Category Archives: Customer Experience

99% of Companies Failed to Do This Last Year

99% of Companies Failed to Do This Last Year

GUEST POST from Art Inteligencia

In today’s rapidly changing business landscape, one essential activity that 99% of companies failed to prioritize last year is conducting regular independent customer and employee experience audits. These audits are critical for understanding the current state and potential improvements needed to enhance engagement, loyalty, and satisfaction among customers and employees.

For most companies, customer and employee experiences are the backbone of their success. A business can’t thrive without satisfied customers buying their products or services, and employees are the driving force behind delivering these experiences. Despite this understanding, many businesses neglect the proactive steps necessary to evaluate and enrich these experiences systematically utilizing unbiased external third parties to walk the experiences and document friction points and opportunities.

Is your company part of the 99% that failed to conduct both an independent customer experience audit and an independent employee experience audit last year?

If you are part of the 1%, please be sure and leave some thoughts about the experience (no pun intended) in the comments!

Why Independent Experience Audits Matter

Independent experience audits are comprehensive reviews of interactions customers and employees have with a company performed by an unbiased external resource. They help identify pain points and opportunities for improvement. These audits should be performed regularly as they can reveal insights into:

  • The alignment between company offerings and customer needs.
  • The effectiveness of internal processes in promoting a positive work environment.
  • The coherence of brand values with actual customer and employee experiences.
  • Emerging trends and preferences that might impact future strategies.

“73% of customers are willing to pay more for a great customer experience.” – Temkin Group

Despite the apparent value proposition of these independent audits, why are so many companies still overlooking them? The constraints are often a mix of perceived complexity, lack of in-house expertise, or prioritization of immediate financial metrics over strategic insights. However, history has shown that organizations that adapt ahead of changes in expectations are better positioned to succeed over those that react out of necessity.

Case Study 1: An Overlooked Opportunity – Company X

Company X, a well-established retail brand, faced declining sales figures and employee turnover. Their product line remained strong, and pay scales were competitive. However, deeper insights revealed that customer experiences were inconsistent, and employees often felt disengaged due to a lack of communication and growth opportunities.

Recognizing the signs, Company X engaged in a comprehensive independent experience audit. The audit discovered two key issues:

  • Customer Experience: Customers reported a lack of personalization in their shopping journey, expressing frustration over disconnected in-store and online experiences.
  • Employee Experience: Employees felt unappreciated, with inadequate feedback channels and professional development options.

Armed with these insights, Company X implemented a strategy that enhanced personalized shopping experiences using AI-driven recommendations and integrated both digital and physical stores for seamless customer journeys. Simultaneously, they developed a robust internal communication framework that empowered employees through regular feedback and offered career progression pathways.

Within six months post-intervention, Company X witnessed a 15% increase in customer satisfaction scores and a 20% decrease in employee turnover—solidifying the importance of independent experience audits.

Case Study 2: A Success Story – Company Y

Company Y, on the other hand, already valued independent customer and employee experience audits as a vital component of their corporate strategy. As a result, they experienced steady growth and minimal churn rates despite operating in the highly competitive tech industry.

Company Y conducts bi-annual audits using a company like HCLTech, reviewing user interactions with their software products and collecting feedback through employee surveys intertwined with one-on-one interviews. They discovered that:

  • Customer Experience: The need for improved user interface intuitiveness was prevalent, prompting a user-centered design overhaul that optimized performance and usability.
  • Employee Experience: Although engagement levels were high, team collaboration across departments showed potential for enhancement.

By proactively addressing these issues, Company Y not only improved its software product, which increased customer retention by 25%, but also invested in team-building exercises and diversified project teams, leading to more innovative solutions and a dynamic organizational culture.

How to Implement Experience Audits in Your Organization

To avoid the common pitfalls highlighted, businesses need to incorporate independent experience audits into their regular strategic evaluations. Here’s a simplified approach to getting started:

  1. Define Objectives: Clearly identify what you aim to discover with the audit. Are you focusing on loyalty, satisfaction, efficiency, or a combination?
  2. Select a Partner: Choose an independent resource that is experienced, trustworthy and thorough in their activities to assess and document their findings as they walk the critical components of your customer and employee experiences.
  3. Gather Data: Utilize surveys, interviews, focus groups, and data analytics to collect comprehensive insights.
  4. Analyze Findings: Categorize feedback to identify consistent patterns, pain points, and potential areas for improvement.
  5. Develop an Action Plan: Prioritize issues by impact and feasibility, then devise a strategy that aligns with your company’s goals.
  6. Implement Changes: Address the identified opportunities with targeted interventions, ensuring stakeholders are engaged and informed.
  7. Measure Impact: Continuously track the effectiveness of changes and refine strategies as necessary.

Conclusion

Independent experience audits are not just a ‘nice to have’ but a strategic necessity. Companies can no longer afford to be complacent; they must take actionable insights from these audits to craft memorable and meaningful experiences for their customers and employees. Companies like Y that put independent experience audits at the heart of their strategy invariably found themselves robust against industry challenges, offering lessons that the broader business community should heed.

“Companies that excel at customer experience are 60% more profitable than their peers.” – Gartner

If you would like to engage an unbiased external person like Braden Kelley to conduct a customer experience and/or employee audit for you this year to join the 1% leapfrogging their competition, contact us!

Bottom line: Futurology is not fortune telling. Futurists use a scientific approach to create their deliverables, but a methodology and tools like those in FutureHacking™ can empower anyone to engage in futurology themselves.

