Last month I was in Las Vegas for a major convention. I stayed at a very nice hotel, and each night I tried to fall and stay asleep. I emphasize the word tried because, unfortunately, there was non-stop, 24-hour-a-day road construction outside the hotel, as the city of Las Vegas is preparing for the Formula One race later this year. All night, there was jackhammering and bulldozing on the streets where the cars will be racing.
Upon checkout, I was asked, “How was your stay?”
I responded, “I love this hotel. It’s too bad about all that noise from the road construction.”
The front desk employee practically cut me off and curtly stated, “It’s out of our control.”
Of course, I knew it wasn’t the hotel’s fault. I didn’t blame them, but she was quick to point that out anyway. I can only imagine how many similar complaints she has heard from numerous guests over the past few weeks and will hear from many more until the project is over. She obviously has become annoyed by hearing the same complaint again and again, and somehow lost empathy or sympathy for her guests.
So how do you communicate something like this, that’s “out of your control?” Here are a few ideas using the hotel as an example:
Respond With Empathy – First, respond to any and every comment about it with sympathy and empathy. Act like you care. You could say something like, “I understand how you feel about the noise. I wish we could do something about it, but the city of Las Vegas is preparing for the big race later this year. I’m sorry this happened.”
Apologize – It may not have been your fault, but that doesn’t mean you can’t say, “I’m sorry this happened,” which is how I ended the empathy statement above.
Be Proactive – If enough guests are complaining about something that is completely out of your control and you know the problem is going to continue, proactively inform them when they check in. You can even put a note in the room to warn them about the problem that really is out of your control.
Come Up With a Solution – This may or may not be possible. In this example, the hotel could offer free earplugs. While it’s not their fault and really is out of their control, they could show a sign of effort to manage the problem, even if it isn’t the perfect solution.
A problem may be out of your control. That’s okay. What’s not okay is to use “It’s out of my control” as an excuse. Instead, see it as an opportunity to show empathy and care for your customers. It’s the words you use and the way you say them that counts.
Image Credits: Shep Hyken, Pexels
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As many of you know, this Human-Centered Change & Innovation community is a labor of love to make innovation, transformation and experience insights accessible for the greater good.
Consistent with this mission, recently I have been making a lot of contributions to LinkedIn’s new collaborative article feature, focusing on the Customer Experience topic area.
It would be a HUGE help if you could go to any or all of these ten (10) URL’s and add a reaction to any or all of my contributions to the article:
First, thank you in advance for adding your reactions/upvotes to my LinkedIn collaborative article contributions.
How will this help grow the community you might ask?
Well, it will assist me in achieving Top Voice status on LinkedIn, which will then help each of my article shares for the community’s contributing authors reach more people – thus growing the community of people reading and contributing articles on the human-centered change, innovation, design and experience topics we all enjoy!
How understanding the players in your game can help you scale successfully
GUEST POST from John Bessant
There comes a time in innovation when you realize you might have taken on something a bit too big. No matter how hard you throw yourself into the challenge, creating value from your idea is going to need a little help. Changing the world, or even a small piece of it, takes a lot of push. That’s the moment when you realize you need ‘complementary assets’ – the ‘who else?’ and ‘what else?’ pieces of your innovation jigsaw puzzle.
It’s a challenge at the very beginning – how to put together a network of people and resources to bring your idea to life? But it’s an even bigger challenge when it comes to scaling innovation – how to get widespread adoption of your ‘best thing since sliced bread’ innovation.
Something which Otto Rohrwedder, the inventor of sliced bread (or more precisely the machine which enabled it) came to understand. He spent fifteen years working to develop and scale his invention and set up the Mac-Roh Company to launch his great idea. Only to see it arrive with more of a whimper than a bang. The bakers to whom he tried to sell it were underwhelmed. They thought the machine too complex for everyday production, it was bulky and took up precious space – and they weren’t convinced of the need anyway. Teetering close to the edge of bankruptcy he persuaded a local baker, Frank Bench, to invest and install the first machine.
