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Often thought of as a bean counter, in reality, the role of a modern finance director is much bigger as they help drive business performance and growth. What Does a Finance Director Do? Often thought of as a bean counter, in reality, the role of a modern finance director is much bigger as they help drive business performance and growth. Published on: 15 Jul 2021 Finance directors are a key strategic player for businesses, driving business growth and performance through data-led decisions. Though of course the unique needs of the role will vary by industry and business, we’ll be looking at the key FD responsibilities to answer the question, “what does a finance director do? ” What are the Finance Director’s Roles and Responsibilities? Broadly speaking, the new finance director role includes the following: Finance, legal and administration compliance Overall responsibility for the finance department Managing relations with external investors Leading financial reporting Developing and implementing the company’s financial strategy Overall responsibility for all taxation Oversight on operations, HR, IT departments Acting as a trusted business partner and key strategic advisor to the CEO and wider board of directors Developing and implementing a robust financial control framework Helping drive business growth and performance We’ll look at all these responsibilities in more depth. Finance, Legal and Administration Compliance In an increasingly globalised world, businesses face a range of regulations and laws they must comply with to avoid fines and worse. The finance director ensures the business is aware of and complies with any regulatory requirements. With a larger team, this may be delegated to others within the wider finance team, but the FD is the person ultimately responsible for all financial and legal compliance. Overall Responsibility for the Finance Department For SMEs, your finance department may consist of just one FD. But in larger international companies, finance departments are huge and may span across several offices. It is the responsibility of the FD to coordinate all finance teams. How this looks in each business will look very different, for some it could be as simple as delegating and overseeing tasks like monthly reporting and payroll, while for others it could include ensuring the alignment and coordination of many financial departments with overall business strategy. Managing Relations with External Investors Businesses may have many external investors, whether that be the bank or private investors. The financial director is responsible for ensuring these investors are up to date with the financial health of the company, as well as managing payouts to these investors. For example, for some companies it will involve sending out quarterly communications to investors, while for others more developed relationships with regular contact is the norm. Leading Financial Reporting Whether it’s monthly, quarterly or annually, every business has financial reporting needs. The financial director is responsible for developing, implementing and overseeing the financial reporting process for the business. This includes all aspects of reporting such as income statements, cash flow reports, balance sheets as well as budgeting and forecasting. How can a Finance Director Drive Growth? Download Guide Developing and Implementing the Financial Strategy The finance director is responsible for developing and implementing the financial strategy. For some businesses, this means it is the FDs responsibility to develop a plan that outlines how a business will finance operations that allows them to meet business growth goals. In other businesses, the FD takes more of a strategic lead in developing a financial strategy with more innovation through their unique insight into areas of the business where improvements could be made . Overall Responsibility for all Taxation The financial director may not deal with the nitty gritty paperwork of taxation, but they have the ultimate responsibility for ensuring the company meets their taxation requirements. They may be the lead contact for HMRC and ensure the business is providing accurate reporting of finances. Oversight on Operations, HR and IT Departments How much the financial director is involved with various other departments throughout the business will depend on the unique structure of that business. In general, the more involved a financial director is with each department, the better they can strategise that department’s performance. As a minimum, finance directors tend to be involved with the financial aspects of business operations. This ensures they’re aware of the costs involved in any processes, so they can advise on areas for improvement. For other businesses, it’s common for the finance director to have a strong relationship and communications with the HR lead. This allows the business to best strategise human resource management finance needs to allow them to recruit, retain and engage the best talent and teams. IT departments are often more involved with the finance officer than other departments due to their funding needs. For example, IT departments tend to need financing for systems and outsourcing. The finance director can work closely with the IT leadership to ensure the business is using the most efficient and cost effective systems, aligned with wider business goals. Acting as a Trusted Business Partner and Key Strategic Advisor One of the most important responsibilities of the finance director is to advise, and often strategise, with the CEO and wider board of directors. This includes attending and contributing to board meetings and advising on strategic decision making. As above, how this looks for each business will vary. Many financial directors serve the purpose of informing the board of directors of the financial viability of business strategies. While others take a more active role in researching, developing and implementing new revenue streams alongside the CEO or board of directors. Developing and Implementing a Robust Financial Control Framework The finance director is responsible for developing a robust fiduciary framework in order to minimise risk throughout the company. These procedures and policies allow businesses to monitor and control the allocation of financial resources to maximise business resilience and operational efficiency. Driving Business Growth and Performance Ultimately, through the above responsibilities, the finance director is largely responsible for driving business growth and performance. Their analytical skills combined with a deep understanding of the company’s finances allow them to develop financial strategies that align with business growth goals. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Customer service questioning techniques can help you uncover valuable information about your customers to deliver better customer experiences. Learn more. What, Why, How: Customer Service Questioning Techniques Customer service questioning techniques can help you uncover valuable information about your customers to deliver better customer experiences. Learn more. Published on: 6 May 2021 As famous English writer, Rudyard Kipling once wrote: “I keep six honest serving men, They taught me all I knew; Their names are What and Why and When, And How and Where and Who…” His, and our point, is that there’s a lot in a question. They allow us to explore the world around us, as well as people’s motivations, feelings and opinions. In customer service, knowing the right questions to ask to get the information you need is the difference between an adequate customer service experience and an outstanding customer service experience . Customer service questioning techniques can help you achieve this. In this article, we’ll be covering: What are customer service questioning techniques? Types of questioning techniques in customer service Questioning skills Why customer service questioning techniques are vital What Are Customer Service Questioning Techniques? Think about the last time you had a customer with a problem. Beyond their name and how you could help, what else did you ask them? Was it immediately apparent what their problem was or did you need to ask a lot of questions to get to the root of the problem? Chances are it was the latter and that you used a lot of different types of questions to help uncover and resolve the problem. This is what we mean by questioning techniques, for customer service specifically, it can be defined as: Questioning Techniques Definition: “Questioning techniques is an all-encompassing term that refers to the many different types of questions we present to customers or clients. Using a variety of questions helps uncover valuable information.” The importance of knowing which questions to use cannot be understated. Think about it this way — you’re the expert on your service or product. A customer might call up with an issue, but not really know what to ask to get the answers they need to resolve the issue. A great example of this is within the telecoms industry. Broadband providers have huge call centres on-hand to help customers resolve problems with their service. While we won’t say they all get it right by any means, they serve as a great example to show that the call agent is the expert. Customers may know there is an issue with their broadband from a symptom of the problem, such as slow speeds or dropping connections. But they don’t know what the problem is. The agent is there to figure it out and will use a variety of customer service questioning techniques to do so. What Are the Different Types of Questioning Techniques? We’ve mentioned a couple of times there are many different types of questioning techniques available for call agents to use. To resolve issues effectively, you need to use a variety of question types, which we’ve covered in-depth below. Open and Closed Questions Open and closed questions are the most common types of questions. To understand one, you need to understand the other. Open questions most often start with what, why and how. They can’t be answered with a one word answer like yes or no. A closed question is the opposite of an open question. They most often start with where, what, when or who, but they can only be answered with one word. There’s a couple of examples belBoth question types have their purpose and can help you retrieve valuable information from customers. Closed questions can help you establish the basics. This includes things like your customer’s name, relevant dates and other pertinent information. Closed questions are also really helpful for confirming you’ve understood a customer. Open questions, on the other hand, are used to help better understand the customer and the reason for the call. They can help reveal customer’s feelings, thoughts and opinions about your product or service. This information can then be used to help resolve and improve. Call handlers are most often advised to use open questions wherever possible. This helps customers feel like they’re being listened to and able to express themselves. This said, call agents should be wary of stacking open questions. This can convolute answers or encourage customers to skip questions altogether. Best practice is to ask one open question at a time, followed by a closed question to ensure you’ve understood the information correctly. Funnel Questions The funnel effect is a questioning technique that has roots with lawyers and journalists, but has been repurposed for customer service. It is used to “funnel” answers to a result the questioner desires. For lawyers and journalists, this was a powerful technique to get incriminating statements or admissions from interviewees. For those in customer service, it’s a powerful sales tool and a great way to clean information from customers. It works in three steps. Step 1: Open Questions Begin with open questions about the subject. This will reveal information to move onto step two. Step 2: Probing Questions Probing questions are questions that help the customer think more deeply about the query. They examine the reasons, emotions and beliefs behind the information already given during open questions. Probing question examples could include: Why do you think that is? What would you like to see as a resolution? Can you tell me more about that? Could you give me an example of what you mean by that? Probing techniques are hard to master, so don’t worry if you get a little stuck with them initially. Probing skills come with great training and experience in knowing how to ask probing questions. Step 3: Clarifying Questions The final step involves using closed questions to confirm there is a shared understanding. This ensures the call agent has definitely understood the customer so they can figure out how best to help them with all the knowledge they need to do so. Using these three steps together is the funnel questioning technique. They work well for call centres as guidelines to help agents get the best information out of customers, so they can provide the best service possible. This said, this technique shouldn’t be followed as an absolute rule. Sometimes, call agents will need to use closed questions to confirm responses from open questions. So you should still be human and flexible to customer needs, even if you’re using funneling questions. TED Questions Unrelated to TED Talks, TED questions can help you ask better probing questions in customer service. It’s a simple acronym — Tell, Explain, Describe. Examples of TED Questioning Include: Tell me, how did that make you feel? Tell me, how did this affect you? Explain to me, how did this happen? Explain to me, what impact has this had? Explain to me, what difficulties have you faced? Describe how that felt Describe how that looked Describe your ideal resolution As you can see, each question uses one of the acronyms to help ask a probing question that will reveal the customer’s reasoning and emotions. TED questions are great to use when you’ve heard something in another answer that you want more information on . The style of wording can also help customers open up more. They feel as though the call handler is actively listening, engaged with their unique issue and cares about their feelings — as they should! As with the funneling technique, TED Questions often work at their best with a mixture of open and closed questions between. Leading Questions Also known as loaded questions, leading questions are questions which hint at a particular answer. They “lead” customers to said answer, hence the name. They’re an effective questioning technique in both customer service and sales as they’re a form of persuasion . An easy example of a leading question versus a non-leading question is, “how much did you enjoy our service?” vs “did you enjoy our service?”. The former makes the deliberate assumption that the customer did enjoy the service and leads them to a more positive answer. While the latter is more unbiased and allows the customer to form their own opinions without influence. For customer service, leading questions can be great when you’re dealing with an indecisive customer as you can guide them to a positive outcome for both you and the customer. As with other customer service questioning techniques, they’re great to use in combination with other questions. More Effective Questioning Techniques Sometimes it isn’t the questioning technique itself that delivers such a great customer service experience, but the accompanying techniques and skills alongside the questioning techniques. There are plenty of customer service techniques you can use to enhance your questioning skills. Signposting Signposting is a great customer service technique that helps conversations flow more smoothly, including questions. As the name suggests, signposting is using statements to signal a question is coming . The signposting technique allows customers to prepare and makes calls more organised. Some examples of signposting statements include: “In a minute, I’ll ask you for your account number” “In a moment, you’ll need a pen and paper” “In a minute, I’ll transfer you to the relevant department” As you can see, signposting isn’t a questioning technique per se, but it can work well in combination with questioning techniques to allow customers to prepare for questions. This can stop breaks in conversations while customers seek letters, pens and other bits as they know the information will be needed shortly. It can also help customers think through their answers ahead of having to give them. Customer Validation Sometimes, just knowing that someone understands you can make a world of difference. Especially in turning around a negative customer service experience. Validating customers as you question them can help enhance your customer service as you create an environment of interest and care . This environment can, in turn, encourage customers to share more information. Examples of customer validation statements could include, “I understand why you feel like that” or “I think that’s a great choice”. Statements like these can reassure and support customers. This said, tone is important here. Customer validation statements said in the wrong tone can come across as patronising. Remember to be authentic and human in your interactions for the best results. When used correctly, you can use customer validation statements alongside probing questions to encourage further information sharing. Understanding Customers This isn’t so much of a technique as a skill, but understanding customers can help you know when to use which questioning technique. For example, some customers just don’t want to be on the phone. They want a resolution as soon as possible. They don’t care about the finer details, they just want it to be over with. Other customers want to express themselves. They want their feelings to be known by the company, regular updates and for the resolution to include assurances that it won’t happen again. As you can see from these examples, the customer service questioning techniques you use would vary. The former type of customer would have a more positive experience with questions that focus on the key information needed only. Whereas the latter customer would likely appreciate many probing questions using the TED questioning technique to uncover the reasons and emotions behind the call. It’s not always easy to know what type of questioning technique will best work on a customer, especially immediately. But this should become apparent as the call continues and you should adapt your questioning approach to meet the customer’s expectations . Questioning Skills Knowing customer service questioning techniques is a great start, but you also need specific customer service skills to accompany this knowledge. Most importantly, active listening. After all, there’s no point in asking questions if you don’t actually listen to the answers . Alongside listening, agents should also take ownership of the call . Often when a customer calls up, they’re overwhelmed by the problem. Someone else taking ownership of that issue and guiding the customer through it can make a huge difference to customer satisfaction levels. As part of ownership, call agents also need to take action . It’s no good taking ownership in that call, if it’s then forgotten about the moment the call ends. So call handlers must be willing and able to take action to resolve queries and issues as soon as possible. Call handlers also need to be engaging . This means building rapport with customers, understanding individual needs and adapting their approach to those needs. This can be the difference between good customer service and outstanding customer service. Why Are Questioning Techniques a Vital Tool in Customer Service? We’ll refer back to the same point we began with. Questions allow us to explore other people’s emotions, needs and desires . In customer service, this allows us to better understand customers and, in turn, deliver a better service through this enhanced understanding. Delivering a better customer service experience comes with it’s obvious benefits. Perhaps most importantly it can help grow your company through increased productivity and profitability. Customer service questioning techniques can help express our genuine interest and care for customers. Overall, this helps businesses deliver a more human and authentic experience which is more customer-centric, so the importance of questioning skills is obvious. We can help train your call handlers to enhance their customer service questioning techniques with our unique telephone skills and service training programme. Find out more. If you found this article helpful, you might also like these related articles: The Complete Guide to Business Phone Etiquette 12 Essential Sales and Service Behaviours Active Listening: Customer Service Skills 101 Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Discover how OKR alignment, cascading, and laddering can drive organisational success. Learn how to connect individual goals with company-wide objectives for improved focus and performance. Unlock Organisational Success with Effective OKR Alignment, Cascading, and Laddering Learn how to align, cascade, and ladder OKRs across all levels of your organisation to ensure everyone is working towards the same objectives. These strategies help streamline focus, increase accountability, and drive measurable results that support your business goals. OKR (Objectives and Key Results) alignment, cascading, and laddering are methods used to ensure that goals at different levels of an organisation are connected and work together to achieve the broader strategy. Here’s a breakdown of each: OKR Alignment OKR alignment refers to the process of ensuring that the objectives set at various levels of the organisation (individual, team, department, and company-wide) are all working toward the same overall business goals. Alignment ensures that every part of the organisation is heading in the same direction, making it easier to prioritise and focus efforts. For example, a company's objective might be to "expand market share in a new region." Each department (sales, marketing, R&D, etc.) would then set key results that support this larger objective, ensuring everyone is aligned in their contributions. Cascading OKRs Cascading OKRs is the practice of breaking down top-level objectives into smaller, more specific objectives for different levels within the organisation. Essentially, the company’s high-level goals "cascade" down to the team, department, and individual levels. This process helps ensure that everyone in the organisation is contributing to the larger vision and has clear, actionable tasks to work on. For example, the company-level objective to "increase revenue by 20%" would cascade down into department-level objectives (sales increasing lead conversion rates, marketing improving brand awareness, etc.), and further down into individual OKRs (sales reps increasing call volume or closing rate). Laddering OKRs Laddering is similar to cascading but focuses more on how the key results at one level support the key results at the next level up. Think of it like a ladder where each step leads to the next one, and each key result contributes to a larger goal. It is the process of ensuring that the key results at the individual or team level ladder up to support the organisation’s broader OKRs. For instance, an individual’s OKRs might focus on specific actions (e.g., improving customer service response times), which directly contribute to the department's OKRs (e.g., improving customer satisfaction scores), which ladder up to the company’s OKRs (e.g., increasing customer retention rates). Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

Learn the difference between a relational and transactional business, and why your business should be striving to be less transactional to get ahead. What Is The Difference Between a Relational And Transactional Business? The transactional approach is what characterises the majority of modern business and relies on thinking of the customer journey as a series of ongoing transactions. Published on: 2 May 2019 Post Summary: The relational business focuses on building relationships with people over time The relational business can help to boost your bottom line while creating customers for life and creating a community around your company All parties benefit, ranging from employees and customers to suppliers and the local community To truly make the most of the relational business, you need to take it on board as a mind-set and roll it out across your entire company. A very brief history of business Long ago outside a cave somewhere near Stonehenge, Olga and Nathan would swap 3 pigs for 3 sheep at each full moon. On this fateful day, Nathan didn’t have any sheep, Olga was very unhappy. Now either because Olga was very big or Nathan very hungry, Nathan knew he had to think quick. There on the ground he saw 3 beautiful stones, so he promised Olga he’d swap those three stones for 3 sheep at the next full moon. Rather than leave with nothing, Olga agreed. 5 days later Gus showed up with those very same stones. He’d exchanged them for 10 chickens, knowing they were worth 3 sheep. Nathan was out of sheep, so he settled for one rather well-bred cow. After a while, everybody was doing it, it got complicated, so everybody chiselled who had what stones on one of the Stonehenge walls. Each local tribe had its own stone. In the centre, Ant, the smartest of them all, had the job of counting the entries and keeping guard. Everybody agreed the whole stone thing was a much better idea than lugging animals around, and a load more convenient. And so transactional business was born, bartering was no more. And so it was for thousands of years, trading was always transactional. But then the internet happened, and life got complicated. A simple transaction wasn’t good enough anymore, people wanted a connection, a relationship, money alone wasn’t enough. People working in these transactional businesses also felt lost, there was no meaning, just lots of politics, crazy decisions and unrealistic transactional targets. Now relationships mattered more than the money, to everybody, even the bosses were fed up with all the stress. The money was a given, the relationship not so. And so the Relational Business was born. What is a transactional business? The transactional approach is what characterises the majority of modern business and relies on thinking of the customer journey as a series of ongoing transactions. The focus tends to be more on making sales than on actually providing any value, and it’s what led to the era of mass marketing in which we’re exposed to around 5,000 advertisements every day. For years, we assumed that the transactional approach was the best approach to take, in part because we focused so heavily on metrics like income and returns on investment (ROIs). There’s a place for these metrics, of course, but when we focus too heavily on hem, we start to forget that there are real people on the end of those numbers. What is a relational business? In a transactional business everybody is part of a well-oiled clock, each function a different cog all nicely engaged, each with a specific purpose. In the relational business, the staff is the spring or battery. Only when the spring is properly fitted and wound or battery charged will the clock function at all. Relational Businesses focus on meaning, a purpose, they connect with the human problem they are solving, this makes them rewarding places to work, buy from and partner with. When we create a relational business we start to think more in terms of relationships, getting to know not just our customers, but suppliers and partners too, and providing the tools they need to make their businesses a success – even if that’s ultimately to provide expertise and advice for free and empowering customers to help themselves. In a relational business, we recognise our success is just as much about our staff, suppliers and partners as it is our customers. The idea behind the relational business is to build long-term relationships with people over time, often through the use of tools like CRM software. Done badly, the relational business comes across as clunky and inauthentic, but done well it can transform your entire business. This is evidenced by a recent study which found that purchase decisions are “constructed from economic fundamentals, but also through social interaction.” The Role of Optimised Workflows in Relational Business Success For a relational business to thrive, workflows must be designed to support both efficiency and consistency in customer interactions. Optimised workflows ensure that each touchpoint with customers, from onboarding to service delivery, follows a smooth and predictable path. This not only builds trust but also improves operational efficiency, allowing the business to deliver a consistent experience without unnecessary delays or errors. By integrating workflow optimisation techniques such as automation and task mapping, businesses can eliminate redundant steps, streamline communications, and ensure that tasks are completed on time. For example, automating routine follow-up emails or appointment scheduling reduces the manual workload for employees while ensuring that customers receive timely, relevant communication. Additionally, using workflow analysis tools to review and refine processes can help identify bottlenecks or inefficiencies, ensuring continuous improvement. In relational businesses, where customer experience is paramount, workflows that are not regularly evaluated and adjusted risk creating friction and dissatisfaction. Keeping workflows agile, efficient, and customer-focused helps build stronger, more profitable relationships over time. Effective employee recruitment Effective staff recruitment is central to creating a profitable business and even more so in a relational business. One bad apple will upset the cart for everybody. Your business is run by a team, not a collection of individuals, so effective recruitment and team building is an important skill to have within the relational business. According to Wikipedia, one model of team effectiveness can be defined by three criteria: Output Social Processes Leaning Bruce Tuckman in 1965 said there were four phases to team development: Forming Storming Norming Performing The stage names are quite self-explanatory, and anyone who has worked in a business or a team of some kind will recognise them. And so we can also see that without effective employee recruitment achieving Stage 4, a high performing team and business will be hard. Employee engagement in a relational business. Staff in a relational business are fully engaged every day. They know they have responsibilities to their team, colleagues and peers, more than their managers, who are there in support. With effective staff recruitment, your staff’s intrinsic motivators are in sync with their own lives. If they are in a customer service role, then a positive, helpful, disposition will mean they find their work rewarding. If they are impatient, creative and goal oriented, it won’t be. How to improve your business organisational structure In a relational business, the managers support and encourage their staff to come up with new ways of working, new ways to solve customer service experience issues. We turn the traditional organisational model upside down. The staff can assume responsibility for tasks when agreed with colleagues. They work as a team in coordination with other teams within the business and where issues occur, they address them, themselves with the management only being involved if asked to provide support, advice or guidance. This reduces the need for meetings and makes the organisation very agile and responsive without the need for decision making going up and down a hierarchy. How to build a customer-centric culture in a relational business Creating a customer-centric culture is easier with a relational business. Customer centricity in a transactional business looks mainly at the coordination of data, processes, systems and tools to provide a seamless customer journey and effective touchpoints. By doing this with a relational business, you put employees, the staff at the centre of the business, not customers. Relational businesses are employee-centric, and this makes creating a customer-centric culture easier as the staff are keyed into the needs of the customer, not the organisation, managers, data and admin. They use the systems creatively to solve customer experience issues, rather than completing a form or check sheet as requested. The fundamental purpose of a relational business Transactional businesses will see their purpose in terms of profit, sales, customers, orders, shareholder value. They may mention value, but generally they’ll say that in response to creating a vision or mission statement. It’s not a natural place for them. Their original core purpose has got lost in the midst of time, as the focus moved to the sales funnel and cash-flow, both essential, but their roots have got lost. Relational businesses focus on alignment with their markets needs, desires, wants, feelings first, before sales and orders. They recognise the value they create comes from how they make people feel, the memories they create before, during and after the business they do together, not just the deal. Because they think like this, the sales come more easily, they are less likely to need to compete on price and will avoid boom and bust sales cycles. Effective sales, marketing and service delivery in a relational business The idea of moving from transactional to relational models isn’t a new one, but most of the people who talk about it seem to focus specifically on sales and marketing. I agree that they’re a good starting point, but if we want to harness the true strength of the relational business than we need to take it on board as an ethos and philosophy and roll it out across the entire company. So sales and marketing are just the beginning, and the name of the game is to build relationships across every single touchpoint, from sales and marketing to customer service, packaging and distribution. At the same time, building these relationships takes time and it quickly becomes complicated at scale. That’s where tools like customer relationship management (CRM) systems come in, and they can be a useful asset, as long as you don’t allow the technology to takeaway the human touch. The difference between a relational and transactional business is benefits There are plenty of benefits to the relational business, and it’s not just about the bottom line. It works great for products with lengthier buying cycles and helps you to create customers for life and not just for a single transaction, but it also helps to build a community around your company. As word of mouth continues to spread, you’ll become the go-to company in your industry. It’s like they say: “People do business with people they like.” In the real estate industry, for example, the transactional approach focusses on selling a house. The relational business relies on selling a home , and the ultimate success metric is how many people go on to stay in those properties for the rest of their lives. By building those relationships and getting to know customers on an individual level, you make sure that if they do have to move, you’re the first people that they turn to. And when their friends and family are looking for real estate help, you’ll be the company that they recommend. Another key advantage of the relational business is that all parties benefit, from the employer and the employees to the suppliers and customer. Even the local area can benefit through CSR programs and green initiatives. And this leads to happier employees too, because they’re more likely to feel passionate about their job if they feel like they’re making a positive difference to the world. Conclusion The transactional approach isn’t dead, but it is becoming less relevant as consumer expectations continue to evolve. That’s why more and more companies will be switching to a relational business approach. I’ve witnessed this transformation from a transactional to a relational business approach first-hand, both through my own company and through my clients. Just the other day, I heard from a real estate client who had a viewing and who credits his ability to make the sale with the initial conversation where he started to build a relationship. Before we worked together, they weren’t doing that and they were just taking down contact details. I hear stories like this every day, and they make the work that I do worthwhile. To truly make the most of the relational business, you need to take it on board as a mind-set and roll it out across your entire company. The good news is that the benefits that relational thinking has to offer are applicable to every industry and every company on the planet. So stop thinking in transactions and start to think in relationships. We can help you transform into a relational business through our unique combination of people, project, business and change management – all provided in our business improvement programme. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

