WEBVTT - How Leaders Look at Work

0:00:00.120 --> 0:00:03.960
<v Speaker 1>This is Bloomberg Business Week with Carol Messer and Tim

0:00:04.000 --> 0:00:06.280
<v Speaker 1>Stenebek on Bloomberg Radio.

0:00:06.720 --> 0:00:09.800
<v Speaker 2>You and Week, Climate Week Global Citizen coming up this weekend.

0:00:09.840 --> 0:00:11.840
<v Speaker 2>There is a lot going on in and around New

0:00:11.920 --> 0:00:13.840
<v Speaker 2>York City right now. There's a lot going on for

0:00:13.880 --> 0:00:17.639
<v Speaker 2>companies too, which with the un and all of this.

0:00:17.720 --> 0:00:20.319
<v Speaker 2>Though here in New York City specifically, it means a

0:00:20.320 --> 0:00:22.640
<v Speaker 2>lot of global leaders come here and we get to

0:00:22.720 --> 0:00:25.640
<v Speaker 2>check in with them. Among them Frankosuitis, she's executive vice

0:00:25.680 --> 0:00:28.760
<v Speaker 2>president and chief People Policy Purpose Officer at Cisco Systems.

0:00:29.160 --> 0:00:31.320
<v Speaker 2>Delighted to have her back here in our Bloomberg Interactive

0:00:31.320 --> 0:00:33.800
<v Speaker 2>Broker studio. Hello, how are you good.

0:00:33.840 --> 0:00:35.120
<v Speaker 3>It's great to be with you again.

0:00:35.240 --> 0:00:37.240
<v Speaker 2>It's great to have you here. We have a nice

0:00:37.240 --> 0:00:38.920
<v Speaker 2>tonk of time. But I want to start with because

0:00:38.920 --> 0:00:40.960
<v Speaker 2>I always like to do, because you are, you know,

0:00:41.040 --> 0:00:43.440
<v Speaker 2>front seat with what's going on at the company and

0:00:43.479 --> 0:00:45.800
<v Speaker 2>what's going on in the environment. How would you describe

0:00:45.920 --> 0:00:48.640
<v Speaker 2>you've seen what you've been at Cisco twenty seven years.

0:00:48.680 --> 0:00:51.360
<v Speaker 2>That's correct, It's amazing. You've seen a lot of different

0:00:51.360 --> 0:00:54.680
<v Speaker 2>business cycles and you've seen the technology world change in

0:00:54.720 --> 0:00:57.640
<v Speaker 2>different cycles there. How would you describe today's environment, I.

0:00:57.600 --> 0:01:01.000
<v Speaker 3>Would say it's incredibly dynamic. I think that our customers

0:01:01.720 --> 0:01:04.480
<v Speaker 3>view technology a little differently than they did I would say,

0:01:04.480 --> 0:01:06.480
<v Speaker 3>even three or four years ago. I think there's an

0:01:06.560 --> 0:01:11.920
<v Speaker 3>understanding that digitization and technology is an enabler for their success.

0:01:12.480 --> 0:01:14.480
<v Speaker 3>And as a result of that, I think it changes

0:01:14.480 --> 0:01:17.280
<v Speaker 3>a lot of the conversations that we're having with our customers.

0:01:18.080 --> 0:01:20.559
<v Speaker 3>Even a good example of that is on the sustainability front.

0:01:21.240 --> 0:01:25.440
<v Speaker 3>Whereas I think I would say five years ago, our

0:01:25.440 --> 0:01:27.840
<v Speaker 3>customers were looking at the checklist like what do they

0:01:27.920 --> 0:01:31.240
<v Speaker 3>need to do from a regulation perspective, and what they

0:01:31.319 --> 0:01:33.800
<v Speaker 3>believed was coming, I think now there's some really good

0:01:33.840 --> 0:01:37.680
<v Speaker 3>discussions around how do sustainability intersect either with their business,

0:01:37.720 --> 0:01:40.840
<v Speaker 3>their technology, what they're doing, what is the opportunity in that?

