Friday, August 28, 2009

Ten Commitments of Personal Leadership

Anyone who has attended my Accountability Management Workshop knows I have ten expectations of those who work for me. They are extremely clear so there is no misunderstanding as to what I want. I share my expectations with potential employees in the hiring interview so they can decide whether they want to work for me.

Once hired, I give the new employee my expectations in the form of a granite plaque with my expectations carved into it. The symbolism of the plaque is never missed. My expectations are written in stone. They will not change. They are the ten commitments that must never be broken. Or, later, if in a moment of weakness one fails to perform, they must "repent" of their evil ways and recommit to being better next time.

Since my expectations are written in question format, each employee can evaluate his or her performance just be reading the plaque and answering the questions. An employee always knows where he or she stands with me performance-wise based upon how well one is living the "Ten Commitments of Personal Leadership".


TEN COMMITMENTS OF PERSONAL LEADERSHIP

1. Do you SEARCH for challenging opportunities to learn, change, grow,innovate and improve?


2. Do you EXPERIMENT by taking risks and learning from the accompanying mistakes?


3. Do you ENVISION an uplifting and enabling future?


4. Do you ENROLL others in a common vision by appealing to their values,interests, hopes and dreams?


5. Do you FOSTER collaboration, ownership, trust, respect and confidence?


6. Do you STRENGTHEN one another's abilities, will and sense of self-worth?


7. Do you EXEMPLIFY by behaving in ways that are consistent with your stated values?


8. Do you PLAN small wins which promote consistent and continuous progress?


9. Do you CELEBRATE team accomplishments regularly and dynamically?


10. Do you RECOGNIZE individual and team contributions to the success of every project?

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For more information about my Accountability Management Workshop call 702-258-8334 or email to mac@imglv.com

Wednesday, August 26, 2009

Four Approaches to Corporate Diversity

There are four primary approaches to corporate diversity programs ranging from the mere image of being diverse to a culture that maximizes the full potential of all of its employees.

Here are the four approaches:

Brand Image

Desired Outcome: The purpose of this approach is to create a brand image of being a company that values the diversity of its employees. The focus is on getting name recognition and awards for the company’s diversity programs. The primary goal is to be viewed as a benchmark company when it comes to diversity programs. Under this scenario it is only necessary to achieve a perception that we are a diverse company. If customers, employees, vendors, suppliers, shareholders, and general public believe we are diversity champions, and hold us in high regard because of it, our diversity program can be considered a success.

Indicators of Success
: With this approach the key is getting the company’s name in the media, obtaining industry awards, and being at the top of mind regarding all diverse issues. The focus is on getting our name out as much as possible so people accept our message that we are a diverse company.

Achieving the Desired End Result: If a message is repeated loud enough and often enough, people begin to believe it. This approach requires a strong marketing and public relations component to make sure the company’s name is at the top of mind in all of the important venues of interest regarding diversity. The key to success is having anecdotal stories that show we are diverse. The more examples we can give of where we have provided opportunity and growth for diverse construction companies, vendors and employees, the better off we will be. Consequently, all we have to do is find a few powerful success stories of diversity, share those stories loudly and often, and we will be successful in creating the image that we want.

Affirmative Action

Desired Outcome: The goal of this approach is to create a company that truly does provide equal opportunity for people of diverse backgrounds and characteristics to be promoted, obtain supplier and vendor contracts, and/or to win construction projects. It entails more than just consideration for such things, but rather an affirmative and aggressive desire to achieve diversity in the managerial, supplier, vendor and construction company ranks. The goal of this approach is to have a representative number of people in key positions throughout the company that match the diverse demographics of the community.

Indicators of Success: The key to this approach is the typical EEO issue of making sure we have numbers that confirm we are affirmatively providing opportunities for people of diversity regarding pay, promotions, supplier contracts, and/or construction projects. Success is achieved when we have the right numbers and percentages that indicate we are a diverse company.

Achieving the Desired Results: This is a relatively simple approach to diversity. All it requires is identifying viable employee, supplier, and construction company candidates who can be hired or developed into qualified individuals for key management positions, supplier contracts, and/or construction projects. All that must be done is to search for candidates in the obvious places where they might be found (e.g.: black colleges, suppliers from minority communities, etc.). Or, even simpler, just identify the right diversity mix you want and hire it, regardless of qualifications.

