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Engagement

Color Me Insulted: A Failed Attempt at Engagement

Picture this: a well-known brokerage firm recovering from a major scandal is faced with increasing losses and decreasing brand confidence. A well-intentioned attempt to rally its “dispirited” employees backfires and results in further disengagement.

Here’s the true and sad story as told to me recently by a former employee.

“I remember sitting at my mahogany desk in the summer of 1987 worried about what might happen. Working for E.F. Hutton meant I was at an elite firm and my desk was one of many amenities.

E. F. Hutton had gone through its share of travails, one of which was its check-kiting scandal. I was working in a branch office that was one of the biggest offenders. I had been hired right after the employees involved had been let go. Because of these offenses, our office was audited extensively: four times a year by the SEC, and about the same amount annually in internal audits.

We had been working hard to turn the company around, and as far as our branch could be considered, we were procedurally whistle-clean. The clients were loyal and the money was still coming in.

However, because of these and other problems, the company as a whole was not doing well. Losses were mounting and the stock was taking a hit on the NYSE. All E.F. Hutton employees were holding their collective breath about what sort of message we would get from management concerning the future of the company. We waited for a message, and waited, and waited.

Finally, after a week or more of waiting, we received something. A large package came from corporate headquarters. Inside the package for each employee was a coloring book and a small box of crayons.

The book was a very simplistic children’s story saying we were no longer the nicest house on the block and we all needed to work together to defeat our rivals and make our place nicer. The message was insulting and, to me, insinuated that the employees were only able to understand a message written for a 1st grader. This was sent to all 18,000+ employees including brokers that had taken an exhaustive 6-hour long test to become a stock broker, as well as operational employees who knew the ins and outs of a complex financial industry. Employees at the main office New York City had been in the industry working at that level for 20 years or more.

Within an hour, the trashcans were full of the books. Some employees took the crayons home for their children, clearly feeling that the crayons were the only valuable item they had received.

Soon after the company was sold to Shearson Lehman.”

Both the medium and the message of the Hutton Coloring Book failed. Employees can handle bad news IF leadership is honest and respectful in communicating what happened, what corrective measures are in place as a result, and what will be needed moving forward.

A once powerful brand (“When E.F. Hutton talks, people listen”), E.F. Hutton also serves as an example of what NOT to do in engaging employees.

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Engagement Training & Development

Can You Afford to Fuel Employee Burnout?

[Note: This post first appeared on myHR Blog and is shared with permission from Tina Hamilton, PHR, founder of myHRPartner, an HR outsourcing firm. Tina is a well-respected business professional who is frequently quoted in the national media on HR-related issues in the workplace, and I’m proud to know her as a colleague and friend. To learn more about her work, please visit myHRPartner.]

Is employee burnout hurting your bottom line? via myHR Blog

Just like a broken down car, a burned out workforce will not take your business where it needs to go. And as much as some people would like to paint employee burnout as completely based in personal issues, it is more often than not a sign of serious organizational problems within a company.

What’s more, employers who don’t recognize and correct the kinds of workplace problems that lead to burnout risk hurting their company’s bottom line. Things like very heavy workloads, feelings of job insecurity, frustrations with massive amounts of meetings and impossible deadlines fraught with roadblocks create a toxic workplace environment where employees feel frustrated and stressed out.

According to a recent Harvard Business Review article, employee burnout costs an estimated $125 billion to $190 billion in American healthcare spending on psychological and physical problems it causes each year. But the real cost to businesses can be far greater because of issues such as low productivity and high turnover rates as great employees leave toxic environments for greener pastures.

When Harvard Business Review looked inside companies with high burnout rates, they found these common problems:

We saw three common culprits: excessive collaboration, weak time management disciplines, and a tendency to overload the most capable with too much work. These forces not only rob employees of time to concentrate on completing complex tasks or for idea generation, they also crunch the downtime that is necessary for restoration.

Excessive collaboration may prevent progress

Poor time management practices and overloading top performers are issues that are fairly obvious causes of employee burnout. Excessive collaboration, on the other hand, may seem counter-intuitive on its face. The article explains that this situation arises when teams have too many decision makers and too many decision-making steps. “This can happen in companies that really do mean well,” says Tina Hamilton, PHR, myHR Partner president. Going overboard on collaboration often leads to a cycle of endless meetings, hordes of emails and scheduling nightmares—all without significantly moving a project forward. “Stress can lead to personality clashes and get in the way of pragmatic, timely decision making and progress. You can see how this can lead to burnout.”