0:01:41.240 --> 0:01:42.800
<v Speaker 3>And I think as a result of that, a lot

0:01:42.800 --> 0:01:45.920
<v Speaker 3>of the conversations that we're having about whether it's modernizing

0:01:46.000 --> 0:01:49.360
<v Speaker 3>infrastructure or security has a little bit of a longer

0:01:49.400 --> 0:01:50.600
<v Speaker 3>tail than it did once before.

0:01:50.760 --> 0:01:52.960
<v Speaker 2>That's interesting. Is it a good business environment? Though?

0:01:53.520 --> 0:01:53.960
<v Speaker 3>I think it?

0:01:54.120 --> 0:01:56.280
<v Speaker 2>What's the right word, what's the right adjective to use?

0:01:56.440 --> 0:01:58.639
<v Speaker 3>I think dynamic to be honest, I think.

0:01:58.480 --> 0:02:00.400
<v Speaker 2>What is dynamicase dynamic to me sounds upbeat.

0:02:01.120 --> 0:02:03.960
<v Speaker 3>Yeah, you know, I think it is upbeat in that

0:02:04.800 --> 0:02:08.800
<v Speaker 3>technology is front and center. I think our customers are

0:02:08.840 --> 0:02:11.720
<v Speaker 3>coming to us and we're coming to them to figure

0:02:11.760 --> 0:02:14.040
<v Speaker 3>out solutions, and I think as long as we're having

0:02:14.120 --> 0:02:17.799
<v Speaker 3>those conversations, it makes us better. I think there are

0:02:17.960 --> 0:02:21.320
<v Speaker 3>a lot of dynamics that businesses are responding to that

0:02:21.360 --> 0:02:23.160
<v Speaker 3>I wouldn't put in the positive category.

0:02:23.280 --> 0:02:24.000
<v Speaker 1>What are some of those?

0:02:24.400 --> 0:02:26.680
<v Speaker 3>So, I mean it's everything from the fact that we

0:02:26.760 --> 0:02:30.760
<v Speaker 3>still have a war on the ground in Europe. I

0:02:30.800 --> 0:02:34.359
<v Speaker 3>think leaders are still trying to figure out how they

0:02:34.400 --> 0:02:36.640
<v Speaker 3>want to work. I was in a meeting earlier today

0:02:37.120 --> 0:02:38.720
<v Speaker 3>and I will tell you there was not a lot

0:02:38.760 --> 0:02:41.120
<v Speaker 3>of love for what I would consider hybrid work. I

0:02:41.120 --> 0:02:43.520
<v Speaker 3>think leaders are trying to figure out what's the right

0:02:43.560 --> 0:02:45.920
<v Speaker 3>way to work. My people want something a little bit

0:02:45.919 --> 0:02:48.519
<v Speaker 3>different than I do. That's an interesting dynamic as well.

0:02:48.720 --> 0:02:50.320
<v Speaker 1>Describe that when you say there's not a lot of

0:02:50.440 --> 0:02:51.880
<v Speaker 1>love and what were you hearing?

0:02:52.800 --> 0:02:55.680
<v Speaker 3>I think what I hear, and it's understandable, is that

0:02:55.760 --> 0:02:58.560
<v Speaker 3>in some cases, I think leaders want to go back

0:02:58.600 --> 0:03:01.080
<v Speaker 3>to something that was a bit more predicted, right, So

0:03:01.680 --> 0:03:03.359
<v Speaker 3>you know, we would all come in three or four

0:03:03.680 --> 0:03:06.480
<v Speaker 3>days a week, and you know we would do.

0:03:06.400 --> 0:03:11.560
<v Speaker 1>Our jobs five or six days as twenty nineteens.

