August 2nd, 2010 Drew Stevens
Today’s Wall Street Journal has an interesting article concerning Leadership Development. (http://bit.ly/bUbmYc) Fearing a shortage of managers, organizations are now returning to leadership development. With the risks of retirement, and those that will move as job opportunities prevail, organizations will spend more to help increase management effectiveness.
I have said it before on this and other forums. First leadership development must be based on a continuum not as individual events. Leadership is a process not an event. This includes on boarding, coaching, mentorship and then periodic training.
More importantly development will not occur unless you have the right people. Talent is innate and organizations must refrain from hiring “bodies” and employing those with skills and abilities. This is where succession planning is crucial. Proper succession leads to less training and development since the organizational culture encompasses leadership development.
Finally, to gain proper performance, key performance indicators should be established. People will succeed (or not) when they are held accountable.
2010. Drew J. Stevens Ph.D. All rights reserved.
Posted in Drew Stevens PhD, Leadership, Sales Training, Uncategorized, leadership development, sales help, sales skills, sales strategy, sales techniques, selling skills, selling techniques, selling tips | 1 Comment »
February 12th, 2010 admin
One of the most common trivialities amongst business professionals is the inane desire to conduct thousands of things but do nothing well. Traction is not gained by conducting a plethora of things without focus. Developing business requires focus on two things- customer acquisition and retention. Doing so requires focus on sales, marketing and customer service. Beyond that not much else is required. Look around you and review items that withhold you from business development. Your labor can be severely decreased by conducting a few things well.
Quote of the week – Every organization is on business for one reason- the customer. – Peter Drucker
©2010 Drew Stevens PhD. All rights reserved.
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Drew Stevens PhD is one of the worlds leading experts in business development. Dr. Drew is the author of six books including Split Second Selling and the soon to be released Ultimate Business Bible. With over 25 years of sales experience and business leader, Dr. Drew has extensive experience in assisting both entrepreneurs and sales professionals to experience higher efficiency and effectiveness. He is also the creator of the Sales Leadership Certificate one of only 14 programs in the United States offering an accredited degree in the profession of selling and has a top ranked podcast called Sales Fitness offering tips and techniques that immediately improve selling performance.
Posted in Dr. Drew, Drew Stevens PhD, Leadership, Sales Training, account management, customer relationships, customer retention, customer service, exceeding customer expectations, marketing, sales help, sales skills, sales techniques, selling techniques | Comments Off
May 21st, 2009 admin
It is the best of times it is the worst of times, famous words from Charles Dickens. These words are echoed today with the current recessionary woes. The current recession has drained savings, diminished revenues and dampened spirits. However, while many are dampened by the woes of the economy, the truth is this, the economy and the recession is not that bad! In fact, much of the current economic recession is based on fear.
Media is bombarding us with stories of economic doom and gloom, but everywhere you look there is proof that people are spending money! From restaurants to ball games, food and clothing is continually purchased. So what then is the issue? The issue is simply a fear of the unknown. Epitomizing the most famous quote on fear President Franklin Delano Roosevelt stated, “The only thing we have to fear is fear it’self – nameless, unreasoning, unjustified, terror which paralyzes needed efforts to convert retreat into advance.” Americans are paralyzed over the uncertainty, unknown and unfamiliarity.
Here are facts that can dispel the uncertainty:
1. The current unemployment rate is 8.5 percent. Flipping the figure this denotes that over 92 percent of Americans in the United States work. Not taking into consideration passion for their jobs and other financial reasons, the majority of this country is employable.
2. The insidious banking system even with the financial issues still extends credit to many Americans. Each day new cards and accounts are opening and borrowing is still possible.
3. Individuals and families are still spending money. The current Elton John and Billy Joel tour is sold out. Baseball stadiums are doing considerably well and the movie industry continues to set records at the box office and have a banner year for attendance.
4. People are more prudent with their finances but they are spending.
5. There is less time waiting in line. There is a sheer pleasure in not having to wait in long lines at my favorite restaurants and shopping centers. Employees are generally nicer and customer service improves.
6. Recent purchases for concerts, the symphony and other family outings have allowed for better seating and availability. A recent attendance at a play enabled me to sit front row, center!
7. Time with family is more prevalent. Nothing is better than renting a movie or cooking a nice meal for all family members without a desire to go out. With my fiscal responsibility, more time with family is available.
