The key to 'good' redundancy part 2

After last week’s blog about the importance of a well implemented redundancy plan from an employee perspective, it seems pertinent to look at redundancy from an employer’s perspective, specifically that of a HR professional.

The key to ‘good’ redundancy

Nearly one in three jobseekers said HR had handled their redundancy poorly, according to research from an online careers advice service.

In these times of continued economic difficulty, there can be very few people in the country that are unaware of the threat of redundancy to so many of the UK’s workers. Although organisations often see that they have little choice but to make use of redundancy, there are many ways of going about it. 

For employers, a ‘bad’ redundancy can result in anything from feelings of bad blood, to negative media attention, right through to legal action. For employees, the personal implications are, of course, potentially disastrous. 

The responsibility that employers have to departing employees should stretch so much further than mere monetary compensation. Considerations that are often not made by the individual until it is too late should be made by the employer – and relevant support should be made available whilst it is still useful. For example, to get new jobs, many employees will need to update (or even write) CVs, and/or will need coaching in interview techniques – to cope with the stress of redundancy, many may even require counselling.

Although redundancy can be an effective survival technique, without looking after those employees that are left behind, organisations are setting themselves up to fail. Without effectively communicating and engaging with them, an organisation cannot even hope to function at anything like its full potential. Employees must feel supported and safe. For this, they must feel that the organisation and what it stands for, as well as their own position within it, are valued.

Organisations such as Yorkshire Forward have embraced their responsibility as community leaders and prepared, along with partner organisations, guidelines for both employers and employees. By making this information widely available, it should be possible to minimise the negative implications of redundancy.

More on this next week…

Andy Jeans

Encouraging innovation and empowering staff

As money becomes tighter, and expectations from customers and service users continue to rise – organisations have no choice but to look at the way that they are doing things, and to improve. There is a reason why there are so many phrases waxing lyrical about the importance of employees to an organisation – the sum of the parts are worth more than the whole, an organisation’s greatest asset is its people, etc, etc. They point us in the direction of how to get the most out of an organisation/team.

It isn’t about the ‘parts’ and the ‘people’ though – as John Shook explains, the parts and the people ARE the organisation. How you get that organisation to then excel, is by getting it to work as one organism (cliché though that is!). The best way to do this, is to encourage innovation (including managed risk taking) and empowerment.

As it stands, many organisations are finding themselves frozen with fear as a result of these difficult economic times. Rather than looking at managed risk taking and innovation as a way of changing their organisation so it can cope with the changing environment – many executives are either persuading themselves that they’ve ‘survived by working in this way so far, so there’s no reason for that to change’, or are becoming overly concerned with the negative implications of ‘risk taking’.

The truth is, though, that without changing to reflect our environment – no organisation can expect to thrive and reach its full potential. The basic principles of Darwin’s theory of evolution can be transferred to business. Without adapting, there is no way that an organisation can improve its levels of performance and it will simply stand still. In these times of economic uncertainty, improved performance is the only way to improve chances of survival. Standing still is not an option – particularly when the rest of the world is threatening to make you extinct.

So how does an organisation go about establishing a culture of innovation and empowerment? It sounds strange, but in order for there to be innovation – there has to be an environment where innovation isn’t just paid lip service. If ideas are dismissed out of hand and decisions made by only a handful of individuals, or if there is a habit of ridicule and punishment for initiatives that go wrong, no one will want to put their head above the parapet. Instead, learning when things don’t work perfectly, adapting and trying again – in a supportive environment – is much more likely to encourage the excellence that is so badly needed. I spoke to Liquid Thinking’s Damian Hughes recently, and he was telling me (paraphrased!) how Sir Richard Branson had explained to him that he didn’t make mistakes, as everything that he did that didn’t work perfectly allowed him to learn, improve and try again. This is a mentality that many organisations could do with adopting.

Ultimately, it comes down to strong and effective leadership. Particularly now, at a time where money can’t be thrown at issues – leaders have to be willing to think differently, and to embrace those that think differently too. Empowerment and innovation are just two ways to ensure that your organisation is ‘one of the fittest’ – and that you can keep pace with the competition. For organisational leaders with creative minds – here is a link to a fantastic video (not mine) explaining your role…

Andy

Customer Service - is it worth bothering?

There is no doubt that customer service can be a headache for organisations with a varied and large customer base, particularly at this time of year. It is a headache imperative to understand though, as customers list it as the main reason why they stop using a particular product or service. A resounding 87% would switch provider due to poor service. Customer fidelity has become an unavoidable mission for any organisation, but very few companies have done it successfully.

Managing front line staff is as important as managing those who develop, promote or sell your product or service. Lack of investment in this area is suicidal.

So what principles should you follow?

1. Satisfaction is good, but delight is much better. We spend our lives being disappointed or merely satisfied – average meals at restaurants, our bins not being collected as the contents are oversized, plane times being amended at the last minute, etc. How many times have you been delighted with a service experience in 2011? I suspect not a lot. When it does happen though, I bet you’ll tell a few people about it whilst also replicating it – going to the same restaurant or the same resort on holiday, or even to the same park for a walk.

