Here’s a statistic that’s a bit difficult for me to wrap my head around: in July, 4,000,000 people quit their jobs! By the end of July, there were almost 11,000,000 jobs open — an all-time record, according to Harvard Business Review.
As I talk with entrepreneurs and leaders of large corporations, all are singing a similar tune: “It’s tough — almost impossible — to find and keep great people.”
Since the Great Recession of 2008, you have likely been hearing about the “skills gap.” That is, “there aren’t enough trained workers with skills needed to fill open jobs at a time when a record number of them are going unfilled.” But it does not stop there. We hear from constant news reports and analysis about the “Great Resignation” — a tsunami of employees walking away from their employment. It’s a critical challenge for every business, regardless of size.
In the book “Why People Resign: The Great Resignation and What to Do About It,” author Robert Bacal states that his research found eight principal reasons why people quit their jobs. A few of the reasons he discovered were that employees were resigning due to:
lack of appreciation
being under-challenged or overly challenged at work
being paid less than their colleagues.
Bacal’s research discovered that when employees quit, it has much more to do with the overall employment experience than simple matters like salary.
For many years, I’ve been writing and speaking about the customer experience — always pointing out that we need to be equally concerned about the experiences that our internal customers (often called “employees” or “team members”) are having and not focus solely on external customers who buy our products and services.
In my first business book, “ALL Business is Show Business!” over twenty years ago, I wrote:
“The purpose of any business is to profitably create experiences so compelling that loyalty becomes assured.”
Many would read that sentence as advocating an Ultimate Customer Experience® for those who purchase from us — and it does!
However, it’s also to state the superior importance of delivering an extraordinary experience for internal customers, as well — so their loyalty becomes the result of our efforts.
It’s amazing to me that if an employee quits, walks out of the building, and tries to leave with the company computer she has used during her employment, the manager would call the cops and have her arrested for theft. That same employee, however, can walk out with customer relationships, knowledge of the business, and recipient of an extensive investment in training and education from the company…and most managers just shrug and say, “That’s the way business works today!”
I promise you that it’s more likely their knowledge and relationships are significantly more important to your business than their company laptop!
Yet, you would never know that, because the vast majority of managers are blind to this. Some even think all employees are interchangeable. If they can’t find a good replacement from within, then they just hire from the outside without much thought or consideration for what is really going on.
(By the way — do you know your turnover rate? Do you know the primary reasons that people are leaving your employment? Have you done a bit of research to discover why great candidates aren’t accepting your job offers? Until you take these steps, you probably aren’t going to solve your employment problems.)
The reasons for this are many, but several sources report that the most common reasons people quit their jobs are:
The work is not engaging.
Leadership doesn’t care about employees.
There are no opportunities to advance or grow.
I don’t feel valued by my employer.
(You can probably think of more. But, please note, salary is not among the primary reasons that people quit.)
You probably have an acquisition strategy for customers — in other words, you’ve planned out how you are going to attract new customers for your business.
You have one for external customers…how you’re going to get paying customers away from your competition and over to your side; and you probably have a recruitment approach for new employees, as well.
The problem is that today’s marketplace requires a retention strategy that is engineered with as much passion and precision as your acquisition strategy. What is your detailed plan to keep the customers you have — both internal and external?
In this time where people feel little reticence about quitting a job, planning a distinctive retention strategy for your internal customers may be one of the most profitable steps you make this year.
Want to obtain and retain your customers — both internal and external? You’ll discover how when you join the Iconic Inner Circle. There’s zero risk — your first month is free and you can cancel anytime. Check it out: https://IconicInnercircle.com
No matter the size of the business, every entrepreneur seeks to build a foundation that will allow growth to happen. All entrepreneurs dream of success for themselves and their families, and hope to attract employees who will help them grow.
However, there are three common mistakes entrepreneurs make with their businesses. Certainly, all three can be corrected — if you know what those mistakes are. And the entrepreneur who understands these common mistakes will be ahead of the game — hopefully she or he will not make them in the first place!
First Mistake: Not building a solid foundation for growth
All entrepreneurs start small businesses and frequently use their personal credit cards and bank accounts to finance their operations in the beginning. But when capital begins to run low, the entrepreneur either must figure out how to raise more money — or cut back on their growth plans. Often, cash flow challenges are the entrepreneur’s worst nightmare.
