People–Can’t Profit With Them, Can’t Profit Without Them

So, in the same week that Tesla says that lack of people is a problem in their business (too many robots!), Starbucks comes to the conclusion that people are biased and are hurting its business, everyone gets training. So, which one is right?

Let’s start with Tesla. Their statement is not as much about how wonderful people are as it is that they haven’t quite (yet) gotten the engineering down for their new cars to be built completely by robots. So, it is not exactly an “Up with people” moment as a “Well, we guess we have to put up with them for a bit longer” one.

The Starbucks situation is a bit stickier. On one hand, they clearly felt as if they had to do something after a horrible incident involving African-American customers to maintain their brand image. But, I think they are setting themselves up for failure. Implicit bias training is well meaning, but correcting a lifetime of assumptions about people in a ½ day seminar is a pretty tall order. What will they do next time a racially tinged incident occurs? Do a full day of training? Validate a test that predicts levels of implicit bias?

Where I think the training will have the most impact is on their new hires. It sets a cultural norm of what is and is not OK. Yes, this will require management support and some way of recognizing employees for being decent human beings. But, in reading the comments on their social media pages after the announcement that may not matter as a lot of people were pretty bent out of shape of having to go one whole afternoon without their Starbucks. Ah, the downsides of selling a legal, but addicting, product.

Service sector organizations will always face the challenge of directing the activities of people in a way that is consistent with their values. Manufacturers are always challenged with introducing technology (which improves efficiency), but also understanding its limits (for now). We are not quite at a point where people can be engineered out of business. So, we still need to lead them in productive ways.

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