Customer Service Starts with “Hello.”

When asked what differentiates their businesses from giant competitors, most owners will describe their relationship with customers.

“We give better service.” “Our employees know our customers by name.” “We treat people as individuals.”

What constitutes excellent service differs by industry and region. I’ve lived for long periods on the east coast, in Southern California, and now in Texas. Common retail courtesy is distinctly different depending on your location.

In New Jersey, I’m sure that retail cashiers are trained to greet customers and thank them for their business. After a few thousand rebuffs, however, many sink into robotic recital, expecting neither an answer nor a reaction.

In Los Angeles, most cashiers will greet you with a cheery hello and ask how you are today. When a customer replies, they often appear to be at a loss. Apparently they have been trained to act friendly, but it doesn’t occur to them that it could actually result in dialogue.

In Texas it took me some time to understand appropriate check-out behavior. The cashier would greet me and ask how I was. Then she would stop. I belatedly realized that she was waiting for a response, which is what polite folks do in Texas when asked a question.

As the Great Recession trimmed revenues, many small businesses reduced employee head count. In some companies, the “Director of First Impressions” position was eliminated, and the job of greeting and answering phones shifted to someone else. In others, the position remained, but was expanded to include more administrative responsibilities.

swamped-receptionist-In too many cases, greeting strangers has become a lower priority than other assigned duties. I deal with many businesses, and in more than a few I’m not acknowledged by the person at the front desk until she has completed some other task. When I call on the phone, it often goes like this:

“Good Morning, ABC and Associates.”

“Good Morning. This is John Dini from The Alternative Board. Is Bob Johnson available?”

“I’ll have to check. Who did you say was calling?”

“John Dini from The Alternative Board.”

“And what is this regarding?”

“Mr. Johnson asked me to call and  follow up on a meeting we had last week.”

“Okay… What did you say your name was?”

“John Dini.”

“And what was your company?”

“The Alternative Board.”

“What’s that?”

“It’s an organization of business owners in which Bob is considering membership. Is he available?”

“I don’t know. From where I sit I can only transfer you to his extension.”

I wish I could say this is an extreme example, but it’s more of a daily occurrence. Even when I am calling a long-time client, this conversation can happen if the usual receptionist is absent or on a break.

Customer service is easy when someone is already a customer. In retail, that is a pretty good assumption when they walk in the door. In other industries a stranger may or may not be a prospect, a vendor or a referral source. Can you really afford to make every new interaction a crapshoot?

Anyone who comes into contact with outsiders at all should be trained in how you expect your business to be presented. Until your entire organization understands that a commitment to excellent service starts with “hello”, you may be missing out on potential business.

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Posted in Management, Thoughts and Opinions, Uncategorized | Tagged , , , , , , | 1 Comment

One Response to Customer Service Starts with “Hello.”

  1. candi says:

    Great article and so true!

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Size Means Nothing on the Web

A small manufacturer hires a local web development firm, and spends six months reworking his website. He agonizes over every word of the copy. He writes up product descriptions, detailing materials and tolerances. He adds page after page to the original project, as he develops line sheets, specs and usage instructions. He takes many of the product pictures himself. He fusses over the themes and colors. Many tasks that he performs in his business are delayed, because he is “working on the website.” Finally, he signs off on the whole thing and the site goes live.

The next day, a new European customer calls, asking for quotes on the largest single order he’s sold in five years. They began looking for a vendor that morning, and were impressed by the detailed, helpful information on his website.

A small distributor decided to invest in online cataloging for their customers. The software was expensive, and building the catalog with thousands of items took several years to complete. With no in-house IT staff, they were near surrender over the complexities several times, but they persevered. In the last two years, their business has grown by 50% as time sensitive (but not price sensitive) customers have “discovered” them as a local will-call source for items they were previously ordering…on the Internet.

Size means nothing on the web. Customers can only judge you by the professionalism and utility of your website. Many small business owners deliberately avoid investing in their websites. Their most frequent excuse is “Customers who buy on the ‘net are only looking for price.” That isn’t a new phenomenon. Businesses have been taking “How much do you get for…?” telephone calls for years. The Internet just allowed those people to price shop without long distance charges. (They were cheapskates to start with.)

price buyersShould you avoid the Internet because someone in East Oshgosh, whom you would have never heard from five years ago, now calls you before they don’t buy? That isn’t a lost sale, it’s a never was and never gonna be. To avoid the irritations of a few window shoppers, business owners decide to avoid all Internet shoppers.

