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Since your boss trusts you, you’ve got some room to handle it directly. I’d just let the report know their input is valued, but copying your manager undermines the team structure. Maybe say something like, "I want to make sure we’re aligned before things get escalated unnecessarily."
I understand where the direct report's feelings. The strong belief in one's idea pushes them to have it seen by more than one person's eyes. I probably have done this before at some point in my career. It is not going behind you since it is CC and not BCC. A quick meeting would clear this up I think. Explain that it looks bad on you if the chain of command is not followed. Be sure the report's ideas are heard and not dismissed. The person is showing passion and this is a good thing.
Also explain that the inbox of your boss is intended only for persons reporting directly to him/her and that you appreciate the passion shown and that you will discuss the matter or explain why you disagree with the idea in detail.
I would say it's your boss's responsibility to deal with it. If he doesn't want the emails he should tell the person to can it. Maybe I'm an outlier, but I don't like the idea of telling someone they're not allowed to email someone else in the company. Or perhaps there's a tactful way of doing that, telling the person you don't appreciate them going over your head, for instance.
I agree, being able to reach out to whoever I need to was one of the most empowering changes after coming from a culture where departments are very insulated from each other. At our firm we are expected to get our input to whoever we feel needs it and we are always given time and attention by the senior staff member. If you have a young engineer who gives a damn and wants to learn, empower them.
Explain the concept of Teamwork in small words so they understand! If somebody undercuts the captain at every opportunity on a team and whines to the coach, he would soon be looking for another team... Try and get the enthusiasm harnessed on something useful to the team.
Design Eng 1 made a beautiful response. I would add immediacy and low key is important. Have him in with emails to review and as DE 1 said, explain why chain of command is important to any organization. I particularly appreciated DE 1 comment that the upline‘s inbox is for direct reports in most cases.
This employee is most likely highly motivated and just inexperienced. Stay engaged and observe any behavior indicating they are working outside chain of command. Your supervisor could change tomorow. Integrating into the informal chains of command is helpful. As technical professionals we tend to minimize focus on organizational dynamics.
I would apply the same process when responding to your boss as he uses. When he asks your opinion, send to him and cc his boss with all responses. If you agree... Hey boss, i think that’s a great idea, or that would be fine but i suggest a small tweak as follows. If you outright disagree with the concept then say.. Hey boss, that’s one way to approach that. What would you think about this idea. In all cases cc his boss. If your bossasks why you started cc’ing his boss just say that you noticed him cc’ing his boss and thought that was the new approach or standard being used. Your respectful but keep everyone in sync with all the ideas. Hope this helps, Dave