Lets start with the obvious, avoiding taking any risk is actually a pretty serious risk all by itself! This requires us to avoid phone calls and interactions with customers and associates. We need to skip team meetings and duck out of the break room, too. The longer we stand still and stay status quo the more likely we are to fall a step behind or even lose altogether—all while our competitors and peers march forward.
The Outside-In® Companies believe in our value of taking risks. We definitely don’t steer around or away from it, but why does it matter for our employees to live this value? Who really cares anyway? In fact, why should any service company encourage risk taking?
First off, risk taking is really about decision making, the lack of perceived authority, task discretion, and reward for doing so. Employees that do not make decisions often do so because their company’s culture discourages it. This is cultivated through the management team and their practices. This is quite often an unexpected negative outcome of a company that lacks a cultural plan to encourage customer centric actions with those that have direct customer contact.
Employees that don’t make decisions have little or no choice but to get the answer for a customer from those that have the power or information. Usually, the power lies in controlling that information and it is intended to be a business control that simply hedges risk. However, in this case, it kills the customer! This can be because of a lack of training and knowledge or a matter of policy and the preferred hierarchical nature of the company.
Close your eyes and remember when this happened to you, a roommate, someone from your household, etc. Is there anything more frustrating than when you’re on the phone with that utility, or in line at the retail store, or airport and the service associate needs a manager? All you needed was to make a return, change a seat, or get your bill in the correct name. The worst part is that the supervisor does not do anything fancy—they just need a stupid code or a key to take care of your return or to move your flight.
A culture that values its customers empowers and encourages risks that take place in the act of serving a customer!
Employees that are not encouraged to notice what their customers are actually saying and then do something about it are not serving the strategic purposes of the business. The front lines see and hear it all. How many times have you heard a clerk or phone representative say that they have told management about a customer opinion so many times but no one listens. Then their voice trails off and their interest and engagement level wanes day by day! If we listen to customers as employees they will tell you why they are angry about a program or policy change, what is never in the store, when service is slow, or when a product has been replaced that should not have been. We can always hear it as employees.
A culture that values risk taking creates an environment where employees have tools and formats to share what they hear and take action! This is customer centric and systematic cultural risk taking. What did you learn from our marketplace today? What did our customers challenge us with? What do they need and want from us? Ask employees for feedback often, give all employees a format to share, reward this flow of insights, then categorize it and teach what to do with it. Most likely your plan of improvement needs tweaking. Employees just need permission to open their eyes and be empowered to see what needs fixing. Empowerment and the confidence to stand up and share what might be the next product or service that enhances your company’s top line strategy are the keys to grow your business.
Risk taking is a cultural tool to encourage customer centric and entrepreneurial behaviors for all of your employees. You have a choice in your organization; you can either treat employees like leased resources, or you can act and create an environment that encourages entrepreneurial behaviors that enhance your customer’s experience with you.
Go sit and listen to your employees, have Outside-In® eyes and ears, and gather the information you need in order to decide how to encourage risk taking that improves the experience for your customer base. Or come visit our office and see it in action!