This being said, collaboration itself—when done right—is often a great thing for work teams. Hamilton recommends having a clear strategy and sensible team organization before collaborative projects begin in order to decrease frustration and to keep things from getting bogged down with meetings, emails and red tape.

Other causes of employee burnout mentioned in the article include:

  • The new “always-on digital workplace”
  • Constant multitasking that leads to exhaustion and lack of focus on any one task
  • Rigid approaches to team objectives that do not allow for re-prioritizing when new tasks are added or outside situations change
  • Managers who do not know how much time employees spend on activities, meetings, etc.
  • Lack of tools and training for employees to handle tasks
  • A corporate culture in which overwork is expected or celebrated
  • A sense of lost autonomy among employees.

As we have blogged about in the past, the danger of overworking employees is real. They will feel disrespected or unappreciated, and they won’t stay—especially if they are talented. As an HR outsourcing company that often helps clients avoid expensive, time-sucking high employee turnover rates, we can tell you burnout will burn your company. It’s just a matter of time.

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Engagement

A Business Consultant’s Rant

I love working with my clients, and yet I get so frustrated sometimes — not at them, but for them. I get frustrated on their behalf because of the organizational absurdity they have to deal with. For example:

  • A management team focuses on improving employee and customer engagement despite inconsistent or no corporate support.
  • An executive director struggles to move forward with a board-approved strategic plan while lacking sufficient resources that include board member support. (The latter is well-meaning but complacent.)
  • A department head labors to accomplish departmental objectives with conflicting goals and multiple agendas as the top executive’s vision and those of the division heads exist on different planes.

These clients know what they need to do despite being hindered by misplaced priorities, misguided executives, and misaligned goals. So they persevere.

“Do what you can, with what you have, where you are.” Theodore Roosevelt.

I care about and admire my clients, and I’ll do my best to help them succeed no matter what – even when it’s being a sounding board for them.

Unfortunately, there’s no magic solution for organizational lunacy. I just wish I had a supply of silver bullets they could bite.

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Engagement

What’s the Problem with the Next New Management Trend?

The answer depends on management’s attention span.

No matter how well intentioned, executives who are unable to keep their focus on doing what it takes to make a new approach work will move on when the initiative fails and go after for the next best thing — frustrating their employees in the process.

In this situation the latest greatest management trend might be new, but not the employees’ experience with it. So they shake their heads and roll their eyes – out of management’s sight – when executives launch their business strategy du jour to increase/improve:

  • innovation
  • productivity
  • engagement
  • collaboration
  • all, or any combination, of the above.

Employees are asked to ascend the roller-coaster of executives’ initial excitement, only to endure a steep drop in efforts to sustain the approach. Without sufficient investment in the necessary resources and follow-through, employees are left feeling cynical rather than invigorated.

Jumping on the management bandwagon isn’t the issue; what’s critical is how seriously a new approach is considered and applied. As Robert Bacal writes in his article, Management Fads – Things You Should Know:

“Because management fads do usually have substance, those who take the time to explore the possibilities usually come away from the experience as better managers. Those who do not take the time to learn, but adopt a management approach on only a superficial understanding of the techniques, become worse managers.”

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Engagement Training & Development

Here’s What Bad Bosses Say

Steer clear if someone you work for – or with – says any of the following:

“I’m not the boss because I’m always right. I’m always right because I’m the boss.”

“Why should I invest in your training? You’ll just take all this knowledge and go to work for someone else.”

“Lack of planning on my part will constitute a constant emergency on your part.” (Former boss mantra)

“You don’t need to know what this is for – just do what I tell you to do.”
Translation: “You’re paid to do, not to think.”

As Leah Arnold Smeets aptly puts it, “The bottom line is, bad managers are bad for business, and they’re even worse for their employees. That’s because no company or enterprise can win with disengaged employees drained of energy and enthusiasm.”

While many bad boss quotes and how to cope with them can be found online, here’s one of my favorites:

Boss: “It’s not my job to make my employees happy!”
Consultant: “It’s not your job to make them miserable either!”

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Customer service Engagement Training & Development

A Manager’s Guide on How to Cope When Team Efforts are Taken For Granted

I had an interesting discussion with a colleague who manages an internal service department for a medium-sized organization. She’s a supportive manager whose team takes pride in providing quality service to internal clients. However, she finds it a challenge to keep her employees at the top of their game when some internal clients are unappreciative of their efforts. Part of her dilemma is rooted in an organizational culture where administrative support is taken for granted.

