Is your company ready to deal with a Product recall? A Checklist for your convenience

25 01 2010

Is your company prepared to deal with a Product recall?

Product recalls have the potential to seriously damage your reputation and brand name and can cause distrust amongst stakeholders and possible litigation, especially if it involves aspects of health & safety. In fact a shoddy product recall could results in untimely deaths.

The current product recall by Toyota is a prime example of what can happen to a company. Bad things can happen to good companies. In this case it is a removable floor mat that could cause accelerators to get stuck and lead to a crash.

Just imagine that you are the manufacturers of a product that could implicate the lives of babies. Just imagine that some dangerous bacteria manages to contaminate this product and you have shipped this contaminated products and they are in use at hospitals and clinics throughout Southern Africa.

What now? Lives are at stake!

How will you withdraw the product from the market and how will you inform all these outlets about the dangerous situation in a way that your integrity and reputation can remain intact and not be questioned?The trick lies in being prepared just in case it happens and then reacting swiftly to deal with it, both from a reality and a perceptual perspective. The difference lies in HOW these companies respond. That difference has its origins in how well prepared the business is to deal with the hand of fate. The companies that manages to weather the storm are normally those that are prepared to deal with the crisis and can communicate quickly and decisively.

But, how many small to medium size businesses even plan for this or even know what to do when such a situation comes around?

Perhaps the following checklist can be helpful as a planning and action guide. (Caveat – This checklist is only a rough guide. You should work with professionals before, during and after a product recall crisis. This checklist should be developed into a particular section of the completed crisis communication plan for the business and should constantly be updated. For an example of a complete crisis management template, you could consider obtaining REPUCOMM’s Crisis Manager Toolkit).

Do the following:

  1. Define a recall (e.g. an event to effect removal of product from business because as a result of an identified hazard or problem) using your company or industry’s specific language.
  2. Outline how the Company is to react once a recall is in effect and who/what declares a product recall, and what decides that a recall is over (These actions will be influenced by legislation particular to your industry, Industry association guidelines, bylaws, best practice, and organisations like the SABS – South African Bureau for Standards. Quick tip – The new Consumer Protection Act that is coming into effect in October also deals with this in various means -Consumer Protection Act, 2008 (Act No. 68 of 2008), Chapter 2 : Fundamental Consumer Rights , Part H : Right to fair value, good quality and safety, 60. Safety monitoring and recall.
  3. Outline the product recall classifications and the Company’s responsibilities in each circumstance.
  4. Define the process to identify affected product.
  5. Define the traceback system and record keeping practices and where to find the information about who the product was delivered to and when.
  6. Ensure that supplier and distribution (brokers, retail, wholesalers, etc.) contact lists are up to date and include as much contact information as possible. These lists should be updated either monthly or in real-time.
  7. Investigate how you would inform the public. It is essential to plan for recalls so that you could for instance quickly and effectively be able to run an advertising campaign, especially if people’s lives are at stake.
  8. Determine the required legal and other authority notification procedures for your industry.
  9. Know what data the authorities or legal practitioners will require from the company in the event of a recall e.g: product(s) recalled (brand names, product names, code number, type of packaging); production codes and dates (sell by date or other identification codes); problem/reason for product recall; how/when hazard was discovered.
  10. Know who will be the Company contact person and who will be allowed to speak to the Media. Make sure that this person is trained and well-versed with interviewing techniques.
  11. Define the information necessary to vet the quality of product recalled (i.e. complete info on lots, production dates, distribution and location of product, accounting of all product, etc.).
  12. Have on hand or get it compiled quickly – Any information on product distribution (i.e a complete breakdown of retail/non-retail distribution and amounts sent to retailers, etc.).
  13. Prepare beforehand any relevant information on how to handle the product. This may be defined by MSDS (Material Safety Data sheets). For instance if the product is in use, how do you prevent contamination of localities i.e. water or air, etc.
  14. Ensure that you plan beforehand how you will inform all stakeholders about an incident – the authorities, the Media, the shareholders, staff and customers.
  15. Determine the procedures to handle the return of the product in a retail setting such as where customers need to hand the product back to a retailer, what the compensation procedures will be and how you will communicate with the consumer.
  16. Set up procedures at the office to handle incoming calls. Ensure that your staff will be trained on what to say and to record. Will your Call Centre be able to handle the volume of calls?
  17. Have you had a dry-run of your product recall procedure? Dusty procedures is of no use in a policy manual or on someone’s desktop. Regular training is a must.
  18. Test your quality feedback monitoring systems. prevention is better than cure. If you can deal with problems before they occur, so much the better.