Image credit: Pixabay

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The Secrets of Customer Support Triage

The Secrets of Customer Support Triage

GUEST POST from Shep Hyken

Recently, I had the privilege of being a keynote speaker on customer experience (CX) at a company’s quarterly event. Following the speech, the CEO shared an insight into their approach to customer service and CX, comparing it to a medical emergency room. “Our response to customer complaints and issues is akin to triage,” he said. “We effectively diagnose the problems, yet find ourselves treating similar cases repeatedly as if sending them to an emergency room that never addresses the underlying causes.”

Triage is an interesting word. It’s a medical term, but I wanted to better understand the definition, so I did what most people do. I Googled the word, and this is the definition from Merriam-Webster:

  1. The sorting and allocating of treatment to patients, especially battle and disaster victims, according to a system of priorities designed to maximize the number of survivors.
  2. The assigning of priority order to projects on the basis of where funds and other resources can be best used, are most needed, or most likely to achieve success.


The first definition confirmed that the CEO’s comment was accurate. They fix problems, but don’t seem to be preventing the problems. The second definition sounds like common practice for most businesses, not just hospital emergency rooms. They prioritize projects – in this case, customer service issues – and focus on what will provide the best return.

I loved the CEO’s comment because he recognized the end goal wasn’t to deliver great customer service when there was a problem but to create a customer experience that had few, if any, problems. Put another way, it’s one thing to fix problems. It’s another to understand why there’s a problem and create a preventative solution or system that eliminates – or at least mitigates – the problem in the future. Yes, there will be customer service issues, but with this line of thinking, you can eliminate many problems and complaints.

This reminded me of commercials I remember seeing when I was a kid. From 1967-1988, there were commercials for Maytag washers and dryers. Many of you are too young to remember the Maytag repairman known as “Ol’ Lonely,” who was lonely and bored because the Maytag equipment was so dependable. Of course, the machines weren’t perfect, but they were reputed to be more reliable than competitors.

I like the idea of boring – when it comes to problems and complaints. Nothing would make me happier than to see the true depiction of a company’s customer service agents sitting around bored because customers seldom called with complaints.

So, consider this question: Would you rather be the company known for solving problems when they happen or the company that doesn’t have problems?

Image Credits: Unsplash

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Top 10 Human-Centered Change & Innovation Articles of December 2024

Top 10 Human-Centered Change & Innovation Articles of December 2024Drum roll please…

At the beginning of each month, we will profile the ten articles from the previous month that generated the most traffic to Human-Centered Change & Innovation. Did your favorite make the cut?

But enough delay, here are December’s ten most popular innovation posts:

  1. Top Six Trends for Innovation Management in 2025 — by Jesse Nieminen
  2. Best Team Building Exercise Around — by David Burkus
  3. You Are Doing Strategic Planning Wrong (According to Seth Godin) — by Robyn Bolton
  4. Why Annual Employee Experience Audits Are Important — by Braden Kelley and Art Inteligencia
  5. Don’t ‘Follow the Science’, Follow the Scientific Method — by Pete Foley
  6. Artificial Innovation — by Braden Kelley
  7. Dynamic Thinking — by Mike Shipulski
  8. The State of Customer Experience and the Contact Center — by Shep Hyken
  9. The Duality of High-Performing Teams — by David Burkus
  10. Uber Economy is Killing Innovation, Prosperity and Entrepreneurship — by Greg Satell

BONUS – Here are five more strong articles published in November that continue to resonate with people:

If you’re not familiar with Human-Centered Change & Innovation, we publish 4-7 new articles every week built around innovation and transformation insights from our roster of contributing authors and ad hoc submissions from community members. Get the articles right in your Facebook, Twitter or Linkedin feeds too!

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Nordstrom Still Acting Like a Startup

123 Years Later

Nordstrom Still Acting Like a Startup

GUEST POST from Shep Hyken

In 1901, John Nordstrom and Carl Wallin opened the original Wallin and Nordstrom shoe store. Twenty-two years later, a second Nordstrom shoe store opened. Today, according to Nordstrom Company Facts, there are 360 stores in the U.S., including 93 Nordstrom stores, 258 Nordstrom Rack stores, two clearance stores, six Nordstrom local service hubs and online e-commerce websites for Nordstrom and Nordstrom Rack.

In the past 123 years, much has happened and many retailers have come and gone. There have been stock market crashes, wars, economic issues, pandemics and more. Yet Nordstrom has weathered these storms and has continued to own a reputation for incredible customer service and convenience.

Robert Spector is an author and Nordstrom expert, having written five books on Nordstrom, the most recent titled, The Century-Old Startup: The Nordstrom Way of Embracing Change, Challenges, and a Culture of Customer Service. I had the chance to interview him about the book and how Nordstrom has remained a viable brand for more than a century.

Spector’s first answer was short, and as the title of the book implies, the leadership has a startup mentality. Its leadership is quick to make decisions and keep up with changes in the economy and customer expectations. Here are some of the top takeaways from our interview:

  • The Nordstrom Handbook: This is a legendary story. Nordstrom has one rule: Use good judgment. The company hires good people, trusts their ability to manage customer interactions and empowers them to make good customer-focused decisions.
  • Training: Training includes sharing examples of how other employees have solved problems and taken care of their customers. Legendary customer service stories (such as the story about an employee giving a refund for a used set of tires) showcase how Nordstrom treats its customers, which in turn inspires and motivates employees. These stories emphasize how important it is to find ways to exceed customers’ expectations.
  • Supporting Social Causes: Customers prefer brands that support the same social causes they do. More than just giving back to the community, Nordstrom also understands that embracing social responsibility includes respecting diverse values and perspectives and adapting to different cultures for both employees and customers.
  • Technology: You can’t continue to do business like you’ve always done. Nordstrom has shown that it can adapt to the new ways of retail. Spector writes that Nordstrom has embraced technology. Its philosophy is to try it. If it works, great. If not, move on. At the same time, the company recognizes that its reputation is tied to its legendary customer service. They have found ways to embrace e-commerce and adapt to the ever-changing needs of customers and how they buy. Spector says, “Balancing technology with personal connections and understanding the importance of human interactions is key to creating a differentiated and exceptional customer experience.”
  • Embrace Transformation: Retail continues to evolve, and new iterations of Nordstrom prove that the only constant you can count on is change. Yet one thing that doesn’t change is Nordstrom’s theme of focusing on the customer, regardless of the changes it has made, which includes opening Nordstrom Rack, clearance stores and e-commerce.