The function of finance is changing. Finance leaders are charged with leading the way to transforming businesses into higher performance workplaces. How Finance Leaders Can Drive Business Performance The function of finance is changing. Finance leaders are charged with leading the way to transforming businesses into higher performance workplaces. Published on: 11 Jan 2024 We’ve written extensively about how the function of finance is developing from accounting to actively driving business performance through data-driven insights. But finance leaders such as the Chief Financial Officer (CFO) and Financial Director (FD) have a vital role to play in this transformation. They are at the helm of the business, with unique analytical insight into operations, alongside access to C-suite executives and other stakeholders. As such, they are the ones tasked with creating and strategising performance initiatives and communicating and championing this to the rest of the business. It’s no easy feat, but many finance leaders are already making strides in the face of these new expectations of their role by rethinking finance. How finance leaders are driving business strategy The CFO role has developed. Four in ten CFOs now say the majority of their time over the last year has been spent on activities that are not traditional or speciality finance, with the main activity cited as strategic leadership, followed by organisational transformation and then performance management. This research is backed up by anecdotal evidence from current finance leaders. Rowan Baker , CFO of McCarthy & Stone, states: “Gone are the days when the CFO was just a custodian of all the financials within the business, I’m extensively involved in strategy working with the other members of the management team. A critical part of my job is ensuring everyone has the information that they need for those decisions that need to be taken, and to be the voice of reason behind them sometimes, to explain them and to flag potential problems and risks.” Finance leaders are increasingly expected to provide, if not lead, data-driven business strategies for the business to increase growth and profitability. The technological advances over the last decade have meant that finance departments have access to more accurate and insightful information than ever before, allowing them to make better decisions with improved outcomes. But strategising alone isn’t enough, finance leaders must also be able to communicate this to other C-suite executives and stakeholders and convince them to buy in to new strategies and shift the status quo of business performance. It’s a far more holistic role than the previous stereotype of bean counters. One that demands new skills, priorities and behaviours from finance leaders should they wish to succeed, but not an impossible feat. Finance leaders can drive improved business performance by: Embracing new digital technologies Forming closer partnerships with C-suite executives Closer communication and collaboration with other departments Developing commercial acumen Being a driver of innovation Adopting a global mindset Embracing new digital technologies for actionable insights Technological advancements aren’t new to finance departments. In previous decades, they allowed a huge range of transactional activities that took up valuable time to be automated, freeing up staff for more innovative and strategic endeavours. But these technological advancements haven’t stopped coming. New financial technologies allow huge swathes of data to be analysed and contextualised like never before. This opens up huge opportunities for finance leaders to invest and capitalise on new technologies. These new technologies can give advanced insights into where capital allocation is best used, which can then be aligned with strategic priorities for the business. Forming closer partnerships with C-suite executives The majority of finance leaders sit on the board with other C-suite executives already and research shows they are valued here. CFOs and other C-suite executives agree that CFOs are significantly involved in bringing deep financial expertise to discussions as well as focusing group discussions on the creation of financial value. However, in many businesses the stereotype remains that finance function is very technical and is often still regarded as very separate from the rest of the business. As such, for many finance leaders, the role remains advisory. While 72% of CFOs state they’re significantly involved in allocating financial resources, only 29% of other C-suite executives agree. This shows a clear disconnect between the role and the perceived role. This advisory partnership can develop to one of leadership through improved partnerships with other executives. Finance leaders should be very clear on where finance can add value and communicate that concisely with innovative and proactive strategies. Closer communication and collaboration with other departments On average, five functions other than finance now report to the CFO with risk, regulatory compliance and IT being the most common. This is great news, because research shows that a whopping 88% of businesses agree the CFO has a substantial role to play in supporting operations performance across the business. Finance leaders can ensure better collaboration with other departments by ensuring performance data is shared with other departments in an accessible format. They can also have open discussions with employees of various levels as to what the key drivers and metrics are to ensure a good understanding. This transparent approach better aligns departments and breaks down silos, allowing for improved performance across the business. Developing commercial awareness Though there is still a clear need for finance leaders to possess analytical skills, as they reposition themselves in the business as a leader of strategy, the need for commercial awareness is more apparent. Research into the skills associated with an outstanding FD reveals that commercial acumen was a top priority, alongside communication and people skills. Being a driver of innovation The same research that revealed the disconnect of responsibilities in the C-suite also revealed that while CFOs cite a lack of resources and skill as the biggest barrier to finance function, the rest of the C-suite cites a lack of innovation. Companies allocate 90% or more of their resources to the same projects and activities as the previous year, despite changes in environment or indeed strategic objectives. Finance leaders need to come up with innovative performance initiatives based on data that can better allocate capital to strategic priorities. They can achieve this through more insightful performance data alongside external industry data that can reveal where the largest value gains can be made. Adopting a global mindset The past year has made it painfully apparent how intrinsically linked the global economy is. Both emerging markets and volatility in existing markets impact on business strategies. As such, adopting a global mindset is critical to developing high performance strategies , particularly for businesses looking to expand into new and emerging markets. Finance leaders will need to navigate various unique challenges depending on regions, as well as develop a team capable of working across these regional differences. Therefore a global mindset of growth is vital in driving business performance. Drive business performance through a clear and concise strategy Ultimately, finance leaders can drive business performance by taking the lead in developing a clear and concise performance strategy, based on data, aligned with wider business goals. As it currently stands, a mere 50% of companies have a clearly articulated strategy and less than 20% of employees are able to describe their company’s strategy. Finance leaders are in a unique position to deliver this change and revolutionise business performance and productivity . Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Change management is an ongoing process, and it requires leadership, patience, and a commitment to continuous improvement. How to Conduct Organisational Change Management? Change management is an ongoing process, and it requires leadership, patience, and a commitment to continuous improvement. Organisational change management involves implementing significant changes within an organisation, such as adopting new technologies, restructuring departments, or introducing new processes. Conducting organisational change management involves a structured approach to help individuals, teams, and the entire organisation transition from the current state to a desired future state. Organisational design and change management are two related disciplines that work together to drive successful organisational transformation. Organisational design and change management can work together by aligning change with the organisation's design, engaging stakeholders, promoting effective communication, building capabilities , and adopting an iterative approach. Collaboration between these disciplines enhances the likelihood of successful organisational transformations and facilitates a smooth transition for employees. Organisational design and change management support each other: 1. Aligning change with organisational design: Organisational design focuses on structuring roles, responsibilities, and processes to optimise efficiency and effectiveness. When undergoing change, it is essential to align the desired changes with the organisation's design. Change management helps identify the need for change, assess the impact on the current design, and ensure that the proposed changes are integrated smoothly into the existing structure. 2. Engaging stakeholders: Both organisational design and change management recognise the importance of engaging stakeholders throughout the process. Organisational design involves understanding the needs and perspectives of different stakeholders to design structures and processes that meet their requirements. Change management emphasises stakeholder engagement to build support, address concerns, and manage resistance during periods of change. By working together, they can ensure that stakeholders' voices are heard and incorporated into the design and change efforts. 3. Communication and transparency: Effective communication is crucial for both organisational design and change management. Organisational design involves communicating new structures, roles, and processes to employees, ensuring they understand the rationale and benefits. Change management focuses on clear and consistent communication to help employees understand the purpose, impact, and expected outcomes of the change. Collaborating on communication strategies can ensure a unified message that links the design changes with the broader change objectives. 4. Building capabilities: Organisational design and change management can collaborate to identify the skills and capabilities needed to implement and sustain changes. Organisational design helps determine the necessary competencies for new roles and functions, while change management identifies the skills required to navigate the change process effectively. By working together, they can develop comprehensive learning and development programs that address both the new organisational design and the change management skills necessary for success. 5. Iterative approach: Organisational design and change management often require an iterative approach, as they involve ongoing adjustments and refinements. Organisational design may need to evolve as the change progresses, responding to new insights or unforeseen challenges. Change management recognises that change is not a linear process and may require adjustments based on feedback and evaluation. Collaboration between the two disciplines ensures that the design remains aligned with the change objectives and that the change management strategies support the evolving design. Change Management: Engaging People Improving workflows, implementing new strategies, and adopting innovative technologies are integral to any business improvement process, but they all involve one fundamental factor: people . Change management is a structured approach designed to help employees successfully adapt to new systems, processes, and ways of working. At its core, change management seeks to address the human side of business transformation, ensuring that individuals within the organisation are equipped to navigate and embrace change in a way that supports the organisation’s long-term goals. The Role of Change Management The process of change often meets resistance, particularly when it involves altering existing processes or introducing new tools and technologies. Change management focuses on engaging people , helping them understand the benefits of change, and guiding them through the transition. It involves clear communication, robust support systems, and continuous feedback to ensure that employees are not only prepared for the change but are also motivated and empowered to embrace it. Organisational change can take many forms—whether it’s the adoption of new software, a restructuring of teams, or a shift in business strategy—but the underlying principle remains the same: people are at the heart of any change process . For any change to be effective and sustainable, it must involve a clear plan for engaging those who will be directly impacted by it. Why Change Management Matters Ensures Successful Adoption of New Systems : Introducing new systems, processes, or technologies is only half of the equation. The other half is ensuring that employees are equipped to use these new tools effectively. Change management provides the framework for addressing the human aspects of adoption, from initial awareness to ongoing support, ensuring that the transition to new systems is smooth and efficient. Builds Employee Buy-In and Commitment : Successful change doesn’t just happen because the system or process has been implemented—it requires active participation from employees. Change management builds employee buy-in by involving them early in the process, addressing their concerns, and making sure they understand the reasoning behind the changes. When employees feel heard and understood, they are more likely to commit to the changes and support their successful implementation. Facilitates Continuous Improvement : Change is not a one-time event but an ongoing process. Change management creates a framework for continuous improvement , encouraging a culture of learning and adaptation. By fostering an environment where feedback is actively sought, organisations can address challenges and refine their processes, ensuring that improvements remain relevant and impactful over time. Minimises Resistance and Disruption : Resistance to change is natural, especially when individuals are asked to alter the way they work. Without proper change management, resistance can derail the entire transformation effort. Through targeted strategies such as training , clear communication, and addressing concerns upfront, change management helps reduce resistance and mitigates the potential for disruption during the transition period. The Change Management Process Effective change management follows a structured process designed to guide employees through the transition while aligning with organisational goals. This process typically includes several key components: Communication and Awareness : One of the most crucial elements of successful change management is ensuring clear and transparent communication. Employees need to be informed about why the change is happening, what the expected outcomes are, and how it will impact their roles. Ongoing communication —via emails, meetings, town halls, and workshops—keeps employees engaged and informed throughout the process. Training and Support : Change often requires employees to learn new skills or adapt to new technologies. Training is an essential part of the change management process, ensuring employees are prepared for the new systems or processes. This may involve hands-on training sessions, user manuals, or digital resources designed to help employees build the necessary competencies. Ongoing support in the form of help desks or peer mentors ensures that employees feel confident in their ability to navigate the changes. Feedback and Adjustment : Change is an iterative process, and it’s essential to gather feedback from employees regularly. Feedback sessions allow employees to voice their concerns, share challenges, and suggest improvements. This feedback can help refine the implementation strategy and identify areas where additional support may be needed. By incorporating employee input into the process, businesses can ensure that the change is as effective and sustainable as possible. Leadership and Sponsorship : Leadership plays a crucial role in guiding the change process. Senior leaders must champion the change , providing visible support and demonstrating commitment to the transformation. Change champions or sponsors within the organisation can also help drive the change by influencing others, creating momentum, and maintaining enthusiasm throughout the process. Reinforcement and Celebration : Once the changes have been implemented, it’s important to reinforce the new ways of working. This might involve celebrating successes , recognising milestones, and acknowledging the efforts of individuals and teams. Positive reinforcement ensures that the change is not just temporary but becomes embedded in the organisational culture. Example: Adoption of a New Digital Tool An example of effective change management can be seen in the adoption of a new digital tool within an organisation. Let’s say a company introduces a new customer relationship management (CRM) system to streamline sales processes and improve customer service. The change management process would begin with communication from leadership explaining the reasons behind the switch, the benefits it would bring, and how the tool would integrate into current workflows. Training would then be provided to ensure that all employees feel comfortable using the new system, including hands-on sessions, e-learning modules, and resources such as FAQs and troubleshooting guides. Regular feedback sessions would be held, allowing employees to share their experiences with the new tool and raise any concerns. This feedback would be used to make adjustments to the training or system, ensuring a smooth integration. As employees become more comfortable with the tool, reinforcement comes through recognition of teams who effectively use the system and celebrate milestones such as the achievement of CRM-related sales goals. By continuing to offer support and incorporating employee feedback, the company ensures that the CRM system becomes an integral part of its operations. Change management is a critical element of any business improvement initiative. While new systems and processes may drive efficiency and innovation, their success is largely dependent on the engagement and adaptation of employees. By focusing on the human side of change, organisations can ensure smooth transitions, reduce resistance, and create a culture of continuous improvement. Ultimately, effective change management leads to sustainable change , ensuring that business improvements deliver long-lasting results. What are the challenges of organisational change management? While change is essential for organisations to remain competitive and adapt to evolving market conditions, it often faces various challenges. Some common challenges of organisational change management include: Resistance to change: People naturally tend to resist change due to fear of the unknown, loss of control, or concerns about how it will affect their roles and job security. Overcoming resistance requires effective communication, involvement, and addressing employees' concerns. Lack of leadership support: Successful change initiatives require strong leadership support at all levels of the organisation. When leaders do not actively champion the change, provide guidance, or allocate necessary resources, the change effort can lose momentum and fail. Inadequate communication: Insufficient or ineffective communication is a major hurdle during change management. It is crucial to clearly articulate the reasons for change, the benefits, and how it will affect individuals and teams. Lack of communication can result in misinformation, rumors, and increased resistance. Employee engagement and involvement: Engaging and involving employees throughout the change process is vital for success. When employees feel excluded or their input is not considered, it can lead to frustration, resistance, and reduced commitment to the change. Cultural barriers: Organizations with strong existing cultures may face challenges in implementing change that conflicts with established norms, values, or practices. Overcoming cultural barriers requires careful assessment, alignment of values, and fostering a supportive culture for change. Inadequate training and development: Introducing new technologies or processes often requires employees to learn new skills or adapt their existing ones. If training and development programs are insufficient or overlooked, employees may struggle to adapt, leading to reduced productivity and resistance. Lack of a clear change strategy and plan: Change initiatives without a well-defined strategy and plan are more likely to face obstacles. A clear roadmap, milestones, and identified roles and responsibilities provide a structured approach to managing change. Resource constraints: Insufficient resources, such as funding, technology, or staffing, can hinder change efforts. Without adequate resources, the organisation may struggle to implement the necessary changes effectively and sustainably. Overcoming past failures: If previous change initiatives have failed or were poorly managed, employees may develop skepticism or resistance towards new changes. Building trust, addressing past concerns, and demonstrating a commitment to learning from past failures are crucial. Sustaining the change: Maintaining the momentum and embedding the change into the organisation's culture and processes is a long-term challenge. Without ongoing support, reinforcement, and monitoring, the change may regress or become temporary. Addressing these challenges requires a comprehensive change management strategy that incorporates clear communication, strong leadership, employee involvement, appropriate resources, and continuous monitoring and evaluation. Key steps to effectively manage organisational change: Define the Change: Clearly articulate the need for change and the reasons behind it. Identify the specific goals, objectives, and outcomes of the change initiative. Communicate this information to all stakeholders. Create a Change Management Team: Form a dedicated team responsible for leading and managing the change process . This team should include representatives from various departments and levels of the organisation to ensure diverse perspectives. Develop a Change Management Plan: Create a comprehensive plan that outlines the strategies, activities, and timeline for managing the change. The plan should include a clear communication strategy, training and development initiatives, and mechanisms for measuring progress. Communicate Effectively: Communication is crucial during change management. Regularly communicate the need for change, the vision for the future, and the progress made. Address any concerns, questions, or resistance that may arise. Use multiple communication channels to reach all employees. Build a Change-Ready Culture: Foster a culture that is open to change and encourages innovation. Involve employees in the change process by seeking their input, involving them in decision-making, and recognising their contributions. Encourage collaboration, learning, and adaptability. Provide Training and Support: Offer training programs and resources to equip employees with the skills and knowledge required to adapt to the change. Provide ongoing support through coaching, mentoring, and access to information. Monitor and Evaluate Progress: Continuously monitor the implementation of the change initiative and evaluate its impact. Collect feedback from employees, assess key performance indicators, and make adjustments as necessary. Address Resistance: Expect and address resistance to change. Understand the concerns and fears of employees and address them through open and honest communication. Involve resistant individuals in the change process, provide additional support, and demonstrate the benefits of the change. Celebrate Successes: Recognise and celebrate milestones and successes along the way. This helps maintain motivation and reinforces the positive aspects of the change initiative. Sustain the Change: Ensure that the changes implemented are embedded into the Organisation's culture and processes. Develop mechanisms to sustain the change and continuously improve upon it. 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Learn how to manage and update Standard Operating Procedures (SOPs) effectively. Discover strategies for version control, regular reviews, updates, archiving, and continuous improvement to ensure SOPs remain relevant and compliant. Managing and Updating Standard Operating Procedures (SOPs) for Long-Term Success Explore essential practices for keeping SOPs current, from document control and scheduled reviews to archiving old versions and incorporating continuous feedback for operational improvement. Once SOPs are written and implemented, they must be properly managed and updated to remain relevant, accurate, and effective. SOPs are dynamic documents that should evolve as business processes, technologies, regulations, and organisational needs change. Effective management and regular updates ensure that SOPs continue to support operational excellence, compliance, and efficiency over time. We'll outline how to manage, review, and update SOPs to keep them current and aligned with organisational goals. 1. Establish a Formal SOP Management System To manage SOPs effectively, organisations must have a formal system in place for controlling, distributing, and updating these documents. This ensures that the correct versions are always accessible and that updates are properly tracked. Document Control and Storage Centralised Document Management System (DMS) : A Document Management System (DMS) is essential for managing SOPs in a structured and secure manner. The DMS serves as a central repository where all SOPs are stored and can be accessed by authorised personnel. Examples of DMS software include SharePoint , Google Workspace , Confluence , or industry-specific platforms like MasterControl . Version Control : Each SOP should have version control that records the history of changes made to the document. Version control tracks what changes were made, why they were made, and who approved them. A version control table at the beginning or end of the document can provide this transparency: VersionDateChange SummaryApproved By1.001/02/2024Initial releaseJohn Smith1.120/05/2024Updated to reflect new safety protocolsJane Doe Controlled Access : Ensure that only authorised personnel have editing rights to SOPs. However, all relevant employees must have access to view the SOPs they need. Limiting editing permissions prevents unauthorised changes, while open access to view ensures that employees are using the correct version of the SOP at all times. Distribution and Communication Automated Updates : When a new version of an SOP is published or an existing one is updated, ensure that notifications are automatically sent to all relevant employees. Use a push notification system or email alerts to inform employees about the update and direct them to the latest version of the SOP. Acknowledgment of Receipt : For critical SOPs, especially those related to safety or compliance, require employees to confirm that they have read and understood the latest version of the SOP. This can be done digitally through a DMS or other internal communication tools. By establishing a robust SOP management system, organisations ensure that SOPs are consistently available, versioned, and accessible, minimising the risk of employees following outdated or incorrect procedures. 2. Scheduled SOP Reviews Regularly scheduled reviews of all SOPs ensure that they remain relevant and effective. A proactive review schedule prevents SOPs from becoming outdated, non-compliant, or inefficient. Review Frequency Annual or Biannual Reviews : For most organisations, a full review of all SOPs should be conducted annually or biannually. However, the review frequency may vary depending on the complexity of the process, the rate of technological change, or regulatory requirements. For example, SOPs related to rapidly evolving areas such as IT or healthcare might require more frequent reviews. Ad Hoc Reviews : In addition to scheduled reviews, ad hoc reviews should be triggered whenever there are significant changes to the process, technology, or regulations. For instance, if new equipment is introduced in a manufacturing environment or a law changes in a regulated industry, any affected SOPs must be reviewed and updated accordingly. Assigning Review Responsibility Process Owners and SMEs : The Process Owner or Subject Matter Expert (SME) should be responsible for reviewing and updating the SOP. These individuals have the technical knowledge and insight necessary to ensure that the SOP accurately reflects current processes. Compliance and Quality Assurance : SOPs that are tied to regulatory compliance or quality control should also be reviewed by the Compliance Officer or Quality Assurance (QA) team to ensure that they continue to meet legal and quality standards. Scheduled reviews, both periodic and triggered by changes, ensure that SOPs remain relevant and accurate, reducing the risk of non-compliance or operational inefficiencies. 