This Week's Herman Trend Alert Engaged Employees Increase Bottom Line Performance

The Herman Trend Alert April 21, 2010 Consequences of Embracing Technology Companies have long used technology to support the work of people with disabilities and moved form-completion online to eliminate paper. We have also seen airlines and railways use self-service kiosks to eliminate service personnel. Recently, hoteliers have followed suit with self-service kiosks?with mixed results. Now, a just-released study from Cornell University reports that when self-service works correctly, it enhances guest satisfaction and ultimately improves hotels' financial results. However, when problems occur with the system, guests are far less likely to return. . . much less be willing to pay a premium rate. Titled "Integrating Self-Service Kiosks in a Customer Service System" the hospitality study found that adding self-service kiosks improved the hotels' financial results, but the improvement showed a time lag. Thus, they caution hoteliers not to expect instant returns from adding self-service kiosks. Moreover, when something went wrong with the self-service check-in, the hotels in question saw a reduction in guests' willingness to pay and willingness to return. For this reason, the study's authors urge "careful rollout of self-service technology, along with substantial staff support for guests who are using computers to check-in". Another interesting finding was that the addition of self-service kiosks did not increase guests' perceptions of service speed at check-in. This finding is somewhat curious, since the addition of self-service kiosks at grocery stores is perceived by many to be a time-saver. Remember when banks and airlines began using began using self-service systems? They had a human being there to assist people who were unfamiliar or fearful of using the technology. Apparently, hoteliers need to invest someone's time and attention for the same familiarization process. Now, many mass-merchandisers including Wal-Mart, Target, and most supermarkets have installed self-service kiosks to assist in the check out process. Particularly younger customers happily embrace this technology; some older customers feel short-changed by the lack of service. As different industries embrace various technologies to serve guests better, increase productivity, or work more efficiently, employers must realize that they will need more highly skilled workers to support these more complicated systems. Also, from the consumers' point of view, these systems must work correctly or there will be bottom line consequences. © Copyright 1998- by The Herman Group, Inc. -- reproduction for publication is encouraged, with the following attribution: From "The Herman Trend Alert," by Roger Herman and Joyce Gioia, Strategic Business Futurists. (800) 227-3566 or http://www.hermangroup.com. The Herman Trend Alert is a trademark of The Herman Group, Inc." WHAT WOULD HAPPEN IF... What would happen if 25% of your top performers left in the next year? According to a recent study from The Corporate Executive Board, that may well happen to you! Turnover costs A LOT, especially when you lose top performers, and it comes right off the bottom line. Let The Herman Group and its team of very experienced consultants help you address your turnover issues right away. We have an impressive track record and stand ready to help you. Call Carol at 336-210-3547 for a no-obligation conference call. FIND OUT WHAT YOUR EMPLOYEES REALLY THINK AND FEEL Discover what's really going on in the hearts and minds of your employees. Our InnerViews interviewing service uses SPHRs and PHRs, certified human resource professionals to probe for the information you really need to know. Exit and Stay Interviews, as well as Why-Didn't-You-Take-Our-Offer Interviews. Call Rosalie Catalano at 937-416-7066, or read more at: http://www.hermangroup.com/retentionconnection/exit_interviews.html. BUSINESS IS PICKING UP Most employers are unprepared. The recovery will bring a new set of challenges for employers that have been in prolonged contracted mode. They will need more skilled workers or will need now to begin to upskill their current staffs. But organizations can not engage in Strategic Workforce Planning, when they don't know how. That's where The Herman Group can help. We can help you with your "People Review"----large or small---so that you will know who you will need and when you will need them... and we can also guide you to the best sources for the people you will need. For more information, call Joyce at 336-210-3548 or e-mail joyce@hermangroup.com. Herman Trend Alerts are produced by the Herman Group, strategic business futurists, Certified Management Consultants, authors, and professional speakers. New subscribers are welcome. There is no charge for this public service. 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