organizations culture.
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- Byron Smith
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1 Peple First The picture abve represents the ntin that mst rganizatins have the majrity f their puzzle pieces in place. Hwever, the mst imprtant piece is ften missing, the peple piece. Putting peple first has always been America s secret weapn. It s the way we ve kept the spirit f ur revlutins alive a spirit that drives us t dream and dare, and take great risks fr a greater gd. Unfrtunately many f ur rganizatins lse sight f what is mst imprtant, its peple. This article will pull frm review studies that have been cnducted t demnstrate what is pssible fr a cmpany when its peple truly cme first. Scripps Hspital in San Dieg was able t increase their prfits by 1200% ver a 10-year perid thrugh making their peple a pririty. By the end f this article nt nly will yu understand the benefits f a peple first culture, but yu will learn ways in which yur rganizatin can make peple feel like part f the puzzle.
2 Putting peple first has always been America s secret weapn. It s the way we ve kept the spirit f ur revlutins alive a spirit that drives us t dream and dare, and take great risks fr a greater gd. Rnald Reagan The qute abve captures an imprtant theme that unfrtunately is lst within many rganizatins. In rder fr change t ccur, fr dreams t be fstered and fr a spirit f ingenuity t be alive, peple need t be the fcus. Great leaders and wrld-class rganizatins have the same thing in cmmn, they make peple matter. In many f tday s rganizatins, their systems, prcesses, and technlgies take precedence ver peple. Having the perfect rganizatinal prcess is useless unless yu have peple with the skill, understanding and desire necessary t manufacture the wrk. Regrettably, peple are ften seen as a number instead f an imprtant resurce. Cmpanies that have priritized their peple, thereby capitalizing n their ptential, have seen unparalleled success. This article details the imprtance f having a culture where peple cme first. We will lk at statistics that supprt the ntin that when peple cme first, the bttm line is psitively affected. Scripps Healthcare in San Dieg is a prime example f an rganizatin that was able t reap the benefits f having a peple first culture. Scripps Healthcare was able t imprve emplyee results by 54%, realize $70 millin in cst savings as well as increase its annual prfits by 1200% ver a 10-year perid. This was made pssible by fcusing n financial perfrmance and recgnizing peple as an asset and pririty in the rganizatins culture. A peple first culture is a culture where emplyees are the fcus. Emplyees needs are met, they feel appreciated, they are paid well and treated fairly, they are encuraged t cntinuusly imprve, they understand their expectatins, they have the right tls fr the jb and they are recgnized, cached and mentred versus being pushed and bullied. A peple first culture is a culture in which rganizatins like Micrsft spend $170 millin a year n training s their peple have the skills necessary t be successful in their jbs. Numerus studies spanning the past ten years have shwn that peple wh are invlved, appreciated, and valued are cmmitted t their rganizatins success. Research has shwn: rganizatins that pssess transfrmatinal leaders wh understand the pwer f emtinal intelligence are able t drive success thrugh cnnecting and caring fr their emplyees. Mving frward, we are ging t lk at a few specific studies that have been dne t prve that when peple cme first, the puzzle pieces fall int place.
3 The picture abve represents the ntin that mst rganizatins have the majrity f their puzzle pieces in place. Hwever, the mst imprtant piece is ften missing, the peple piece. The piece missing mst ften in an rganizatin's puzzle is the "peple piece". Withut peple, an rganizatin will never be whle, n matter hw many ther pieces are cnnected. Sirta Cnsulting tracked the stck prices f 28 cmpanies that had mnitred their emplyee mrale during the past fur years. The results: Cmpanies with "high mrale" saw their stck prices increase mre than five times thse f the half-dzen cmpanies with "lw mrale" (16 percent vs. 3 percent). The stck perfrmance f the high-mrale cmpanies als bested the results f the industry average by a significant margin (16 percent vs. 6 percent). Jeffrey Pfeffer and Jhn F. Veiga write, accrding t an award winning study f the high perfrmance wrk practices f 968 firms representing all majr industries, a ne standard deviatin imprvement in the human resurces system created a 7.05% decrease in turnver and, n a per emplyee basis, $27,044 mre in sales and $18,641 and $3,814 mre in market value and prfits, respectively. Yes, that s an $18,000 increase in stck market value per emplyee! It shuld nt be a surprise that cmpanies with peple wh have high mrale d better financially. They are able t retain their tp emplyees, they are able t generate innvative thughts because their peple have a vice and they have emplyees wh wrk hard because they are invlved and cmmitted. Emplyees wh wrk fr these rganizatins als wrk smarter and mre respnsibly because they are encuraged t cntinuusly imprve. Take a lk at The Men s Warehuse example. This rganizatin has fund significant success by having a peple first culture. The Men s Warehuse went public in Its 1995 annual reprt nted that it had achieved cmpunded annual grwth rates in revenues and net earning f 32 and 41
