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May 2009







Herding Cats - How you get your employees to go the 'extra mile' for your customers



article by Julie Surycz

Six suggestions for how you can get your employees to 'go the extra mile' for your customers.



Article at a glance

Read some good news: there is still an obvious, timeless and powerful source of competitive advantage for companies – Create a memorable customer experience that will make people want to buy from you again and recommend you to others.

In the past, it has been easier for companies to stand out from the pack. In the turbulent, technologically advanced and hyper-connected world that is 2009, competitive advantage feels a lot more elusive.

Your business differentiator may be closer and easier to tap into than you think. It can lie in the meaningful connections you establish with your customers.

Most of the time, you are dependent on your frontline employees to create a memorable purchasing experience for customers. How can you encourage employees to behave in such a way that customers are willing to recommend you and buy from you again?



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Here's some good news: there is still an obvious, timeless and powerful source of competitive advantage for companies – Create a memorable customer experience that will make people want to buy from you again and recommend you to others.

In the past, it was easier for companies to stand out from the pack. In the turbulent, technologically advanced and hyper-connected world that is 2009, competitive advantage feels a lot more elusive. Today purchasers seem to have more power than sellers. It feels like business is a complex game of enticing customers into your space that's not like the good old days of, for example, Henry Ford where customers came knocking at his door and his customer experience was about giving clients the ability to choose a car of any colour, as long as it was black.

The customer service landscape has changed. A sale is now much more than a once off exchange of goods or services. There is a frequent flow information, money and emotional attachment between a seller and purchaser that continues long after the sale is made. In spite of this, your differentiator may be closer and easier to tap into than you think - It can lie in the meaningful connections you establish with your customers.

Creating a decent customer experience often requires nothing more than a little human empathy and care. Employees must have a positive impact on customers in order to give them a memorable purchasing experience. This is where the problem lies for companies:

  • How do you persuade your employees to connect better with customers?
  • How do you encourage your staff to do what you what them to?
  • How do you control these intangibles without using stifling bureaucratic management techniques?
  • How can you encourage employees to behave in such a way that customers are willing to recommend you and buy from you again?

1. Make sure every employee, at every level, understands what the company stands for

Tasks and job descriptions - what people 'do' – should be arranged around the company's desired state of 'being'. What does your company shoot for? What does your company stand for, beyond simply making money? This builds a collective identity that gives people purpose and meaning in their work and provides a framework from which they can make wise decisions.

Walt Disney's philosophy for his business was: 'Make people happy'. All management practices and organizational policies at Disney are organized around this cause. At the Disney theme parks, work is theatre and employees see any interaction with customers as an opportunity to perform on a stage, whether they wear the Mickey Mouse disguise or simply empty trash cans. 'Make people happy' has given Disney staff a framework in which they can make great choices. It is empowering so employees tend to sweat the small stuff, have fun and have now become pioneers of the concept of exceeding customer's expectations.

Southwest Airlines aspires to be the number 1 low cost airline. Every decision any employee makes is made with this state of being in mind. Will this decision help make Southwest the number 1 low cost airline? If yes, go ahead. If no, can the idea even if it means a customer loses out on an extra comfort. Every employee can make more effective decisions, no matter how small they may be, because they understand where the company is headed.

2. Hire the right people in the first place

    I think it's very important to choose people who have a predisposition to serve others, and it's hard to be successful if you hire people that are totally self-centered and bent only on serving themselves.
    Herb Kelleher (Former chairman of Southwest Airlines - one of the world's most profitable airlines)

Be clear on the type of person you want to work for your company and the type of person your customers will appreciate. The best and brightest people are not always the right ones for your organization.

The most important quality any employee can have is the GAF Gene. It stands for Give A (toss). If someone has the GAF Gene, they care enough to use their initiative, make an effort, work unsupervised, be optimistic and work well in a team. It drives people to develop themselves, go the extra mile for customers and learn from mistakes. Some people can be highly qualified and have years of experience but still not have the GAF gene. The GAF Gene cannot be trained. It is either there or it isn't.

When you interview people, it is likely most of the conversation time is focused on them and their job's tasks but very little attention is given to discussing the company's vision and the ultimate objective of which the potential new hire will be part. When you hire people, do you get them to commit to the company's vision? Do you hire people who secretly endure the job only for the pay? In the current recession, this is a great risk as people cling to jobs they hate or capitulate and work in jobs they would rather not be in order to get a guaranteed paycheque. People with this attitude generally do not have the GAF gene for their role and they are unlikely to be motivated to give your customers an experience that will make them recommend you or want to buy from you again.

3. Create and encourage a corporate culture that supports the GAF Gene

It is all very well to hire someone with the GAF Gene but the environment within your company can kill it. An oppressive, bureaucratic culture can smother initiative, creativity and other GAF Gene characteristics. It is every leader's responsibility to create and encourage an environment where the GAF Gene is likely to thrive. One of the most effective ways for managers to shape people's behaviour is to influence the context in which they work.

