Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...

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Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
Becoming      Customer-Centric
Headline Verdana Bold          Starts with Our People
Daria Dolnycky
National Human Capital Leader, Consumer | Retail Sector
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
We Invest in Designing the Best Customer Strategy but Fall Short in
Investing in Those Who Deliver it - Our People
To develop customer-centricity today, a majority of retail investments are occurring outside the physical store.

                                                                   Bigger,    Retail IT spending has
                                                                   Better     increased by 5.6% globally
                                                                   Digital
          Global omni-channel retail commerce                      Assets
            platform market is expected to grow                                                      82% of customers are more likely to purchase
                                                      Expanding               Improving              from a brand with multiple delivery options
          from USD 2.99 – 11.01 billion by 2023
                                                        Omni-                   Retail
                                                       Channels                Offering

           Billions of dollars in increased capital
                                                      Remodel     Customer-    Expanding             By 2021, worldwide, retail e-commerce
                  expenditures to remodel stores                                                     sales growth will be at 18%
                                                      Brick and    Centric    E-Commerce
                                                       Mortar                  Capability

                            82% of retail sales happen within the four walls of a store and limited
                                   investments are made to better front-line employees.
                                                                                                      Becoming Customer-Centric Starts with Our People   2
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
Winning with an Employee-Focused Culture

                                           Becoming Customer-Centric Starts with Our People   3
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
People Are the Un-Ignorable Link to Customer-Centricity
Results show that organizations with strong employee-centricity naturally become customer-centric.

                                        Un-Ignorable Link!

                                   Customer-                           Employee-
                                    Centric                             Centric

 Enterprises with a top-quartile           Organizations with highly                     Consumers spend
 employee experience achieve
                                                                                               2x
                                          engaged employees had an

  2x customer                              average 3 year revenue
                                                   growth                             as much in-store when
  satisfaction                                    2.3x
                                                                                      they have been assisted
                                                                                          by an associate
    and 25% higher profits                     greater than average

                                                                                   Becoming Customer-Centric Starts with Our People   4
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
Investing in Employee-Centricity Means Going Beyond Wages & Benefits
As employees face new challenges in their day-to-day and their expected roles, they long for more support.

What employees are up against…

                                       Alternative                 Talent
                                       Workforce                 Disruption

                             The Gig                                          Automation
                            Economy

                          Technology                                          A New Social
                          Disruption                                            Contract

                                   Increasing                      Talent
                                 Pace of Change                   Mobility

                                                                              Becoming Customer-Centric Starts with Our People   5
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
Don’t Just Take Our Word for It! Here’s What Employees Said…

    40%
                                                    Of the top ten factors (e.g., money, convenience),
                                                    employees selected
                  of survey respondents don't
    know what their customer strategy is
                                                    people
                                                    as the #3 reason why they work

                                     60%
    Employees believe their
                                                                            The best part of retail culture
    organization only focuses on
                                                   of survey                is the people and having an

    45%           of their needs
                                     respondents graded
                                     themselves as not very
                                                                            environment to constantly

                                     motivated or neutral
                                     to be at their work                      learn
 To build employee-centricity, employers should focus on cultivating relationships with workers through
                               CULTURE (a Simply Irresistible Experience).
                                                                       Becoming Customer-Centric Starts with Our People   6
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
Employee-Centricity Has Evolved from Work/Life Balance to Human Experience

                 Personal
              (the individual)

                                 Employee Engagement            Human Experience

   Focus of
   Culture

                                   Work/life Balance           Employee Experience
               Professional
                (the work)

                                 Organization-led                                Employee-led
                                   (top-down)                                     (bottom up)

                                                    Drivers of Culture
                                                                    Becoming Customer-Centric Starts with Our People   7
Becoming Customer-Centric Starts with Our People - Headline Verdana Bold Daria Dolnycky National Human Capital Leader, Consumer | Retail Sector ...
Creating the Human Experience Employees Crave

       Positive Work                                                                  Trust in                   Supportive
                                 Meaningful Work        Growth Opportunity
       Environment                                                                  Leadership                  Management

                                                           Training and             Mission and                   Clear and
 Flexible work environment          Autonomy
                                                         support on the job          purpose                  transparent goals

         Humanistic                                          Facilitated             Continuous
                                   Select-to-fit                                                                   Coaching
         workplace                                         talent mobility      investment in people

          Culture of                 Small,                 Self-directed,         Transparency          Investment in development
         recognition             empowered teams          dynamic learning         and honesty                  of managers

 Fair, inclusive, diverse work     Unstructured             High-impact                                       Agile performance
                                                                                    Inspiration
         environment                   time               learning culture                                      management

                                           Cross-Organization Collaboration & Communication

                                                                                        Becoming Customer-Centric Starts with Our People   8
Bringing the Human Experience to Life

                     Positive Environment
                                                                    Fair, Inclusive, Diverse Work
             Culture of Recognition                                                                 Flexible Work Environment                 Humanistic Workplace
                                                                             Environment

                                    84%                                                                                  PATAGONIA
                                                                                                                           Clothing
                 of Consumer Business organizations
               ranked having a positive environment                                                                   ‘Let my people go surfing’
                                                                                 Who’s Winning?                       policy
                  as important or very important.

