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THE VALUE OF CULTURE

I must have looked lost as I was meandering down the food aisle at a Publix Super Market.? As I was unsuccessfully trying to pick up a few items off my ?honey do? list from the grocery store, I heard the words from a friendly Publix employee, ?Can I help you find something??? I was a little caught off guard because I couldn?t remember the last time I was asked in a grocery store if I needed some help with my shopping.? I was prepared for some directions on where I could find the missing item; but instead, the employee insisted on retrieving the product for me while I continued my shopping.? WOW!? I was blown away.? As a business coach and consultant, I take note of great service.?? I was also intrigued.? What kind of organization was this with employees who were so passionate about customer service?? As I was in the checkout line, I shared my positive experience with the checkout clerk (who was also very friendly).? I asked to speak to the manager of the store so I could report this excellent customer service.

I learned a lot in my brief exchange with the store manager.? This young man shared with me that this was normal behavior for their employees.? I learned that he had been with the company for over twenty years and started as a part time employee in high school bagging groceries.? As I pressed in for the secret sauce to the great service, he pointed my attention to their secret – THE CULTURE!? He shared with me how important the company?s culture is and how much attention they pay to cultivating and reinforcing it throughout the organization.? The focus on culture has paid off for Lakeland, Florida based Publix. It is the largest and fastest growing employee owned super market in the country.? With over $27 billion in sales, 1,056 stores, and 157,000 employees, Publix is ranked 106 on the Fortune 500.? What caught my attention though was that the company had been on FORTUNE magazine?s ?100 Best Companies to Work For” for over 16 years.

Publix?s emphasis on its culture dates back to 1930 and the company?s founder George Jenkins. Jenkins held himself to the high standards he expected of others and created a culture of service ?not only to the customer who came into the store to shop, but to every associate as a customer of another associate.? Jenkins and other leaders believed that ?people want to help, and, if given the resources to do so will provide extraordinary service.??? One of the ways they create such loyalty is by promoting from within.? The current CEO and President each started out in Publix as front-service clerks over 25 years ago.? I also took note that, the average tenure at Publix for store managers is 25.1 years, retail hourly workers average about 5.1 years, and hourly support workers average about 9.1 years.

As I have studied companies like Publix, I have become convinced that building a great culture is absolutely one of the keys to building a great company.? It is particularly important for any company that wants to grow and expand with people.? For some, talk about culture may sound ?soft? or of secondary importance.? These type naysayers may believe that having a great culture is a ?nice to have? versus a ?must have.?? Very few companies can afford to ignore their company culture.? If your company involves people interacting with people, then you should be paying attention to your culture.

?For definitional purposes, I describe a company?s culture as the shared values and practices of the people in the organization.? These are the common beliefs and habits of the organization.? Here is the critical part ? your employees represent YOUR BRAND.? They are the living, breathing implementers day to day of what your company stands for.? In other words, they are the front line in creating your brand in the marketplace.? Companies can spend millions on positive advertising but one bad interaction with a representative can destroy the customer?s feelings about the company.

I was attending a conference at the Ritz Carlton in New Orleans recently, and as I was leaving a member of the housekeeping staff stopped me on my way to the elevator and wanted to make sure I had enjoyed a great stay at the hotel and wished me safe travels on my journey home.? She did not have to do that.? It was probably not part of her job description.?? However, with a smile and genuine sincerity she made a point to wish me well on my way.? I have shared with dozens of people about this simple exchange and how that positively reflects on the brand of The Ritz Carlton.

Gregg Lederman, founder of Brand!ntegrity and author of the book entitled Engaged! Outbehave Your Competition to Create Customers for Life, travels the country helping companies realize the value of culture and how important it is in developing their brands.? He notes, ?Branding is not part of the business, it is the business. Every interaction with an employee, with a coworker or a customer has the power to strengthen or hinder the brand image of your company.?? Lederman emphasizes that branding is about experiences and not logos and taglines. ?He teaches companies that the little things that they do daily are more important than the big things they may say about themselves.? I believe and share with my clients that every day their doors are open is ?Game Day,? and they should treat it with the opportunity for greatness.? Unfortunately, for too many companies it becomes like ?Groundhog Day,? and mediocrity can creep in.

I recently discovered Lederman?s company and work, and I have been impressed.? In addition to his thought leadership on this subject, his company has come up with something truly unique in my opinion.? They have created a proprietary software system that actually allows companies to better manage their brand by tracking and measuring customer satisfaction, employee engagement, and financial results. What they have accomplished is the linking together of these critical aspects of the business in a quantifiable way that encourages the right behaviors.? This use of metrics and creative ways to reinforce positive behaviors strengthens and builds the culture, and it is all tied back to the company?s profitability.?? I believe in the future we will see more and more organizations focused on building powerful brands, and I think we should all start to consider what is our R.O.C. ? Return on Culture. ?

