Achieving Business ExcellenceHow to Build and Sustain a HighlySuccessful Organization
I will not waste one minute of your time…• I have a ton to cover and I will go pretty fast.• I am happy to answer any of your questions, offer advice and recommend books at any time after this session.• John@JohnSpence.com The slides are already posted at: www.SlideShare.net/johnspence
Cecil Van Tuyl “It is all about people, people, people. You can kid yourself about a lot of things in your business, but at the end of the day it will always come down to people.”
The number one factor in increasing the level of highly satisfied and engaged CUSTOMERS in your business is…The level of highly satisfied and engaged EMPLOYEES in your business.
Key Drivers of Customer Satisfaction and Loyalty Financial Performance CR= 104.12% increase in profits Global study: Tolerate 16 countries Quality P&S & Nothing 529 companies Customer Relationship 15,589 respondents Less CR= .404 Employee CR=.277 Satisfaction CR=.275 CR=.249 CR=.334 CR=.280 Empowerment Coaching High Standards CR=.285 CR=.371 CR=.365 CR=.191 CR=.247 Long-term Enthusiasm, Training & Fair Orientation Commitment, Development Compensation RespectFrom: Practice What You Preach by Maister
Customer satisfaction drives customer loyalty… and customer loyalty drives profitability Evangelist 100% Zone of Affection I love you 90 80 A 5% increase in loyalty 70 Zone of among your best Indifference 60 customers… Loyalty 50 I don’t care about you 40 30 Zone of Can produce a profit 20 Defection increase of 25% – 85%I hate you Terrorist Extremely Somewhat Slightly Very Dissatisfied Dissatisfied Dissatisfied Satisfied Satisfied Customer Satisfaction
Culture = Cash Actively disengaged employees can reduce revenues by up to 22%, while highly satisfied and engaged employees can drive profits up by as much as 189%
HUGE data set… • 600,000 employees at 500 companies. • 6,800 senior executives. • 900 books and academic articles. • 30 CEOs of Fortune 500.From: Beyond Performance by Keller and Price
Nine Elements of Organizational HealthFrom: Beyond Performance by Keller and Price
E E+E+E Attachment to the company and Engaged willingness to give extra effort. A work environment that supports Enabled productivity and performance. Individual physical, social and emotional Energized well-being at work.“All In” by Gostick and Elton
• The research shows the cumulative effect of the three Es at work. The engaged, enabled, and energized cultures saw average annual operating margins of 27.4 percent during a period that included a recession/economic downturn—twice as high as organizations with just high employee engagement and three times higher than those with low engagement.
Seven Steps to Success1. Define a Burning platform2. Create Extreme Customer Focus3. Develop Agility4. Share Everything5. Partner With Your Talent6. Root for Each Other7. Establish Clear Accountability
Now you MUST deliver…• The highest possible quality…• At the lowest possible price…• Immediately --- or sooner…• All while giving consistently superior customer service for an outstanding “Total Buying and Owning Experience.”
Joe Calloway: Three Greatest Competitive Advantages 1. Know more about the customer than anyone else. 2. Get closer to the customer than anyone else. 3. Emotionally connect with the customer better than anyone else.
Jack Malcolm: Top 10 Sales Trainers in America• Get back to basics. When things are going well, it’s easy to cut corners and get away with it.• Pay extreme attention to detail. It’s very easy to lose a customer when times are tough. They’re not in a forgiving mood, so they expect to be treated very well.• Work on your network. Extend and diversify it, but most importantly, put effort into helping others, especially those who are not in a position to help you right now.• Prepare for the turnaround. It will come, despite how easy it is to be pessimistic. The trick is to come out of this stronger than when we went in. Learn, network, add value, and it will pay off.• Give a little extra. When people ask for three ideas, give them 5.
Where are we going and how will we behave on the way? Focus Celebrate Success Differentiation Eliminate Mediocrity “No”Measure / Track Communicate Transparency Guiding Collation Accountability Vision + Values Strategy Training + Objectives time / money / Initiatives supplies / people Programs Procedures / Protocols Clear / consistent / relentless Repeatable Process
The 6 Keys to Controlling the Market eople OC OT OM aizen
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