8. Relationships. With more time and a bit less stress people are more willing to stay and chat. The subtle return to conversation and socialization is a blessing.
9. Customer needs do not disappear during a recession. Recessions provide the opportunity to strengthen relationships with clients. Now is the time to get closer to clients. As others compress, now is the time for expansion.
10. The best times for innovation are during the worst economic times. Uncertainty creates fear and panic. While competition becomes worrisome now is the time to overtake them. The best of times come when others believe it is the worst.
©2009. Drew J. Stevens Ph.D. All rights reserved.
Posted in Dr. Drew, Dr. Drew Stevens, Drew Stevens PhD, Economic Volatility, Leadership, Referrals, Sales Training, asking questions, closing techniques, cold calling, communication, customer relationships, customer retention, customer service, exceeding customer expectations, marketing, negotiating techniques, networking, pipeline management, presentation skills, price objections, prospecting, qualifying, recession, recruiting, relationships, sales as a career, sales help, sales management, sales manager, sales process, sales prospect, sales resources, sales skills, sales strategy, sales techniques, sales tips, selling skills, selling techniques, selling tips, selling to c-level, tip of the week | 1 Comment »
February 21st, 2009 admin
Television is boring and I do not watch much of it but I was viewing the news the other day when a commercial appeared for a dietary product. A celebrity spokesperson was pitching a product and stated there are 10 vital reasons why consumers should purchase. For the remaining 26 seconds she discussed 10 benefits to her, who cares! Viewing in disbelief I thought of the selling profession and the relevance of a great play.
For those of you that every watched the play or movie “Phantom of the Opera” there is a beautiful scene when Christine Daae looks in the mirror located in her dressing room and is introduced to the Phantom. During this scene the Phantom sings the words, “Look at your face in the mirror I am there inside…” Christine sees the Phantom- not herself. The metaphor between the Phantom and the ridiculous commercial is this, how often do selling professionals make presentations where focus is on the sales person. Who cares?
There is only one item that a selling professional must focus-the customer. One does not do so by allowing focus on them. Too many professionals spend too much time worried about their compensation, and their territory, they lose focus on the most important asset- the client. It is disheartening that professionals have become egocentric. Selling professionals must direct conversation to the client. Sales professionals can create better music with few alterations.
Preparation
One of the most daunting items I experience when coaching sales managers are the numbers of selling professionals unfit to speak to clients. Some, not all, have little knowledge of the client, the industry, the competition and the issues. Selling professionals simply cannot engage in meaningful value driven dialogue if there is no understanding of the client’s issues. It is imperative to read the press, conduct some research, view the website, anything possible to better understand whom you are speaking with.
Stop Feature Selling
Prospective customers are only concerned about what the product or service will do for them. Focus on value not on features. No one buys features.
Emotion makes the sale
Customers make a purchase because of the emotion evoked with the use of the product. Marketers are masters at creating sensory awareness and this is a useful tool for selling professionals. Consumers never make rational decisions. In fact logic makes people think, however if you want them to purchase then you want them to act. Enlighten emotion by engaging the five senses with benefits and value.
Conversation
The best selling professionals understand how to engage in conversation. Yet all questions and comments focus on the value to the prospective client. Good selling professionals provoke questions that engage the customers pride, passion, purpose and painlessness. In fact, the better the questions the more engaged the customer creating more listening for the selling professional.
Focus
Some selling professionals are anxious to make a sale. In doing so, they are focused on the future and not the present. Professionals must avoid distractions such as cellular phones, email etc and live in the moment to maintain energy, direction and speed on the client issues.
Stop Closing
Too many selling professionals spend more time attempting to close business rather than create relationships. People buy from those they know and those they trust. Closing techniques only annoy and frustrate, if you want business, make friends first.
The best plays like Phantom harmonize perfectly because of the outward focus of both actors and musicians. All the comprehensive pieces perform melodically to engage and entertain the participant. Selling requires a similar methodology. The core of selling harmoniously requires professionals to be outwardly focused and intently maintaining the moment. Orchestrate your next appointment with proper questions, enough homework and the desire to create relationships.
©2009. Drew J. Stevens Ph.D. All rights reserved.