As you can see a product recall is not a simple exercise. Ideally you should plan beforehand and work with a number of identified experts to plan a potential recall. These experts could include HSE, PR and Legal practitioners.

If in doubt whether you need to go to this extent, remember that Noah built the ark seven days before it started to rain! (But he had access to divine wisdom)

Will you be able to say the same, if the hand of fate strikes? That you had prior wisdom?





Business Reputation Seminars January & February

21 01 2010

Thought you might like to see the list of upcoming business seminars from REPUCOMM (me) in the next two months.

Managing a consultancy or an organization’s reputation may be the most important asset a CEO and his or her team manages – as a good reputation helps a company to attract business, investors, hire and retain the best employees, partner with other leading organizations and lower the cost of capital.

Reputation must be built from the inside out, and encompasses everything that the organization says and does. Reputation is an intangible asset at risk on a daily basis. A good reputation means your name is trusted. You are considered a sound investment, purchase, partner, and employer. All of this dramatically impacts the organization’s bottom line.

My three events will equip managers with the necessary competencies to manage this asset and risk strategically and with care.

Go to http://mim.io/fd822 to see more information about these events.

You can register for these events online and I will do the rest.





Ever been stuck in some useless Committee Meeting?

20 01 2010

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Meetings …a place where they take minutes and waste hours! Meetings…It’s unfair to compare a meeting with a funeral. Funerals have a definite purpose!

I am sure you have heard these comments and more. I was going to give some tips and decided against it. This poem just sums it up.

The Committee – by Phong Ngo

Oh, give me a pity, I’m on a committee
Which means that from morning to night
We attend and amend and contend and defend
Without a conclusion in sight.

We confer and concur, we defer and demur
And re-iterate all of our thoughts
We revise the agenda with frequent addenda
And consider a load of reports.

We compose and propose, we suppose and oppose
And the points of procedure are fun!

But though various notions are brought up as motions
There’s terribly little gets done.

We resolve and absolve, but never dissolve
Since it’s out of the question for us.

What a shattering pity to end our committee
Where else could we make such a fuss?

How can you make your meetings a joy to attend? Think about it! I know many ways how.

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Powerlines Number 90 – The newsletter for Reputation & Stakeholder Managers available for download

20 01 2010

The 90th edition of Powerlines is now available for download. This newsletter aims to provide you with timely, accurate and useful information to help you build, sustain and protect your organisation’s reputation.

Powerlines currently serves more than 8500 international and local readers! It is an opt-in newsletter list and comes at one cost – the time to read and share it! Please feel free to forward it to someone that may benefit from the content.

In this Issue

  1. Quotes & Thoughts – Alltop
  2. What Type of Reputation Management Consultant are you?
  3. How to Write and Implement a Media Policy
  4. The Implications of the King Code 3 on Stakeholder Management
  5. What is the Definition of Effective Risk Management?
  6. Manage your Stakeholders…Manage your Reputation Event invitation
  7. The Meanings of Words are in People’s Heads and not in the Words they use
  8. Develop a Breakthrough Marketing Action Plan for 2010
  9. I want to speak at your next event!
  10. Introducing REPUCOMM – The Reputation Management Training Specialists

Access Powerlines by clicking the following link

 





No organization can state that they have no stakeholders!

19 01 2010

Last week I sent out my Powerlines newsletter Number 90 – a newsletter for Reputation Managers and those involved in stakeholder management.

Like any newsletter it always gets its own fair amount of subscriptions and unsubscriptions. However what got me this time was an e-mail from someone that stated the following:’’Your newsletter would be inappropriate for us as our business is not affected by your content”.

Now I don’t mind unsubscriptions and would rather have a targeted list of readers, but if ever I needed to take an exception over a statement it was that one.