On July 7, 1928, the first loaf of commercially sliced bread was produced by the Chillico the Baking Company of Missouri and sold under the brand name Kleen Maid. And while bakers had been skeptical of the benefits local families in the mid-West were much more enthusiastic. As a review in the local newspaper (the Constitution Tribune) put it:
“So neat and precise are the slices, and so definitely better than anyone could possibly slice by hand with a bread knife that one realizes instantly that here is a refinement that will receive a hearty and permanent welcome.
Within two weeks bread sales from the bakery had increased by 2000%! The idea began to take off across the country and two years later the New York-based Continental Baking Company began using Rohwedder’s machines to build an entire business around sliced bread. Their product – Wonder Bread – (and the accompanying marketing campaign) helped lift awareness to a high level. By 1933 almost every bakery in the USA had a slicing machine and 80% of the bread produced in America was sliced
Otto isn’t alone; many innovations which ultimately scaled successfully spent a long time in the doldrums, great ideas which drifted because of the lack of partners to give the required momentum. J. Murray Spangler’s invention of the electric vacuum suction sweeper nearly wheezed its last before it could make it into everyday home use. It was only when he connected with William Hoover that the venture took off. Mark Twain’s enthusiasm for the typewriter was that of an early adopter but the only way Christopher Sholes and his colleagues could get their machine to a widespread market was by teaming up with the experience of the Remington company who understood mass production, marketing, logistics and all the other ‘complementary assets’ they needed to scale their innovation.
And Earl Tupper’s brilliant bit of alchemy in turning black sludge waste from oil wells into brightly colored polypropylene storage vessels signally failed to impress American families until the link-up with Brownie Wise who brought her social marketing skills literally to the party. Home demonstrations via a social get-together not only accelerated sales but also laid the foundation for a powerful new addition to the marketing repertoire.
So scaling innovation is a multi-player game. We’ve learned that to create value at scale needs a network – but importantly one which goes beyond the sum of its parts. Systems have ‘emergent properties but these only emerge if there is an organizing energy to enable the process. And they need to share a common purpose, reflected in the current discussion of innovation ‘ecosystems’ , a concept which comes originally from biological science and refers to “the complex of a community of organisms and its environment functioning as an ecological unit”
It’s been applied in many branches of natural science with the same focus on an interdependent collection of elements with a shared goal or purpose, for example in geography:
An ecosystem is a geographic area where plants, animals, and other organisms, as well as weather and landscape, work together to form a bubble of life… Every factor in an ecosystem depends on every other factor, either directly or indirectly. (National Geographic Encyclopedia)
It’s pretty clear that ecosystems don’t just happen; in the physical world they take millions of years to settle into a viable pattern. And in the world of organizations it’s going to involve much more than just assembling a set of components. It will need active management to secure the emergent properties.
Systems of this kind aren’t just a challenge in the world of commercial innovation. In fact social innovation – making changes to create a better world – requires even more attention to assembling ecosystems which create value. Take the World Food Program, one of the agencies within the United Nations which tries to help deal with the severe and age-old challenge of making sure people get enough to eat. They have a long history of innovation and recent examples include the Optimus programme which aims to improve efficiencies on the supply-chain which eventually makes it possible to feed a hungry child – or not. Optimus uses digital tools to help, and it worked as an effective pilot project back in 2015 in Iraq. But scaling it required many players coming on board and working together, not least national governments. Thankfully the results have moved the needle in the right direction; Optimus now operates in 20 countries including Ukraine, Yemen and Syria, reaching close to 7.5m beneficiaries and with efficiency savings (which equate to more effective food relief) running at over $50m.
So ecosystems matter in the innovation journey to scale. Which introduces three challenges for innovators:
· How to find complementary partners?
· How to form them into a coherent value network?
· How to get that value network to perform as an ecosystem?
All three of these rather depend on having a good understanding of who ‘they’ are and the different roles they play. So we need a map and a way of charting our journey to scale using it. We’ve developed a model for our new book about scaling innovation which identifies 9 core roles which entities in a value network can play:
· 1. Value Creators are those who develop new value – the innovators. This can be one organization, a partnership or joint venture, or it can be done across a distributed network. The key aspect of this creation is that it is new value.