The overarching theme to all the ideas that Spector shares about Nordstrom is that, from the company’s very beginning, they have recognized the power of the relationship they have with their customers. Delivering a level of service that sometimes isn’t expected results in a reputation that has kept them relevant for more than a century. Spector sums this up by saying, “Ultimately, it’s about how decisions positively impact the customer, not just the company.”

Image Credits: Pexels

This article originally appeared on Forbes.com.

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Why CIOs Should Co-Lead Customer Experience

https://www.forrester.com/report/The-ROI-Of-CX-Transformation/RES136233

GUEST POST from Howard Tiersky

Forrester recently gathered top Customer Experience (CX) professionals from around the world for the Forrester CX Forum in New York. For the uninitiated, CX is the discipline of defining the step-by-step customer journey from marketing through sales and service. It defines the key capabilities, content, and interfaces that need to be present at each customer touchpoint and how those touchpoints work together to form a cohesive experience.

At the conference, extensive data was presented to support the argument that delivering a seamless customer experience is more important than ever. In fact, it’s the primary way digital disruptors, like Uber and Amazon, are taking share from more traditional brands.

Forrester found that from 2011 to 2015, revenues for companies that scored near the top of the Forrester CX Index™ outgrew that from a group of companies who scored poorly (CX laggards in Forrester’s terminology) by more than five to one.

But who is actually in charge of CX, and who should be? Many CIOs classically would respond that these types of matters―the design of the website, its features, and generally how we interact with the customer―is the responsibility of marketing or other areas of “the business.” Once “business” decides what they want, IT will build and support it – that’s the breakdown of responsibilities. For the CIO, this may seem to be the most efficient arrangement, as they have plenty to worry about and sometimes it’s nice to be able to identify something they don’t have to focus on.

But in testing this classic mindset through conversations with many of the CX experts at the Forrester Summit, I heard a strong, unanimous dissent with this traditional view. The view of the CX community is that to deliver great results in customer experience, senior IT leadership must be intensively involved in the full CX lifecycle, not merely a recipient of requirements when it’s time to write some code, and not merely kept apprised in an “FYI” type fashion. For example, Ori Soen, General Manager of Medallia Digital, a leading provider of CX software, offered, “We clearly see that when CIOs and their IT teams are customer-centric and focused on CX, the organization is able to generate much better business outcomes from its CX investment.”

These experts point to successful CX companies, such as Google, Facebook, and Airbnb, where the development teams and business teams are working as one unit, making decisions about the experience, and implementing it together.

As Daniel Davenport, Managing Director of Liquid Hub, an agency that focuses on customer engagement, articulated, “I think it is important for the CIO to have a voice at the table and co-create the ultimate solution.”

But as busy as enterprise CIOs and their key lieutenants are, I pressed the CX experts at the Forrester Forum as to exactly why it’s truly essential that the CIO be so aggressively involved in CX and what the specific areas of value are. After speaking with some CX professionals, I derived five key areas of significant value that are derived from CIO involvement in the CX process.

1. Art of the Possible

CX innovation sits at the intersection of customer need and the ever-changing landscape of what is technically possible. It’s too abstract for CX professionals to define requirements and ask IT to figure out how to make them work if the CX teams don’t have a good sense of what they have to work with. New technologies from Artificial Intelligence (AI) to Virtual Reality to In-memory computing make it possible to do things today that were impractical just a year or two ago. But IT can’t be expected to “brief” CX professionals on every technology in the world. Instead, the process needs to be a collaboration of those studying what customers need and those studying what technology is newly enabling so that they can pool their knowledge and find new intersections where value can be created for the customer and the company. That only happens when IT is intimately involved in the ongoing process of considering the next generation CX.

2. Understanding Level of Effort and Dependencies for Prioritization and Planning

In an enterprise, there are typically many systems and many simultaneous programs going on that impact what can be implemented, when it can be implemented and with what level of effort. CX teams need to be constantly considering how their visions intersect with the technical reality of enterprise IT to develop CX roadmaps that aggressively bring new capabilities to market, but don’t crash headlong into other initiatives, system upgrades, or compliance issues.

Furthermore, CX design requires the continuous balancing of the customer’s optimal experience and various business considerations, including the cost of implementing new capabilities and the cost of supporting them. A significant component of these cost factors is IT. Therefore, there is a constant and ongoing need to both understand from IT what the level of effort might be for any given enhancement, and perhaps even more importantly, IT should be a creative collaborator in thinking about how to optimize technical approaches so that great CX ideas can be implemented with a sensible value equation. To do this effectively, IT can’t just “cost out” requirements provided by the business, but needs to be “on the inside” to understand what is really trying to be accomplished. Sometimes the answer that works economically relies on a different set of requirements than that which was initially envisioned, and an engaged senior IT partner can get creative with their colleagues to search for the best value equation.

3. Measuring CX

Measurement is a huge component of CX. The goal of CX is to move the customer through a journey from awareness to consideration to purchase to advocacy and loyalty. Many discreet components make up this journey across various touchpoints: the emails sent to customers, individual features of an app, the information available to call center representatives, and the way returns are handled. The constant obsession of CX professionals is, “How do we make this process better so the customer is more delighted and the business outcome is even more robust?” But to do so, it is essential to constantly measure the impact of each individual component of the customer’s mindset and behavior. Measuring these many interactions is often complex because it requires collecting data across many different touchpoints and then being able to correlate it so as to figure out the puzzle of causality. That requires understanding enterprise data and how to connect it across very diverse systems ― an expertise that IT needs to bring to the table.

