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March 30, 2007

If You're So Good - Why Aren't You in Charge?

oddmanoutI have a very talented friend, who is probably the best sales person anywhere. So why aren’t they being recognized for their work and efforts? It seems that they have chosen to work in an environment that values something other than hard work and great results.

 

Below we list some cynical suggestions for our friend, who may not be getting the recognition they deserve! If you are in similar situation – have a read!

 

  • Don’t be the one to share bad news. Yes, while you know this is the right thing to do – many companies still suffer from “don’t deliver bad news to the Executive team” syndrome. Unless your company is run by a guy like Ray Davis from Umpqua, who says “you won’t know what is going on behind your back if you don’t make it safe for your people to tell you things, especially things they think you don’t want to hear” – we would suggest you put on those rose colored glasses and get on the “everything is great bandwagon”.
  • Don’t break process. Yes, we know you are good. But, continuing to go outside of company policy or the “way they do things around here” because you want to make a sale will not win you friends!
  • Suck up. That’s right, while we know you don’t want to do it – those that that get to the top are still the ones that stroke their Managers/Bosses ego every morning.
  • Produce paper. Yup, while you hate decks and think they are useless – you need to start killing more trees. Send out lots of PowerPoint decks, updates and relevant articles that you have found. Look like you are sharing with the team and working hard – it is imperative.
  • Copy everyone. I mean the world. We know you think this is a waste of people’s valuable time, but you need to make sure everyone knows what you are doing – blow your own horn. Copy as many people as you can – just to show traction and, of course, look busy!
  • Name drop. Huh? Yes, we know you know this is “déclassé”, but if you want people to listen, show that you know the “big cheese” and other valuable contacts and drop their names a lot. This will increase your credibility and network within any organization.
  • Ask for advice. What you think you know it all – think again! You had better find someone influential in the organization and look like you need and want their advice – or value their experience/expertise!

The list above is meant to make you think! If you a Leader in an organization that promotes or encourages any of the above behaviors – you should think about building a new employee experience! As well, if you are part of a company that encourages any of these behaviors – put your resume on the street! And finally, if you are guilty of any of the above….how can you live with yourself?


Let us know what you would add to the list!

March 29, 2007

RBC Added to List of Public Complaints

MoneyActions by customers are now bringing companies’ poor customer service procedures to the attention of millions. Recent very public examples have come from:
  • Vincent Ferrari, who got his customer complaint noticed by recording his experience with AOL and then posting the audio recording on the Internet. The result – AOL came out with a public apology.
  • Brian Finkelstein who recorded his experience of a ComCast technician sleeping on his couch. The result – the technician was fired.
  • A Royal Bank customer, who had a less than positive experience with the Royal Bank of Canada posted a very entertaining flash-based video on the Internet. Why?  He went to deposit a cheque from Warner Brothers only to be told by the Customer Service Representative that all cheques from the US would now have a 10-day hold. ?? Why? New policy was the response.

 

The moral of the story? Companies need to recognize that customers are demanding more responsiveness and transparency. As well, they expect reasonable answers – and they certainly don’t want an employee to claim that they can’t solve a problem due to a unexplained policy.

 

Have a look and let us know your thoughts!

March 28, 2007

"Kill-em" With Kindness

PowerofNice.jpgMore and more people and companies are talking about the importance of kindness or being nice in the workplace. According to Linda Kaplan Thaler and Robin Koval; it pays to be nice.

“In an era when the corporate world glorifies a dog-eat-dog mentality, these two dynamic women built The Kaplan Thaler Group, one of the nation's fastest-growing advertising agencies, not with spears and intimidation, but with flowers and chocolates”.

We think you will enjoy their new book called “The Power of Nice”. Find out how this powerful four-letter word can change your life! And remember,

“Positive impressions are like seeds. Negative impressions are like germs.” 

Watch the interview with Linda Kaplan Thaler on The Today Show from March 18, 2007.

March 27, 2007

Reinforce What You Stand For in the Workplace

It’s Monday – are you dreading another day at work? Well – you don’t need to. The best companies are recognizing the importance of creating an environment which inspires creativity and passion in the workplace.

How are they doing it?
·        They are creating a culture that reinforces what they stand for.
·        They are focused on making a difference – not only on making money.
·        They are focused on the important idea.

