Leadership Trait 3: Focus on the People
In this series of blog posts titled, “They Don’t Build Monuments Honoring Managers,” I will be documenting and sharing my thoughts about the eight traits found in GREAT LEADERS. While understanding that leadership styles may vary, the successful, truly transformational leaders I have encountered in my 30+ years in business exhibit these eight traits.
Trait 3: A Great Leader Focuses on People
I have heard it said many times that the greatest asset of any company is its employees. I agree, but I don’t think that statement alone tells the whole story. Let me explain.
Successful companies have a positive public perception, commonly called a “good reputation.” People believe either in the company as a whole or, at least, in its products. So why do companies like Buc-ee’s, GoDaddy, Adobe Software, and Gravity Payments, have such a positive public perception? They focus on their people more than their products. The rest takes care of itself.
Unsuccessful companies almost always have a negative public perception or “bad reputation,” and just like successful companies, in the end this perception comes down to people, employees.
Assume for a moment that Widget Company has the best product on the market and a favorable price point. If the product is not successful, someone, not the product, failed. Someone made an unwise decision regarding marketing or perhaps they made a strategic error positioning or pricing the product. (For those of you old enough to remember, think Betamax vs. VHS.)
For those of you who have experienced a Buc-ee’s Travel Center, you will understand. But for those of you unfamiliar with Buc-ee’s, these mega stores with over 65,000 square feet of retail space and 120+ pumping stations for fuel, are a sight to see. However, they are not just a very large convenience store or gas station. Buc-ee’s creates a travel “experience,” and they accomplish that by focusing on their people, who create a positive public perception for their guests. Obviously, a lot of attention in a retail establishment of this size is dedicated to products, product placement, marketing, and other factors. But one thing one that never fails – and should never fail – is that guests enter an organized, excessively clean, overly friendly, and some would argue overstaffed, shopping venue.
Buc-ee’s invests in their employees and pays excellent wages, but in return their leadership expects their employees to meet a standard not required by other companies in that space. To accomplish this, in addition to the pay, they educate their employees through staff training and development, they reward their top performers, and they never continue to employ anyone who will not consistently live up to their high standards.
Great leaders like those at Buc-ee’s understand that while investing in products is important, the employees are ultimately the reason products and companies succeed or fail. So, let us look just three of the many ways great leaders can focus on people.
First, great leaders invest in continuing education. According to the Harvard Business Review, productivity, based on GDP vs man-hours, has averaged less than one percent over the past 10 years. They ask the question, “Is this productivity low because we have failed to invest in our people, or have we failed to invest in people because other factors are permanently reducing productivity?” Their evidence suggests that it is the former. The article goes on to point out that studies found that top companies who invested in time, talent, and energy management training unlocked up to 40% more productive power. Additionally, in a study by The Cornerstone Academy, 86% of millennials indicated they would be more likely to remain at their job if the company offered them more training and development.
Second, great leaders invest in cross training. Initially, cross training an employee to do additional jobs as needed does cost the company money in lost time and productivity. But this loss is insignificant compared to the long-term gains. There are many advantages, but I will cover just three. Cross training provides stability. Great leaders know that there is comfort in the knowledge that just because a single employee goes on vacation, or quits suddenly, an entire process will not shut down. Cross training provides better understanding and collaboration. It gives employees a better understanding of what others need to do their job. This understanding also makes them more empathetic and helpful. Finally, cross training is motivation. One, it shows employees that others can do their job and they are not irreplaceable, and two, it shows employees that they can do other jobs, so they seek more responsibility.
The third way to focus on people is through is constant, honest, feedback. To accomplish this, great leaders create a culture of open communication. I read once, though I don’t recall the source, that a great leader will say three positive things for every one negative because it makes employees feel the odds are in their favor. The next blog post is about the value of great communication, so I am not going to focus on that here, but ultimately, every employee needs to feel comfortable communicating with their leader, and it is the job of a great leader to be available and open, ready to hand out praise, guidance, and correction, all of which motivate.
The bottom line here is that by investing in people, great leaders create better employees and employees ultimately are responsible for creating that positive public perception. This leads to a better work environment and more profitability.
Focus on People is the third of eight traits in the series and over the next several weeks, I will touch on each of those eight traits. As a preview, “A Great Leader Communicates” will be the fourth trait in the series. Please follow RWSmith Education Training, and Consulting on LinkedIn (www.linkedin.com/company/87207378/) and Facebook (www.facebook.com/rwsmithetc) for a link to each post. Or one may visitwww.rwsmithetc.com/blog to catch up on past posts. Appropriate comments are encouraged and please follow us, comment on, and “like” these social media posts if you find them valuable. Finally, forward this to your friends… or maybe your manager.