Posted in Customer Relationship Management, Drew Stevens PhD, Leadership, Referrals, Sales Training, account management, asking questions, business development, closing techniques, cold calling, communication, customer loyalty, customer relationships, exceeding customer expectations, lead generation, leadership development, marketing, marketing techniques, negotiating techniques, negotiation, networking, pipeline management, presentation skills, price objections, prospecting, qualifying, recession, recruiting, relationships, sales and marketing, sales as a career, sales coaching, sales effectiveness, sales help, sales management, sales manager, sales process, sales prospect, sales resources, sales skills, sales strategy, sales techniques, sales tips, sales trends, selling skills, selling techniques, selling tips, selling to c-level, tip of the week | Comments Off
January 14th, 2009 admin
The year has gotten off to a fast start and many sales managers and sales representatives are trying to get a jump on the year to offset losses from recessionary woes. Since the beginning of the year, my email has become inundated with questions about lead generation and cold calling techniques. Selling professionals are hitting stonewalls and getting nowhere.
The art of cold calling is serious business. Cold Calling requires patience, persistence and professionalism. The trick is to remain constantly positive and vigilant. More important, you must remember that cold calling is meant to generate leads… not business! Too many of you reading this believe that when you cold call you are to sell something, this is far from the truth. Whether stocks, insurance or any other product the concept behind cold calling is to generate a prospective lead that results in another appointment.
I want to give you some tips on generating leads and cold calling in this article. However, I want to get you in the proper framework so that before you pick up the telephone you remember the proper cold calling techniques. The comedian Jeff Foxworthy uses a moniker with every joke that states, “You might be a redneck if”. Before you read each of the ten tips say to yourself, “You might be a cold calling nuisance if…”
1. You pick up the telephone and have no idea who you are calling. Someone called me recently and asked for the proprietor. Know whom you are calling.
2. After hello you begin with chitchat. Speak with conviction and have a purpose for every call.
3. You call and have conversations with gatekeepers. Call only decision makers. Stop wasting time with gatekeepers that are paid to detain you. Research the person you want to reach before you pick up the phone.
4. You do not know anything about the business or industry you call. I had a gentleman call me this morning to sell me a copier without an iota of knowledge of my business. Imagine the shock when he discovered I was a sales trainer.
5. Start your call with information about your company. Begin your call with a purpose and a value proposition. If you cannot articulate the value to the recipient do not make the call.
6. Begin your calls with inane questions. Questions such as “How you doin’” is for Joey Tribiani from the series Friends. Unless you desire a data dump comparable of being in a therapist office, stop. If you want conversation then speak articulately.
7. Operate each call without a clear purpose. Use a checklist for each call and have a path. A call should have a beginning, middle and an end.
8. Get over the myth that you are calling to sell something. NO YOU ARE NOT. You are simply calling for an introduction and to gain an appointment, any other reason is a mistake on your part.
9. You fear rejection. Get over it. Lead Generation whether you conduct it for your business or other complex organization is about the rejection business. In order to be successful get out of your comfort zone and deal with it.
10. Commence from call to call. I know of an organization that requires representatives make over 50 calls per day. This is unrealistic. What should be measured is not the call volume but the calls that lead to appointments. Success is should be measured by quality over quantity.
Lead generation is not for the faint of heart but from time to time is required for business development. Success is achieved with patience and most of all a plan. Do not fret rejection, set goals, provide value and do not fall into the trap of selling anything but an introduction and a second meeting.
© 2009. Drew J. Stevens All rights reserved.
Posted in Drew Stevens PhD, Leadership, Referrals, Sales Training, asking questions, closing techniques, cold calling, communication, customer relationships, customer retention, customer service, exceeding customer expectations, lead generation, marketing, negotiating techniques, networking, pipeline management, presentation skills, price objections, prospecting, qualifying, recession, recruiting, relationships, sales as a career, sales help, sales management, sales manager, sales process, sales prospect, sales resources, sales skills, sales strategy, sales techniques, sales tips, selling skills, selling techniques, selling tips, selling to c-level, tip of the week | 1 Comment »
December 18th, 2008 admin
Leadership issues have grabbed the attention of the media this year. From Wall Street to Main Street leaders and their antics created allure for paparazzi and journalists. From January through December 2008, professionals from a myriad of industries carved their niche into celebrity status.
While many Americans are trying to place the antics and affects of 2008 behind them, it is time to honor those that created headlines, hysterics and horror. Numerous leaders created more chills and thrills than the video game Grand Theft Auto. The Leadership class of 2008 is certainly memorable- and not for many humanitarian reasons. The staff at Stevens Consulting Group honors the foibles of those honored Leaders in the 2008 Hall of Shame.
