Tag Archives: employee experience audit

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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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!

SPECIAL BONUS: While supplies last, you can get the hardcover version of my first bestselling book Stoking Your Innovation Bonfire for 44% OFF until Amazon runs out of stock or changes the price. This deal won’t last long, so grab your copy while it lasts!

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Human-Centered Change & Innovation is open to contributions from any and all innovation and transformation professionals out there (practitioners, professors, researchers, consultants, authors, etc.) who have valuable human-centered change and innovation insights to share with everyone for the greater good. If you’d like to contribute, please contact me.

P.S. Here are our Top 40 Innovation Bloggers lists from the last four years:

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Why Annual Employee Experience Audits Are Important

Why Annual Employee Experience Audits Are Important

by Braden Kelley and Art Inteligencia

In today’s rapidly evolving business landscape, organizations are recognizing the importance of not just their customers’ experience, but also their employees’. The concept of employee experience encompasses every touchpoint a worker encounters from recruitment to retirement. However, what often remains underappreciated is the systematic examination of this experience through regular audits. Today, we’ll explore why annual employee experience audits are critical for any forward-thinking organization.

Understanding Employee Experience

The employee experience can be defined as the sum total of all interactions an employee has with their employer. This includes the culture, the physical workspace, tools and technology provided, leadership behavior, and organizational practices. Together, these elements shape how employees perceive their organization and directly influence engagement, productivity, and retention.

The Need for Regular Audits

Conducting regular audits of the employee experience is crucial for several reasons:

  • Identifying Pain Points: Just as businesses conduct customer journey mapping to understand customer pain points, employee experience audits help uncover hidden obstacles impacting employee satisfaction and performance.
  • Measuring Impact of Changes: Organizations implement initiatives to improve the work environment regularly. Audits provide a structured approach to assess the impact of these initiatives, offering insights into what’s working and what isn’t.
  • Aligning with Strategic Goals: As companies evolve, ensuring that the employee experience aligns with the organization’s strategic goals becomes imperative. Audits help in recalibrating experiences to support these objectives.

The Benefits of Annual Audits

Moving from sporadic reviews to a structured annual audit brings several benefits:

  • Enhanced Engagement: Regular audits demonstrate a commitment to employee well-being, fostering a culture of trust and transparency which enhances overall engagement.
  • Improved Retention: By identifying factors that contribute to dissatisfaction or turnover, organizations can proactively address issues, making it easier to retain top talent.
  • Informed Decision Making: Comprehensive data from audits enable leaders to make informed decisions about policies, benefits, and strategic initiatives that can enhance the employee experience.

What a Complete Employee Experience Audit Looks Like

A thorough employee experience audit should include several key components:

  • Comprehensive Surveys: Distribute surveys that cover a wide range of topics including workplace culture, management effectiveness, communication, work-life balance, career development, and employee satisfaction.
  • Focus Groups and Interviews: Conduct focus groups and one-on-one interviews that allow employees to provide detailed feedback and personal insights that might not surface through surveys alone.
  • Observation: Observe working conditions, team dynamics, and workflow interactions to gain an understanding of the daily employee experience.
  • Data Analysis: Analyze HR data, turnover rates, and performance metrics to identify trends and areas needing improvement.
  • Technology and Tool Assessment: Evaluate the tools and technologies available to employees for their effectiveness in enhancing productivity and satisfaction.
  • Leadership and Management Review: Assess leadership styles and their alignment with employee needs and organizational values.
  • Feedback Loop: Establish a mechanism for continuous feedback and updates to the audit process to ensure it evolves with organizational changes.

What An Employee Experience Audit IS NOT

An employee experience audit is not an employee experience survey. Like a financial audit, it should also typically be conducted by a small group from outside the organization to maintain objectivity and honesty in the observations, devoid of assumptions and rationalizations of design tradeoffs. Employee experience auditors are trying as much as possible to walk in the shoes of employees across channels for key activities and so they must not be isolated from key systems or key employee groups to determine the most important activities and systems to dive the deepest into the experience of.

