
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• In-person training or executive coaches
• “Binge education”
• Expensive
• Usually only targeted to certain roles or levels
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PLETHORA OF PULSE SURVEYS, CULTURE FEEDBACK, EMPLOYEE ENGAGEMENT & RECOGNITION TOOLS
Bersin by Deloitte, 2017
We’re seeing many companies tackling employee engagement by pulling data and feedback…but that alone isn’t enough…
TRADITIONAL ENGAGEMENT SURVEYS
PULSE SURVEYS
WORK ENVIRONMENTS
QUICK FEEDBACK
ANONYMOUS NETWORK APPS
PERFORMANCE MANAGEMENT
SOCIAL RECOGNITION
CULTUREWELLBEING
v
e
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WHAT’S OUT THERE NOW
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Analytics Analyze a body of data or insights
Platforms to collate data and analyze for real-time Pulse…
But what do you do with this data? How do you generate a predictive recommendation that can deliver corrective behavior change where
and when it is needed most: directly within your org, with your middle managers?
Feedback Collate employee feedback in real-time
Recommendation Engine Generate a set of predictive, actionable recommendations
Interface Deliver recommendations directly to individual team
member (line manager, etc) to affect behavior change
THE FEEDBACK LOOP
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OUR HYPOTHESIS
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We predict seeing a much-needed shift from in-person manager training to a technology-enabled solution, especially given the rise of millennials as managers.
The key for successful people manager tools will be collecting data: the more data you have, and the more proprietary it is, the more insights you can generate for people managers.
Furthermore, whoever is going to be the biggest player in this space will be able to take that data, deliver predictive actionable insights down to the line manager (vs. only for HR & C-Suite), and combine it with frictionless user experience on the front-end to help you be a more effective manager.
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AS FITBIT PROVIDES QUANTIFIED SELF
RECOMMENDATIONS…
COULD MANAGERS BE OPEN TO SIMILAR
RECOMMENDATIONS?
POTENTIAL USE CASES FOR MANAGERS • Catalyze Daily Progress and Remove Barriers:
“Check in with Sara on recent project updates and budget cutback” • Give Feedback and Ask for Feedback
• Thank the Employee: “Give shout-out to Lauren at upcoming team meeting for recent customer success win”
• Provide Development Opportunities: “Touch base with Tyler on speaking at upcoming conference”
• Set Clear Expectations & Be Inclusive and Communicative about Change:
“Schedule time with team to discuss recent re-org and ensure all aligned on how this impacts our Q4 objectives”
Early MIT research on emotion tracking alerts you when you may be acting
awkward in conversation…can we see a day when a wearable will tell you that you are not being collaborative enough in a meeting, empathic to a direct report, etc?
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Fitbit notifications pop up on your smartphone to keep you moving towards your fitness goal:
“Almost there! Get 500 more steps to hit your goal.”
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WILL MACHINES EVENTUALLY BE MORE EFFECTIVE MANAGERS THAN HUMANS?
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• Data Inputs and Pattern Recognition for Better Decision-Making • Real Time Performance Feedback and Real Time Guidance • Personalized Customization • Bias Reduction & Anonymity
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STARTUPS OF INTEREST
Still an early space — but some startups we’re tracking in this management training and coaching space incorporating a predictive recommendation layer…
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…
BUTTERFLY.AI
Use Case | If you’re looking for feedback from a virtual management coach…
www.butterfly.ai HQ: New York, NY VCs: Precursor Ventures Funding Raised: $790K
Butterfly is an employee intelligence and management coaching software that offers real-time leadership coaching to continuously develop managers based on team feedback.
How does it do this? • Via regular "pulse" surveys, Butterfly collects team engagement & happiness data via integrations with Slack, Office and G-Suite and other workplace
collaboration tools • Team data informs a self-learning virtual coach, Alex, which provides managers with ongoing and personalized leadership coaching
Why does it stand out? Butterfly democratizes executive coaching, making to available to all managers through a personalized, AI-based training system that's rooted in the realities of a manager's team and work environment.
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Use Case | If you’re looking for diversity and inclusion coaching…
www.joonko.co HQ: San Francisco, CA VCs: Techstars, Kapor Capital Funding Raised: Undisclosed
Joonko is an AI-powered personal diversity and inclusion coach for companies. The company integrates its system into its clients’ SaaS platforms and analyzes actions in real time.
