Cordialism: Africa HR Summit

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Companies struggle today to create the experiences their Marketing say they do. It boils down to Culture and the consistent behaviours of all employees across all levels of management. Here's my presentation from the Africa HR Summit.

Transcript of Cordialism: Africa HR Summit

Cordialism

How the best companies lose their flavour.

Erik VermeulenBehavioural Economics Strategist

#cordialism

What we’ll cover today…

How we lose

our flavour.

Getting the

flavour back.The HR /

Marketing

Partnership

What do you think when you see…

What do you think when you see…

What do you think when you see…

What does history tells us…?

“The world is changing very

fast. Big no longer beats small.

It’s now the fast beating the

slow.”

Rupert Murdoch, Chairman and CEO News Corp

Companies today are most worried

about…

EXPERIENCE & ENGAGEMENT

People will judge your organization by the

experience they or an acquaintance have with

your brand 90% of the time and only 10% or less

by the marketing messages they’ve heard.

Companies today are most worried

about…

EXPERIENCE & ENGAGEMENT

Companies who SAY that they’re great at

customer service often aren’t. The same

goes for the message “our people are our

most important asset.”

Companies today are most worried

about…

EXPERIENCE & ENGAGEMENT

This represents the internal and external

duality of successful companies in the

experience economy.

Engaged employees provide the best

experiences.

No marketing campaign will convince

someone you’re great at service when

they’ve had a lousy EXPERIENCE

from a disengaged employee that

demonstrates the opposite.

How do

we lose

flavour?

Your Company

Your Idea

Your Ideal Mix

Your Growth

• More people

• More systems

• More processes

• More control(s)

• Different backgrounds

• Different behaviours

• Different goals

• Different motivation

• …

Reputation = Experience - Expect

Your diluted Flavour

Why is company culture

important?

In 1995, the average person

had 27connections.

In 2015, the average person

will have

415connections.

Right now, Gen Y outnumber Baby Boomers,

96% belong to Social Networks

68% of customers

leave because of poor

employee attitude

41% of customers are

loyal because of a good

employee attitude

70% of customer brand

perception is determined

by experiences with people

Your marketing department

does not own your brand or

your culture, it belongs to the

collective behaviour of your

employees.

Delivering a consistent

experience

New Product

Development

Annual Report

Internal

communications

Website

Packaging

look-and-feel

Special

promotions

Customer

Communications

Office design, e.g.

Experience Centre,

Call centres

Product line

alignment

Retail outlet

design

Signage & Way

finding

Collection

points, pre-

paid kiosks

Employer

Brand

Leadership

behaviours

Service

standards

Business

principles

People &

BehaviourMarketing &

Communications

Products

& ServicesEnvironments

Billing

Experience

Naming

After sales

service

Training

The HR -

Marketing Partnership?

28

Discovery Health“When you need us, we're there for you”

Promise: Consistent support and peace of mind

Look & feel: Caring, modern, simple

Why successful?Has the highest ratings for claims-paying ability

Largest and most secure brand – leverage their size to deliver access to quality healthcare

How differentiated?Empowers its customers to have a healthier lifestyle by providing them with the necessary tools through its trendsetting wellness programme, ‘Vitality’

Offers unique products with better benefits and claims lower prices than its competitors

Brand Learning: Discovery maintains consistency throughout the brand, a caring feel, and provides more than just ‘healthcare’ to its customers. Their high claims-paying rating proves that they make good on their brand promise

Experience Spectrum

TangibleIntangible

HAPPY FAMILIESREACH CHOCOLATE STANDARDS WINNING

PHYSICALCHARACTERISTICS

What it is

FUNCTIONAL CHARACTERISTICSHow it performs

BRAND CHARACTERHow it expresses itself

EMOTIONAL CONNECTION

How it makes you feel

EMOTIONAL PROJECTION

What it says about you

Success = Growth = Employees

Engaged employees work with passion and feel a profound connection to their company. They drive innovation and move the organization forward.

Actively Disengaged employees aren’t just unhappy at work; they’re busy acting out their unhappiness. Every day, these workers undermine what their engaged co-workers accomplish.

Not Engaged employees are essentially “checked out.” They’re putting in time —but not energy or passion — into their work.

Success = Growth = Employees

10% of employees are poor performers

10% of employees are top performers

The other 80% are fence sitters and just get on with being “vanilla”

Who do you want

influencing your new

employees?

