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July 29, 2024 | 4 Mins Read

What’s Better Than an Open Door Policy?

July 29, 2024 | 4 Mins Read

What’s Better Than an Open Door Policy?

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On a recent trip to Texas, I made plans to stop and catch up with James Mylett, SVP U.S. Digital Buildings at Schneider Electric. I first met James over a decade ago when I interviewed him for the cover of Field Technologies magazine and I’ve since admired his demeanor, his open mindedness, and I always enjoy talking with him about how the world of service is evolving. He has a reputation for his impactful leadership, and we discussed his views on the demands of modern leadership in a two-part podcast, which you can find here and here.

When I arrived at Schneider’s Dallas Hub, James greeted me at the door with a smile and I got checked in. We stopped to get a drink in the common area and an employee visiting from California excitedly approached James and began “talking shop,” not realizing at first that I wasn’t another employee. The three of us chatted for a bit, James happy to engage and never once making her feel rushed. I was thinking about how they say that the best conversations happen around the water cooler and how, as employees walked by and waved to James, he must have many interactions just like this.

After we finished talking with her, we did a quick tour of the facility which was remodeled during Covid and is modern with a fun Texas energy. As we walked over to sit down at a table and talk, I asked James if his office was on the second floor. He responded, “Oh, I don’t have an office.” He travels on a frequent basis, visiting other offices across the country and well as partners and customers – but when he is in Dallas, he opts to set up his workspace in the common area and uses a conference room when he needs privacy for a call or a meeting. He explained that he much prefers being out in the open where he has the opportunity to have those casual catch ups and keep up on the pulse of the working environment.

Now in retrospect, I’m not at all surprised. But in that moment, I was thinking – an SVP in a massive company, and no corner office? If not unheard of, certainly uncommon.

Breaking Down Walls

So, what’s better than an open-door policy? Perhaps a no door policy! Forgoing the corner office is truly representative of James’s approach. He doesn’t have an ego to feed, feel the need to take up space based on his position, or have the urge to demonstrate any sort of power. He would rather be in the midst of it all not only because I think he genuinely enjoys it, but because he knows staying closely in tune with what’s going on with his employees is the best way to be effective in his role.

He shared with me that in the company’s most recent employee engagement assessment, the Dallas Hub had the highest scores, and I’m not at all surprised. This isn’t to say that is entirely attributed to James, but I know he plays an important role.

I share this for other leaders as food for thought around what we need more of in service (and beyond). There are still plenty of companies with leaders who sit in those corner offices, detached from the realities of the frontline workforce and enamored with their positions of power – and those companies are quickly falling behind, because the culture that creates is untenable in today’s talent landscape. Now I’m not suggesting there’s anything wrong with a leader having an office, or that everyone should move themselves out of theirs. My point is the mentality – that’s what matters.

We need more leaders with less ego and more of a mind to serve. We need more leaders who focus on diversity and inclusion not because they know it’s “important” but because they believe it is imperative to their organization’s success. We need more leaders who make employees feel valued, respected, and heard – in big ways and small. We need more leaders who are more interested in listening than in talking. We need more leaders who are more invested in helping build future leaders than they are in protecting their own value. We need more leaders who realize their role today isn’t to know it all, but to curate teams of talent that compliment one another and then allow that talent to be creative, to weigh in, and to make a difference. We need more leaders who are looking around them to see who they can lift up rather than looking in the mirror at their own accomplishments.

July 15, 2024 | 4 Mins Read

Balancing Empowerment and Efficiency in Field Service

July 15, 2024 | 4 Mins Read

Balancing Empowerment and Efficiency in Field Service

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When I began in this space, efficiency ruled the world of field service. Field service was perceived as a cost center of the business, and efforts to maximize efficiency took center stage. While efficiency is still important today, in a landscape where service is a differentiator for your business and a potential avenue of growth, the concept of employee engagement and empowerment has become far more important.

