High-performing companies have figured out ways to separate themselves from their peers. One key difference is a sharp focus on customers; another is a focus on employees.
Yet 57% of companies concede that they have not always kept commitments to employees, and 33% admit failing to keep promises made to customers. That’s according to a global survey of 1,333 organisations conducted by the American Management Association and the Institute for Corporate Productivity.
“Companies may feel free to concentrate on customers, while at the same time taking employees for granted,” Sam Davis, vice president of AMA’s corporate sales, said in a news release. “But our research found a strong correlation between keeping commitments to workers and to customers. As a rule, companies committed to their workforce also score higher on customer focus and satisfaction. In fact, these qualities tend to distinguish successful companies from their competitors.”
There is a tie-in between strong customer and employee engagement, because in many cases, customers are interacting directly with a company’s workers. If those workers “don’t have a genuine customer focus, the business is going to suffer,” Davis said.
The report highlighted several companies that have exhibited strong customer focus when confronted with an obstacle and turned that focus into financial success. One example was Domino’s Pizza, the delivery chain that suffered a reputational crisis when an unflattering YouTube video was posted by employees in 2009. Domino’s began focusing more on customers and repairing its relationship with them.
The report listed four key findings that separate high-performing organisations from competitors. High-performing companies are singled out in the report on the basis of revenue growth, profitability, market share, and customer satisfaction.
Related CGMA Magazine content:
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“The 50 Most Innovative Companies and the Habits That Distinguish Breakthrough Innovators”: Boston Consulting Group lists the habits that distinguish breakthrough innovators. Find out which company is the most innovative.
—Neil Amato (firstname.lastname@example.org) is a CGMA Magazine senior editor.
This article originally appeared in CGMA Magazine "4 traits of high-performing companies "