Talking with Randy MacDonald, SENIOR VICE PRESIDENT, Human Resources

What do you think it means to be an IBMer today?
More than anything I think IBMers are defined by their passion. We're one of the few companies where employees identify themselves by the company name - here you're not just an IBM employee, you're an IBMer. That says to me there's a tremendous amount of pride in belonging to an organization that has had, is having and will continue to have a profound impact on society. Here there's a larger sense of purpose. The vast majority of IBMers want to feel as though what they are doing will make a difference - not just for customers, but also for the world.

IBM has a culture that talented people find very attractive. IBMers share a sense of community and collegiality that, in my experience, few other companies can claim. There's no question we're a culture that prizes intelligence and innovation and IBMers, by nature of whom we hire, are naturally smart folks motivated by high achievement. Here you really are working with the best and the brightest people. What's more, we work along side people from a variety of backgrounds, ethnicities, beliefs and orientations. IBMers value that kind of diversity - that makes me very proud.

IBM is one of the largest, most complex organizations in the world. What can employees do to feel more connected to their colleagues and the company as a whole?
There's a paradox at play here. The more technology we have to connect us, the more disconnected we can sometimes feel. The days when everyone worked with all of her or his colleagues in a single location are gone. Technology is a powerful tool to connect people around the world, but it's not a substitute for human interaction.

That said, technology is connecting IBMers like never before. w3 provides ongoing insight into company issues and activities. With tools like knowledge cafes and Persona you can tap into the company brain trust. With forums you can reach out to a community of peers and build your professional network. I continue to be amazed by the workplace we are creating - one, by the way, that customers want to copy.

What differentiates IBM from other employers? In other words, why should talented people work here rather than someplace else?
Hardly a week goes by that IBM doesn't receive an award or some media recognition for having outstanding workforce policies or world-class employee programs. While we love the public acknowledgement that IBM is a great place to work, for me, what sets us apart from the pack isn't really the number of awards we win.

What makes IBM special is the degree of opportunity here, made possible by a few specific workforce strengths: diversity, learning, performance differentiation, flexibility, and leadership development. Because there are so many different parts of IBM, our employees, as they develop professionally, are able to pursue new challenges across the company. Few of our people stay in the same assignment throughout their careers. Having said that, not everyone is interested in becoming a manager or executive - and that's ok. For most of our professions, we've developed rewarding career tracks for subject matter experts that don't require them to be in management, but still foster growth.

We invest a significant amount - over $800 million last year - in employee learning to ensure employees continually improve their skills and expertise. Truth is, in our industry, expertise usually has a limited shelf life. If you don't keep up to date, you'll end up being left behind. At IBM, we recognize the mutual interest in having workforce skills that evolve with the needs of the marketplace. That's why we believe it's a mutual responsibility. Now let me say to our managers - our commitment to professional development rests with you. Not only is it important for you to see to it that employees have the time to learn, they also need to know you believe it is a priority.

Finally, our pay programs are designed so that we deliver exceptional rewards to exceptional performers. We work hard to ensure we are paying our best like the best in the marketplace. From base pay, stock options and awards to variable or incentive pay plans, employees have the opportunity to reap significant rewards at IBM.

With the advent of ThinkPads, cell phones and other forms of technology, IBMers are connected like never before. Now that work can get done at different times and in different places, how do we prevent the boundaries between work and private life from blurring?
Something else that sets IBM apart is the degree to which the company has built flexibility into its workforce practices. I think it's rare in industry and we are clearly a benchmark. These tools have profoundly changed how work gets done, which means that all the traditional assumptions about workplace and contribution have to be rethought.

From telecommuting and working at home to individual work schedules, part-time employment or leaves of absence, IBM is rewriting those rules. Here, we focus on results, not on activity or face time. Ideally, what the employee does is important - not where he or she does it. Or how many hours it takes. Frankly, some managers still need to make that shift in their thinking. I wish this were the practice in all segments of the company.

IBM pays a lot of attention to developing leaders. Why is leadership important?
The obvious reason is that every company needs leaders to develop, communicate and execute the company strategy. But leadership is more than that. Leaders are role models - those people who motivate and inspire their colleagues. Every company has heroes - those marquee names that everyone knows - who time and again beat the odds and deliver extraordinary results. We have a lot of these people - that's what differentiates the best from the average.

By the way, I'm not only talking about executives. Anyone who can balance immediate tasks with the big picture, doesn't let complexity interfere with creative thinking, sets challenging goals, and is a strong team player - that's a leader. In the absence of clarity, leadership prevails.

What is IBM doing to build and support an on demand workforce?
We're doing a lot. We're working hard to link our workforce strategy with the notion of an on demand workplace, so that our tools adapt to employee needs. Through the Role of the Manager program, we're helping our managers be more responsive to people management issues. We're reengineering our new-hire programs so that the needs of new employees are met and they don't "fall through the cracks." And we're streamlining our employee learning programs and aligning them to business objectives.

If you could, what would you change at IBM?
In our desire to be the best in everything we do, we're sometimes our own worst enemy. We're awfully tough on ourselves. These are particularly stressful times, from world events to marketplace conditions and I think the sustained pressure is getting to everyone - not just at IBM, of course. My hope is that IBM can be a refuge for our people - a place where they feel the comfort of community - where we care for one another and celebrate our successes. I just want everyone to be mindful of the impact we have on others, to trust one another and work from common ground. This is a great company and I'm proud to be a part of it - I hope everyone feels the same way.