Have a look at this YouTube video.

March 26, 2007

Umpqua's Success is in the Details!

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We think you should read the article on one of our favorite Banks by Tom Brown of Bankstocks.com. According to Tom, the Umpqua experience is different – how?

  • They are obsessed with providing customers with an outstanding retail experience. “The typical Umpqua location is designed to be as much a local community center as it is a bank branch.”
  •  Manage by “walking around”. According to Ray Davis, CEO, “too many CEOs retreat to their ivory tower and lose touch. I think that is the beginning of the end. I’m always out and about, seeing what’s happening, learning from people, listening to their problems, sharing my vision. If you want your company to grow, get out there with your people.”
  • Allowing bad news to reach the top of the “house”. How many of you have worked at a company where it is essential that you only share positive news with the Executives of the house? We bet – a lot of you. Well, we like Ray Davis’s philosophy – “you won’t know what is going on behind your back if you don’t make it safe for your people to tell you things, especially things they think you.”
  • Success is in the details. Davis believes that there is no detail to small to not sweat over. He leaves nothing to chance. “Ray Davis obsesses over pretty much anything. And he expects everyone else at Umpqua to do the same.”
  • We are going to take Tom Brown's advice and read Ray Davis’s new book called Leading for Growth.

March 25, 2007

Strength-Based Leadership

Have a look at David Zinger's blog on Leadership.

March 23, 2007

Tainted Desk - Not For Building Trust

logoEbay_150x70.gifHow many of you would want to sit behind a desk that was once occupied by Enron chiefs Ken Lay, Jeffrey Skilling or Richard Kinder? Not many, I bet!

We love the post by 5 Blogs Before Noon, which talks about the desks being up for sale on eBay, but so far their reserve price has not been met. Surprised? Why would any company or employees want to be associated with such scandal? Creating customer and employee experiences starts with trust, integrity and honesty – none of which applies to the “likes” of Enron. What do you think?

 

March 22, 2007

"Whistleblower Programme" Impacts Barclays Experience

portrait.jpgThe customer experience is one of the keys to long-term success. Barclays Bank in the UK claims it operates under the highest standards of care and trust. These are at the foundation of the experience that it promises to its customers.
So what will the impact be on Barclays of a recent undercover operation by the BBC called the "Whistleblower Programme" that revealed a culture of ruthlessness and lies?


An investigation by BBC reporters working undercover identified some shocking realities. According to the article – they have seen:

  • Customers misled, lied to and treated with contempt.
  • Customers charged for products they neither asked for or knew they had. 
  • Evidence of Bank employees working with criminals to commit fraud.

    As my trainer Simon Pickergill said: "I hate it when they say the customer is always right. It's just ridiculous. Someone was stoned when they made up that policy." The “Whistleblower” programme highlighted that Simon Pickergill just isn’t anyone - this is a man who Barclays had chosen to teach us, the bank's new staff, how to behave. The reporting goes on to highlight examples of how customers were misled, charged for financial products they didn’t need or know they had, and how Bank employees committed fraud.


    Barclays has swiftly responded to the allegations. It promises to identify the facts and react quickly. But, it is too late? At the foundation of any great customer experience is trust – and certainly – the cracks in the Barclays foundation are evident this week.

Who Would Want a "McJob"?

McDonaldsLogo.jpgWe love the new blog by “5 Blogs Before Noon”, which talks about the McJob. Why? As companies are scrambling to attract and retain employees – it will increasingly depend on the attractiveness of the package and the experience that it provides to employees over the long haul. So why is McDonald’s in the news?

McDonald's is trying to change the Oxford English Dictionary definition of the McJob. The OED currently defines the McJob as an "unstimulating, low-paid job with few prospects, especially one created by the expansion of the service sector". McDonald's wants to change the definition to reflect the fact that it offers candidates good career opportunities. No wonder- in the war for talent - it will become critical that companies, like McDonald's, are able to attract candidates. With a definition like the McJob - we don't blame them - who would want to work there?

March 21, 2007

Hotels Can Create Uncommon Experiences

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When it comes to thinking about the best hotels the names that typically come to mind are "The Mandarin Oriental"; "The Ritz-Carlton", "The Four Seasons" – just to name a few. But, we would now like to add one to the list. Which one? The Seminole Hard Rock Hotel & Casino in Hollywood Florida. Yes, we did say the Seminole Hard Rock Hotel & Casino in Hollywood Florida – and believe me the experience was quite extraordinary.