About ten years ago Ford Motor Company surveyed customers in their showrooms. They asked how many people had used the Internet to make decisions regarding make, model, features and price before visiting a dealer. They were stunned when over 70% replied that they had. That was ten years ago.

In 1998 I asked my business owner clients if we could use email to send notices and reminders. Ninety-five percent said “no.” By 2002 we had only 3 clients who weren’t using email. By 2003 we had none. By 2005, over 90% of our clients said that they preferred email communication to other means of contact. Now we don’t even ask.

Fifteen years ago small businesses didn’t have websites. Ten years ago a website was to establish basic credibility. Today, regardless of your business, your website has to communicate who you are and what you do, along with your Unique Selling Proposition, product or service differentiation, service commitment, target customer, industry recognition and testimonials.

Would you prefer to miss the largest order in five years, or a 50% growth in business, just so you don’t have to deal with the price shopper in East Oshgosh?

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Posted in Marketing and Sales | Tagged , , , , , | 1 Comment

One Response to Size Means Nothing on the Web

  1. John Hyman says:

    Your post is spot on. As a marketing firm that also designs and builds websites we are amazed when we meet a prospect who doesn’t even have a website. It’s 2014. The right website and strategy can extend your marketing reach well beyond your geographic footprint, while leveling the playing field against competitors of all sizes.

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Ownership and Accountability

The managing partner of a professional firm is preparing for partner review meetings, where goals are set for each partner for the upcoming year. Each year, he surveys the partners prior to starting the process, asking “What are the most important things we should be considering when we set individual goals?”

Each year, “greater partner accountability” is at or near the top priority. When he follows up with individuals to clarify their concerns, every partner answers, “None of the other partners are as accountable as I am.”

My friend David Halpern at The Alternative Board® says “Every business owner has the God-given right to procrastinate.” He, like me, believes in the friendly persuasion of a peer advisory board to help keep owners on track. For many it works extremely well. For others…not so much.

Not everyone embraces accountability. As a facilitator, there are few things more painful than a client that quits one of our peer groups because of their own non-performance. That isn’t non-performance by the peer group, their advice is usually terrific. Once in a while, however, I’ll get a call like this:

“I enjoy discussing my challenges with people who understand them, but every month I come to the meeting and report that I’ve done nothing to address them. I can sense that the group is growing frustrated with my failure to follow up on anything. I understand that my business needs to change, but I’m just not doing anything about it.”

Their businesses aren’t failing. They don’t ignore problems, they deal with them as they arise. If it isn’t a problem, it can wait.

The questionnaireThere is a difference between responsibility and accountability. A small business owner bears the burdens of responsibility every day. We all know that customers depend on us to deliver products and services as promised. Employees rely on us to run the business well enough to secure their paychecks. Such responsibility comes with the territory.

The late Stephen Covey divided tasks into four groups. Important tasks fall into two categories, those that are important and urgent, and those that are important but not urgent. If you spend all of your time handling the urgent, you have little time left to deal with the important tasks that create long-term improvement.

Running any business requires handling a bunch of important/urgent issues. Everyone has days when they careen from crisis to crisis. It’s easy to fall into a pattern of handling responsibilities, and then basking in the relief of having nothing urgent on your plate. That’s where accountability comes in.

Accountability is another type of commitment. It’s the difference between doing what you have to do, and doing what you should be doing. The responsibilities of an owner are required. If you don’t address them, the business will fail. Ownership accountability comes when you accept your higher role as a CEO. It is planning for the future, communicating your vision to employees, or developing new opportunities.

In a small business, the owner is both manager and CEO. Management responsibilities take up most of your time, but CEO accountability is what moves the company forward.

Posted in Leadership | Tagged , , , , | 2 Comments

2 Responses to Ownership and Accountability

  1. bob french says:

    John,

    nicely said, clear and succinct, I appreciate all your words of wisdom, thank you!

  2. Blair Koch says:

    Great article John, as usual! You cut to the chase!

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Millennials: The New Normal

Do you employ Millennials? If you have twenty-somethings in your workplace, you do. Most scientists who study generations put the start of the Millennials between 1982 and 1985. Using the earliest dates, the oldest are just turning thirty this year. Sociologists can argue whether kids born in the early eighties are GenX or Y (Millennial) but the “core” Millennials are twenty-five and under.

My new friend, Dr. Ron Konopaske, has been educating me on Millennials over the last few weeks. He studies their generation like I study Boomers. Take a look at Rob’s site Millennialedge360.com.

Boomers make up the majority of small business owners in America. For us, the Millennials aren’t another generation, they are more like beings from another planet. Let’s begin with the world view of 25 year old employees.