The statement that any business would not be affected by the content is wrong. Knowledge, awareness and understanding of stakeholders and the reputation management process can only be beneficial for any organisation, no matter its size or stature.

No organization can state that they have no stakeholders. In fact it is useful to revisit the definition. Stakeholders are anyone, group or individual that can affect or is affected by an organisation’s behaviour, actions and performance. There is thus a fine interplay of factors to manage if an organisation wants an excellent reputation.

An organisation derives its reputation from the way it is perceived by its stakeholders. They will evaluate your actions, performance and behavior, and will in turn act reciprocally by either buying your products, recommending you, using your services or acting towards you in a favourable manner.

It is these actions that are important. You want stakeholders to say good things about you and your organisation, you want them to work for you and be loyal if they are an internal stakeholder, you want to be able to source funding when you need it because you have a good image and reputation in the eyes and minds of the shareholders and financial institutions.

In the world of the interconnected economy, the reputation of an organisation has become its biggest asset and risk. Research clearly shows that these days that reputation is a function of the communication with stakeholders, the understanding and perceptions they have about your business and the levels of relationships that have been fostered.

It makes the management of the stakeholder interface a strategic and vital one for any organisation. In fact, it has become so important that the new King Code 3 of Corporate Governance makes specific reference to it in Section 8. Although the Code is not enforceable it sets forth standards of good practice and provides guidance that will shape dealings with stakeholders in years to come.

Section 8: The Governing of Stakeholder Relationships spells out certain practices, as follows and I quote:

  • Section 8.2. 1 Management should develop a strategy and formulate policies for the management of relationships with each stakeholder grouping. This implies that an organisation has a formalised stakeholder management model or system in place and that due thought has been given to dealing with each relevant stakeholder. A Good example of this is the difference between working with the Government stakeholder versus the Media Stakeholder. Deadlines for these two stakeholders differ. The Media stakeholder is always on deadline, whilst in Government, decisions go through a consultative process that includes strict use of protocol. Thus you cannot manage these different stakeholders appropriately unless you understand the different rules and nuances of the stakeholder game. It is these types of issues that I also address in my Stakeholder Reputation courses.
  • Section 8..2.2. The board should consider whether it is appropriate to publish its stakeholder policies. Some companies like BHP Billiton have this information in their HSE reports and on their websites. They thus demonstrate their commitment to positive relationships based on trust, openness and transparency.
  • Section 8.2.3. The board should oversee the establishment of mechanisms and processes that support stakeholders in constructive engagement with the company. There are many ways to engage. These methods are influenced by timing, decisionmaking resources and other issues. Again, due thought needs to go into deciding which engagement tools are appropriate and under what circumstances. The use of Facebook and other social media technologies are not by the way just a communication or an IT bandwidth or security issue, but falls right into the domain of engagement.
  • Section 8.2.4. The board should encourage shareholders to attend AGM’s and Section 8.2.5. The board should consider not only formal, but also informal, processes for interaction with the company’s stakeholders are dealt with above.
  • 8.2.6. The board should disclose in its integrated report the nature of the company’s dealings with stakeholders and the outcomes of these dealings.

All these specifications implies that a company will need a formalised stakeholder management system*** in place, in order to comply and adhere to these recommended practices. The Code also goes on to say that the board should take account of the legitimate interests and expectations of its stakeholders in its decision-making in the best interests of the company.

This means having a different set of criteria when making decisions – see my blog post called Which Decision-making Model are you using?.

However adhering to these recommended practices will be far from easy. Traditional company models rely on functional layering, whilst the skills and approach needed to manage a Stakeholder system will necessitate a systemic model, one in which a person will be required to work across departmental boundaries.

Company processes and practices will also offer their own set of restrictions. In my blog posting of 26 March 2008 I asked the question: ‘‘How much are you spending on Stakeholder Relations?.

I had few responses, and those who did, could not tell me how much they were spending on each stakeholder group, nor what the ROI was. This will be a problem in the future, because what we try and do in stakeholder reputation work is to influence perceptions and ultimately affect stakeholder behaviour. Spending money on these relationships are not wasted. Spending money on learning how to maximise these relationships will not be a not a waste.

