Business Health (p.48)

By Patti Fralix

As the New Year unfolds, many articles will be read about resolutions, which if kept, may be revolutions! Just ask the fitness centers how many people who start the year doing the right things they failed to do during the holidays (eat better and exercise more,) lose their focus very quickly. That behavior can be unhealthy on a personal level, but many articles address that. So, let's shift from that focus, the personal, and focus on what businesses can do to stay healthy in this brand new year. There are three very basic, "tried and true" rules that need to be followed for business health. While these are not new, they seem to be in shorter supply than ever before. These are rules, and they should be considered nonnegotiables.

The customer is king. Do everything you can to show that you really believe this. The customer is king simply because she/he puts food on your table and keeps your business doors open. The customer can do without you and your business, while if a business loses too many customers, the doors will close. Competition is too fierce today for any business to fail to honor the customer. This does not mean that the customer is always right, or that a customer should push their way around, get unreasonable demands met, or create fear in employees of a business. Customers who behave in this manner should be fired by the business so that employees can spend their very valuable time serving those customers who deserve their time. It does mean that customers should be able to expect prompt, timely, and quality service. There are too many "do-overs" today. It is harder than ever for work to be done right the first time, and on time. It does mean employees of all businesses should value the customer and show that any way possible, even verbalizing it by saying, "We sincerely appreciate your business; thank you for coming in." Be like Tim Stroud and his staff at Stroud's Upholstery who called me by name when I went in recently after a long absence, displaying that they not just remembered me, but appreciated my past business. They now have all of my Raleigh business. The culture at Stroud's Upholstery is not just quality workmanship, but personalized customer service.

The employees are talent. Managers need to spend time and money to make sure they hire the right people, inspire their performance, and provide ongoing motivation for them. It is harder to attract and retain the best and the brightest, but some companies continue to succeed in this while too many others fail miserably. A business cannot afford poor performers on their payroll. Even the brightest and the best need inspiration and motivation, so cutting or eliminating training and development budgets is pound foolish while it may seem penny wise. Be like the Umstead Spa, whose director and managers commend the staff by showing real appreciation for the Spa's associates (better word than "employees,") by reading the positive guest comment cards in an open forum, and acknowledging birthdays. The hospitality business is tough. The Umstead Spa recognizes that committing resources to show appreciation and motivation translates into more energized and committed associates.

Managers make or break a business. Yes, not the owners or the leaders, but the managers. The research clearly shows that people stay with a company even when they are dissatisfied with other variables (such as pay and schedules) if they like and respect the people with whom they work and to whom they report. It is true that the challenging economy has resulted in some people staying in jobs for pure economic reasons, preparing to leave as soon as the economy improves. Let's not concern ourselves with them, other than to motivate good performance and discipline as needed. The focus should be on inspiring, motivating, and managing (not controlling, but managing) the talent the business needs to show the customer is king. Managers who do not inspire and motivate need development, and if that is ineffective, discipline. If they don't develop the right people management behaviors and skills, those managers need to be removed from management positions. Management is first a people business. If we manage the people well, they will manage the customer interactions appropriately. Be like a female manager at DNA, an international company based in Raleigh. On 90-day interviews as well as exit interviews, DNA coworkers who report to this manager have identified her as a major reason for their job satisfaction, stating that she is one of the best, and even the best, manager they have ever had. Behaviors they mention include, "She asks my opinion, and she listens to me, and even takes my suggestions." Compare this to the behavior of managers to whom you report or have reported, whose behavior is more about control than involvement. If you are a manager, how does your behavior compare? If you are a business owner, rate the managers on your payroll by this scorecard.

There could be more rules, but these three can suffice. A business that has these rules – rules that are rarely broken, and when broken, there is swift and serious action – has much more potential to not just survive, but thrive. Yes, even in these challenging economic times.

Begin 2012 by improving your business health. It is also a great idea to improve personal health. May 2012 be a great year for you personally and professionally.

Patti Fralix inspires positive change in work, life, and family through speaking, consulting, and coaching. She is founder and president of The Fralix Group, Inc., a leadership excellence firm based in Raleigh. She can be reached at pfralix@fralixgroup.com.