4 percent, respectively, and that the value f its stck had increased by apprximately 400 percent. The cmpany attributes its success t hw it treats its peple and particularly t the emphasis it has placed n training, an apprach that separates it frm many f its cmpetitrs. Research has shwn that there are a few crucial elements cmmn in rganizatins that pssess a peple first culture. These elements are briefly described belw: Reward Yur Peple Celebrate Successes: Reinfrce necessary behavir thrugh psitive recgnitin and acknwledgment. Pay Yur Peple: Pay peple what they are wrth. Mney is nt everything, hwever it is imprtant. Prvide Jb Security: Let yur peple knw that they have an pprtunity t achieve their prfessinal gals. Grw Tgether As One Share Infrmatin: The mre infrmed yur peple are the mre included they will feel and the better prepared they will be t make decisins that affect the rganizatin. Engage and Empwer Yur Peple: Allw peple t utilize their skillsets; yu hired them fr a reasn! Give them prjects t wrk n that align their skills and their passins. Let them knw they have an pprtunity t be make a difference within the rganizatin. Dcument Prgress: Ensure peple understand that there are advancing in the right directin, thrugh feedback r peridical evaluatin. Cnnect, Cnnect, Cnnect Prvide: Training wrkshps, large grup interventins, cmpany escapes, time away frm the nrmal day-t-day t enjy each thers presence as well as t learn frm each thers experiences. Cllabrate: Give yur peple as many pprtunities as pssible t wrk tgether. Utilize the varius perspectives peple have t ensure diverse thinking and actin planning. Give Everyne A Vice Open Up Decisin Making: D nt leave all f the decisins t be made by upper management. The mre invlved peple are in the decisin-making prcess the mre buy in and cmmitment yu will have. Achieved cmpunded annual grwth rates in revenues and net earnings f 32 and 41 percent, the value f its stck had increased by apprximately 400 percent. Prvide Heart Fster Participatin: Have rund table meetings, facilitate fcus grups, have interactive cmmunities thrugh the intranet, make it easy fr peple t prvide their pinins and thughts. Never Discunt Anyne: Yu will be surprised at what can be brught t the table by thse wh yu least expect. Prevent Status Discriminatin: When thse with status cntinuusly verpwer peple, the wrkfrce will ften withdrawal. Appreciate Yur Peple: Make yur peple feel imprtant. Thank them fr the wrk they d, listen t their thughts and ideas and they will feel special and cared fr. Value Yur Peple: Seek ut their advice; let them knw hw their cntributins affect the bttm line. Understanding their imprtance will allw them t take wnership. Empathize: Using empathy is ne f the best ways t cnnect with emplyees. Using empathy is als a great way t fster dialgue. The items described abve are nt difficult t implement. Rewarding yur peple, prviding peple with the infrmatin they need t be successful, cnnecting resurces, giving yur peple a vice and prviding them with heart shuld be staples within every rganizatin.
5 Businesses ften frget abut the culture, and ultimately, they suffer fr it because yu can t deliver gd service frm unhappy emplyees. -Tny Hsieh (Funder f Zapps) Tny Hsieh the CEO and funder f Zapps established his rganizatin with the mindset that the mst imprtant part f his business wuld be the peple wh wrk fr him. Tny made his peple s happiness his number ne pririty. In just a few shrt years, Tny was able t prduce a $265 millin cmpany that sends shes all ver the wrld. Like Tny, there are many CEO s wh have decided that peple need t be a tp pririty within their rganizatin. Belw is a shrt list f cmpanies wh are cntinuusly vted as being sme f the best cmpanies t wrk fr. The emplyees frm these rganizatins cnsistently have high mrale and a passin fr what they d. These cmpanies include: 1. Facebk 2. Suthwest Airlines 3. General Mills 4. Apple 5. Prctr & Gamble 6. Ggle 7. FedEx These cmpanies are cntinuusly n the tp f their market because f their innvatin, understanding f change and the ability t drive results. These cmpanies are able t hire the best f the best and that is because the best want t wrk fr rganizatins where peple cme first. This article was meant t prvide sme insight int the advantages f establishing a culture where peple are a pririty. We at Meyvn are passinate abut helping rganizatins create cultures where peple are seen as resurces versus numbers. We have training wrkshps and cnsulting services dedicated t the advancement f rganizatinal grwth and develpment. Fr mre infrmatin abut ur services r questins relating t the article please cntact Steven Chen at Steven@MeyvnCnsultants.cm r g t ur website:
6 Meyvn Cnsulting Ltd. Thank yu fr taking the time t read ur article! Meyvn Cnsulting Ltd th St Elk, NV,
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