Planning and managing the Stakeholder function will need to be done systematically and with great strategic insight.

So to conclude to the reader who unsubscribed. In my newsletter I try and raise awareness of these type of issues and topics. Whether you like it or not you will affect your stakeholders and they will in turn affect your reputation.

*** Here is a quick test for you. Can your management team answer the following strategic questions:

  • Who are our stakeholders?
  • What are our stakeholders’ stakes?
  • What opportunities and challenges do stakeholders present?
  • What economic, legal, ethical, and social responsibilities does our organisation have towards our various stakeholders?
  • What strategies or actions should we take to best manage stakeholder challenges and opportunities?
  • Do you have a system for managing relationships with stakeholders?
  • How do you measure results? What metrics do you use to assess and gauge stakeholder relationships?
  • In a crisis how quickly can you communicate with your relevant stakeholders?
  • Do you know the various methods to engage with stakeholders and when not to use it?
  • Can you state how much you are spending on each stakeholder group and what your ROI is?
  • Have you developed a set of rules and practices on how best to manage the process of building stakeholder reputation with each stakeholder group?

If you need more help to understand this, take a look at this site: http://stakeholderreputation.invite43.com





Which Decision-making Model are you using?

11 01 2010

When I entered the business world, the flavor of the month decision-making model was the Kepner Tregoe problem solving & decision-making model.

Soon that was replaced by a model from a book, that is if I can remember its name– something like the 1001 things I did not learn at Harvard Business School. And, just when I got my breath back, De Bono came along with his 6 Hats.

And so it went on…De Bono…..to various techniques involving linear and creative thinking methods. Just read Michalko’s Thinkertoys as an example.

In my own consulting experience in reputation management I have found that the MISTRUST that is created in companies or by companies today is a direct cause from a lack of stakeholder understanding and misperceptions that is created when decisions are made. (For more information on this, read this blog’s archives)

Perhaps the following information can add to your decision-making model that you wish to develop. Perhaps you could even develop a model that will grace the charts worldwide (Please quote me…)

This is my theory.

Every decision that an organisation must make has four broad sets of implications. The obvious three sets of implications are operational, financial and legal.

The fourth set of implications is generally ignored, delegated or included in the process only on the basis of the "gut instinct" of one of the participants. This fourth set of implications is reputational.

The reputational implications of a business decision can be defined as those that impact the way in which an organization is regarded by those with whom it interacts, including shareholders, customers and employees, as well as suppliers, government regulators, the media and even competitors (and any other stakeholder).

This fits in well with the ecology model of organisational effectiveness.

The New Collins Concise English Dictionary defines ecology as: "The study of the relationships between living organisms and their environment, the set of relationships of a particular organism with its environment."

This means that the ecology model is concerned with the organisation’s ability to deal with internal and external contingencies, and its ability to manage interrelationships between stakeholders in the context of its environment.

Any organisation is dependent on its stakeholders for support and the strategic importance of any stakeholder depends on how dependent the organisation is upon it. And this relationship can change over a period of time or due to indiscretions. It is thus important to realise that any decision has reputational implications if it has the potential to affect the relationship between the company and any of these stakeholders. In other words, it is difficult to think of a decision that does not have reputational implications.

Reputation, most managers today would agree, is an asset, even if only a perceptual asset (or, if mismanaged, a liability). It certainly is not optional. Every corporation, organization, institution, individual has a reputation. The only option is whether to manage it or allow it to be inferred.

If it is to add value, it should be managed with the same care and attention as any asset. It should be obvious that if a decision has four broad sets of implications, and only three are formally and routinely considered, the potential exists for flawed decision making. After all, the role of a manager is to manage all the assets under his or her control effectively.

It is certainly conceivable that financial considerations are often deemed more important than reputational impact, but even that is not to say that they should not be considered and factored into the process. There is mounting evidence though that as general rule reputational implications is important to sustained corporate success. The scrutiny under which business operates today (Witness the success of investigative TV programs), the amount of information in the hands of consumers and other publics, make reputation a vital asset, and in some industries the most important.