· 2. Value Consumers are those who consume the value which our system creates. Although we often talk of ‘the market’ we should remember that such ‘markets’ are often multi-layered. Our innovation might be used by individuals, businesses, organizations or governments. For many products and services, those who gain value from it may not directly purchase it – that’s often the case with public services like education or health.
· 3. Value Captors – so far this looks a simple enough story – value being created and consumed. But there’s another key role here which is occupied by those who capture value from the innovation not by using it, but by being a part of it.
This is where the entrepreneur takes their profit from the risks they have expended. It is investors in the company which launches and sells the product or service. And it’s all the other supply-side players whose complementary goods and services link together to create the offering.
We need these different players to be part of our value network, our ecosystem. But we also need to recognize that they need an incentive – what’s in it for them? Importantly this doesn’t have to be a financial gain or reward – it could also be an investment in learning new approaches or accessing new markets or it could be about reputation and social identity. Think about the brand-building possibilities for companies which help scale social innovations as part of their ESG story.
These 3 entities are ‘bookends’ – the principal players in the value process. But there’s a second set of roles played by ‘movers’ – those entities which enable the process to happen. These include:
· 4. Value Conveyors are players actively involved in the process of adding value to how our solution comes into being and how it is experienced by consumers. Essentially, the value of the innovation grows through the activities they perform. They are more than just channels: their actions actually increase the value of the innovation itself, be it a product or service. Conveyors might be supply side partners upstream or marketing and distribution partners downstream; either way we need them in our ecosystem to ensure value gets created and moved to where it can be consumed.
Brownie Wise’s performances at Tupperware parties were the stuff of legend. She had all sorts of tricks including throwing a container full of tomato soup across the room to demonstrate the strength of the seal (no messy carpets). But her real contribution to the success of the brand was in the role she played as a conveyor, mobilizing an army of other women to act as demonstrators and sales agents across the country.
· 5. Value Channels are passive in the sense that, like roads or railways, they exist as infrastructure but are independent of the nature of the traffic using them. They are important, necessary elements in scaling but they are not sufficient to assure scale. If they weren’t present or if they are disrupted then value movement couldn’t take place, but they are not active elements in the value creation process. It’s important to think about them not least to explore dependencies and how alternatives might be brought into play.
Think about the huge impact to global value flow when the container ship Ever Given got stuck in the physical channel of the Suez Canal for a week back in 2021! Or the way in which the containers on that ship represented a revolution fifty years earlier in the way that the channel of intermodal transportation (road/rail/sea) operated – Malcolm McClean’s innovation of containerization literally changed the world.
· 6. Sometimes there is a role for Value Coordinators to help to make connections and bring different players together to enact value. For example, a department store offers a physical space in which multiple value creators can connect with value consumers; street markets and large-scale shopping malls offer a similar opportunity. Today’s platform businesses like Alibaba, Amazon or Apple build on this model, providing ‘digital department stores’ across which millions of transactions can take place between creators and consumers.
A third group of players in our value network are those we call ‘shapers’ – because they do just that. They shape the potential amount of value that can be created, consumed, moved and captured within a value network.
· 7. Value Cartographers are the ones who make the maps; they play key roles in structuring a market and determining how much value is possible within a value network. Examples might be regulators, trade unions or influential umbrella organizations. Cartographers can play a major role in accelerating – or slowing – the journey to scale. Think about the current moves towards scaling electromobility; much of the journey to scale will be influenced by the regulatory roadmap. Policies like subsidies or tax relief on electric vehicles, or those which militate against fossil fuels, will provide acceleration – for example, the UK has a target of no new cars running only on fossil fuels by 2035. Equally, legislation to ensure compliance can slow down scaling possibilities – think about the EU’s stance on genetically modified organisms which has acted as a brake on investment and exploration of this technology.
· 8. Value Competitors compete with us for the attention of value consumers. They might be direct competitors offering a similar product or service or they might be indirect competitors – for example Netflix is not only in competition with other streaming services but with other ways in which people might allocate their attention– reading, sleeping, looking at their partner while having a conversation. The important thing is that these competitors all shape the context in which value creation/consumption can take place.