UNDERSTANDING YOUR MOTIVATIONAL DRIVERS

I have made my fair share of mistakes as a manager of people.? In my first business out of college, I co-owned a company that managed private and public tennis complexes.? One of our key staff members was the head tennis professional who was a leading tennis teacher in the area.? He had students lined up to take lessons from him which was great for our business.? In my brilliance, I went out and hired another tennis professional without consulting our long time head pro.? Within a few months, my long employee left and went to work for a competitor taking all of his students with him.? In his exit interview, I learned that he enjoyed being the sole head professional and that he did not get along well with the person I hired.? Ouch! This was a painful lesson in managing people and learning to communicate better.

Later in my career, I was apparently not much wiser.? I personally don?t like much oversight or micro-management when someone is managing me. Just point me in the right direction and let me go.? Therefore, my default is to manage that way as well.? Unfortunately, that style does not work for everyone.? I had a very talented law clerk that I hired to assist me with my law firm.? I would share some big picture ideas with him and turn him loose to work his magic.? Unfortunately, when we would reconvene, I would be very disappointed in the work product.? After several failed attempts, he finally said, ?Could you please just tell me exactly what you are looking for, and I will be glad to do it!?? I needed to hear that as a good reminder that many people need clear direction and want more detail in how to accomplish a project.

I have had my occasional good moments as a manager.? In one work setting, I shared an assistant with another co-worker. ?She was a very nice young lady who worked very hard.? The colleague I was working with had a very different management style than me. My colleague had a very stern approach and would become very upset if the work product was anything less than perfect.?? I watched my assistant leave this person?s office many times in tears.? I personally believe you ?catch more flies with honey than vinegar?, and I tried to be an encourager and challenge my assistant in a positive way to be her best.? What I learned from that experience is that my assistant would expend extra effort to get projects done for me, but would do the bare minimum not to get in trouble with my colleague.? In other words, she cared enough to give me her discretionary effort.? That lesson has stuck with me.

How we lead and inspire others in the workplace matters.? Gallup has some very interesting research on our workforce in the United States and the impact of employee engagement versus disengagement. ?They have been tracking employee engagement since the late 1990?s, and they have administered over 25 million employee surveys to measure employee engagement.? In a?recent report, they found that only 30% of the U.S. workforce is engaged in their work, and the ratio of engaged to actively disengaged employees is roughly 2-to-1.? For work groups with engaged employees, the results are phenomenal ? ?higher productivity, profitability, and customer ratings, less turnover and absenteeism, and fewer safety incidents than those in the bottom 25%.? ?In addition Gallup found that, ?Organizations with an average of 9.3 engaged employees for every actively disengaged employee in 2010-2011 experienced 147% higher earnings per share (EPS) compared with their competition in 2011-2012.?

However, in contrast those with an average of only 2.6 engaged employees for every actively disengaged employee experienced 2% lower EPS compared with their competition during that same time period. ?Gallup also estimates that active disengagement costs the U.S. $450 billion to $550 billion per year.? These disengaged employees are more likely to steal from their companies, negatively influence their coworkers, miss workdays, and drive customers away.

What I have realized in my journey is that most businesses today are PEOPLE businesses.? We either win or lose based on how well we have engaged employees working together to accomplish organizational goals. That is how you build a great brand and create loyal customers.? As we continue to distance ourselves from the industrial age into the knowledge economy, it is paramount that we as leaders understand that our employees are not cogs in a machine but living, breathing people who have hopes, desires, dreams, and NEEDS.? If we are going to unleash the greatness in our organizations then we have to unleash the greatness of our people.??

In my work with organizations, I frequently use personality tests like DISC? or Myers Briggs?; however, my favorite tool is the Birkman? assessment because it helps you understand your ?needs? as well.? If a person?s needs are not being met then they are unlikely to be a productive employee in an organization. The challenge is that people don?t walk around with their ?needs? spelled out on their resumes.? They may not even be clearly known by the individual.? As a leader, we can learn how to inspire and motivate our team members by understanding what truly motivates them.

In my search for an efficient way to practically apply these principles, I discovered a tool to help streamline this process.? Dr. Carl Hicks, a native Mississippian, co-developed with Birkman International a new tool called Understanding My Motivational Drivers.? This assessment combines the objective statistical input from millions of people who have taken the Birkman with Dr. Hicks? practical experience in working as a business consultant for several decades.

The assessment produces a short report which addresses five key topics for individuals:

(1) How to work with me

(2) How to talk to me.

(3) The biggest mistakes you can make with me.

(4) How to incentivize me.

(5) What motivates me.

I asked Dr. Hicks about this tool and he shared, ?I believe that being your best requires that others treat you as you want to be treated. This report can serve as the vehicle that permits you to review, confirm, share and discuss your expectations in an objective manner.?

