You can’t own your most valuable asset
Organisations acknowledge that people are their most valuable asset. Yet they do not own these assets.
Many organisations invest a significant amount of human and financial capital in internal people – the employees. Why is it that organisations do not make the same investment in external people – the clients?
It is common for organisations to use their performance appraisal process to assess employee satisfaction, performance and loyalty. Best practice benchmarks the employee outcomes with the strategic plan outcomes.
Leading organisations continually have their finger on the employee pulse with monthly, quarterly, six monthly and annual feedback and appraisal programs.
Organisations do not own their two most valuable assets
Employee appraisals enable organisations to share knowledge, learn, develop, improve and prosper. They are specific programs to generate robust, un-biased and independent outcomes.
Know your employee, understand your organisation
What about the external people – the clients?
These clients are just as important an asset as employees.
We always ask our clients if a similar investment and precedence is in place to thoroughly understand their clients. Few have a robust process in place. Why? Are they fearful of knowing what the clients may say?
In the medical world there is a term used for end of life – D.N.R – Do Not Resuscitate. It is just as relevant for an organisation. Fear of Knowing (F.O.K.) will lead to D.N.R. Even if the intel highlights problems, it is better to learn these in a timely manner so action can be taken.
Organisations also struggle with the fact that, unlike other assets, they will never be able to own their clients. However, they can certainly identify what influences client behaviour and therefore the implications arising from their next decision.
Understanding these influences will enable an organisation to maintain healthy and happy client relationships and keep D.N.R at bay.
It is therefore surprising that few organisations have any robust, continuous, independent and specific process in place for one of their key people assets – their clients.
The process of deriving accurate insights of a client’s wants, the value of the service or and their satisfaction level will directly contribute to decisions that increase internal profit. In addition, long term client relationships are secured and organisations may even impact their client’s own profitability.
Furthermore, a combination of high client satisfaction/loyalty feedback with specific unbiased testimonials will deliver extremely strong reasons for potential new clients to decide ‘Why’ they should engage. Their perception of the organisation will determine the outcomes for the organisation.
Gathering accurate knowledge will also enable organisations to quickly and efficiently adapt to their ever-changing environment and client needs so they will always be ahead of their competitors.
Know your client, understand your organisation
How much should organisations spend on their clients? How much long is a piece of string? In simple terms if you are prepared to spend 5% of an employees salary on their development, why would you not spend 5% of the revenue generated by a client, to find out what the client is thinking?
2016 Indie Company of Year
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