HCM Performance Drivers

Internal

Service

Quality

Strategic Design

HR Policies and Procedures

HR Automation:

• Forecasting

• Staffing

• Scheduling

• Succession

• Culture / Process

Alignment

Employee

Engagement

Wellness

Engageme

nt

Employee

Productivity

Employee

Retention External

Service

Value

Customer

Satisfaction

Customer

Loyalty

Market

Share

Profit

Growth

Revenue

Growth

Attitude / Loyalty

Knowledge / Skills

Build Relationships

% Growth

Customer

Testimonials

1 year

5 Years

Service concept:

• Consistent

• Intentional

• Different

Value to customer

Better than last visit

Better than competition

Lifetime Value

Retention

Repeat Business

Referral

Strategy & Compliance

Recruit for Talent

Talent Development

Talent Retention

Reward

>Employees = >Diversity

Flavour? What flavour?

“The goal is not to do business with

everybody who needs what you have.

The goal is to do business with

people who believe what you

believe.” Simon Sinek

Bra

nd

st

ren

gth

Challenge

Building advocacy

5 AdvocacyI believe in what we do and I recommend our brand

4 ActionI know what I can do to support our brand

3 AbilityI have the skills and knowledge I need

2 Attitude It makes sense to me

1 Awareness I know what we stand for

“We change behaviour by framing what

we want people to do into something

that is relevant to them.”

The ‘new’ culture should not be

seen as ‘new’. It should be seen

as a business case that rests on

doing what’s required to meet

the future demands of our

clients.

5 ways to

get your

flavour

back.

1. Get the right people on board(achievements are useless without context)

MEN WANTED

For a hazardous journey.

Small wages, bitter cold, long

months of complete darkness,

constant danger, safe return

doubtful.

Honour and recognition in case of

success.

2. Give people PURPOSE(beyond pleasing)

The way people define themselves has changed.

Very long ago: Man / Woman

Long ago: Hunter / Gatherer

Recent: Skills (industrialisation)

Today: Career

Tomorrow: Meaning people add or create.

Yesterday, today, tomorrow…

The Golden CircleWHY? At Apple we believe in challenging the status quo, in thinking differently. Making a dent in the universe.

WHAT? We sell computers, laptops, cellphones, tablets etc that are highly stylised and consumer friendly.

HOW? To challenge the status quo, we make sure our products are beautifully designed and easy to use, and user-friendly.

HOWWHY WHAT

3. Get people ENGAGED(get them to give a damn)

21%Engaged

41%Enrolled

30%Disenchanted

Significantly lower

on all three

components of

engagement

High scores on

rational and

motivational

components, but

low on emotional

That’s only 1 in 5

Global Workforce Survey

8%Disengaged

Completely

disconnected

rationally,

motivationally and

emotionally

Global Results (based on rational, emotional, motivational): Based on a global survey of 90,000 employees in 18 countries and Tower Perrin’s database of 2 million annual responses in 40 countries

46

“You can’t sell it outside if you can’t sell

it inside.”

SHEER DRIVING PLEASURE

BEAT THE BENZ

GLOBALLY CONNECTINGPEOPLE

HIP GEEK

Perceived Control

Perceived Progress

Connectedness

Vision / Meaning

The Partnership Model

Glee

Fee

ME

Flee

See

WE

4. Provide the correct

BEHAVIOURAL FRAMEWORK(something to do)

What we allow will continue.

Life Skills / Values / Motivation / Attitudes

Vision, Mission and Values that are corporate focused, but individually applicable.

I am / I do?

A set of behaviours / Actions that guide all employees at every level of the organisation.

I am / I do?

Increase in goal-directed Actions

Strengthening the underlying behaviours lead to positive actions

towards achieving the company goals.

? Company goals determined by EXCO that will result from behaviours.

In order to achieve high standards of success, you are

required propel yourself forward towards your goals.

?

Values

Goals

Average companies give people

something to work on, innovative

organisations give their people

something to work toward.

BEHAVIOURSReputations are the result of what

people in the organisation

consistently do.

“By aligning what we say we do, with

what we actually do, we positively

influence what our customers think and

feel.”

5. RECOGNISE performance(something for doing good)

Market

Norms

Social

Norms

Cordialism

THANK YOUErik Vermeulen

erik@erikvermeulen.com@ErikMVermeulen

#cordialism