Desperation is never something you want your customers or employees to perceive about your business. Businesses that are not capitalized correctly do not grow past the entrepreneur’s four walls. An entrepreneur who does not build a solid foundation early on is doomed to stay small — and often they merely hope to remain afloat.
Second Mistake: The entrepreneur’s attention is divided
When too many responsibilities are given to one person, there is no longer an entrepreneur at all! The entrepreneur can and should make the primary decisions. However, there are only so many hours in a day and only so much attention one entrepreneur can give to their business.
The entrepreneur must develop a team of professionals with strengths that complement his or her weaknesses. This doesn’t mean you must have a cadre of full-time employees!
Acquire people for your team who are better at the aspects where you need help. For some, that means you hire a part-time or freelance bookkeeper. For others, you may need accomplished sales professionals. Whatever it is for your individual situation, your business gets better when your team gets better. You cannot do it all.
Third Mistake: The entrepreneur is too isolated
Many times, entrepreneurs are guilty of not doing sufficient market research. This mistake often results in the entrepreneur starting a business with little or no customer interest — resulting in wasted time, money, and effort.
It is extremely important for entrepreneurs to have knowledge of their potential customers before they put substantial work into making their product or service available for purchase. It means you put people (customers and team members) ahead of products and services — and you listen to those who work for you and purchase from you.
It is vital to be flexible. There are few things more frustrating for consumers than the entrepreneur who refuses to adapt the product or service after receiving valid customer input. This may mean temporarily shelving a pet project that isn’t moving forward, or adjusting your business model so it better fits your customers’ needs. And remember, what people say matters to you and your business.
However, a word of warning here: the entrepreneur must be careful not to let a customer’s suggestion change a product or service into something it was never intended to be!
It is vital that entrepreneurs stay focused on what they are trying to accomplish, while also considering what their customers are saying. You should embrace constructive criticism from customers and employees.
However, be careful not to let it take the place of your original vision. There’s likely a compelling reason you chose to do what you’re doing. Most often, feedback helps us make mid-course corrections — but it usually shouldn’t move us to change our destination.
When you take care of these three mistakes, you are well on your way to entrepreneurial success — and creating distinction in a hyper-competitive marketplace!
We discuss this entrepreneurial success in detail – and provide specific strategies for you to enhance your ability to obtain and retain customers – in our Iconic Inner Circle.
No one wakes up in the morning and says, “Today, I will be a horrible boss!” Everyone, however, has a story that relates to a terrible experience with an inferior manager.
What makes a “bad” boss?
Asking this question on Quora.com, one user said, “a bad boss is someone who does not know how to lead, motivate and bring the best out of others.” Another person wrote, “A bad manager is one that doesn’t care about their team or company.” A third person recalled, “When I was in high school, my tennis coach would always yell at me for every little thing and put me down when things went wrong.”
My worst manager experience was in my teenage years when my boss came into the radio station and pointed a gun at me! (He was drunk at the time, which is an entirely different conversation!) He was so strict and controlling, I never knew when he would flip out about something. He wanted things done his way or not at all — which is simply an impossible standard to meet!
A poor manager can be one who micromanages every aspect of the workday; someone who doesn’t communicate in ways employees understand, or constantly going over their heads, or even someone with no respect for their subordinates whatsoever. Basically, a horrible boss is anyone who makes you dread going into work each day. (If this sounds familiar, it might be time to update your resume!)
What do all these have in common? They are terrible management experiences!
Let’s explore what makes a “bad” boss through examples from other people’s lives.
· So, what makes for a “bad boss”?
Is it someone who is “bossy” and “demanding”? Or, “stupid”, “arrogant”, or “boring?”
Many people think the first way to be a bad boss is by being a bad person. That’s not accurate! You don’t have to hate your employees to be considered a bad manager. There are many reasons why managers can fail — and many of them have nothing to do with personality!
· Let’s flip the script with this question: What makes an effective leader?
I believe there are three keys:
1. Communication
2. Motivation/reward systems
3. Satisfaction
When managers lack these skills, they display the qualities of a terrible boss, making their employees miserable (or worse!)