She and her team acknowledge the situation and focus on how to work effectively within – and despite – the culture. She also encourages employees to rise to the challenge of working with unappreciative clients. Yet there are still occasions when team members find it hard to muster enthusiasm to serve such clients.

You can’t fake it and other important tips
How does she continue to motivate her team? She knows she can’t fake her own engagement, so she starts by staying positive. She also focuses on how she can best support her team and internal clients with the following actions:

  • Keep the “big picture” front and center by reminding employees how they support the department’s mission and contribute to the organization’s mission in the process.
  • Engage employees in sharing what works to keep them motivated, such as providing peer support and finding the humor in their experiences and ways to safely blow off steam. This is done regularly in staff meetings and when difficult situations arise.
  • Share and reinforce client service success stories with the manager’s boss as well as with the team itself.
  • Acknowledge those clients who are appreciative of staff efforts, while also diplomatically standing up for employees dealing with difficult clients.
  • Maintain a positive culture within the department that values both clients AND team members.
  • Continue to acknowledge and recognize employee efforts with little gifts, food, and ongoing professional development.

Just as importantly, she models and reinforces what Chip Bell describes in his new book, Kaleidoscope:

“We are what we serve to others. It is our signature that sums us up each time a customer is on the receiving end of our efforts. And your customers remember how you served long after they have forgotten what you served! How can you deliver service in a fashion that says, ‘This is me, and it is my very best gift to you?'”

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Customer service Engagement Marketing

Are You Guilty of Treating Your Customers Like Chopped Liver?

The phrase “What am I, chopped liver?” is uttered when a person is made to feel that he or she is not special. It’s exactly how some customers feel as a result of neglect by companies.

I’m seeing this scenario play out in a membership-based company that’s constantly offering special discount pricing to acquire new customers while ignoring their current ones. Those in the latter group are questioning their customer loyalty given management’s attention on attracting new business while little investment is made to improve member services and facilities. Some customers are paying fees higher than those offered to prospective customers. However, they can get a few extra months of free membership IF they help bring in new customers.

Churn, churn churn
With little confidence in the company to take care of current customers, turnover continues … as does the search for new customers. The company may not realize it, but turnover would be much greater if it weren’t for customer inertia – whether their customers are locked into annual contracts or unable to find suitable alternatives. The reality is unhappy customers who stay don’t bring in additional business.

Heavily promoting to attract new customers at the expense of taking care of existing customers is the perfect recipe for making customers feel like chopped liver. It’s also a strategy that leads to continued high turnover and brand damage. Customer churn isn’t the only issue here – employee turnover is also evident.

But it doesn’t have to be this way. Here are four steps companies can take so their customers and employees don’t feel like chopped liver.

  • Take the time to proactively engage with and listen to your current customers and respond appropriately. Consider formal customer satisfaction surveys, customer roundtables, or lost customer analysis. The latter can be as simple as asking why a customer left, although it’s better to learn of customers’ frustrations before they leave.
  • Communicate with customers. If improvements in member services and/or facilities are in the works, let them know about it. If not, let them know why and when they can expect a future fix. The absence of such transparency leads customers to speculate about the company’s health.
  • Also take time to proactively engage with and listen to your employees, and respond appropriately. Seek their input on signs of customer frustration.
  • Communicate with employees and equip them to be customer-focused. Ensure they know what’s happening so they can address customer questions and concerns. Provide with them with training to provide top-notch customer service, and in the event of a problem, equip them to deal with customer complaints and recovery.

NOT for customers only
Engagement and retention efforts shouldn’t be limited to customers — if your employees don’t feel valued, neither will your customers.

How does your company make its customers and employees feel?

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Engagement

How Will You Honor Your Employees on Recognition Day?

Recognizing and affirming employee value is critical to creating and sustaining employee engagement. And while workplace recognition should be a no-brainer, Gallup research found otherwise. According to Gallup practice manager Annamarie Mann and researcher Nate Dvorak, ” … only one in three U.S. workers strongly agree that they received recognition or praise for doing good work in the past seven days. At any given company, it’s not uncommon for employees to feel that their best efforts are routinely ignored. Further, employees who do not feel adequately recognized are twice as likely to say they’ll quit in the next year.”

For managers who need an extra push when it comes to recognition, get ready for national Recognition Day, Friday, March 3, 2017. This special holiday is observed annually on the first Friday in March that 1) serves as be a springboard for those starting to get serious about the importance of recognition, and 2) enables those who value recognition to do something extra for their employees.