Culture of Acceptance

Desired Outcome: This approach hopes to create a company that truly does value and appreciate the diverse nature of its workforce. It recognizes that people have different needs, different values, different characteristics, different styles and different desires in the workplace; and it seeks acceptance and tolerance for these differences in order to create a healthy and productive workplace. The key is to get everyone to be aware of and accept these differences in order to reduce conflict, maximize performance, and allow people to reach their full potential by removing diversity barriers in the workplace.

Indicators of Success: The key to this approach is helping everyone within the company to become more diversity conscious; to become aware of their personal believes, biases, and actions regarding people of diverse backgrounds; and to alter their actions in order to provide equal opportunity and a work culture that meets the needs of every employee in the company. It also includes removing the barriers that limit growth opportunities for certain people because of diversity issues.

Achieving the Desired Results: This approach requires people at all levels of the company to become introspective and aware of their belief-systems and actions regarding diversity issues. It requires specific policies, procedures, processes, practices and systems that create a culture that accepts and assertively values the diversity of its employees. This acceptance, then, must also lead to opportunities for diverse people to raise their potential, be promoted, and take on different roles and responsibilities that previously may not have been available to them in a less diverse-sensitive company.

Maximize Performance of All Employees (regardless of individual differences)

Desired Outcome: The purpose of this approach is to maximize the performance of each employee by removing barriers that limit their potential, regardless of whether those barriers are diversity issues (e.g.: race, culture, gender, etc.) or other barriers that hinder one’s progress (e.g.: language skills, education, work ethic, off-purpose work behaviors, social skills, etc.). The goal is to raise the productive output of each individual by understanding their unique differences and over-riding whatever keeps them from reaching their fullest potential. Likewise, this approach seeks suppliers, vendors and construction companies who can produce the desired quality products on time, on budget, and within scope.

Indicators of Success: The success of this approach is witnessed when each individual within the company has achieved the highest level of performance of which he or she is capable. It is also seen when barriers are removed and people go beyond what anyone had previously believed was possible because of what seemed to be insurmountable diversity issues. Success entails helping diversity suppliers, vendors and construction companies raise their productive output to a level where they are capable of winning company contracts and successfully delivering their goods and services as specified in the contracts without us lowering the requirements of the contracts. In other words, success of this approach is not in raising people up, but in raising their performance up so they are viable candidates for future promotions and contracts.

Achieving the Desired Result: This approach entails a mature and sophisticated approach to managing the business using proper management techniques. It entails an acceptance that diversity is a normal practice of good management wherein managers are charged with increasing the efficiency and effectiveness of all of their employees so they can produce more. This approach requires good management systems that create a productive work environment where all employees feel comfortable, confident, proud and included. It requires managers to deal with employees as individuals (rather than ethnic groups, genders, etc.) and to implement individual development plans so every employee can overcome barriers that inhibit the achievement of their highest potential. It also requires working with diverse vendors, suppliers and construction companies who currently do not qualify as acceptable resources to help them raise their performance capabilities so they can qualify for contracts with the company.

Which approach a company takes depends upon how serious the company is in its desire to create a truly diverse workforce that values the contribution of each and every employee.

Monday, August 24, 2009

Six Steps to Recover From Service Errors

No matter how well you design your products or refine the customer service skills of your employees there still will be times when your customers are dissatisfied with your company.

Even “five star” properties and companies known to produce superior quality merchandise have product defects and service lapses. No one can satisfy all of their customers all of the time. But the truly successful companies know how to recover from their service mistakes. They know how to turn around dissatisfied customers so they leave happy and remain loyal to the business.

There are six things you can do to recover from service mistakes.

First, apologize for the error. The more serious the infraction, the more profuse the apology should be. Express sincere regret for the difficulty or inconvenience the error has caused the customer. Accept responsibility, even if you are not personally responsible for the mistake. The customer does not care who is responsible. They expect you to make amends and fix it.

Unfortunately, some service providers see an apology as a sign of weakness or an admission of guilt. They hesitate to apologize for something someone else has done. Yet a sincere, first-person apology is the fastest and simplest way to minimize a customer’s irritation and recover from service mistakes.

Customers with problems are miffed. Although they eventually want action to be taken to rectify their problem, customers first need to feel that you understand and accept the “hassle” you’ve caused them. Even though they probably realize you personally may not have caused their problem, they see you as a representative of the enterprise that did. An honest, “I’m sorry that this has happened,” shows that you accept personal responsibility for the mistake, thereby speeding up the recovery process.

After having apologized, you need to listen with empathy and ask open-ended questions to get to the heart of the customer’s concern. Let the customer talk. Be extremely attentive when the customer is explaining the problem. Do not be quick to judge or be in a hurry to move to resolution. Let the customer vent. Sympathize with their situation and acknowledge their concern. Sometimes venting is all the customer needs in order to feel satisfied.

