Achieving Business Excellence with John Spence

Two Powerful Interviewing Questions

Here is a link to the book I recommended in the video: Who – by Geoff Smart

How to Get the Best Talent for Your Company

The last video I posted was on the importance of having top talent in your organization (here is a link). I got a great follow-up question from my friend Brandon West the owner of PHOS Creative (the company that does our digital marketing) asking: “Do you have any resources that would be helpful to us in starting a stronger recruitment initiative? Sites, books, tools, contacts, etc.” Instead of writing him a long email, I decided to just shoot this video with my best ideas on how to find, hire and retain top talent.

Please send me any business or leadership questions you have and I’ll be happy to shoot a video with my best ideas and suggestions.

I hope you will share this video with your network. Thanks so much – John

 

Here is the book I talked about from Geoff Smart and Randy Street – I very highly recommend it.

A very important question…

Which Should Come First? The Employee or the Customer?

A few weeks ago I posted a guest video from my good friend Joe Calloway, so that I could introduce him to all of you that did not know about his fantastic work. He sent a great video on leadership and disruption. (Click here to watch that video). The video was so well received that I decided to reach out to several of my very favorite authors and ask them to contribute. Today I am extremely pleased to introduce you to Dr. Joseph Michelli, who I would consider the world’s leading expert on customer service/customer experience. Joseph has written several amazing books including “The Starbucks Experience” and “The New Gold Standard” (about the Ritz Carlton). His newest book is called “Driven to Delight” and it looks at how Mercedes Benz catapulted the company to first place rankings in national customer satisfaction studies while at the same time growing sales and profits. ALL of his book have valuable insights that can help any business improve their customer service, satisfaction and loyalty. In this blog Joseph answers a question I get a lot too; Is it customer first or employee first? I will give you my opinion at the end of the blog, but first, here is what Joseph has to say…

Which Should Come First? The Employee or the Customer?

from Joseph Michelli

Ok, I admit the issue of employee versus customer primacy falls into the category of   unanswerable debates such as which came first the chicken or the egg. That said, many leaders continue to articulate a mantra that either the customer or the employee “comes first.”

While I personally like to side-step this looping debate by suggesting that “all business is personal,” and that personal connections must be formed with the people we call employees in order for those people to profit and serve other people we call customers or shareholders, I am convinced greater leaders have a penchant for forming meaningful personal connections at all levels of an organization.

The experiences on which I’ve come to concluded the importance of “interpersonal engagement” stems from my work with and the books I have written about companies like the Pike Place Fish Market, Zappos, The Ritz-Carlton Hotel Company, Starbucks, and UCLA Health Systems. Here are a few lessons and tools I’ve picked up along the way by watching the consistent care afforded by leaders in these organizations:

1) Employee Engagement Drives Customer Engagement.

While a causal relationship would be difficult to prove, strong correlations exist between employee engagement and customer engagement. As such, leaders in “world class” service organizations measure and actively seek to drive employee and customer connections. Ultimately these leaders seek to have employees who feel their opinions matter, are recognized for work that is well done, are provided opportunities to work and grow and to function in a community environment where employees experience autonomy, mastery, and purposefulness.

2) Customer Engagement Drives Loyalty and Advocacy.

Customer satisfaction does not ensure customer loyalty. In fact, satisfaction alone leaves your customers a coupon away from trying a competitor. As such, great leaders and business owners seek to instill a culture of service excellence through a clear delineation of the optimal customer experience (operationally and emotionally), and by constant discussions of core service values, as well as an emphasis on the overarching purpose of the business. These leaders collect stories of service excellence and link them back to the desired optimal customer experience and to their companies mission, vision, and values

3) Business must be transacted for high efficiency but filtered through the lens of humanity. In my book Leading the Starbucks Way, I share a conversation I had with the company’s CEO Howard Schultz in which he demonstrates this point best, “Take love, humanity, and humility and then place it against a performance driven organization; these are in conflict to the naked eye but …we have become more performance driven than at any other time in our history and the values of the company are at a high level. If we can infuse love, humanity, and humility on a global basis and build it into a performance-driven organization, we are unbeatable.”

So rather than trying to craft a catchy slogan like the customer is king or queen, or the employee is number one, how about redoubling efforts to drive the engagement of both customers and employees while fueling a high-performance organization in which leaders makes decisions through the lens of humanity? That seems like an unbeatable combination to me, how about to you?

