Command to Compassion: The Shift to Human-Centered Leadership

Rico Maranto, Sr. Manager, Leadership Development at WM

The Demand for Human-Centered Leadership

WM and other progressive companies are shifting to a human-centered leadership culture to attract the best talent, engage employees, and get better results. The necessity for this shift is apparent from an analysis of the past, present, and future.  

The Past
In the recent past, the world was shut down by the COVID-19 pandemic. Post-pandemic, employees returned to work traumatized by that experience and sought employers who would demonstrate sensitivity, flexibility, and care for them and their families—a human-centered mindset.

The Present
At present, businesses are experiencing the Great Resignation. Many people who lost their employment during the pandemic chose not to return to work, and retirement of the Baby Boomer generation is imminent. For these reasons and others, there is a labor shortage, and competition for talent is fierce. When employees are scarce, job seekers can hold out for better work-life balance, improved benefits, better pay, and more opportunities for advancement. Companies must shift to a human-centered culture to create an attractive workplace and win the battle for the best talent.

The Future
In the future, companies will, of necessity, shift to human-centered leadership because Millennials (Generation Y) and Zoomers (Generation Z) will not tolerate traditional command-and-control styles of leadership. They expect inclusive, collaborative work environments built upon partnerships between employees and leaders. They expect a human-centered culture.

What is Human-Centered Leadership?

Human-centered leadership is built upon the principles of servant leadership. Robert K. Greenleaf, an executive at AT&T, is widely regarded as the pioneer of the servant leadership movement. In his seminal essay titled "The Servant as Leader," published in 1970, Greenleaf introduced the concept of servant leadership and outlined its fundamental principles. He proposed that a servant leader is someone who first and foremost seeks to serve others, placing the needs of others above their self-interests. He articulated that a servant-leader focuses primarily on ensuring that those they serve grow as individuals, become healthier, wiser, freer, more autonomous, and more likely to become servants themselves.

Like servant leaders, human-centered leaders put other people first. They care about those they lead and see them as people whose desires, goals, and objectives are equally important as their own. They listen to those they lead and demonstrate compassion and empathy. They nurture, develop, and empower them. Human-centered leaders demonstrate vulnerability and foster trust. They create inclusive environments by involving, respecting, valuing, and recognizing others because of their differences, not despite them. Human-centered leaders embody their personal values and those of the organization, conveying integrity by ensuring their words and actions are aligned and consistent.

Human-Centered Leadership Gets Results!

WM’s commitments and values are: Our People First, Success with Integrity, Diversity and Inclusion, Customers, Safety, and Environment. Human-centered leadership aligns WM’s culture with its “People First” commitment. Jim Fish, WM’s CEO explained, “We will put our people first. They will put our customers first, and our shareholders will benefit.”

But does human-centered leadership get results?

Jason’s Deli Moves Key Metrics
The University of Illinois at Chicago conducted a study on human-centered leadership at 71 Jason's Deli restaurants in 10 U.S. metropolitan areas, involving 961 employees. The research revealed that adopting human-centered leadership led to significant positive impacts on key business metrics. Specifically, the study observed a 6% increase in job performance, an 8% improvement in customer service, and a substantial 50% increase in employee retention. These findings demonstrate that when bosses put their employees first, it not only benefits the workforce but also yields measurable improvements in critical business outcomes.

Firm Increases Productivity 30%
Chris Kille, CEO of Payment Pilot and Elevate Outsourcing, implemented human-centered leadership with his startup. Within six months, his company achieved “a staggering 30% increase in overall productivity,” employee retention “shot through the roof,” and the firm’s customer service had “never been better."

WM’s Early Results
WM introduced human-centered leadership in 2022. WM’s retention of key frontline employees (drivers, route managers, and technicians) increased by 4% since December 2021. WM has retained 90% of the graduates of its Frontline Human-Centered Leadership training program as opposed to only 66% of non-graduates. Also, WM has seen an increase in employee engagement scores.

Conclusion
The shift to a human-centered leadership culture is of paramount importance for organizations that want to compete in today’s market. By creating a people-first mindset, caring for and developing employees, and fostering collaboration and inclusivity, organizations can create a more engaged and productive workforce, ultimately leading to astonishing results and sustainable success.

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