5) Angelo Mozilo/CEO Countrywide – Mozilo, who founded Countrywide built and destroyed the leading provider of national mortgages is one of the most egregious on our top 20 list. With oncoming foreclosures a melting stock market and numerous downsizings, Mozilo manufactured a buyout of his firm, severance packages for him and his executive team and still manages the lifestyle of the rich and famous. Mozilo is certainly a legend in his own mind.
4) Merrill Lynch Board of Directors/Stanley Gault – Accountability clearly met its match when Stanley Gault former CEO of Merrill Lynch was terminated in December 2007. Merrill Lynch’s Board deserves a standing ovation for giving Mr. Gault over 161 million dollars in severance. Hmm. Mr. Gault lost $8 Billion in the last quarter of 2007 and was still rewarded, makes you think what would happen if he lost more money? Further, after Gault’s departure, Merrill Lynch signs on John Thain for $50 Million. Obviously there is a printing press in the basement of World Financial Center.
3) President George W. Bush – Just when America needs leadership, George Bush hides from the media. Gasoline skyrockets to almost $5 per gallon, the war in Iraq continues to advance and the stock market falls mightier than the falls in Niagara, but Bush says little. When citizens are in peril they seek guidance and leadership from those in command. January 20th cannot come soon enough!
2) John Thain CEO/Merrill Lynch – What is there to say of the individual John Thain. Mr. Thain gains a $50 million package to help bail out Merrill Lynch and in the first quarter losses $9 Billion dollars and in quarter three of 2008 manages to sell the firm to Bank of America and then secures the top position. Wait, there is more. Just a few short weeks ago, Mr. Thain negotiated, no argued with the Merrill Lynch Board of Directors for the entitlement of a $10 Million bonus. Only days later Bank of America announces a downsizing of 35,000 employees. Who is more egregious Mozilo or Thain? Tie ball game here and both should be ejected for illegal procedure.
1) Securities and Exchange Commission/Bernard Madoff and 3 Automobile Executives – This year for the first time we have a tie for first place, beginning with the top three automobile executives. It is impossible to think that without a strategy and plan, one can win at anything. Yet because of muscle and history, three automobile executives come to Capital Hill pleading for taxpayer dollars. And, they wonder why the bubble burst after the dot com debacle! Manny, Mo and Jack should all be penalized for a lack of control, a lack of leadership, a lack of strategy and a lack of brains. No homeless person requests money driving a Cadillac. All three should be shown the ejection button.
Finally, just when all was beginning to settle we come to find a 70-year-old Wall Street trust bilking droves of friends, family, foundations and peers from billions of dollars. Worse yet, the SEC had Mr. Madoff and then let him go because they trusted him, how nice, they trusted Hussein too! Accountability is the most prominent issue when it comes to leadership and obviously the SEC lacked.
Until next year and a new class of entrants, Happy Holidays.
©Drew J. Stevens PhD. All rights reserved.
Posted in Drew Stevens PhD, Leadership, leadership development | 3 Comments »
November 10th, 2008 admin
One of the most provocative topics in present business is leadership. Managing, motivating and directing organizations is challenging, however, guiding personnel is more challenging. Recent research abounds on helping leaders motivate and improve morale, and most solutions fail.
While the available research is useful, it encapsulates issues denoting immediate change. The primary challenges are that in order to change results, beliefs must change, and further change can result from an event such as training or a workshop. Organizations, employees, and notably behavior will not change with one program. Changing beliefs requires a process. This helps stimulate attitudes and beliefs. When organizations develop a process methodology, silos decrease, productivity increases, and morale improves.
During our 15 years of research with hundreds of small and multinational organizations and business leaders, we find a lack of process. We believe that business functions similar to athletics; they both require commitment, energy, and practice. Leaders must take new processes, allocate accountability and time, and apply process principles. We developed PRACTICE to assist leadership deployment.
P – Personnel Comes First
The vital asset of any organization is an employee. Internal stakeholders are the nucleus of organizational function and production. Loyal core provides results and profits. Leaders must acquire, develop, and communicate to the core. Organizational culture exemplifies employee assets. Personnel retention and morale are higher when culture focuses on employees. Loyal employees like loyal clients assist in profitability.