 

From John: I agree with Joseph in large part, but I will sum-up my thoughts with one Awesomely Simple phrase…

The customer’s experience will never exceed the employee’s experience.

I hope you found this helpful, if so, please share it with your network. Thanks so much – John

 

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Three Key Leadership Ideas

Humanity and the Machine: Where Are We Going? CoreNet Global NZ’s 2017 Symposium line-up

Thursday 18th May

Shed 10, Queens Wharf, Auckland

The theme of this year’s Symposium will tackle how technology can benefit humankind in the workplace and how we need to adapt to ensure it doesn’t render us obsolete.

In what promises to be the best CoreNet Symposium yet, we have assembled a truly world class ensemble of speakers.

Our morning speakers include:

László Varga from Stanford University, he’s delivered some of the most innovative and well-known workspaces in the US and Europe

Per Håkansson of Makerminds Inc. will share his inspirational approach to technology and how he helps organisations to thrive in the digital age

 Chris Lunny and John Tenanes from Facebook will talk to us about how they’re using technology within corporate real estate and changing the real estate landscape

Dr. Catherine Ball is one the world’s foremost authorities on drone technology and will share the ways she helps people and organisations to embrace disruptive technology.

The afternoon session will also be an action packed affair with exciting events and speakers:

Newshub’s Sacha McNeil will interview the morning’s speakers and take questions from the audience

Workplace design expert Oliver Marlow from Studio Tilt in London will give a talk that challenges you to reflect on how your own work environment can be more effective and innovative

Five Kiwi companies that are thriving in the digital age will share what they’re doing with technology in a session that will put everything into a local perspective

Bringing everything together and closing out the Symposium is John Spence – one of the top business thought leaders in the world and an expert in leading organisations through disruptive technological change

Come along to the Symposium on Thursday 18th May, held at Shed 10 on Auckland’s Queens Wharf.

Click here to see the full line-up or click here to register.

This Determines the Future Success of Your Business…

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As I look back across two decades of working with companies around the world, there are a few key ideas that I think are fundamental to business success, here is one of them:

 

The success of your business is directly tied to the quality of the people that you can get, grow and keep on your team – and the relationships they create with your customers.

I have yet to meet a single business leader that does not strongly agree with this idea, however I see a lot of businesses where they do not actually live this idea. Today I want to talk about the growth and development of top talent.

Once you get somebody on your team, there is absolutely no excuse for not investing time, energy and money in helping that person continuously improve.

Frankly, I believe this is the single most important investment you can make in your company, because without highly talented people who are steadily getting better and better, you have no chance of making your company better and better. I also write above that there is, “no excuse” because never in the history of humankind has there been more information available, much of it for free, to assist you in delivering world-class training to your people.

Here are just a few of the things that you should be doing:

  • Formal mentoring program
  • Creating a formal development plan for each employee
  • Creating an internal training department
  • Training classes taught by qualified outside instructors
  • Cross training
  • Benchmarking your training efforts against leading companies
  • Buying a copy of a book for each of your employees
  • Creating a lending library of top business books
  • Creating a lending library of training CDs
  • Getting your employees a membership to an audiobook service
  • Getting your employees a membership to a book summary service
  • Bringing in outside experts for a “lunch and learn”
  • Taking your employees to visit other companies
  • Sending out a newsletter with good information for your employees
  • Sending out a list of top podcasts they should be listening to
  • Sending out a list of YouTube videos they should watch
  • Investing in online/virtual training for your employees
  • Taking your employees to a major training seminar by an expert
  • Taking your employees to an industry event
  • Annual or semiannual company training conferences

These are just a few things that I came up with off the top of my head, I’m sure there are several more you could add to this list. But here is my point: if you are not doing all or most of this then you’re not truly serious about helping your people (and your company) to be as successful as possible. A good deal of what I have listed is absolutely free, much of it is very inexpensive, and only a few things require significant financial investment. But I can tell you this, not doing the things on this list is very, very expensive.

If you found value in this blog, I hope you will share it with your network.

***  I wanted to let you know about a very special event I will be participating in on March 12-14 at the Fairmont Banff Springs Hotel in the incredibly beautiful town of Banff, Canada. It will be an exclusive retreat for leaders of fast growth businesses who are looking to engage with other leaders in pursuit of higher levels of performance. We have done this event twice in the past and it has been a resounding success. If you’re interested, here is a link to learn more about the program, we would love to have you join us!

