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April 29, 2008

Are You Listening?

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A new study indicates that consumers are using social media to share customer care experiences and to research customer service reputations. Are you listening, responding and improving?
According to the Society for New Communications Research, “Exploring the Link Between Customer Care and Brand Reputation in the Age of Social Media”, as social media usage becomes more ubiquitous, affluent consumers are using social media channels to share their personal customer service experiences and learn about others’ care experiences when making purchase decisions.
The top findings of the study include:
  • 59.1% of respondents use social media to “vent” about a customer care experience.
  • 72.2% of respondents research companies’ customer care online prior to purchasing products and services at least sometimes.
  • 84% of respondents consider the quality of customer care at least sometimes in their decision to do business with a company.
  • 74% choose companies/brands based on others’ customer care experiences shared online.
  • 84% of respondents consider the quality of customer care in their decision to do business with a company at least sometimes.
  • 81% believe that blogs, online rating systems and discussion forums can give consumers a greater voice regarding customer care, but less than
  • 33% believe that businesses take customers’ opinions seriously.


Dell and Amazon were cited more often than any other company when asked which types of companies have done the best job in using social media to respond to customer care issues.  In terms of industry segments, technology, retail, and travel companies were reported as doing the best job, while utilities, health care, and insurance were least likely to receive positive endorsements.

 

“This study indicates that there is a growing group of highly desirable consumers using social media to research companies: 25- to 55-years old, college-educated, earning $100,000+ – a very powerful group in terms of buying behavior,” said Dr. Ganim Nora Barnes, senior fellow, Society for New Communications Research. 

 

“These most savvy and sought after consumers will not support companies with poor customer care reputations, and they will talk about all of this openly with others via multiple online vehicles. This research should serve as a wake-up call to companies: listen, respond, and improve.”

 

Is your company actively managing their reputation?

 

April 28, 2008

Social Media Can Drive Employee Engagement

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Thank you to Mike Kujawski for the diagram.

First of all, what is social media? Social media describes a shift in how people discover, read and share news, information and content. It fosters the human connection by transforming a monologue (one-to --many) into a dialogue   (many-to-many).
 

Social media tools make it easier to create and distribute content and discuss the things we care about. Some better known social media examples are Wikipedia, MySpace, YouTube, Flickr and Twitter.

So what does social media have to do with employee engagement? According to a recent study by Watson Wyatt, social media has the potential to be a key tool in promoting employee engagement.

"When properly rolled out, social media and Enterprise 2.0 tools can help companies meet their No. 1 internal communication goal – engaging employees," said Michael Rudnick, global intranet and portal leader at Watson Wyatt."Instead of simply mass e-mailing information or posting to an intranet in hopes employees will see it - social media tools help employees actively participate in creating and sharing information. This shift to employee-generated content has resulted in employees becoming more engaged online," he added.

We can’t agree more with Michael Rudnick. We believe that far too many companies are focused on the risks and how to control social media usage versus how to leverage it to their advantage.
 

So where can a company start? We think that companies can take small steps and start to benefit from the use of social media. For example, they can start with “intranet 2.0” which is made up of internal wikis, blogs, social network tools all designed to help employees participate in a company-wide dialogue. This would allow companies to foster collaboration; to enhance the communication between employees; and to enable employees to access the  right resources, expertise and experience and to leverage the vast amounts of internal knowledge that are often not easily accessible.


For those companies that are still wondering whether the benefits of social media outweigh the costs – start internally, enhance communication and watch how your employees become engaged online!
 

Let us know your thoughts.

 

 

New blog Inspires by Using Quotes

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Check out our quote on inspireUX! What is inspireUX?  

inspireUX is a blog that posts quotes relating to user experience (UX). Every quote on inspireUX focuses on the impact that user experience has on people, business, or the world.

 

April 24, 2008

Watch Someone Drive Before You Hire Them!

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We have all witnessed them – an aggressive driver behind the wheel.

Typically the characteristics of aggressive drivers include:
  • Tailgating
  • Passing on the shoulder of the road
  • Making rude gestures or shouting
  • Changing lanes without signaling
  • Violating traffic signals
  • Weaving in and out of traffic
  • Speeding
Over the past couple of days, I have been tailgated, the recipient of rude gestures and have watched cars whiz past me. I know what you are thinking – another woman driver. Yes, I do like to follow the rules, but I would not consider myself an overly cautious driver.