R – Relationships with key Stakeholders
A study by the Corporate Leadership Council reveals the tremendous impact managers have on an employee’s level of commitment. It is imperative to note that individuals do not leave companies – they leave poor managers. Failure to build inter-office and departmental relationships contributes to negative morale. Research shows that taking time to build relationships with employees through personal interaction is a key step for high morale. Employees need to feel trust and respect.
A – Attentiveness to Strategy
Many leaders pay many large consulting firms, exorbitant fees for strategy. The only problem, the research remains in an office bin or shelf. The problem with strategy is two-fold, 1) executives that do not understand or believe it and 2) a failure to communicate the strategy to all organizational stakeholders. Strategy cannot sit on a shelf. Similar to blood through veins, strategy must produce within all functional levels. Failure to communicate speed, direction, and fuel consumption eventually leads to a tragic crash or a lost vehicle.
C – Communication Essentials
Research into leadership illustrates an interesting correlation with famous and egregious leaders. Ironically, both groups exemplify superfluous oratory. Leaders understand the need to communicate. Announcements good or bad provide feedback required by employees to understand purpose and direction. A failure to communicate is a failure to lead.
T – Talent Acquisition
1. Start with the right people. No firm we work with ever hires on a proactive basis. Most firms conduct employment searches reactively. Seek employees that fit with the organizational culture and with the obligatory skills. Never wait!
2. Hire for skill – Talent is innate. Organizations hire for personality and behavior first and skill second. Skill is not interchangeable, behavior is. A great hire might have a wonderful temperament and lack the skill to plug a socket into an outlet. I recall a five star hotel that hired another level of housekeeping to repair floors. Hire the right people for the right job and lower costs.
3. Look at best practices from best people – Management focuses on “fixing those that cannot” rather than “improving those that can”. Icons of performance exist in your organization. Discover what they do right and encourage others to emulate it.
4. Passion – In the 1980’s Sylvester Stallone appeared again as Rocky this time with a theme, “Eye of the Tiger”. What a great metaphor for valuable talent. Seek to acquire talent that truly loves work.
I – Investments in Assets
Investment in the number one asset- people is vital. Never terminate training when results lower, rather increase them. The time for improvement is when things need improvement not when they are working well.
C – Cultural Strategies
Leaders develop the culture and those that do, have skin in the game. Apple UPS, Southwest, and many others illustrate an uncompromising need to serve clients and treat employees well. Develop cultures that strive for greatness not adversity.
E – Evolving with the Enigma
Organizations are enigmas just when you gain a resolution they change. Organizations must be open to and flexible with change. However, doing so requires critical, consistent, and collaborative analysis. Obtain a team that provides honest feedback, timeliness, and insight.
Similar to the athlete striving for perfection, leaders too must practice to alleviate imperfections. The best leaders constantly evaluate, seek success, and adopt new methods of improvement.
© 2008. Drew J. Stevens. All rights reserved.
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October 8th, 2008 admin
I just completed my morning coffee and dose of Wall Street Journal when I read that AIG the world’s largest insurer, spent $440,000 on a posh California retreat for its executives, complete with spa treatments, banquets and golf outings, the expense-spent days after a massive billion-dollar bail out. These egregious individuals used money-borrowed money for an annual sales feast.
Not only is there issue with the timing of the event, but also once again, we take issue with leaders that lacking critical thinking, empathy, and humility. While many pundits find concern with interest rates and liquidity, the true issues lie in the leadership of many banking and credit institutions. The avaricious leadership of many organizations operates in a callous vacuum with little concern for its most vital assets- employees and customers. The items binding these assets to leaders are trust and respect, which appear to feverishly diminish. The problem with many of these leaders is creating a Darwinian environment. It is difficult to question the morale and productivity issue when so many leaders are narcissists and employees abhor their leaders.
Fortunately, there is a microcosm of these leaders. Many others understand the value of the employee and the mantra of customer first. Curiously, what is it that separates quirkiness from exemplary? We believe it comes down to six basic premises.
Exemplars. It seems ages ago, but leaders once were within organization. Names such as Iacocca, Lincoln, Ford, etc, were associated with pragmatism and trust. Very few leaders allow innovation, collaboration and excel at organizational communication. Present leader must illustrate vision and value. They need to say what they mean and mean what they say. When more leadership personifies with names such as Jobs, Kelleher and Barrett, the trust factor will return.