Death Valley is part of the desert that lies on the border between Nevada and California. It is called Death Valley because it is dry and barren and nothing much grows there. You would be wrong to assume that this land is dead though. In 2004, there was unusually high rainfall in the area and as a result, the valley floor was covered in stunning wild flowers. Death Valley was never dead – it was simply dormant and, under the right conditions, it sprang to life. You can't force your people make a meaningful impact on your customers but you can create the conditions that encourage an employee to care, use their initiative and go the extra mile. The GAF Gene is likely to lie dormant, like the Death Valley flowers, if you create a harsh corporate environment centred on compliance, control, contract and constraint.

This idea is emphasized by leadership gurus Sumantra Ghoshal and Christopher Barlett who said, 'It has, by now become a cliché to claim that people are the key source of a company's competitive advantage. In companies that pay a fair wage commensurate with the individual competencies of their employees, the real source of competitive advantage lies in their context – in the internal environment that allows people to individually and collectively create far more value than they could if they were employed elsewhere.'

In their book 'The Individualized Corporation', these two experts suggest that people blossom in an environment centred around 4 main areas:

    Discipline and independence

    A disciplined organization does not have to be a stifling, bureaucratic one. Discipline is the rules and expectations for which people are held accountable. Feedback should be frequent, accurate, specific and timely to create a 'no excuses' culture that democratizes information and is committed to the education, empowerment and development of people.

    Stretch and mastery

    Most human beings long for personal meaning at work and want to be part of a shared ambition that creates a collective identity. Stretch and mastery involves providing people with challenges that will help them realize a level of performance and competence they did not know they were capable of.

    Belonging and trust

    The GAF Gene thrives in an environment that has a foundation of fairness, empowerment and competence. Trust provides people with the confidence to experiment. No employee will ever come up with anything original if they are not allowed to make the odd mistake.

    Support and generosity

    Employees cannot give your customers a quality purchasing experience if they don't have some independence and the access to resources, guidance and help if they need it. The GAF Gene grows in a coaching culture where managers are accessible to staff and become disciplined coaches and mentors who are more help-orientated and less control-focused.

    Individualised Corporation summary
    4 factors that support the GAF Gene
    Source: The Individualised Corporation

4. Cultivate an 'Inverted Pyramid' mindset

The reporting structure of most companies is typically depicted as a pyramid with front line employees at the base. They generally face customers and are the window of the company. Top management lies at the apex of the pyramid, overseeing the activities of those below them.

The typical, traditional model creates an internal-focused mindset and customers, the most vital part of the success of any business, don't appear anywhere on the model. Companies must change their mindset by inverting the pyramid and seeing customers as the focus of every department in the company. Customer service should be everyone's driving focus – sales, marketing, admin, finance, HR, operations – after all, without customers, your business wouldn't exist.

Flip the pyramid

The inverted pyramid emphasizes management's role at the foundation of the company, supporting employees in their role of serving customers. It is leadership who creates and encourages an environment where people-centricity (customer and employees) can thrive.

5. Close the expectation gap between what your employees are selling and what your customers are buying

If you develop a clearer understanding of your customer's context, you are more likely to tap into the moments of truth that determine whether they will buy from you again or recommend you to others.

A little more insight and sensitivity about what drives a person to engage your company will help employees see the world through your customers' eyes. For example, Caterpillar is the world's leading manufacturer of construction equipment. When a client approaches Caterpillar, they don't really want to buy earth-moving equipment, they simply want the earth moved. This understanding takes the fluff out of the sales process and allows your employee's sales interaction to target the client's point of pleasure.

6. Measure and then reward the behaviour you want employees to repeat

An organisation's approach to reporting and information management reflects their assumptions about individual capabilities and human motivation. Often people are overwhelmed by so many unnecessary, onerous metrics they must achieve and report on, that they are unable to identify and improve the behaviour that really matters. If you want people to connect with a customer in a meaningful way, then include this as a performance metric instead of simply rewarding the person who generates the highest sales revenue for the company each month. If you want staff to collaborate across departments, you need to measure, encourage and reward this behaviour when it happens.

Start where you are

These 6 starting steps may seem daunting and overwhelming, especially if you lead a small team and don't have the power or ability to influence your entire company. The good news is that you can start where you are. Try implementing these steps within your functional area. As Jim Collins says in his book 'Good to Great': 'Any transformation process resembles relentlessly pushing a giant, heavy flywheel in one direction. At first, pushing it gets the flywheel to turn once. With consistent effort, it goes two turns, then five, then ten, building increasing momentum until—bang!—the wheel hits the breakthrough point, and the momentum kicks in its favor.'


REFERENCES:

http://www.leadernetwork.org/herb_kelleher_september_07.htm

Collins, J Good to Great Random House 2001

Ghoshal, S and Bartlett, C. The Individualised Corporation Random House 1997

Pine, J and Gilmore, J The Experience Economy Harvard Business School Press 1999

Yokohama, J and Michelli, J When Fish Fly: Lessons for creating a vital and energized workplace. 2004


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