Sunday, January 3, 2010

Candor, Courage, Leadership, and Transformation

In a hypercompetitive retail environment, retailers launch “transformation initiatives”. Perhaps one of the most discussed initiatives is “relationships based service vs. transactional service”. Is it possible for a retail manager and / or a retail employee who has been serving and managing transactions for 20 years or even 2 years to move from “transaction” to “building relationships”? Is it feasible financially? Of course it is possible and feasible but for that goal, CEOs and executives must work on structure, processes, systems, and culture. It is impossible to “transform” an organization within the same “working habits” at “frontline” employee level, and it is impossible to change the “working habits” of employees by orders, threats, bribes, and playbooks. It takes leadership and training! Training not as a checklist and compliance endeavor but training as in translating new knowledge into action on the retail floor! There is a difference....you know! There need to be a reduction in certain “meaningless” tasks and a focus on “training” and “leadership”! Why leadership? Because executives do mistakes and organizations are better off discovering or eliminating the mistakes as early as possible before it is obvious and costly. For that, organizations need candor, courage, and leadership!

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