Minh Hua
Chief People Officer and Behavioral Economics Leader
Not specified
Episode 279
AI Demands It: Transform HR with Behavioral Science, Not Politics
Current chapter: Covering monthly expenses is the number one concern for employees in 2024
Built By PeopleMarch 11, 2025 · 10:45
Thesis
“HR must transform from a political function to an empirically driven discipline, integrating behavioral science and A/B testing to gain deeper insights into employee motivation, productivity, and the future workforce, especially in the era of AI.”
Show notes
Exploring Behavioral Science and Employee Trust with Minh Hua
In this episode of the Built by People podcast, sponsored by Previ, host Dave D'Angelo welcomes Minh Hua, who shares insights on her career journey from psychology to HR.
Minh Hua discusses the importance of empirical data in HR, the application of behavioral economics, and recent changes implemented by Elon Musk in the federal government’s HR approach.
He emphasizes the need for HR to be less political and more data-driven, the law of conservation of energy in employee productivity, and the role of deep expertise over well-roundedness in career advancement.
Minh advises HR leaders to conduct field experiments and present counter-arguments to proposals, and he stresses the importance of trust between management and employees in the face of AI and market changes.
He concludes with practical financial advice for personal freedom and resilience in an evolving job market.
00:00 Introduction to the Built by People Podcast
00:16 Sponsorship Message from Previ
00:43 Guest Introduction: Min's Career Journey
02:05 Key Innovations for HR in the 21st Century
02:42 Behavioral Economics in HR Practices
05:33 Surprising Findings on Employee Motivation
07:33 Implementing Evidence-Based HR Practices
08:54 Addressing Misconceptions in Employee Management
09:36 Parting Advice from Min
10:19 Conclusion and Farewell
What you'll take away
- 1HR must shift from political decision-making to an empirically driven approach, using behavioral science to understand and optimize employee behavior.
- 2Implement evidence-based HR by hiring experts in field experiments, requiring contra arguments for proposals, and fostering a culture of A/B testing for both large and small decisions.
- 3Understand that employees often default to energy conservation, and feedback requests frequently seek validation, not just critical input, which should inform management practices.
- 4Higher-paying career opportunities tend to value deep expertise over general well-roundedness, guiding aspiring professionals.
- 5Prepare for significant market displacement driven by AI by prioritizing personal financial resilience through saving money and living below your means.
What most organizations get wrong
- •The HR function needs to be less political; it is currently largely a political function lacking empirical basis.
- •When people or employees ask for feedback, most of the time, in most cases, they're asking to be validated.
- •The higher paying jobs value deep expertise more than well-roundedness.
In Minh's words
“the HR function needs to be less political. It is right now largely a political function. And functions that don't deal with revenue, don't deal with technology or products, and don't have a lot of empirical basis tends to be political.”
This quote challenges the existing operational model of HR, advocating for a fundamental shift towards an empirically driven approach.
“From that, I learned the power of a job and the dignity it gives when you could earn your own way. So that's kind of how my career started. We didn't call it HR at the time, but it was very transferable to HR.”
It highlights a foundational understanding of intrinsic employee motivation and the value of work, stemming from early career experiences.
“The first is that the law of conservation of mass energy exists in sociology, meaning people, employees, including me and you, most of us in most incidents will default to the conservation of energy.”
This provides a surprising behavioral science lens on employee effort and productivity, challenging assumptions about how time saved translates to work output.
“When people or employees ask for feedback, most of the time, in most cases, they're asking to be validated.”
Offers a critical insight into the psychological motivation behind feedback requests, suggesting a need for a more nuanced leadership response.
“I think we need to fix the trust issue between management and employees. If we don't, we'll see a resurgence of unions, especially within democratic nations.”
This quote identifies a significant, systemic challenge for modern organizations and warns of potential consequences if trust issues are not addressed.
“You can only be a free thinker if you have F.U. money.”
A memorable and provocative statement linking financial independence to the ability to exercise independent thought and career agency.
The problems this episode addresses
- •Many HR practices are political rather than empirically driven, leading to ineffective decisions and a lack of measurable impact on business outcomes.
- •There is a significant trust deficit between management and employees, which could lead to a resurgence of unionization and increased workplace friction.
- •Traditional performance management techniques, especially when implemented in an environment of fear or lack of trust, yield inaccurate and unreliable data for critical decisions like job elimination.
- •Policies like 'return to office' often fail to translate saved commute time into increased business productivity, due to the human tendency towards energy conservation.
- •Current AI/large language models are not sufficiently trained to handle the complexities and nuances of performance reviews, risking 'garbage in, garbage out' if used for major workforce decisions.
- •Employees' primary financial concern in 2024 is covering monthly expenses, indicating a widespread need for financial wellness support.
In this episode
Covering monthly expenses is the number one concern for employees in 2024
Built by People
Dave Zirin shares a little bit about his career journey
Your Career Paths
Min: HR needs to be less political and more empirically driven
Six Key Changes for HR in the 21st Century
Can you explain how behavioral economics can be applied to HR practices
How Behavioral Economics Affects HR Decisions
Man, you're publishing research on behavioral science in HR later this year
Give More Feedback
How can HR leaders implement evidence-based practices that actually help employees
How to Make Better Employee Decision-Making
Min, with your unique perspective, having worked at GE and seeing the evolution of HR practices
In the Elevator With Min Lee
Topics covered
Organizations and entities mentioned
Full transcript
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