So back to the point – yesterday as I was driving to pick up my children, a ridiculous looking bald guy in the red convertible started tailgating me and making rude gestures in my rear view mirror. As he was shaking his head – it dawned on me that I would never hire this guy! He was inconsiderate, disrespectful, rude and dangerous. I would never trust him to deal with customers or to treat employees with respect and most importantly I believe that I couldn’t trust his decision making ability, as he took risks that put others in danger.

So here is what I am thinking….if we could find a way to test an individual in a high pressured situation like a traffic jam – we just may see a side of them that we wouldn’t want on our team!

 

The Chief Executive Has a Critical Role in Driving Engagement

stockxpertcom_id1995441_size0.jpgLeadership is not about being granted the authority to lead; it’s about people who work fro you who want to be led by you.” Mark Zesbaugh, President & CEO Allianz life Insurance
 

So what is the Chief Executive’s role in talent management and driving higher levels of engagement?


 

  • Lead by example and set the tone for talent management throughout the organization. The role of the Chief Executive is to set the tone for the culture. They must consistently demonstrate what is expected by their actions and behavior.  
  • Make HR a strategic partner to the business unit heads. Employee engagement is critical to long-term performance. It is the role of the Chief Executive to ensure that the HR function operates as a strategic partner and is able to create, implement and foster a culture that enhances employee engagement.   
  • Act as a mentor. Growth and development is a key component of driving employee engagement. The role of a Chief Executive is to mentor his direct reports as well as a few others beyond his inner circle. As a mentor they must be able to candidly identify developmental opportunities for each individual.
  • Communicate with candor. Candor is critical for the Chief Executive. They must be able to listen, to tell people what they think, to identify how they can learn from it and to take the appropriate actions to fix it.
  • Support a comprehensive leadership development program. It is critical that a company look at the role of each individual, where they are, what they are capable of doing and what they need to do. The company must support the development of individual plans to help identified high potential employees achieve their potential.
  • Candidly share information about promotions and succession planning. A key ingredient of employee engagement is career development. People want to know – how do I fit? What can I do to progress? What are my chances for promotion? Far too many companies have lists identifying high potential candidates, but often these individuals don’t know that the lists exist or that they are on them. The reality is – it is critical that the leaders communicate with candor the individuals on these lists and their opportunities for advancement. Why? If people don’t know that they are on these lists, they may go elsewhere.  
  • Deal with poor performers. Developing talented Executives is critical to long-term business success. Poor choices can impact growth and the overall culture.
  • Be authentic. People trust people who operate with honesty and integrity. Employee engagement is fostered in environments of trust. Without it, reaching full engagement is unlikely.  The Chief Executive must be authentic in every day, in every interaction.
Let us know your thoughts…

April 23, 2008

Finally an Employee Engagement Tool Designed for Contact Centres!

Last week, we were in the UK with Dr. Catriona Wallace from callcentres.net (an online publishing, news and research company dedicated to the contact centre industry) and David Howard from Insight Now (a UK based software company) to discuss the launch of a specific Contact Centre Employee Engagement measurement program that will roll out in Asia-Pacific and Europe, Africa and North America on 1st July this year.

At McDaniel Partners, we are excited to announce that we will assist with the go to market launch in North & South America and the Caribbean!

This Employee Engagement tool has taken about 18 months to develop and test. According to Dr. Wallace, she is very happy with the model, its rigor, validity and its ability to directly link engagement to performance at an individual and centre level.

Why is this topic of great importance in the contact centre industry? Because not only do agents resign from contact centres in significant numbers, a large percentage also choose not to stay in the industry. The stats below show the percentages of agent who resigned from a contact centre in Asia in the last 12 months and who moved to another centre or left the industry altogether.

 

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These statistics are scary! On average, across the region 59% of agents who resigned or left their current job chose not to stay in the industry. This means that understanding employee engagement is essential to reduce this considerable drain of skills and talent from the contact centre industry.

Over the coming months, callcentres.net, Insight Now and McDaniel Partners will launch a contact centre customer experience tool. This is also much more powerful and useful than what is currently available in the market as the tool can link a specific call experience to brand, loyalty and customer behavior.