3. Updating SOPs to Reflect Changes SOPs must be updated to reflect any changes in business processes, technology, or regulations. Failing to update SOPs promptly can result in confusion, errors, or non-compliance. Types of Changes Requiring SOP Updates Process Changes : Whenever a business process changes, the related SOPs must be revised to reflect the new steps. For example, if new software is implemented in an IT department, all SOPs related to that software must be updated with the new instructions, configuration settings, and troubleshooting procedures. Regulatory Updates : Changes in regulations, whether local, national, or international, often require SOP updates to ensure continued compliance. For example, updates to OSHA safety standards or changes to GDPR data protection laws would necessitate revisions to affected SOPs. Technological Advancements : New technologies, equipment, or tools frequently change the way processes are executed. When new machinery is introduced, related SOPs must be updated to include new operational instructions, safety precautions, and maintenance requirements. Managing the Update Process Gathering Input from SMEs : When updates are needed, engage Subject Matter Experts (SMEs) and frontline employees to ensure that the new SOP reflects the current operational realities. SMEs provide the technical details necessary to craft the updated instructions, while frontline employees offer practical insights into how the process works on the ground. Drafting the Update : When drafting the updated version of the SOP, clearly indicate which sections have been revised. This can be done with highlighting, bold text, or annotations in the version control table. Approval Workflow : Updated SOPs should go through the same approval process as new SOPs, involving Process Owners , Compliance Officers , and any other relevant stakeholders. Ensure that the approval is documented in the version history. Communicating Changes Update Notifications : Once the updated SOP is approved, notify all relevant personnel about the changes and make the new version immediately accessible through the DMS. Clearly communicate what has changed and whether any additional training is required. Training on Updates : If the changes are substantial, retraining may be necessary. For instance, if new safety protocols or equipment instructions are introduced, employees may need to attend workshops or online training sessions to ensure they understand and can apply the updates. By updating SOPs promptly and accurately, organisations ensure that employees are always following the correct procedures, reducing the risk of errors and non-compliance. 4. Archiving Old Versions While it is essential to keep SOPs current, it’s equally important to maintain records of previous versions for reference, audit trails, and accountability. Version Archiving Digital Archiving : Use a DMS to archive older versions of SOPs securely. Digital archiving ensures that older versions are accessible for historical reference without cluttering the workspace with outdated documents. Label each archived version with its version number, dates of use, and a brief summary of why it was superseded. Audit and Compliance Purposes : Retaining older versions of SOPs is often necessary for audits or regulatory inspections . These archived documents provide a clear record of what procedures were in place at a given time, helping the organisation demonstrate compliance with regulations during that period. Accessibility of Archives Read-Only Access : While only current versions of SOPs should be editable or accessible to general staff, archived versions should be available in read-only format for auditing or historical research. This prevents unauthorised use of outdated procedures while preserving access to important documentation. Archiving previous versions ensures that organisations maintain a clear audit trail and have access to historical documentation if needed for regulatory compliance or process improvement efforts. 5. Continuous Improvement and Employee Feedback Effective SOP management doesn’t end with updating and archiving documents. Organisations should seek to continuously improve SOPs based on employee feedback, operational data, and process optimisation strategies. Collecting Employee Feedback Encourage Open Feedback Channels : Employees who follow SOPs daily are often the best source of information about what works well and what needs improvement. Encourage employees to report any issues, inefficiencies, or suggestions for improvement. This could be done through formal feedback forms, surveys, or suggestion boxes. Regular Check-Ins : Set up periodic meetings between employees and Process Owners to discuss how well the SOPs are functioning. These check-ins provide a structured opportunity to gather insights on areas that may need improvement. Continuous Improvement (CI) Methodologies Lean and Six Sigma : Apply Lean or Six Sigma methodologies to identify inefficiencies or unnecessary steps in the SOP. Use tools like value stream mapping to visually represent the process and highlight areas for improvement. Kaizen : Implement a Kaizen approach to continually seek small, incremental improvements in SOPs. This method encourages employees to take ownership of the SOP improvement process, fostering a culture of continuous improvement across the organisation. By regularly collecting feedback and applying continuous improvement principles, organisations can ensure that their SOPs are not only accurate and compliant but also optimised for efficiency and effectiveness. 6. Metrics for Evaluating SOP Effectiveness To manage SOPs effectively, it’s important to evaluate their performance regularly. Establishing Key Performance Indicators (KPIs) allows organisations to measure how well SOPs are working and whether they are achieving their intended objectives. Key Metrics for SOP Evaluation Compliance Rates : Track how consistently employees are following SOPs. A low compliance rate may indicate that the SOP is difficult to follow, unclear, or not well-enforced. Error and Incident Rates : Measure the frequency of errors, defects, or incidents related to the processes governed by SOPs. A decrease in errors or incidents is a strong indicator that the SOP is effective. Process Efficiency : Use operational metrics such as cycle time , downtime , or throughput to evaluate the efficiency of processes governed by SOPs. If an SOP leads to a reduction in cycle time or increases throughput, it’s likely contributing to operational excellence. Audit Findings : Regular audits can reveal whether SOPs are being followed correctly and whether they meet compliance standards. A reduction in audit findings related to non-compliance is a positive sign that the SOP is effective. By tracking these metrics, organisations can evaluate the effectiveness of their SOPs and make data-driven decisions about updates or improvements. 7. Ensuring Compliance and Monitoring Adherence Once an SOP is implemented, it’s essential to monitor compliance to ensure that employees are consistently following the prescribed steps. Non-compliance can lead to inefficiencies, increased risk of errors, and potential regulatory violations. Monitoring Compliance Regular Audits and Inspections : Schedule regular audits or inspections to ensure that employees are following SOPs. Audits can be conducted by compliance officers , quality assurance teams , or department heads. During the audit, review documentation, observe processes, and speak with employees to verify that the SOP is being followed correctly. Random Spot Checks : In addition to scheduled audits, consider performing random spot checks to catch potential deviations from SOPs before they become ingrained habits. Spot checks can help ensure ongoing vigilance and adherence to the SOP. Use of Technology : For digital processes or tasks involving machinery, use automation tools or process monitoring software to track compliance. For instance, in a manufacturing environment, equipment settings can be logged and monitored to ensure they are consistently set according to the SOP. Incentives and Consequences Positive Reinforcement : Encourage adherence to SOPs by offering incentives or recognition to employees who consistently follow the procedures. For example, departments that consistently meet SOP-related performance metrics could be recognised with rewards or bonuses. Addressing Non-Compliance : When non-compliance is identified, address it promptly. This could involve re-training employees, revising the SOP to make it clearer, or implementing disciplinary actions for serious violations. Clear consequences for failing to follow SOPs help ensure that employees take compliance seriously. Regular monitoring, combined with positive reinforcement and clear consequences for non-compliance, helps ensure that SOPs are followed consistently, reducing the risk of errors and regulatory violations. Conclusion Effective management and regular updates of SOPs are essential for maintaining their relevance, accuracy, and compliance. By establishing a structured management system, scheduling regular reviews, updating SOPs as needed, archiving old versions, and continuously improving procedures, organisations can ensure that their SOPs remain a valuable tool for operational excellence. Managing SOPs with care and precision is key to fostering a culture of consistency, accountability, and efficiency throughout the organisation. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

Learn about the 12 essential sales and service behaviours you should have for the best outcome, every time, from the productivity experts Awardaroo. 12 Essential Sales and Service Behaviours Success at work and in life is easier when the goals for each complement one another. So essential sales and service behaviours are effective life skills too. Published on: 5 Nov 2020 In sales and service, a blend of essential behaviours forms the cornerstone of exceptional customer experiences. Welcoming with a genuine smile sets the tone, followed by engaging interactions that foster rapport. Competence assures customers of reliable assistance, while active listening demonstrates understanding and empathy. Being genuinely helpful and responsive to inquiries enhances trust. Curiosity fuels exploration of customer needs, while politeness and positivity create a welcoming environment. Expressing gratitude for patronage cultivates loyalty, and productivity ensures efficient service delivery. These twelve behaviours combine to create memorable interactions, leaving customers feeling valued and satisfied. 12 essential sales and service behaviours to drive sales, revenue and reputation Welcoming Behaving in a polite or friendly way to a guest or new arrival. Whether it’s the first contact, second or third, how we greet somebody will define how well the rest of the engagement goes. Welcoming guests and newcomers with genuine warmth lays the foundation for a positive and fruitful interaction. The act of welcoming extends beyond mere greetings; it encompasses creating an atmosphere of hospitality and inclusivity. A welcoming demeanor communicates to customers that they are valued and respected, setting the stage for building trust and rapport. Whether it's a first encounter or a repeat visit, the way we welcome individuals can profoundly influence their perception of our business and their willingness to engage further. By embodying warmth and hospitality, we not only enhance the customer experience but also foster long-lasting relationships that drive sales and revenue growth. Engaging Charming, attractive or pleasing. After the initial contact, the opening conversation is important for the customer to feel that they are speaking with someone who cares about them. The art of engagement is about more than just capturing attention; it's about forging genuine connections that resonate with customers on a deeper level. By being charming, attentive, and genuinely interested in their needs, we can create a memorable experience that leaves a lasting impression. Engaging conversations should go beyond surface-level pleasantries to delve into the customer's interests, preferences, and concerns. This level of attentiveness not only makes customers feel valued but also enables us to tailor our offerings to better meet their needs. Moreover, engaging interactions have the power to evoke positive emotions, fostering a sense of loyalty and trust that can translate into repeat business and referrals. Competent Having the necessary ability, knowledge, or skill to do something successfully. Whilst you might be engaging is it backed up with the technical and organisational knowledge needed to help the other side. Competence is the bedrock of effective service delivery, encompassing the knowledge, skills, and expertise needed to fulfill customer needs and expectations. Being competent means more than just possessing technical know-how; it requires a deep understanding of the products or services being offered, as well as the ability to navigate complex situations with ease. Customers rely on us to provide accurate information, offer solutions to their problems, and deliver on our promises. Therefore, investing in ongoing training and development is essential to staying abreast of industry trends and maintaining a high level of competence. By demonstrating our expertise and competence, we instill confidence in customers, reassuring them that they are in capable hands. This, in turn, fosters trust and credibility, paving the way for long-term relationships and sustained success. Listening To give one’s attention to a sound. Are you practising active listening skills? Acting on what the caller is saying to you, not just listening for what is important to you. Listening is not merely hearing; it's about truly understanding the spoken and unspoken needs of our customers. Active listening involves giving undivided attention, empathising with their concerns, and responding thoughtfully. By practicing active listening, we demonstrate that we value their input and are committed to finding solutions that meet their unique needs. Moreover, effective listening can uncover valuable insights that inform product improvements and service enhancements, ultimately driving customer satisfaction and loyalty. In a world filled with noise and distractions, the ability to listen attentively is a rare and invaluable skill that sets us apart as trusted advisors and partners in our customers' success. Helpful Giving or ready to give help. Being helpful involves understanding the other person’s emotional needs and providing support and actions to meet those needs. Being helpfu l goes beyond simply providing assistance; it's about going the extra mile to make a meaningful difference in the lives of our customers. Whether it's offering guidance, troubleshooting issues, or providing emotional support, being helpful requires a genuine desire to serve others. By understanding their pain points and proactively addressing their needs, we can build strong relationships based on trust and mutual respect. Moreover, acts of kindness and generosity have a ripple effect, inspiring loyalty and positive word-of-mouth referrals. In today's competitive marketplace, being helpful is not just a nicety; it's a strategic advantage that drives customer satisfaction, retention, and ultimately, business growth. Responsive Reacting quickly and positively. How responsive you are is perhaps the biggest driver of service quality, business culture and customer loyalty. Responsiveness is the cornerstone of excellent customer service, demonstrating our commitment to addressing customer needs promptly and effectively. In a fast-paced world where time is of the essence, being responsive can make all the difference in retaining customers and winning their loyalty. Whether it's answering inquiries, resolving complaints, or providing updates, responding quickly and courteously shows that we value their time and prioritise their concerns. Moreover, responsiveness fosters a sense of trust and reliability, reassuring customers that they can count on us to deliver when it matters most. By making responsiveness a priority, we can set ourselves apart as a trusted partner who is always there to support our customers, rain or shine. Empathetic Showing an ability to understand and share the feelings of another. Customers contact you because they have a problem they hope your product or services will help them solve. How well can you recognise and show this? Empathy is the ability to understand and share the feelings of others, allowing us to connect with customers on a deeper, more meaningful level. By putting ourselves in their shoes, we can better understand their perspectives, anticipate their needs, and provide personalized solutions. Moreover, empathy fosters trust and rapport, as customers appreciate being heard and understood. In today's hyper-connected world, where interactions can often feel transactional, empathy humanizes the customer experience, making it more authentic and memorable. By cultivating empathy in our interactions, we can build strong, lasting relationships that drive customer loyalty and advocacy. Curious Eager to know or learn something. Asking questions, and using questioning techniques such as open and closed questions will help you understand what is really important to your customers. Curiosity is the fuel that drives innovation and growth, pushing us to explore new ideas, ask probing questions, and seek out fresh perspectives. By cultivating a curious mindset, we can uncover hidden opportunities, identify emerging trends, and anticipate future needs. Moreover, curiosity fosters a culture of continuous learning and improvement, as we strive to expand our knowledge and stay ahead of the curve. In today's rapidly evolving marketplace, where change is the only constant, curiosity is a powerful asset that empowers us to adapt and thrive. By embracing curiosity in our work, we can unlock new possibilities and create value for our customers, our businesses, and ourselves. Polite Having or showing behaviour that is respectful and considerate of other people. It’s basic, but sometimes when we get busy or stressed, this can be forgotten. Politeness is the cornerstone of respectful and considerate communication, setting the tone for positive interactions and productive relationships. By treating others with courtesy and civility, we demonstrate our commitment to professionalism and mutual respect. Moreover, politeness fosters a sense of trust and goodwill, as customers appreciate being treated with kindness and dignity. In today's interconnected world, where reputation and relationships are paramount, politeness is a non-negotiable aspect of effective communication. By embodying politeness in our interactions , we can build strong, lasting relationships that drive customer satisfaction and loyalty. Positive Constructive, optimistic, or confident. Being positive helps to frame the problem and solution in a way that invites creative thinking to find the best way forward and outcome. Positivity is a powerful force that shapes our outlook, influences our interactions, and drives our success. By maintaining a constructive and optimistic attitude, we can inspire confidence, overcome obstacles, and foster resilience in the face of challenges. Moreover, positivity is contagious, spreading enthusiasm and energy to those around us. In today's fast-paced and uncertain world, where negativity can easily take hold, positivity is a valuable asset that sets us apart as leaders and innovators. By cultivating positivity in our work and our relationships, we can create a ripple effect of optimism and possibility that propels us toward our goals and aspirations. Thankful Pleased and relieved. An attitude of gratitude. Showing your appreciation in being asked to help your customer goes a long way in building trust and respect. Gratitude is the cornerstone of meaningful relationships, fostering appreciation and goodwill among customers, colleagues, and partners. By expressing genuine gratitude for the opportunities we have been given, the support we have received, and the successes we have achieved, we can cultivate a culture of appreciation and abundance. Moreover, gratitude has a transformative effect, shifting our focus from scarcity to abundance, from fear to trust. In today's fast-paced and competitive world, where success can often feel fleeting, gratitude is a powerful antidote to stress and uncertainty. By practicing gratitude in our daily lives, we can cultivate a sense of fulfillment and contentment that transcends material wealth and external validation. Productive Producing or able to produce large amounts of goods, crops, or other commodities. Being able to effectively manage your time and task prioritisation allows you to do more in a given period of time and so generate more sales. Productivity is the key to unlocking our full potential and achieving our goals, allowing us to maximize our time and resources to achieve meaningful results. By adopting effective time management strategies, setting clear priorities, and eliminating distractions, we can increase our efficiency and effectiveness in both our personal and professional lives. Moreover, productivity breeds confidence and momentum, empowering us to take on new challenges and pursue ambitious goals. In today's fast-paced and competitive world, where success often hinges on our ability to do more with less, productivity is a critical skill that can set us apart from the competition. By prioritising productivity in our work and our lives, we can unlock new levels of success and fulfillment, achieving our dreams and aspirations with clarity and purpose. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Productive quality refers to the idea of using quality standards to boost your business productivity. Learn about how can do the same for your business. Productive Quality: How Improving Quality Standards Boosts Business Productivity Improving your quality standards comes with a whole heap of benefits, but often overlooked is the boost to your business productivity. Learn more in our helpful guide. Published on: 14 Oct 2021 In a productive learning organisation quality is built-in. Creating a high-quality product or service is inherent in the productive organisation because it is the organisation itself that is the focus of the quality standards, not just its products and services. Nature doesn’t have quality standards. Nature is continuously evolving, adapting and learning how to survive and thrive. For many businesses, they miss out on this vital element in their business operations . They stick to the status quo on products or services, as opposed to continually improving through a focus on quality standards. Productive quality then refers to the idea of using quality standards to actively boost business productivity. How Can Improving Quality Standards Boost Business Productivity? The commonly used definition of quality is perhaps much of the problem in the way we run our businesses today. We see “quality” as “fitness for purpose”. It suggests a minimum level of quality is sufficient and that it can be measured and that somebody needs to measure it. Tesla are a great example of how we should be looking at quality standards. While creating their self-driving car, Musk said they were very close and were “working on the long tail of problems”. This is not an absolute “fitness for purpose” quality standard that everybody is focused on. They are continuously evolving and improving. It’s what sets their products ahead of the rest. Once they met their first requirements, they continued to exceed them. The product is ever-evolving to the Tesla Semi, Tesla Truck and so on. This makes the company an excellent example of a productive organisation where quality is a journey, not a goal or a minimum standard. Automotive isn’t the only industry that can reap the rewards of productive quality standards by any means. In a manufacturing setting, components need to conform to specification otherwise they won’t fit together and work as intended. In a service organisation, a problem needs a solution, if it doesn’t address the problem, it fails. Operational excellence doesn’t come from focusing on quality standards seen in the traditional sense. It comes from continuously looking for ways to improve the ways things get done. ISO 9001 ISO 9001 is a quality management system with over a million organisations being certified across the world. There are seven principles within ISO 9001 , each of which is integral to the philosophy of the productive organisation. Relating these seven principles to the productive organisation, they are: A customer focus Recognising the importance of meeting the ever-evolving needs of the customer. Strong leadership Providing a clear vision and environment within which continuous improvement can take place. Engagement of people Seeking alignment between the business and its staff. Process improvement Recognising that well defined and implemented processes creates consistency and the best use of time. Continuous improvement Realising that business growth is a journey, not a destination Evidence-based decision making Big data, clear information and regular feedback are the keys to effective decision making Relationship management Suppliers, partners, customers, staff, all relationship are key to sustained and profitable growth. Using quality standards in this manner creates a more efficient, productive business that better understands customer needs with more engaged employees. Risks are reduced and customer satisfaction increases. Communications are improved and costs are reduced. Everybody in the business has a much better understanding of how the business works and how to improve it. Ultimately, it allows for a more productive business that stays ahead of the competition with increased innovation creating new opportunities. Other Benefits of Improved Quality There are many other benefits to improved quality standards, all intrinsically linked to business productivity. These include: Improved brand authority Increased brand awareness Increased word of mouth marketing Higher demand Lower costs from less waste or returns Fewer customer complaints Potentially higher selling prices Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

A complete guide to everything you need to know about the customer experience, from definitions to benefits to tools and strategies. Learn more today. The Customer Experience: A Complete Guide A complete guide to everything you need to know about the customer experience, from definitions to benefits to tools and strategies. Published on: 19 May 2022 The pulse of every strong business — the customer experience should be the driving force behind every decision you make. Yet so many businesses still don’t fully understand it, let alone the importance of it. That’s why in this guide, we’re covering everything you need to know about the customer experience. We’ll be talking about: What is the customer experience? Why is customer experience important for your business Customer experience vs customer service? What makes a good customer experience? What causes a bad customer experience? Customer experience examples Measuring customer experience Customer experience tools Customer experience strategies The Relationship Between Brand Experience and Customer Experience Brand experience and customer experience are interrelated concepts that shape how consumers perceive and interact with a brand. Brand experience encompasses the overall perception of the brand, influenced by its identity, messaging, and emotional resonance. In contrast, customer experience focuses on specific interactions at various touchpoints, such as purchasing, customer service, and product use. Together, these elements create a cohesive journey, ensuring that the brand’s identity aligns with customer satisfaction. A positive brand experience can enhance customer interactions, creating loyalty and emotional connections that encourage repeat business and advocacy, ultimately driving long-term success for the organisation. What Is the Customer Experience? Also known as CX, customer experience can be defined as an all-encompassing term that refers to the many different ways customers interact with and experience your brand. This really does mean every single interaction. From browsing your website to other people’s opinions of your brand to talking to an agent on the phone, the customer experience encompasses all of these interactions and more. Customer Experience Vs Customer Service Many people get customer experience mixed up with customer service, so we’ll take a quick pause to clarify here. As we said above, the customer experience is the whole process a customer has with your company. Whereas your customer service is one aspect of this process. So it’s just one piece of a larger puzzle. That’s not to downplay the importance of great customer service. Without it, you’ll struggle to deliver a great customer experience. In fact, more modern interpretations of customer service in the 21st century include things like self-service on your website, as opposed to solely interactions with employees from your company. So the lines are becoming more blurred between the two. Why is the Customer Experience so Important? It should be apparent from the above, but it’s not an overstatement to say the customer experience is everything for your business. In fact, according to reports, the customer experience will outshine price and product as the key brand differentiator by 2021. It’s how your customer understands you, perceives you and ultimately, it’s what helps them decide whether to buy from you. It’s pretty straight forward — the better customer experience you can deliver, the more likely customers are to buy from you. Not only this, but the better the customer experience, the more likely customers are to leave reviews, recommend you to a friend and buy from you again. Every business can benefit from trying to improve customer experience, regardless of industry or niche. Putting importance on the customer experience allows businesses to become more customer-centric and empathetic learning organisations that are more productive and profitable. There’s really no downside to it. Putting customers first is good business. What Makes a Good Customer Experience? Unfortunately, there are no set guidelines for a good customer experience. They will vary from business to business and industry to industry. For example, a B2B business will likely have to invest more facetime with clients early on to create a good customer experience. Whereas an online fashion retailer shouldn’t need any human touch points to deliver a great customer experience. This said, all businesses who deliver a great customer experience do share some commonalities. These include: Prioritising listening to customers Utilising customer feedback tools Analysing and acting on customer feedback Reducing friction points in the customer journey As you can see they’re all – unsurprisingly – focused around customers. All good customer experiences start with making listening to your customers a top priority. After all, they’re the ones who can give you the unique, authentic insight into what it’s like dealing with your business. You can prioritise this by utilising customer feedback tools like surveys, reviews, heat maps and session recordings. But all this information you gather is pointless if you don’t analyse and act on the insights gained. Actually making changes to your business processes improves your customer experience so you gain new insights as you continue to gather feedback. This process allows your business to continually improve, putting you ahead of the competition. What Causes a Bad Customer Experience? Just like the above, there’s no clear rules for what causes a poor customer experience as it will vary by each industry slightly. However, in general, bad customer experiences are associated with: Poor customer service Too much automation Failure to resolve issues Lack of customer feedback There are lots of different causes for poor customer service. From frustrated, overworked employees to long wait times to speak to someone. In fact, too much automation is often a feature of poor customer service. Think about how frustrated you’ve been when you’ve had an issue and it’s taken what feels like hours of pressing numbers to get through to an actual human. Similarly, failure to resolve issues can also be a feature of poor customer service. Issues crop up for all customers and businesses, but it’s how well they deal with them that defines how good an experience customers will have. If you can resolve issues at the first touchpoint, most customers will have a positive impression of your business. But businesses who fail to do this at the first or second touchpoint are likely delivering a negative customer experience. Ultimately though, businesses who fail to deliver a good customer experience won’t be making customer feedback a priority. They see the negative reviews and see them as a cost of doing business, as opposed to an opportunity to improve the customer experience. These businesses will suffer from a high churn rate due to low brand authority and loyalty. They’ll lose out on valuable word of mouth marketing and spend more on acquiring new customers. They’ll also suffer in terms of business productivity as the teams will be bogged down dealing with issues, instead of proactively growing the business. Minimise a bad customer experience after a major disruption A business impact analysis (BIA) considers what would happen to business performance following a major disruption. By considering both the current and future business weaknesses, business gets a much more complete picture of their business risks and opportunities for improved business performance, and how best to allocate resources. Being aware of both the internal and external factors that can impact business growth both today and tomorrow, improves business decision making. Business disruption comes in many forms whether that’s due to competition, technology, the economy or regulation, amongst many other possibilities. Businesses seldom die from a single disruption but more commonly from lots of mini disruptions that perhaps go unseen and unknown. Incredible Customer Experience Examples Though as we’ve pointed out, there’s no clear rules for good or bad customer experience, there are some companies absolutely killing it when it comes to improving the customer experience. So let’s learn from their amazing customer experience examples. McDonalds Hard to believe when it feels like there’s a glowing M on every corner, but McDonalds was once struggling with sales. This was as their image as a supplier of hugely unhealthy, fatty junk foods was peaking in the early 2000s. So they listened to their customers. They began providing a more streamlined experience. Simpler menus, improved order accuracy and better quality ingredients became a priority, alongside improved store interiors with digital self-service kiosks. This reduced wait times, made ordering easier and improved their public image as they made commitments