My Grandmother taught me that the best thing about presents is the giving, not the receiving. There is great pleasure to be had in giving something to someone that they truly appreciate.
It seems true in life that by giving we create goodwill and goodwill has value. Reflecting on this, I realised that great relationships can exist between companies and a) their customers and b) their employees. And it all starts with giving. Giving people what they need.
My bank attracted my attention because they solved a problem
for me. My need. In 1997 my need was that I
didn't want to have to walk down the high street to the bank. It was an
inconvenience. They promised 24/7
telephone banking (and later, when the time came, they provided all of this
online). They made it easy for me to switch my account from my previous bank
and they gave me a cash reward to say thank you.
They provided me with what I wanted, where I wanted it, when
I wanted it and how I wanted it. And
they did it with a smile. I rewarded
them with my business and my recommendation.
It's a very positive relationship.
I realised that the positive relationship
between a customer and a company has many similarities between an employee and
a company. Especially when it goes
right.
Do you manage people?
If you do, don't you wish your team were as positive about
you and as loyal to you as I am to my bank?
Here it seems lies a fundamental truth; your team are your
customers and you are the customer of your manager.
Yes, people management is actually marketing.
In life if we solve other people's problems and provide people
with what they need they will pay us for what they need. That's business. Any business is in business because it solves
a problem or fulfils a need for it's customers. Give in order to receive.
Just as different customers have different needs and
companies provide products and services to meet these needs, people working at
those companies have needs.
You have needs and wants.
You need money to buy food, pay the rent. You probably you want a purpose in life. You will need to feel important and that what
you do with your life matters. You want
to feel in control and therefore free of unnecessary anxiety. You might want friends and need social
stimulation. Maybe you want to learn,
develop and grow as a person. Maybe you
just want recognition and a "thank you". You want information.
Employment can provide for some of these needs. Just as great companies spend a lot of effort
to understand their customers and provide what they need, I believe really
great managers spend time to understand what their team truly need and want and
figure out how to provide it. Employees
reward the company with their effort, creativity and loyalty.
(Note: people don't always know what they want. Phone manufacturers used to think that what
we wanted was a smaller and smaller phone.
It turns out we wanted a big flat screen. We didn't know that. True needs are often
hidden, often driven by emotion not logic.
Your team might say they want to be paid more. This might be not their real need. Their real need might be say, freedom to act,
recognition or purpose. It's often these deep needs that are most powerful).
Think about the best manager that you ever worked for. Think
about the best company that you ever worked for. What needs and wants did they provide for
you? And did you give your effort in
return?
When managers succeed, it's because they provide for these
needs. The need could be a training
opportunity, it could just be encouragement and praise, it could be a fancy job
title, it could be the freedom to make decisions, it could be a company social
event, it could be a clear vision of what the company is trying to achieve, it
could be the sharing of useful information.
When a manager or company gets this right, it seems like magic. It's not magic, it's marketing.
Management is marketing?
Kind of, yes.
First of all then, what is marketing?
Here's the best definition of marketing I've ever heard... "Marketing is creating and value and
extracting value"
- Creating the value is defining a product or service that people are willing to pay for. It includes amongst other things the function, the packaging, the place, the design.
- Extracting value how we get people to pay for that product or service. Communication, pricing etc.
If managing people is like marketing then it is all about creating
value for employees and extracting value from employees. So many managers focus on "extracting
value" when in fact the focus needs to be on "creating value". By creating more value, it's easier to
extract value and to extract more of it.
Think about the relationship a company has with it's
customers...
The best kind of customer is an advocate. The advocate will tell everyone and anyone
about your the great product and service.
Every business wants more advocates.
Then, there are repeat customers.
You like these. Even if they are
not advocates yet, you hope to make them into advocates.
At the other end of the scale are the detractors. Those who really dislike your company and
tell everyone about it. You need to convert these and save this relationship
before it damages your business.
Now think about employees in the same way...
Employee advocates are what I call
"multipliers". They not only
do a great job, they cause others around them to do a great job. They do this because their needs are met. Repeat
customers are your "adders".
They turn up every day and do good work - solid, dependable, but don't necessarily
cause others to do a good job. The detractors are your
"dividers". They not only do a
poor job but they cause friction, discontent and misery around them. You need convert them or remove them if you
can't.
Therefore, address needs and wants to build “multipliers”.
If you can provide for their needs, these multipliers will
go the extra mile, they'll absorb themselves in their work and they’ll recommend
the company to friend.
So many managers act as if they are the customer. In a way that is perhaps technically
correct. At least that's the way the
money flows. The company pays a salary
after all. I however propose that this
is a fundamental error to think this way and although it's counter-intuitive,
we should start to think the other way around. Employees are customers.
If you agree with this approach, as a manager, there are implications;
1. Identify what your team need and want (at both an
individual level and as a group)
2. Provide it
3. Continuously seek feedback if you are on the right track
4. Show appreciation
People management is marketing - the company is the product
and the employee is the customer
Do you agree…?
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