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Cordialism: Africa HR Summit

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Erik Vermeulen Preso 2015
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Cordialism: Africa HR Summit

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Companies struggle today to create the experiences their Marketing say they do. It boils down to Culture and the consistent behaviours of all employees across all levels of management. Here's my presentation from the Africa HR Summit.

Companies struggle today to create the experiences their Marketing say they do. It boils down to Culture and the consistent behaviours of all employees across all levels of management. Here's my presentation from the Africa HR Summit.

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Cordialism: Africa HR Summit

  1. 1. Cordialism How the best companies lose their flavour. Erik Vermeulen Behavioural Economics Strategist #cordialism
  2. 2. What we’ll cover today… How we lose our flavour. Getting the flavour back. The HR / Marketing Partnership
  3. 3. What do you think when you see…
  4. 4. What do you think when you see…
  5. 5. What do you think when you see…
  6. 6. What does history tells us…?
  7. 7. “The world is changing very fast. Big no longer beats small. It’s now the fast beating the slow.” Rupert Murdoch, Chairman and CEO News Corp
  8. 8. Companies today are most worried about… EXPERIENCE & ENGAGEMENT People will judge your organization by the experience they or an acquaintance have with your brand 90% of the time and only 10% or less by the marketing messages they’ve heard.
  9. 9. Companies today are most worried about… EXPERIENCE & ENGAGEMENT Companies who SAY that they’re great at customer service often aren’t. The same goes for the message “our people are our most important asset.”
  10. 10. Companies today are most worried about… EXPERIENCE & ENGAGEMENT This represents the internal and external duality of successful companies in the experience economy. Engaged employees provide the best experiences.
  11. 11. No marketing campaign will convince someone you’re great at service when they’ve had a lousy EXPERIENCE from a disengaged employee that demonstrates the opposite.
  12. 12. How do we lose flavour?
  13. 13. Your Company
  14. 14. Your Idea
  15. 15. Your Ideal Mix
  16. 16. Your Growth • More people • More systems • More processes • More control(s) • Different backgrounds • Different behaviours • Different goals • Different motivation • …
  17. 17. Reputation = Experience - Expect
  18. 18. Your diluted Flavour
  19. 19. Why is company culture important?
  20. 20. In 1995, the average person had 27 connections. In 2015, the average person will have 415 connections.
  21. 21. Right now, Gen Y outnumber Baby Boomers, 96% belong to Social Networks
  22. 22. 68% of customers leave because of poor employee attitude
  23. 23. 41% of customers are loyal because of a good employee attitude
  24. 24. 70% of customer brand perception is determined by experiences with people
  25. 25. Your marketing department does not own your brand or your culture, it belongs to the collective behaviour of your employees.
  26. 26. Delivering a consistent experience Training People & Behaviour Business principles New Product Development Internal communications Annual Report Website Packaging look-and-feel Special promotions Customer Communications Billing Experience Office design, e.g. Experience Centre, Call centres Product line alignment Retail outlet design Signage & Way finding Collection points, pre-paid kiosks Employer Brand Leadership behaviours Service standards Marketing & Communications Products & Services Environments Naming After sales service
  27. 27. The HR - Marketing Partnership?
  28. 28. Discovery Health “When you need us, we're there for you” Promise: Consistent support and peace of mind Look & feel: Caring, modern, simple Why successful? Has the highest ratings for claims-paying ability Largest and most secure brand – leverage their size to deliver access to quality healthcare How differentiated? Empowers its customers to have a healthier lifestyle by providing them with the necessary tools through its trendsetting wellness programme, ‘Vitality’ Offers unique products with better benefits and claims lower prices than its competitors Brand Learning: Discovery maintains consistency throughout the brand, a caring feel, and provides more than just ‘healthcare’ to its customers. Their high claims-paying rating proves that they make good on their brand promise 28
  29. 29. Experience Spectrum REACH CHOCOLATE HAPPY FAMILIES STANDARDS WINNING Tangible Intangible PHYSICAL CHARACTERISTICS What it is FUNCTIONAL CHARACTERISTICS How it performs BRAND CHARACTER How it expresses itself EMOTIONAL CONNECTION How it makes you feel EMOTIONAL PROJECTION What it says about you
  30. 30. Success = Growth = Employees Engaged employees work with passion and feel a profound connection to their company. They drive innovation and move the organization forward. Actively Disengaged employees aren’t just unhappy at work; they’re busy acting out their unhappiness. Every day, these workers undermine what their engaged co-workers accomplish. Not Engaged employees are essentially “checked out.” They’re putting in time — but not energy or passion — into their work.