For more information about this specific Employee Engagement measurement program or our suite of other programs designed for specific business functions - contact us directly.

 

 

April 22, 2008

Having Engaged Employees Pays Huge Dividends

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At Disney the promise is to deliver magic. A key ingredient of its success is the ability of its employees to deliver on the promise.

Well today, they certainly delivered on the promise – in spades!

How did they do it? A Massachusetts couple accidently threw away three platinum diamond wedding rings. While tidying up their villa as they prepared to leave the park late last week, Paul Campanale dumped a cardboard bowl, not knowing the container inside it held his wife Karen's engagement, wedding and five-year-anniversary rings.

When the couple called Disney to report the loss, park employees warned the couple that recovering the jewelry was all but impossible.

Disney just could have left it at that. But the promise is to deliver magic and Drew Weaver, the Executive housekeeper at the Wilderness Lodge, took the matter into his own hands when he realized that the trash from the Campanales' villa hadn't reached the industrial-size compactor yet. He and seven other volunteers donned protective clothing, emptied a parking lot bin and waded through bag after bag of rubbish to find the rings. And they did.

The efforts of these eight employees not only brought happiness to the Campanales but the story has been told countless times over the news and the radio. I actually heard the story on the radio this morning.

What is the moral of the story? Engaged employees make the difference! When employees understand the customer experience promise, know how to deliver it, and are fully engaged and committed and do whatever it takes to deliver the promise – magical things can and do happen!  

April 21, 2008

Microsoft Leverages Engaged Employees to "Spread the Word"

microphone.jpgWe recently asked Gretchen Ledgard, a Marketing Manager at Microsoft’s Staffing organization to talk about what employee engagement means in her role within the organization.   We think you will find the interview very insightful in terms of how Microsoft leverages and builds engaged employees. Some of the key findings from the interview include:

 

 

  • Unlike most companies, Microsoft’s challenge was not to get employees more engaged and talking about life at Microsoft, but to better support them in spreading the word even further to potential candidates.
  • The mantra is “Spread the Love,” which speaks to employees spreading the word about Microsoft, as well as the recruiting organization giving back to our employees to enable and recognize their ambassadorship.
  • The best employee evangelists are real and authentic. They accurately portray what it is like to work at the company – for better or for worse.
 Here is the interview:

Gretchen, can you please describe your role within Microsoft.

I'm a Marketing Manager with Microsoft’s Staffing organization. Specifically, I explore ways to use the web to build tighter recruiting connections between the company, our current employees, and our target candidates.  Some of my projects include Microsoft’s JobsBlog, View<myWorld>, the Workin’ it at MSFT Facebook page, and SpreadtheLove, which is an internal-only site.  My goal is to give prospective candidates a realistic view of what it’s really like to work at Microsoft. And the best way to do that is often through our employees’ own voices.

Employee engagement has become a key focus for many companies. Can you please define what employee engagement means at Microsoft?

Employee engagement at Microsoft is interesting and a bit unique because many of our employees are deeply involved in in-person and online communities.  That’s just part of our culture.  Many employees are active at industry conferences and user groups, and thousands read and write blogs, participate in forums, and twitter.  In our case, our employees were already engaged and talking about life at Microsoft, but our challenge was to better support them and help them spread the word even further.

What is Microsoft doing to enhance employee engagement and create employee evangelists?

Since we have a diverse make-up of technologies, career opportunities, and people, “Microsoft” means something a little different to each of our employees.  So when we first began looking at how to better empower our employees to talk about Microsoft, we found that many of them knew how to tell their own specific Microsoft story within the context of their own experience, but they weren’t sure what Microsoft meant or could mean for others. We put together a messaging framework, brought to life by websites, videos, and print collateral, and have been working to get those resources in the hands of our employees, not just our recruiters.  Our mantra is “Spread the Love,” which speaks to employees spreading the word about Microsoft as well as the recruiting organization giving back to our employees to enable and recognize their ambassadorship.

In your opinion, what are the benefits of having loyal and committed employees?

