Filling Big Shoes at VSP
Rob Lynch's Commitment to Culture and People Strategies Ensures Smooth Transition.
The adage "that's a tough act to follow" is an expression that Rob Lynch must hear on a regular basis as the incoming president and CEO of Vision Service Plans (VSP). Under the leadership of Roger J. Valine, VSP has made the Fortune "Best Companies to Work For" list for seven years in a row, with the recent release of the list placing VSP at number seven out of 100 companies, their best ranking to date. In addition, VSP is recognized consistently for its excellent customer service.
That said, Lynch brings his own impressive set of credentials to the table. With more than 30 years experience in the employee benefits field, Lynch succeeds Valine as president of VSP in February and will lead the $2 billion company as CEO upon Valine's retirement in July.
Lynch joins VSP from Buck Consultants, an ACS company, which is a leader in HR and benefits consulting. Selected as one of "35 Rising Stars" by Business Insurance magazine, he serves on a variety of association boards and councils in the benefits industry. Lynch also served as a member of the VSP Board of Directors for nine years and has a strong sense of the company's widely recognized corporate culture.
Lynch says, "Coming out of the HR consulting side of the business, I have seen the value that HR brings to successful businesses. I am a strong advocate of the role HR plays in creating a culture that supports successful business results. VSP's HR department is the best in the industry."
Human Capital: As the new leader of a successful company, what do you see as some of your biggest people challenges?
Rob Lynch: My immediate challenge is to maintain and continue the cultural momentum that exists today at VSP. To accomplish this, I am committed to meeting with every VSP employee, either individually or in small groups, during the first 120 days after I begin my role as president of the company. In addition, I will meet with some of the key clients, outside advisors, brokers, and as many member doctors and providers as I possibly can.
It is a time commitment that I believe is absolutely necessary to make sure that we continue to drive VSP's emphasis on developing employees and to ensure that everyone understands that VSP's employee-centric philosophy will not change as a result of my coming on board.
HC: As you study VSP's organization, you have the unique vantage point as an objective observer of the company. Looking in from the outside, what do you believe are the key VSP workforce management strategies that have moved the company forward?
RL: VSP's employees feel an ownership with the organization. One reason for this is the jobs offered at VSP have meaning and make a difference in people's lives, and that is very fulfilling to employees. That sense of fulfillment is underpinned by the focus and emphasis on creating a work-life balance, which has been embraced by VSP and will continue to be embraced going forward. The accolades bestowed on VSP are a direct result of these programs.
HR ensures that we maintain a culture that embraces our commitment to our workforce and that we have the right supporting programs in place. The folks in HR are absolutely committed to the organization, and they understand our business and make sure we maintain an open line of communication up and down the organization. We focus on communicating all of the time with all of our employees.
HC: Our surveys show that HR is increasingly called upon to play a major role in solving critical business issues. Are you seeing this shift in organizations across the board?
RL: Specifically, among service organizations, because their asset base is human capital. Clearly, those organizations are finally realizing that HR is absolutely essential, and there is a definite correlation between culture, a satisfied workforce and business results. There are a number of organizations that are in the process of attempting to quantify that. I think the Fortune list is one way to quantify the impact of effective workforce strategies. If you look at the companies that are on the list, virtually all of them are leaders in their various industries.
HC: What are your expectations of how HR strategies will help you transition into your role as president and then ultimately CEO of VSP?
RL: Talent management and our entire hiring process is something that HR owns and drives through the organization. We make sure that the investment in hiring strategically is strong; we have measured that it does result in lower turnover. Strategic hiring allows us to fill almost 40 percent of our positions internally as we utilize our talent management processes and move people up through the organization. That doesn't mean that we don't supplement from the outside, but I think that people in the company feel they have a career path if they so choose, and we encourage that.
Accessibility to VSP's leadership is inherent in the culture. There is an open-door policy to see any of our senior management. In addition, VSP sponsors a shadow career day, which allows executives to trade places with employees who are in production-level jobs. Everyone gains a good understanding of what people's day-to-day life is like and what their stresses and responsibilities include. We have employee focus groups that meet quarterly with the president and CEO to discuss issues, ideas and concerns. In addition, we have a diversity council in place, which I will be heading.
Our benefits strategy underpins everything. We believe that work-life balance relies on strong and broad benefit offerings. Everyone has different concerns and life challenges, and we make sure our benefits offering is robust and broad to assist varying needs.
We have spent a lot of time, effort and resources to make sure we have a learning culture in place and that we can facilitate that learning culture. Our mentoring program matches high achieving employees with key leaders in the company. In addition, our leadership forum is attended by high-achieving employees who are nominated by their managers. This year-long leadership program helps us determine whether or not the people we think are high potential truly are high potential.
We emphasize community involvement, which goes beyond the Sacramento area, where our headquarters is located, to anywhere that we do business. We offer employees one paid day off to do volunteer work, which is in addition to regular vacation time.
An example of our employees' commitment to community is our response to Hurricane Katrina and Rita. Our employees donated $63,000 to help victims of the hurricanes, and VSP pledged $15 million.
HC: What are some of your goals as head of VSP's diversity council?
RL: I have two goals. The first is to immerse myself in the culture and focus on issues presented by the council's members. I want to make sure that everyone in the company understands my commitment to diversity. The second goal is to ensure that our diversity plan is not just a feel-good program, but that it adds to the richness of VSP's culture.
HC: Any final thoughts?
RL: In my leadership role at VSP, I will continue to drive VSP's commitment to the development of our people and our philosophy of hiring the right people with the right skills. This results in an excellent culture that contributes significantly to our business success. We have been focused on ensuring that our people are highly valued, and I think they believe that, which results in VSP offering the highest quality eye care plan in the United States. HC