These first two steps in the service recovery process are extremely important. Too often service providers jump too quickly to resolution. For many customers, the resolution of their problem is less important than a simple acknowledgment of their concern. Usually you need to fix the customer before you can fix the problem. Sometimes an immediate apology and a sincere listening ear are all that a customer needs to turn the situation into a positive service experience.

After you’ve identified the customer’s concern, you need to do something about it. Solve the problem quickly and fairly. Find a resolution that is acceptable to the customer. For most service errors a simple apology or replacement of a faulty product is all that is required. Most customers complain merely to bring the problem to your attention so you – the company – can be better. In these cases the customer doesn’t expect anything from you other than your assurance that the problem will not happen again.

However, in more severe service failures, or with extremely difficult customers, you may need to atone for your service transgression. In some situations you must make amends – or suffer as the customer has suffered – before the customer will be satisfied. Your atonement may be a product upgrade, a small gift, a future discount, a free offering, or, in worse case situations, a complete write-off of the product or service.

After telling the customer what you will do to rectify the problem, be sure to keep your promise. Don’t make promises you cannot fulfill. Once you’ve made a promise make sure you carry it out fully. Be sure not to over-promise. It’s always best to under promise and over deliver.

Finally, you need to follow-up. Don’t assume the customer is satisfied just because you fixed the problem. Check with them. Ask if there is anything else that you can do to meet their needs. Don’t consider the situation closed until you know the customer is fully satisfied. If the customer seems content with the solution but still dissatisfied with your company, apologize again. Ask if there is anything else you can do to satisfy them. Listen again with empathy and try to identify other dissatisfiers that you can resolve.

Not all dissatisfied customers can be turned around. But by following these simple steps chances are even your most dissatisfied customers will leave feeling they were treated fairly.

Let me give you an example of two converse situations that happened to me that illustrate how important these steps are to creating loyal customers.

In the first example I had leased a car that turned out to be a lemon. I took the car into the dealership several times for repairs. Each time I returned to the dealership I became more and more dissatisfied as the repairs were not done properly. And each time I received more hassles from the dealership when I brought my car back to be fixed right. I eventually ended up writing a complaint letter to the president of the Chevrolet division in Detroit.

Not once did I receive an apology from the dealership. Not once did I feel the dealership cared about my problem or me. Nor did I receive a follow-up call. But boy, did they atone for their sins. Because of the intervention from Detroit I ended up not having to pay any of the payments on my lease agreement. Yet, even though I basically had a free car for two years, and this happened more than twelve years ago, I’m still peeved at the hassle I had to go through. And, consequently, I have never bought a Chevrolet since then and highly recommend that no one else does either.

An opposite experience occurred several years ago while I was vacationing with my family at Disney World in Florida. We had booked our stay in the apartment-like suites at Disney World Village. As we were getting settled into our suite I noticed the refrigerator in the kitchen did not work. I called the front desk and told them about the refrigerator. The front desk attendant immediately apologized for the inconvenience and said he would have a repairman to my room within 15 minutes. I told him we had not been inconvenienced because we didn’t need to use the refrigerator. I also told him we were leaving to go inside the park, so there was no rush to fix the refrigerator. We would be gone for many hours.

That night when we came back to our room after the park closed we found a fruit basket on our kitchen table next to a handwritten, personally-signed note from the hotel general manager. He first apologized for the inconvenience the broken refrigerator had caused. He then stated what action had been taken to fix the problem. He referenced a small gift-wrapped box that was next to the fruit basket and said it was a small token as an apology for the inconvenience of the broken refrigerator. Inside the box was a porcelain Mickey Mouse statue.

While my wife and I were marveling at all of this, the phone rang. It was the night manager. She said she was calling on behalf of the hotel general manager to apologize for the inconvenience our broken refrigerator had caused. She wanted to know if there was anything else she could do to overcome any dissatisfaction we might have.

How amazing! First, we were never dissatisfied. We weren’t even upset. We really didn’t care whether the refrigerator worked or not. We weren’t planning on using it. I had only called the front desk to let them know so they could fix the refrigerator for the next guest who might use the room.

Second, how did they know we were back in our room at one o’clock in the morning? Sure, the park closed at midnight. But we could have come back early and been long in bed. They must have had someone watching our room. Or they just kept calling every few minutes until they finally reached us. That is what I call amazing follow-up.

It's been almost 15 years since this incident and I still have that porcelain Mickey Mouse sitting prominently on my desk to remind me of the remarkable service we received that day.