0:03:12.280 --> 0:03:16.440
<v Speaker 3>And what's interesting is that I think from a business perspective,

0:03:17.080 --> 0:03:18.880
<v Speaker 3>it would be so much easier if there was a

0:03:18.919 --> 0:03:21.080
<v Speaker 3>one size fits all. But the truth of the matter

0:03:21.200 --> 0:03:24.200
<v Speaker 3>with work is that depending on your job, depending on

0:03:24.280 --> 0:03:27.079
<v Speaker 3>where you work, who you work with, there's so many

0:03:27.120 --> 0:03:30.000
<v Speaker 3>different flavors. And I think that's an example of a

0:03:30.080 --> 0:03:33.160
<v Speaker 3>dynamic that leaders are having to deal with and really

0:03:33.160 --> 0:03:34.440
<v Speaker 3>think through what makes the most sense.

0:03:34.520 --> 0:03:37.240
<v Speaker 2>For what would you tell leaders? Because correct me if

0:03:37.280 --> 0:03:40.440
<v Speaker 2>I'm wrong, but Cisco has been doing hybrid and make

0:03:40.560 --> 0:03:43.240
<v Speaker 2>depend you know, people have a lot of flexibility for

0:03:43.760 --> 0:03:47.400
<v Speaker 2>pre pandemic for years. So what would you tell leaders

0:03:47.640 --> 0:03:50.040
<v Speaker 2>about what works, what doesn't, why it makes sense? Why

0:03:50.200 --> 0:03:51.600
<v Speaker 2>what like? What would you say?

0:03:51.680 --> 0:03:54.080
<v Speaker 3>I would tell leaders to focus on the work, because

0:03:54.160 --> 0:03:58.280
<v Speaker 3>I think work will guide on how we need to

0:03:58.320 --> 0:04:01.360
<v Speaker 3>come together. But I would also tell leaders that I

0:04:01.360 --> 0:04:04.440
<v Speaker 3>think all of us are now event planners because I

0:04:04.480 --> 0:04:06.600
<v Speaker 3>think we have to think about the events that bring

0:04:06.640 --> 0:04:09.160
<v Speaker 3>our teams together, that build the culture that we need

0:04:09.200 --> 0:04:11.640
<v Speaker 3>to have to ensure that we have the connections that

0:04:11.680 --> 0:04:14.080
<v Speaker 3>we need. But I don't think it's a one size

0:04:14.120 --> 0:04:16.760
<v Speaker 3>fits all. I actually don't think that whatever we create

0:04:17.160 --> 0:04:19.680
<v Speaker 3>this month may be applicable next month. I think there's

0:04:19.720 --> 0:04:22.080
<v Speaker 3>just a tad bit more agility in how we work,

0:04:22.480 --> 0:04:24.400
<v Speaker 3>and as leaders, I think we have to work hard

0:04:24.440 --> 0:04:27.080
<v Speaker 3>to really understand what does success look like and do

0:04:27.120 --> 0:04:29.760
<v Speaker 3>I have key measures that allow me to understand whether

0:04:29.839 --> 0:04:31.200
<v Speaker 3>or not my teams are doing what we need them

0:04:31.200 --> 0:04:31.440
<v Speaker 3>to do.

0:04:31.839 --> 0:04:35.480
<v Speaker 2>Has it helped you in terms of finding workers? And

0:04:35.520 --> 0:04:37.280
<v Speaker 2>I would I'm very curious what you have to say

0:04:37.320 --> 0:04:40.200
<v Speaker 2>about the labor market. We're seeing signs of some softening.

0:04:41.040 --> 0:04:43.880
<v Speaker 2>But I'm just curious how being flexible helps you and

0:04:43.880 --> 0:04:46.040
<v Speaker 2>then what you are seeing overall in terms of labor market.

0:04:46.320 --> 0:04:48.320
<v Speaker 3>It can help you, but you have to be really

0:04:48.360 --> 0:04:52.560
<v Speaker 3>deliberate with what you want that team environment to look like. So,

0:04:52.600 --> 0:04:55.560
<v Speaker 3>as an example, there are some of our areas from

0:04:55.560 --> 0:04:58.760
<v Speaker 3>a technology perspective, where we want the best of the best,

0:04:59.240 --> 0:05:01.360
<v Speaker 3>and we're happy with wherever they are in the world,

0:05:01.360 --> 0:05:03.359
<v Speaker 3>and we have the technology for them to join us

0:05:03.440 --> 0:05:06.560
<v Speaker 3>via video and so we don't worry about the fact

0:05:06.560 --> 0:05:08.799
<v Speaker 3>that they may be remote from other members of the team.