In addition to the enterprise systems themselves, there are many excellent and deeply technical tools that support the CX measurement process. CIOs need to be deeply involved in these systems just as they would in finance or HR systems. I spoke with David McBride, a CX expert and Director of Product Management at IBM who argued, “CIOs have long been focused on creating technology to help businesses operate; when they participate in the CX process, they get to see data or even videos of customers and how they may be struggling to move through the current customer journey.” IBM’s Behavioral Analytics tool (formerly known as Tealeaf), for example, offers tools that record user sessions for analytical purposes. McBride notes, “There is nothing like seeing a session replayed to illustrate the extent of a particular struggle.”

4. True End-to-End Perspective

Lastly, in enterprises very often there isn’t just one CX initiative, but many, focused on different products, channels, touchpoints, or customer segments. The office of the CIO can often make sure that the ultimate customer experience is achieved by making sure that there is cohesion to both the technology and also the management of data across these different initiatives.

I spoke with Angela Wells, Senior Director, CX at Oracle about this, “At Oracle, what we have seen is that the CIO can and should be essential to CX decisions. What has happened at a lot of bigger companies is that they have made many ‘one-off’ decisions about what they thought were best-in-breed solutions in separate [areas of the business], and then the data didn’t talk to each other. It all got pretty sporadic and expensive, and it didn’t really deliver the customer experience [desired]. So, what we have found is that CIOs have become a centralized source for thinking about what’s going to happen to that data. They are thinking more of an umbrella; what’s best for the whole company, not just what’s best for my little niche?”

As small steps in customer experience grow into a larger program, you run the risk of chaos if there isn’t someone with the broader perspective. Dimitry Grenader, VP Product Marketing at Luminoso, a leading player in the AI arena, expressed this passionately, “In this day and age, CX should not just be left to marketers. Software is eating the world, and being able to put together the right platform will ultimately determine the success or failure of the efforts. Everything in today’s world starts as a feature, then becomes a product, which in turn becomes a platform, and finally becomes the operating system. If you don’t have the right operating system, you are building a castle on the sand.”

“I believe that a CIO must at the very least be a strong stakeholder, if not the driver of the CX process.”

Oracle’s Wells summed up this shift in terms of the evolving role of the CIO in our new digitally transformed world, “If you are thinking of the CIO as that straight tech-minded person, you are going to miss out on that more modern CIO that is a Chief Innovation Officer who takes responsibility to figure out how we make the most of what we are spending on technology to deliver the best customer experience.”

5. Changing the Way IT Operates

Finally, the level of transformation required to enable enterprises to deliver on their customer’s digital expectations may require a significant transformation in many facets of how IT operates, so it’s important for the CIO to deeply understand this difference.

As Forrester Vice President and Research Group Director Sharyn Leaver summed it up, “Compelling experiences, delivered digitally, separate CX winners from laggards. Firms that lead their industries to customer experience aggressively embrace business technologies to help win, serve, and retain customers — and they do so at rapid pace. This requires intense involvement from CIOs and their teams. Not at an arm’s length. But through ongoing collaboration and innovation.

“CX brings new prominence to technology’s role, but also new pressures on CIOs. The pervasive need for digital experiences exposes old systems, static organizations, and especially outmoded cultures that cannot deliver at the speed of the customer. For the CIO, this is much more daunting than merely spinning up a digital or mobile team. For many, success will require an overhaul of their organization – the people, processes, governance, and technology itself.”

This article originally appeared on the Howard Tiersky blog

Image Credits: Unsplash

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The Real Winners of Mega Events

From the Super Bowl to Rock Concerts

The Real Winners of Mega Events

GUEST POST from Shep Hyken

Fans who attend major sporting events and concerts may have memories to last a lifetime. The owners of the sports teams and producers of major music events may smile as they look at a sold-out crowd. The athletes and musicians are well-paid for their performances. And we can’t forget the sponsors who pay large sums of money to be affiliated with events, enjoy brand recognition and see a return on their advertising dollars. But there’s one other “happy customer” that many people don’t think about: the city that gets the honor of hosting these events.

The Super Bowl is next month, and for many, it is a festive occasion. For the city that hosts the biggest sporting event of the year, it’s a windfall in economic benefit. This year, that city was Las Vegas. Even before the Super Bowl was hosted in its new stadium, the city profited from major sporting events. People flock to Vegas to party, gamble and enjoy their favorite major sporting events on the gigantic screens in the casinos around the city. Although the NBA championship may be played in a different city, it’s still hard to find a room at a high-end hotel like Bellagio, Wynn or Caesars.

The point is that the host city receives a huge economic impact beyond the game, even if its main street is not lined with casinos. Two years ago, Major League Baseball’s World Series pitted the Houston Astros against the Arizona Diamondbacks. There was an economic windfall for the two cities.

According to a local economy study, Houston First Corp. found that each game played in Houston was worth $12.5 million. In Phoenix, where the D-Backs play, the numbers are similar. Even though fans want their team to win quickly and decisively, there is an economic benefit to the best-of-seven match going the distance. Restaurants, hotels and more benefit, and the taxes charged benefit the cities and states.

The NCAA March Madness “Final Four” basketball tournament is ironically played in April. Last year’s “winning city,” regardless of the teams playing, is Phoenix. The last time Phoenix hosted the tournament was in 2017, and a Seidman Research Institute study at Arizona State University’s W.P. Carey School of Business found an estimated 59,761 visitors stayed an average of 4.16 nights and spent an average of $487.19 per day, with a total economic impact of $324.5 million.