to reduce their impact on the environment. Overall, it’s allowed them to stay as the market leading fast food chain in the world. Microsoft Just like the above, in the early 2000s Microsoft was stalling in terms of business growth as competitor Apple took off. Much of this revolved around their stuffy, bureaucratic image compared to their fun tech competitor. Instead of pouring money into marketing budgets to patch the hole in growth, Microsoft changed tactics. The company started partnering with B2B companies to share best practices to build new products. It gave them a great boost in growth as they empowered other businesses to use the right technologies they needed to increase their own productivity. Especially compared to their competitor Apple, that was criticised for creating an incompatible ecosystem , it gave them the great PR boost they needed. Coca Cola Now probably one of the most famous marketing campaigns going, the “ share a coke with ” campaign was a great example of how adding personalisation to the customer experience can improve it. For those out the loop, back in 2011, Coke wanted to increase revenue and drive engagement. To do so they released coke bottles and cans with the 250 most popular names in each country. Their customers loved it. Picking out a bottle from a shelf that has your exact name on it worked wonders for the company’s sales and the campaign was incredibly successful. How to Measure Customer Experience As with everything in business, it’s so important you benchmark and measure customer experience so you can analyse previous improvements and inform future improvements. Customer feedback is the most obvious way to achieve this, and the best news is, you’re probably already collecting customer feedback without realising. You just need to measure it to ensure you’re using it to its full potential. You can do this with CX metrics. These metrics allow you to track how your CX develops overtime to see how effective your customer experience strategy is. The most popular CX metrics include: Customer Effort Score (CES) Net Promoter Score (NPS) Customer Satisfaction Score (CSAT) Time to Resolution (TTR) CES This metric measures the customer experience in terms of how easy or hard it was for your customers to complete an action. You gain this data from sending out feedback, usually after an interaction with the customer service team. You’ve probably received one before, with questions like “Please rate on the scale how easy it was to get your issue resolved today” and so on. NPS The net promoter score is a loyalty score. Like the above, it’s based on customer feedback surveys. This is the question that goes along the lines of “On a scale of 1 to 10, how likely would you be to recommend us to a friend?” CSAT The customer satisfaction score does what it says on the tin. It measures customer satisfaction through survey feedback by using scales or closed question answers. CSAT focuses on specific touchpoints to give good insights into satisfaction levels at key moments in the customer experience. It’s a powerful tool for gaining valuable information about where to improve the customer experience. TTR Last, but by no means least, time to resolution is the average length of time it takes for a customer’s issue to be resolved. It’s measured in business hours or days. Just add up all the times to resolution and divide the result by the number of tickets resolved. As we mentioned above, a huge factor for poor customer experience is failure to resolve issues, so the TTR metric can be a great tool for tracking how your customer service is improving ( or not! ). Digital Customer Experience Tools Direct customer feedback isn’t the only way you can collect data on how your customers are experiencing your brand. As with all things digital now, there are analytical tools that can give you great insights into the digital customer experience. The most popular of these include heat maps and session recording tools. They’re both used to show you how customers interact with your website. Heat maps show you the “hot” and “cold” points on any given webpage. This can help you see where customers are missing out on CTAs or struggling to navigate. It can help you identify areas for improvement when you spot patterns in usage. Similar to the above, session recording tools allow you to watch anonymous recordings of users interacting with your website. This can reveal helpful, specific insights into where users are and aren’t enjoying your website. Develop Your Customer Experience Strategy Improving customer experience shouldn’t be an ad hoc thing, based on random feedback and not measured. To achieve continual improvement you need a customer experience strategy. Again, CX strategies will vary from industry to industry. But they should include as a minimum the plans, actions and guidelines your business will take to create, maintain and measure your customer experience. Successful customer experience strategies will involve every department, because your customer experience will span across all of them. A great customer experience strategy is formed in a customer-centric company and led by customer feedback. It aims at creating memorable, human experiences for every customer. Make CX a Top Priority The customer experience should be a top priority for everyone in your business. Especially in the digital world, it is the only thing that sets you apart from your competitors and allows you to stay ahead in terms of productivity and profitability. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

The ISO 9001 standard is globally recognised as the benchmark for quality management systems (QMS). Whether you're a small business or a multinational corporation, mastering ISO 9001 can significantly enhance your operational efficiency, customer satisfaction, and market reputation. Mastering ISO 9001: Your Ultimate Guide to Quality Management Success Achieving ISO 9001 certification is not just about meeting a standard; it's about embracing a culture of quality that permeates every aspect of your organisation. Published on: 1 Jan 2023 In today's competitive business environment, quality management is not just a luxury—it's a necessity. The ISO 9001 standard is globally recognised as the benchmark for quality management systems (QMS) . Whether you're a small business or a multinational corporation, mastering ISO 9001 can significantly enhance your operational efficiency, customer satisfaction, and market reputation. This comprehensive guide will take you through everything you need to know about ISO 9001, from its fundamentals to the step-by-step process of achieving certification. What is ISO 9001? ISO 9001 is part of the ISO 9000 family of standards , which is dedicated to quality management systems. It sets out the criteria for a QMS and is based on a number of quality management principles including a strong customer focus, the motivation and implication of top management, the process approach, and continual improvement. The goal is to ensure that organizations can consistently provide products and services that meet customer and regulatory requirements. Why ISO 9001 Certification is Essential for Your Business Achieving ISO 9001 certification is not just about meeting a standard; it's about embracing a culture of quality that permeates every aspect of your organisation. Here are some key benefits: Improved Efficiency : Streamlined processes and clear documentation can lead to significant improvements in efficiency and productivity. Enhanced Customer Satisfaction : By focusing on quality, you can improve customer satisfaction, leading to repeat business and positive referrals. Global Recognition : ISO 9001 is recognized worldwide, opening up international markets and boosting your credibility with global partners. Regulatory Compliance : Helps ensure that you meet statutory and regulatory requirements, reducing the risk of non-compliance. ISO 9001 Explained: Everything You Need to Know About Quality Management Systems Before diving into the certification process, it’s crucial to understand the core components of ISO 9001. The standard is based on several quality management principles: Customer Focus : Understanding and meeting customer needs is fundamental. Leadership : Effective leadership is essential to establish a unity of purpose. Engagement of People : Competent, empowered, and engaged people at all levels are critical to enhancing an organization’s capability. Process Approach : A desired result is achieved more efficiently when activities and related resources are managed as processes. Improvement : Continual improvement should be a permanent objective. Evidence-Based Decision Making : Effective decisions are based on the analysis of data and information. Relationship Management : An organization and its external providers (suppliers, contractors, etc.) are interdependent, and a mutually beneficial relationship enhances the ability to create value. The Complete ISO 9001 Checklist for 2024 Embarking on the journey to ISO 9001 certification requires careful planning and execution. Here’s a comprehensive checklist to guide you through the process: Understand the Standard : Obtain a copy of ISO 9001 and thoroughly review its requirements. Gap Analysis : Conduct a gap analysis to identify areas where your current processes do not meet ISO 9001 requirements. Management Commitment : Secure commitment from top management to support the QMS implementation. Form a Project Team : Assemble a team responsible for implementing the QMS. Training : Provide ISO 9001 training to all employees to ensure they understand their roles and responsibilities. Documentation : Develop the necessary documentation, including the quality policy, quality objectives, and process documents. Implement Processes : Implement the documented processes across the organization. Internal Audit : Conduct an internal audit to ensure the QMS is functioning as intended. Management Review : Hold a management review meeting to assess the effectiveness of the QMS. Certification Audit : Select a certification body and undergo the certification audit. Top 10 Tips for Achieving ISO 9001 Certification Successfully achieving ISO 9001 certification can be challenging, but these tips can help you navigate the process: Start with a Gap Analysis : Identify what needs to be done to meet the standard. Get Management Buy-In : Ensure that top management is committed to the process. Engage Employees : Make sure all employees are aware of their roles in the QMS. Focus on Process Improvement : Use the implementation as an opportunity to improve your processes. Keep Documentation Simple : Avoid over-complicating your documentation. Train Your Team : Provide adequate training to ensure everyone understands the QMS. Conduct Regular Audits : Regular internal audits will help you stay on track. Review and Improve : Continuously review and improve your processes. Select the Right Certification Body : Choose a reputable certification body. Celebrate Success : Recognize and celebrate the efforts of your team once certification is achieved. Common ISO 9001 Pitfalls and How to Avoid Them While ISO 9001 implementation can bring many benefits, there are common pitfalls to avoid: Lack of Management Support : Without strong support from management, the QMS may fail. Insufficient Training : Employees need proper training to understand and implement ISO 9001. Over-Documentation : Too much documentation can be as problematic as too little. Ignoring the Process Approach : Failing to focus on processes can lead to inefficiencies. Poor Internal Communication : Good communication is key to successful implementation. ISO 9001 vs. ISO 14001: Understanding the Key Differences While both ISO 9001 and ISO 14001 are management system standards, they focus on different areas. ISO 9001 is centered on quality management, while ISO 14001 focuses on environmental management. Understanding these differences is crucial for organizations considering multiple certifications. You can find a detailed comparison in our post, ISO 9001 vs. ISO 14001: Understanding the Key Differences. Real-World Benefits of ISO 9001: Success Stories from Top Companies Numerous companies around the world have achieved remarkable success by implementing ISO 9001. These case studies highlight the tangible benefits of certification, such as increased efficiency, higher customer satisfaction, and improved market positioning. Explore more success stories in our article, Real-World Benefits of ISO 9001: Success Stories from Top Companies. Conclusion Mastering ISO 9001 is a journey that can transform your organisation. By understanding the principles, following a structured approach, and avoiding common pitfalls, you can achieve certification and enjoy the myriad benefits it brings. Whether you’re looking to improve efficiency, enhance customer satisfaction, or gain global recognition, ISO 9001 is the key to quality management success. 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The Fourth Industrial Revolution is an exciting time for business and an opportunity for huge economic growth. What Is The Fourth Industrial Revolution? The Fourth Industrial Revolution is an exciting time for business and an opportunity for huge economic growth. The world is advancing rapidly as new technology fundamentally changes the way we live, work and interact with those around us. The Fourth Industrial Revolution (also known as 4IR or Industry 4.0) was a term coined by Klaus Schwab , Founder and Executive Chairman of the World Economic Forum, in 2015 to signal this new digital revolution. This new age is characterised by technological breakthroughs in many areas which blurs the distinct lines between the physical, digital and biological worlds. The Fourth Industrial Revolution goes far beyond the basic computer technology that was invented in the 20th century. Advances in areas such as automation, robotics and big data are occurring at an unprecedented rate. It is time to recognise that these technologies are reshaping every sector as old industries transform and new ones are created. The world has witnessed three previous major industrial revolutions which have harnessed emerging technology to change the way we live and work. The First Industrial Revolution used steam and water to mechanise industry. The second witnessed the invention of electricity and mass production. And, the third was the age of computers and information. What is the impact of the Fourth Industrial Revolution? The aim of any technological advancement is to improve society and make our everyday needs easier to meet. As Klaus Schwab says, ‘the Fourth Industrial Revolution has the potential to raise global income levels and improve the quality of life for populations around the world.” Increased Business Productivity Productivity in the UK has been experiencing a period of poor growth for several decades now, yet it is vital to business survival and overall economic success. Bored employees lack enthusiasm for their role and are more likely to suffer from low levels of productivity. We have already adopted the use of computers and machines to replace some of dull and monotonous aspects of our working life. The use of advanced AI and automation technologies in the future should allow even more independence from mundane tasks as these technologies streamline and perform these processes on our behalf. This, in theory, gives humans more time for creativity, innovation and problem solving in the workplace, allowing for future business growth and happier, motivated staff. Improved Customer Service In the 21st century we are used to having immediate answers to our problems. We simply open an app and, more often than not, it solves our issue then and there. When it comes to goods and services we expect a similar response, the emergence of chatbots allows customers to resolve queries quickly and efficiently 24 hours a day. Other forms of technology can analyse your customer service and provide suggestions for improvement. With access to data and algorithms companies can tailor adverts to their customer’s specific needs and wants, ensuring they are in front of the right people at the right time. This not only allows for more sales but increased customer satisfaction as their problem is solved easily. Flexible Working Opportunities Long gone are the days of needing to be sat in the office 9-5. Remote communication and collaboration tools, particularly accelerated by Covid-19, have opened doors to new ways of working. Staff are able to have a better work/life balance as they avoid long commutes on overcrowded trains and the rigidity of set hours. This encourages greater productivity as staff feel less stressed and can adapt their working day to suit their needs. In fact, A report from Peldon Rose, “The Office of the Future”, found that 35% of business leaders felt that workplace productivity had improved during the pandemic. Better Recruitment AI tools can effectively pre-screen candidates for interview as it matches their skills and qualities to those required, saving HR hours of sifting through CVs. It can also be used in interviews to avoid human bias.Advanced online connectivity also enables businesses to secure the best employee for the job, regardless of whether they are located half way across the country or the world. How do you respond to the fourth industrial revolution? The Fourth Industrial Revolution is an exciting time for business and an opportunity for huge economic growth. However, a survey conducted by Deloitte in 2018 found that only 14% of business executives are highly confident that their organisations are ready to fully harness the changes associated with Industry 4.0. Invest in new technology To stay ahead of your competitors, you will need to keep up with technological advancements and invest in the best tools to optimise your industry. Improve workforce skills Do your current employees possess the skills needed to incorporate the emerging technologies into their role? It is essential to consider whether you need to provide specific training to your team or hire additional staff with these skills. How will the fourth industrial revolution affect the job market? It is concerning to think our jobs may be taken away by a robot or competition increased by global recruitment opportunities. Many jobs of the past have been completely eradicated or fundamentally changed and children are learning new skills for the future such as coding and app development. The World Economic Forum, The Future of Jobs report 2020 estimates that by 2025, 85 million jobs may be displaced by a shift in the division of labour between humans and machines. However, 97 million new roles may emerge that make use of the new abilities afforded us by robots and algorithms. What are some of the challenges of the Fourth Industrial Revolution? The Fourth Industrial Revolution is an exciting time, bringing about unprecedented change. But, whilst revolutions offer great benefits, they do not come without their significant drawbacks. If we shape our future growth wholly around AI and robotics we risk dehumanising people and questioning our place on the planet. Humans possess vital empathetic and innovation skills that AI lacks. We risk a generation of workers who now lack purpose and ambition, someone who has 30 years of experience on a production line may suddenly feel unskilled and underqualified for the job market. This new technology is astounding but unfortunately, that means it comes with a high price tag. Therefore, it can risk further widening the gap of inequality between both people and nations who can and cannot afford to invest in the technology. AI, robotics and genetic engineering all have great possibilities but they can also be used for destructive purposes. There are implications for data security – the amount of data that is now being shared online is at risk of being hacked and our privacy violated. The role of digitisation in The Fourth Industrial Revolution Industries are always advancing and adopting new technologies to work more efficiently. The use of these new technologies can help boost innovation, speed, production and react faster to market demands to name just a few. Nine big advances in technology that are driving Industry 4.0 are: The Industrial Internet of Things Autonomous Robots Simulation Augmented Reality Big Data Analytics Cybersecurity Horizontal and Vertical System Integration The Cloud Additive Manufacturing The Industrial Internet of Things The Industrial Internet of Things refers to using the internet to connect all parts of a business. This allows machine to machine communication. We’re seeing it implemented most in factories, where machines communicate with each other through wi-fi to do things like monitor, collect, exchange and analyse data. These insights are then used to drive better business decisions. Autonomous Robots Autonomous robots have been around a while. In fact, the first one was made all the way back in 1948. But as the technology driving them has advanced, autonomous robots offer new opportunities and capabilities for businesses. Most obviously, they can work faster. But they can also work smarter. They can interact with each other (through the Industrial Internet of Things) and adjust their actions from this data. So for example, old autonomous robots have mainly been used in mass production, which is very helpful. However, if a product was produced incorrectly, autonomous robots would just continue production until a human noticed the error and the company is stuck with the mass produced incorrect product. Whereas new technology autonomous robots are able to recognise errors or mistakes and communicate it to other machines. Simulation Engineers have used simulations for a long time now. But this technology is only just expanding to industry. There are many possible uses for simulations. From having a digital copy of a real product they can test to using simulations of entire factories to test new ways of working, the possibilities are vast. Augmented Reality Augmented reality, or AR, is a new technology comparatively to most. It’s most commonly known throughout the gaming industry with popular games like Pokemon Go using this technology to create new, interactive experiences for users. But it also has great use in businesses. For example, selecting parts in a warehouse using robotics. The possibilities are plentiful for each unique industry. Big Data Analytics Big data analytics is probably the most well-known technology of Industry 4.0. This technology refers to a machine that can gather information and data to create correlations, trends and more. A great example of this is Google Ads. They’ve been increasingly moving towards what they call “smart shopping” ads, where everything from bids to keywords are automated. While cynical marketers see this as a move for Google to gain more ad revenue, the reality is their machine learning can process far more data than a human. So what might take a person weeks to analyse and action, takes the machine mere moments. Big data analytics can give businesses useful insights into internal and external operations, to help them make smarter business decisions. Cybersecurity Cybersecurity isn’t a new technology by any means. All businesses should be aware of it by now. But as these technologies expand and as we increasingly move towards a digital landscape, cybersecurity must keep up. Horizontal and Vertical System Integration This technology is mainly used in smart factories, but that isn’t to say it couldn’t have possible uses in other industries as time goes on. We’ll break it down to explain it’s current use. Horizontal integration refers to the networking of machines and systems within a manufacturing line. While vertical integration refers to the process of connecting all levels of production. So this connects the information gathered at each level through horizontal integration to every level of business and even suppliers or customers. A good example of this is the food industry. There are many quality standards that need to be met and these need to be checked at every level. Horizontal integration can be used to ensure all machines on the manufacturing line have met a given standard and vertical integration can be used to share that information with all relevant parties. It saves the employees involved a lot of time checking, and double-checking, as the information is shared with all relevant parties immediately. The Cloud You’ve probably already heard of the cloud. Simply put, it’s things you can access remotely over the internet. A great example of this is Google Drive. This is a cloud-based storage system. Many companies and employees use it as they can increasingly access shared information, anywhere. Cloud sharing has big implications for industries. Instead of endless email chains sharing information, new processes can be created so that information is readily available for all relevant parties. Additive Manufacturing Additive manufacturing is an exciting technology that we’ve barely scratched the surface of. It refers to the ability to produce low cost items in-house. The most famous example of this currently is 3D printing. 3D printers have exploded in popularity, but for a long time they were too expensive to be a reasonable investment for many companies. As the price has come down, more businesses have invested in them to create their own products in-house. This has big implications for businesses. It could help with sourcing specific parts, custom orders and reducing product shortages to name just a few. How Will Industry 4.0 Affect Your Business? As you can see, the term Industry 4.0 is an all-encompassing term that includes many different technologies and the potential for those technologies is vast. But in general, Industry 4.0 includes interoperability, information transparency, technical assistance and decentralised decision-making. Every business should be reviewing how these technologies could help them gain a competitive edge and become more efficient. But it’s impossible to give an example of how the technology might potentially help each sector and individual company. So do the research. Now you know what everyone must know about Industry 4.0, make sure you look into how it will affect your business. Businesses that refuse to invest in new technologies because of the initial cost will fall behind in terms of business productivity and profitability in the long-run. While those who take the plunge now will gain the edge over their competitors that will allow them to out-innovate them for years to come. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

Environmental sustainability strategies bolster competitiveness, reduce costs, meet stakeholder expectations, and ensure long-term viability in a changing world. The Importance of Environmental Sustainability Strategies for Business Environmental sustainability strategies are vital for business. They meet stakeholder expectations, ensure regulatory compliance, reduce costs through resource efficiency, foster innovation and competitiveness, secure long-term viability, enhance supply chain resilience, boost reputation and loyalty, and open doors to new markets and investments. Sustainability is not just an option; it's a necessity for modern enterprises. Environmental sustainability has become a paramount concern in recent years, as the world grapples with the far-reaching consequences of climate change, resource depletion, and biodiversity loss. In this context, the role of businesses in promoting and implementing environmental sustainability strategies has gained significant attention. Companies are increasingly recognising that environmental sustainability is not just a moral obligation but also a critical component of their long-term viability and success. This article explores the importance of environmental sustainability strategies for business, delving into the reasons behind this shift in corporate mindset and the tangible benefits that sustainability efforts bring. Meeting Stakeholder Expectations Today's stakeholders, including customers, investors, and employees, expect businesses to demonstrate a commitment to environmental sustainability. Consumers are increasingly conscious of the environmental impact of their purchasing decisions, and they favour products and services from companies that take sustainability seriously. Investors recognise the financial risks associated with unsustainable practices and are seeking out environmentally responsible businesses as attractive investment opportunities. Moreover, employees are more likely to be engaged and motivated when they work for a company that aligns with their personal values and demonstrates a commitment to sustainability. Therefore, businesses that invest in environmental sustainability strategies can enhance their brand image, attract and retain customers, investors, and talent, and build stronger relationships with their stakeholders. Regulatory Compliance and Risk Mitigation Governments and regulatory bodies worldwide are imposing stricter environmental regulations and standards. Failing to comply with these regulations can lead to legal penalties, reputational damage, and operational disruptions. By proactively adopting environmental sustainability practices, businesses can not only ensure compliance but also reduce the risk of regulatory changes negatively impacting their operations. This risk mitigation is particularly important as environmental issues become more prominent on the global agenda, and companies that are not prepared may face substantial financial and operational challenges. Resource Efficiency and Cost Savings Sustainability strategies often involve optimising resource use, reducing waste, and improving energy efficiency. These initiatives lead to tangible cost savings for businesses. For example, a company that invests in energy-efficient technologies can reduce its energy consumption and lower energy bills. Similarly, businesses that reduce waste in their production processes can decrease disposal costs and increase the efficiency of their supply chains. In the long term, these cost savings can significantly improve a company's bottom line and competitiveness, making sustainability a prudent financial decision. Innovation and Competitive Advantage Environmental sustainability can drive innovation within an organisation. Businesses that seek sustainable solutions often discover new technologies, processes, and products that can give them a competitive advantage. For example, the automotive industry's shift towards electric vehicles is not only driven by environmental concerns but also presents a significant business opportunity for companies that can innovate in this space. Furthermore, consumers are increasingly looking for sustainable options, and businesses that can offer such products or services stand to gain a distinct competitive edge in the market. Long-term Viability Sustainability strategies are vital for ensuring a company's long-term viability. As natural resources become scarcer and environmental pressures mount, businesses that rely on unsustainable practices may find themselves at a disadvantage. Adopting sustainability strategies now can help companies adapt to changing market conditions and consumer preferences, reducing the risk of becoming obsolete in the future. By integrating sustainability into their core business models, companies can position themselves for long-term success and resilience in a rapidly changing world. Improved Supply Chain Resilience Global supply chains have become increasingly vulnerable to disruptions due to factors such as climate change, geopolitical tensions, and health crises. Companies that rely on vast, complex supply chains are exposed to various risks. Implementing environmental sustainability strategies can enhance supply chain resilience by reducing reliance on vulnerable resources, diversifying sources, and minimising exposure to volatile environmental conditions. This resilience can help businesses weather supply chain disruptions more effectively and ensure the continuity of their operations. Enhanced Reputation and Customer Loyalty A strong commitment to environmental sustainability can enhance a company's reputation and foster customer loyalty. Customers are more likely to support businesses that demonstrate a clear commitment to environmental responsibility. They not only feel good about their purchases but also become more loyal to brands that share their values. This loyalty can translate into repeat business, positive word-of-mouth marketing, and increased customer lifetime value. In the age of social media and online reviews, a positive reputation for sustainability can be a powerful asset. Access to New Markets and Investment Opportunities Businesses that embrace environmental sustainability strategies may gain access to new markets and investment opportunities. For example, by aligning with sustainable practices, companies can tap into the growing green and ethical consumer markets. Moreover, there is a burgeoning interest in sustainable investment options, and businesses that are well-positioned in this regard can attract capital from environmentally conscious investors. These new market and investment opportunities can open up revenue streams and growth potential for businesses. In conclusion, the importance of environmental sustainability strategies for business cannot be overstated. Companies that fail to recognise and act on this imperative risk losing competitive advantages, facing legal and regulatory challenges, and experiencing reputational damage. On the other hand, those who proactively embrace sustainability stand to gain numerous benefits, from cost savings and innovation to enhanced stakeholder relationships and long-term viability. As the world continues to grapple with environmental challenges, businesses have a pivotal role to play in the transition towards a more sustainable future. Therefore, integrating sustainability into business strategies is not just a choice; it is a necessity for the success and survival of modern enterprises in an ever-changing and environmentally conscious world. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