0:05:09.640 --> 0:05:12.080
<v Speaker 3>But that's a deliberate choice. But I think when you

0:05:12.320 --> 0:05:15.119
<v Speaker 3>have a level of flexibility, it's just going to allow

0:05:15.120 --> 0:05:17.560
<v Speaker 3>you to cast a wider net on who you bring

0:05:17.600 --> 0:05:18.240
<v Speaker 3>into the company.

0:05:18.320 --> 0:05:21.880
<v Speaker 1>How do you create those spontaneous moments that you know,

0:05:21.920 --> 0:05:24.840
<v Speaker 1>those water cooler moments here at Bloomberg, those pantry moments.

0:05:24.880 --> 0:05:27.440
<v Speaker 1>I mean, Joe Weber, editor at Bloomberg BusinessWeek, tells us

0:05:27.480 --> 0:05:31.279
<v Speaker 1>every week that there was some article, even a cover story,

0:05:31.520 --> 0:05:33.599
<v Speaker 1>is the result of just bumping into one of the

0:05:33.640 --> 0:05:35.159
<v Speaker 1>reporters of the pantry.

0:05:35.000 --> 0:05:36.080
<v Speaker 2>Or strolling over to somebody's desk.

0:05:36.200 --> 0:05:36.680
<v Speaker 1>Exactly.

0:05:36.960 --> 0:05:39.919
<v Speaker 3>I think it takes work remotely. And this is the

0:05:40.000 --> 0:05:42.480
<v Speaker 3>rub I will tell you, Like this was a long

0:05:42.480 --> 0:05:44.640
<v Speaker 3>time ago. I'm gonna say like fifteen or twenty years ago.

0:05:44.960 --> 0:05:48.640
<v Speaker 3>I remember I created something called the virtual hallway conversation

0:05:48.760 --> 0:05:50.360
<v Speaker 3>because I had a team that was all over the

0:05:50.400 --> 0:05:54.839
<v Speaker 3>world and we would schedule this ten minute quick sync

0:05:55.560 --> 0:05:57.960
<v Speaker 3>and the only rule was we couldn't talk about work

0:05:58.000 --> 0:06:00.560
<v Speaker 3>for the first few minutes, because sometimes we ump should

0:06:00.600 --> 0:06:02.240
<v Speaker 3>and in the hallway we just talk about like how

0:06:02.279 --> 0:06:04.599
<v Speaker 3>your kids, what are you doing? So I guess what

0:06:04.640 --> 0:06:06.720
<v Speaker 3>I would say is we do have to work hard

0:06:06.720 --> 0:06:09.440
<v Speaker 3>to create that. When you have flex it doesn't mean

0:06:09.440 --> 0:06:11.680
<v Speaker 3>that you don't come in. I think you just have

0:06:11.760 --> 0:06:14.400
<v Speaker 3>to be really thoughtful when people come in. What is

0:06:14.440 --> 0:06:15.760
<v Speaker 3>the best use of our time.

0:06:16.080 --> 0:06:19.280
<v Speaker 2>Would you say there's a little softening of the labor market, you.

0:06:19.240 --> 0:06:22.640
<v Speaker 3>Know, it's interesting I would say that despite the fact

0:06:22.720 --> 0:06:27.359
<v Speaker 3>that there is some softening, boy, the talent market is

0:06:27.400 --> 0:06:28.320
<v Speaker 3>still hot in.

0:06:28.360 --> 0:06:29.480
<v Speaker 2>Many, many areas.