In reality, you don’t have to provide the whiz-bang service I received at Disney World. It usually doesn’t take much to turn around dissatisfied customers and maintain their loyalty. You just have to follow six simple steps.

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Innovative Management Group offers a one, two and four-hour Customer Service Training courses that teaches customer service skills and service recovery techniques to managers and employees. IMG also offers a one-day “Creating Customer Loyalty” workshop that shows executive leaders how to create a strong service culture designed to attract and retain loyal customers. To find out how to apply these concepts in your business, please call IMG at 702-258-8334, or by e-mail at mac@imglv.com. Also visit our website at www.imglv.com

Saturday, August 22, 2009

Are You Riding a Dead Horse?

You might think that when someone discovers they’re riding a dead horse, they’d dismount and find another horse.

But often that’s not the case in the business world. Businesses typically try other strategies to keep the dead horse running — such as the following:

• Assure people “this is the way we’ve always ridden horses.”

• Explain that it’s not the horse, it’s the rider. So change out the rider, but keep the same horse.

• Appoint a committee or task force to study the dead horse.

• Visit other companies to see how they ride dead horses.

• Train people to ride dead horses more effectively.

• Lower the standards so the horse is no longer “dead.”

• Pay the dead horse more to give it incentive to perform at a higher level.

• Harness several dead horses together to increase their potential.

• Hire a consultant to help people understand and appreciate the value of the dead horse.

• Do a cost analysis to see if outsourced contractors can ride the horse more cheaply.

• Invest in new technology to revitalize the dead horse and make it run faster.

• Spin the dead horse in a more positive way so it doesn’t appear dead.

• Hold brainstorming sessions to find new ways to use a dead horse.

• Announce to the public and employees that the horse is not dead, it’s just in a “transition period” and will be revised in a restructure or reorganization.

• Shift resources from live horses to the dead horse so it has a better chance to succeed.

• Let the dead horse lie dormant for awhile and then bring it out again later as a new horse.

A dead horse is a dead horse, of course, of course; unless the horse of course is a famous company program.

Friday, August 21, 2009

So What If Your Products or Services Aren't Perfect

If 99.9% is good enough, then . . .

• Two million documents will be lost by the IRS this year.
• 811,000 faulty rolls of 35 mm film will be loaded into cameras this year.
• 22,000 checks will be deducted from the wrong checking account every 60 minutes.
• 1,314 phone calls will be misplaced by telecommunications services every minute.
• 12 babies will be given to the wrong parents each day.
• 268,500 defective tires will be shipped this year.
• 14,208 defective personal computers will be placed on desks.
• 103,260 income tax returns will be processed incorrectly this year.
• Almost 2.5 million books will be shipped in the next 12 months with the wrong cover.
• Two plane landings today at Chicago’s O’Hare International Airport will be unsafe.
• 3,056 copies of tomorrow’s Wall Street Journal will be missing at least one section.
• 18,322 pieces of mail will be mishandled in the next hour.
• 291 pacemaker operations will be performed incorrectly this year.
• 880,000 credit cards in circulation will have incorrect cardholder information on their magnetic strips.
• $9,690 will be spent each day on defective, and often unsafe sporting equipment.
• 20,000 incorrect drug prescriptions will be written in the next twelve months.
• 114,500 mismatched pairs of socks will be purchased this year.
• $761,900 will be spent on compact discs and tapes that don’t work.
• 107 incorrect medical procedures will be done today.
• 315 entries in the Webster’s Third New International Dictionary will turn out to be misspelled.

(Taken from Insight, Syncrude Canada Ltd., Communications Division)

The Five Most Important Things Customers Want

A recent customer service survey conducted by The Forum Corporation identifies five essential things customers want from product manufacturers and service providers. These five elements are universal to all businesses and industries and refer both to your products and your services.

The first thing customers want is RELIABILITY. They want to dependably and accurately receive what has been promised. They expect your products to perform exactly as, or better than, stated in your advertisements or marketing materials. They want your products to withstand normal wear and tear. They expect your employees to provide exceptional customer service every time. They want to know that your staff will do the right things right the first time. They want to rely on and trust you will deliver on your promises each and every time they do business with you.

Second, your customers want RESPONSIVENESS. They expect your employees to be fast, timely and efficient. They especially want your workers to immediately notice them, and willingly help them when noticed. If there is a problem, customers expect it to be fixed promptly with no hassle. They want your employees to rectify problems and resolve concerns as quickly as possible with minimal impact on or effort from the customer. Most important, they expect a sense of urgency when it comes to delivering your services or rectifying a problem.