The experience started with loud music and the glare of neon lights and rather obnoxious casino chrome and glass. Not your average experience or conference venue, but after the initial few minutes everything changed. How? I was “wowed” by service.

As I got settled in my room – I noticed that there wasn’t an obvious Internet connection. So, I called the front desk to find out how to get connected. Within two minutes, someone knocked on my door with an Internet cable. He didn’t just hand it to me – he stayed to make sure that it was working before he left. Two minutes later – the phone rang. It was Natalie, from the front desk, just making sure I had received the Internet cable and that it was working to my satisfaction. Wow!

After sitting with my laptop for a while I started to find the chair uncomfortable. I decided to see, if the front desk could find me a chair that was a “little more comfortable”. Within, minutes there was a knock on my door and a new chair arrived. Great! I then received another “check-in” call from the front desk to make sure that I was happy with the chair. They also let me know that they had other chairs, if this one wasn’t quite right. At this point I was looking to see what else was possible. I had bought a tall bottle of water that didn’t fit in my mini-bar, so figuring this would be outlandish called the front desk to ask for a fridge that would accommodate my favorite water. It appeared in no time again, and then the front desk called to see if I had been taken care of.This was all pretty impressive on its own –responsiveness is a common stumbling block for many businesses – but a few more things sealed the deal for me.
  • Every employee greeted me, smiled at me – with a genuine “I like to work here” smile – every time.
  • Attention to details - when I ordered dinner to my room on the last night the gentlemen who came to the door took his time to set up a lovely table for me – taking time to place the table cloth, my cutlery and napkin beautifully and a small flower just perfectly.  
  • Making it personal – I was offered extra chocolates, by the chambermaid who noticed I was working and suggested that “I might need the extra boost”!  

    While these are all little things – they all contributed to an extraordinary experience!

March 20, 2007

Experience Stores - Could You Use One?

Experience.jpg Ever heard of a store that doesn't sell anything? Welcome to the new experience stores created by companies like Samsung, Apple, Maytag, Verizon, Song and AT&T.

What are they? The new stores are designed to put a piece of merchandise in the handes on customers and teach them how to use it. The assumption is that after all of the touching and experiencing customers will be willing to spend more.

We think that maybe these companies are on to something. No pressure - just appleaing to the customers senses and allowing them to experience new products and technology. As we look to the trend - we are wondering why we are not seeing a Bank try this concept.

Imagine, if a Bank simply offered an experience store where customers could go and learn more about trends and how to manage their finances more effectively. Imagine a place where they could talk to experts, read financial magazines or view CNN. Now make it even more inviting and offer a "Starbucks"  coffee or  the ability to use a new "Apple" computer. They could simply sit down, relax and enjoy at latte or view new financial management software on the latest Apple computer.

We don't think that the experience stores should be limited to those companies that have products that customers "need to touch". We think the next wave should be targeted at helping to educate customers....and wouldn't you want to be the first Bank to offer it!

What do you think?

March 19, 2007

Train Your Staff to Deliver Powerful Apologies

sorrySomeone from every company should read the article in the New York Times titled - "Airlines Learn to Fly on a Wind and an Apology". We think this article is particularly timely as more and more companies are striving to deliver a better, more powerful customer experience.

Southwest Airlines has someone in charge of Proactive Customer Communication. What does that mean? This individual spends "12-hour work days finding out how Southwest disappointed its customers and then firing off homespun letters of apology."

How many businesses do you think have someone in charge of just firing off "homespun" letters of apology? We are guessing not as many as there should be.

Companies need to recognize that when customers take the time to tell someone about an issue they are giving companies as second chance to make things right. Great companies like Southwest see it that way.

But, it will take more than telling companies to apologize. Authentic apologies require training and a dedication on the part of every company. Frontline employees need to understand when to use and apology and what to say. As well, they need to be empowered to solve customer issues on the spot. Those complaints that are more difficult to solve require letters and, often compensation to make the situation right. This requires companies to understand the value of an existing customer and the cost of negative "word of mouth" messages.