And, interestingly if this was not important, how come it is specifically included in the new recommended King Code 3 of Corporate Governance (Section 8). For more information, go to the website of the Institute of Directors and check it out for yourself.

Unless decisions are scrutinised through a stakeholder lens, problems are due to erupt.





How to Write and Implement a Media Policy!

9 01 2010

imageMany managers and owners think that a media policy comprises of just one instruction, namely :’’Never speak to the Media. Refer all enquiries to our spokesperson or Head Office….’’.

However there is more to a media policy than just an instruction that tells staff who will speak or is allowed to speak to the media. A Media Policy can be a document that sets the tone for communication with the Media and other stakeholders.

The advent of the Internet and Social Media have changed the traditional rules and landscape of media relations. Today an employee or a stakeholder can have their own presence on Facebook, have their own blog, send pictures from their phones directly to websites on the Internet, making it more difficult to control messages.

Some companies profess to believe in engagement with stakeholders, yet do not allow their staff to access social networking sites, whilst others embrace the new technologies. Some cite bandwidth issues as their biggest constraint, yet time and time again it has been shown that unless transparency is understood, a company will not easily open up to these new tools.

This makes the writing of a media policy a vital exercise to steer clear of potential reputation risk. This makes the writing of this policy no longer the responsibility of the PR department, but that of the Risk Committee.

Writing a best practice media policy will therefore need discussions with subject matter and 3rd party experts, dialogue with stakeholders, an understanding of the issues in a company as well as knowledge of the latest laws, rules, regulations, needs and expectations of stakeholders.

Only when these issues have been discussed and researched, can a policy be written. I also believe that it is vital for any business not just to design and write a best practice media policy, but that this policy should be accompanied by a guideline that contains hints to deal with not only the media but also communication with other stakeholders.

To write a media policy you will need specialised help. You can either work with your PR Company or enlist the services of an external services provider such as a specialised writer and/or a Social Media company to assist you in this regard.

Here is a part example of a policy and a short checklist to guide you in this process (Please note that this is not a complete list).

Example of a Media Policy

The objective of the XYZ Company’s Corporate Communications policy and procedure is to ensure that the information contained in all communication with stakeholders is consistent, accurate, fair and timely.

(This statement is not as simple as it looks. Issues of transparency needs to be carefully researched, especially legal issues, issues of voluntary, mandatory and involuntary disclosure and whether the organisation wants to be transparent, i.e intent)

To ensure this, it is the policy of  the XYZ Company that:

The Company will comply with all laws and regulations regarding public disclosure of material events, financial results and operations;

  1. The Company is committed to non-selective, fair disclosure of information about The Company without advantage or disadvantage to any participant in the financial market place;
  2. The Company will voluntarily disclose any non-material information, which is not the subject of a confidentiality agreement and determined by senior management to be in the interest of stakeholders, shareholders, the investment community and the public;
  3. All disclosures to the media will be communicated by an authorised Media Relations Officer or designate;
  4. All disclosures to the financial community, including investment analysts, brokers and current or potential investors will be communicated by the CEO, CFO, and Investor Relations or their designate(s);
  5. All the Company media releases, information prepared for the financial community, and all other Company related information for public disclosure must follow the procedures for review and approval outlined herein;
  6. The External Communications Policy applies to all the Company employees and, with respect to their reference to the Company, all subsidiaries and associates;
  7. Management will be responsible for ensuring that this policy and related procedures are communicated and followed consistently in their operations;
  8. Non-compliance with this policy may damage the Company’s reputation and/or cause the Company and/or its shareholders to be prejudiced and to suffer damages and/or losses;
  9. As with all of The Company’s policies any non-compliance will be treated as serious and will result in disciplinary action and could give rise to civil and/or criminal liability on the part of the employee. It is the responsibility of all employees to familiarise themselves with this policy.

The Public Relations Manager can be contacted should an employee wish to seek clarity or assistance with respect to any aspect of this policy.