The benefits of sporting and entertainment events for their respective cities can’t be ignored. Be it sports, concerts, festivals, art shows, etc., these events are not just enjoyed by people attending. The trickling benefit of a boom to the area makes the effort to produce and host the events worthwhile.

Last year I met with Steve Schankman, the president of Contemporary Productions, who has produced concerts, special events and music festivals for more than 50 years. His events range from high-school venues where he booked Chuck Berry in the ’60s and ’70s, to the Super Bowl halftime show with U-2, to major music festivals starring Elton John, The Beach Boys and many other music icons, with millions in attendance throughout the years.

A couple of years ago, Schankman, with his partner Joe Litvag, produced Evolution Festival, a two-day summer music festival in St. Louis, with the goal of bringing the local community together to enjoy a talent lineup that featured Brandi Carlile, The Black Keys, Ice Cube, the Sugarhill Gang and more. If the lineup seems eclectic, that was purposeful, as Schankman’s dream was to unite music fans from every part of the area. “Music should bring people together, regardless of color, religion and sex,” says Schankman. More than 25,000 people—7,500 from outside the St. Louis area—enjoyed the festival. But it’s more than just entertainment for music fans, and he can’t wait to do it again with a lineup even more exciting and diverse than the first year’s festival.

In an article recapping the inaugural Evolution Music Festival, Schankman said, “I got 600 people working here. Besides that, we have employment taxes, we have sales taxes. We’ll do seven figures in concession sales. Seven figures in ticket sales. So just the taxes alone for the state and the city are great.”

The Metro St. Louis area, with a population of more than 2.7 million people, profits from a major music event like Evolution Festival just like it would from a major sporting event. Looking beyond the fun-filled weekend, the financial side of the sports and entertainment industry benefits more than just the talent on the field, court, or stage. Even though a concert experience like Evolution Festival doesn’t have the same financial impact as a Super Bowl championship or Final Four tournament, there are still similar benefits.

According to Brian Hall, chief marketing officer at Explore St. Louis, the average travel party to St. Louis consists of three guests staying 2.4 nights and spending $969 on hotel rooms, restaurants, attractions, etc. Then you add on ticket sales for the event, food and beverage, and souvenirs, and the numbers grow. With approximately 7,500 out-of-towners attending the Evolution Festival, the city and state enjoy a windfall of tax revenue to the tune of hundreds of thousands of dollars. In addition, there are future benefits. Hall says, “Visitation to a community is a precursor to economic development, including moving, relocating a company or starting a business in St. Louis.”

The events business, be it sports, a concert/music festival or any other large public affair, always has support from local, national and international sponsors. Large brands like AT&T, American Express and Anheuser-Busch put millions into major sporting events. While Schankman won’t compare the Evolution Festival to the Super Bowl, he said, “Cities like St. Louis offer sponsors the chance to be seen by a geographically targeted audience. The festival created 31 million impressions through the in-person experience, on social media and with our traditional advertising and marketing.”

Several times Schankman emphasized bringing people from all walks of life together. At the end of our interview, he summed it up by saying, “At a time when we’re experiencing racial and religious tension, political divide and terrifying world events, let’s remember what Beatles drummer Ringo Starr is known for preaching, ‘Peace and love!’ That’s what Evolution Festival is all about, and the businesses and brands that support it should want to be a part of something that special!”

Image Credits: Pixabay

This article originally appeared on Forbes.com.

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When Scaling Innovation Backfires

How One Company Became the Theranos of Marshmallows

When Scaling Innovation Backfires

GUEST POST from Robyn Bolton

Here’s a head-scratcher when it comes to scaling innovation: What happens when your innovative product is a hit with customers, but you still fail spectacularly? Just ask the folks behind Smashmallow, the gourmet marshmallow company that went from sweet success to sticky situation faster than you can say “s’mores.”

The Recipe for Initial Success

Jon Sebastiani sold his premium jerky company Krave to Hershey for $240 million and thought he’d found his next billion-dollar idea in fancy French marshmallows. And initially, it looked like he had. 

Smashmallow’s artisanal, flavor-packed treats weren’t just another fluffy, tasteless sugar puff – they created an entirely new snack category. Customers couldn’t get enough of their handcrafted, churro-dusted, chocolate-chip-studded clouds of happiness. The company hit $5 million in sales in its first year, doubled that the next, and was available in 15,000 stores nationwide in only its third year.

Sounds like a startup fairy tale, right? Right!  If we’re talking about the original Brothers Grimm versions.  Corporate innovators start taking notes.

The Candy-coated Vision

Sebastiani and his investors weren’t content with building a successful premium regional brand. They wanted to become the Kraft of craft marshmallows, scaling from artisanal to industrial without losing what made the product special. It’s a story that plays out in corporations every day: the pressure to turn every successful pilot into a billion-dollar business.

So, they invested.  Big time.

They signed a contract with “an internationally respected builder of candy-making machines” to design and build a $3 million custom-built machine and another with a copacker to build an entirely new facility to accommodate the custom machine.

Bold visions require bold moves, and Sebastiani was a bold guy.

The Scale-up Meltdown

But boldness can’t overcome reality, and the custom machine couldn’t replicate the magic of handmade marshmallows. It couldn’t even make the marshmallows.

Starch dust created explosion hazards. Cinnamon wouldn’t stick. Workers couldn’t breathe through spice clouds. The handmade ethos of imperfect squares gave way to industrialized perfection. Each attempt to solve one problem created three more, like a game of confectionery whack-a-mole.