Accountabliity. Our firm speaks of this much simply because there is not enough. Leadership simply does not hold individuals accountable. In addition, current boards of directors do not hold leaders accountable. Ethically – speaking boards and their directors continue morale corruption stemming from perennial relationships. These must terminate. Boards must develop from strangers and stakeholders that desire organizational best interests. Further, boards and executives must be accountable. Our research with Power Managing Resources illustrates the need for leaders to be accountable. Rather than pacify with bonuses, and options, underperforming leaders must amend or terminate.
Action. Similar to issues of accountability, organizations must require timetables and action steps. Employees and executives bemoan work. We often hear how occupied individuals are. We constantly hear of the complaints related to massive workload. However, statistics show that workload relates to procrastination. If organizations are so busy individuals would not have time for cigarette breaks, lunch or in the case of AIG spa outings.
Ethics. Where are the ethics in organization? After the debacle of Enron and World Com, Congress developed the Sarbanes-Oxley Act to protect against flagrant behavior. Organizations cannot provide an ethics assessment for each leader, but clearly, organizations with issues lack leaders with integrity. When Boards of Directors place more checks and balances on the leadership, perhaps there is a return to normalcy. You might consider our workshops to aid your issues.
Communication. Where is the feedback in organizations? Leaders must provide consistent and constant communication. A study by the Corporate Leadership Council in 2003 reveals leaders have a tremendous impact on an employee’s level of commitment, of which 70% is relationship. If communication is the core of any relationship, leaders cannot overlook the most vital tool. If leaders are too absorbed begin leaders, perhaps it is time for a change.
Trust and Respect. When leaders lose trust, they lose everything. We use an exercise in our workshops comparing good and bad leaders. The core or each is charisma and trust. Followers that trust leaders, do anything for them. Review history for great examples, from Attila the Hun, to Hitler to Saddam Hussein; the respective followers right or wrong, place all their faith because of trust. Similar to communication, trust is the core of great leadership.
There is a ferocious wind blowing at Wall and Main Street, a wind so fierce that it resembles a horrific tornado. So quick are the winds that corporations struggle at times to secure their foundations. These are the winds of change. There is change is financial markets, change in credit markets, change in demographics and changes in trust. The winds will disperse when leaders lead, become compassionate, and enliven trust. Until then, the winds will constantly blow from rage, suspicion, and avarice. Leaders help the meteorologist forecast better days ahead.
2008. Drew Stevens. Ph.D. All rights reserved.
Posted in Leadership, leadership development | Comments Off
October 3rd, 2008 admin
A recent book from Lee Iacocca reminds me of the issues pertaining to leadership in America today. In his, book “Where have all the Leaders Gone? Mr. Iacocca reminds us of the ethical issues inherent in our system and challenges leaders to make amends. Greed and narcissism take hold in our society and change must follow. Leaders today use too many freedoms that create too much separation from the employees.
I recently rang off with a client who indicates to me required cost cutting given today’s economic upheaval. Items such as cup sizes; pens, pencils, space allocation etc are all under review. Yet most interesting executive bonuses, salaries, and benefits remain. Leaders today must be examples not narcissists. Being a leader requires being an example to all not one above the rest.
In the late 90’s, Colin Powell provided insight on a book on leadership in which he states, “Being responsible sometimes means pissing people off”. Agreed, but leadership is about trust and respect, little exists when employees are continually annoyed. Attrition increases and morale too. When productivity lacks, who really must be accountable?
Leaders today must constantly strive to challenge the employees and the system. The “aint broke don’t fix it” rule is not longer applicable. The days of the status quo ended and individuals and the culture as a whole must change to remain competitive.
Leaders need to act in harmony with employees and ensure equal treatment of all. Cultures where this practice occurs frequently include McDonalds, Fed Ex and UPS where employees and management are one. Why is it that some leaders build a culture of enthusiasm and energy and others self-fulfillment? Herb Kelleher, Steve Jobs, and others all exist to build a culture based on output to the employee and customer. Businesses suffer when leadership exists in a chasm. Businesses must emphasize focus for the customer.
Finally, leadership requires oversight and there exists little. Oversight committees and boards must help leaders change methods. Avarice does not assist stakeholder’s only self. Metaphorically, leaders must regain their site on the ball and stop stranding stakeholders and employees in sand traps. Organizational life is not an individual sport, it requires, moxie, persistence and a team effort.