Proactive customer service helps companies out-innovate and out-perform the competition, increasing business growth and profitability. Learn more today. What is Proactive Customer Service? Proactive customer service helps companies out-innovate and out-perform the competition, increasing business growth and profitability. Published on: 29 Apr 2021 Proactive Customer Service Definition “Also known as proactive customer support, proactive customer service involves going out of your way to improve a customer experience. Businesses who use proactive customer service help customers by anticipating their needs before customers feel the need to contact the company.” As you can imagine there are lots of ways businesses can implement proactive customer service. Customer satisfaction surveys can help. It could be by introducing a new product, improving a service or changing a process completely to name just a few examples. Whatever the solution is, all businesses who implement proactive customer service have one thing in common — they resolve customer issues before they occur . They achieve this by anticipating customer needs, pains and desires and taking action to resolve whatever it is as soon as possible. All of this improves the customer experience. The opposite to proactive customer service is the example we used in the introduction. This is reactive customer service. Proactive Customer Service Vs. Reactive Customer Service Reactive customer service is the far more common type of customer service we see in businesses across the UK. We’re not here to slate reactive customer service. There is absolutely a time and a place for it. It’s almost impossible to anticipate all customer issues, needs and desires. This said, companies tend to lean too heavily on reactive customer service with proactive customer service left on the backburner. If companies dedicated more time and resources into proactive customer service, employees would have more time to dedicate to helping the business grow through chasing leads, as opposed to being bogged down with reactive issues. A good way to understand the two is with a simple analogy. Let’s think about our garden. We put weed killer down to stop them cropping up as regularly. That’s our proactive customer service. Weed killer doesn’t stop all weeds from coming up though, so we also need to go round and deal with the weeds that do come up. This is reactive customer service. I think we can all agree we’d rather deal with less weeds in the garden and spend more time growing new plants! Using both customer service approaches together can help businesses spend less time on reactive customer service and more time on growing their business. Proactive Customer Service Benefits There are so many great benefits of implementing proactive customer service for your business. They’re as follows: Free Up Your Team We touched on this above, but it’s worth expanding on. How much of your team’s day is taken up with service calls? By this we mean calls about queries or issues that could have been easily resolved at a point before the customer contacted you. We’d guess the answer is quite a lot! From the companies we’ve worked with, most of them spend around 50% of their day on service calls. Now think how much time your team would have to spend on more productive tasks if you halved the amount of service calls. It’s a complete game changer for business productivity. Boost Brand Authority Brand authority is so important for companies in an increasingly digital landscape. It’s vital for both the acquisition and retention of customers. Getting it right is the difference between you and the next competitor. Improve Retention Rates Intrinsically related to the above, boosting brand authority can help improve your retention rates by creating loyal customers . Loyal customers are better for business, costing a fraction of the price new customers cost to acquire. More Reviews Think about it — when was the last time a company really ‘wowed’ you? We bet when they did, you probably left them a review. Just like customers are more inclined to leave negative reviews for poor experiences, customers are more inclined to leave positive reviews for seamless experiences . Because you’re delivering a better service through a proactive support, your reviews should increase. Create Advocates Word of mouth marketing is still a valuable tool even in the digital commerce realm. In fact, word of mouth marketing drives $6 trillion of annual consumer spending in America, accounting for 13% of consumer sales. It’s importance cannot be overstated. Customers who have an outstanding experience with your brand are more likely to recommend your business to a friend, colleague or family member. How to Implement Proactive Customer Service Ideas We can guess what you’re thinking. “ As if my customer service team don’t have enough to do already! There’s no way I’ll find the time .” Fortunately, implementing proactive customer service ideas isn’t as hard as you might think it is. In fact, you’re probably doing some of it already! You need to do three main factors involving in implementing a proactive customer service strategy: Be available Help customers help themselves Know your customers You should have more than just a contact us form on your site to be available to your customers. You should be available across many different channels and actually monitor these channels. This includes phone, email and social media. Customers can then choose the channel most convenient to them. You should also empower your customers to help themselves. This can be through improving your customer experience with great content. Not content written solely for SEO, but content that actually helps your customers resolve common queries or issues to do with your product or service. Of course, without knowing your customers all of this is futile. You can’t anticipate what your customer’s needs and wants are if you don’t have a clue who your customers are. These three foundations help you lay the foundations for your proactive support approach, but we’ll give you a few more proactive customer service ideas to try to add to your strategy to build on these foundations. Proactive Customer Service Strategies There’s lots of strategies you can implement to deliver more proactive customer service. Try these. Ask For Feedback Very obvious, but very helpful — the best way to figure out how your customers think you could improve is by asking them. You can do this in many different ways. You could add feedback surveys to your customer journey, ask for reviews, ask for feedback on your site or kick it old school and pick up a phone to ask. Companies who do this can identify areas of weakness before they become an issue and cause unhappy customers. Monitor Mentions Do you pay attention to what’s being said about your business online — both the good and the bad? Good mentions feel great, but negative mentions should be seen as an opportunity , not a slight. Reach out to any negative mentions to get to the root of the problem so you can make sure it never happens again. There’s also opportunity in the positive interactions. Many brands are killing it on twitter with positive and fun interactions with customers instead of getting bogged down in reactive tweets from upset customers only. Reward Customers So many companies claim to value their customers, but don’t do anything to show it. They’re too focused on chasing down the new customer. Show your loyal customers you value them by rewarding them with exclusive offers and deals. Alongside outstanding customer service, it’s one of the best strategies to build loyalty. This doesn’t have to be as simple as offering a percentage off on their next purchase. You can send out personalised emails recommending products related to their previous purchases. This could be to remind them a subscription is running out or giving them the heads up on an exclusive sale of products you know they love, as well as many other ideas. Admit Mistakes Honesty is a virtue in life and business. Don’t let customers discover a problem on their own. If you’re aware of a problem, proactively reach out to inform customers. Anytime you identify a problem that will affect your customer experience, you should be reaching out to let them know, as well as letting them know what you’re doing to fix it and how long it’ll take. Amazon is a great example of this. As we all know, their entire service revolves around the fastest delivery possible. So when they have delivery issues or delays, Amazon will reach out to the customer to let them know when the new delivery date will be. For prime subscribers, they’ll also often credit them with a month free subscription to make up for the inconvenience — all before the customer has even realised there’s a problem! It’s an outstanding proactive customer service example that shows why Amazon is the king of eCommerce. Create Content Have you ever had to call up a company for a query so minor that you feel like it’s a waste of both your time? Wouldn’t you have preferred to just find the answer you were looking for online? Creating content that helps customers answer their own queries is a vital step of proactive customer service. You should be keeping track of common queries from customers and creating content to answer them on your website. Not only that but this information should be really easy to find. You can put together an FAQs section, a resources hub or add it to product pages. Embrace Automation Automation can help in so many aspects of proactive customer care and service. You could use email or SMS automation to send notifications and reminders (that will actually help your customers, not just sell products!). You could use an AI chatbot to answer simple queries or better direct queries to the right department. There’s endless examples where automation can help deliver a better customer experience. Proactive Customer Service Examples We’ve covered a few proactive customer service strategies that you could implement across many different businesses in various industries above. But sometimes it’s easier to learn by example, so here’s a few beacons of proactive customer service. Netflix Streaming issues are Netflix’s nemesis. They make the service completely defective. But they do happen. Instead of brushing them under the carpet or waiting for customers to find out, Netflix issues a statement anytime there’s an issue that could cause streaming issues. They apologise and sometimes offer a free month to make up for the inconvenience. It’s a great example of transparent proactive customer service which no doubt saves their customer service team hours of potential complaints down the line. Adobe Adobe may well have the most comprehensive collection of proactive content around. They have exhaustive guides for all of their different programs. Not just this but they have different level guides for novice, intermediate and advanced users. The content is easy to trawl through so customers can find what they’re looking for, as well as search engine optimised to allow customers to find the answers through that route instead. Tesla In such a short time since the company first started making waves, Tesla has built an incredibly loyal customer base through proactive customer service. In fact, 80% of their customers buy or lease another Tesla for their next car. It’s an enviable statistic for other companies. They achieve this through an outstanding customer journey. Not just from inquiry to sale, but after the sale as well. Tesla created an entire charging network infrastructure across the United States, at their own initial cost, to ensure their customers could drive and charge their vehicles with ease. BetterCloud BetterCloud is a SaaS management company. When their customers have an issue, the system flags it and sends it to one of their customer service agents. The agent then contacts the customer explaining the problem has been flagged and asking how they can help, all before the customer has to get in touch. IKEA Ikea uses augmented reality to relieve the customer pain point of not knowing how a piece of furniture will look in their home before purchasing. It’s a great tool that not only improves the customer experience, but likely saves the company a huge amount of time dealing with refunds or exchanges. Amazon Of course, no list of proactive customer service examples would be complete without mentioning Amazon. We mentioned them above, but that’s just one example of many outstanding customer service strategies the eCommerce giant follows. The company has been slowly revolutionising many different industries from bookstores to subscription services by focusing on one core value — customer obsessed. They have an incredibly detailed DIY help centre which is easy to navigate and packed full of helpful information. As we mentioned above, they proactively inform customers not just about delivery slots but also update them beforehand if there will be delays. Even their reactive support is impressive; should users ever actually have a problem which isn’t resolved beforehand, they have 24/7 support with impressively low wait times. Be Proactive and Grow Your Business Companies who embrace proactive customer service will remain ahead of the competition in terms of revenue, customer loyalty and brand authority. Though reactive customer service still has its place within customer support teams, an increased focus on proactive customer service can decrease the time spent on service calls, freeing up your staff for more productive tasks to help grow your business. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Discover the top 10 challenges businesses face when implementing OKRs and learn practical strategies to overcome them for effective goal-setting and growth. The Top 10 Challenges of Using OKRs (Objectives and Key Results) Discover the top 10 challenges businesses face when implementing OKRs and learn practical strategies to overcome them for effective goal-setting and growth. OKRs (Objectives and Key Results) are celebrated for driving alignment, focus, and performance in businesses of all sizes. But while they can be transformative, implementing OKRs effectively isn’t without its hurdles. Here are the top 10 challenges businesses face when using OKRs—and how to overcome them. 1. Setting Vague Objectives One of the most common pitfalls is creating objectives that are too broad or unclear. Objectives should be inspiring yet specific enough to provide direction. Without clarity, teams struggle to understand the purpose behind their work, leading to misalignment and disengagement. How to Overcome: Focus on clear, concise objectives that reflect strategic priorities and resonate with your team. 2. Unrealistic Key Results While ambition is part of the OKR philosophy, setting key results that are too aggressive can demotivate teams. Overly ambitious targets often feel unattainable, causing frustration instead of inspiration. How to Overcome: Balance stretch goals with realism. Aim high, but ensure targets are achievable with focused effort. 3. Lack of Alignment with Business Strategy OKRs lose effectiveness when they don’t tie directly to the broader business strategy. Misaligned OKRs can create conflicting priorities and dilute the organisation’s focus. How to Overcome: Start with strategic objectives at the top level and cascade them down, ensuring every OKR supports the company’s long-term goals. 4. Poor Tracking and Follow-Up Many organisations set OKRs at the beginning of a quarter or year but fail to track progress consistently. This turns OKRs into static documents rather than dynamic tools for growth. How to Overcome: Schedule regular check-ins to review progress, adjust strategies, and keep OKRs front and centre in team discussions. 5. Overcomplicating the Process Some companies introduce complex frameworks or too many OKRs, overwhelming teams and reducing focus. The power of OKRs lies in their simplicity. How to Overcome: Limit the number of objectives (ideally 3-5) with 3-4 key results each. Keep the language simple and the process straightforward. 6. Inconsistent Buy-In from Leadership If leaders don’t actively support and engage with the OKR process, it’s unlikely that teams will take it seriously. Leadership sets the tone for the organisation’s commitment to OKRs. How to Overcome: Ensure leaders model OKR best practices, openly share their own OKRs, and participate in regular reviews. 7. Misunderstanding the Purpose of OKRs OKRs are not just performance evaluation tools. Treating them solely as metrics for employee performance reviews can create fear and resistance. How to Overcome: Emphasise that OKRs are growth tools, designed to promote learning, innovation, and continuous improvement. 8. Focusing Only on Metrics, Not Impact Teams sometimes become overly fixated on hitting numerical targets, losing sight of the bigger picture. This can lead to box-ticking behaviour rather than meaningful progress. How to Overcome: Complement quantitative key results with qualitative insights. Regularly reflect on the broader impact of the work beyond the numbers. 9. Failure to Adapt OKRs Over Time Business priorities evolve, but some organisations treat OKRs as fixed commitments. Sticking rigidly to outdated goals can hinder agility. How to Overcome: Build flexibility into the OKR process. Encourage teams to adjust OKRs in response to new information or changing circumstances. 10. Ignoring Team Involvement Top-down OKRs without team input can feel disconnected from day-to-day realities. When employees aren’t involved in setting their own goals, motivation and ownership decrease. How to Overcome: Make OKR-setting a collaborative process. Involve teams in defining objectives and key results to increase engagement and accountability. Final Thoughts OKRs can be a powerful framework for driving value-driven growth, but success requires more than just writing objectives and key results. It demands clarity, alignment, adaptability, and a commitment to continuous improvement. By recognising these common challenges and proactively addressing them, businesses can unlock the full potential of OKRs. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

Discover what ESG investing is and how it aligns financial returns with sustainable, ethical practices. Learn how environmental, social, and governance factors shape investment decisions for long-term growth and positive impact. What Is ESG Investing and Why Does It Matter? Aligning Investments with Sustainable, Ethical, and Profitable Growth Published on: 16 Nov 2023 ESG investing is more than just a trend – it’s a smarter, more sustainable way to grow your wealth while driving positive change. By focusing on environmental, social, and governance (ESG) factors, investors can align their portfolios with companies that prioritise ethical practices, sustainability, and long-term resilience. As businesses increasingly shift towards greener operations and greater social responsibility, ESG investing offers the opportunity to achieve strong financial returns while contributing to a better future. Consumers, investors and employees increasingly want companies to be more socially and environmentally responsible. Why is this an issue for finance directors and CFOs? Because ESG is undeniably a financial matter. Done right, environmental, social and governance performance can reduce costs and create value. Done wrong, it can cost sales, investments and soon even raise costs like insurance rates. This means ESG should be at the forefront of every finance director’s mind, which is precisely what we’re looking at in this article. What is ESG and why is it important? ESG stands for environmental, social and governance. This criteria is used by a range of external stakeholders to assess the good a company does, whether that be for its staff, the wider community or the planet. We’ll look at each section a little more in depth. Environmental criteria could include things like a company’s energy use, water use, waste, pollution or even treatment of animals in some instances. Social criteria looks at the company’s business relationships. This could be to examine the suppliers it uses to ensure they meet the ethical standards they proclaim to value. It could also be whether the company donates to local community non-profits or allows employees volunteer days. Social criteria also applies to how the business treats its employees, so this would include working conditions, diversity, equal pay and so forth. Governance criteria looks at how ethically a company is run. This includes the relationships between a company’s board, shareholders and stakeholders. For example, if a company had a conflict of interest apparent for a board member, this would be an ethical issue and poor governance. Broadly, governance refers to how a company decides to run things and how it may affect others. Many companies, particularly larger companies, are doing their best to improve these criteria and their standards in order to attract more customers and more investors. The facts speak for themselves here: 92% of consumers are more likely to trust a company that supports social or environmental issues. 88% of consumers are more likely to be loyal to a company that supports social or environmental issues. 58% of employees consider a company’s social and environmental commitments when deciding where to work. 68% of investors have integrated ESG into their decision making. This shift in focus towards companies with strong ESG criteria is representative of a wider shift in the purpose of business. While the purpose of business was once thought of to be to make a profit for shareholders, the owners, with little regard to anything else. Over more recent years, the purpose of a successful business is more than that. They cannot only serve the top dogs, but must also serve their employees, communities, suppliers and the planet. What are ESG principles? You may think ESG (Environmental, Social and Governance) principles are only for investors and big business, but they’re not. Small companies have investors even if it’s just the owner and staff that need to feel they have a sense of purpose too. The world has witnessed three previous major industrial revolutions which have harnessed emerging technology to change the way we live and work. The First Industrial Revolution used steam and water to mechanise industry. The second witnessed the invention of electricity and mass production. And, the third was the age of computers and information. And that includes business. Business is often seen as corrupt or evil, its only interest being itself, its profits, its shareholders, not so much its customers and employees. But that is changing fast too. We’re all too connected now for anything to exist for itself. Environmental Principles Looking after the planet upon which your business operates. For most of us, no all of us, that is still earth. The days of our world being seen as an unlimited resource for us to plunder are over. Where does your energy come from, or the resources you use to serve your customers? Is the planet being sdepleted every day you are in business? Economy-Wide Material Flow Accounting and Analysis (EW-MFA). Increasing Global GDP (Gross Domestic Product) increases global material use, production, transportation and disposal that becomes unsustainable without impacting on the natural world, climate systems and biodiversity. So it’s necessary to harmonise national economic and environmental goals . The measurement and analysis of raw material use on the national level is called Economy-Wide Material Flow Accounting and Analysis ( EW-MFA ). Domestic UK Resource Extraction 2019 Source: materialflows.net Whilst reducing or replacing the energy we use to limit global warming is important, this is only an indirect contributor to global warming. If we use and make less and reuse more of what we have, less energy is needed and fewer resources are extracted from the ground in the first place. This would include fossil fuels but also the resources to make the products or deliver the services. A circular economy where products are made to be recycled can help to reduce resource consumption. What is the Circular Economy (CE)? In the circular economy products are designed to use the minimum amount of toxic and natural resources during production, transportation, usage and disposal. In doing so maximum utility is given to re-use, recycling, repair and refurbishment so that the most efficient use of the original material is achieved and minimal environmental damage is created. Ideally the original material would be used an infinite number of times, but the energy required and the associated environmental impact needs to be considered. With a clean energy source this becomes more practical. This replaces the linear economy using the Take-Make-Dispose approach, as opposed to the Make-Use-Return of the circular economy. Phillips, as an example, creates “productive loops ” to maintain the value of their products, parts and materials while minimising waste and the extraction of natural resources. New circular business models would include products being used as a service, not owned, then returned to the manufacture for re-use, recycling or refurbishment, or appropriate disposal, the costs of this being part of original purchase price. Social Principles The social principles are all to do with you how you treat your staff, your customers, partners and suppliers, anybody who comes into contact with your business. Think of all the things you think you should be doing or would like to do, and you’ve about got it – paying people on time, recognition, training, coaching, personal development, equal opportunities, being fair and equitable with everyone, this can all help with employee engagement. Governance Principles The governance principles are all about the management structure, in the main those of the directors, owners and shareholders. It is also about the business’ transparency and ethics. It points towards creating a positive culture with the correct values and fair compensation. So all this makes perfect sense, there’s not much you can disagree with there. These things aren’t generally considered as they don’t help to improve the bottom line when a business is run like a machine when it is very transactional. These things will start impacting your bottom line when they become essential to your customers, employees and suppliers. How do companies benefit from ESG principles? When Marks and Spencer implemented “Plan A” for their customers to have a positive impact on wellbeing, communities and the planet they saved $200M annually. Coca-Cola created a competitive advantage when it reduced the amount of water used with its sustainability approach. All companies of any size can benefit from thinking about how they can operate more efficiently. Working more efficiently increases productivity and profitability, which becomes a competitive advantage. Your company’s purpose, values and beliefs should be reflected in all that you do. Just considering ESG principles in your decision making is enough to get started. If your staff follow suit, then you’re on your way, nothing will develop a positive working culture better than a shared sense of purpose. How investors are integrating ESG principles Investors will consider these aspects of your business too. They’ll want to see you can make a profit while addressing these ideas, especially when your investors are thinking long term. There is not a single way of integrating ESG into your business. Zurich looks at ESG Integration with training, providing information, reviewing processes and the active involvement of the owners. Is Corporate Social Responsibility (CSR) the same as Environmental, Social and Governance (ESG)? People are sometimes confused as to the difference between CSR and ESG as the two encompass the same topics. But the fundamental difference between CSR and ESG is the perspective from which it was taken. CSR is more about the activities that businesses must do to build relations with stakeholders, while ESG is taken from an investor’s point of view by taking into consideration non-financial factors as well as financial factors in investment decisions. Source: SK hynix Newsroom Sometimes, though, in some businesses’ implementation of CSR, the term greenwashing has come into existence. Greenwashing means that companies mislead people into thinking that they are environmentally conscious but in reality they are not making any efforts to be sustainable. The triple bottom line Today companies should aim to adopt triple bottom line business growth, so not just growth in profitability but also in the value created for people, society and the planet. Both people and the planet are essential inputs for business success, so long term business growth requires that these valuable business resources be both cared for and developed to create stronger long term, sustainable business growth. So the triple bottom line measures business profitability, people performance and the sustainability of the planet. ESG is important for external stakeholders Once upon a time, investors only cared about revenue, profits, costs and so forth. But it is no longer the case. For some investors, it is simply a matter of ethics. But for many more, it is because companies with a robust ESG framework are a better investment than companies who fail to address pressing issues like diversity and emissions. Insurance companies are facing an increase in climate-related claims. As such, rates and premiums are increasingly linked to environmental performance and carbon targets . In a similar vein, it’s also believed that soon financing rates may be directly linked to ESG performance as part of the appraisal process. For example, Asian bank DBS , converted Swire Pacific’s existing five-year revolving credit facility into a sustainability linked loan. Swire Pacific can then reduce the interest rate payable by meeting ESG goals in areas like energy consumption and diversity. As it is the responsibility of the CFO or FD to deal with these external stakeholders, this means ESG is no longer a concern for PR and marketing. This is great news for businesses. Without the financial guidance of the FD, ESG implementations and frameworks may lack results. If they are thought of merely as a PR exercise to keep the general public at bay, chances are they will bring less value to the business. Whereas if ESG frameworks are tracked and measured, with results quantified and analysed, they can not only please external stakeholders and consumers, but create value for businesses. How can ESG create value? We’ve mentioned investors already, but this is just the beginning of how a strong ESG framework can create value. ESG goes some way in driving consumer preference. Research shows one in three customers buy from brands they perceive to be doing good for the environment, with further research suggesting that many consumers would also be willing to pay more for environmentally friendly products. A solid ESG proposition can also help companies expand into new markets. Governing authorities are more likely to approve and aid sustainable and socially responsible businesses, while businesses can use it as means to attract new consumers within the new market. A great example of this comes in the form of Neste. Originally an oil company, the business has moved onto sustainable practices and generates two thirds of profits from renewable fuels. As we mentioned above, when implemented with purpose and thought, ESG can also reduce costs by combating operating expenses. Research also shows a significant correlation between resource efficiency and financial performance, with companies who had taken their sustainability strategies the furthest performing the best in this study. Increase employee engagement with ESG goals For employees, an ESG framework can attract great talent, as well as enhance employee engagement and business productivity through creating a larger sense of purpose. A study of top employers, measured by employee satisfaction and attractiveness to talent, have significantly higher ESG scores than other employers. This pattern is evident across environmental performance and more specific social and governance issues. As Millennials and Gen Z slowly become the majority of the global workforce, ESG will become a more pressing issue for employers. By 2029, these generations will make up 72% of the global workforce. Both these generations, particularly Gen Z, place a far greater importance on environmental and social concerns than predecessors do and will expect employers to act accordingly. Finally, a strong external-value proposition can ease regulatory pressure, reducing the risk of adverse government action and actually gaining government support. Many businesses are trying to keep up with new governmental policies, while businesses that stay ahead of this curve actively reduce risk. Overall, ESG can pay off in a huge number of ways. But it must be tracked, measured and analysed, which is where the strategic skills of the finance director or CFO come in. ESG metrics and reporting for FDs ESG metrics are not mandatory in financial reporting across industries yet, but with another climate summit on the agenda and a goal of net zero carbon emissions by 2050, it is only a matter of time. Many forward-thinking companies are increasingly including ESG reporting within their annual report or in the form of a separate sustainability report. As it isn’t mandatory, one of the main struggles for finance leaders currently is to define a reporting process standard. What this translates to is that a third of finance directors aren’t yet aware of their ESG reporting obligations. But the CFO or FD has the unique skills necessary to successfully strategise to drive business performance and report on ESG targets. When it comes to best practices, Michael Stanton , CFO of Diligent states: “There’s a huge opportunity for CFOs to be ESG leaders… it’s all about ensuring the company has the requisite infrastructure in place, the proper framework, top-to-bottom understanding, and the necessary systematic reporting and accountability so they can objectively measure, longitudinally, where it’s starting, where it’s heading, and what its gaps are.” Investing in the correct technologies to give the most accurate data for the strategic planning of KPIs is a huge part of this. Companies need robust financial systems to gather ESG data, just as they have for collecting operational and financial data. The NYU Stern Center for Sustainable Business has developed a Return on Sustainability Investment (ROSI) in an attempt to aid companies through this process. This five step process looks at: Identifying the current sustainability strategies Identifying related changes in operational or management practices Determining the resulting benefits Quantifying said benefits Calculating the financial value Solutions like this and others are likely to become more commonplace as ESG frameworks increase in use. The UK in particular is seeking to set itself apart from the rest of Europe as a sustainable investment reporting leader. UK ministers made a stand back in November by refusing to align with the EU’s Sustainable Finance Disclosure Regulation ( SFDR ). This is because the SFDR, while a step in the right direction, does not force disclosure of sustainability reports from companies. Businesses can choose not to comply without direct penalties. Instead, the UK announced it would become the first country in the world to fully mandate climate disclosures for both businesses and financial institutions. Experts believe this strict approach will spark a race to the top on ESG reporting regulations. The good news from this is that sustainable reporting is likely to become far more standardised across the board. Investors have long complained that reports have been “greenwashed” to paint an unrealistically positive image. But as ESG reporting becomes increasingly mainstream, investors, financial institutions and the public are likely to demand more accurate and transparent information. There are voluntary reporting frameworks currently in place. For example, the G20’s Task Force on Climate-Related Financial Disclosures. James Alexander , chief executive of the UK Sustainable Investment and Finance Association ( UKSIF ) said: “We want the UK government to enhance sustainability disclosures, with strong taxonomies that drive us in the direction of net zero and that ensure leaders in ESG reporting can differentiate easily from those who are doing less. That will make us the world leader.” Of course, another issue rears its head for businesses that function in various international markets. To save lost time and resources, these businesses need a global standard of ESG reporting to avoid confusion. The ‘Big Four’ accounting firms ( Deloitte, PwC, Ernst and Young and KPMG ) have launched their own international ESG metrics to attempt to align existing reporting standards. This was launched in partnership with the World Economic Forum ( WEF ). Since the launch of these metrics last year, more than 60 of the world’s largest corporations have committed to using them, including Dell and Mastercard. They’re based on four pillars of governance, planet, people and prosperity. What can finance directors do now? As you can see from the above, the lack of standardisation makes ESG planning and reporting a tricky thing to say the least. This said, it is always worth making ESG a priority and using a process of continuous improvement to improve your reporting standards. Finance directors can use one of the many global metrics mentioned above to begin tracking and measuring their ESG criteria. For those with the time or resources, it may even be worth reporting against multiple ESG frameworks if ESG is of a high importance to your investors. Research what metrics your competition is using to benchmark where your reporting standard needs to be as a minimum. A balanced ESG criteria sets both short-term and long-term goals, so both of these are worth considering in your strategy. Short-term goals can show the company is committed to making the changes necessary, while long-term goals show the forward-thinking necessary to realistically hit net zero by 2050. Your ESG targets should be embedded into your company story. They’re something to be proud of after all, something that sets the company apart as a thought leader. It represents a commitment to create value through more sustainable and ethical practices, as well as do better for the environment and society in the process. The future of ESG for finance directors It’s clear the financial directors role has developed beyond finance function alone. A robust ESG framework is yet another way FDs can innovate and create value for businesses. Here they can be a key player in transforming businesses into profitable places that do better for people and the planet. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Discover how Objectives and Key Results (OKRs) can transform goal setting, boost team alignment, and drive measurable business success. Learn how to define effective OKRs and align them with your strategy. The Power of OKRs: Setting Goals That Drive Success A Simple Yet Powerful Goal-Setting Framework to Align Teams, Measure Progress, and Achieve Meaningful Business Outcomes What is an OKR? An OKR (Objectives and Key Results) is a goal-setting framework that defines objectives and tracks measurable results. It helps create alignment and engagement around clear, meaningful goals. Originally introduced and popularized in the 1970s at Intel, OKRs have since spread throughout technology companies and beyond as a way to help teams stay focused and accountable. When you want to achieve something, anything, your desires are based on a preferred outcome. It’s a simple, basic human concept developed at an early age. One way to frame it is: I will ________ as measured by ____________. This is how John Doerr explained objectives and key results (OKRs) in his book Measure What Matters . While the concept is simple, the business world is complex, with many moving parts. However, by adhering to simple principles, big results can manifest. Research shows that employees are more engaged and productive when they have a clear idea of what their team is trying to achieve and, more importantly, why it matters. "When employees perceive their jobs as high in task significance, they display higher job performance."— The Journal of Applied Psychology OKRs are a refinement of the widely used practice of Management by Objectives (MBO). The key difference is that OKRs promote a more collaborative process rather than a top-down approach. Peter Drucker, who first popularized MBO, suggested that managers set employees’ objectives based on overarching company goals. In contrast, OKRs encourage teams to take high-level objectives and refine them to suit their specific roles. Adopting OKRs is like introducing a universal language of results within an organisation. Once embraced, this shared understanding brings unparalleled clarity, making decision-making more straightforward and empowering teams to align their efforts with broader strategic goals. For those unfamiliar with OKRs, it represents a fundamental shift in thinking. Rather than simply tracking the completion of tasks, it focuses on evaluating the tangible outcomes and business impacts those tasks are intended to deliver, ultimately measuring the value created. This shift encourages a more strategic approach, where success is measured not by activity, but by the actual value delivered in advancing the organisation’s objectives. With OKRs, the focus moves from a “doing” mentality to a “delivering” mentality, ensuring that every action taken contributes meaningful value toward achieving the overarching strategy. The OKR Process It’s more useful to think about the "OKR process" than just focusing on individual objectives and key results. Static goals that aren’t regularly reviewed can quickly become stale and meaningless. OKRs work best when combined with a regular process of tracking progress, adapting to changes, and celebrating achievements. Defining OKRs OKRs have two key components: Objectives – Memorable, qualitative descriptions of what you want to achieve. Objectives should be short, inspirational, and engaging. They should motivate and challenge the team. Key Results – A set of metrics that measure progress toward the objective. For each objective, you should have two to five key results—more than that can be overwhelming. Your key results should be: Specific and measurable Time-bound Tracked regularly If you can only measure success after two years, it’s not an effective key result. Examples of Objectives As Stephen Covey wrote in The 7 Habits of Highly Effective People , “Begin with the end in mind.” This fits perfectly with identifying objectives. Some high-level objectives include: Improve customer satisfaction Increase recurring revenue Scale system performance Serve more customers efficiently Reduce data errors in critical systems While high-level objectives are useful, they should also be actionable. An objective like "be profitable" is too broad—it doesn’t provide clear direction. Instead, frame objectives in terms of achievable milestones within a set time period, allowing teams to reflect, adapt, and stay aligned. Examples of Key Results Key results focus on measurable outcomes rather than the actions taken to achieve them. For example, let’s say the objective is Reduce the number of data errors in the system . A common mistake: Key Result: Install the latest software release Why is this ineffective? Because there’s no way to track whether the software update actually reduced errors. Instead, a better approach would be: Reduce data quality errors reported to the support desk by 50% Decrease the number of unfulfilled orders due to data issues by 30% Reduce customer-reported order errors by 40% These key results provide clear, measurable targets that indicate success. Aligning OKRs with Business Strategy When setting OKRs, ensure they align with your company’s mission, vision, and core values. Where OKRs define the what and how , your business vision should reinforce the why . How to Use OKRs for Business Improvement OKRs (Objectives and Key Results) are an effective framework for driving business improvement by aligning teams around specific goals and measurable outcomes. Here's how they can be applied: Clarifying Focus and Alignment : OKRs provide clarity by breaking down high-level business goals into specific, measurable objectives. This ensures that everyone in the business is working towards the same vision, from leadership to individual contributors, which helps avoid misalignment and wasted effort. Driving Accountability : The "Key Results" component of OKRs specifies the measurable results needed to achieve each objective. This creates clear accountability, where everyone knows exactly what success looks like and how their contribution impacts the business’s overall progress. Encouraging Continuous Improvement : OKRs are typically set on a quarterly basis, encouraging regular review and adjustment. This frequency allows businesses to assess what's working, identify bottlenecks, and adjust strategies swiftly, fostering a culture of continuous improvement. Fostering Agility : Since OKRs are designed to be ambitious yet achievable, they encourage innovation and stretch goals. If something isn't working, teams can quickly pivot their approach without waiting for long-term planning cycles, improving adaptability in a changing market. Enhancing Transparency and Communication : With OKRs, all team members can see the company's high-level objectives and how their work ties into those goals. This transparency builds trust and improves communication across departments, leading to more cohesive efforts and fewer misunderstandings. Measuring Progress and Outcomes : One of the core strengths of OKRs is that they focus on results, not just activity. By tracking progress on key results, businesses can easily evaluate the effectiveness of their initiatives and make data-driven decisions to refine their improvement efforts. Getting Started with OKRs A practical way to introduce OKRs is to start with three or four objectives for the entire year, set by leadership. Then, each department or team can define related objectives for each quarter that contribute to the broader company goals. This approach ensures that every team’s efforts are aligned with the company’s long-term success. By breaking big goals into smaller, trackable steps, businesses can stay agile, continuously improve, and ultimately drive greater impact. The Smart Way to Implement OKRs: Why Gradual Rollout Wins Implementing Objectives and Key Results (OKRs) can be a game-changer for business performance. They align teams, clarify priorities, and drive measurable outcomes. However, the enthusiasm to transform often leads businesses to implement OKRs company-wide too quickly, resulting in confusion, resistance, and underwhelming results. Here’s why a gradual rollout is the smarter strategy. 1. Minimise Disruption and Confusion OKRs introduce a new way of thinking about goals and performance. If everyone is expected to adapt simultaneously, it can overwhelm teams, disrupt workflows, and dilute focus. A gradual rollout allows for incremental change, giving teams the space to understand and integrate OKRs without derailing existing operations. 2. Learn and Adapt in Real Time No framework fits perfectly from day one. Rolling out OKRs gradually provides the opportunity to learn from real-world application. Early adopters can identify what works, what doesn’t, and why. This feedback loop helps refine the process before scaling, ensuring a more tailored and effective approach for the wider organisation. 3. Build Internal Champions Gradual implementation allows you to cultivate internal champions—people who understand the value of OKRs through firsthand experience. These champions can mentor others, share success stories, and create organic buy-in. Change driven from within is often more sustainable than top-down mandates. 4. Align with Organisational Culture OKRs thrive in cultures that value transparency, accountability, and continuous improvement. If your organisation isn’t fully there yet, a phased rollout helps bridge the gap. You can align OKR practices with your cultural nuances, gradually shifting mindsets and behaviours without creating friction. 5. Avoid Overcomplication Implementing OKRs across multiple teams at once can lead to overcomplication—too many objectives, conflicting priorities, and inconsistent practices. Starting small keeps things simple. You can focus on high-impact areas, ensuring clarity and coherence before expanding. 6. Demonstrate Quick Wins Quick wins boost morale and validate the process. A gradual rollout enables teams to showcase early successes, proving the value of OKRs in action. These wins build momentum, making it easier to scale the framework with confidence and enthusiasm. How to Roll Out OKRs Gradually Pilot with a Few Teams: Start with departments open to change or facing clear performance challenges. Gather Feedback: Regularly review what’s working and adjust accordingly. Scale Strategically: Expand to other teams based on readiness and capacity. Provide Ongoing Support: Offer training, resources, and coaching as needed. Celebrate Successes: Highlight achievements to reinforce the benefits of OKRs. OKRs are powerful, but their success hinges on thoughtful implementation. By rolling them out gradually, you give your organisation the best chance to adapt, learn, and thrive. Remember, it's not about how fast you implement—it's about how effectively you embed OKRs into the fabric of your business. How to Write Great OKRs OKRs (Objectives and Key Results) are powerful tools for driving focus, alignment, and measurable growth. But what separates great OKRs from the rest? It’s all about clarity, simplicity, and alignment with your business’s unique needs and cycles—whether you're focused on short-term priorities or long-term goals. The Basic OKR Formula: I will [objective] as measured by [key result] via [initiatives]. This simple template helps you and your team see the goal, the measurement, and the path clearly. Here’s how to break it down: 1. Crafting an Inspiring Objective The objective is the specific goal you’re aiming to accomplish. It can be personal, team-focused, or organisation-wide. Ask yourself: What’s the meaningful improvement we want to achieve? How do we define success in this area? Your objective should be ambitious yet achievable, providing motivation and a clear direction. 2. Defining Measurable Key Results The key results are the metrics that show your progress toward the objective. Aim for 3–5 key results per objective, ensuring they are: Specific: Clear enough that everyone understands what success looks like. Measurable: Use data or defined milestones to track progress. Time-bound: Set deadlines for completion or regular reporting. Assign ownership to ensure accountability for each key result. 3. Identifying Strategic Initiatives Initiatives are the core activities that will drive your key results. Ask yourself: What actions will have the biggest impact on achieving these outcomes? Are these activities aligned with our strategy? Limit initiatives to 3–5 per OKR to stay focused on what truly matters. Great OKRs don’t just measure success—they help create it. Keep them simple, aligned with your goals, and adaptable to your business’s evolving priorities. When done right, OKRs take the guesswork out of growth, making every effort count. OKR Best Practices for Business Success Objectives and Key Results (OKRs) are powerful tools for aligning teams, driving focus, and tracking measurable progress. To get the most out of them, it’s all about thoughtful implementation. 1. Set Clear, Inspiring Objectives Your objectives should be ambitious, concise, and motivating. They need to provide clear direction while inspiring teams to push beyond their comfort zones. 2. Make Key Results Specific and Measurable Key Results should be outcome-driven, not task-based. Ensure they are specific, quantifiable, and easy to track, giving your team a clear vision of what success looks like. 3. Define the Type: Committed vs. Aspirational OKRs Committed OKRs are realistic goals that teams agree can be accomplished within a set period. They represent clear, achievable targets. Aspirational OKRs are stretch goals designed to push teams beyond known limits. It’s okay if they aren’t fully achieved—they encourage growth and innovation. 4. Align with Organisational Goals Ensure your OKRs connect directly to the company’s broader mission and strategic priorities. This alignment keeps everyone focused on what truly matters and helps secure team buy-in. 5. Encourage Team Engagement OKRs work best when teams are actively involved. Encourage participation in the OKR-setting process, ensure everyone understands the ‘why’ behind the goals, and create space for regular feedback to identify areas for improvement. 6. Be Transparent and Keep Everyone Informed Visibility is key. Share OKRs openly across teams so everyone understands how their work contributes to the bigger picture. Regularly review and report progress, celebrating wins and making adjustments when necessary. 7. Take an Iterative Approach OKRs aren’t set in stone. Be patient—mastery comes with practice. Review them regularly, learn from outcomes, and refine your approach over time to continuously improve performance. OKRs aren’t just about hitting targets—they’re about continuous improvement, clarity, and driving meaningful outcomes. When done right, they take the guesswork out of growth. What is the Difference Between an OKR and a KPI? In the world of business performance, terms like OKRs (Objectives and Key Results) and KPIs (Key Performance Indicators) often pop up. While they’re both used to track and measure success, they serve different purposes and are key to driving results. So, let’s break them down and explore how they differ. 1. Purpose and Focus OKRs : These are goal-setting frameworks that help align efforts with broader organisational objectives. OKRs consist of an Objective (what you want to achieve) and Key Results (the measurable outcomes that indicate progress towards the objective). The primary focus is on strategic direction and aligning teams towards common goals. KPIs : Key Performance Indicators are metrics that measure how well an organisation is performing in a specific area. They focus on the monitoring of performance over time, helping businesses keep track of ongoing results, and often reflect operational success or failure. 2. Timeframe OKRs : OKRs are typically set for a defined period, often quarterly or annually. They are aspirational and should push teams to stretch beyond their usual performance levels. KPIs : KPIs are often ongoing and are measured continuously. They tend to be more steady, tracking regular performance metrics such as sales, customer satisfaction, or employee engagement. 3. Scope and Use OKRs : These are big-picture , often challenging goals meant to inspire and drive growth. For instance, an OKR might be, “Increase customer engagement by 30% in the next quarter,” with key results measuring engagement through metrics like app usage, customer feedback, and response rates. KPIs : These are specific performance indicators that track the effectiveness of a particular business function or process. A KPI could be something like “Achieve 95% on-time delivery rate” , or “Reach $100,000 in sales this quarter.” 4. Alignment and Strategy OKRs : OKRs help ensure that everyone in the organisation is working toward the same broader vision. They're used to align teams and set a clear strategic direction for growth and change. KPIs : KPIs tend to focus on individual or departmental performance. They can help track whether operations are running smoothly or if specific business processes need attention, but they don’t necessarily align teams to a larger strategic goal. 5. Flexibility OKRs : OKRs can be more flexible, especially when progress isn’t going as planned. Teams can adjust their key results or methods to achieve the objective, learning and iterating as they go. KPIs : KPIs are often fixed metrics, and they serve as benchmarks. If a KPI isn’t met, it could signal an issue that needs to be addressed, but KPIs themselves are not usually altered frequently. 6. Drive for Change vs. Monitor Progress OKRs : OKRs are about driving change —they should challenge teams to push beyond their comfort zones and think innovatively. KPIs : KPIs are about monitoring progress towards goals. If an organisation hits its KPIs, it means things are running as expected. The Bottom Line In short, OKRs and KPIs are complementary, but they are not the same. OKRs are goal-oriented and strategic, driving teams towards significant achievements. KPIs are operational and performance-based, focusing on the ongoing health of the business. Together, they help organisations stay on track and move forward with purpose, ensuring that the strategic vision (OKRs) is realised through the effective tracking of key operations (KPIs). So, while OKRs set the direction, KPIs measure the journey. Both are crucial to creating high-performance workflows and achieving business success. 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Companies can make a big difference in the fight for the environment in just a few steps, and the first step is in adopting a green growth business improvement strategy and ESG principles. 10 Green Growth Business Improvement Ideas Companies can make a big difference in the fight for the environment in just a few steps, and the first step is in adopting a green growth business improvement strategy and ESG principles. Air pollution, plastic in the oceans, global warming, deforestation, throwing tons of food away, earthquakes, and other weather problems are the main reasons why we are concerned about the environment and our common future. We are increasingly aware of the importance of taking care of nature and the environment and building a sustainable society in which not only individuals, but also communities, companies, and institutions have responsibility. The most serious problem is climate change, which has proven to be a consequence of human activity. Climate change can transform our planet and affect our food, water supply, and health. This is precisely why companies themselves must take responsibility and have a positive impact on the environment and the community through their work. Companies can make a big difference in the fight for the environment in just a few steps, and the first step is in adopting a green growth business improvement strategy and ESG principles. WHAT IS ENVIRONMENTAL, SOCIAL, AND CORPORATE GOVERNANCE (ESG)? The practice of Environmental, social, and corporate governance has greatly developed and expanded in the last ten years. Attitudes related to environmental protection and the desire for a better and greener future contributed to the development of this management model. Considering the consequences of climate change, companies - smaller and larger, are turning to socially responsible environmental businesses. The rapid development of this business model has spread thanks to the advocacy of market leaders who promote this way of corporate behaviour. ESG is a business model in which various companies operate and make efforts in order to preserve and improve the environment, contribute to nature, and provide society with a greener future. Find out below what all the benefits your company achieves through socially responsible business. BENEFITS OF ESG Increased engagement and motivation of employees Encourage professional and personal growth Builds a healthy corporate culture Reduction of financial costs and higher income Increased Brand Recognition Strengthening the company's brand Builds public trust Increased investment opportunities Expansion of the labour market Increased customer retention and loyalty New opportunities for representation in the media and press Greater Sustainability ESG plays a crucial role in a company’s brand perception and overall business success. It is one of the best ways to attract and retain a quality workforce, especially highly educated and professional people. Research has shown that employees of socially responsible business companies have higher motivation and productivity, higher quality of work, and are less likely to be absent from work. This business model opens up space for innovation by providing the company with access to new ideas, new perspectives, and experiences, and indicates the need for new products through contacts with new clients. 10 WAYS YOUR BUSINESS CAN CONTRIBUTE TO GREEN GROWTH Being environmentally friendly will have benefits not only for the environment and community but also for your business. You have surely read somewhere how you can contribute to the preservation of the environment, introduce sustainable development, reduce your company's costs, improve the image of your company, and become part of corporate social responsibility. You know you should make your business greener, but maybe you don't know where to start. Below, read 10 steps that will make your company greener and provide a healthier future for the community. 1. EMBRACE TECH Accept and implement new technologies in your business to reduce the use of resources and make your processes more efficient. Technology helps companies stay organized and keeps the business itself secure. With the digital transformation of your business, you will be able to get to know your clients and customers much more efficiently and contribute to them in more effective ways. This step makes your business more resilient to future changes. 2. SAVE ENERGY – SWITCH TO LED LIGHTBULBS Energy consumption varies depending on the type and volume of your business, but on average businesses can use between 15,000 and 25,000 kWh of energy per year. Increasing natural light in offices and business spaces is a great way to reduce energy, but it is also better for your health. For areas where natural light is simply not possible, use LED light bulbs. You can save energy, cut costs, and protect the environment at the same time by changing every light bulb in your space. 3. REDUCE ENERGY AND RESOURCE USE Use energy and resources more efficiently. Whether you work in a business space or from home, turn off devices that you are not using at the moment, improve insulation, recycle more, reduce paper printing as much as possible, use recycled materials, replace old devices with new ones that consume less electricity, etc. In this way, you will save money and contribute to reducing climate change and preserving the environment. 4. USE SUSTAINABLE PRODUCTS Nowadays, product sustainability is key to success. The items that a company buys to ensure everything it needs to run a successful business can often be extremely harmful to the environment. Every company should strive to use sustainable products that come from environmentally friendly or harmless sources. Using products that are made from recycled materials is a great step towards sustainable development. Replace classic toxic cleaners with green cleaners that you can find in every store today. Choose natural ingredients and protect your health and environment. 5. REDUCE PAPER WASTE Various business enterprises in the last few years have taken a big step by switching to paperless. However, the further reduction of paper use has not decreased sufficiently. You can reduce paper consumption in a few simple ways; encourage staff to minimally print documents but to keep them electronically, consider alternative paper materials for printing, recycle & shred paper documents, get rid of personal waste and set up recycle bins, etc. 6. CULTIVATE A ZERO-WASTE CULTURE The zero-waste way of doing business is becoming more and more popular and many companies of different sizes are applying it. Waste disposal costs have increased by more than 25% in the last 10 years. By sending less material to the landfill and returning the value of the goods with recycling, it will reduce the company's costs and contribute to sustainable development. You can introduce a zero-waste way of doing business through several steps – establish certain waste reduction goals, develop waste prevention and reduction strategies, engage your employees, etc. Zero-waste is the whole mindset that can contribute to benefitting your business. 7. SAVE WATER Saving water is a significant step towards responsible ecological business. Fixing leaky faucets can literally stop your business from wasting gallons of water. Improve water system assessment and maintenance and install water-saving equipment. Get your staff on board with reducing water consumption and show them how reducing water consumption can contribute to a greener future. 8. RECYCLE & REUSE Encouraging recycling and reusing is important in any green business. Try to reuse materials and items whenever possible. Encourage employees to use all good materials to the maximum, let them use both sides of the paper for printing and the like. When you cannot reuse a particular item, recycling is the best option. Reduce or eliminate single-use items from your workplace such as single-use paper. Use reusable packaging where possible and educate your employees on how they can contribute to reducing waste. 9. DO BUSINESS WITH GREEN BUSINESSES As a green business, you must maintain partners and companies that act in harmony with the environment and want to contribute to the healthy development of the community and society. Support local businesses, organic products, and all those who stand up for ecology. Becoming a sustainable business depends on the companies you support. 10. PROMOTE ECO-FRIENDLY AWARENESS AMONG YOUR EMPLOYEES, CUSTOMERS & CLIENTS It is important to not only show the world that you are now an eco-friendly business but also to promote this idea amongst your employees & clients. Make sure they know what products you use, what your corporate culture is, and what it means to be implementing green growth. One of the most important aspects of combating climate change is raising awareness. Educate your employees about the harmful effects of climate change, but show them ways they can contribute to developing a healthy future. Educating your employees is a great way to ensure that you are doing your part in raising awareness about going green. The awareness that companies are raising for climate change is important because it can affect people’s decisions that they make for themselves. ‘Green growth’ is surely a rising trend for businesses, but more than that it, is one of those ideas that can encourage long-term sustainable changes and savings. There are many things you can do to ensure a greener business and enable a better future. You can do this by raising awareness of the importance of ecology and sustainable development or by adopting a green policy. Whichever way you decide, you will certainly contribute to the reduction of climate change. With small steps, your business can become greener and more environmentally friendly, which contributes to the image of the company itself, healthier life, and a more successful business. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations offer clarity and a well-defined pathway for you and your team to move forward confidently. Get Started