This begs the question, is it possible to balance efficiency and empowerment – or are they innately at odds? My belief is that we can, and must, find a balance. Companies that remain focused only on wringing every last ounce of productivity out of their field force with no regard to employee engagement (let alone how the impact of that type of management mentality trickles down to the customer experience) will fail in today’s talent landscape (and beyond).

What’s Your Perspective?

Finding the balance has a lot to do with perspective. If your leadership style is “command and control” or your company’s focus is too narrowly on the quarter-by-quarter financials, it’s time to evolve and consider the value of a more employee-centric approach. For those of you who are rolling your eyes, trust me when I say this doesn’t mean abandoning standards, or rules, or even a focus on efficiency; it simply means that you consider the more modern thinking that if you trust, enable, and empower your employees they will take ownership in their roles and meet – or exceed – your expectations. Without micromanagement!

If you find yourself rooted in skepticism, there is ample evidence of the correlation between employee engagement and productivity (among other benefits). For instance, according to Gallup, companies with highly engaged employees are 17% more productive and 21% more profitable than companies with disengaged employees. Gallup also states that, “engaged employees are more motivated to complete tasks on time and successfully, and they're better at meeting customer needs, which can lead to more sales and higher revenues. They also tend to be more innovative and efficient and have higher customer retention rates.”

Moreover, today’s talent is unlikely to tolerate working in the efficiency-at-all-costs environments of yesteryear. They seek environments that offer flexibility, invite their creativity, provide a sense of purpose, and uphold a sense of humanity. So not only is it proven that employee-centric environments yield better performance, but you’re unlikely to be able to fill roles and retain talent if you aren’t putting genuine effort into creating and nurturing employee engagement and empowerment.

Empowerment > Efficiency

When it comes down to it, I believe leaders must prioritize empowerment. Prioritizing efficiency illustrates a disbelief in, or disregard of, the correlation highlighted above, and while it’s fine to have measures in place to focus on or improve efficiency, weighting the importance of that above employee engagement is foolish.

So how do we create environments where employees feel empowered, and we are maximizing efficiency? Here are some thoughts:

  • Employee-centric cultures often happen from the top-down, with alignment on the importance and value of the approach
  • Leaders must create relationships with each of their team members and prioritize one-on-ones to understand their goals, motivators, communication preferences, and so on
  • Leaders need to ask a lot of questions, inviting teams to provide feedback, take part in brainstorming and problem-solving, and feel invested in team and company objectives
  • Employees need to feel valued, respected, and heard. Ensuring communication channels are varied, all opinions are welcome, and efforts are acknowledged and rewarded
  • Employees should have standards to adhere to, but be given room to be authentic and personalize their approach
  • Expectations should be clear and well-rounded (not short sighted) – metrics like customer satisfaction and retention should be weighted more than efficiency-driven metrics like jobs per day, because they are more indicative of success in an environment where service is a differentiator
  • Efforts around efficiency should be geared toward alleviating friction from the employees day-to-day work and removing barriers for them, not driving them to work harder and harder; we must balance what’s possible with what’s reasonable
  • Companies can use technologies that improve efficiency to create better employee engagement and satisfaction. For instance, one IFS Planning & Scheduling Optimization customer has used the intelligence of the tool to allow technicians to select their own start and end time each day, giving them something back from the benefit of automation. Stuart Thompson of ABB also shared in this podcast how as they’ve automated weekly reporting, rather than the company clawing back every moment of productivity, they’ve given the employees some of their time back
  • Enablement, through proper training, effective tools, ample knowledge management, and more leads to greater efficiency – the goal should be one of maximum effectiveness versus maximum efficiency

This is just what quickly comes to my mind – what would you add to the list? And how do you balance the criticality of empowerment with the need for efficiency? I’d love to hear from you!

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July 8, 2024 | 11 Mins Read

How Can Service Organizations Contribute to a More Sustainable Future?

July 8, 2024 | 11 Mins Read

How Can Service Organizations Contribute to a More Sustainable Future?