  • The US has been at war since they were in elementary school
  • The World Trade Center fell when they were freshmen in high school
  • Vietnam was fought by their grandparents
  • They probably have no idea what Y2K means, or how the draft worked
  • They have always been able to make a phone call from their cars
  • Disco was dead long before they even listened to popular music

They were brought up in the longest economic expansion in history; a boom fueled by a massive influx of college-graduate Boomers and two-income households. Then they entered the job market during the worst sustained unemployment in sixty years.

Middle class Millennials, many with mid-career Boomer parents, were the centers of their worlds. They were shuttled to karate and music classes, and fed in restaurants with playscapes to keep them entertained. They were awarded trophies for participating, because their parents didn’t want too much emphasis on winning or losing. No one is a loser.

millenial employeesNow they work for Boomer entrepreneurs, the most competitive, goal-oriented generation in history. (For the reasons why, read my e-book, Beating The Boomer Bust). Their helicopter parents, who shepherded them all the way through college, can’t tell the boss how their children would like to be treated. So they do it themselves.

Baby Boomers don’t know how to react. Employees announce how they think work should accommodate their leisure schedule. They expect regular raises and promotions for showing up. (In a recent survey, Millennial employees said that they expected job advancement about every two years, and that it should not be tied to any performance measures.)

Millennials expect a pat on the back for doing what they were told to do — every time they do it. If their Boomer boss doesn’t dole out sufficient recognition, they will ask for it. They seem mystified if the employer objects. “I did what I was assigned, so I am owed the reward.” As a recent Time Magazine article noted, the Me Generation has raised the Me Me Me Generation.

But Millennials aren’t slackers. They aren’t stupid. They are wizards of technology. They can find answers almost as quickly as you can develop questions. They can work diligently, as long as you don’t mind the quick forays into texting or Facebook to arrange their social lives. (Hey, most don’t take smoke breaks anymore.) They ask questions, and like to know the reasons why they are doing what they do.

Flooded by inputs from every side, they feel no need to read boring memos or procedures. Most get their news via infotainment. Over 60% identify either Stephen Colbert or John Stewart as their primary source of “hard” news. They expect workplace communications to be interesting.

They accept workplace diversity without question. They will work in teams with any gender, ethnicity or sexual orientation, and share credit for the team’s accomplishments (We all get a trophy!). They want to belong as much as any generation before them. They just want to belong on their terms.

Boomer owners have a choice. They can try to avoid a whole generation of workers in a race to their retirement finish lines, or they can figure out how to work with Millennials. Start by realizing that it’s less about what you say than how you say it. All employee relations begin with communication, and good employers have always tailored communications to their audience.

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Posted in Leadership, Management, Top Blog Posts | Tagged , , , , , , , | 4 Comments

4 Responses to Millennials: The New Normal

  1. Clint Moar says:

    Thanks for this John…I know it’s very hard for some Boomers and X’ers to understand, but you’re right about the Y’s.
    I find if funny that Mr. Konopaske is a consultant for Millennials but has no ways to follow him? (twitter, linked in, fb)

    • Hi, John:

      Thanks for another insightful piece on generational differences in the workplace…an area for which we both share a strong passion. As the founder of a new management consulting company, I’m pleased to see how my first few company clients are taking a proactive approach to getting their arms around these thorny generational issues. I agree with you that there are a number of major differences in how Boomers and Millennials communicate, use technology, learn and perform their jobs, and integrate their personal and work lives. Yes, after growing up with near continuous positive feedback from their parents, teachers, and coaches (don’t forget hourly video game “leveling up” and “high score” messages, texting 100+ times/day, and continuous social media page updates/thumbs up icons, etc.), they expect to be recognized frequently from their supervisors and companies (informally through verbal reinforcement and formally through frequent pay raises and promotions, challenging assignments, continuous training and development) for doing their regular jobs with competence. That being said, I have to admit that I’m “bullish” on Millennials as a positive current and future force for businesses…they are very smart and know where to find answers quickly, entrepreneurial, globally-minded, learning-oriented, technically-savvy, balanced, environmentally and socially conscious, and keenly interested in doings things in their own (better?) way. Organizations can benefit by developing strategies to attract, engage, develop, and retain talented Millennial employees and junior managers…so that they can work closely with and learn from Boomers. This knowledge Boomer-to-Millennial transfer needs to occur before too many Boomers leave the workforce and take their invaluable organizational knowledge with them.