Are you training your frontline and Management to handle customer concerns and issues? Do you have someone in charge of delivering authentic apologies to your customers? Are you willing to compensate your customers for inconveniences and mistakes? If you said yes to all of the above questions - we believe you are on the right path to delivering a better experience to your customers.

March 16, 2007

The Five Steps to Building Great Experiences

After reading the most recent article from BAI on how to improve and systematize the customer experience, we couldn't help but write down our thoughts on how to create something lasting and meaningful.

  • Fact – if experiences were so easy to create – everyone would be consistently “wowing” their customers.
  • Fact – Banks need to spend more time focusing on how to minimize the “miserable moments” versus trying to replicate a Disney or a Starbucks experience.

So, where should they start? We believe that Banks need to step back and follow five basic steps to create lasting customer experiences. What are the steps?
Step I – Define the experience. What is it that will make you different in a highly commoditized world? Are you going to entertain your customers? Educate them? Create an esthetic experience? Are you going to break the rules?


Step II – Engage your employees. This may seem strange to anyone who is focused on building customer experiences, but if a company is truly serious about creating an experience that can be replicated consistently – it must capture the hearts and minds of its employees. Make the experience real and relevant for employees, for it is the employees that must deliver the experience.


Step III – Execute the basics consistently. Why the basics? So many banks continue to fall short in delivering on the very basic tenants of customer service. Simple things like greeting, building rapport with customers and showing appreciation for their business can go a long way. A customer experience is only real if it can be replicated consistently across every customer touch-point. This is about building the experience foundation – without consistency there is no customer experience.


Step IV – Don’t Forget to Capture Emotion. The best companies appeal to their customers emotions.


“I've learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel."                                                   Maya Angelou


Banks must deliver on more than the functional elements of the experience to build commitment and loyalty – they also must be trustworthy, empathetic, and genuine. These attributes present the greatest opportunity for differentiation in the marketplace largely due to the fact that so few banks are focusing on them.

Step V – Measure and Continuously Improve. Make the experience actionable. Create standards that can be measured and monitored. Measure continuously and don’t rest on your laurels. Look at the recent memo from Howard Schultz from Starbucks – “Over the past ten years, in order to achieve the growth, development, and scale necessary to go from less than 1,000 stores to 13,000 stores and beyond, we have had to make a series of decisions that, in retrospect, have lead to the watering down of the Starbucks experience, and, what some might call the commoditization of our brand.”


 
Great companies continually refresh their customer experiences. Executing consistently is only one element in building a customer experience – the foundation. If you want to be truly great – you will need to appeal to the emotions of your employees, your customers and you must be ready to reinvent the experience!

 

Predictive Success

Knowing that the "right" employees are critical to the success of any company, we have partnered with Predictive Success. What is Predictive Success? Predictive Success helps clients win/drive/grow their business each day through enabling companies with an accelerated focus on their most important asset -- their people. They have a number of tools including PI, which is a tool used to predict, describe and measure the work behavior and potential of individuals and groups at all organizational levels.

March 15, 2007

Appeal to Your Customers' Emotions

creditcard.gif It is becoming so difficult for Banks to differentiate themselves these days. All seem to be scrambling to appeal the emotions of customers – we don’t sell mortgages, we sell homes; we don’t sell loans, we sell dreams! Yes, all true – but now with everyone focusing on a similar theme – it has become even more of a necessity to offer customers unique products and services that appeal to their emotions.

We are starting to see Banks trying to appeal to customers by enabling them to develop and design their own products that are both fun and meaningful to them. The Credit Card has been a starting point for many Banks….
  • ANZ Bank in Australia allows customers to through designmycard to personalize their ANZ First Visa, MasterCard or Access card with an image that is chosen by the customer. What a great way to make it fun for customers and appeal to their emotions.
  • American First’s Picture Perfect Visa enables customers to design their own credit or check card with a “personal picture that tells your story”.
  • The My Custom Card by Orchard Bank card lets customers customize their own card. They decide what rates and fees they want to pay. They can even decide your own payment due date! As well, customers can choose their card design to make sure their Orchard Bank card truly is your own.
  • The Union Bank of California allows customers to customize their credit card. They can put their favorite photo on the front of the card.
  • Bank of America allows customers to personalize their credit card with Photo Expressions.
  • Turkey-based Garanti Bank has gone even further. With its Flexi Cards does not only allow customers to personalize the look of their bank cards, but also to develop the entire own banking product. Flexi Cards are Visa cards that let the cardholder make a few key decisions, allowing them to set over ten parameters. When applying for a card, customers can manipulate variables like reward rates and types, interest rate and card fee. The rewards system is especially flexible, not only letting customers determine reward ratio and type (cash or points), but also enabling them to choose which payments will earn them extra rewards.

