For many small businesses customer retention is all about
external customers the ones who generate revenue from which bills are paid
including salaries. Now forward thinking small business leaders understand
employee loyalty is truly the secret to external customer retention.
As the old expression goes when Mama is happy, everyone is
happy. Employees are truly the mothers in any business. Depending upon their roles and job
descriptions at any moment of the day they are:
- Watching over others
- Monitoring progress
- Providing feedback
- Communicating the dos and don’ts
- Ensuring the family unit is intact
One of the not so small businesses, Southwest Airlines,
understands the importance of employee loyalty.
Their entire business plan revolves around the employees who then engage
in those moments of truth with the external customers. This approach has
increased customer retention for Southwest Airlines.
What organization will retain customers where the employees are
rude, cranky, disrespectful or disinterested especially when facing customer complaints?
To create internal loyal customers requires uniting
systems or processes; strategies and people.
Systems or processes comprise the ongoing continuous
improvement actions such as lean, Six Sigma or Baldrige. Additionally, team
building and a customer focus is also included within this area.
Strategy returns to the strategic planning where
vision, mission and values are defined not only for the entire organization,
but for major departments as well.
People area speaks to the management and development of all
people through leadership skills, attitudes and behaviors, interpersonal
skills, intrapersonal skills and the execution of business plans to department
initiatives.
When this three prong approach is undertaken and executed
well, then loyal employees (internal customers) are created. This approach also supports the development
of a high performance culture because everything is working together in
alignment.
Seeking customer retention begins from within just like any
other sustainable change process. Once all employees are united and behind the
executive leadership and truly believe the organization is 100% focused on the
employees who create those moments of truth for the customers, the results will
not only be customer retention, but higher profitability, increased innovation
and decreased costs including the very expensive one of employee turnover.
Guest Author:
Leanne Hoagland-Smith
Chief Results Officer
ADVANCED SYSTEMS
219.759.5601 CT (near Chicago, IL USA)
http://www.processspecialist.com
– website
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