Communication: an essential characteristic of any good manager! When a manager is communicative and collaborative, employees have an opportunity to “speak up” when there are problems — rather than having them fester.
Motivation: this might be the most crucial part of being an effective leader; after all, who wants to work for someone that fails to inspire greater performance? If you treat your employees with respect and reward their hard work, they will feel valued — making them a happy team!
Satisfaction: when the team and the manager are satisfied, it leads to happier customers in the long run. Employee satisfaction and engagement should be the ultimate goal of any good manager.
Leadership skills will make or break how successful you are as a manager. Bad managers often lack these three critical traits because it’s not easy to manage people…but without these qualities, how can you expect outstanding results from your team?
These skills will also help create career opportunities for employees of all types, from entry to executive levels. This means you will attract top talent because they want to work for and with you because of what can happen for them down the road if they do!
What’s important is setting high expectations that show trust in individuals, while providing them clear direction about the goals they need to achieve. Empowering people requires hiring talented managers.
Remember — today’s employee typically does not quit on the organization…they quit on their manager!
In a time of great challenges in finding skilled prospective employees in a competitive hiring environment, it’s probably never been more critical to have superior managers in your company.
Superb management is about creating a culture where employees are happy and know what they’re supposed to do daily. When this happens, you have excellent teams who feel valued for all the efforts they put in on behalf of your organization. Productivity and profits improve — and you’re well on your way to creating distinction!
If you’d like more information on how to lead more productive teams, join our ICONIC Inner Circle. There is no risk — your first month to check it out is on me! Simply go to: https://IconicInnerCircle.com for all the information on how you can create distinction and become ICONIC!
“Start with why” is a philosophy widely popular in business today. There’s no doubt that knowing your “why” is an excellent motivational tool.
The problem is…customers don’t buy our “why.”
Customers buy our how.
Think about a recent purchase — anything from an extensive B2B investment to something as varied in B2C as fast food or a laptop. If the product or service failed to perform as promised, did you give the company or its representative a pass because they possess a compelling “why”?
Would any customer ever say, “Gosh, this hamburger tastes terrible! But I can’t wait to go back and buy another one because their ‘why’ is so fantastic!” Of course not! Their “why” will never overcome their inability to distinctively deliver what we have purchased.
Customers will never be interested in discovering our why until they are thrilled with our how!
It seems to me that reviewing an organizational or professional “why” is something akin to the cliché that “hindsight is 20/20.”
Isn’t it intriguing that we talk about the wildly successful companies and point out their “why,” yet frequently ignore the “why” of those who failed to achieve distinction? (Or authors “cherry pick” companies and retrofit a “why” statement to create an example that will fit their purposes…)
I’ll promise there are some companies – and individuals – who have failed, despite having a sincere and compelling “why.”
There is a fundamental reason this is the case – the “why” is not why they buy.
Telling customers the reasons why you should be their preferred option is a necessary part of any successful marketing strategy, but it’s just one piece in the puzzle. The real challenge lies in helping them understand how you deliver a solution to their situation in a manner that is so remarkable that they choose you instead of the alternatives in the marketplace.
Please don’t misunderstand — if your “why” motivates you to dig deeper in delivering for customers, it’s a critical tool to help you succeed. A why can be a great motivator, but it’s just that — motivation to commit to delivering for your customers.
However, if you’re the type who contemplates their “why” and merely leaves it on paper or prints it on motivational posters – or believes your “why” will attract and retain customers – without delivering a strong how, then your business is in trouble.
The how is what customers want and need from you.
If you aren’t illuminating for your prospects the unique reasons they should acquire your product or service – and if you aren’t developing repeat and referral business from the customers you already have — then there must be something missing with how you’re delivering.
Focus on improving your “how” — how you deliver, how you serve, how you enhance their experiences. Break it down and improve your delivery at every step along the way.
We discuss this phenomenon in detail – and provide specific strategies for you to enhance your ability to obtain and retain customers – in our Iconic Inner Circle. I’d love for you to check it out – your first month is FREE! Simply go to: https://IconicInnerCircle.com
This is a statement that I believe is true — and it’s one reason why employees have such a hard time with change. If you want to create distinction for your organization and yourself, you must be able to leverage change to your advantage.