Click HERE to find out more

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The Big Trends From 2016

shutterstock_150443150I am sitting in my hotel room in San Diego taking in the view from the 16th floor. I’ve just delivered my last speech of the year, it was on advanced sales, teamwork and the future of work. This year I had the opportunity to work with clients in six countries, dozens of different industries, from small startups to the Fortune 10. Here are a few big trends that stuck out to me as I look back over 2016.

Communications: I have not worked for a company in my entire career that did not have some sort of communication challenges, but this year they seem to be even more prevalent. In business after business I encountered organizations which had trouble clearly communicating their vision and strategy for growth, their purpose and core values, and the critical information needed to keep their employees engaged and aligned.

The key to successfully overcoming this ever challenging issue is simply to over communicate using every channel available; one-on-one meetings, town halls, weekly meetings, email, social media, video… any way you can think of to share important information with your employees, vendors and customers. When you think you will get sick if you talk about the vision and strategy one more time, the lowest person in your organization just heard it for the very first time.

Execution: The lack of disciplined execution is the single biggest problem I see in companies around the world. I meet a lot of very smart people who develop unique and compelling strategic plans that would surely give them a strong competitive advantage, only to see them struggle mightily in taking their plans and turning them into results in the marketplace.

The key to successfully overcoming this challenge is to make sure you spend as much time building your execution plan as you do on creating the strategic plan. Your plan must have clear, specific, measurable and binary goals. As I often say: Ambiguity Breeds Mediocrity. For a strategic plan to be successful it MUST have extremely clear expectations of what is required, who is responsible, how the work is to be done and when it is due. Then, you have to have the discipline to consistently work the plan and make sure it stays at the forefront of everyone’s mind. I promise you this, if you could increase the effective execution of your strategy by just 10%, it would have a massive positive impact on the success of your organization. This was a major focus of my work for clients this year and I anticipate it will be again next year because even the best strategy in the world is useless without superb execution.

Technology: For the last several years people have been talking about the, “hyper-speed of technological change,” but I don’t think they really understood just how fast technology is actually changing and the mind-boggling impact is going to have on every business in just the next few years. A number of my clients have asked me to deliver speeches on the future of leadership and business, which has forced me to invest a large amount of my time into studying the various trends in emerging technologies. To name just a few; robotics, artificial intelligence, big data, Internet of Things, genetic decoding and recoding, synthetic medicine, virtual reality and augmented reality are all accelerating at a pace that will leave many, many companies and people completely unable to keep up. Even though I have devoured all of the information I can get my hands on, it is still exceedingly difficult for me to comprehend just how monumental the changes to our lives, businesses, communities, and the world will be in just the next decade.

The key to successfully dealing with this change is to dedicate a minimum of 10% of your time to studying all of the technologies that will potentially impact your business. I currently work with several clients who are directly connected to the auto industry and have challenged them that unless they become “experts” on autonomous cars and other forms of transportation technologies their business might not exist in 5 years. Let me make this Awesomely Simple: Learn or Die.

Talent: For many, (if not most) businesses, two of the only sustainable competitive advantages left are the quality of the people they can get, grow and keep on their team – and the relationships they create with their customers. This means that talent acquisition, talent development and talent retention should be a major strategic objective. However, I still see many companies tolerate mediocrity, do not invest sufficiently in training and development and have difficulty retaining their very best employees (the bad employees don’t want to leave because they know they can’t get a job anyplace else). The success of your business is directly determined by the talent on your team and creating a culture of engagement, customer focus, collaboration, accountability and disciplined execution.

The key to successfully overcoming this challenge is to make getting and keeping wildly talented people as a major focus of your business. Build a talent pipeline to ensure a steady stream of quality recruits, implement a focused and consistent interviewing process, create a robust onboarding system, develop a focused and intensive training program to take great people and make them even better, and have a career pathing program with mentoring, assessment, feedback and coaching to keep your top performers engaged and thinking long-term about their role in the company.

Sales Effectiveness: Nothing happens until somebody sells something. Let’s face it, all of the other stuff I’ve mentioned is useless if at the end of the day nobody buys anything from your company. Sales are the lifeblood of every business, or as Peter Drucker famously said, “The purpose of a business is to create and keep a customer.” Unfortunately, the vast majority of salespeople that I meet are NOT prepared for success. They have not had enough good quality training, they don’t have the right attitude, they don’t spend enough time investing in their own development, they don’t do their homework on their products and services and they don’t spend enough time asking superb questions and being an intense listener when they are in front of their customer. In other words, they waste their customers time, which is the single biggest complaint that executives have about dealing with salespeople.