Learn how to implement effective call ownership in your business to improve your customer service and ultimately increase profitability for your business. How to Implement Effective Call Ownership to Improve Your Customer Service Learn how to implement effective call ownership in your business to improve your customer service and ultimately increase profitability for your business. Published on: 25 Apr 2024 What do you think customers value the most in customer service experiences? Good phone manners? Empathy? Active listening skills? All these matter, but the research suggests the primary driver of outstanding customer service experiences is ownership. On the other end of the scale, the same study states that the primary driver of negative customer service experiences is a lack of willingness or ability to take ownership. That’s why we’re talking call ownership today. We’ll be covering: What is call ownership? Why is call ownership important? How to create a culture of ownership in your business How do you take ownership of a call What is Call Ownership? Let’s look at a typical negative customer service experience. A customer has a minor issue with a product. They can’t find the answer they need on your site, so they call you. Employee A takes the call but they’re not sure of the answer, so they say they’ll chase it up and get back to them. They email the relevant department later that day, but they’re on holiday the following day for a week. Employee B covers their work. The relevant department has emailed them back after a couple of days but Employee B doesn’t know who the information is for. The customer has called back and spoken to Employee C in the meantime, who also didn’t know the answer. They offer to contact the relevant department again, but the customer is frustrated and asks to escalate it to management as what was a minor issue is now a complaint. You can see how frustrating the experience would have been for the customer. All they wanted was a quick and simple resolution. Although all the employees involved had great phone skills , they were lacking in one key ingredient — call ownership. Had any of the employees taken ownership of the call, the customer’s issue would have been resolved much faster and left them with a better overall customer experience . As you can see from the example, call ownership can be defined simply as: “Call advisors taking ownership of customer queries and issues so they can be resolved more promptly and deliver a better customer experience.” Why is Call Ownership Important? Our example above should make it simple why call ownership is so vital for any business where customers can contact them via the phone. Without call ownership, you’ll be delivering a poor customer service experience — and we’ve written all about the cost of bad customer service previously. Many businesses forget just how vital the phone is as a communication channel for their business in an increasingly digitized world. The reality is, studies show the phone remains the second most common method of communication, following email in first place. The same study looked at the expected benefits customers associate with using different channels of communication. The phone was associated with the following benefits more than any other communication channel: Friendliness and approachability Ease of communication A good customer experience Ability to easily register a complaint Having a complaint resolved quickly Quick answers to complex questions Getting detailed/expert answers As you can see, almost all of these benefits revolve around responsiveness, which is a key factor within call ownership. Businesses who empower their employees to be able to meet these expectations and take ownership of calls will deliver better customer service experiences. This is vital as customer service is key to business growth. Here’s some quick statistics to drive home this point: 72% of customers expect businesses to understand their needs and be treated as unique individuals. 66% of customers will switch brands if they feel they’re not being treated as an individual. 73% of customers stay loyal to brands thanks to friendly customer service advisors. 77% of customers will tell others about a positive brand experience. 67% of customers will pay more for a better customer service experience. 50% of customers increase purchasing with a brand after a positive experience. What all this means is putting a focus on delivering a great customer experience by prioritising call ownership can increase your customer retention rate, customer loyalty, customer lifetime value, as well as improve your word-of-mouth marketing. It’s not just your customers who benefit either. Your employees do too. Companies that invest in customer experience see employee engagement rates increase by around 20% on average. Engaged employees are more likely to deliver better service, with 87% of employees who are happy with their jobs saying they’re willing to work extremely hard for customers. All this to say, call ownership is vital for businesses. But it isn’t implemented at an individual level. It all starts with a culture of ownership. How to Create a Culture of Call Ownership in Your Business Call ownership is everyone’s responsibility. After all, a burned out, stressed out employee is far less likely to want to take ownership over a customer’s query than an engaged, empowered employee. That’s why call ownership needs to start with the leaders of the business. Once these foundations are in place, you can implement the changes that allow and encourage individual employees to take ownership of calls. You can implement a culture of ownership in your business by: Changing the hierarchy mindset A safe environment Training and resources on your services or products Excellent internal communications We’ll look at each briefly. Change the Hierarchy Mindset Many businesses are still stuck in the command-and-control management hierarchy. But it doesn’t work. There’s a reason the market leading companies are the market leaders and it’s because they’re leaving this dated mindset behind and instead becoming learning organisations . These organisations are bottom-up organisational structures where communications and ideas can flow freely. For call ownership, this means customer-facing staff are truly valued. Their opinions are heard and their suggestions on important changes that could benefit the customer service experience are implemented. You can see how this organisational structure can help engage employees and ultimately encourage them to take ownership of problems as they know they are valued and supported within the company. A Safe Environment Closely linked to the above, employees will be reluctant to take ownership of a problem if they feel like there’s likely to be negative consequences for it. You need to create an environment wherein if an employee takes a risk, they’re not worried about it. They know they have the support they need. Training and Resources In our example earlier on, we said the employee didn’t know the answer. How easily could the issue have been avoided had they already known the answer to the customer’s query! This is why it’s so important to invest in training for your employees. Your employees should be trained and have regular refresher training in your products or services, as well as customer service skills training. This allows them to be the experts of your brand so when queries do crop up, they’re confident and happy to take ownership of them. Alongside this training, your employees should also have clear, easily accessible resources so they can quickly find answers to less common queries. Knowledge shouldn’t be ring-fenced by particular departments, but shared among all. Excellent Internal Communications Many customer service staff are held back by a lack of effective internal communications. They don’t have the latest information they need to deliver the best service to your customers. Improving your internal communications allows important information to flow freely throughout your business so anyone who might need it has it quickly. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

A Business Impact Analysis (BIA) is a systematic procedure for assessing the possible implications of a disruption to essential business operations. What is a Business Impact Analysis (BIA)? A business impact analysis (BIA) is a systematic procedure for assessing the possible implications of a disruption to essential business operations due to a catastrophe, accident, or emergency. Published on: 12 Jan 2023 The business continuity plan of an organisation must include a BIA. It has an investigative component to find any threats and vulnerabilities and a planning component to create risk-reduction plans. The result is a business impact analysis report that details the potential risks unique to the enterprise under study. Before the internet, social media, and artificial intelligence, a company could prepare a five-year business plan, develop a strategy, and then put the plan into practice. Similarly, a Business Impact Analysis might be developed to find future business continuity threats. The study might then be evaluated, risk mitigation measures developed, and then put on hold until the day a significant occurrence might necessitate their implementation. Today, controlling business disruption is business as usual, and having a disaster radar on round-the-clock is a tool every organisation needs. A firm will be thrown off track by all minor disturbances, not just one major one. By assessing possible business weaknesses, business gets a much more complete picture of their business risks and opportunities for improved business performance and how best to allocate resources today and in the event of an unforeseen and potentially catastrophic event. Awareness of the internal and external factors impacting business growth today and tomorrow improve business decision-making. Business disruption comes in many forms, whether due to competition, technology, the economy or regulation, amongst many other possibilities. Businesses seldom die from a single disruption but more commonly from mini troubles that may go unseen or unknown. When a larger, more obvious disorder occurs, this can bring the end, but it was probably not the real underlying cause of the failure. According to systemic leadership, a disruption in one area of the organisation will impact all other areas. These disruptions exist quantitatively and qualitatively and may impact the environment, employees, the larger community, and society. What Is Business Analysis? The business analysis uses IT systems, staff development, procedures, and business systems to pinpoint business problems, create solutions, and address them. Software development, process enhancements, organisational change, company transformation, and policy revisions may all be involved. The business analysis aims to reduce risk and increase the value of any change program for its constituents. They will consider all stakeholders as part of a stakeholder capitalism program when doing a business analysis that covers Environmental, Social, and Governance (ESG) factors and their effects on growth and profitability. This may include the rules and regulations about ESG compliance. ESG factors are becoming more and more significant to investors, employees, and customers. To maintain or boost individual and corporate productivity, they will work to maximise flow for the organisation, teams, departments, and personnel. Business analysis is determining and outlining the demands of an organisation’s operations and suggesting solutions to meet those needs. A business analyst’s job is to serve as a liaison between the technical team and the business stakeholders, ensuring that the created resolution satisfies their needs. A business analyst can offer insights that can guide decision-making and assist an organisation in achieving its objectives. They also considers the impact on stakeholders by collecting and analysing data and comments from stakeholders. Furthermore, business analysis can assist in locating new opportunities, places for improvement, and prospective growth areas and generate solutions that may result in business success, cost savings, increased revenue, and, therefore, benefits for shareholders. Overall, business analysis is essential to guarantee the long-term success of the company by bringing stakeholders’ interests and the company’s goals into alignment. Business Continuity Planning (BCP) The IT department of a corporation frequently develops a business continuity plan to reduce the risks of an unforeseen incident, like a flood or fire. It’s a proactive procedure that finds the company’s flaws and crisis-related vulnerabilities. Its purpose is to help avoid unplanned downtime and recover from it. It will go over the processes and systems that must be kept up in a crisis, like a server failure, a pandemic, or a natural disaster. The BCP must be maintained and regularly updated as it contains key information essential to the organisation’s successful operational performance. It should be tested to find any flaws so that they can be fixed and procedures updated. Its purpose: · To hasten a company’s ability to recover from an unplanned, major business incident. · Understanding potential threats to ongoing business performance and determining the necessary responses in the case of an unforeseen and unscheduled business event are made easier for a company, its directors, and senior personnel using this tool. This helps minimise any negative effects on the business’s finances and retain consumers. · Any unplanned business event will be lessened by a BCP, which will also help to maintain the company’s financial viability. · It will contain important policy details, contact information for key employees and other stakeholders, and crucial procedures to help implement any business recovery quickly and successfully. · Any single points of failure, current risk mitigation techniques, and the expertise required to recover from an incident will all be identified. BS 25999 and ISO 22301 BS 25999 and ISO 22301 are international standards for business continuity management (BCM). BCM is organising, creating, and upholding policies and procedures that businesses can utilise to lessen the effects of disruptions and go on during an emergency or catastrophe. A British standard for BCM called BS 25999 was initially released in 2007. It offers recommendations for businesses on how to set up and maintain a BCM system, including how to do risk analyses, create business continuity plans, and run tests to see how well they work. ISO 22301 eventually took the place of BS 25999. A global standard for BCM called ISO 22301 was originally released in 2012. Although it is based on BS 25999, additional international BCM standards are also included. Similar to BS 25999, ISO 22301 offers instructions for businesses on how to set up and manage a BCM system. This includes how to carry out risk analyses, create business continuity plans, and carry out exercises to evaluate the viability of those plans. It offers a more thorough approach, though, and is used everywhere. The BCM systems of organisations can be developed and implemented using the frameworks provided by BS 25999 and ISO 22301. They can also be used to verify the efficacy of a BCM system. Organisations that have earned certification following one of these standards have proven that they have implemented the best BCM practices. That shows they are better equipped to manage interruptions and carry on with business in the case of an incident or crisis. Why Complete a BIA? It might not seem vital to spend the time and use up important resources on a BIA right now. Maybe you believe you already have one, but when was it finished? If your company hasn’t changed significantly, you might believe it isn’t necessary, not business-critical, or not a top priority. You might think that an audit is the only use for it. So, these are a few justifications for finishing a business impact report: · It provides a chance to examine business processes, their interrelationships, and the IT systems utilised in those processes. · You’ll be able to identify any flaws, such as the lack of data backup or the need for a few key employees who are the only ones with the necessary system knowledge. · You may see how various departments and groups interact and how that might be enhanced. You can learn how things are done. Work frequently follows the path of least resistance, but is this always the optimal course of action or is it simply how people perceive things to be done? · Plans for important IT and catastrophe recovery are examined to see if they can improve. Compliance with regulations is verified and validated. · It may be possible to eliminate fees for things that are no longer used, such as applications, insurance, and licenses. · The organisation’s pulse is measured to see whether there is a potential danger to the resilience of the business, and critical processes, functions, roles, and departments are identified. · You leave with a much better comprehension of the business risks and prospects for increased business success. Everyone has the chance to learn more about the company they work for. Additionally, individuals appreciate when management is interested in them, their role, and the dangers involved. Negative Results Of Business Disruptions Brand and Reputational Damage It can harm an organisation’s reputation, which can cause customers, partners, and other stakeholders to lose faith in and credibility with it. This may result in a decline in sales and difficult-to-repair brand damage. Reduced or Delayed Cashflow It can result in a decrease in revenue and an increase in expenses, which can hurt an organisation’s cash flow. This may make it challenging for a firm to fulfil its financial commitments, such as paying its employees and expenses, and may result in financial trouble. Lost Sales and Income Because clients would not be able to acquire goods or services or could decide to work with a rival, business disruptions can result in a loss of sales and income. This can majorly affect an organisation’s financial performance, which can be catastrophic for small enterprises. Increased Expenses and Overheads Costs associated with repairs and recovery activities are only two examples of how business disruptions can raise expenses. This may hurt an organisation’s cash flow and profitability and make it more challenging to bounce back from the trouble. Fines and Contractual Breaches If a company cannot fulfil its commitments under contracts or laws, business disruptions may result in fines and penalties. This has the potential to be expensive and harm an organisation’s reputation. Bad feelings and impact on the business culture and operating environment can also affect relationships with suppliers and other stakeholders, staff morale, and productivity. An organisation may find it difficult to bounce back from the interruption, which may negatively affect the operating environment and corporate culture. Structural Business Impact Disruptions Include 1. Natural catastrophes can cause damage to structures, rendering them unusable. 2. Failure of IT systems, manufacturing machinery, or transportation vehicles can cause operations to be disrupted. 3. Issues with the supplier: Delivery, quality, or availability issues for goods or services might cause operations to be disrupted. 4. Power outages can cause activities to be disrupted by making it difficult or impossible to use equipment and systems that depend on energy. 5. Data loss: Operations can be hampered by the loss of crucial data, including financial, customer, or inventory information. 6. Absenteeism among employees: Excessive absenteeism can cause operations to suffer, making it challenging to finish tasks and projects. Impacts That May Affect The Business Strategy Competitor action By altering the competitive environment and influencing consumer demand for a company’s goods or services, competitor activity, such as new product launches or pricing changes, can impact a company’s strategy. Failure in marketing A business’s strategy may be impacted by a marketing failure, such as an unsuccessful advertising campaign, which lowers the demand for the company’s goods or services. Product or service failure A product or service failure, such as a recall or a technical problem, can impact a company’s strategy by decreasing consumer satisfaction and faith in the company. Declining working culture A company’s strategy may be impacted by a deterioration in the working culture within the firm since it may lower staff morale and productivity, which may result in a drop in the calibre of goods and services. Declining working environment Employee dissatisfaction and productivity can be negatively impacted by a reduced working environment, such as inadequate facilities or equipment, which can affect a company’s strategy. Increased workload and stress levels Increasing staff productivity, motivation, and contentment can hurt a company’s strategy. New directors or managers with different values Changes in organisational direction brought about by hiring new directors or managers with different values can impact a company’s strategy, which can lower productivity by confusing and unsettling staff. Typical Phases Of A Business Impact Analysis Define And Agree To The Objectives And Scope Of The BIA This stage is essential for making sure the BIA is concentrated on the business areas that are most important to the organisation and that the analysis’s findings will be beneficial to it. Senior management agrees on the objectives and scope of the BIA Preparation Of Team This step entails selecting the people and organisations in charge of carrying out the study and ensuring they have the abilities, information, and resources required to do so successfully. Additionally, it’s crucial to make sure the team members are properly trained and equipped, including with the tools and information they need to conduct the BIA. Collect Relevant Data And Information The BIA lead or team gathers the needed data from the necessary staff members, systems, and outside sources. To ensure accountability, make sure senior leaders are participating. Consider listing the following information for each process under review: process name, process purpose, process inputs and outputs, process timings, participants, pertinent data, IT systems, and effects or contributions to the business on the legal, financial, reputational, and operational levels. Information Review And Analysis To determine the potential effects of disruptions on the business, this stage entails gathering, analysing, and evaluating data on the organisation and its crucial operations. The information is then examined to ascertain how various disruptions might impact the firm and its operations. In addition to evaluating potential threats to the organisation’s reputation, brand, and long-term viability, this can also include determining the possible effects of interruptions on revenue, costs, and other financial measurements. The team will also assess how various organisational components are interconnected and dependent on one another and how disturbances in one business area may impact other areas. Business Report Creation Create the BIA report with the team, evaluate it with the contributors, and distribute it to the appropriate senior leaders. This step entails writing information that includes suggestions for addressing identified risks and vulnerabilities and summarising the BIA’s findings. An executive summary, an explanation of the BIA methodology, a list of essential business operations and possible effects, a risk assessment, and a recovery plan might all be included in the report. Recommendations Review The team will consider various potential remedies throughout the recommendations assessment to address the noted risks and consequences. Examples of these solutions include implementing new practices, guidelines, or processes, acquiring new tools etc. The team will assess each solution’s viability, cost, and advantages while considering the organisation’s resources. Ongoing Review And BIA Maintenance The BIA should be periodically reviewed and updated to ensure that the data and suggestions are still valid and pertinent. This can be done regularly, such as once a year, or in reaction to adjustments made to the organisation’s activities, including the introduction of new goods or services, modifications made to the regulatory landscape, or adjustments made to the organisation’s risk profile. Critical Success Factors For A BIA · Senior management support: For a BIA to be successful, senior management must be committed and supportive. They must recognise its significance and be prepared to offer the resources and assistance required. · Clear objectives and scope: To ensure that the BIA is focused and pertinent to the organisation’s BCM program, it is crucial to identify its goals and scope explicitly. · Skilled and experienced team: A BIA needs a group of knowledgeable, experienced persons with the skills and information required to carry out the analysis successfully. · Accurate and relevant data: For the BIA process, accurate and pertinent data is crucial. Without it, the analysis will probably be flawed, and the suggestions might not work. · Communication and stakeholder engagement: To get information and input from key stakeholders, including employees, clients, and suppliers, effective communication and stakeholder engagement are crucial. · Maintenance and Regular review: A BIA should be reviewed and updated regularly to ensure the data and suggestions it provides are still accurate and useful. · Implementation and testing: This is essential to ensuring that the organisation is ready to respond to and recover from disruptions. Disaster Recovery Planning Once the BIA is finished, an emergency response plan can be developed. Time must be spent on disaster recovery planning once the processes, procedures, systems, and data are essential for the business’s continued operation after an otherwise terrible occurrence has been identified. For instance, it is important first to comprehend how a flood or fire would likely affect clients, employees, revenue, partners, and suppliers. A disaster recovery plan can be made to restore or safeguard crucial infrastructure, applications, and data after a significant outage to save downtime. Determining recovery time goals and recovery point objectives(RPO) is a crucial component of the disaster recovery plan. Recovery time targets describe how long it should take to resume regular business operations and the associated costs and effects on the company. Furthermore, recovery point objectives discuss the potential loss of data and its impact on the company. BIA and Risk assessment Both the Business Impact Analysis (BIA) and the Risk Assessment processes are crucial in identifying and assessing potential effects on a business. They do, however, have some glaring parallels and divergences. Similarities · Identification and evaluation of potential effects on an organisation are made using BIA and risk assessment. · It is necessary to identify crucial business functions and their connections for BIA and risk assessments. · Evaluating potential effects and likelihood of occurrence is a component of both BIA and risk assessment. · Plans for mitigation and recovery are created using both BIA and risk assessment. Differences between the BIA and Risk assessment · Risk Assessment focuses on determining the likelihood and potential severity of a disruption, while BIA focuses on assessing the impact of an upset on the company. · While Risk Assessment focuses on locating potential sources of disruptions and the possibility that they will occur, BIA concentrates on finding essential business operations and their interdependence. · BIA determines the impact of disorders on the company, while Risk Assessment assesses the likelihood and potential severity of disruptions. · While Risk Assessment is used to discover and assess potential risks and vulnerabilities in the company, BIA is used to create mitigation and recovery plans to deal with the effects of disruptions. Common Challenges With Business Analysis Impact The process of doing a business impact analysis (BIA) can be difficult and complex, and there are many problems that firms frequently run into. These difficulties include: Difficulty identifying critical functions Finding the tasks that are essential to the ongoing running of the business is one of the major problems of a BIA. This can be challenging since different departments or functions within an organisation may have different viewpoints on what constitutes a critical function. Assessing a function’s criticality might be an arbitrary procedure. Lack of data Lack of data and knowledge is another frequent issue. It can be challenging to analyse the possible effects of disruptions on the business effectively and to make well-informed decisions about mitigating those consequences without precise and pertinent data. Limited alignment with organisational goals Activities related to business analysis could not necessarily align with the organisation’s broader aims and objectives, which would have an unreasonable impact. Difficulty in communicating the impact Business analysts could have trouble explaining to stakeholders how their actions would affect them, which could result in a lack of understanding and support. Limited collaboration and communication Business analysts could not have the requisite stakeholder collaboration and communication skills, which would restrict their impact. Limited knowledge and abilities Business analysts may lack the information and skills needed to conduct business analysis operations efficiently, which will have little impact. Limited time Business analysts might only have a short amount of time to accomplish business analysis tasks, which could affect the deliverables’ accuracy and thoroughness. Conclusion BIA can assist firms in creating efficient mitigation and recovery plans that lessen the effects of disruptions and help preserve operational continuity by recognising potential risks and vulnerabilities. As a result, businesses can lower their environmental impact and increase the sustainability of their operations. This enhances people’s lives by maintaining access to basic services, and secure the world’s future by minimising disruptions’ effects on the global economy and society. The entire health of the earth and society can be improved by organisations becoming more resilient, sustainable, and proactive in managing risks with the aid of BIA. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Customer-centricity helps businesses outshine the competition. Learn more about the benefits of customer-centricity and how your business can do the same. 4 Benefits Of Being a Customer Centric Business Companies have always created value for their customers but those with more than a simple customer focus have created real and long-lasting business value. Published on: 13 Dec 2018 Companies have always created value for their customers but those with more than a simple customer focus have created real and long-lasting business value. Today customer-centricity means much more than before, referring to business and digital transformation, customer engagement and customer experience management. However this is more than just people, process and technology, it’s about the culture of the company, how the company sees itself, its employees, partners and suppliers within a bigger, rapidly changing picture driven by the “connectedness” of everything and everyone. What does a high-performance company culture look like? Corporate social media and a customer centric culture Social media has created a knowledgeable and powerful customer-base so companies must improve their customer understanding to create an unrivaled customer experience that maintains and extends their competitive advantage. Using social data to create a more personalised customer interaction will be at the heart of customer centric service, moving from a product-centric to a customer centric business. The future of corporate social media is customer centricity, becoming more customer centric is key. Social media has changed the way customers behave. Achieving a deeper customer understanding from social data is important in implementing a customer centric model. A customer-centric culture will improve customer satisfaction levels leading to increased referrals, customer lifetime value and more positive reviews. Customer centricity is built on an employee centric culture To be a customer centric business you need to be employee centric first. Establishing ways to engage your workforce, bringing their day to day experiences of delivering value to your customers into your decision making processes will help to create the right customer service focus. You need the most engaged, loyal, and customer-centered employees like that of Disney, Virgin and Zappos. The customer centric business sees suppliers, partners and employees as customers too interacting and dealing with the company as they do. The internal customer is also key. For an exceptional customer experience to be delivered externally, employees need to show the same dedication to internal customer service too. They need to feel valued by each other, supported by the organisation and with a shared vision of success, including with the senior management team. This high performance corporate culture needs to be aligned with the business strategy. So while a highly engaged and motivated workforce is essential for achieving the strategic objectives and goals if it’s not properly aligned you’ll pulled in the wrong direction. For example if the goal was to sell more to existing clients or deliver your services at a lower cost than your rivals. The adjustment from product, job or work focus to a customer behaviour focus may take some time so to mitigate the impact of that, employees need to be on-board with the change, feel a part of it, rather than have it imposed on them. If they do not feel engaged, they will not feel any ownership. This, then, requires the senior team, management to set a corporate goal of engaging with the workforce, motivating them and creating the high-performance company culture they desire. Managing customer centric innovation requires a focus on delivering market leading customer satisfaction, from reviewing the current product or service definition to the teams behind delivering an extended customer lifetime value. Benefits of Customer-Centricity Establish cost saving opportunities. By delivering your products and services more efficiently you can identify hidden cost saving opportunities. Delivering your product or service right first time, in the minimum time frame, makes your company more productive. Identify opportunities for growth In getting closer to your customers and your market you’ll discover new ways to sell or promote your services, new niches you could target to raise revenues. Evolve a differentiated service and a unique competitive advantage Your company will have its own way of doing business, you may not know just what your customers like about the way you work, the way you deliver your value. What makes you unique to your customers, why did they buy from you? If you don’t know or your customers don’t recognise it themselves, then being customer centric will help you develop and promote your unique competitive advantage. Build a productive company culture A focus on customer service will create a more rewarding company to work for, a more rewarding company culture. It is hard to find a top performing company that does not have its employees’ well being, training, support and involvement as an important focus of their operations. By becoming customer-centric, you become more empathetic. You can use customer empathy to better understand your customers and deliver better customer experiences. Ultimately, allowing your business to get ahead of the competition by doing so. We Can Transform Your Business If you’d like to enjoy the benefits of customer-centricity mentioned above, we can help. We’ll transform your company culture to make it a place your employees love working. They’ll be more productive and deliver better customer service, putting you miles ahead of the competition. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