· 9. Lastly we have Value Complementors – entities which complement the value an innovation offers. Sometimes they are essential: Thomas Edison’s attempts to revolutionize domestic lighting arrangements depended on having something (an electricity supply) into which users could plug his new light bulb innovation. Bluetooth devices like intelligent earphones depend on having the technology available and operating to a common standard.
So nine different roles which may be present in a value network. Some are obvious – for example, we clearly need a value creator and a value consumer to bookend our model. But even here the lines can blur. Consumers can also play a role as creators – think about what Lego has done with its efforts to engage users as co-creators. GiffGaff is a small but highly successful player in the tightly competitive world of mobile phone networking; its excellent customer service record is in no small measure down to the way in which it has engaged its community of consumers to play this role…
And some are less obvious but important. Take cartographers and the ways in which they can make or break scaling efforts. Mobile money is still an exciting new field for apps and hardware players – yet it’s been a reality in east Africa for over a decade. M-PESA has been a transformational innovation and has scaled around the world – but its early success depended critically on the support of the central bank rather than its opposition to newcomer ideas. It helped create a fertile regulatory landscape within which mobile money could develop and scale.
Sometimes these roles are emergent – for example the TV and movie industry is increasingly interacting with fans who organize themselves into active communities whose activities and opinions can influence (for better or worse) the scaling possibilities of a core offering. Think about the role played by the ‘Star wars’ community with its conventions, costumes and huge online presence. This is not directly controlled by the film companies but instead exists alongside it, complementing the rate and direction of development. Fans of this kind increasingly play a role in creating new characters and backstories for fringe players who later make it to the mainstream of the media offerings – think about some of the Star Wars spin-offs. Robert Jenkins work atMIT has been tracking the huge influence such fandom has on innovation in the creative industries.
It’s useful to think in terms of the different roles we need and how they might interact, first to help us in our hunt for finding partners. But we also need to form them into viable ecosystems – each system has different configurations but drawing a system boundary is a good starting point. Then we have to work with them to create high performing ecosystems – and this is where the work really starts. It’s about creative relationship building, getting to win-win partnerships.
Which is another story, one which we’ll follow up in a future post.
You can find out more on the model and our approach in The Scaling Value Playbook, published shortly by de Gruyter.
Image Credits: John Bessant, Ian Gray, Pixabay
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When my niece was 4 years old, she looked at her mom (my sister) and said, “I can’t wait until I’m an adult so I can be in charge and make all the decisions.” My sister laughed and laughed.
Being in charge looks glamorous from the outside, but it is challenging, painful, and sometimes soul-wrenching. Never is this truer than when you must make a tough decision and don’t have all the data you want or need.
But lately, I’ve noticed more and more executives defer making decisions. They’ll say they want more data, to hear what another executive thinks, or are nervous that we’re rushing to decide.
This deferral is a HUGE problem because making decisions is literally their job! After all, as Norman Schwarzkopf wrote in his autobiography, “When placed in command, take charge.”
When you decide, you lose
A decision is “a choice that you make about something after thinking about several possibilities.” Seems innocent enough, right? Coke or Pepsi. Paper or plastic. Ariana Madix or Raquel Leviss (if you don’t know about this one, consider yourself lucky. If you choose to know about it, click here).
The problem with making decisions is that loss is unavoidable. Heck, the word “decide” comes from the Latin roots “de,” meaning off, and “caedre,” meaning cut. When you choose Coke, paper bags, or Ariana, you are cutting off the opportunity to drink Pepsi with that meal, use a plastic bag to carry your purchases or support Rachel in a pointless pop culture debate.
Decisions get more challenging as the stakes get higher because the fear of loss skyrockets. Loss aversion, a cognitive bias describing why the psychological pain of loss is twice as acute as the pleasure of gain, is common in cognitive psychology, decision theory, and behavioral economics. You see this bias in action when someone refuses to ask questions or challenge the status quo, to take a good deal because it’s below their initial baseline, or to sell an asset (like a house) for less than they paid for it.