  31. 31. Success = Growth = Employees 10% of employees are poor performers 10% of employees are top performers The other 80% are fence sitters and just get on with being “vanilla” Who do you want influencing your new employees?
  32. 32. HCM Performance Drivers Internal Service Quality Wellness Engageme nt Strategic Design HR Policies and Procedures HR Automation: • Forecasting • Staffing • Scheduling • Succession • Culture / Process Alignment Employee Engagement Employee Retention External Employee Productivity Service Value Customer Satisfaction Customer Loyalty Revenue Growth Profit Growth Market Share Attitude / Loyalty Knowledge / Skills Build Relationships % Growth Customer Testimonials 1 year 5 Years Service concept: • Consistent • Intentional • Different Value to customer Better than last visit Better than competition Lifetime Value Retention Repeat Business Referral Strategy & Compliance Recruit for Talent Talent Development Talent Retention Reward
  33. 33. >Employees = >Diversity
  34. 34. Flavour? What flavour?
  35. 35. “The goal is not to do business with everybody who needs what you have. The goal is to do business with people who believe what you believe.” Simon Sinek
  36. 36. Brand strength Challenge Building advocacy 5 Advocacy I believe in what we do and I recommend our brand 4 Action I know what I can do to support our brand 3 Ability I have the skills and knowledge I need 2 Attitude It makes sense to me 1 Awareness I know what we stand for
  37. 37. “We change behaviour by framing what we want people to do into something that is relevant to them.”
  38. 38. The ‘new’ culture should not be seen as ‘new’. It should be seen as a business case that rests on doing what’s required to meet the future demands of our clients.
  39. 39. 5 ways to get your flavour back.
  40. 40. 1. Get the right people on board (achievements are useless without context)
  41. 41. MEN WANTED For a hazardous journey. Small wages, bitter cold, long months of complete darkness, constant danger, safe return doubtful. Honour and recognition in case of success.
  42. 42. 2. Give people PURPOSE (beyond pleasing)
  43. 43. Yesterday, today, tomorrow… The way people define themselves has changed. Very long ago: Man / Woman Long ago: Hunter / Gatherer Recent: Skills (industrialisation) Today: Career Tomorrow: Meaning people add or create.
  44. 44. The Golden Circle WHY? At Apple we believe in challenging the status quo, in thinking differently. Making a dent in the universe. HOW? To challenge the status quo, we make sure our products are beautifully designed and easy to use, and user-friendly. WHAT? We sell computers, laptops, cellphones, tablets etc that are highly stylised and consumer friendly. WHY HOW WHAT
  45. 45. 3. Get people ENGAGED (get them to give a damn)
  46. 46. 21% Engaged 41% Enrolled 30% Disenchanted Significantly lower on all three components of engagement High scores on rational and motivational components, but low on emotional That’s only 1 in 5 Global Workforce Survey 8% Disengaged Completely disconnected rationally, motivationally and emotionally Global Results (based on rational, emotional, motivational): Based on a global survey of 90,000 employees in 18 countries and Tower Perrin’s database of 2 million annual responses in 40 countries 46
  47. 47. “You can’t sell it outside if you can’t sell it inside.”
  48. 48. SHEER DRIVING PLEASURE BEAT THE BENZ
  49. 49. GLOBALLY CONNECTING PEOPLE HIP GEEK
  50. 50. Perceived Control Perceived Progress Connectedness Vision / Meaning
  51. 51. The Partnership Model Glee Fee ME See Flee WE
  52. 52. 4. Provide the correct BEHAVIOURAL FRAMEWORK (something to do)
  53. 53. What we allow will continue.
  54. 54. ? Company goals determined by EXCO that will result from behaviours. Life Skills / Values / Motivation / Attitudes Vision, Mission and Values that are corporate focused, but individually applicable. I am / I do ? A set of behaviours / Actions that guide all employees at every level of the organisation. I am / I do ? Increase in goal-directed Actions Strengthening the underlying behaviours lead to positive actions towards achieving the company goals. In order to achieve high standards of success, you are required propel yourself forward towards your goals. ?
  55. 55. Values
  56. 56. Goals Average companies give people something to work on, innovative organisations give their people something to work toward.
  57. 57. BEHAVIOURS Reputations are the result of what people in the organisation consistently do.
  58. 58. “By aligning what we say we do, with what we actually do, we positively influence what our customers think and feel.”
  59. 59. 5. RECOGNISE performance (something for doing good)
  60. 60. Market Norms Social Norms
  61. 61. Cordialism THANK YOU Erik Vermeulen erik@erikvermeulen.com @ErikMVermeulen #cordialism

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