Page 161 - Harnessing the Management Secrets of Disney in Your Company

142 The Disney Way

Our Featured Organization: Ernst & Young

BIG FOUR LEADER PUTS ITS PEOPLE FIRST
No one would argue that it’s risky to attempt to change a culture that has
been successful for over 100 years. But to publicly announce that you are
putting your people ahead of your clients might be considered by some
as downright foolish. In 1989, the firms of Ernst & Whinney and Arthur
Young combined to create Ernst & Young. Rather than attempting to merge
two cultures together as a single entity, the leaders painstakingly worked as
a team to create a new culture. As Phil Laskawy, retired chairman of Ernst
& Young told us, “Those of us involved saw this as an opportunity to cre-
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ate a better culture than either firm had.” Ernst & Young International
is one of the Big Four global professional services firms with over 100,000
employees stationed in 700 offices throughout 140 countries. The company
audits over 100 of the Fortune 500 companies, consistently posts double-
digit growth, and leads the competition in tax services and technology.
Bill Capodagli, coauthor, is a proud alumnus of Ernst & Young (from
the Ernst & Whinney side of the firm). Bill fondly remembers his tenure
at Ernst and Whinney but believes to this day that the company viewed its
clients as more important than its people. Jim Turley, E & Y chairman and
CEO, confided in us, “In the past, we looked at our people issues from the
‘program-driven’ side forward instead of from the ‘employees’ delight’ back-
ward. We never trusted ourselves that if we put our people first, listened to
them, and really made them the center of the firm, that they will help drive
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whatever we need to have from a program or policy perspective.”
Ernst & Young’s unique “People First” philosophy dared to shake the
century-old paradigm which dictated that only clients are entitled to first-
class treatment. As Jim stated, “It is not only the decisions that I make that
are important; it is the decisions that everyone makes day to day.” At most
of their competitors, “People are viewed as numbers or like inventory,”
remarked Phil Laskawy.
Jim Turley personally dedicated himself to championing a “People
First” way of doing business. He began by visiting all of his North
American senior managers and managers to assess reactions to the philoso-
phy. It would no doubt have been easier to stage a formal presentation to
the masses than spend precious time in small group discussions. Jim Turley
is the kind of leader who fully understands that such programs and ideas