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Category - Human Resource Management

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1
Do you use LACE when you communicate?
2
What does “working on your business” actually mean?
3
Customer Service in frontline staff
4
Creating a Mission-oriented Organisation Structure
5
Asking the right question is the first step in effective communication

Do you use LACE when you communicate?

Like anything else in life, communication is the key in business.

Whatever your business is, whatever you sell, you will need to communicate clearly so that your team understands what your business stands for and what their instructions are, you will need to communicate effectively with customers so that they understand exactly what it is you are selling and telling them, and you need to communicate with suppliers to ensure you are both on the same page.

Whether you are staring a change management initiative or trying to provide better customer service, good, clear, effective and efficient communication is vital.

How many times have you told someone what to do, and when it is done, comes out different from what you expected? Is it their fault that they did not listen to you, or is it yours for not being clear?

How many times have you listened to a customer ask for something, and when you gave them what they asked for they tell you that wasn’t what they were after? Was it their fault for not explaining clearly what they wanted, or was it yours for not listening closely enough?

More often or not it is both parties’ fault, but “fault” is probably a bad word to use. It’s more like it’s both parties’ nature to misunderstand!

What do I mean by that?

Read More

What does “working on your business” actually mean?

I’m sure you’ve all heard the phrase “don’t work in your business, work on your business.”

But what does that actually mean? For most of us it probably conjures up the difference between working hard at making or selling your product, or keeping the books, or labouring over the store – physical or online, versus a picture of being a relaxed leader working out “strategies” and “innovation” to grow your business.

For those of us who have tried to apply it practically, that picture simply doesn’t work! While you try to take time out to work out strategies or develop new techniques in your business, things just don’t happen in it. While we try to work on our business by developing better marketing plans or improving customer service, all it means is that later we have to catch up on working in the business. Am I right? Running a small business is a busy task!

When I started my first business I was busier than busy. I left my big international financial services firm to start a medium sized consulting practice with a couple of partners. True, while I spent a lot of my working hours (or let’s be honest, most of my waking hours) working in the business by dealing with client affairs and consulting directly with clients, I was able to work “on my business” during Partner-meetings where we discussed marketing, new products and hires and fires. To me then, that was working on the business and it wasn’t too difficult because we had borrowed and used the excellent internal administration systems from our previous firm.

But that was it wasn’t it – I wasn’t really working on my business, I was working in the administration of my business.

I found the real truth of working on the business when I left that partnership to start my own boutique consultancy where I hired from scratch and had to set up from scratch. There was no way I could have continued to work in the client advisory side of the new business as well as in the administration of the business – I would have killed myself.

So what did I do? Read More

Customer Service in frontline staff

As your business grows, you no longer have the only contact with your customers. More and more, that front-facing position is being filled by your frontline staff – your sales people, your front of house reception, your people who meet and greet and deal with customers day to day.

The customer service instincts that you displayed now have to be passed on to your frontline staff. So how do you breed that customer-service mentality into your team?

The principles are actually quite simple – ensure your team is vision-driven, build strong teamwork, create vision-centric KPI’s and provide rewards for doing the right things, as explained in this video.

Some key steps include:-

1. Ensure customer service starts with understanding your “brand”.

Your frontline staff need to understand what your “brand” is, as reinforced by your business vision statement. What does achieving your vision mean to your customer? What values will your staff need to uphold in front of the customer to ensure that the vision comes alive? What indications does your vision statement give them on how they should deal with a complaint? Are they empowered to make decisions about customer-service as long as their decisions align with the indicators in the vision?

2. Reinforce good teamwork

Remove any barriers to teamwork and create a structure that shares knowledge about clients and about service. Provide systems that give frontline staff all they know about customer preferences. Allow staff to hand over to someone else in the team more appropriate for the task or the customer.

3. Negotiate and implement KPI’s that measure attainment of the vision in customer-service

Remove Key Performance Indicators that measure output (how many customers served) and instead implement KPI’s that reinforce vision-centric outcomes (how many customers received what they asked for, how many customers received more than they asked for).

4. Reward vision-centric outcomes

Stop paying bonuses for income generated from customers. Instead create rewards that that actually reward behaviours that produce outcomes described by the vision and brand. Instead of awarding an award for the highest sales every month, how about awarding the person who satisfied customers? High sales may be one-off, satisfied customers come back again and again.

Get over to the Resources section of https://teikoh.com to see what other models, worksheets and templates can help you grow your business the right way.

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Creating a Mission-oriented Organisation Structure

As you start or grow your business sooner or later you will employ people.

Perhaps what started as a micro-business with just you or you and your spouse begins to grow and you need to leverage your time. The tasks that you once divided up between the two of you seamlessly have to be explained to your new staff. You need to draw up “job descriptions” so that everyone knew what they were responsible for, so that you reduced confusion when something might be forgotten. In time this grows in complexity and you need to have different teams looking after different parts of the business.

This can happen with anywhere upwards of three people!