I believe that tools like the ones that Dr. Hicks created are extremely important because they help individuals increase their self-awareness and leaders better understand how to unlock the greatness in their employees.? I encouraged leaders to follow the Platinum Rule which means that we treat people in the way that they want and deserve to be treated. The harsh reality in life is that the only person you can truly change is yourself.? Therefore, one of the ways that YOU can change is to make sure that you are seeking to understand what motivates your teammates and seeking to be a positive example of how to lead by helping people meet their needs. You may just be the catalyst for helping to take your organization to the next level!

THE GAMIFICATION OF WORK

Picture for a moment yourself on a sunny and cool fall afternoon getting ready to watch your favorite college football team playing their biggest rival.? The stands are packed, and the crowd is ready to cheer their team on victory.? However, right before the game begins the announcer comes over the loudspeaker and says that the teams won?t be keeping score and are just going to play for fun.? How would you feel?? Would you still be as interested?? Do you think the players would give it their all or simply go through the motions?? Have you ever watched a professional All-Star game ? not exactly the highest level of intensity and effort.

It reminds me of when my kids were very young playing youth sports.? I remember coaching baseball and soccer, and I could not get my head around the fact that we were not keeping score.? I know, I know ? five year olds don?t necessarily have to be competitive warriors out there, but still, it is just not very interesting if you don?t keep score.?? You may be asking where I am going with this line of thought.? Good question!? In my 25+ years in the marketplace, I have found that most businesses operate just like my five year old soccer team ? they don?t keep score!

Sure, ultimately, all businesses get down to the bottom line.? However, in most organizations employees go through their day as if they are in the Bill Murray classic, Groundhog Day.? It is easy to fall into a rut where you feel like you are on a treadmill with no end point.? There is a recent effort to try and ?gamify? work to make it more meaningful.? While this gamification of work has become a growing trend, you don?t need high tech gadgetry to tap into the power of making work more interesting and meaningful.

Over 40 years ago, business consultant Charles Coonradt had an epiphany that led him to commit his life?s work to helping people make their work more like their recreation. He was watching a group of young men building a house that seemed to be slow and arduous work.? However, he noticed that on their lunch break these same young men engaged in heated competitions of 4 on 4 pickup basketball games.? For him, this was a paradox. ?How could they put that much energy into their recreation but not their work?? He became fascinated with the phenomena that people will work harder and expend more energy in sports and other athletic pursuits than they will at their daily jobs.?? Coonradt has several books out on this topic, but I want to highlight a few key ideas that may revolutionize how you think about your work.

KEEPING SCORE

In my teens and early twenties, I taught a great number of people how to play tennis.? I enjoyed the game and learned how to teach others at a young age.? As I would teach beginners the basics of how to hit the ball and keep a rally going, they all eventually wanted to play.? In order to do that they needed to learn how to keep score.? It was always interesting to watch how people pushed themselves harder and the competitive spirit would come out when we would keep score.? In organizations, we want to find simple and clear ways to keep score of what is important both as an organization and for the individual team members.? I have found over the years that some positions are easier to come up with the 2-3 areas to keep score. Scorekeeping should be objective and the individual employee should ideally know how to track and keep their score.? If you have not defined winning and losing for your team members then you are at risk of mediocrity.

ESTABLISHING GOALS

When a golfer goes out to play a round of golf, they usually have a score in mind they are trying to beat.? While I am a novice runner, I have come to understand a little of the lingo of competitive racers who talk about their PB (Personal Best). ?When the coach gets the basketball team together to discuss the goals for the season they focus on specific goals.? For many programs, the goal is to make it into the ?Big Dance? ? the NCAA basketball championship tournament.? I have experimented with all kinds of goals for organizations and individuals.? I have found that the best are shorter term in nature.? I find that if they are too long term then people wait until the last minute to work on them like cramming for an exam. I like clear and specific goals that ideally can be accomplished in three to six months.

PROVIDE FEEDBACK

I went to a St. Louis Cardinals exhibition game recently against the hometown Memphis Redbirds.? As I looked at the new scoreboard in the stadium, I noted how much data was readily available: the score, balls, strikes, outs, and even the speed of the last pitch.? The players get real time feedback on how they are doing and can adjust their strategy.? Unfortunately, that is often not the case in business.? I have visited with many employees who never get any feedback or maybe only once a year in a perfunctory review.? How can people improve if they don?t get constructive feedback on their performance? As leaders, we should give helpful feedback early and often if we want our team members to develop.