No decision is the worst decision
Deciding not to decide is often the worst decision of all. Because it feels like you’re avoiding loss and increasing your odds of making the right decision by gathering more data and input, it’s easy to forget that you’re losing time, employee engagement and morale, and potential revenue and profit.
When you decide not to decide, progress slows or even stops. No decision gives your competition time to catch up or even pass you. Your team gets frustrated, morale drops, and people search for other opportunities to progress and have an impact. The date of the first revenue slips further into the future, slowly becoming just a theoretical number in a spreadsheet.
Decide how to decide
In a VUCA world, a perfect, risk-free decision that offers only upside does not exist. If it did, the business wouldn’t need an executive with your experience, intellect, and courage. Yet here you are.
It’s your job to make decisions.
Make that job easier by deciding how to decide
1. Tell people what you need to see to say Yes. “I’ll know it when I see it” is one of the biggest management cop-outs ever. If you don’t know what you want, don’t waste money and time requiring your team to become mind readers. But you probably know what you want. You’re just afraid of being wrong. Instead of allowing your fear to fuel inefficiency, tell the team what you need or want to see and that, as they make progress, that request might change. Then set regular check-ins so that if/when it happens, it happens quickly and is communicated clearly.
2. Break big decisions down into little decisions. I once worked with a team that had an idea for a new product. They planned to pitch to the executive committee and request 3 million dollars to develop and launch the idea. After some coaxing, we decided to avoid that disaster and brainstormed everything that needed to be true to make the idea work. We devised a plan to test the three assumptions that, if we were wrong, would instantly kill the idea. When we pitched to the executive committee, we received an immediate Yes.
3. Present options and implications. As anyone with a toddler knows, you don’t ask yes or no questions. You give them options – do you want to wear the yellow or pink shirt? If they pick something else, like their Batman costume, you explain the implications of that decision and why the options previously presented are better. Sometimes they pick the yellow shirt. Sometimes they pick the Batman costume. You could force them to make the right decision, but no one wins. (Yes, I just compared managers to toddlers. Prove me wrong).
It’s your decision
Being in charge requires making decisions. When you decide, you lose the option (maybe temporarily, maybe forever) to pursue a different path. But you can’t be afraid to do it.
After all, “Sometimes you win, sometimes you lose, sometimes it rains.”
Image credit: Pixabay
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Well-crafted journeys look at touchpoints not through the lens of what the organization has built, but through the lens of what the target individuals are looking to achieve. Touchpoints are central to a successful journey map because they are the places where the persona and the organization come together. They are conversation starters. As workshop participants identify touchpoints, they will often also identify pain points and experience improvement opportunities. If they don’t, consider probing to understand either why a particular touchpoint provides such a good experience or to find missed pain points or experience improvement opportunities.
When building the journey, if you find people jumping repeatedly to add ideas for experience improvement and your collection of identified pain points needs to catch up, try asking people to identify what is preventing the achievement of select experience improvements.
In general, it is best to begin a journey mapping session by:
Verifying high-level journey stages
Identifying steps and/or actions in each stage
Finding related touchpoints that occur in each step/action
Capturing where pain points exist
Selecting where improvement opportunities lie
When you reach the end, begin again, and probe to find what is missing. The more complete the download from the group’s collective consciousness across these different categories, the higher the quality of the journey map and the base from which to identify the moments of truth and the persona’s emotional experience along the journey.
Moments of truth can easily be identified too carelessly and broadly, so beware! Moments of truth, by their very definition are those moments that drive purchase, retention, loyalty and word-of-mouth when done well, or their opposite when done poorly.
The Path Forward
Anybody can fill in an empty template and say they have created a journey map, just as anyone can brew beer at home if they buy the equipment and the supplies, but doing so doesn’t make them a brewmaster. Craft matters. Research-informed personas matter. Getting workshop participants deeply immersed into the mindset of the target persona matters. Going beyond what people are doing to what they are thinking and feeling matters. Understanding why we are gathering this set of information for the journey map and why people are adding these particular sticky notes matters. Digging below the surface of what someone has written to understand what they truly mean matters.