Without a doubt, employees are the most credible and influential sources for prospective candidates to learn about a company.  When I think about the best employee evangelists, I don’t think they have to be “loyal and committed” per se as much as they need to be real.  Our employees introduce prospects to the “real” Microsoft, for better and for worse. I’d much rather get a dialogue going - even if it’s a tough conversation about whether or not Microsoft is the right company for someone - than have a prospective candidate unsure about what it’s like to work here.
 

Do you believe that Microsoft employee evangelists have common traits? If so what are they?

Our best evangelists are authentic. A candidate can spot marketing spin from a mile away. It’s the passionate, heart-felt conversations that help a company come to life through their employees.  Our goal is to help as many of those conversations take place.

Thank you Gretchen for sharing your Microsoft experience! Let us know your thoughts.

April 15, 2008

Social Media Has Facilitated the Human Connection

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This picture says it all. Thank you to The Conversation Agent for their post on Social Media.

When you look at this picture - one can only emphasize to companies that they need to be thinking of ways to stimulate the human conversation - not only with their consumers, but their employees as well.

April 14, 2008

Management Decisions Can Have a Devastating Impact on Engagement

computers.jpg  Management does it all the time. They make strategic, cost cutting decisions, but fail to recognize the devastating long-term impact that these decisions can have on their most important assets – their people. These are difficult times – there is no doubt about this. But, what makes them more difficult is the unwillingness of management to be transparent about the rationale for their decisions and the impact that these decisions will have on their employees and on levels of engagement.

 

I had a very interesting discussion last week with an individual who works at a leading HR consulting and outsourcing firm. Our discussion focused on a recent decision by management to outsource a significant amount of its processing work to India.

 

What is interesting about this conversation was not the decision to send the work to India, but the apparent reluctance of management to be upfront and clear about the rationale for the decision. The result of management’s inability to be clear, to answer questions and clearly articulate how it will impact employees has had a devastating impact on morale within the organization.

 

What could the organization have done differently?

  • Be transparent about the rationale for the decision. According to the individual the “company line” is that they are sending processing work to India to free up time for analysts to conduct more analysis which will translate into better quality work for the client. When asked how this would work, management was unable to clearly articulate “the how” which left employees feeling that this was really only about saving costs. As the individual rightly points out – if it is about cost savings – just be upfront about it.
  • Be able to answer questions from employees. Management needs to remember that any decisions they make have a direct impact on their employees. While the rationale for a decision may make perfect business sense to them - it will not be obvious to employees who have had very little time to research, think about, or understand the decisions taken. Management must anticipate answers to questions and must be prepared with well-thought out responses. Failure to do this will only fuel feelings in employees that the decision is not well thought out or rational.
  • Understand the emotional response to outsourcing. We find it extraordinary that so many companies still haven’t got the outsourcing “thing” right. Management still fails to recognize the impact that these types of decisions have on employees. They fail to understand the emotional impact that sending “their” jobs to India really has. As well, in tough economic times these types of decisions can only fuel more emotional responses in employees. Management must sit back and think about the impact that sending jobs to India really has. They must help their employees understand what it will mean to them and how it will impact them personally. It’s that simple. Failing to do this not only threatens to destroy trust, but to dramatically increase employee disengagement levels.  
  • Actions speak stronger than words. One of the concerns expressed by this individual was the discrepancy between what management was saying and doing. They were saying that quality was important, yet they were ignoring the fact that the Indian firm was having difficulty processing the work to the quality levels done previously. As well, while they stated that the move to India was about quality, they put an end to raises and bonuses which only told people that it wasn’t about quality at all – it was about cost savings in tough economic times.
  • Remember that poor decisions can foster cynicism amongst your best employees. We all know it. When management makes poor decisions, the best people leave. Firms are then left with resources, which are either unproductive or not marketable enough to find new employment. According to the individual that I was speaking to – the company has already lost five key people in the past month.  Losing the best people should never be the result of a well-thought out and implemented strategic decision.  

    Let us know what you think!

April 11, 2008

How to Engage Employees with an Office Retreat: 5 Simple Tips

 

retreat.jpg By: Heather Johnson

 

 

Hosting an office retreat is a great way to unify the workplace and make employees feel valued. Complicated issues between co-workers can be settled in a productive way while everyone is away from the office. Also, the retreat can simply serve as a relaxing vacation for tired and anxious workers.