    So what? We believe that Banks will need to continue to appeal to the emotions of their customers. One way of doing this will be to appeal to what is important and meaningful to each customer – pictures of their friends, family, or pets. Another way will be to personalize checks and other products that will create meaning for them. 
    Banks need to think about how they can make their customers feel special by appealing to what is important to them.

March 14, 2007

Does Your Manager Focus on Your Strengths?

Strengths.jpgMarkus Buckingham’s newest book, Go Put Your Strengths to Work has a very powerful insight. What is it? Managers spend too much of their time having conversations with their direct reports about who they are not versus who they actually are.

 

"Most performance appraisals spend two minutes on what you do well and twenty eight minutes on 'areas of opportunity' – your weaknesses! So, most conversations between managers and their people are around flaws and how to fix them. You are talking to people about who they are NOT rather than who they ARE. The world believes the way to achieve success is to find your flaws and fix them. We live in a remedial world fascinated by weaknesses.

 

Actually, you won't get the performance improvement you want by getting people to work on their weaknesses. "

 

Wouldn’t it be nice if companies spent more time leveraging your strengths versus focusing on your weaknesses?

 

Let us know what you think…

 

March 09, 2007

Great Bosses - Stop & Listen

listening 

Have a “listen” to the Fortune interview with Erika Anderson, the author of Growing Great Employees. What can we learn from the interview? The key to being a great boss is to continue to listen and learn from employees. According to Erika – too many bosses think they need all of the answers and forget that the key to their success is learning from and listening to their employees.

 

We couldn’t agree more. Thank you Erika!

Focus on Purpose Not Function

hilton.jpgAlmost every hotel knows that the front-desk experience is absolutely critical to customer satisfaction. So what is the function of the front-desk? To check people in and out of the hotel…absolutely not! The purpose is to welcome the customer to make them feel important, or to thank the customer for their business and tell them that you look forward to seeing them again.

 

According to Theo Gilbert-Jamison (The Ritz-Carlton) – “purpose is too often ignored in favor of function. Functional competence can be commoditized – you’re just as good as checking people in as your competitor. But, purpose is something that frees people up to contribute with imagination and even passion.”

 

We couldn’t agree more. Recently, we had a terrible front-desk experience at the Hilton in Barbados. We were checking out of the hotel and wanted our bill reviewed, as our client in Barbados was paying for the bill. How did the individuals behind the desk treat me?

  • They did not use my name at any time during the transaction.
  • They did not smile – not even once – during the entire transaction.
  • They challenged what my client was paying for and did it in a very unpleasant way.
  • They moved slowly and had no concern for my sense of time and urgency.
  • They did not thank me for my business or wish me a pleasant flight.

In fact, the experience was absolutely horrible. What made it even worse? The experience took place during World Cup Cricket when Barbados is welcoming the world to their island. Wouldn’t you think they would want customers to feel welcome and appreciated?

 

 

What is clear to us...The Hilton needs to spend more time educating its front-deck staff about is the purpose of the desk versus focusing on its function!

March 06, 2007

10 Ways to Build a Democratic Workplace

Democratic CompanyThank you to the Chief Happiness Officer for finding World Blu. What is World Blu? WorldBlu™ is a leadership and business design studio elevating the human spirit and inspiring freedom through organizational democracy and freedom-centered leadership.

On the World Blu blog, we found a very relevant and interesting piece on the ten principles associated with building a more democratic company. We think you will enjoy the blog posting by Tracy Fenton - it is both timely and insightful.

10 Principles for a Democratic Workplace

 

1. Get naked.

Be as authentic, open, and as transparent as possible. In your next meeting, don't have a "hidden agenda." Be open and share what you might otherwise keep secret. Watch how it helps build trust with others. 2. Have a conversation. Don't perpetuate the dysfunctional silence that characterizes most companies. Invite people to engage in a dialogue about the issues that matter. 3. Loathe rankism. Treat others fairly and with dignity. Forget the high school clique mentality of treating people like "somebodies" or "nobodies."