Effective recognition is authentic and genuine — it doesn’t work if it’s forced. If you’re serious about recognizing your employees, have fun with it and know that it doesn’t have to be expensive or time consuming. Your can find many great ideas here to celebrate Recognition Day and throughout the year:

Creative Ideas Abound as Recognition Day 2017 Approaches

51 Employee Appreciation Day Ideas That Won’t Break The Bank

Validation isn’t a once-and-done effort. Everyone needs to know that our work matters … that we matter.  How will you recognize your employees this Recognition day to let them know that they matter?

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Engagement

What to Look for When Replacing a Manager

A colleague expressed frustration about a corporate search that took nearly a year to replace a department head. It takes time to bring in the right person, and urgency takes a back seat to finding the right fit.

The challenge, however, is getting through the process as employees cope with the “temporary” void feeling uncertain and even anxious about their manager’s replacement. Change can be scary given the unknown of the newcomer’s personality and agenda, particularly if the new manager comes from outside the organization.

That’s why it’s important to remember the words spoken by the wise knight in Indiana Jones’ The Last Crusade: “choose wisely.”

If you’re in a position to select a manager’s replacement, consider the type of engaging manager recommended by thought leader and academic Henry Mintzberg in his classic article “Managing Quietly.” He describes managers who:

  • Inspire rather than empower their people by creating a culture with “conditions that foster openness and release energy” so that “empowerment is taken for granted.”
  • Care for their organizations by spending more time “preventing problems than fixing them, because they know enough to know when and how to intervene.”
  • Infuse change so that it “seeps in slowly, steadily, profoundly” instead of dramatically so “everyone takes responsibility for making sure that serious changes take hold.”

For executives, search committees, and HR staff tasked with filling managers’ positions, you don’t want it said that you “chose poorly.”

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Customer service Engagement Marketing

How to (Gently) End a Customer Relationship

good-bye blue-1477872_960_720When I asked other business professionals when it’s best to lose a customer or client, the reasons boiled down to the customer’s lack of respect and not being fully committed to the working relationship. Examples cited included:

  • difficult interactions with or mistreating customer-contact employees
  • being unresponsive and uncooperative
  • paying late or not at all.

The question then is how do you actually end such a business relationship in these situations? The best advice on “how to fire a customer” comes from customer-loyalty consultant and best-selling author, Chip R. Bell:

“Firing a customer is a bit like disarming a bomb; ‘very carefully’ is the operative term. The goals is to subdue animosity without scattering aftermath. Sometimes customers are so incensed at losing a favorite punching bag — even though it’s actually you who’s ‘lost’ them — they can move quickly from anger to vindictiveness, seeking opportunities to punish, not just put down. You can limit your chance of such backlash by handling firings in cool-headed but still sensitive ways.”

When terminating a business relationship based on the first two examples — when the customer has become abusive or difficult to deal with — Bell cautions against taking an angry, defensive, or otherwise emotional approach to avoid fueling the customer’s anger at ending the relationship.

” … a rational explanation for why a continued relationship will harm your business—how harsh treatment of service reps impairs productivity, or how a difficult relationship steals time from other deserving customers—should be your modus operandi here. The goal is to give the customer a signal that he or she is unwelcome if the unwanted behavior persists.  ‘Ms. Jones, I must ask you to leave. The morale of our associates is critically important to their well-being and to the well-being of our organization. While we are by no means perfect, our employees must not be repeatedly subjected to actions that demean them as people.’

Bell also advises a rational approach when the issue is based on the bottom line, such as the client not paying.

“[Emphasize] how a continued relationship will negatively affect the business, not on how a parting of ways will make your long-suffering staff feel like it’s just won the lottery.  ‘Mr. Jones, we’ve greatly appreciated your business for the last year. We have elected to apply our limited resources in a new direction and will not be soliciting your business in the near future. Should you want to continue our relationship it will likely need to be at a (higher price, greater volume, faster cycle time, lower cost, etc.).’

Granted, none of this is easy in a competitive and challenging marketplace. But it is essential to stand up for your employees and organizational principles. As Bell explains:

” … courageously ending relationships with customers who continually turn the blowtorch on the front line, or who over time siphon more funds from the bottom line than they return, sends a message about what you stand for as an organization.”

[Note: above excerpts cited with permission from Chip Bell’s book, “Wired and Dangerous,” co-authored with John R. Patterson.]