Remember, the goal is to build a holistic view of the experience. To do so, we must be exhaustive in our information gathering, intuitive in how we bring it together and deliberate in how we identify what is missing and how to get it. We must be insanely curious about our target persona and unapologetic about trying to make the journey map truly represent the experience of the people it is intended to represent. Tell a story. Bring it to life. And use it to make the persona’s experience great.
In 1900, most people lived much like their ancestors had for millennia. They lived and worked on farms, using animal power and hand tools to augment their own abilities. They inhabited small communities and rarely, if ever, traveled far from home. They engaged in small scale violence and lived short, hard lives.
That would all change over the next century as we learned to harness the power of internal combustion, electricity and atoms. These advancements allowed us to automate physical labor on a large scale, engage in mass production, travel globally and wage violence that could level entire cities.
Today, at the beginning of a new century, we are seeing similar shifts that are far more powerful and are moving far more quickly. Disruption is no longer seen as merely an event, but a way of life and the fissures are there for all to see. Our future will depend on our determination to solve problems faster than our proclivity to continually create them.
1. Technology Shifts
At the turn of the 20th century, electricity and internal combustion were over a decade old, but hadn’t made much of an impact yet. That would change in the 1920s, as roads got built and new appliances that harnessed the power of electricity were invented. As ecosystems formed around new technologies, productivity growth soared and quality of life increased markedly.
There would be two more major technology shifts over the course of the century. The Green Revolution and the golden age of antibiotics in the 50s and 60s saved an untold number of lives. The digital revolution in the 90s created a new era of communication and media that still reverberates today.
These technological shifts worked for both good and ill in that they revealed the best and worst parts of human nature. Increased mobility helped to bring about violence on a massive scale during two world wars. The digital revolution made war seem almost antiseptic, enabling precision strikes to kill people half a world away at the press of a button.
Today, we are on the brink of a new set of technological shifts that will be more powerful and more pervasive than any we have seen before. The digital revolution is ending, yet new technologies, such as novel computing architectures, artificial intelligence, as well as rapid advancements in genomics and materials science promise to reshape the world as we know it.
2. Resource Shifts
As new technologies reshaped the 20th century, they also reshaped our use of resources. Some of these shifts were subtle, such as how the invention of synthetic indigo dye in Germany affected farmers in India. Yet the biggest resource shift, of course, was the increase in the demand for oil.
The most obvious impact from the rise of oil was how it affected the Middle East. Previously nomadic societies were suddenly awash in money. Within just a single generation, countries like Saudi Arabia, Iraq and Iran became global centers of power. The Arab Oil Embargo of the 1970s nearly brought western societies to their knees and prolonged the existence of the Soviet Union.
So I was more than surprised last year to find when I was at a conference in Bahrain that nearly every official talked openly about he need to “get off oil.” With the rise of renewable energy, depending on a single commodity is no longer a viable way to run a society. Today, solar power is soaring in the Middle East.
Still, resource availability remains a powerful force. As the demand for electric vehicles increases, the supply of lithium could become a serious issue. Already China is threatening to leverage its dominance in rare earth elements in the trade war with the United States. Climate change and population growth is also making water a scarce resource in many places.
3. Migrational Shifts
One of the most notable shifts in the 20th century was how the improvement in mobility enabled people to “vote with their feet.” Those who faced persecution or impoverishment could, if they dared, sail off to some other place where the prospects were better. These migrational shifts also helped shape the 20th century and will likely do the same in the 21st.
Perhaps the most notable migration in the 20th century was from Europe to the United States. Before World War I, immigrants from Southern and Eastern Europe flooded American shores and the backlash led to the Immigration Act of 1924. Later, the rise of fascism led to another exodus from Europe that included many of its greatest scientists.
It was largely through the efforts of immigrant scientists that the United States was able to develop technologies like the atomic bomb and radar during World War II. Less obvious though is the contributions of second and third generation citizens, who make up a large proportion of the economic and political elite in the US.
Today, the most noteworthy shift is the migration of largely Muslim people from war-torn countries into Europe. Much like America in the 1920s, the strains of taking in so many people so quickly has led to a backlash, with nationalist parties making significant gains in many countries.