 

It is important that employers plan a truly enjoyable office retreat. Otherwise, this excursion will be viewed as a chore and employees could become even more discontented. Below are five simple tips for engaging employees with a productive and entertaining office retreat.

 

  1. Choose a fun destination. I've known some companies that fly their employees to a beach resort once a year. Obviously, this may not be practical for your particular office. However, you should consider the needs (and wants) of your employees as well as your budget when you choose the destination. Even a trip to a local lake could be a great change of scenery.
  2. Make everyone feel comfortable. Every day should be "casual Friday" when you are on an office retreat. Tell your employees to dress for comfort and to feel relaxed. This may be a time for constructive workshops, but it is also a vacation.
  3. Lead the staff in creative team-building exercises. Use this time to build and strengthen the bonds of your team. Yes, you should lead the crew in some exercises and/or lectures. However, be creative and don't rely on the old "fall back and have your co-worker catch you" routine. No one wants to endure another corny workshop, as those of us in the business world have attended plenty.
  4. Single out people for their accomplishments. According to the Department of Labor, 64% of Americans quit their jobs because they don't feel appreciated. Take the time to give your employees a pat on the back while on the office retreat.
  5. Give them a well­-deserved break. What is the point of choosing a nice destination if your staff can't enjoy it? When the speeches have commenced and the exercises are over, be sure to pencil in enough time for your team to relax and have fun.

After a staff returns from a successfully planned company retreat, they should feel relaxed and rejuvenated. Hopefully, any animosity between co-workers can be settled in a constructive way during the trip and the office can resume on Monday morning with a positive and unified attitude. Companies should plan a yearly or even semiyearly trip in order to increase employee retention.

 

 

Heather Johnson is a freelance business, finance and economics writer, as well as a regular contributor at Business Credit Cards, a site for best business credit cards and best business credit card offers. Heather welcomes comments and freelancing job inquiries at her email address heatherjohnson2323@gmail.com.

 

April 09, 2008

Connected Employees: Useful or Liability?

We loved the post by Lisa Barone, who went out and asked the following question: 

If you were an employer looking to hire me, would you be concerned about my crazy daytime Twittering or be impressed that I am connected?

I think this is an extremely relevant question in connected age. While I personally don't use facebook or "twitter", I believe that it is critical that individuals are connected in both their personal and professional lives. It just creates happier employees and we all know that happy employees are good for business.

Obviously, if the employee "twittered" all day and wasn't productive this would be an issue for any employer. But a productive "twitterer" I would have no issue with!

Have a look at the responses that Lisa has had to her question and read her post – it is very well written.  

April 08, 2008

Could the Exciting Bank Experience Strategy Destroy Brand Value?

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Have you ever heard of Berkshire Bank? It was established in 1846, and is one of Massachusetts’ oldest and largest independent banks. The Bank is transitioning into a regional bank and is attempting to position itself as the financial institution of choice in its retail and commercial markets by delivering exceptional customer service.

All of this sounds completely logical and reasonable as everyone knows that in banking - service is a key element in creating a differentiated experience. So why are we writing a blog on Berkshire Bank?

In 2006, Berkshire Bank launched their promise to their customers. The Bank's new tagline is “I’m so Excited!” They state that they are not out to simply satisfy – we aspire to be the world’s most exciting bank.  Huh?

An exciting bank strategy, in our opinion, is a very hard sell. In banking, customers want to feel safe, cared for, appreciated, trusted, unique and valued. Exciting is not on the list! Do they really want employees that are dancing around singing “I’m so excited?” Have a look at the video on their website – if you didn’t know it was a bank – you might think it was a commercial for a theme park, or a Club Med vacation.

We know that building customer experiences is a competitive differentiator, we have been helping companies build and implement them since 1998. Unfortunately, embracing a customer experience that doesn’t resonate with customers or employees can have a devastating negative impact on the value of a brand that has been around since 1846.

Here is what one of their customers, Peggy Shinn from Vermont, said about the new customer experience:
 

“Some institutions and occupations should simply not be exciting. Standing at the teller’s window, I had to fight the impulse to withdraw all of my money and run from the Bank yelling, “Stop the ride! I want to get off!