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Sustainability is a topic that impacts each of us personally and plays an increasingly integrated role in the business landscape. From the perspective of how companies comply with and support sustainability requirements to how they aid customers with sustainable offerings or their own initiatives, it’s a topic that impacts just about every area of today’s business. Perhaps one area that is underrepresented though is the intersection of service and sustainability.

To discuss this and more, I recently welcomed back to the UNSCRIPTED podcast Rainer Karcher, sustainability enthusiast, “climate activist in a suit,” and former Chief Sustainability Officer, who has recently departed the corporate world to start helping companies work toward their sustainability objectives through his own organization, Heartprint.

As the Founder and Managing Director of Heartprint, he brings more than 25 years of IT experience from companies like Allianz Technology, IBM, and Siemens AG. His expertise spans support, infrastructure, data centers, service operations, and IT sustainability. For Rainer, sustainability extends beyond environmental protection to encompass a holistic approach aligned with the UN Sustainable Development Agenda, addressing all ESG aspects – and his passion for this work is contagious, so I strongly recommend listening to the full discussion.

There’s Always a “Why” for Sustainability

Let’s start with ensuring we’re all operating from the same understanding that everyone – and every business – should be invested in this topic and committed to taking action. There’s always a “why” for sustainability, it’s just a matter of through which lens the view resonates with you most.

“Start with your own health,” says Rainer. “If you take the SDGs, the Sustainable Development Goals, good health and well-being is part of sustainability. So, this is already a first advantage. The second is, if you for example eat less meat, you help the planet. Even by reducing consumption to maybe once or twice per week, you can consume the higher quality products, helping animal treatment, saving you money, and more. From the perspective of a company, there’s the topic of inclusion – a company that is inclusive has an advantage. If you provide a surrounding for employees to work towards a better future, the growing numbers for whom it’s a private passion will be happier in their jobs – so it can play a role in talent attraction and retention. Then we get into all of the ways these trends are impacting companies, there’s just so many reasons why this matters.”

As you read through the trends we discussed, you’ll see that whether you share a personal passion for this topic, feel invested in leaving a better future for your children, or are looking at it from strictly a business perspective, sustainability matters. There are demands to comply with, but also opportunities to win customer mindshare and marketshare by leading the way, and even create offerings to help customers on their own sustainability journeys.

Current Sustainability Trends

So, what are those trends? In an hour discussion there’s no way to cover everything, but Rainer and I focused on talking about the areas that would be especially relevant for service-centric businesses. Here’s a synopsis:

  • Regulatory pressures. “With the European Green Deal, but also impacting companies in the U.S. and across the world, there are guidelines impacting how companies do business. Depending on revenue, but going down to even the small business world, is the CSRD, Corporate Sustainability Reporting Directive, and it is replacing the non-financial reporting of the past. This is nothing completely new, but brings a broader and deeper granularity when it comes to sustainability. It contains the typical environmental aspects like carbon footprint, like water consumption, air quality, it goes into biodiversity aspects as well but also goes into social, including pay gaps, diversity, inclusion, accessibility, all those features. And finally, the governance aspect goes into the supply chain aspects. What is the code of conduct of a company to work together throughout the supply chain? It is impacting companies all over the world. We do have, depending on relationships and customer scenarios, for sure, always the need to make things transparent. And this is the biggest achievement of initiatives like CSRD and some others as well. On the other side, it does regulate where investments are going into the part of CSRD and that Green Deal called EU taxonomy. So, this is defining what is sustainable investments. I think the equivalent in the US is a bit the Inflation Reduction Act.”
  • Increasing Transparency. “Regulations require you to create a transparency on where your emissions are coming from and how you are making progress to further reduce and to get to carbon neutrality in the future, then until 2050 by latest to stick with that 1.5 degree Paris Agreement. To those of you who are not familiar, the objective of that is to limit the global average increase of temperature to 1.5 degrees. To achieve that, you have to look into, for example, the way you travel. In field service, employees normally spend a lot of time on the road. To get to your customers the sooner the better, you mostly aren’t taking any public transport or trains. You jump maybe onto a plane or into a car to get there. This is part of the regulatory for the environmental aspect, but also brings us to finding ways to lower that footprint.”
  • Lowering Environmental Footprint. “We have to find ways to lower your footprint, meaning maybe changing to electrical vehicles if it's on short ranges or mid ranges. Maybe changing to sustainable aviation fuel if you have to fly and if you have to.” There are also a number of ways in field service to use modern technologies to reduce your environmental footprint. For example, the incorporation of remote service capabilities that allow customer self-service and/or remote resolution help organizations avoid unnecessary on-site visits and also ensure that when a visit is needed, the information to achieve first-time fix has already been gathered. Moreover, technologies like IFS Planning & Scheduling Optimization (PSO) help to maximize efficiency and reduce travel time, helping to make sure you are keeping the footprint that is necessary as small as possible.  
  • Accessibility. “The accessibility aspect in the U.S. is now coming over to Europe. We're quite behind here in Germany and in Europe. We have the European Accessibility Act, which is now enforcing companies starting in summer of next year to make their products and services accessible for anyone. That means inclusiveness for blind people, for people with any kind of mental diseases or disabilities. That is something which affects for sure service and field service as well.”
  • Human Rights. “In Germany, for example, we've started already last year, the German Supply Chain Act and now the European Union is enhancing that most likely in 2026 with the CSDDD (Corporate Supply Chain Due Diligence Directive). This focuses on the whole aspect on human rights treatments, children, labor, modern slavery and so on, throughout the whole supply chain. If I'm, for example, working with a call center in India, I have to ensure being the company who is providing the service, that even if it's a third or fourth tier supplier, that they are treating humans right and providing fair payment the way it is defined in the local area region. So, I have to ensure this is in my own responsibility and not just handed to the supply chain.”
  • Investment Decisions. “I don't make an investment into a company which I have to be afraid might not be existent in a year or two. I'd like to understand that whatever they do is resilient, in regard of the whole supply chain and even reputational aspects. I do not want to work with a company, invest into a company, or insure a company I might see a risk of getting into press and media in a negative way, or maybe in a year or two and they go bankrupt. I don't know for the U.S. market, but I know for the European and in particular German market, banking is heavily looking at who is getting loans and for what conditions. Companies who have a clear sustainability commitment, the target setting, and resilience and transparency already, they get loans to far better conditions than companies who not.”
  • Supply Chain. “A perfect example we've seen already throughout the pandemic. If you remember that ship blocking the Panama Channel for a couple of days, brought a lot of companies really to their limits. If I have an understanding of my suppliers throughout the whole chain and transparency of what is their impact and what could bring my supply chain to risk. With human rights, the fashion industry has been an example of poor working conditions and reputational aspects. Every company leader, every C-level in a company, whether it's 50, 500, 5,000, 500,000 employees, has to take responsibility.”
  • Sustainable Product Design. “If you design a product in the way that you're first of all able to repair it quite well, and when it's not able to be repaired anymore can be fully reused, you are acknowledging that our resources on Earth are limited. We don't have unlimited resources. In many cases today, we produce something, we use it, and at the end of the life cycle we throw it away often to landfill, often exported to sub-Saharan Africa or elsewhere, and we just waste and dump. This has to change. If we design products for longevity and to where we can dismantle components, separate metals from plastics, and so on, it will not only lower costs but create more circularity and lessen the environmental harm.”
  • Circular Economy’s Service Potential. The circular economy is not only better for the environment, but it can present opportunity for service providers. In a recent post on LinkedIn, Lucas Rigotto, CSO, Liquid and Powder Technologies at GEA Group, shared how he feels many research organizations and news sources discussing sustainability miss the opportunity to touch on the intersection with service. He says, “In some of our recent Sustainability and Circular Economy discussions, I came away feeling incredibly energized about the crucial role service plays in our organizational goals but even more on impact for the industry to be more efficient, profitable and really deliver outcomes from a circular approach. Service is in a prime position to help our customers achieve their sustainability goals by focusing on upgrades, modernizations, service contracts, and digital solutions. We’re ensuring products run smoothly and efficiently for longer periods, reducing waste, and conserving resources. How do we do it? Upgrades and modernizations give our customers’ assets a new lease on life. Service contracts provide ongoing care to keep everything in top shape and minimize unnecessary downtime. Our digital solutions bring process insights, help optimize their operations with our autopilot like applications and real-time monitoring and predictive maintenance, ensuring our customers and their industries are always one step ahead. By adhering to these practices, we’re not just assisting our customers; we’re also making a significant positive impact on the planet. We keep pushing forward, embracing the 5Rs, and demonstrating how our strategic service activities are paving the way for a more sustainable future. It’s a win-win for the environment, for our business and mostly for our customers and society!”
  • Artificial Intelligence. “If you look into the digital and IT world, everyone is talking AI. Everyone is looking into trying to find real use cases for AI. I just recently had a service experience myself where I called my mobile provider with a need and after about five minutes of conversation, realized I wasn’t talking with a human. We are just at the beginning of that – AI capabilities are tremendously changing the way we live, the way we work, what we do and how we do things. In service areas, you can take the simple first-level support and free up the people doing that on a day-to-day basis to work on creative, innovative things. From that aspect, there is a huge opportunity to improve our lives with artificial intelligence. On the flip side of the coin, it always comes with a price. And AI is consuming already a huge amount of energy. For example, if you Google yourself versus putting your name into ChatGPT4, ChatGPT will bring up more or less the same results but costs you 100 times more energy than Google does, and this goes for any AI solution. The energy consumption is incredible, and it requires a huge amount of data centers to be built. There’s also the ethical aspects of artificial intelligence, including the treatment of people entering the data, the issue of bias, and the question on its impact on humanity as a whole. If it sounds like I'm an enemy of AI, I am not. I am quite sure we need to have it. It's part of a solution, but we have to treat it right.”