The only solution that solves unconscious bias in real-time
A Data-driven solution for workforce inclusion
Organizations can’t improve what they don’t measure — and that includes fairness and inclusion
Real-time solution for the real world
We analyze real decisions, actions, and events as they occur
in the company
AI-powered diversity and inclusion coaching
Engaging in humanized way, with insights and recommendations to enable real-time corrective actions
How does it do this? • Joonko platform ingests data from Salesforce, Jira, Greenhouse and other ATS. • Identifies potential occurrences of unconscious workplace bias and immediately engages the relevant executive, manager, or employee to offer
real-time corrective action
Why does it stand out? We know unconscious bias happens; Joonko uses data to identify such specific instances and generates corrective action to improve.
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Use Case | If you’re looking to understand your team’s knowledge retention…
www.hickorytraining.com HQ: New York, NY VCs: Y Combinator, Draft Ventures, Notation Capital Funding Raised to Date: Undisclosed
Hickory is a training tool that focuses on retention which helps you hire more people capable of being experts at their position.
How does it do this? • Trainers and instructors use the Hickory platform to build out training modules. • The platform flags when an employee is likely to forget and emphasizes continuous learning and review, that optimizes information recall.
Why does it stand out? To date, there has been no data-driven way to understand each individual employee’s retention of knowledge. Hickory offers this personalized learning solution for corporate training.
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Use Case | If you’re looking to understand the most effective way to communicate with a team member, a prospect, or customer…
www.crystalknows.com HQ: Nashville, TN VCs: Salesforce Ventures, Birchmere Ventures, Corporate Executive Board Funding Raised: $2.44M
Crystal helps you communicate with anyone based on their unique personality. Using an assessment to determine behavior, the platform analyzes text and feeds you real-time insights and coaching on your email communication.
How does it do this? • Crystal generates an assessment profile of an individual, based on public sources of data. • The platform then provides a number of ways to coach one’s writing directly within the email client, with advice, email templates, and dynamic
recommendations.
Why does it stand out? Crystal helps with one of the hardest parts of coaching - the soft skill of navigating communication styles.
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Company Website HQ Investors Funding Raised Description
COACHING: SALES TEAMS
Gong www.gong.io Palo Alto, CA Norwest Venture Partners $6M Gong uses artificial intelligence (AI) to analyze spoken conversations from audio sources
People.ai www.people.ai San Francisco, CA Y Combinator, AVentures Capital $120K
People.ai empowers sales leaders to be more effective at managing their teams and growing revenue by giving them a complete picture of sales
Chorus.ai www.chorus.ai San Francisco, CA Redpoint, Emergence Capital Partners $22.3M
Coach effectively without shadowing calls. Chorus does the heavy lifting of listening and analyzing for you, making pipeline review more impactful and coaching more scalable.
VoiceOps www.voiceops.com San Francisco, CAAccel Partners, Founders Fund, Lowercase Capital, Y Combinator
Undisclosed VoiceOps is a platform for AI-powered analytics for sales calls.
COACHING: CUSTOMER SERVICE TEAMS
Cogito www.cogito.com Boston, MA OpenView, Romulus Capital, Salesforce Ventrues $22.5M Cogito’s application guides agent speaking behavior and
automatically measures customer experience on every call.
Gridspace www.gridspace.com San Francisco, CA Bloomberg Beta, Wells Fargo Startup Accelerator $250K
Gridspace turns your speech audio into useful data and service metrics, by instrumenting your contact center and work communications.
Use Case | If you’re looking for platforms for coaching your sales or customer service teams…
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Cost What does this solution cost vs. my current solutions? (other platforms, consultants, etc)
Integration Can this new solution integrate with our current LMS systems, Active Directory, etc? How much customization is required?
Existing Solutions Does this solution deliver a better result than what we currently have today?
Privacy, Security, Liability Given HR employee data, what do I need to be careful about - from a data privacy, security, and liability perspective?
End User Ease of Use Easy things get used complicated things get ignored (so companies do not want to pay for a product employees will avoid using)
Engaging User Experience Learning tends to get branded as "oh, please don't make me do that..." so anything that makes the learner want to use the product versus being "forced" to use the product will be a draw and differentiator
Current Learning Trend Less is more; we will drip short messages/learnings often versus making people sit through 3 hours of in class or e-learning courses
ENTERPRISE BUYER’S SCORECARDVendor assessment considerations from large Fortune 1000s buyers
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Are you a startup building in this manager training, employee engagement, and #futureofteams space?
We’d love to talk.
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THANK YOU
Work-Bench is an enterprise technology VC fund in NYC.
We support early go-to-market enterprise startups with community, workspace, and corporate engagement.
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