                    However,        33%                       of these
                                                                                                                      Free yoga, an organic café,
                                                                                                                      free scooters and skateboards
                organizations are not yet effectively
                     managing the challenge.                                                                          26 three day weekends per
                                                                                                                      year

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                                       Becoming Customer-Centric Starts with Our People   9
© 2019. For information, contact Deloitte Touche Tohmatsu Limited   Becoming Customer-Centric Starts with Our People 10
Bringing the Human Experience to Life

                     Meaningful Work
           Small, Empowered Teams                                        Select-to-fit           Autonomy                          Unstructured Time

                                    84%                                                                   When I Work
                                                                                                       Scheduling Platform
                 of Consumer Business organizations
                 view meaningful work as a critical
                    enabler to elevate the human                               Who’s Enabling?
                             experience.

                    However, only             40%                   of
                                                                                                        Allows employees to view
                                                                                                        most up-to-date schedule,
                  these organizations effectively                                                     request time off and chat with
                    empower employees to                                                              management and co-workers
                      manage their careers.

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                           Becoming Customer-Centric Starts with Our People 11
Bringing the Human Experience to Life

                    WHEN I WORK
                   •     Use “WorkChat” to contact managers and other staff      •    Receive notifications when schedules are posted or changed
                   •     Virtually manage vacation and sick day allowances       •    Sync app with Google, iCal and Outlook
                   •     Request shift trades and change availability            •    Manage multiple jobs using the same app*

       Because employees have better and
       more up-to-date access to their
       schedules, using ‘When I Work’ has
                                                                    Who’s Using It?
       reduced employee no-shows by

                          25%

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                      Becoming Customer-Centric Starts with Our People 12
Bringing the Human Experience to Life

                       Growth Opportunity
         Self-direct Dynamic Learning                               Facilitated Talent Mobility   Training and Support on the Job           High-impact Learning Culture

                                   83%
                                                                                                                           SHINOLA
                                                                                                                          Luxury Goods
                 of Consumer Business organization                                                             Shinola University was implemented
                   ranked growth opportunity as
                   important or very important.
                                                                                Who’s Winning?                 to provide:
                                                                                                                       Online Adaptive Learning

                    However,        40%                       of these
                                                                                                                       Intervention and Feedback
                                                                                                                       in Real-time
                organizations are not yet effectively
                     managing the challenge.                                                                           Real-world Learning

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                                         Becoming Customer-Centric Starts with Our People 13
© 2019. For information, contact Deloitte Touche Tohmatsu Limited   Becoming Customer-Centric Starts with Our People 14
Bringing the Human Experience to Life

                     Trust in Leadership
                     Inspiration                                    Transparency and Honesty             Mission and Purpose              Continuous Investment in People

                          18%                                                              37%                                             27%
        of organizations believe they have a                                   of leaders are worried about their              of organizations believe that a lack of
           transparent and open model.                                           ability to create trust in their                   transparency is creating a
                                                                                          organization.                             competitive disadvantage.

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                                         Becoming Customer-Centric Starts with Our People 15
Bringing the Human Experience to Life

                     Trust in Leadership
                     Inspiration                                    Transparency and Honesty   Mission and Purpose              Continuous Investment in People

                  Employees now want to work for                                                      WHOLE FOODS MARKET
               socially responsible organizations. As a                                                     Grocery
                                result,
                                                                                                       Total Health Immersions and

                                    55%
                                                                                                       Volunteer Programs:
                                                                               Who’s Winning?
                                                                                                              Health getaways 4 times per
                 of Consumer Business organizations                                                           year
                have increased the impact of social                                                           Provide Biometric screenings to
                responsibility programs in the last 5                                                         see results
                                years.
                                                                                                              Led by experts in the
                                                                                                              healthcare industry

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                               Becoming Customer-Centric Starts with Our People 16
Bringing the Human Experience to Life

                     Supportive Management
        Investment in Development of
                                                                         Coaching       Agile Performance Management                 Clear and Transparent Goals
                 Managers

                                    86%                                                                   CULTURE AMP
                                                                                                     People & Culture Platform
               of Consumer Business organizations
             ranked having supportive management
                as Important or Very Important.                              Who’s Enabling?

                                 42%
                                                                                                    “People were asking for the reviews, not asking
                                                                                                     how to get out of them. That felt like success.”
                 However,                                  are not yet
                                                                                                   “Our employees now connect with Culture Amp
                effectively managing the challenge.
                                                                                                     Performance without thinking about it as a
                                                                                                          performance management tool.”

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                              Becoming Customer-Centric Starts with Our People 17
Bringing the Human Experience to Life

                   Collaboration & Communication

                    Open Culture                                      Constant Communication   Investment in Resources, Tools & Time     Cross-organizational Collaboration

                                    85%                                                                          THE CONTAINER STORE
                                                                                                                  General Merchandiser
             of employees feel that collaboration and                                                           The Container Store implemented
              communication is a critical enabler to
                  elevate the human experience.                                 Who’s Winning?                  Theatro that:
                                                                                                                         Increased communication across

                                          26%
                                                                                                                         employees by 30%
                 However, only                                      of our                                               Checks inventory and
                  survey respondents feel supported                                                                      customer orders on-demand
                  with tools and technology to stay
                              connected.                                                                                 Sends real-time updates or
                                                                                                                         messages

© 2019. For information, contact Deloitte Touche Tohmatsu Limited                                                         Becoming Customer-Centric Starts with Our People 18
© 2019. For information, contact Deloitte Touche Tohmatsu Limited   Becoming Customer-Centric Starts with Our People   19
To Satisfy the Crave for Human Experience, We Ask…

                                              What will you do
                                                differently
                                                tomorrow

                                                     Becoming Customer-Centric Starts with Our People   20
Daria Dolnycky
National Human Capital Leader
Consumer | Retail Sector

ddolnycky@deloitte.ca
M: 416 565 7414

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