Becoming a learning organisation can help your business thrive. Organisational structure plays a crucial role in creating a learning environment. How To Create A Learning Organisation Becoming a learning organisation can help your business thrive. Organisational structure plays a crucial role in creating a learning environment. Published on: 12 Nov 2020 A Learning Organisation is one that is constantly improving itself and adapting to changing market conditions. In the 21st century only Learning Organisations will survive and thrive. How effectively each Learning Organisation learns will define which of that group survives. The ability of a company to quickly adapt will be a key differentiator between the winners and losers of tomorrow’s businesses. But change is hard for any organisation and us as individuals so learning how to create a Learning Organisation has to-date not been straight forward. Peter M. Senge coined the term “The Learning Organisation” in his book The Fifth Discipline. In the Fifth Discipline , he proposed Learning Organisations had these 5 characteristics: Systems Thinking You can think of a company as a living thing, made up of people as it is. The term Organisation contains the word “organ” which comes from the Greek Organon, meaning ‘organ’. Personal Mastery The capability for each employee to continuously improve their expertise in their respective roles. Mental Model This relates to the way we individually see the world, the organisation and ourselves. Positive behaviours and attitudes are needed to create a culture that promotes learning. Shared Vision A shared vision between the staff, managers, directors and owners on a personal and organisational level. Team Learning This is the ability of an organisation to easily share knowledge between staff, departments and functions. Command and Control Organisation To create a learning organisation we need to invert the organisational pyramid as a top-down, command and control model does not facilitate trust, openness or the sharing of information. It is a very transactional way of organising things with tightly defined job descriptions, roles, goals and targets which only serves to constrain learning. This is the clockwork view of running a business, a very mechanistic way of doing things. You might say 100 years ago or even 50 years ago it was the only way to run a business, to keep control. It was just easier to tell people what to do and when there is little competition and lots of demand, it didn’t much matter that employees didn’t much like it. It was the price they paid for having a job and an income. This model goes back to Frederick Winslow Taylor who is 1911 published his “The Principles of Scientific Management” on industrial organisation and decision theory. Essentially he believed work should be broken into small, very efficient work packages and the worker only got paid his full salary only if a good job was done, as defined by the manager. At that time the vast majority of the workers were manual workers with very few people in charge. Manual workers weren’t expected to design the process, just do the process. The thinking was that they were only motivated by their salary which they then only got if they followed the given process quickly and accurately. Now we have the Knowledge Worker, a term first used by Peter Drucker in 1966. The knowledge worker is rewarded for the use of their brains more than they are their hands. Knowledge workers don’t need or want to be told what to do, but instead helped and supported in their work to do it more effectively. This is another reason that the top-down, command and control organisational structure is yesterday’s organisational structure. From this point forward we can consider everybody to be a “knowledge worker”, even in a manual role as most people understand we all like to feel involved with what we do, not just doing it. How Does an Organisational Structure Create a Learning Environment? Organisational structure plays a crucial role in creating a learning environment within an organisation. An organisational structure that emphasises communication, knowledge sharing, learning opportunities, empowerment, and adaptability can create a conducive learning environment. By providing the necessary resources, support, and culture, organisations can foster a continuous learning mindset, leading to individual and collective growth. Here are some ways in which organisational structure can contribute to fostering a learning environment: 1. Clear Communication Channels: A well-defined organisational structure provides clear communication channels and reporting lines. This clarity ensures that information, knowledge, and feedback flow efficiently throughout the organisation. When communication is transparent and accessible, employees can easily share ideas, seek feedback, and learn from one another. 2. Knowledge Sharing: An effective organisational structure encourages knowledge sharing among employees. This can be achieved through various mechanisms such as regular team meetings, cross-functional collaborations, mentorship programs, and communities of practice. By sharing their expertise, experiences, and insights, employees can learn from one another and develop new skills. 3. Learning Opportunities: A learning-focused organisational structure provides formal and informal learning opportunities. It may include training programs, workshops, conferences, webinars, and other learning initiatives. By investing in employee development and providing resources for learning, organisations signal the importance of continuous learning and create an environment where individuals are encouraged to expand their knowledge and skills. 4. Empowerment and Autonomy: An organisational structure that promotes empowerment and autonomy enables employees to take ownership of their learning and growth. When individuals have the freedom to make decisions, experiment, and learn from their experiences, they become more engaged and motivated. This can lead to a culture of innovation and continuous improvement. 5. Learning from Mistakes: A learning environment encourages employees to view mistakes as opportunities for growth rather than failures. In a well-designed organisational structure, individuals are given the space to take calculated risks, learn from their mistakes, and share those lessons with others. This helps to foster a culture of learning, resilience, and adaptability. 6. Agile and Adaptive Structure: Organisations that embrace an agile and adaptive structure are better equipped to respond to changes in the business environment. This flexibility allows them to quickly learn and adapt to new challenges, market trends, and technological advancements. By promoting a culture of experimentation and learning, employees are encouraged to explore new ideas, test hypotheses, and continuously improve their work processes. How to Create a Learning Organisation In the command and control organisation the vision is just about where you’re heading, the destination. Employees are told what to think and believe, but if they want to know why they are doing something, the bigger picture, the vision gives them that. In the Learning Organisation, you need more in the Vision: Where are we heading, what is our destination? Where are we now? What do we believe, who are we? It’s advantageous to put this all into the Vision statement . When this isn’t the case, you lose focus, something you can’t afford to have in a Learning Organisation. Core values, behaviours, the vision and mission statements get diluted and forgotten. So whenever the Vision statement comes up, you remind yourself of who you are, where you are going and why you will get there. This is much more useful than just where you’re going. To be an effective organisation there needs to be alignment across all staff, roles, functions and departments to provide a clear sense of direction and purpose. So a common understanding of the challenges in front of us today, where the company is heading and why we can get there and who we are, is key. Without the top-down direction, only the values and beliefs of the organisation hold it together. These values and beliefs create the behaviours required of everybody to achieve the desired business goals. 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Discover how to improve business productivity by transforming your business into a learning organisation How to Improve Business Productivity Discover how to improve business productivity by transforming your business into a learning organisation Published on: 12 May 2022 Business Productivity and the Economy Small businesses are the driving force of the UK economy; making up a whopping 99.3% of private sector businesses. They employ over 16.3 million people and account for £2 trillion of annual turnover in the UK. All this is to say, if we could improve small business productivity in the UK, the benefits would be far-reaching. Not just for businesses and employees themselves, but for wider society. It means increased taxable income for the government, increased wages for employees and more money circulating in society. All in all, it’s good news for everyone if small businesses increased their productivity. The same paper cited above states that there are two main roadblocks for SME productivity — access to finance and poor management practices. The government has introduced a whole host of financial support to address the former. But the latter remains problematic for many small businesses. While management styles aren’t the only thing hampering business productivity, they’re certainly the largest one. Despite research and studies showing that the old command-and-control management style produces poor results in regard to productivity, many SMEs seem reluctant to let go of it. For us, addressing productivity in small businesses, or large, means addressing the way you think about business in general. Improve Business Productivity by Becoming a Learning Organisation While most of the articles around small business productivity will address basic tips like organisation and delegation ( and we’ll get to those ), we actually think it needs to be thought of more broadly. So many businesses are stuck in a traditional mindset. A strange idea that management should do the thinking, while employees do the tasks. It’s profit-driven and while many might proclaim to be customer-centric, the reality is that it’s profit-centric. This has been the prevailing mindset in SMEs and larger businesses for years. Yet, UK productivity has still continued to lag behind the G7 nations. Clearly, something’s got to give. This is where the idea of a learning organisation comes in. It’s by no means a new concept, in fact, it’s been around for decades. In simple terms, a learning organisation is a company that continuously facilitates the learning of its employees and transforms itself accordingly. It’s a hard concept to get your head around if you’ve not seen it first hand, so we’ll use some examples, albeit from larger companies. Business Productivity Examples to Inspire You Adobe is the top of their game when it comes to business productivity and this all comes down to the fact that they’re a self-proclaimed learning organisation. They’re continuously recognised as one of the best places to work for by Fortune Magazine due to their commitment to their staff. They do all the things you’d expect of a leading tech company. They offer incredible benefits for their staff, insist on transparency and communication and recruit from under-represented communities. But more than this, they’ve created their award-winning programme Kickbox. This programme encourages innovation and risk-taking, whatever the outcome. Any staff member can request it and they’re given a box containing a $1000 prepaid credit card to explore an idea. No questions asked. It’s an incredible amount of trust and faith in your employees that inspires and engages them to bring their best ideas to the table. Next up, another tech company that should be no surprise, Google. Google is a model for corporate learning culture. Employees set their own schedules and collaborate as they see fit across departments. Similar to the above, they’ve gone beyond the expectations of leading tech company benefits with their management research. Google wanted to find out what made a great manager. So they found the data through reviewing performance ratings and employee surveys to find a pattern in what made them great. All said, they found 10 behaviours that consistently made for great managers. The behaviours themselves are all the things you’d expect to find in a great manager; good communication skills, inclusivity, vision, technical skills and more. The important thing is they then took this information and applied it to their recruitment processes. So they’d only get the very best for their employees and their business. There are plenty more examples, often from tech companies. But the takeaway shouldn’t be that tech companies have a commonality in their benefits and work culture. They’re not succeeding solely because they’re in the tech industry, they’re succeeding because of the work culture they create. The takeaway should be that all businesses, regardless of industry, should be striving to create the same culture so they might also be as successful. How to Improve Business Productivity We’ve explained the overall concept of a learning organisation, and we’ve given examples. But how do you realistically implement it in your own small business? Our business productivity solutions is one way. It’s a good question. You haven’t got the resources that the market leaders above do. But that doesn’t mean you can’t make changes to your organisational structure to transform your business into a productivity powerhouse. Create Operational Excellence Creating operational excellence is paramount for boosting business profitability due to its multifaceted advantages. Firstly, streamlined operations reduce costs by minimising waste, optimising resources, and enhancing productivity. Efficiency gains translate into direct savings, which directly bolster the bottom line. Secondly, operational excellence creates consistency and reliability in delivering products or services, thereby enhancing customer satisfaction and loyalty. Satisfied customers are more likely to return and recommend the business to others, thereby expanding the customer base and increasing revenue. Moreover, a well-organised operation is better equipped to adapt to market changes and capitalise on emerging opportunities swiftly. This agility is crucial in today's dynamic business landscape. Additionally, operational excellence often involves creating a culture of continuous improvement and innovation, leading to long-term sustainability and competitiveness. Ultimately, businesses that prioritise operational excellence are better positioned to weather challenges, capitalise on growth opportunities, and ultimately, maximize profitability. Know Your Team This could be differently phrased as delegation, but we hate the terminology. The reality is you’ve hired certain individuals because they’re great at what they do. So why are you still so involved? Trust your staff to do the job you hired them to do. This means knowing your team members and their strengths and delegating to them wherever possible. Don’t demand constant updates or always need to be involved in a project. Ask for periodic reports and ensure if your staff need support or have queries, they can come to you anytime. Hire Well Hiring is a tricky business. It’s why recruitment agencies do so well, there’s almost an art to it. Hiring the person who will work for the least amount of money isn’t always your best option. Hiring the manager with great corporate experience doesn’t mean they have the best people skills. Hiring the person bursting with ideas doesn’t mean they’ll be able to strategise. Hiring requires a certain balance of the right skill and the right person to fit into existing teams. They need to match your company values and ethos. Advertise in the kind of areas you would want your potential employees to be searching, such as LinkedIn or other social media. Use personality tests to better understand yourself and your employees. Motivate Your Staff A happy, engaged employee is every business’ dream. They’re more productive, creative and innovative. All that energy is given back into your business. Much of staff motivation revolves around empowerment and incentive. But overall, it means looking beyond the bottom line to figure out where you can improve your employees well-being. Let employees work remotely and flexibly wherever possible. Invest in automation to free up staff time so they can focus on more creative and interesting activities. Recognise great work every time you see it, instead of only at annual reviews. Settle for nothing less than open communication, both positive and negative, but then actually implement solutions and ideas. Make Your Work Space Beautiful Businesses have too often been focused on only improving office spaces due to client visits. It shouldn’t be the case. Imagine you’re stuck in a windowless room. There’s no decoration, one fluorescent light, the walls are beige and the floor is grey. Imagine how quickly your creativity would be sapped out of you. This is the bleak reality many office workers face. The environment is drab, stale and uninspiring. The bare essentials like a desk and a computer are provided, but there’s little else to inspire them. This is why market leaders are investing in their office space. By making it somewhere people love to be, they’re not just impressing clients, they’re looking after their employees. If your employees are remote full-time, you can even consider offering a bonus to help fund their home office space. Learn From Your Team As we said above, it’s great to know your team and it’s great to communicate with them. But even if you’re listening to concerns, you need to learn from them. Your employees are on the frontline of your business. They go through the same processes every day. They are the best-placed people to think of new opportunities, resolve bottlenecks and suggest new practices. Listening to and learning about the daily challenges your employees have is what drives your company to the next level. Processes become more streamlined, customers receive a better service, your employees are happier. Overall, your company is more productive. 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An employee happiness survey recognises staff happiness is what matters most both to the employee and business. 7 Tips for an Effective Employee Happiness Survey An employee happiness survey recognises staff happiness is what matters most both to the employee and business. Published on: 23 May 2024 Employee happiness surveys are not unlike employee engagement and staff satisfaction surveys, they would include the scope of these, but they are broader. An employee happiness survey recognises staff happiness is what matters most both to the employee and business. Happy staff will outperform unhappy staff many times over. It recognises that personal happiness is not just related to work but other areas of our life too. The impact of poor employee engagement Poor employee engagement exacts a heavy toll on organisations. It manifests in decreased productivity, heightened turnover rates, and escalated recruitment costs. Disengaged employees are less likely to innovate or collaborate, hindering progress and stifling creativity. Moreover, their dissatisfaction often translates to diminished customer satisfaction, impacting revenue streams. Addressing employee engagement isn't merely a matter of morale; it's a strategic necessity for fostering a culture of growth and ensuring sustainable business success. How to create an effective employee happiness survey Business benefits of an effective employee happiness survey include: Increased employee retention Improved business productivity Enhanced communication Increased business resilience Improved innovation and competitive advantage Increase employee engagement Improved profitability Many people look at a company’s social and environmental commitments Employees often want to be more involved in cutting carbon emissions and may feel their company isn’t doing enough. Many organisations set the target for emissions reduction, but not what practical measures are being taken to achieve it. Effective employee engagement is key to any organisation and a lack of clarity and clear communication of climate warming mitigation strategies can be distracting or demotivating for staff. Inspiring staff to act on climate change is both motivating for them and good for the bottom line. We are social animals, so we value our friendships at work Friendships at work can help increase employee engagement as well as personal, professional and business productivity. This makes work more enjoyable and rewarding, with employees more likely to want to go to work each day. If work is stressful or routine, friendships can help to overcome poor performance and low productivity. Staff are more likely to open up to a trusted friend about issues and problems at work. They are also more likely to deliver improved service levels and less likely to leave the company. Experts have suggested that work-based friendships can be the most impactful on our overall happiness – both at work and home. To achieve valuable friendships, companies need to create an environment where staff feel at ease to communicate and share ideas, thoughts and observations without fear of being judged and reprimanded. People should be able to come to work every day as themselves. Many believe that socialising and friendships are important for making progress in a company and advancing their careers. If social connections don’t exist, people may feel demotivated and want to leave, so employee turnover will increase and overall workplace happiness will decrease. However, you need to be aware of some dangers. Staff may want to avoid becoming too close with colleagues. Telling everybody about your domestic issues, hidden desires or long-term plans may be distracting to what you are all trying to achieve at work. And some people naturally have a more negative disposition than others, so confiding in people who negative could get you down. Somebody once said we become the five people that we spend most of our time with. Employees might not have a best friend at work but they should expect to have some strong personal relationships with colleagues. Feeling absorbed in the work we do can make us happier If you can lose track of time at work, then the chances are you’re doing something you enjoy and are good at, which should make you happier. We are spiritual beings after all – more than we are transactional consumers. So, find finding something that absorbs you and helps you identify your own spiritual being, what you’d get out of bed for, your passion, is important. Part of how we become more absorbed in our work is feeling that we have the autonomy to complete that work in the way we know best. Do staff feel listened to, do their opinions matter and are their suggestions valued and acted on? Transparency builds trust in an organisation Employees are going to feel happier if there is transparency in their organisation based on open, honest communication. If there isn’t, they may feel resentful and distrustful, perhaps holding back from fully engaging with the organisation. They might mirror this behaviour by holding back information themselves. Providing information in a timely way is key, including bad news, to minimise surprises. Holding interactive sessions with staff on a weekly, or another regular basis, helps people to feel involved, updated and engaged as part of a company team. Create a mindful workplace to improve workplace happiness Being mindful is being in the moment, being 100% present in the now. Like a child, in the present moment, with eternity before us. Many of us, though, spend most of our time thinking about the past or worrying about the future. Neither of which exists, there is only now. And there will only ever be now. So, experiencing the now is a good way to be calm, reduce stress and focus. Think about your vision, and your dream life periodically, but be in the now. Does the company acknowledge this? Does it give staff space to think, relax and be in the moment? They’ll be happier, more creative and engaged if they are. Employees need to feel recognised and valued for their work Feeling recognised, valued and rewarded for the work we do is important, not only to feel happy but also professionally and for the company’s bottom line, too. There are big benefits for workplace productivity, health and wellbeing, employee engagement and business profitability. Creativity will increase as staff know their ideas matter and it’s safe to express them. This creates a more positive working culture, staff are less likely to leave and your competitive advantage is enhanced. After all, competitive advantage for any business relies on its staff’s ideas, insights and effort. It will help to build a stronger, more resilient team. Most people leave their job not because of pay but because they didn’t feel engaged, respected or listened to. If the company feels like a team and they are an important part of it, they are less likely to leave and deliver higher service levels. Is work contributing toward your employees’ own life goals? As we spend so much time at work, we need to feel that our own life goals and our work, job or professional goals are aligned. Having these aligned with the company’s goals is also important. Since the Covid-19 pandemic, this has become a bigger concern with 65% of people in a Gartner survey saying they’d rethink how work should fit into their life. In this way, employees are working on something that they are both good at and like doing, something they may even feel passionate about. But if their life goal is to be on a stage in front of an audience, then working in an office may feel deeply unrewarding for them, even if they’re good at it. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started

It might seem backwards, but being too transactional can damage businesses. Learn how to be less transactional to increase your business productivity. How to be Less Transactional to Boost Profits Profitability and growth can lull us into a false sense of security when we should be less transactional. It can make us feel better than we are. Published on: 21 May 2020 Profitability and growth can lull us into a false sense of security when we should be less transactional. It can make us feel better than we are. The market changes or a competitor comes along with a better service and suddenly we’re not so profitable anymore. When things start to look a bit tricky, the first reaction is to work harder, work longer hours, turn up the pressure, be more transactional. That improves things for a while but quickly that stops working too. However, a new normal has been established that’s keeping the ship afloat; extended hours, increased stress and fire-fighting is now the norm every day. It’s not what they were doing that was the problem, but how they were doing it. And changing how we do something is way harder than changing what we do. Operational excellence Have you got the cart before the horse? How much time does the average company spend on customer surveys, on customer satisfaction and being customer-centric? And how much on employee surveys and employee satisfaction? Business profitability struggles when the internal growth engine no longer propels them forward sufficiently to keep the cash flow positive. Like a Formula One team that wins every race and realises too late it was the engine, their operational excellence , that made them the fastest, not the strategy or team tactics. A business’s internal growth engine makes it unique. It gives it its competitive advantage and its USP. It’s the internal growth engine that drives profitability. Be less transactional and boost profitability When was the last time you felt motivated when somebody asked you to do something? Or being measured on your performance made you feel inspired? As a child, how motivated were you when your parents asked you to do something? Were you out of the door to do their bidding before they finished speaking? Can you recall the last time you woke up on a Monday morning more motivated by the day ahead than you did on a Saturday morning? Motivation comes from within, from the inside out. Not the ‘outside-in’. Nobody likes to be controlled, judged or directed or to be on the downside of an agreement. This is a transactional way of managing people: the requestor and the requested, command and control. Perhaps this explains why many businesses struggle; their culture is negative, staff turnover is high, productivity is low, profits are down, and it’s a long hard slog every day. It could also explain why productivity in the UK is one of the lowest in the G7. Directors, managers and workers are all working in a transactional way rather than in a more relational way. When we work in a more relational way, we put our needs second, and that of the other person first. Why are we so transactional? We’ve all heard the expression, ‘It’s a numbers game’. If you complete enough transactions, eventually you may come out on top. But in business, in life, it’s a ‘people game’. When you get enough good people working together, you will come out on top. Complexity is perhaps one reason why we’re so transactional. When things are not black and white, right or wrong, on target or off, yes or no, things get harder to manage. It all gets very grey, and we can’t handle, manage or measure grey very well. When we count things, we can measure them, create a cost-benefit analysis and make a financial decision on what to do next. And so on it goes. The Cobra Effect – The law of unintended consequences When the British ruled India, the government offered a bounty for every dead cobra. They were concerned about the number of venomous snakes in Delhi. The strategy worked, but enterprising people soon started breeding them to claim the reward. When the British then stopped the programme, the snakes, now worthless, were released. The city ended up with more snakes than it started. Being transactional also has unintended consequences. When we become less transactional, more relational, everybody wins; self-esteem goes up, people become more engaged, and profits increase. At one time we lived with nature, and we worshipped the very ground we walked on. Then we discovered religions and a new set of rules came in to play. Industrialisation brought yet more demands on us, and now AI and mass surveillance are just around the corner with potentially more controls and judgements on what we like, think and do. Businesses with engaged and motivated directors, managers and workers are more productive and generate higher profits, which improves people’s lives and society. Everybody wins. It’s time to be less transactional The highly transactional business belongs to the 19th and 20th century when people were moving from the land to the city to work in factories and produce the Ford Model T. Even today, many companies are too transactional, command and control businesses. We see this in society too; doctors measured on waiting times, teachers by leagues tables and nurses on care hours per patient. It’s time to stop separating work and personal lives; we must each be as vested in our work as we are in our own lives. But to achieve that we need a different way to measure performance and motivation. Relational businesses have highly motivated staff, loyal customers and reliable brands that drive sales. For these businesses, short-term financial performance isn’t the be-all and end-all. They continuously strive to innovate and are by their very nature outward-looking, engaging organisations. Relational businesses have lower costs and higher business productivity. Their customers love the value they offer and refer them. They are innovative and forward-thinking. These relational businesses create better lives for their staff, their customers, suppliers and partners. And because they generate increased profits and have a broader outlook, they help to improve society too. We can help your business be less transactional, so you can instead focus on being a more productive, profitable business. Previous Next Start Your Business Improvement Journey Our business improvement programme and smart operations provide clarity and a clear pathway forward for you and your team. Get Started