Let’s face it, it’s not just an employee’s job description open to change in today’s marketplace — it’s also the company culture, coworkers’ personalities — and as we’ve witnessed during the pandemic, even their commute that can be altered. All of these (and more) are causing challenges for your team members.
Change is tough on all of us – especially when it comes in waves as it has recently. Let’s discuss how you can manage change and engage employees, so you can stand out from your competition.
The first key to managing change is preparation.
When employees know what’s coming, they can brace themselves psychologically for the changes that are about to take place.
Step one, make sure you’ve provided broad insight into what is changing — and why — before you announce any specific alterations, reassignments, or reorganization. This will help ensure they’re fully engaged with what will be different in their day-to-day work lives.
Next, provide training or education on how to do things differently so that people are ready when the transition starts. People react positively more often if they know what “better” or “different” looks like.
Finally, try not to overwhelm employees with too much information immediately; instead of announcing every new approach all at once, present one new directive each week or month. This will give you time for preparatory measures while maintaining employee morale.
Second, change should be highly visible and communicated in a way that speaks to different personality types on your team.
From status quo-oriented personalities who fear the loss of power or influence, to people-oriented individuals who want information so they can make more in-person and virtual connections with their coworkers, organizational leaders must provide clear direction for all types of people.
It helps your team feel more secure — even if they’re not happy with the news.
Third, don’t just provide facts, figures, dates, and quotas. Tell a story.
Narrative engages both the heart and the head. You need to craft a story about why the change is coming and how it can be beneficial.
Story also makes it easier for your team to remember the changes and relate them throughout the organization. If you merely give them data and rules, they will probably simply “copy and paste” rather than communicate the story of the changes you’re making in a manner that’s positive and compelling.
(If you need help with this, my course on creating and delivering a “Distinctive Story” is available to members of the Iconic Inner Circle. AND your first month is FREE, cancel anytime — meaning you can take the “Story” course as you try out the Iconic Inner Circle program with no obligation! https://IconicInnerCircle.com)
Remember:
When you’re managing change, it’s important to communicate clearly with your team. Let them know why the change is happening and how they can prepare for it. Workers will feel more secure if they understand what is going on — even when their emotions may not align with that understanding.
Take some time before you announce any changes so employees have an opportunity to ask questions and adjust.
Don’t just give facts, figures, dates, and quotas; tell a story about why the change is coming and how this change could be beneficial for everybody involved! Narrative engages people both emotionally as well as intellectually.
As Dr. C. Carey Yang wrote, “Change is inevitable, suffering is optional.” If you follow these steps on dealing with change on your path to creating distinction, you will increase your odds of celebration rather than sorrow.
Distinction is not merely organizational–it’s individual, as well!
Leaders must know how to set the pace, not only through their words, but also through their actions. They must make a difference, and they must be congruent. That is likely why individuals with the ability to distinguish themselves are so rare.
The distinction we all strive for is the ability to make a significant difference — and the best way to do this is through leadership. This is the type of leadership that starts with oneself.
Distinctive leadership can be summarized by the consistent application of these three primary principles:
knowing what you stand for
being committed to your purpose/ideals
doing what you said you would do
An individual who can distinguish themselves can take their leadership skills and apply them in both a professional capacity as well as an everyday life. When leaders display these three qualities, distinction becomes not solely organizational distinction, but also personal distinction.
There must be congruency between how that person lives daily and what they do on the job. When someone observes this individual (or any member of her team), they’ll recognize the distinction in action!
In addition, to create distinction, leaders need to:
have a clear vision for the future of your organization/team and how it will differentiate from other organizations;
find an internal passion that is aligned with leadership skills and apply this in both professional and personal life situations;
create congruency between these two areas so there’s no separation between private and public lives.
We recently witnessed the resignation of a globally recognized CEO – not related to his specific job performance, but due to drunken behavior at a party. Distinctive leaders understand that everything they do – personally and professionally – matters. Distinctive leaders ensure that what they do at work aligns with who they are as people. They live daily like their job depends on it…because sometimes it does!
Distinction needs to start within – not merely organizationally, but individually too! In other words, all distinction starts with YOU!