By 2022, Smashmallow was gone, leaving behind a cautionary tale about the gap between what customers value and what executives and investors want. The irony? They succeeded in their mission to disrupt the market – by 2028, the North American marshmallow market is projected to more than double its 2019 size, largely thanks to the premium category Smashmallow created. They just won’t be around to enjoy it.

A Bittersweet Paradox

For so many corporate innovators, this story hits close to home. How many promising projects died not because customers didn’t love them but because they couldn’t scale to “move the needle” for a multi-billion dollar corporation? A $15 million business might be a champagne-popping moment for an entrepreneur, but it barely registers as a rounding error on a Fortune 500 income statement.

This is the innovation paradox facing corporate innovators: The very pressure to go big or go home often destroys what makes an innovation special in the first place. It’s not enough to create something customers love – you must create something that can scale to satisfy the corporate appetite for growth.

Finding the Sweet Spot

The lesson isn’t that we should abandon ambitious scaling plans. Instead, we must be brutally honest about whether our drive for scale aligns with what makes our innovation valuable to customers. If it doesn’t, we must choose whether to scale back our ambitions (unlikely) or let go of our successful-but-small idea.   

After all, not every marshmallow needs to be a mountain, but every mountain climber (that’s you) needs a mountain.

Image credit: Unsplash

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The Dark Side and the Shep Side of Customer Service

The Dark Side and the Shep Side of Customer Service

GUEST POST from Shep Hyken

Let’s play a game. We can call it ‘Lousy Service Versus Good Service’, or a better title I came up with: ‘The Dark Side Versus the Shep Side’.

‘The Dark Side of Service’ is just bad. The opposite is what I teach in my customer service (CX) keynote speeches and customer service training program. Here are some Dark Side and Shep Side examples:

Dark Side: Making customers wait for long, unreasonable lengths of time.

Shep Side: Customers don’t wait. But that’s not always possible, so if they do have to wait, they are told how long, and the company honors its commitment.

Dark Side: Employees are rude. In my annual customer service research (sponsored by RingCentral), the top reason customers leave one company to go to another is rude employees!

Shep Side: Employees are the exact opposite of rude. Our research found the top reasons customers come back to a company are employees who are helpful, knowledgeable and friendly.

Dark Side: The experience is marred by friction and unfriendly customer policies. It seems like it’s never easy to reach a person or get help, and even if you’re trying to buy something, sometimes the company makes it hard. It’s almost as if they have a sales-prevention department.

Shep Side: Customers love companies that are easy to do business with. It’s more than convenience – although customers love convenience. Being easy in business means processes and policies that are customer-friendly. It’s easy to reach a customer support agent. Employees respond quickly to customers’ messages. Maybe it’s a hassle-free return or exchange policy. The point is, the experience is just easy!

Dark Side: Inconsistent experiences … one day, the service and experience are great. The next time, they aren’t. The customer wonders, “What will the next experience be like?”

Shep Side: When customers have a consistent and predictable experience, they trust you. They know what they are going to get. They “own the experience,” often to the point where a customer won’t take the risk of doing business elsewhere for fear of being let down. This is what you want customers to experience.

The Dark Side and the Shep Side of Customer ServiceI could go on and on with examples like these, but instead, how about you come up with your list? Use these examples as conversation starters to find your version of the Shep Side of service. Start by asking where you fall short or receive complaints. Dig deep to find the root cause of these problems. Then, determine what the opposite of these problems would be. More importantly, what drives the opposite experience? And when you find it, do what’s necessary to make it consistent and predictable. That’s what customers want: a consistent and predictable experience they can count on.

Image Credits: Unsplash

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Creating A Connected Human Experience

Empathy Meets Technology

Creating A Connected Human Experience

GUEST POST from Shep Hyken

Because of AI, so much has changed in the way companies do business. The technology hit a tipping point when ChatGPT and other generative AI solutions moved from behind the scenes to public awareness in November 2022. Even if the public didn’t know exactly what ChatGPT-type products were, they had an idea. This created both excitement and fear. For companies and brands, it created opportunities to employ more powerful technology at a lower price. It also created confusion about which technology to choose, how to implement it quickly and whether to implement something as new as this at all.

One company that quickly adapted and transformed itself is C1, a technology solutions provider that serves nearly half of the Fortune 500 (and many others) and partners with more than 140 technology vendors that they help match to their clients’ needs. I had a chance to sit down with Jeffrey Russell, formerly a “transformation leader” and president of Accenture Canada, and now the CEO of C1, who shared how he is leading his company to grow through acquisition and meeting the company’s and its customers’ ever-changing goals.

In our interview on Amazing Business Radio, Russell shared, “In a financial restructuring, you really need to have your story right from the outset.” His formula is simple.

  1. Know what you’re really good at—your company’s superpowers.
  2. Know how you want the organization to change and how you plan to get there. Clarity is essential to getting an ownership group and other stakeholders to support your plan.
  3. Everyone on the team must tell the same story and communicate it clearly. You can’t afford miscommunication. You want to communicate the company’s vision and its long-term value and demonstrate confidence in the company’s future success.
  4. Finally, you must have patience. Over-communicate throughout the process to keep everyone aligned as you move forward.

Russell states, “In the end, leading a change like this is about taking control of your destiny so you can come out on the other end as a financially stronger organization in a better market position to innovate, deliver value to customers and sustain growth.”