Next, customers seek ASSURANCE that dealing with your company will be a pleasant experience. Customers feel assured when your employees are well-informed, respond in a courteous manner, and convey respect in their demeanor. They also are assured when your employees are helpful and go out of their way to serve the customers. Customers can tell whether or not your employees are interested in serving them. Assurance, or confidence, in the consistency of your products and services is essential to creating customer loyalty.

Customers also want EMPATHY from your employees. This is exhibited in the degree of caring and individual attention provided to the customers by your employees. When customers have concerns they expect a prompt response and resolution to their problems. But they also wish to feel your employees care about and acknowledge their concerns. Resolution without empathy usually does not fully satisfy customers. People need to sense remorse from your staff for the inconvenience or difficulty the problem may have caused. Customers expect your employees to see things from the customer’s perspective and to be able to empathize with the customer experience. Patients want doctors who are not just technically proficient, but who also have a good bedside manner. Empathy can often compensate for errors in quality and service.

Finally, customers expect you to provide the TANGIBLES you promise. Tangibles are the things that create or represent your image and appearance to the customers. Tangibles are the physical properties of your products, facilities and employees. They are the way your enterprise and people look, sound and feel. Tangibles are the obvious characteristics of your products and services. Customers expect the tangible delivery of your products and services to match the image of your marketing and advertising.

These five elements are listed here in priority order from the customers’ perspective. Reliability is what customers want most. What they want least are tangibles. Yet the survey found that companies spend most of their energy focused on providing tangibles. They make their products physically appealing. They outfit their employees in pleasing attire. They ensure their facilities are ergonomically pleasing. But often these appearances are a façade shrouding shoddy craftsmanship or poor customer service. Nothing frustrates customers more than to purchase products that look good, but function poorly.

Therefore, you can greatly enhance the loyalty of your customers by effectively focusing on the five things that matter most to the customers in the order the customers care about them most.

One's Beliefs Determines One's Willingness to Delegate

Perhaps one of the most difficult things for some managers to do is to delegate tasks to subordinates, particularly those tasks that are of high importance or entail great risk to the manager.

Delegation requires a manager to have trust, confidence and belief in the abilities of an employee to carry out a task to its successful completion. A manager must believe the person delegated to is fully capable of performing the task (competence) and that the task will actually be done (predictability). Managers often don’t delegate a task to someone else because they lack the confidence the task will be done as well as they could do it themselves.

To delegate a task to another person a manager must consciously understand the unconscious elements that play into every delegation. Before the manager can “let go” of an assignment, she must have certain “beliefs” about the person to whom she is delegating.

The first element is a Competence Belief. A manager must believe the person is capable of performing the task as directed at the level expected. This includes the assurance the individual has the skills, knowledge and ability to perform the expected result.

Having the skills to do a task, and having a willingness to do it, are two different things. Consequently, the manager must also have a Disposition Belief that the employee is not only able to perform the task, but disposed to perform as expected. The employee must be eager and willing to take on the responsibilities. If the employee is in any way hesitant or reluctant, the manager will be less inclined to believe the task will be completed properly.

Hence, the manager also needs a Fulfillment Belief that the individual will carry out the action by actually doing it. To fulfill a responsibility, an employee must have the ability, disposition, time, and resources to complete the task as expected.

This Persistence Belief gives the manager the added sense that the employee will stick to the task and do whatever is necessary to get it done in a timely manner.

Three additional beliefs that play into effective delegation are ones the employee must harbor in order to accept the delegated responsibility. Managers must consider these additional beliefs when delegating to an employee.

First, the employee must have a Self-Confidence Belief in his own abilities to perform the task as expected. He must confidently know, or believe, he can do it.

Second, there must be a Benefit Belief regarding the delegated task. The employee must perceive there is a personal benefit from his action. Some type of payoff must be dependent upon the satisfactory completion of the task and have significant enough appeal to the employee to generate his commitment to the task.

Finally, the employee must perceive, consciously or unconsciously, a No-Harm Belief. He must feel the task is within his scope of responsibility and that no harm will come to him, his boss, or his company if, for some reason, he fails in the successful completion of the task. Risk aversion is one of the primary reasons why employees fail to take on greater responsibility. Managers who can tolerate failure on the road to success have a greater propensity to delegate more.

True delegation might be better understood by using the term reliance in place of delegation. To delegate effectively a manager must be able to rely on another individual to perform the task as expected. A manager can only delegate to an employee when she feels he is reliable enough to do it right.