I think I’d prefer having my money in a bank that promises “A Passion to Perform (Deutsche Bank);  or “The Bank of Opportunity” (Bank of America); or “You’re Richer Than You Think” (Scotiabank) or even “America’s Most Boring Bank!”

 

Only time will tell whether Berkshire's customers and employees will be engaged by this type of “exciting” banking experience….

In the meantime, if the Bank would like some help creating an experience that is unique and different, yet relevant for the banking world, please give us a call.

 

April 07, 2008

Comcast Monitors Experience Through Blogs, Twitter & Other Social Media

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Certainly many of us remember 2006, when Comcast made headlines when one of their employees fell asleep on a customer's couch. The video has been viewed nearly 2 million times and was a powerful example of what can happen when the brand fails to deliver the experience.

Well, according to Steve O’Hear at ZD Net, Comcast may have learned from that public relations nightmare. According to Steve, Comcast is now monitoring Twitter, blogs and other social media. Steve writes, "Have a complaint with cable company Comcast? Don’t bother calling their helpline: Instead write a blog entry or, better still, send a ‘tweet’ or two via Twitter threatening to “expend significant energy over the next three weeks trashing Comcast.”

A recent example of what Comcast is doing is outlined by TechCrunch founder and co-editor Mike Arrington, after his Comcast broadband connection went down for 36 hours. Within 20 minutes of my first Twitter message I got a call from a Comcast executive in Philadelphia who wanted to know how he could help”,

"Shortly thereafter, the cable company sent out a team to fix Arrington’s connection and “apologized profusely”, which, as the TechCrunch editor notes, “is great for me but doesn’t help the other customers who don’t think to complain publicly about the company.”

In the post, Steve asks whether or not the company would have been so responsive, if it hadn’t had the complaint from an “A” list blogger. Only time will tell. But certainly, Comcast is starting to do what all companies need to – they are monitoring the blog world and Twitter to identify and flag possible “brand implosions”. Let us know your thoughts.

 

 

An Executive Shows Heart When Laying Off Valued Assets

This morning I came across a post that showed us that companies can be benevolent when swinging down the axe. Imagine if every company showed a heart when laying-off their most valuable assets….

"Yesterday I had to do one of the more difficult things — lay off three of my good friends, all of whom are talented and professional developers.

I’m posting here today in hopes that someone out in the world is looking for some seasoned talent, people who can get things done for you. I will personally recommend all three of these guys, and I’ll detail below each of them. If you are interested, I’m including my phone number. I’ll take your contact information and give it to the person(s) you are interested in, and you can take it from there."

Thank you to The Recruiters Lounge for finding this advertisement on Craigslist.

Click here to read the ad.

 

April 06, 2008

Doesn't Zell Know That "Shock & Awe" Won't Build Engagement?

picturesamzell.bmpSam Zell is traveling the U.S using a series of “pep-talks” laced with profanity to shock the Tribune Co.’s 19,000 employees to be more creative or risk seeing their jobs disappear.

Will his strategy work? According to management consultant Karissa Thacker, an adjunct professor at the University of Delaware’s business school in Newark – “this free-wheeling, shake-things-up way of behaving isn’t for everyone, but it is effective for reaching those people who are willing to embrace new ways of doing their jobs.”

We aren’t so sure that profanity and fear is the best way to motivate people to embrace new ways of doing their jobs. As engagement specialists we know that highly engaged cultures are characterized by trust, direction, a clear sense of purpose and inspiration.

 

Profanity, fear and shocking employees won't build purpose and inspiration in employees over the long haul. Certainly Zell is under the gun, but be believe that there are better ways to help every employee embrace the new culture of creativity by helping them to think differently about their jobs and the risks they can take. Building transparency and trust starts at the top. Reminding employees that the failure of the Tribune deal will have no impact on his billion dollar lifestyle - certainly wouldn't motivate most to become more creative. In fact, it may just have the opposite effect of creating a "keep a low profile and keep your job"  attitude amongst employees. People take risks when they feel protected and safe - fear and shock just won't motivate or change the masses.

There is no doubt that this will be an interesting case study as to whether or not someone with no newspaper experience can turn around the 126 year-old bureaucratic culture in a depressed industry. I only hope that he doesn’t lose sight of the the fact that these are 19,000 employees (not real estate assets) whose livelihoods depend on the success of this “shock and awe” strategy.