0:06:29.680 --> 0:06:34.080
<v Speaker 3>And I look at an area like security as an example. Globally,

0:06:34.360 --> 0:06:37.160
<v Speaker 3>the belief is still that there are four million security

0:06:37.240 --> 0:06:40.720
<v Speaker 3>roles that are still open and that we can't find

0:06:40.720 --> 0:06:42.800
<v Speaker 3>the talent for those roles. The other thing that we

0:06:42.880 --> 0:06:44.760
<v Speaker 3>understand is about you those Would.

0:06:44.520 --> 0:06:46.080
<v Speaker 2>You say you have roles that are open that you.

0:06:46.640 --> 0:06:49.719
<v Speaker 3>I would say that we're always looking for amazing talent.

0:06:49.839 --> 0:06:53.360
<v Speaker 3>But I think around the world there's some struggle getting

0:06:53.400 --> 0:06:55.840
<v Speaker 3>to people that have some of the skills. On the

0:06:55.880 --> 0:06:59.400
<v Speaker 3>security side, about half of those roles are more entry level.

0:06:59.400 --> 0:07:01.720
<v Speaker 3>And so for what that means is there's such an

0:07:01.760 --> 0:07:04.920
<v Speaker 3>opportunity to train up talent and really help them get

0:07:04.920 --> 0:07:05.960
<v Speaker 3>the skills that get them started.

0:07:05.960 --> 0:07:07.919
<v Speaker 1>How do you start? How do you train up that

0:07:08.000 --> 0:07:11.480
<v Speaker 1>talent earlier in their careers, earlier in their lives. I mean,

0:07:11.640 --> 0:07:15.400
<v Speaker 1>where does this start within our education system? You know?

0:07:15.440 --> 0:07:19.080
<v Speaker 3>It's interesting because if you look at the US President Biden,

0:07:19.120 --> 0:07:22.080
<v Speaker 3>I think about nine months ago, convened a group of

0:07:22.160 --> 0:07:26.200
<v Speaker 3>leaders together against the backdrop of security, and the approach

0:07:26.840 --> 0:07:29.720
<v Speaker 3>that the team was taking was to look at what

0:07:29.760 --> 0:07:33.400
<v Speaker 3>are the security skills that everyone needs to have, what

0:07:33.440 --> 0:07:37.160
<v Speaker 3>are the security skills that only many need to have?

0:07:37.240 --> 0:07:39.760
<v Speaker 3>And then a few, right, And so when you get

0:07:39.800 --> 0:07:43.200
<v Speaker 3>to the few, you are talking about your chief security officers,

0:07:43.200 --> 0:07:46.120
<v Speaker 3>the top of the top. But for all, what you're

0:07:46.160 --> 0:07:48.239
<v Speaker 3>talking about is maybe we need to start to teach

0:07:48.360 --> 0:07:52.480
<v Speaker 3>our students in elementary school about passwords and how to

0:07:52.520 --> 0:07:56.520
<v Speaker 3>be secure. And so I really start really early, to

0:07:56.560 --> 0:07:58.040
<v Speaker 3>be honest. And then I think the other thing that

0:07:58.040 --> 0:07:59.920
<v Speaker 3>I would say is when I look at Cisco and

0:08:00.080 --> 0:08:02.960
<v Speaker 3>other tech companies, we used to spend a lot of

0:08:03.000 --> 0:08:08.040
<v Speaker 3>time at high schools, and now we're taking that down

0:08:08.080 --> 0:08:09.960
<v Speaker 3>to elementary school as well. So I do think we

0:08:10.000 --> 0:08:12.400
<v Speaker 3>need to start earlier and earlier, and especially for girls.

0:08:12.760 --> 0:08:15.120
<v Speaker 2>That is fascinating. Hey, listen, we've got about a minute

0:08:15.120 --> 0:08:17.480
<v Speaker 2>and a half left here. You guys at SOSCO, you've

0:08:17.480 --> 0:08:21.080
<v Speaker 2>had ESG initiatives and missions and goals for a long time.