The key to successfully overcoming this challenge is to be highly selective and targeted in who you hire as a salesperson and then ensure they get all of the training, support and resources they need to be successful in the field. Set clear and specific sales targets, coach and mentor for them for success, over-train them on both sales skills and product knowledge, and align their compensation plan to strongly encourage their full engagement and a strong desire to be successful in their sales efforts.

Leadership Development: I have been teaching leadership skills for nearly 25 years and I can say with great confidence that in the last few years the requirements for being an effective leader have actually changed quite a bit. Theory X, command-and-control and “do as I say not as I do” has not worked in a long time, yet I still see people trying to “lead” this way. Currently just over 50% of the workforce is made up of millennials with this number growing every day, and millennials definitely have a different way they want to be led. If you agree with me that talent is a critical element in building a successful company, then it is important to remember the single biggest reason millennials leave a company is poor leadership. Several research studies also show up to 50% of lost revenues are a direct result of ineffective leadership. Those numbers should be eye-opening to you.

The key to successfully overcoming this challenge is to understand everyone in your organization needs to be a leader. That begins with treating them like a leader, training them, supporting them and rewarding them for superior leadership skills. It also means having the courage to remove people from the team who are ineffective in leading in your organization. I’ve also stumbled across a new idea this year that I think is an important complement to creating great leaders: helping people to learn how to be great followers. Although everyone in your organization needs to be a great leader, they won’t be leading all the time, actually they are typically “following” a good amount of the time as well. So it is also essential to help people understand the importance of being a supportive, encouraging and productive follower.

There are other issues I came across during the last 12 months, but these are the major ones my clients specifically hired me to help them with. I hope my recommendations above will help you if any of these sound familiar.

I look forward to your feedback and comments, what have you been seeing?

Three Great Books and a Fantastic (Free) Sales Webinar

The Sales Webinar has already passed — it was earlier in the year.

 

Effective Followership

42BAF516-2E42-4C1D-B901-4F0B46E6DA09_t_4101-e1352134353644Earlier this year I was sitting in a restaurant in St. Louis reading an article in the Wall Street Journal and I had an epiphany. This is my 22nd year of traveling around the globe teaching a number of different business workshops including Advanced Leadership and in all that time I have never heard of a single company, nor met a single instructor, that taught a class on followership. How can this be? In order to have effective leaders you need effective followers. And everyone in the company has someone they have to follow, even the CEO has to report to the board of directors. I know that most people love to go to a leadership class because they want to think of themselves as leaders and aspire to be better leaders, but few people would get very excited about going to a followership class, even though being a good follower is a critical steppingstone to becoming a great leader. True to form, I immediately went to Amazon.com and bought every single book I could find on followership and have begun a quest to study this topic deeply so that I can create a program on how to be a superb follower. However, I decided yesterday when working with a fantastic client in Las Vegas, to test my idea. I explained to the audience of about 300 people what I have just explained above to you and heard a giant sigh from the crowd as they too realized they had never been taught how to be highly effective followers. To learn more, I broke the audience up into groups of 5 to 7 people and asked each group to develop a short list of what they felt were the most important things needed to be a great follower. I then asked several of the groups to share their list and here are some of the things they came up with:

  • Want to be there – be engaged
  • Be highly capable and competent
  • Support the vision
  • Know the vision, mission and goals of the company
  • Hold yourself highly accountable
  • Ask for help when needed
  • Work to support the leader and the team
  • Give loyalty – but not blind loyalty
  • Challenge the leader’s ideas when appropriate, but with respect
  • Be proactive, don’t wait to be told what to do
  • Have an ownership mentality

This is just a partial list of the feedback I got but it is extremely telling. Although a number of these correspond with the sort of answers I get when I ask about what it takes to be a leader that people would willingly follow, there is a portion of this list that is unique to being an excellent follower. Based on this feedback I am extremely excited to be building a new class on the elements of effective followership, and I would highly value any feedback or ideas you want to share with me as I research this topic and begin to build the new program.

What do you think it takes to be a great follower? I very much look forward to your ideas.

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