Let us know what you think.

 

April 03, 2008

Employees are Pivotal in the Employee-Customer Encounter – Just Ask HCL

hcl.jpgEvery time someone at your company comes in contact with a customer, that person holds your brand in his or her hands. Will they draw your customers back or send them to one of your competitors? It is up to you – the Managers and the Leaders at every corporation!

Increasingly companies are trying to create a culture that fosters employee engagement. Here is a great Case Study on what India’s HCL Technologies is doing to put the employee first. The philosophy is branded “EMPLOYEES FIRST, customers second” – even when talking to customers.
 

“At HCL, we believe in EMPLOYEE FIRST. HCL’s enlightened approach to employee development focus on giving people whatever they need to succeed: be it a virtual assistant or talent transformation sabbaticals; expert guidance or fast track growth; inner peace or democratic empowerment. At HCL, what we have is Five Fold Path to Individual Enlightenment. This ensures they are given Support, Knowledge, Recognition, Empowerment, and Transformation.It’s about creating a new kind of corporation. It’s about empowering extra-ordinary individuals.”
 

HCL’s president, Vineet Nayar, has put in place a series of changes that will potentially have a dramatic effect on how people in the company work. Many of these innovations are starting to get noticed. To deliver on the promise of creating a distinctive market position, Nayar realized he needed to make some fundamental changes inside the company. He recognized that he could only create an innovative company, if he had an internal organization that fostered innovation. He had to build the desired experience from the inside-out.  
 

Nayar has turned the traditional model of managing people upside down. He states that he wants to invert the pyramid and put the power in the hands of employees, and he wants to make Managers accountable to their employees.

What has Nayar has implemented to create a more innovative, democratic workplace?
 
  • 360 degree feedback. Most “360 degree reviews” simply go into the HR file of a Manager or Leader. Not at HCL – HCL has an annual survey, with 20,00 people across the company rating 1500 managers on twenty aspects of their performance – strategic vision, ability to communication, problem solving skills and so on. There is nothing unusual in this process, but what is done with the results is revolutionary. HCL broadcasts the results throughout the organization – the results and comments are aggregated and published online for every employee to look at. Interestingly enough, the 360 degree feedback is not linked to the annual appraisal or to the compensation package. It is open for everyone to see, and that seems to be enough the change behavior. Employees have become so comfortable with the public feedback that HCL expanded it for 2007 - now workers can see results not only of their managers, but also of peers they rate.
  • Direct Q&A. In addition to the shared 360 ratings, Nayar has adopted other tools that force the company to respond quickly to employee questions and concerns. On the HCI Intranet, Nayar publicly posts responses to every question left by employees. He spends about seven hours answering the 50 or so questions he gets each week, often on Sunday morning at home.
  • Online Complaint System. HCL has developed a one-stop online "smart service desk," where workers file complaints or “tickets” about any issue, whether it's the freezing air conditioning in their office or something as thorny as the size of their bonus. Everyone uses it, from the most junior programmer to senior officers who might get white-glove service elsewhere. “We want to let employees choose when to raise a ticket. If it is important to them, they should raise it.” Within the “ticket” system, Nayar added a twist that underscores his philosophy: Only workers can close the tickets, once they feel the issue has been resolved.
  • Measures innovation to the customer. How does HCL measure customer innovation – they make the customer the judge. They created a simple tool – whenever the employee thinks he has done something that goes above and beyond the contract, he logs the value created in the value portal which sends a note to the customer describing what they have done. The customer responds on a one-to-five scale, the results are fed back into the system, and at the end of a quarter we count up how many innovation points each person has received. These innovation points can be cashed in for a gift.

Results:


While, the transformation is “still work in progress”, revenue in 2006 topped $1.5 billion for the first time. Employee, turnover is down to single digits and major new customers are coming on board all of the time.


It sounds like many companies could learn from Vineet Nayar!

April 02, 2008

It is Possible to Take a Disengaged Employee and Turn them into a Top Performer!

topperformer.jpgWe all have been exposed to the long-tenured employee with a poor attitude and mediocre performance. The question is can this type of employee change and become a highly engaged top performer in twelve months?  The answer according to the Leader of a UK based private banking team is a resounding yes. 