      Clint:

      Thanks for the suggestion to add follow links to my http://www.MillennialEdge360.com website. I recently set up accounts on FB, Twitter, LinkedIn, Tumblr, and a few other social media sites, but need to get the follow buttons added. That’ll be done soon. Here’s the link to my FB site: https://www.facebook.com/millennialedge360.

      Rob K.

      • Clint Moar says:

        Hey Rob,
        Yeah, I’m bullish on them as well…they’re our future leaders and have a lot to give…look forward to following you on Twitter and Linked In (Facebook is just not in my DNA).
        Clint.

  2. Arlin R Lagasse says:

    You’re so right John, these Millennials are from a different world. And, as you say, boomers must learn how to communicate with them if they’re to continue to succeed in business. This is something that failed and failing businesses have not embraced sufficiently and now they suffer. A good leader always learns how to communicate to the audience at hand. If you can’t communicate through their media and ways of understanding, you will loose them and their productivity. And a good leader trains subordinates to take his/her place. When you’re not at work, how will they be trained or qualified to take you’re place and continue your business plan?

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Correct Decisions, Good Decisions and “Best” Decisions

The young protégé asked his mentor, “How do you know what is the right decision?” The mentor answered “From experience.”

“But how can I get experience?” The protégé asked. “Make some bad decisions.” was the mentor’s answer.

Experience is what you get when you don’t get what you want. As business owners, people look to us every day to make decisions. Customers are seldom conscious of the many things that have to go right for them to receive products or services correctly and on time. As an owner, however, you are all too aware that “There is many a slip ‘twixt cup and lip.”

zoltar2Employees often believe that the owner wears an invisible superhero cape. “Decision Maker- scourge of evil problems!” It doesn’t occur to them that you may not know the answer, understand the problem, or even want to make a decision right now. You are the answer machine, spitting out solutions like fortunes from a carnival attraction.

When an owner makes a decision, he or she assesses the risks and accepts the consequences. Your decisions are holistic — encompassing multiple factors and balancing conflicting priorities. Is that customer important enough to warrant special handling? How much will it cost? What is the impact on other customers? Does it create the potential for unforeseen consequences?

The danger of a correct decision, one that produces an acceptable result, is that it often become unwritten policy. How many times has an employee said, “But I did the same thing that you told me to do the last time!” You look for the anomalies; the factors that are a bit different from the previous situation. The employee looks for a safe harbor; seeking an answer that he believes is pre-approved.

One of the most common requests from my clients is “How can I get my employees to think like me?” One way is to let them make mistakes, but that can be an expensive teaching tool. More often, we fall back on rules created around our past decisions.

But how do you know that a good decision was the best decision? I can’t count how many times I’ve created a process that worked. Weeks or months (and sometimes years) later an employee says, “Why don’t we just do this instead?” and I immediately realize that her suggestion is a big improvement. Maybe our organization has grown, or we’ve added new technology, but just as frequently we haven’t. It’s simply that I moved on once we had a solution that worked, and as long as it worked I left it alone.

Similarly, the employed decision makers in your organization are charged with producing a specific result. As parameters shift, they find ways to work around new obstacles. Once in a while I’ll discover that employees are working very hard, executing multiple work-arounds to produce a result that just isn’t that important. The original purpose long ago faded into insignificance, but good people are still knocking themselves out to maintain it.

Correct decisions, good decisions and the best decisions are three different things. Correct decisions are those which address the variables of a specific situation, and produce a desirable result. Good decisions are ones that produce the desired results every time. They can be made into policies.

The best decisions are good decisions that have been vetted for cost, efficiency and consistency. They’ve been reviewed periodically to make sure that their purpose and method remain relevant, and that they still deserve being treated as rules.

Delegating decision-making requires that you teach employees the difference.

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Posted in Entrepreneurship, Leadership, Management | Tagged , , , , , , | 1 Comment

One Response to Correct Decisions, Good Decisions and “Best” Decisions

  1. David Basri says:

    The article reminds me of an old allegory.

    4 generations of women are in the kitchen preparing a Thanksgiving meal. The youngest great-granddaughter watches her mother cut the ends off a ham and place it in the pan. “Mother,” she says, “why do you cut the ends off the ham?”. Her mother answers, “That is the way we have always done it. Your grandmother taught me.” The girl goes to her grandmother and asks the same question, and gets the same answer. She was taught by the girl’s great-grandmother. So the girl goes to her great-grandmother who is dozing in a chair by the window. She wakes the old woman and asks why the family cuts the ends off the ham. Her great-grandmother answers, “I do not know why your mother does it, but when I was growing up our pan was too small.”

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