So you start to doodle organisational structures – you know, you at the top, then the people who are in charge of different aspects of the business who report directly to you, then below them the people who work in their sections who report to them.

The problem is, these structure diagrams seem so straight-forward, but are they organised so you get work done – or are they organised so that the focus of all your work is towards your mission?

There’s a saying in management consulting – “strategy creates structure”.

This means that in order to work out the optimal structure for your business, you need to make sure that the structure is created by your strategy. Otherwise “structure forces strategy”, or in other words your strategies start to be formulated in accordance with what your structure implies. For example if you had a structure that included a design team separate from a construction team, that structure may force a strategy upon you that says you will only make what has been designed. If on the other hand if strategy created structure, you may find that you start with the best strategy – to make products that are designed by people in and outside your business. Then you design your structure that either does away with a design team or incorporates them into a “build and design team” thereby increasing innovation and flexibility.

So, how do you create an organisation structure that is mission-oriented?

Get over to the website after you have watched the video and start the conversation. What does your organisation structure look like? Is it mission-oriented or do you find that the structure itself changes the mission?

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Asking the right question is the first step in effective communication

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I was talking to an auditor one day. He asked me “When your client bought these widgets, were they on sale-or-return basis?

No.
Well then, where’s the statement that shows how much is owing to the supplier?
Oh,” I said, “so your first question really should have been ‘can you show me the statements from the widget supplier?’
That’s what I asked,” he said.
Now you know why I’ve stopped dealing with auditors.
We talk about the need for effective communication (and I have a great tool for you, but I’ll tell you later) and yet we listen badly and many of us ask poor questions. More often than not, our conversations with people are conducted partly in our heads before they are conducted with other people.
I think the conversation in that auditor’s head went something like this:-
– That’s funny, I can’t find a supplier statement for those widgets.
– I can see payments being made, and income from selling them but there doesn’t seem to be a pattern.
– Maybe there’s a non-standard contract for them.
– I wonder what that non-standard contract could be?
– Perhaps it’s on consignment or sale-or-return?
– I need a supplier statement but if they’re on sale-or-return maybe there’s no statement?
– I’ll ask him: “So are the widgets on a sale-or-return basis?”
Huh? I’m sorry but I’m not telepathic. Ask the right question and that could be the start of a beautiful friendship (sorry Humphrey Bogart).
Effective communication is about ensuring that you are understood, but first ensuring that you understand. So, lay out the premises and assumptions first, or else ask very precise questions about what you want. Use closed questions (“Do you have a statement?”) that requires a yes or no answer to define what is possible, then use open questions (“What is the process around those purchases?”) that allows exploration of the circumstances.
Ultimately though, if in order to be understood you must first understand, you need to listen effectively in order to communicate effectively.
Here is a great tool to help with effective communication that starts with listening, and it’s called LACE.
It’s an acronym for Listen effectively, Acknowledge what you hear, Check and confirm your understanding, and Explore the idea.
First, listen effectively.
You can only listen effectively if your mind is focused on the speaker. How many of us attempt to multi-task while talking on the phone? Perhaps you are typing out an email as you converse, or you’re gesturing to someone in the room. Even face to face, how much of you is actually listening to what is being said rather than preparing to answer?
So the first step is to pay attention as someone else is speaking. Do not try to work out what your reply is – just listen!
Second, acknowledge what you hear. This is related to the first principle.
Have you ever spoke to someone who either looks out the window while you are speaking, or just looks at you with a blank stare? It’s hard to know if they are actually listening isn’t it? When you are listening, listen actively by nodding, acknowledging by saying “yes” or “uh-huh”. Doing this will not only create an interactive experience for the speaker assuring them that they are being heard, but also tune your mind ands body to understand what it is they are actually saying. You focus.
Third, check for confirmation.
At the appropriate pause, ask “So when you said ‘statement’ did you mean a monthly statement or any statement?” Or confirm facts, premises and opinions – get to know what they actually mean and where they are coming from in terms of a starting point.
This can remove confusion, ensure you both are on the same page, and it readies you to formulate a reply that is actually appropriate and…yup, focused.
Finally, explore the idea. It is only once you have heard exactly what it is they are saying, understood their premises and assumptions, can you decide to explore if there are other possibilities. Many people listen while composing a reply and in doing so ask and answer a lot of “what-if” questions in their mind. Leave the exploration until you know where you stand.
It’s actually important to take the steps in order – Listen, then/and Acknowledge what is being said, then Check for understanding, then and only then Explore. Don’t be tempted to jump the sequence!
When I talk to that auditor again – and let it be a long time before I do – whatever he asks I’ll remember to say “What is it you actually need?”
Indeed the right question is the first step in effective communication, but it needn’t be the first question!
Now, it’s time for you to ask the right question.
Get over to https://teikoh.com and leave me a question or a comment. While you’re there, leave your name and email and I’ll make sure you get new tips, tools and resources to grow your business sent directly to your inbox.

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