4. Understand the meaning of life.

Understand what your purpose and vision is for your life and make sure it's aligned with the work you are doing. If it's not, think about changing or finding a new job. 5. Point fingers.

Not in a blaming way, in a liberating way! Get crystal clear about who is responsible for what and then hold yourself and others accountable. 6. The individual is as important as the whole. Each person has unique gifts. Overcome the feeling of being a cog in the machine by recognizing the value each person plays in achieving collective goals. 7. One size doesn't fit all. Do what you can to make sure you and your colleagues have a choice regarding the kind of work they do and the schedule they work. Choices keep people from feeling trapped.

8. Have backbone.

Integrity is the name of the game, so make sure all work is done ethically. Freedom takes discipline. 9. Be vain. Commit yourself to looking in the mirror each day and asking, "How can I be better?" Reflection leads to improvements that help you and your company perform on a whole new level. 10. Say no to pyramid schemes.

Although there are times where we all want to pull a power-trip, don't. Do what you can to empower your colleagues by distributing power rather than hoarding it.

We agree – companies should find ways to make progress towards building more democratic organizations. Let us know what you think!

March 05, 2007

Imagine a Complaint-Free Company...

No ComplaintsWhat are we talking about – a complaint-free company? Sound ludicrous? Well, have a look at what a pastor in Kansas City told the people in his congregation – stop complaining! Rev. Bowen has become an overnight inspiration. How? He has asked his flock to take a pledge: to swear off complaining, criticizing, gossiping or using sarcasm for 21 days. The Rev. Bowen said the inspiration for the no-complaints campaign came to him while taking a shower. And now, the idea has begun to spread far beyond middle-America.

People who join in are issued little purple bracelets as a reminder of their pledge. If they catch themselves complaining, they’re supposed to take off the bracelet, switch it to the opposite wrist and start counting the days from scratch.

And now that the church has been written up in several publications, the campaign has mushroomed. On Saturdays, volunteers crowd the church basement filling orders for the no-complaints bracelets, 126,000 so far. 

I love the idea. Now imagine a company free of complaints – no more griping, gossiping or sarcasm! I would bet that this would both improve the engagement level of employees, and the customer experience!

Read the article – and think about the impact or go to the Web site the church has set up at  acomplaintfreeworld.org, to facilitate orders for bracelets, offered free of charge.

March 02, 2007

Don't Forget About the Personal Touch, Howard!

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When you start to hear Howard Schultz talk about his fears about the commoditization of Starbucks – you have to listen. I am a Starbucks evangelist. I spend over $80/month, and will not use a substitute unless I am away on an island that doesn’t have a Starbucks!

 

I was particularly intrigued by the memo that was leaked from Howard Schultz about his fears of the commoditization of my favorite experience. What do I like about the memo? I like the fact that Howard is continually trying to keep the Starbucks experience authentic, memorable, and differentiated. What do I think is missing? Howard focuses on changes made to improve efficiencies, but he neglects to highlight that his experience is being commoditized due to the loss of the personal touch.

Howard points to several worries about the decisions that he has taken that have affected the experience that he so carefully crafted.  What does he believe has threatened to commoditize Starbucks?

  • The move to automatic espresso machines. As he points out, the decision to move to automatic machines was based on enhancing the speed of service and efficiency. But what he now realizes is that it removed some of the romance and theatre that was in associated with the La Marzocca machines. He continues by saying, what was even more damaging was the height of the new machines blocked the visual sight line the customer and now prevented the customer from watching the drink being made and forming an intimate experience with the barista.
  • The move to flavor locked packaging for their fresh roasted coffee. As he points out, they lost one of the most important things associated with their experience  -- the coffee aroma, which was perhaps the most powerful non-verbal signal that had in each of their stores.
  • The consistent store design. Again, he points to the efficiencies that were gained by moving to a consistent design, but it has created an environment that represents more of a chain outlet than a warm neighborhood store.