While leading C1’s growth and transformation in the era of the AI technology boom, Russell never took his eye off what was most important to a company: the human experience. In addition to taking us through that overview, he also shared how to create a powerful connected human experience for both customers and employees, which is the focus of what follows. Below are his ideas (in bold) followed by my commentary:

  1. Two words that aren’t typically found in the same sentence are technology and empathy. Russell says, “Technology is stark. It’s cold, and often a barrier between the company and its customers.” The easiest way to explain this is that companies must find a balance between technology and the human-to-human (H2H) experience. While technology expands capabilities, you can’t afford to do it at the cost of the relationship. The concept of empathy means understanding what matters to customers. People must be the No. 1 consideration in a plan to acquire and implement new technology.
  2. Ensure technology serves human needs. As you seek a balance between tech and H2H, consider how the technology helps people. Does it make life easier for both customers and employees? And, to emphasize Russell’s concern about the overuse of tech, will it enable better connections?
  3. Use human experience to add new levels of business value. Without technology, what would the experience look like? Then, after implementing the technology, be sure it supports rather than disrupts the experience.
  4. Walk in the shoes of your customer! As “cool” as technology can be, pretend you’re the customer who isn’t quite as savvy with technology as you are. What’s the experience like? It must be easy, intuitive and almost human-like.

As we came to the end of the interview, Russell shared three A’s people should consider when referring to AI:

  1. Authentic Intelligence: Even if it is artificial, does the solution promote an authentic experience? Or will the technology come across to the customer as cold or stark?
  2. Augmented Intelligence: Think of augmented reality and how it enhances the virtual experience. AI augments intelligence. It may or may not work by itself, but when combined with the H2H experience, it supports and makes it easier for employees to help customers with their questions and problems.
  3. Actionable Intelligence: When you activate artificial intelligence, the implementation process should begin with what happens to the customer experience when it is applied. Just having something new or cool isn’t the reason to implement it. This concept takes us back to how the best companies seem to master the balancing act between technology and the H2H experience.

Rapid advances in AI technology bring both opportunities and challenges for businesses. As companies and brands explore, experiment and make their choices for what works best, Russell emphasizes never losing focus on creating a meaningful and connected experience. By balancing technology with empathy and understanding, businesses can not only survive but thrive in this new era.

Image Credits: Pixabay

This article originally appeared on Forbes.com

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Top 100 Innovation and Transformation Articles of 2024

Top 100 Innovation and Transformation Articles of 2024

2021 marked the re-birth of my original Blogging Innovation blog as a new blog called Human-Centered Change and Innovation.

Many of you may know that Blogging Innovation grew into the world’s most popular global innovation community before being re-branded as Innovation Excellence and being ultimately sold to DisruptorLeague.com.

Thanks to an outpouring of support I’ve ignited the fuse of this new multiple author blog around the topics of human-centered change, innovation, transformation and design.

I feel blessed that the global innovation and change professional communities have responded with a growing roster of contributing authors and more than 17,000 newsletter subscribers.

To celebrate we’ve pulled together the Top 100 Innovation and Transformation Articles of 2024 from our archive of over 2,500 articles on these topics.

We do some other rankings too.

We just published the Top 40 Innovation Bloggers of 2024 and as the volume of this blog has grown we have brought back our monthly article ranking to complement this annual one.

But enough delay, here are the 100 most popular innovation and transformation posts of 2024.

Did your favorite make the cut?

1. Organizational Debt Syndrome Poses a Threat – by Stefan Lindegaard

2. FREE Innovation Maturity Assessment – by Braden Kelley

3. The Education Business Model Canvas – by Arlen Meyers, M.D.

4. The Role of Stakeholder Analysis in Change Management – by Art Inteligencia

5. Act Like an Owner – Revisited! – by Shep Hyken

6. Iterate Your Thinking – by Dennis Stauffer

7. SpaceX is a Masterclass in Innovation Simplification – by Pete Foley

8. What is Human-Centered Change? – by Braden Kelley

9. A 90% Project Failure Rate Means You’re Doing it Wrong – by Mike Shipulski

10. Should a Bad Grade in Organic Chemistry be a Doctor Killer? – by Arlen Meyers, M.D.

11. How Netflix Built a Culture of Innovation – by Art Inteligencia

12. Fear is a Leading Indicator of Personal Growth – by Mike Shipulski

13. Sustaining Imagination is Hard – by Braden Kelley

14. No Regret Decisions: The First Steps of Leading through Hyper-Change – by Phil Buckley

15. The Art of Adaptability: How to Respond to Changing Market Conditions – by Art Inteligencia

16. Sprint Toward the Innovation Action – by Mike Shipulski

17. Marriott’s Approach to Customer Service – by Shep Hyken

18. Top 5 Future Studies Programs – by Art Inteligencia

19. Reversible versus Irreversible Decisions – by Farnham Street

20. 50 Cognitive Biases Reference – Free Download – Courtesy of TitleMax

21. Free Human-Centered Change Tools – by Braden Kelley

22. Designing an Innovation Lab: A Step-by-Step Guide – by Art Inteligencia

23. Why More Women Are Needed in Innovation – by Greg Satell

24. How to Defeat Corporate Antibodies – by Stefan Lindegaard

25. The Nine Innovation Roles – by Braden Kelley

26. Top 40 Innovation Bloggers of 2023 – Curated by Braden Kelley

27. Human-Centered Change – by Braden Kelley

28. Visual Project Charter™ – 35″ x 56″ (Poster Size) and JPG for Online Whiteboarding – by Braden Kelley

29. FutureHacking – Be Your Own Futurist – by Braden Kelley

30. ACMP Standard for Change Management® Visualization – 35″ x 56″ (Poster Size) – Association of Change Management Professionals – by Braden Kelley


