Objective Edge Office ombuds help smooth conflicts--without litigation.

When Israela Brill-Cass couldn't decide whether or how tolet a troublesome employee go, the attorney and executive directorof Boston Law Collaborative LLC called in Dina Beach Lynch. Actingas an ombuds, Beach Lynch helped the 10-person Boston firm navigatethe process in a way that left everyone as satisfied aspossible.

"It was a very difficult time for us," saysBrill-Cass, 37. "But with a lot of guidance and support fromDina, we realized that the good of the group was atstake."

An ombuds--the shortened, currently favored version ofombudsman--is a neutral person who helps companies solve HRproblems and reach business goals. The concept dates back centuriesand has long been a fixture in academia, government and some largecompanies. The value of having a person to whom employees canconfidentially bring their questions and concerns has been provenin many organizations. Nowadays, ombuds appear in BIZ Experiencesialcompanies, where their benefits get tested on a smaller stage.

At SMBs, ombuds act as external HR experts. When employees havesomeone to talk to confidentially, ombuds proponents say, workersmore readily report theft, misuse of company assets, harassment andother issues. As impartial observers not aligned with management oremployees, ombuds can suggest solutions that advance the goals ofthe entire company. The tales employees tell ombuds take thetempera-ture of morale and can help evaluate other concerns.Finally, Beach Lynch says, having an ombuds can lower the cost ofemployee liability insurance.

Unlike HR professionals such as ethics officers and complianceofficers, ombuds aren't there to enforce company policy, andthey don't have to tell management what they hear. And unlikethe confidential telephone hotlines some companies use to encourageemployee feedback, ombuds do more than listen. They can exploreoptions, make referrals, recommend solutions and suggest policychanges. "You have an early warning system and someone who canhelp an employee get things resolved without liti-gation,"says Beach Lynch, CEO of Ombuds Academy in Boston.

You can use an internal person or hire an outsider to be anombuds. A recently retired, well-respected longtime employee oftenworks well, or you can employ a part-time ombuds or retain someonejust when needed.

Outsiders may be better trained in mediation, investigating andother skills, plus they provide a helpful external perspective. Atthe same time, outsiders don't know as much about the company,notes Randy Williams, a former ombuds whose Morristown, New Jersey,company, Redmond, Wil-liams & Associates LLC, helps companiesdesign ombuds programs.

Ombuds also aren't for all companies. They can be expensive:Beach Lynch charges anywhere from $1,500 per month as a retainer to$50,000 for a six-month assignment. And, she adds, ombuds often fitpoorly into strongly hierarchical, tightly regulated companieswhere employees are expected to follow orders without question.

Brill-Cass says having an ombuds has been well worth theinvestment because the firm runs more smoothly and she can devoteher attention to areas where she has more expertise. "Whenbumps in the road come up within the firm," she says,"it's wonderful to have somebody who knows us and what ourgoal is, yet is on the periphery and is not personallyinvolved."