4. Demographic Shifts
While the first three shifts played strong roles throughout the 20th century, demographic shifts, in many ways, shaped the second half of the century. The post war generation of Baby Boomers repeatedly challenged traditional values and led the charge in political movements such as the struggle for civil rights in the US, the Prague Spring in Czechoslovakia and the March 1968 protests in Poland.
The main drivers of the Baby Boomer’s influence have been its size and economic prosperity. In America alone, 76 million people were born in between 1946 and 1964, and they came of age in the prosperous years of the 1960s. These factors gave them unprecedented political and economic clout that continues to this day.
Yet now, Millennials, who are more diverse and focused on issues such as the environment and tolerance, are beginning to outnumber Baby Boomers. Much like in the 1960s, their increasing influence is driving trends in politics, the economy and the workplace and their values often put them in conflict with the baby boomers.
However, unlike the Baby Boomers, Millennials are coming of age in an era where prosperity seems to be waning. With Baby Boomers retiring and putting further strains on the economy, especially with regard to healthcare costs, tensions are on the rise.
Building On Progress
As Mark Twain is reputed to have said, “History doesn’t repeat itself, but it does rhyme.” While shifts in technology, resources, migration and demographics were spread throughout the 20th century, today we’re experiencing shifts in all four areas at once. Given that the 20th century was rife with massive wars and genocide, that is somewhat worrying.
Many of the disturbing trends around the world, such as the rise of authoritarian and populist movements, global terrorism and cyber warfare, can be attributed to the four shifts. Yet the 20th century was also a time of great progress. Wars became less frequent, life expectancy doubled and poverty fell while quality of life improved dramatically.
So today, while we face seemingly insurmountable challenges, we should also remember that many of the shifts that cause tensions, also give us the power to solve our problems. Advances in genomics and materials science can address climate change and rising healthcare costs. A rising, multicultural generation can unlock creativity and innovation. Migration can move workers to places where they are sorely needed.
The truth is that every disruptive era is not only fraught with danger, but also opportunity. Every generation faces unique challenges and must find the will to solve them. My hope is that we will do the same. The alternative is unthinkable.
My most recent book, Zone to Win, lays out a game plan for digital transformation based on organizing your enterprise around four zones. They are the:
Performance Zone, where you make, sell, and deliver the products and services that constitute your core business.
Productivity Zone, where you host all the cost centers that support the Performance Zone, functions like finance, HR, IT, marketing, legal, customer support, and the like.
Incubation Zone, where you experiment with next-generation technologies to see if and how they might play a role in your future.
Transformation Zone, which you bring into existence on a temporary basis for the sole purpose of driving a digital transformation to completion.
The book uses these four zones to help you understand your own company’s dynamics. In this blog, however, we are going to use them to help you understand your customer’s company dynamics.
Here is the key insight. Customers buy your product to create value in one, and normally only one, zone. Depending on which zone they are seeking to improve, their expectations of you will vary dramatically. So, if you really want to get your customers to hate you, you have to know what zone they are targeting with your product or service.
To start with, if your customer is buying your product for their Productivity Zone, they want it to make them more efficient. Typically, that means taking cost out of their existing operations by automating one or more manual tasks, thereby reducing labor, improving quality, and speeding up cycle time. So, if you want to make this customer hate you, load up your overall offer with lots of extras that require additional training, have features that can confuse or distract end users, and generally just gum up the works. Your product will still do what you said it would do, but with any luck, they won’t save a nickel.
Now, if instead they are buying your product to experiment with in their Incubation Zone, they are looking to do some kind of proof of concept project. Of course, real salespeople never sell proofs of concepts, so continue to insist that they go all in for the full Monty. That way, when they find out they can’t actually do what they were hoping to, you will have still scored a good commission, and they will really hate you.
Moving up in the world, perhaps your customer has bought from you to upgrade their Performance Zone by making their operations more customer-focused. This is serious stuff because you are messing with their core business. What an opportunity! All you have to do is over-promise just a little bit, then put in a few bits that are not quite fully baked, turn the whole implementation over to a partner, and then, if the stars align, you can bring down their whole operation and blame it entirely on someone else. That really does get their dander up.