Build a common language of innovation on your team


31. Overcoming Resistance to Change – by Chateau G Pato

32. Are We Abandoning Science? – by Greg Satell

33. How Networks Power Transformation – by Greg Satell

34. What Differentiates High Performing Teams – by David Burkus

35. The 6 Building Blocks of Great Teams – by David Burkus

36. Unintended Consequences. The Hidden Risk of Fast-Paced Innovation – by Pete Foley

37. The Role of Employee Training and Development in Enhancing Customer Experience – by Art Inteligencia

38. The Pyramid of Results, Motivation and Ability – by Braden Kelley

39. Your Strategy Must Reach Beyond Markets to Ecosystems – by Greg Satell

40. What is the difference between signals and trends? – by Art Inteligencia

41. Next Generation Leadership Traits and Characteristics – by Stefan Lindegaard

42. Latest Interview with the What’s Next? Podcast – Featuring Braden Kelley

43. A Tipping Point for Organizational Culture – by Janet Sernack

44. Accountability and Empowerment in Team Dynamics – by Stefan Lindegaard

45. Design Thinking for Non-Designers – by Chateau G Pato

46. The Innovation Enthusiasm Gap – by Howard Tiersky

47. The One Movie All Electric Car Designers Should Watch – by Braden Kelley

48. The Ultimate Guide to the Phase-Gate Process – by Dainora Jociute

49. Innovation Management ISO 56000 Series Explained – by Diana Porumboiu

50. How to Create an Effective Innovation Hub – by Chateau G Pato


Accelerate your change and transformation success


51. Imagination versus Knowledge – Is imagination really more important? – by Janet Sernack

52. Stoking Your Innovation Bonfire – by Braden Kelley

53. A Shortcut to Making Strategic Trade-Offs – by Geoffrey A. Moore

54. How to Make Navigating Ambiguity a Super Power – by Robyn Bolton

55. Three HOW MIGHT WE Alternatives That Actually Spark Creative Ideas – by Robyn Bolton

56. Problems vs. Solutions vs. Complaints – by Mike Shipulski

57. Innovation or Not – Liquid Trees – by Art Inteligencia

58. Everyone Clear Now on What ChatGPT is Doing? – by Geoffrey A. Moore

59. Leadership Best Quacktices from Oregon’s Dan Lanning – by Braden Kelley

60. Will Innovation Management Leverage AI in the Future? – by Jesse Nieminen

61. The Power of Position Innovation – by John Bessant

62. Creating Organizational Agility – by Howard Tiersky

63. A Case Study on High Performance Teams – by Stefan Lindegaard

64. Secrets to Overcoming Resistance to Change – by David Burkus

65. How to Write a Failure Resume – by Arlen Meyers, M.D.

66. 9 of 10 Companies Requiring Employees to Return to the Office in 2024 – by Shep Hyken

67. The Five Keys to Successful Change – by Braden Kelley

68. What is Social Analysis? – by Art Inteligencia

69. Dare to Think Differently – by Janet Sernack

70. Parallels Between the 1920’s and Today Are Frightening – by Greg Satell

71. What is Trend Spotting? – by Art Inteligencia

72. Driving Change is Not Enough – You Also Have To Survive Victory – by Greg Satell

73. 5 Simple Steps to Team Alignment – by David Burkus

74. Building a Better Change Communication Plan – by Braden Kelley

75. The Role of Leadership in Fostering a Culture of Innovation – by Art Inteligencia

76. 4 Simple Steps to Becoming Your Own Futurist – An Introduction to the FutureHacking™ methodology – by Braden Kelley

77. Four Hidden Secrets of Innovation – by Greg Satell

78. Why Organizations Struggle with Innovation – by Howard Tiersky

79. An Introduction to Strategic Foresight – by Stefan Lindegaard

80. Learning About Innovation – From a Skateboard? – by John Bessant


Get the Change Planning Toolkit


81. 800+ FREE Quote Posters – by Braden Kelley

82. Do you have a fixed or growth mindset? – by Stefan Lindegaard

83. Generation AI Replacing Generation Z – by Braden Kelley

84. The End of the Digital Revolution – by Greg Satell

85. Is AI Saving Corporate Innovation or Killing It? – by Robyn Bolton

86. The Experiment Canvas™ – 35″ x 56″ (Poster Size) – by Braden Kelley

87. America Drops Out of the Ten Most Innovative Countries – by Braden Kelley

88. 5 Essential Customer Experience Tools to Master – by Braden Kelley

89. AI as an Innovation Tool – How to Work with a Deeply Flawed Genius! – by Pete Foley

90. Four Ways To Empower Change In Your Organization – by Greg Satell

91. Agile Innovation Management – by Diana Porumboiu

92. Do Nothing More Often – by Robyn Bolton

93. Five Things Most Managers Don’t Know About Innovation – by Greg Satell

94. The Fail Fast Fallacy – by Rachel Audige

95. Top Six Trends for Innovation Management in 2025 – by Jesse Nieminen

96. How to Re-engineer the Incubation Zone – by Geoffrey A. Moore

97. Flaws in the Crawl Walk Run Methodology – by Braden Kelley

98. Master the Customer Hierarchy of Needs – by Shep Hyken

99. Rise of the Atomic Consultant – Or the Making of a Superhero – by Braden Kelley

100. A Shared Language for Radical Change – by Greg Satell

Curious which article just missed the cut? Well, here it is just for fun:

101. Is Disruption About to Claim a New Victim? – by Robyn Bolton

These are the Top 100 innovation and transformation articles of 2024 based on the number of page views. If your favorite Human-Centered Change & Innovation article didn’t make the cut, then send a tweet to @innovate and maybe we’ll consider doing a People’s Choice List for 2024.

If you’re not familiar with Human-Centered Change & Innovation, we publish 1-6 new articles every week focused on human-centered change, innovation, transformation and design insights from our roster of contributing authors and ad hoc submissions from community members. Get the articles right in your Facebook feed or on Twitter or LinkedIn too!

Editor’s Note: Human-Centered Change & Innovation is open to contributions from any and all the innovation & transformation professionals out there (practitioners, professors, researchers, consultants, authors, etc.) who have a valuable insight to share with everyone for the greater good. If you’d like to contribute, contact us.

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