How the best companies attract and keep the best people

Over the years, I’ve heard many stories from our people about what makes them excited to be part of PwC. Recently, an employee shared an experience that caught my attention precisely because it was different. It involved horseback riding.

“Over the past several years, I’ve been able to achieve a great balance between my career at PwC and horseback riding,” said Beth Luccini, an employee in our Tax practice in Boston.

Despite the fact that her equestrian training schedule often required her to be at the barn at odd hours, Beth found that her team made it possible to achieve her personal and professional goals. “My partner understands the demands of my sport and we’ve developed a great working relationship. We maintain constant, open communication about my schedule and we make it work.” Tax partner Dan Feheley adds, “Beth’s commitment to PwC is so visible in all she does. We know that this flexibility is important to her, and that she’ll be here when we need her. The balance works and we are proud of what she’s accomplishing.”

As a result, this year Beth was able to fulfil her dream of participating in one of the largest riding competitions in the world, the Winter Equestrian Festival in Palm Beach, Florida.

Beth on her horse Aspen at the Winter Equestrian Festival

Creating the kind of culture that people feel proud to be a part of is about helping them realize their dreams, both inside and outside the workplace. Today, FORTUNE magazine released its annual list of the “100 Best Companies to Work For” and we are #74 on the list. PwC is proud to have been on the list every year for more than a decade.

When I reflect on what it is that makes PwC such an exceptional place to grow as a professional, it really comes down to a few guiding principles that infuse our talent strategy.

Happier employees deliver better service, leading to happier clients.

Whether it’s riding horses, going to your child’s tee-ball game or simply relaxing on a beach somewhere, we all have activities that are important to us outside of work. To help our employees make time for those activities, PwC introduced “year-round flexibility.” Not only does flexibility help us get through stressful times, it improves our interactions with our clients.

Never underestimate the power of “thank you.”

There are no two words in the English language that elicit a more powerful response. Simply saying “thank you” for a job well done can turn a stressful situation into one where another team member feels appreciated and motivated. Late last summer, PwC introduced our real-time recognition program, which allows all of our people to provide non-monetary recognition in the form of an e-card, while more senior staff and partners receive a budget that allows them to give a monetary award to the recipient.

In less than six months, we’ve seen usage of the program increase every month with 20,000 recognition messages delivered so far. By democratizing the ability to provide meaningful rewards, we are creating a culture where everyday, in-the-moment recognition is part of the way we work.

Treat your employees like investors — because they are.

If you own stock in a company, you’ve likely reviewed a prospectus before making an investment, or have kept tabs on the organization through their annual report. Employees are making a significant investment as well, by dedicating their time and a portion of their careers to our firm. Given the competition for top talent, we can’t afford to take them for granted.

At PwC, we promote transparency by communicating quarterly financial updates to all staff that provide insight into our financial targets, and lay out whether or not we are on track to pay out projected levels of variable compensation to eligible staff. This past year, we also introduced a new global career progression framework called the PwC Professional. Based on five dimensions – business acumen, global acumen, technical capabilities, relationships and whole leadership – this transparent framework provides a consistent blueprint for the development of professionals in PwC’s network of firms around the world. At any given time, employees know where they stand based on the framework, and how to progress.

By helping our people develop leadership skills that they can take with them, even if they choose to leave the firm at some point, we are able to provide another “return” on their investment in a career at PwC.

Help employees see the future of your organization — and their place in it

Take the opportunity to engage your employees around your company’s strategy – what it is, and their role in helping to achieve it. Doing so will help not only enhance performance, but will also get employees excited about their potential to make an impact and enable them to coach others as well. When your people feel invested in the future of the organization, they are more likely to stay and will be more motivated to help deliver on the company’s vision. Each year at PwC we communicate our strategy for the current fiscal year, as well as the extended outlook based on what we’re seeing in the market, and ask that each of our employees read and discuss our strategy within their teams. Creating this common roadmap helps provide a sense of direction and unifies us under a common mission and vision.

Evolve, or risk being left behind.

In 2016, 80% of PwC’s workforce around the world will be Millennials — i.e., those born between 1980 and 1995. In 2013, PwC, the University of Southern California and the London Business School announced the results of a comprehensive global generational study that has since provided the basis for many of our talent initiatives. We recognized that, given the importance of Millennials to the future of our firm, we had to understand what motivated this next generation. The NextGen study found that 71% of PwC Millennial employees vs.63% of non-Millennials say that their work demands interfere with their personal lives. While Millennials are “digital natives” who put an emphasis on technology, when it comes to communication about their career plans and progress 96% of Millennials want to talk face to face, just as 95% of their non-Millennial counterparts do.

The approaches to flexibility and face-to-face regular feedback that we’ve been taking over the past few years have been linked to the NextGen study, either directly or indirectly. We’re also producing thought leadership around data analytics and technology coursework for our nation’s accounting programs to help schools rethink their curriculum in light of the megatrends we’re seeing in the market. In addition, we are embedding technology into all parts of our business to evolve how we work and serve our stakeholders.

As we change to keep pace with our clients’ current and future needs, our employees must be ready to make this journey as well. This is a two-way responsibility. We’ve asked our people to play an active role in their own development and to build skills that prepare them for success in a fast-changing world — for example, by taking on a global assignment to expand their perspective and network. In turn, we provide them with tools and a framework to guide their development, and opportunities to grow through both formal training and on-the-job learning experiences. The result is we are ready to help our clients take on new and emerging issues, and to provide our people with exciting professional experiences doing work that makes a difference.

At the end of the day, while we may come from different generations, cultures and backgrounds, fundamentally our needs are the same. When we feel valued and respected, and that others are interested in bringing out our best, we excel. Maybe horses and people aren’t that different after all.

This article is published in collaboration with LinkedIn. Publication does not imply endorsement of views by the World Economic Forum.

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Author: Robert E. Moritz is the US Chairman and Senior Partner at PricewaterhouseCoopers.

Image: Pedestrians cross a road at Tokyo’s business district. REUTERS/Yuya Shino.