the role of employee engagement in delivering the commercial strategy, p&o ferries
DESCRIPTION
Sales & Operations Planning Amsterdam 2012TRANSCRIPT
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Sue Mackenzie
‘NOT JUST ANOTHER DAY’
The Role of Employee Engagement in Delivering the Commercial Strategy
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P&O Ferries is the leading UK ferry operatorP&O Ferries is the leading UK ferry operator
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More than just a Ferry Operator!More than just a Ferry Operator!
HOTELRESTAURANTS
BARS & COFFEE SHOPSRETAIL OUTLETS
CLUB LOUNGES
PORT OPERATOR
BUREAU DE CHANGE
ENTERTAINMENT
WAREHOUSE
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ChallengesChallenges
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…. so why focus on Employee Engagement?
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Research from around the worldResearch from around the world
Only 31% of employees are actively engaged in their jobs. - BlessingWhite
About 50% of employees are not engaged – meaning they go through each day putting time but no passion into their work. - Ivey Business Journal
Engaged employees are up to 43% more productive. - Hay
‘Disengaged’ employees cost the American economy up to $350 billion per year in lost productivity. Gallup
High - engagement firms had total shareholder return that was 19% higher than average in 2009. In low-engagement organisations, total shareholder return was actually 44% below average. - Hewitt Associates
Engaged employees plan to stay for what they give; the Disengaged stay for what they get. - BlessingWhite
Engaged employees, provide superior service, leading to increased customer loyalty and financial performance. - Heskett, Sasser & Schlesinger
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8
The ‘Service Profit Chain’The ‘Service Profit Chain’
Employees
Customers
Profitability
The Service Profit Chain (Heskett, Sasser, Schlesinger, 1997)
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THE SERVICE PROFIT CHAIN
CustomerSatisfaction
CustomerLoyalty
Profitability
RevenueGrowth
The Service Profit Chain (Heskett, Sasser, Schlesinger, 1997)
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Zones of Customer Satisfaction
Zone of Defection(Terrorists)(Terrorists)
Zone of Indifference Zone of
Affection(Apostle)(Apostle)
8%
Unhappy Happy
50% of these customers are not loyal!50% of these customers are not loyal!The Service Profit Chain (Heskett, Sasser,
Schlesinger, 1997)
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THE SERVICE PROFIT CHAIN
InternalService Quality
EmployeeSatisfaction
EmployeeProductivity
EmployeeLoyalty
ExternalServiceValue
CustomerSatisfaction
CustomerLoyalty
Profitability
RevenueGrowth
EMPLOYEEEMPLOYEEENGAGEMENTENGAGEMENT
The Service Profit Chain (Heskett, Sasser, Schlesinger, 1997)
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The ‘Not Just Another Day’ Programme
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The Customer Journey
Prioritise – Where would you spend your money?
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The results
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Focus and Measurement
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What our Customers thought of…Early Embarkation in Hull:
“It was easy to arrive & embark simultaneously. Especially when travelling with a child”
Really great to get on early, especially travelling with motorcycles on a wet day”
“Brilliant idea to board early makes the trip far more enjoyable and relaxing”
“Excellent, no delay, boarded straight away”
“Well done on exceeding customer service”
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Communication and Feedback
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What’s next ….
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Lessons learnt
• Commitment from the top.
• Keep your leadership team involved.
• Respect and listen to your people.
• Can’t be a one off must be a way of doing things.
• It’s hard work but very rewarding!
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QUESTIONS