The Issue of Greenwashing

I was curious to ask Rainer whether, with the mandated increases in transparency, greenwashing is still a major issue. According to him, greenwashing won’t go away. “As long as you have humans who are intelligent and smart at using the right words and the right visuals, there will always be greenwashing from an outside perspective,” he says. “Things like the CSRD are aimed to reduce that and it is being enhanced with a clean claims directive to regulate how you have to set up your strategy to be allowed to talk on carbon neutral or net zero. For example, to stick with that, you have to reduce your own footprint by 90% and only 10% is allowed to be compensated and offset with certificates. If you have to compensate more, then you are not allowed officially to use the term net zero. Does it keep all the companies away from greenwashing? Surely not I’m pretty confident if you keep your eyes open and trust your gut feeling, you’ll be able to identify those who are serious in their efforts and those who are doing the check-the-box thing.”

What’s Next?

Curious what Rainer anticipates the next 12 months will bring in terms of the trends discussed above, and more? “Twelve months will definitely be the time in which we’ll see AI dramatically increasing. I think we need to have a way bigger focus on resilience and the awareness that what we’ve already seen in terms of the effects of climate crisis aren’t going away. We’re still focused on things like transparency for the as-is, but we need to put a dramatically fast focus on what will happen in the future. So AI will have a huge role in prediction and helping us adapt to situations and find alternatives. I also think the world is connecting more and more – we as humanity and as the enterprise world are connecting globally. We have a global issue, so we have to treat it as such – not as competitive advantage, not with intellectual properly, but with collaboration and working towards one goal together.”

And with that, you can likely understand why Rainer named his new company Heartprint. His enthusiasm for and view around this work comes from the heart, and companies who are most committed to doing the work will know that along with creating a strategy and a blueprint, you will be most successful if you genuinely care.

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