“You can’t expect your employees to exceed the expectations of your customers if you don’t exceed the employees’ expectations of management.”
-Howard Schultz, CEO Starbucks Coffee
Treating employees with respect and dignity is embedded into the mission statement at Starbucks. The global coffee house is one of few corporations which has made the connection between happy employees and happy customers.
Understanding the relationship between happy employees and the customer experience plays a major role in developing customer loyalty. Studies have shown that employees who feel they are treated fairly are more likely to see themselves as stakeholders in the company’s success, are more productive, and more engaging with customers.
Don Soderquist in Live, Learn, Lead to Make a Difference shares the story of a store manager at Walmart who had been selected for dismissal due to under-performance. Before approving the dismissal, a senior manager visited the store and spoke with the employees. During the visit, he discovered that the under-performing store manager was struggling to care for his cancer-stricken wife and their two children; and his direct supervisor who had recommended the dismissal was not aware of the issues he was struggling with on a daily basis. Subsequently, a decision was made that instead of firing, the store manager would be given time and resources to deal with his personal challenges.
Employee incentives are important, but it means more to employees when managers show genuine interest in a staff member’s well being and personal development. An employee who is suddenly performing below par may be dealing with personal issues that are affecting his/her ability to do the job effectively. Support resources for employees, even in the form of information and advice, can prove valuable in employee retention, and extend to the customer experience.