Introduction. Most small-medium business managers go to great lengths to "keep customers happy". That's as it should be. You want your customers to keep coming back because they're delighted by your products and services. But is your definition of "customer" too narrow? Those "Other" Customers. We all try desperately to retain good customers. We talk about "lifetime value" and their worth to us. If necessary, we try to "serve 'em to death", as the old sales trainers used to say. But there are people who you pay to do that. They are in your business, day in and day out. You pay them day in and day out, and they are your most important customers. You call them staff, your "other" customers. If they don't provide the essential service levels for your external customers your whole organization may be in jeopardy. Disgruntled Customers. How do you treat disgruntled external customers? Calm them? Apologize? Try to find out what's upset them? Try to restore their confidence in you? Offer restitution or compensation? Do you treat unhappy staff differently? Do you show them the same courtesy as the disgruntled external customer? Or do you counsel them about inappropriate behaviour, remind them of their obligations and threaten dire consequences if they continue to show their feelings? A Matter of Money. The disgruntled external customer can damage you by taking their business elsewhere and telling others to do the same. That's about all. But you have to continue to pay the salary and taxes for the disgruntled staff. They can damage you far more than an angry external customer. If they continue to do you damage, you'll dismiss them. By then the damage will be done. In Australia salary service costs average about 40%. These are the taxes and charges plus statutory costs such as leave and pension entitlements you must pay in addition to actual wages. They mean that it costs you a total of $70,000 p.a. to retain an employee whom you pay $50,000 p.a. Whether you pay 15% or 50%, they're part of the cost of having staff - "other" customers. Perception. You see it's all a matter of perception. See staff as a difficult burden you must carry to be in business and that's probably what you'll get. See them as valuable collaborators in your business success and you'll understand why they're also customers. Warm and Fuzzy? Let me make one thing clear. I'm not suggesting you try to turn your workplace into a "love-in". I'm not suggesting you tolerate incompetent and unco-operative employees. I am suggesting that you look at what staff cost you. Conclusion. Staff constitute a huge investment. Regard your staff as you would a major client. By doing so, you're far more likely to retain the external customers. Do the math!
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