Developing a Leadership Culture That Puts People First

BY Mary Pieper | October 23, 2023

When L'Oréal transferred Stephanie Kramer from the post of manager for one of its brands, to the position of chief employee experience officer a year ago, she focused on creating a people-first leadership culture.

“It’s about the three-way relationship between employees, HR, and people managers,” Kramer told moderator Erica Keswin during a recent From Day One fireside chat titled, “Developing a Leadership Culture That Puts People First – and Drives Businesses Forward.” The two spoke at the Edison Ballroom during From Day One’s Manhattan conference.

Kramer, who was promoted to chief human resources officer at L'Oréal USA earlier this year, said creating individual personal relationships within a huge company can be difficult. L'Oréal is overcoming this challenge through a series of people managing town halls. Everyone in the company who has at least one direct report is invited to one of these forums. Around 3,000 middle managers attended the second town hall three weeks ago.

“It not only elevates the relationship between the people managers and employees, but also the role of HR in empowering them,” Kramer said.

Managers at the Center

Some companies have recently been eliminating middle manager positions to flatten their organizations. However, L'Oréal has chosen to celebrate them.

One of the ways the company is doing this is referring to them as “managers at the center” rather than middle managers, according to Kramer.

Bestselling author Erica Keswin interviewed Kramer during the opening fireside chat. 

“We’ve seen in our annual employee survey the direct correlation between the results of people managers and their entire populations,” she said.

During the most recent town hall for people managers, Kramer used the monologue by America Ferrera’s character from the hit movie Barbie to describe the constant tension managers experience.

“She says, ‘you have to be this and not that,’” Kramer said. “I said to the people managers, ‘You need to be in the weeds, but give them space. You need to be empowering, but not on top of them.”

Along the same lines, “I think it’s important that we empower our people managers with skills, and also give them the space and grace that it’s not going to be easy all the time,” Kramer said.

Human Resources Transformation

People managers aren’t the only ones in the spotlight right now, according to Kramer.

“HR is having a moment for sure,” she said. “The role of HR has never been so powerful. I can say that personally I very much enjoy when I see the path to some of these major leadership positions also includes HR.”

However, transforming HR is a marathon, not a sprint, according to Kramer. “So, with your transformation, listen, when something feels sticky, survey,” she said. “When you’re not sure about a decision, test. But also make sure you’re giving yourself time and space to see real results. It's not going to happen in three months, you’re not going to have those key metrics. In fact, if they don't go down, that means you're not really transforming. So, take time, appreciate the people on your team.”

Building Relationships with Employees From Day One

Onboarding is critical for the creation of community at L'Oréal, but relationship building efforts don’t end there, according to Kramer. In fact, they continue even after an employee has left the company.

“At the end of the day, whether you retire or you choose another organization, you’re also still a consumer, and you’re also fueling our future pipeline of individuals that want to join us,” Kramer said.

Also, employees who part ways with L'Oréal are welcomed back with open arms should they decide to return, she said.

Being a Human Being at Work

When people show up at work as their whole selves, it helps create authentic relationships and sense of community, according to Kramer.

However, “I think that leaders often struggle with the amount of vulnerability they want to show or how they can be empathetic, but also show the presence of their leadership ability,” she said. “And there's a way that if we all do that to a different level, we're actually encouraging everyone to give their best.”

Another reason for enabling people to be their true selves in the workplace is “you have to have the foundation of inclusivity to have innovation for people to thrive and have different ideas,” Kramer said.

Mary Pieper is a freelance reporter based in Mason City, Iowa.