But if you really want to extract the maximum amount of customer vitriol, the best place to engage is in their Transformation Zone. Here the CEO has gone on record that the company will transform its core business to better compete in the digital era. This is the mother lode. Budget is no object, so soak it to the max. Every bell, whistle, doo-dad, service, product—you name it, load it into the cart. Guarantee a transformational trip to the moon and back. Just make sure that the timeline for the project is two years. That way you will be able to collect and cash your commission check before you have to find other employment.
Of course, if for some reason you actually wanted your customer to like you, I suppose you could reverse these recommendations. But where’s the fun in that?
That’s what I think. What do you think?
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When the team can get things done without the leader, that’s the sign of a good leader.
If the organization bypasses the leader and goes directly to the subject matter experts, that’s because the leader trusts the subject matter experts.
When subject matter experts are trusted, they do amazing work. Good leaders know that.
When a team leader tells you they made a mistake and take full responsibility for it, they make it safe for you to do the same.
When the team can write a good monthly report while the team leader is on vacation, that’s good for the company and the people who can write a good report on their own.
Good leaders know that they make mistakes and know you will too. And, they’re okay with all that.
When a leader won’t tell you what to do, it’s because she believes in you and knows you’re the best person to figure it out.
When a leader says “I don’t know.” they make it safe for team members to do the same.
When a team leader defers to you, that leader knows the limits of their knowledge and yours.
When a leader responds to your question with a question, the leader is helping you answer your question so you can answer it next time on your own.
Good leaders know that sometimes good people don’t know the answer. And they’re okay with that.
When a leader is comfortable with you reaching out to their boss without their knowledge it’s because that leader has told you the truth over the last several years.
Good leaders don’t celebrate failure, they celebrate learning.
When a leader asks you to use your best judgment, that’s a compliment.
When leaders show their emotions in front of you, it demonstrates that they trust you.
Judge a leader by the performance of people on their team.
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At a recent customer service presentation, the speaker who preceded me said that we must do better than simply meeting our customers’ expectations, and he shared some stories of truly amazing service experiences. Then it was my turn to speak. I didn’t want to contradict him, but I needed the audience to understand that it is impossible to go above and beyond with customers at every interaction. Sometimes meeting expectations is a perfect experience.
In my customer service keynote speeches, I talk about ‘Managing the Moment’. The idea comes from Jan Carlson, and if you’ve been following me, you will recognize this concept. Every interaction customers have with you or your company gives them the opportunity to form an impression. Understanding this simple idea is a good start to developing and/or maintaining your customer service and CX strategy.
I believe you must manage expectations, and if you are even the tiniest bit above average in doing what customers expect, your customers will love you, give you high ratings, and refer you to their colleagues and friends. The key to being successful with this idea is to be consistent. You want customers to say things like, “They always are knowledgeable,” or “They are always so helpful.” The word always followed by something positive, typically an expectation is what you’re going for.
So back to the idea of just meeting expectations. Some people confuse expectations with hope. Here’s what I mean by this. If I call someone for help and leave a message, I expect them to call me back, and I hope they will return the call sooner rather than later.
Let’s say I’m called back within an hour. I’m pleasantly surprised because the person met my expectation of the callback and did it in the timeframe I hoped they would – maybe even a little sooner.
Most customers won’t analyze the experience quite this way, but it is exactly what they want – or hope for. They will, however, notice that the call was returned quickly and may say, “Thanks for calling me back so quickly.” The returned call was expected. The comment about “quickly” indicates their expectations were met or slightly exceeded. And if you do that every time, the customer will use the always when they talk about you and describe the experience by saying, “They always call me back quickly.”
Let’s flip this around. I believe most customers hope for a great experience, but not necessarily an over-the-top or above-and-beyond experience. And based on their typical experience with service laggards, they, unfortunately, don’t have high expectations. So, whenever you meet or just ever so slightly exceed what your customers hope for, you’ve created a positive experience that gets them to say, “I’ll be back!”
Image Credits: Shep Hyken
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Drum roll please…