Example of a Checklist: Due thought needs to be given to the clarification of procedures for preparation, review and approval of external communication materials:

  1. Media Relations
  2. Industry Analyst Relations
  3. Financial Analyst Relations
  4. Stakeholder Relations
  5. Conference/Seminar/Roundtable/Speaking Opportunities/White Papers/Opinion Pieces
  6. Corporate Identity
  7. Email Signatures
  8. Crisis Communications
  9. Acquisitions, Partnerships, Subsidiaries and associates
  10. Naming conventions
  11. Customer/External Newsletters
  12. Internal Newsletter
  13. Website and Intranet issues
  14. Blogging, Facebook usage, Wikis and other Social Media
  15. IT related issues.

As you can see, due thought has to go into the writing of this policy. Who needs to be consulted and vet certain information? Example – Internal newsletter may have content and remuneration information that has to be cleared by the Human Resources Director.

From a reputation risk perspective, you want clear policies, implementation guidelines & tips for all of these areas.

Writing the policy is one thing. Once you have written it, it needs to be authorised by the Board, and other parties such as the Company’s Legal and PR representatives. Getting the policy scrutinised by external 3rd party experts is advisable.

Once the policy is approved, it is useless to just distribute it and get it to be filed in the company’s policy manual. It is also not sufficient to just communicate the contents via a memorandum or e-mail to managers and staff.

I believe that it is vital that specific training is conducted throughout the organisation, so that staff can understand the dangers and peril of irresponsible communication and the impact it can have on the reputation of the institution. Training managers in Media Relations awareness is not the same as Media Spokesperson training and the two should not be confused.

Media awareness training differs from practical spokesperson coaching. Let me explain. Companies traditionally appoint two to three spokespersons. The spokespeople (who are carefully chosen), need to receive hands on practical training in front of cameras, microphones and live audiences. This type of training is  expensive and time intensive and is normally conducted in a studio. Some trainers put spokespersons on the spot and then proceed to show them their weaknesses. This often breaks down people self-confidence levels and should be avoided (You cannot build on sand). Spokesperson training should be positive and uplifting and conducted in simulated environments.

However I believe that general management also need “contextual” training – training that will add to their understanding but that can be added on in a studio later. It is this training that is needed to ensure adherence and compliance with the Media policy.

Managers need to understand the media stakeholder, how they operate and how to conduct themselves in a media interview situation. This is typically the type of training I conduct in my Media Survival Skills workshop.

Often senior management are the people who have to formulate the messages that spokespersons need to convey or decide on an approach in dealing with the media. They therefore need to understand the media stakeholder, so that these messages and chance interactions with the media will be positive and uplifting.

My favourite saying is that media relations need to be approached with strategic intent and if you do not know the rules of the game, how can you play it.

I believe that my recommended two-tier approach to writing a Media policy and implementation is the best for building sound media relations and minimise that type of reputation risk in the organisation.





Want to Change your Reputation?

8 01 2010

Before you can market a product or service, you need to take the teapot lid off and look at what it is that is withholding you from marketing and growing business success. That will ensure that the foundations are strong and the marketing and eventual reputation will grow in leaps and bounds.

The problem is that many organisations participate in various surveys that tackle the multifaceted issue of reputation. They then get results that do not always give them the full picture of what is not working.

About a year ago I saw the results of a survey conducted at a client that indicated that their creativity and innovation presence was lagging. Lagging in what?

To get to the real reasons, a lot more detective work is necessary. The questions that a skilled management consultant would ask is different to that asked by a traditional survey. A consultant would probe and probe until he or she identified the root cause. Only then, can measures be implemented to enhance creativity and innovation in the organisation.

So, what is stifling innovation in the organization? Is it structural, process issues, the corporate culture or competencies of the people?

Let’s just quickly define what a competency is. A Competency is having the required knowledge, skill and attitude to do a certain task at a certain standard level.

In my experience, creativity can start at that level. Most people upon asked to do an exercise in which they have to list the names of five people, dead or alive, they believe to be very creative, would seldom put their own names on that list.

In few organisations, a staff suggestion and idea scheme operates at an optimum level (maybe I will blog more on that ).

Anyway, here is a formula that you can apply to changing your organisation’s reputation.