Xerox discovered that delighted customers were 6 times more likely to stay with them. They identified that understanding their customer was key. Here are just some of the statistics;
- Acquiring a customer costs 5 to 10 times more than retaining one
- A 5% increase in customer retention yields profit increases of 25-100%, and
- Repeat customers spend, on average, 67% more.

Giving organisations our business should be easy for customers – yet how many of us have called our banks’ helplines on our lunch and been put on hold for 15 minutes of our allotted hour.

2. Empowering employees to deal quickly and effectively with customer service issues shouldn’t be scary. What’s scary is that you don’t trust someone in your organisation, someone who is in contact with customers daily. The idea behind ‘I’m running Sainsbury’s’ is a simple yet very effective one – having the ability to act in a timely manner to rectify a problem will motivate staff as well as assist consumers. Obviously all problems cannot be sorted immediately, and staff do need certain restrictions placed on them. Bear in mind, however, the TNS survey which stated that 95% of irate customers would be happy to purchase from an organisation again if a complaint was resolved on the spot.

3. For a customer facing system to work, communication within the organisation must be simple and efficient. Tesco utilise journalists during training to teach simplified communication. Often the largest stumbling block for the rectification of problems is corporate jargon and employees not being given a clear vision or direction, leading to a reactive organisation.


Customer service doesn’t need to be a minefield. Empowerment and simplicity are staples of any successful organisation – delighting your customers may be difficult but surely it’s the most sensible business growth strategy.

Rebekah

Does Nature versus Nurture apply to leaders?

How true are the words “some people are just born with it”? I have to admit that I’m guilty of saying it; however I’m not convinced it’s 100% true. I wish, for example, that I had Steven Gerrard’s footballing ability, but something tells me even if I had his ‘natural gift’ for kicking a ball, that wouldn’t be enough to make me Liverpool’s captain. I don’t doubt that Steven was born with the capacity to be a footballer, but it’s through nurture, that his capacity to be a footballer became a reality.

So to what extent are people “born with it” when it comes to leadership? Depending on your levels of scepticism, studies into the genetic makeup of leaders show that it is indeed a worthwhile debate.

Nigel Nicholson writes in his book: Executive Instinct: Managing the Human Animal in the Information Age, that leaders are more likely to display the alpha-male biochemical profile - elevated levels of testosterone and serotonin. And those who succeed as leaders typically want to dominate and to achieve through competitive striving.

But this is where I have to disagree. Consider historical leaders such as Nelson Mandela. He was certainly a great leader, but I don’t think that there is anything in his genes that makes him want to dominate, nor strive to be the alpha-male. He was able to transform the landscape of society without a loud voice or vast resources. Through alternative leadership qualities, he was able to lead people, not to rule them. Qualities such as integrity, determination and honesty, I believe were all born of circumstance and situation, rather than anything biological.

So although it would be optimistic of me to suggest that we could all be Nelson Mandelas, I do believe we all have the potential to be good leaders. By considering personal awareness and projection, as well as how and what we communicate, and with the right training and experience (shaping the way you think, not just the way you act), I truly believe that we all have great capacity – whether or not we turn that into a reality is up to us.

One final thought – a quote I love:

“When the best leader’s job is done, the people say, “We did it ourselves!” To lead the people, walk behind them.”

Until next time…

Andy

Who likes change?

It’s no surprise that successful organisations and indeed successful people exhibit certain specific qualities whether they run an international multi million pounds organisation or a family of six, a part time job and a yoga class on a Tuesday night – there are certain traits which are evident in all. Work ethic, determination and vision are all important however it is change and its management that distances the ‘doers’ from the ‘watchers’.

Put to one side your allegiance, both sporting and political, and take for example the case of Sir Alex Ferguson and Winston Churchill. Both men are poignant in that they showcase how change can be managed internally but also externally. The lesson is to always understand your staff as well as your customer.

Managing one of the premier organisations in your industry for over 20 years is no mean feat. What Sir Alex has achieved can be traced in the majority to his ability to adapt to internal strife. Understanding changing trends whether they are social, economic or political is important and adapting yourself to them is even more so. A man approaching his 70s is unlikely to relate to young men in their 20s, however understanding their motivations has allowed Sir Alex to stay at the top of his game for 3 decades.

Winston Churchill utilised change to regain power after he was dethroned following WW2. He could have withdrawn into his shell after all his has become infamous in later years for his self doubt and depressive tendencies. He didn’t however; he strove to understand the electorate and provided a solution which was respected and ultimately victorious.

This leads us onto an important lesson. True adaptation is only worthwhile if consistency and core principles are included. To be successful we need to adapt, however this must be more strategic than people realise – shifting your viewpoint in an ad hoc fashion will only lead to confusion. Sensing change and relating it to both your personal and organisations beliefs is the only way to drive growth.

As Mother Theresa once detailed ‘if you give the world your best it may never be enough, believe in yourself and your values. Then give your best anyway.’

Rebekah