On Thursday, 17 October, we held a Chief People Officer breakfast event at the Ivy Club in Covent Garden. The event brought together 30 senior HR leaders to discuss important topics such as cultural transformation, values-driven employee propositions, and workforce planning in a rapidly evolving environment.
We were joined by guest speaker, Syreeta Brown, Group Chief People & Communications Officer at Virgin Money, who provided insight of how organizations navigate these challenges, especially within a sector as highly regulated as financial services.
Key learnings
Cultural transformation and organizational change
Syreeta discussed the crucial role of cultural fluency in business transformation. At Virgin Money, the challenge is not only about merging with Nationwide but ensuring that the culture evolves to continue to support employee engagement and satisfaction. Colleagues are keen that the positive culture continues post the acquisition and highlights how deeply culture influences an organization’s identity and the role it plays in how employees feel about the workplace.
Virgin Money’s proactive approach to culture management includes a robust engagement survey, ensures that employees remained engaged and productive, even in times of uncertainty. The company’s ability to maintain high engagement levels during major changes show the power of a well-defined and well-communicated culture, showing that transformation isn’t just a structural process; it’s embedded in how employees perceive and connect with the company culture.
Nurturing high-potential employees during change
Syreeta offered two perspectives on managing high-potential employees during periods of change. On the one hand, high-performing individuals often require continuous engagement, even during transitions, to ensure they remain motivated and see value in their contributions. However, she also warned against focusing too much on top performers at the expense of disengaged employees or low performers. In regulated industries like banking, even one disengaged or low-performing employee can pose significant risks to the organization’s reputation and financial stability. This balanced approach ensures that organizations remain productive while addressing potential risks that might arise from overlooked segments of the workforce.
Innovation in a regulated environment
Although critical for competitive advantage, innovation can be challenging in highly regulated industries like financial services. Syreeta explained that the regulatory environment in the UK presents challenges for attracting and retaining talent, especially at senior levels. She discussed how Virgin Money, despite these constraints, managed to develop a proposition based on purpose and accessibility, which helped attract talent.
What emerged from this discussion was that employees are increasingly driven by purpose and values. Virgin Money’s focus on innovating financial services and creating a values-driven workplace helped attract talent, even from Fortune 500 and FTSE 100 companies. This points to a broader trend where purpose-driven companies can compete effectively, even in traditionally less attractive industries.
The importance of values in talent retention
Syreeta also discussed the importance of a company’s values in attracting and retaining talent. During periods of significant change over the last three years and now Virgin Money has placed significant emphasis on its cultural proposition, which revolves around how employees experience life at Virgin Money. This focus on values helped employees feel more secure about their place in the company, even in the middle of uncertainty. The takeaway here is that values-driven propositions are not just tools for external branding but also vital for internal engagement and talent retention.
Generational differences in the workforce
As Gen Z enters the workforce, Syreeta noted that companies are beginning to see differences in working styles across generations. However, rather than treat these differences as barriers, she suggested that organizations should focus on the shared human values that unite all employees such as recognition, meaningful work, and the desire to make a difference. By maintaining these core values, businesses can create an inclusive culture that caters to multi-generational workforces without isolating specific groups.
Workforce planning in times of uncertainty
Workforce planning in a fast-changing and uncertain environment requires organizations to take a long-term view. Syreeta shared that successful change management is a long-term process and that attempting to implement quick changes without thorough planning can lead to poor results. For Virgin Money, this meant taking a three-year approach to transformation, ensuring that the pace of change matched the company’s ability to execute effectively. Organizations that resist the urge to rush change and instead take a slower, more precise approach to planning which then allows for quick execution often see better long-term outcomes.
Building strong relationships between the CPO and CEO
The relationship between the CPO and CEO is fundamental to driving the people agenda within an organization. Syreeta underscored the need for CPOs to trust themselves and their own expertise in order to approach the CEO as a partner, not just as a support function. By positioning the CPO as someone who can impact the business strategy, especially when it comes to people-related data and metrics, CPOs can create strong, productive relationships with their CEOs. Syreeta also highlighted the importance of engaging the board of directors and fostering co-advocates within them to ensure that people agendas are championed across all levels of leadership.
Conclusion
The event provided valuable insights into how organizations can successfully navigate cultural transformation, workforce planning, and innovation among regulatory constraints. Key lessons from Syreeta’s experience at Virgin Money include the importance of a values-driven proposition, the need to balance attention between high performers and low performers, and the critical role of CPO-CEO relationships in driving organizational success. As businesses face increasing competition for talent and navigate the complexities of a multi-generational workforce, focusing on long-term cultural transformation and purpose-driven employee engagement will be essential for sustained growth and success.