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Change == D+V+S+C

For change to happen a business has to:

  • Be dissatisfied with its present state (Are you happy where you are on the World’s Most Admired Company Survey? The Best Employer Survey, etc?)
  • Have a clear Vision of where it wants to go (Do you know what makes your company unique? Do you understand what drives reputation in your industry?)
  • Take the necessary steps to get there (Planning)
  • Create enough energy (or tension) to overpower the COST required (in terms of money, time and energy) to make the change happen.

Simple formula, but as one speaker once said: ‘’Business is just about two things, Buying and selling and a millions things in between!’’

Depends on how much you value your Reputation. I know Warren Buffet does.





Laying the Foundation for 2010

6 01 2010

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Now is the time to lay the foundation for the new year. Why? So that you can hit the road running after the festive period.

Here are some ideas as to what you need to take a look at:

  • Review your Business plan. Business plans are not set in concrete. Does your original assumptions still ring true? Adjust and amend where necessary.
  • Clutter destroys energy according to Feng Shui experts. Go through your office with a fine comb. Go through every pile of documents – Decide what is relevant,necessary to keep, otherwise dump it. Go through your filing cabinets – Remember a filing system should not be like a goldmine, where you have to move mountains of ore to get to the pieces of gold.
  • Update your media and mailing lists, your Rolodex. Your online social network lists. Re- evaluate your relationships with those in your network. Who should you be spending more time with?
  • Re-evaluate your Consultancy’s Marketing and Publicity Plan. Are you still reaching your target market? If you are not, change what you are doing and
    plan something new. Remember the words of Richard Saunders: The only way to get a significantly different result is to do something significantly different.
  • Re-evaluate your elevator speech. An Elevator speech is a 10-15 word statement of what you do and why it is valuable to a client. Are your message still in synch with what you do?
  • What about your working environment? Is it set up for efficiency? Are your waiting room chairs comfortable? Are your magazines current and appropriate? Your office is a reflection of who you are.
  • What was your customer service levels like? Did you promise less, but delivered twice what you promised. If not, make that your goal for the new year.
  • What about balance in your own life? How’s your health? A healthy mind resides in a healthy body. If you need to make dietary and other lifestyle
    changes, plan for it now. And include it on your New year resolution list.

The bottom line is this: Set yourself up now for success. That way you can enjoy the New Year with the assurance that you are in control.

There are resources out there that can really assist you to become more effective and efficient in your consulting work, including:

These resources fulfil two criteria, as follows:

  1. They use the concept of Modelling. Modelling is a Tony Robbins concept. In his book “Unlimited Power” he speaks of the concept of modelling i.e.” To become successful, you need to model yourself on the knowledge, skills and attitudes of successful people…By role modelling them you can shorten the very expensive learning curve and become successful far quicker yourself”.
  2. The concept of Leverage Points. Researchers in systems thinking speak about leverage points – those small, well-focused actions that can, when used at the right time and in the right place, produce significant, lasting benefits exponentially beyond the effort required to take the action step itself.

These are the steps needed to start to work ON your business,  not just IN your business.





Engaging the Employee Stakeholder

6 01 2010

December last year I facilitated a one day program at a conference called Strategic Employee Engagement. The lessons learned from interacting with the audience made me respond yesterday on the ODNet list to a rant on so called soft skills. My response to someone’s e-mail, evoked a number of requests for my PowerPoint presentation (Contact me and I will gladly send you a copy).

This was my e-mail response:

Companies today have to manage a complex web of relationships with a variety of stakeholders in order to establish a lasting and favourable impression in the minds of those stakeholders. That reputation in turn influences buying behaviors, investment behaviors, and the attraction and retention of staff.

A Crucial word that is used in those circles are engagement.

In December last year I was asked to facilitate a day conference replacing another speaker on the topic Strategic Employee Engagement. So, I had to get up to speed with latest knowhow quickly, obviously I had some.

Some thoughts I shared with the audience:

What is Employee Engagement?

“The state of emotional and intellectual commitment of a person, group or organisation to the entity with whom they are employed.” Source: Hewitt

Engagement defined as “employees who are mentally and emotionally invested in their work and in contributing to their employer’s success.”

The Benefits of Employee Involvement & Engagement – Employee involvement makes sense because . . .