0:08:21.320 --> 0:08:23.640
<v Speaker 2>Remind us a little bit about the impact that that

0:08:23.840 --> 0:08:28.400
<v Speaker 2>has had on the company financially and just overall in

0:08:28.520 --> 0:08:29.760
<v Speaker 2>terms of the cultural environment.

0:08:30.400 --> 0:08:32.760
<v Speaker 3>The impact is significant. So it was about three years

0:08:32.760 --> 0:08:35.240
<v Speaker 3>ago that we created our new purpose to power an

0:08:35.240 --> 0:08:38.640
<v Speaker 3>inclusive future for all, and that really started to guide

0:08:38.960 --> 0:08:43.600
<v Speaker 3>everything that we do across the company from a sustainability perspective.

0:08:43.720 --> 0:08:48.160
<v Speaker 3>We launched about a year ago our net zero goals

0:08:48.160 --> 0:08:50.360
<v Speaker 3>for Scope one and Scope two, which is twenty twenty five,

0:08:50.440 --> 0:08:53.600
<v Speaker 3>Scope three which is twenty forty. We now have an

0:08:53.679 --> 0:08:57.840
<v Speaker 3>SPTI approved plan, which basically means that we have a

0:08:57.880 --> 0:09:01.880
<v Speaker 3>scientific plan that has been reviewed and approved. I say

0:09:01.920 --> 0:09:05.880
<v Speaker 3>all of this because I think that inclusive future means

0:09:05.920 --> 0:09:09.040
<v Speaker 3>we need to have a livable planet. That inclusive future

0:09:09.080 --> 0:09:12.079
<v Speaker 3>means we need to have really good people practices within

0:09:12.160 --> 0:09:15.840
<v Speaker 3>the company and to influence communities more broadly, and that

0:09:15.880 --> 0:09:18.400
<v Speaker 3>we're doing everything we can from a digital divide perspective,

0:09:19.000 --> 0:09:23.599
<v Speaker 3>I do think, Carol, that how we focus on sustainability

0:09:23.880 --> 0:09:26.480
<v Speaker 3>will be an amazing business for Cisco too. So as

0:09:26.520 --> 0:09:29.840
<v Speaker 3>an example, some of our technology now is so much

0:09:29.920 --> 0:09:34.000
<v Speaker 3>more energy efficient with higher bandwidth, like our Silicon one products,

0:09:34.440 --> 0:09:37.000
<v Speaker 3>and that's a great growth business for us. But it's

0:09:37.040 --> 0:09:38.959
<v Speaker 3>going to save our customers a ton of energy on

0:09:39.000 --> 0:09:40.920
<v Speaker 3>the other side, and that's the opportunity.

0:09:41.040 --> 0:09:42.400
<v Speaker 2>Well, and I do think about when you've got the

0:09:42.400 --> 0:09:44.800
<v Speaker 2>hottest year on record, like how that kind of shapes

0:09:44.800 --> 0:09:48.080
<v Speaker 2>and whether that makes companies like yourself even rethink. You know,

0:09:48.360 --> 0:09:49.800
<v Speaker 2>is it sooner that you try to do this's just

0:09:49.800 --> 0:09:51.960
<v Speaker 2>got about ten seconds? Do you think about maybe trying

0:09:52.000 --> 0:09:52.960
<v Speaker 2>to get there even sooner?

0:09:53.040 --> 0:09:55.400
<v Speaker 3>We have to and I think the technology and our

0:09:55.520 --> 0:09:57.280
<v Speaker 3>people will push us to do that, which is great.

0:09:58.320 --> 0:09:59.840
<v Speaker 2>I know you're going to be involved in Global Citizen.

0:09:59.840 --> 0:10:03.040
<v Speaker 2>You can always are. It's this weekend. I'm so grateful

0:10:03.080 --> 0:10:04.840
<v Speaker 2>for you finding time for us. Thank you, Thank you.

0:10:05.040 --> 0:10:08.319
<v Speaker 2>Fran Casudas she's executive EP Chief, People, Policy Purpose Officer

0:10:08.320 --> 0:10:09.800
<v Speaker 2>at Cisco Systems. Here in studio