Read the memo to gain more insight into what Howard is talking about. I would agree with all of his points. But, I think he has forgotten one very important element – the loss of the personal touch. Part of the experience is based on creating a neighborhood feel, which includes “knowing your customer”. Somewhere along the line, Starbucks has lost that personal touch. They don’t call me by name, they don’t know my drink and they certainly don’t act as if they recognize me – and I am there at least ONCE a day, and spend an average of $80/month.

I would suggest to Howard that part of preventing the commoditization of my beloved brand starts with your associates. Remind them how important it is to create a personal touch and feel. Having said that, we think Howard is on the right track. Part of being great means constantly trying to improve and staying true to the experience. In true Starbucks fashion – the memo is honest and heartfelt. He ends the memo by saying:

I have said for 20 years that our success is not an entitlement and now it's proving to be a reality. Let's be smarter about how we are spending our time, money and resources. Let's get back to the core. Push for innovation and do the things necessary to once again differentiate Starbucks from all others. We source and buy the highest quality coffee. We have built the most trusted brand in coffee in the world, and we have an enormous responsibility to both the people who have come before us and the 150,000 partners and their families who are relying on our stewardship.


I look forward to seeing Howard address these concerns….and certainly hope that he doesn’t forget the importance of the personal touch!

 

March 01, 2007

Honest Communication Makes a Difference!

Boss Think about it - when was the last time you received an honest, effective communication from your boss? We are betting that you can probably only think of a handful of times - if that. Increasingly, we are hearing about the importance of effective communicaitons driving both employee engagement and long-term performance.

A Watson Wyatt Communications ROI Study confirmed the important of effective communication to the overall success of an organization. The study demonstrated the correlation between communication effectiveness, organizational turnover and financial performance. Key findings included:

  • Companies that communicate effectively have a 19.4 percent higher market premium than companies that do not.
  • Shareholder returns for organizations with the most effective communication were over 57 percent higher over the last five years (2000-2004) than were returns for firms with less effective communication.
  • The study found evidence that communication effectiveness is a leading indicator of financial performance.
  • Firms that communicate effectively are 4.5 times more likely to report high levels of employee engagement versus firms that communicate less effectively.
  • Companies that are highly effective communicators are 20 percent more likely to report lower turnover rates than their peers.

CareerBuilder.com says that only 6 out of 10 workers believe their bosses can be trusted, only 4 out of 10 said the same about their corporate leaders. "The higher up the ranks an executive goes, the more challenging it becomes to communicate with staff," said Rosemary Haefner, vice-president of human resources at CareerBuilder.com. While many of us know the statistics - few companies are actually delivering both effective and honest communications.

We found a blog by Michael Wade at Execupundits.com titled “Note from the Boss to Employees”. What we liked about this blog is its “human, honest” tone and nature. What do you think the impact would be, if employees were communicated to in a more real, honest way? Note from the Boss to Employees:

  1. I am sometimes under enormous pressure from upper management; pressure that you seldom see. Anything that you can do to make my job easier will be greatly appreciated.
  2. Your interests are important, but please remember that I also have to juggle the concerns and feelings of a bunch of other people, including individuals outside of the department.
  3. I may not have been given a huge amount of training before being named to a supervisory position. As a result, I’ve had to learn through trial and error. That's not always bad. Many of my responsibilities can only be learned through practice.
  4. If you are a former co-worker of mine, please recognize that supervising former peers is one of the toughest jobs any supervisor faces. The support that you give me is crucial.
  5. I will make mistakes. Please give me the same understanding that you’d like me to give you when you blunder.
  6. If I do something dumb or am on the verge of doing so, please tell me. Don’t hint. Tell me.
  7. I don’t like unpleasant surprises. Let me in on bad news as soon as possible. (Things that you believe are obvious may not be that clear to me. On the other hand, you'd be surprised at how quickly the latest gossip reaches my ears.)
  8. I expect you to take initiative. If you keep bouncing things to me, I’m going to wonder why I have you around.
  9. You should ask questions if you don’t know what to do. On the other hand, you should not have to be taught the same thing over and over again.
  10. Let’s respect each other’s time. We each have a job to do and the more we can reduce unnecessary interruptions, the happier we'll each be.
  11. Don't let all of my talk about meeting goals and producing results lead you into unethical behavior. You always have my permission to be ethical.
  12. If either of us has a problem with the other's performance, let's talk about it.

Something to think about, isn’t it?