· They are closest to where the action is

· They tend to know the areas of greatest pain for themselves and for the stakeholder

· They have a vested interest in making the job go easier

· They want to feel good about the work that they do . . . that it makes a difference….

I concluded by stating that the Employee stakeholder can create enough reputation risk to cripple an organisation today. Managing that interface has become a strategic imperative.

*** I also went on to say during my presentation, that I have a lot more to share, but could not due to time constraints.

These thoughts cover the spectrum of communication, culture and traditional HR responsibilities but have a huge impact on engagement of the employee stakeholder.

So here goes:

Never in history have organisations had such a need to communicate effectively and consistently. We have laws on what to say to job candidates and how to deal with them and laws on what we must say to employees who are exposed to potential risks on the job. The problem is that all of these processes are mandatory and tries to institutionalize something which is based on trust, respect and caring.

We have many different tools at our disposal, but they all need a foundation from which to start.

The crucial prerequisite for Effective Employee Relations, Effective Engagement and communication is the creation of a positive organisational climate based on feelings of trust, confidence and openness.

This premise creates the foundation for effective engagement. To create the right conditions a successful communication policy should be developed and implemented in organisations that are built on management’s desire to:

j04094041. Inform employees of organisational goals, objectives and plans.

2. Inform employees of organisational activities, problems and accomplishments.( Open Book Management Philosophy)

3. Encourage employees to provide input, information and feedback to management based on the experiences, creativity and insights.(PROPER suggestion schemes)

4. Level with employees about negative, sensitive or controversial issues.

5. Encourage frequent and honest job-related two-way communication among managers and their subordinates.

6. Communicate important events and decisions as quickly as possible to all employees.

7. Establish a climate where innovation and creativity are encouraged.

8. Have every manager and supervisor discuss with subordinates their progress and position in the firm.( Performance Management systems)

These principles stated above must be the underlying focus for any programme and should be embodied in a written document which becomes part of the organisation’s Policies and Procedures manual.

This takes time as communication is ongoing, not static – and people should take the time, to improve it. The problem is that the process of communication is so intertwined with all the other organisational problems that it therefore becomes difficult for managers to find out the real price they pay for lack of communication with their employees, because the price is part of what is not communicated.

The costs in lowered morale, lost sales, poor customer service, and lost market share often are attributed to increased global competition, rising input costs, and systems problems, rather than simple communication itself.

One reason for this failure to see communication problems as the cause of organisational problems is that we all understand ourselves perfectly. Therefore we assume that we have made ourselves clear, when all we have really done is make ourselves clear to ourselves.

And here is the fallacy – Effective Communication just does not happen on its own accord. It must be planned and scheduled. It must have task support. Someone in every organisation must manage it and support it and champion it. Strategies and systems must be co-ordinated and brought into alignment with an organisation’s goals and culture. And Communication is the glue that makes it possible.

Every organisation wants to enhance its performance. More and more, communication is being touted as the key. What organisations need are formal communication systems that play the following roles:

  • Articulating and communicating the organisation’s goals, values, culture, and image;
  • Defining and clearly explaining the roles and activities necessary to reach the organisation’s goals
  • Interviewing and selecting the right people;
  • Providing them with the necessary information and skills to do their jobs well;
  • Giving feedback and coaching on individual and group performance;
  • Creating a culture that nurtures open, honest, fair, and multi way flows of communication and collaboration;
  • Collecting and analysing key performance indicators, strategic plans, and policies;
  • Managing information flow rates to optimise an individual’s ability to use it ( e.g Training in financial literacy for instance);
  • Establishing standards and policies so that internal and external communication is audited and aligned with organisational values and goals.

What is needed is a far more holistic approach to solving organisational problems and the problems of implementing improved employee practices or so called engagement of the employee stakeholder.

Investigating the role improved and enhanced communication practices can play is paramount to an organisation’s success. What are needed are managers and leaders that are prepared to tackle this age old problem. And that is the crux of the matter.

Ask yourself truthfully and honestly: "What breaks down more often than the photocopier or delivery vehicle?" Communication, of course. What must stop is rhetoric! Action speaks louder than words. Tackle communication problems in your organisation.