2008. Drew J. Stevens All rights reserved.
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September 26th, 2008 admin
Emerson states, “Nothing great was ever achieved without enthusiasm”. A majority of the issues related to worker productivity stem from enthusiasm or the lack thereof. Individuals simply go to work despite their abhorrence of their employer, the monotony, and the products. There is no passion or pride.
Much of this issue stems from practices embedded within an organizational culture affecting morale and productivity. These include:
• Leadership not serving as exemplars – some leaders today are narcissists, demeaning and ruthless. More importantly, leaders’ salaries can exceed employee pay by 425 times the average worker. Leaders need to act in harmony with employees and enure equal treatment of all. Cultures where this practice occurs frequently include McDonalds, Fed Ex and UPS where employees and management are one.
• Little or no accountability – The United States economic system is currently in financial turmoil and no one is accountable. Employees need to know that mistakes may count for learning but criminals are punished for repeat offenses.
• Career planning and succession planning is null – simply put there is no succession planning. Most CEOs and senior managers join an organization from competitive industries and companies. Whatever happened to the mailroom climb?
• Too many silos and departmental infighting – Companies are in business for one reason- to create clients. End the infighting and focus on the most vital asset!When the fighting ends (and everybody understands their reason for being employed) perhaps harmony arrives.
Causes of low morale correlate to the organization, its culture, and its management. After 25 years of research in this area, we find five factors contributing to organizational morale. A study by the Corporate Leadership Council revealsthe tremendous impact managers have on an employee’s level of commitment. It is imperative to note that individuals do not leave companies – they leave poor managers. Organizational mis-management contributes to negative morale. As recent as 2006 the Gallup Organization estimated there were 32 million actively disengaged employees costing the American economy up to $350 billion per year in lost productivity. Such loss includes absenteeism, tardiness, and poor work.
To dilute the productivity impact, research shows that taking time to build relationships with employees through personal interaction, is a key step managers can take to keep morale high. Employees need to feel trust and respect from their managers. Employees desire feedback from management to understand their work matters.
Ending the morale issue is not easy but there are cures.
1. Begin with talent acquisition – Start with the right people. No firm we work with ever hires on a proactive basis. Most firms conduct employment searches reactively. Seek employees that fit with the organizational culture and with the obligatory skills. Never wait!
2. Hire for skill – Talent is innate. Organizations hire for personality and behavior first and skill second. Skill is not interchangeable, behavior is. A great hire might have a wonderful temperament and lack the skill to plug a socket into an outlet. I recall a five star hotel that sought advice to correct housekeeping flaws. After five minutes, it was easy enough to terminate staff and find those without flaws.
3. Look at best practices from best people – Management focuses on “fixing those that cannot” rather than “improving those that can”. Icons of performance exist in your organization. Discover what they do right and encourage others to emulate it.
4. Passion – In the 1980’s Sylvester Stallone appeared again as Rocky this time with a theme, “Eye of the Tiger”. What a great metaphor for valuable talent. Seek to acquire talent that truly loves work. Passion too is innate. Employees must love what they do and how they do it. When passion is high so too is morale.
5. Focus on the Customer – Managers, the organization, and the employees must vehemently focus on the customer. Remember Winnie the Pooh, try finding Eeyore amongst staff at Disney; Southwest Airlines and FedEx, all intensely focus on servicing the client.
Lastly, managers must constantly strive to provide feedback to employees. Feedback is not an annual performance review event. It is imperative that daily communication exists for good information and improvement. Coaching, counseling, and mentoring are components of organizational morale. In addition, many attend church and hear the words, “It is right to give thanks and praise”. Many watch professional sports and view coaches coddling athletes. We can learn something here; simple words of thanks and praise constantly improve morale and employee relationships.
Finally, the first item terminated during economic volatility is training. Research finds that employees are assets and require that treatment. Never stop training; this improves productivity and morale at all times.
Issues of low morale and productivity are onerous, volatile, and difficult to control. There is a need for management, the organization, and the individual to assist with success factors. Much is dependent on the desire to change; methods chosen and consistent follow through. However, if you do nothing you still have a morale issue. Take the time, seek remedies, and keep morale high. Doing so, lowers attrition, improves productivity, increases profitability and most importantly- reduces stress.
© 2008. Drew J. Stevens Ph.D. All rights reserved.
Posted in Drew Stevens PhD, Leadership, business development | Comments Off
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