An employee experience audit is not a solution but research with recommendations. It is worthless without a commitment to act on the findings found. The leadership commitment and plans for how deficiencies will be addressed is EVEN MORE IMPORTANT than how the employee experience audit is conducted.

Implementing Effective Audits

For an audit to be effective, it should be thorough and inclusive. Consider the following steps:

  1. Define Objectives: Clearly outline what you aim to achieve with the audit.
  2. Utilize Surveys and Interviews: Gather quantitative and qualitative data through employee surveys and interviews.
  3. Analyze Data: Use data analytics to identify trends and patterns. Pay attention to anomalies and outliers.
  4. Actionable Recommendations: Transform insights into actionable steps that can be implemented to drive positive change.
  5. Leadership Commitment: Secure commitment from leadership to fund and implement the greatest improvement opportunities identified during the audit.

Conclusion

The workplace is fundamentally changing, and so too must our approach to understanding it. Annual employee experience audits provide a robust framework for consistently enhancing the environments we create for our workforces. In doing so, we not only improve the lives of our employees but also drive innovation, loyalty, and performance that propels our organizations forward. But an employee experience audit is not the same thing as an employee survey. It is instead an outside-in evaluation of the experience employees have while executing key activities across key systems. By embedding an annual employee experience audit practice into our routine, we fortify the human connection at the heart of every successful enterprise.

If you would like to team up to conduct an Employee Experience Audit at your company, please contact me and we can get you on the calendar to meet with our team.

Image credits: Pixabay

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Content Authenticity Statement: The core premise and structure for this article was created by Braden Kelley. The OpenAI Playground, taking on the role of human-centered change and innovation thought leader Braden Kelley has helped to flesh out the content of the article with supplementary content added by Braden Kelley, including the section on What An Employee Experience Audit IS NOT.

Top 10 Benefits of Doing Annual Employee Experience Audits

Top 10 Benefits of Doing Annual Employee Experience Audits

GUEST POST from Art Inteligencia

Employee experience is paramount to organizational success. Ensuring that employees feel valued, empowered, and engaged has a direct impact on productivity, innovation, and retention. One powerful tool in achieving this is conducting annual employee experience audits. Let’s delve into the top ten benefits of this practice, supported by real-world case studies.

1. Enhanced Employee Engagement

Regular audits help organizations identify what truly matters to employees, leading to enhanced engagement strategies.

2. Improved Retention Rates

Understanding and addressing employee concerns through audits can significantly improve retention rates.

3. Increased Productivity

By pinpointing and removing barriers, audits can enhance workplace efficiency and productivity.

4. Better Talent Attraction

Companies committed to improving employee experiences are more attractive to top talent.

5. Strengthened Company Culture

Regular audits foster a culture of openness and continuous improvement.

6. Boosted Innovation

When employees feel heard and valued, they are more likely to contribute innovative ideas.

7. Enhanced Employee Well-being

Insights from audits can help tailor well-being programs to employee needs.

8. Informed Decision-making

Data from audits provide a solid foundation for strategic decision-making.

9. Increased Organizational Agility

Regular feedback loops enable organizations to remain agile in the face of change.

10. Competitive Advantage

Companies that prioritize employee experience gain a significant competitive edge.

Case Study 1: Tech Innovators Inc.

Tech Innovators Inc., a major software company, implemented annual employee experience audits three years ago. Since then, they’ve seen a 40% reduction in turnover and a 25% increase in productivity. By regularly gathering feedback and acting on it, they’ve cultivated a dynamic and motivated workforce, allowing them to maintain a leading position in their sector.

Case Study 2: Health & Wellness Corporation

Health & Wellness Corporation, a global leader in healthcare services, integrated annual audits into their HR practices. By listening to employee feedback, they revamped their benefits package to better address employee needs, which resulted in a notable improvement in employee satisfaction scores and a significant decline in absenteeism. This proactive approach has turned their employee experience into a benchmark for the industry.

Engaging in annual employee experience audits not only nurtures a thriving organizational environment but also serves as a catalyst for business growth and success. To further deepen your understanding, check out How to Create a Culture of Innovation and 5 Essential Elements for Driving Successful Change.

Extra Extra: 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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