KNOW THE RULES

Along with teaching my tennis students how to keep score, I also taught them the rules of the game.? Without rules, it would be chaos out on the court and constant controversy.? What if you started a game and then halfway through the rules changed midway? ?How frustrating would that be?? Unfortunately, many workplaces feel that way.? The rules are not clear and may change in an instant.? Sure, there may be policies and guidelines in an employee handbook, but I am talking the day to day rules of operation.? What is expected?? What is off limits?? Too many handbooks are more driven by legal than practical considerations.? Employees want clarity and fairness.? As a leader, you have the opportunity to stomp out the ambiguity and create clear a set of rules that you expect everyone to follow.? I promise it will reduce the drama in your organization.

I hope these concepts give you some inspiration and ideas to ?gamify? your organization. ?We don?t have to watch the clock until 5:00 or wait until the weekend to enjoy a little competitive activity in our lives.? Our work can be just as invigorating and challenging if we put our minds to it.? Enjoy!

 

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THE CRITICAL NEED FOR TEAMWORK

Teamwork has been a buzzword around the business culture for some time.? Leading businesses know that well performing teams are the key to profits in a business.? However, teamwork takes on a whole new level of importance in life or death situations such as military combat, airline travel, and healthcare. In 1999, the Institute of Medicine (IOM) published To Err Is Human: Building a Safer Health System, which was a revealing review of the U.S. medical care system and the inadequacy of safety practices used in the treatment of patients. The IOM report estimated that medical errors result in 44,000 to 98,000 deaths annually?more than automobile accidents (43,458), breast cancer (42,297), or AIDS (16,516). Since then, there have been a number of initiatives and task forces to address this problem, including the development and research of team based training to improve patient safety.

While the focus on teamwork in healthcare has brought improvement, there is still work to be done. The study, “Medical Errors Involving Trainees: A Study of Closed Malpractice Claims from 5 Insurers,” appeared in the October 22, 2007, issue of the Archives of Internal Medicine. The lead author, Hardeep Singh, M.D., M.P.H., noted, “Our study confirms the relationship of poor teamwork to preventable errors and quality of care.”? The Agency for Health Research and Quality (AHRQ) Director Carolyn M. Clancy, M.D. stated about this study, “This study reminds us that we have a lot to do to ensure that hospitals are providing appropriate supervision to trainees and implementing team-training programs, both in the inpatient and outpatient setting.”

In addition to the obvious importance of teamwork for patient safety, there is also a critical need for effective teamwork to create the efficiencies needed to deal with increased patient volumes and decreasing reimbursements. Physicians today need to make sure they have expert teams, not just teams of experts.? Expert teams aren?t created overnight.? It?s a process and takes purposefulness and commitment.? Teams typically begin in the formation stage where people are learning, leaders are directing, and people are getting to know one another. Unfortunately, this is usually followed by the storming stage where clicks can development, a great deal of supervision is required, and disagreements can ensue.? While many teams get permanently bogged down in the storming stage, better performing teams will enter a norming stage.? In this stage, the team starts to actually work together as a team, goals and directions become clear, and the overall performance improves. Truly high performing teams will enter a performing stage where team members all exhibit leadership, self-motivation is high, and the team members all have strong skills and knowledge.? The reality is that most teams will move up and down this spectrum as they progress and decline in their teamwork.

For some, discussions about teamwork and team building conjures up images of warm and fuzzy games and retreats.? Working on teamwork can be seen as a waste of time and money and not ?real work.?? The reality is quite different.? From 1955-2008 there were over 300 empirical articles on teamwork studying over 10,000 teams. For example, a study by Eduardo Salas, Diana R. Nichols and James E. Driskell Small Group Research 2007; 38; 471 entitled ?Testing Three Team Training Strategies in Intact Teams: A Meta-Analysis? found unequivocally that team training improved performance.

There are a number of training methods that can be used to deliver results including: cross-training, event-based approach to training, scenario-based training, self-correction training, stress exposure training, team adaptation training, and team leader training.?? The reality is that physician team settings vary dramatically from emergency room, to general surgery, to primary care physicians.? The key is adapting your training to your specific environment. For those considering team training, it can be a waste of time and money unless the design and delivery of the training is based on scientific principles, the physicians take ownership, teamwork is rewarded and encouraged, and there is feedback loop to debrief and measure success.? True team development should focus on building the knowledge, skills, and attitudes of your team members and should be an ongoing process.

The handwriting is on the wall.? There is no doubt that quality of care will continue to be scrutinized with greater intensity, particularly with the shift to electronic medical records.? The link between pay and quality of care is only going to get stronger.? Physicians will have to continue to do more with less.? There will be increase pressure to see more patients and be highly efficient. At EMHC, we are continuously striving to stay up-to-date on the quality of our patient care. While more studies need to be done, we have enough data from the commercial airline industry and the military to show us that we need to strive for better teamwork in healthcare to improve safety.? Since many physicians are also entrepreneurs, they must keep an eye on the bottom line and the work of business has shown us undoubtedly that it?s hard to be profitable with a poorly performing team. In the near future developing your healthcare team won?t be a luxury, but a necessity.

 

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