Thursday, August 30, 2012

Busyness is not a good deal!


The following conversation took place recently between the customer service representative for a manufacturer of medium size and a consultant.

Customer Service Manager: I have 2 poor artists, Barry and Mary.

Consultant: How are you managing them?

CSM: Well, all of our major customers are assigned to our people well and manage all their calls. We route calls from smaller customers in Barry and Mary.

Cons: What is the reason for it? (My thought: They can not do too much damage?)

CSM: Oh! So we remain busy! I want to stay busy.

Cons: Who are some of the smaller customers?

CSM: (She rattles off several global retailers.)

Cons: These are 'small' customers?

CSM: They do very little business with us.

Cons: Let me understand this. Problems for 'small' customers such as (Giant Global) are all controlled by two starving artists so they can keep busy.

CSM: (beaming) That's right!

No, I did not invent this conversation. But is not the first time I heard. Busyness is NOT a good deal ... or in relation to the productivity or quality ... or a way to deal with customers ... or a way to improve poor performance!

It is not uncommon to find managers measure the activities instead of results. It follows by a marked tendency, especially in times of economic crisis, to focus on tactics rather than strategy. This tactical approach obscures the results until it is too late and the failure is on you.

Busyness obscure the results of performing poorly in these situations. Barry and Mary have no idea that their performance is unacceptable since they are so busy they can not imagine doing more, much less something different.

More importantly, 'small' customers do not get the attention they need. In this particular case, some have moved away and others refuse to increase the size or diversity of their orders, since the customer service is so weak. Some of these 'small' customers are actually very large organizations that require large for what the manufacturer supplies. These customers have decided to give producers the option, and with this level of poor service, the manufacturer failed. Since the manufacturer is well known in the region, these experiences challenge the good reputation it has with 'big' clients. Since everybody knows everyone in this business community, the bad news spreads fast.

The prescription to cure this sick situation is simple. The Customer Service Manager (CSM) must: Work with Barry and Mary to establish clear expectations for their performance based on customer needs and satisfactionTrain them in the fundamentals of labor, especially to solve customer problems in a proactive and pleasant with wayWork them to create an improvement plan with clear measures of results, not activities.

When the CSM is convinced that everything can be done has been done to improve the performance of each individual, it's time for a decision. Performance has improved enough? There is a new plan must be implemented? This is a situation where the person is not a good match for the job and must move forward?

See how they're managing both good and poor performance. Do the monitoring activities - busyness - or are you looking at employee performance and customer satisfaction strategically based on the results? If you are caught in the trap industry, extricate yourself by creating or expanding your strategic plan. If you do not have a strategic plan is the time to develop one. Employee performance should be measured based on strategic goals and objectives of business plans. Each employee has a role in implementing the plan.

Follow the steps suggested for the CSM referred to above. All this helps you as the owner executive, manager or business stay focused on performance management and your employees strategically.

Focus on non-busyness ....

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