 

Let’s look at the Case Study:
 
The Employee – Has worked for the same financial services company for 27 years and has been in her role for 20 years.
 
Performance in 2006 – A mediocre performer achieving 94% of her annual objectives and was ranked 38 out of 64 Relationship Managers.
 
Attitude - The employee’s attitude was extremely negative which made interactions with coworkers and in the team unpleasant and stressful.  This created a divide in the team as colleagues didn’t want to be associated with the continuous negativity.   
 
Performance in 2007 – The employee is currently performing in the top quartile and is ranked 15 out of 64 Relationship Mangers.  The employee generated 205% more revenue over 2006.
 

So how did this Leader take a highly disengaged employee and turn them into a highly engaged top performer?

Provide highly tailored coaching - It is critical that each employee receive coaching that is tailored to their unique needs and situation. This requires not only understanding the individual’s unique skills and talents, but also a clear understanding of what motivates them. Each coaching session should reinforce individual goals and objectives, as well as strengths and opportunities for improvement.

Ensure the employee creates and takes ownership of their sales plan - It is critical that the employee pull together their plan and identify how they will achieve their own stated objectives. It is the role of the Leader to provide guidance in helping them to achieve their stated goals and to help them during periods of frustration or stress.

Review the plan on a bi-weekly and monthly basis - The Leader should schedule regular bi-weekly and monthly updates with the employee to ensure that they are on track.  As well, the Leader should help the employee make the appropriate adjustments, if they are required. Reinforce positive behavioursWhen the employee is performing well, the Leader should use the person as an advocate to help share the behaviours or practices that they utilized to produce positive results. This not only reinforces the positive behaviours within the individual, but also demonstrates to the team that they have something to contribute.

Be patient but persistent – It is critical that as a Leader you “don’t give up or give in.” The Leader must remember that nobody comes to work to do a poor job. It is up to them to understand each individual and determine the reasons behind their negativity or attitude.
 

The end result of the Leader working closely with this employee is that it has had an overwhelming impact on both the individual and her team.
 
Feedback from the employee: 
 

My leader treated us all as individuals and worked with us on our strengths and weaknesses.

I am less stressed now since I was so hard on myself.

I don’t spend time with people that bring me down or constantly are negative anymore since it doesn’t make me feel good.

It feels so much better being positive and not stressing over the little things.  It helps me focus on what I want to accomplish.

I feel healthier and happier and being at the top of the league table is a great feeling.

Feedback from her team members:

We have noticed a significant difference in her attitude and demeanor.

We enjoy working with her now and she seems to be happier and enjoying her job.

She has taught me a few things that I can do differently which have helped me in achieving my objectives.

Conclusion:
 
Ask yourself, would you have taken the time as a Leader to coach this individual or would you have written them off as a lost cause?  I think many  us would say yes to the latter question.  We must remember that it is our job, as Leaders, to take the time to get to know our employees and coach them to personal success.  I certainly think we should take the tips from this experienced and proven private banking Leader!

 

April 01, 2008

Applicants Wanted to Help Establish a Settlement on Mars!

virgle_logo_final_hi-res.pngVirgin & Google have launched a new project called Project Virgle. Virgle stands for Virgin & Google.

 

Project Virgil is very ambitious. It is basically a plan to get people to help colonize stars.

Virgle's goal is simple: the establishment of a permanent human settlement on Mars. Larry Page, Sergey Brin and I feel strongly that contemporary technology is sufficiently advanced to make such an effort both successful and economical, and that it's high time that humanity moved beyond Earth and began our great, long journey to explore the stars and establish our first lasting foothold on another world.

Richard Branson’s video is basically a job advertisement emphasizing that he is looking for volunteers.

He asks people to submit a short 30 second video if they would like to participate. According to Branson, the video should provide a taste of who you are; one line as to why you would like to participate and if you capture the imagination of the Project Virgle team Branson states this will lead to a lengthy interview process. 

According to Branson, they are looking for twenty people who will be achieving something that hasn’t been achieved before.

With employees looking for more meaning from their jobs – we bet that Richard Branson will receive a great deal of interest in this very exciting offer.