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- Sales Rank: #3750105 in Books
- Published on: 1617
- Binding: Hardcover
Customer Reviews
Most Helpful Customer Reviews
10 of 10 people found the following review helpful.
By Robert Morris
As I began to read this book, I recalled again the comments of Southwest Airlines' then chairman and CEO, Herb Keller, when asked to explain his company's competitive advantage: "Our people. We take good care of them, they take good care of our customers, and our customers take good care of our shareholders." Vineet Nayar's concept of Employers First, Customers Second (EFCS) could be misunderstood to mean that an organization's customers have secondary importance. In fact, as Nayar explains, customers are the ultimate beneficiaries of EFCS. Kelleher makes the same point in the remarks quoted earlier.Here's the challenge for C-level leaders: How to establish and then sustain am employee-centric organization? Nayar write this book in response to that question but I think he has accomplished much more than he may have originally intended. With all due respect to the importance of crating what Ben McConnell and Jackie Huba characterize as "customer evangelists" in a book that bears that title, I think Nayar is advocating an even more important role for employees' relations with customers: as co-creators. He advocates "inverting the management pyramid," beginning with front-line employees, and fulfill aspiration needs, notably the need to give everyone a sense of purpose, to address the need for what Dave and Wendy Ulrich call "gthe why of work."I agree with Nayar that customers should be among those who are centrally involved in an inside-out transformational process by which to adopt, implement, and then strengthen an organization, guided and informed by an open business model such as the one Henry Chesbrough describes: "A business model performs two important functions: it creates value and it captures a portion of that value. It creates value by defining a series of activities from raw materials through to the final consumer that will yield a new product or service with value being added throughout the various activities. The business model captures value by establishing a unique resource, asset, or position within that series of activities, where the firm enjoys a competitive advantage."In this instance, Nayar insists, that advantage is provided by employees who are actively and productively engaged because (a) they feel that they and their efforts are appreciated, (b) they perceive their organization is committed to "trust, transparency, and management accountability" because there is an active and (yes) open "engagement platform" to expedite communication, cooperation, and collaboration, and finally (c) they are confident that they will play an active role throughout what is certain to be a long-0term process of cultural transformation.Chesbrough could well have had Nayar's company, Hindustan Computers Limited (HCL), in mind when observing, "An open business model uses this new division of innovation labor - both in the creation of value and in the capture of a portion of that value. Open models create value by leveraging many more ideas, due to their inclusion of a variety of external concepts. Open models can also enable greater value capture, by using a key asset, resource, or position not only in the company's own business model but also in other companies businesses."In the fifth and final chapter, Nayar caught me by surprise with the approach he takes. I expected the usual summary of "key takeaways," reassurances, caveats, call to action, etc. Instead, Nayar explains "what EFCS really is and what it isn't" as well as what it can and cannot do for the business leader who reads it, and what it can and cannot do for the reader's organization and associates. Why does he take this approach? Because he acknowledges that, perhaps, it is easier to misunderstand EFCS than it is to understand it. With surgical skill, he corrects five (presumably common) misunderstandings. By taking this approach, Vineet Nayar achieves two very important objectives: he clarifies whatever his reader may have misunderstood, and, he thereby strengthens the preparation of his reader to discuss EFCS with others.Bravo!
1 of 1 people found the following review helpful.
By Mr. William Oxley
This is the simple story of how one man went about the challenging task of running a huge almost directionless global conglomerate into a cutting edge innovate group of companies across the globe all pulling in one winning direction. AND succeeding!"The title of the book was spot on. It had me hooked. Put your employees first goes ahead of the typical sales mantra that "the customer is always right" rather like the annoying financial mantra that a "sale is not a sale until the money is collected". Recently my own company has started to invest heavily in the more talented and hard working employees because that is where the future success of the company will come from. So what does Nayar add to this?The Indian IT company HCLT was one that I had never heard of before, (I have heard of Tata), but do not let that put you off. For here is a company that goes on to disrupt the status quo in IT consultancy. How?1. Mirror Mirror. Creating the Need for Change. Basically Point A is where the company now. Point B is where Nayar wanted to take the company. And to make the journey the company would have to change so radically because there was no easy steps moving between the 2 points. The radical change was within the concept of putting the employees first. Why - because they are right at the front face dealing with customers in the value zone. If they are not in it to win it, then the customers will get a poor service, and HCLT will not get repeat business.2. Trust Through Transparency. Creating a Culture of Change. Why would anybody want to change when habits create a stress free environment, and change disrupts peoples' power bases, or creates more work? In all company's the most difficult change to push through is often the one form the top, as you have to push and push and keep on pushing. The longer lasting and more successfully integrated changes are usually the ones that originate or are championed from by the employees themselves. Nayar needed to put a lot of resources into his project (the U&I site) to make his thousands of employees understand that the new change is here and here to stay.3. Inverting the Organisational Pyramid. Building a Structure for Change.4. Recasting the Role of CEO. Transferring the Responsibility for Change.5. Find Understanding in Misunderstanding. Renewing the Cycle of Change.A really inspiring story of how to implement change in a huge organisation that not only benefits the many hard working employees, but then ultimately the customers, and the company. Great story.
1 of 1 people found the following review helpful.
By AK
Vineet Nayar has produced a summarized account of the turnaround he helped mastermind at HCLT, a leading Indian IT company in this book. While accounts of this sort often risk turning into an advertorial for the company or the CEO, in this case I would say the author managed to successfully thread the thin line and deliver content first, with the company itself remaining more in the background.The premise - somewhat provocatively named 'employees first, customers second' - is that often most value in companies is generated at the bottom layers of the pyramid and that it is exactly those people there that should be empowered by management, so as to deliver the maximum value to the customer. In the end, as the author repeatedly mentions, this does not mean putting the customer second as such, it just means that priorities internally should lie with enabling the employees to be as effective at solving customer issues, as possible.Specific issues tackled are the role of management, communication channels, reorganizing support functions, blue skies strategies, etc. If you have been working in a larger company in the recent years, you will definitely recognize some of the approaches - such as ticket systems for support functions (although if the companies I have worked with in the last years are indicative of the whole, this has been sadly successfully resisted by all but IT departments), various blogs and other social media like platforms enabling employees to confront top management with inadequacies they face in their daily work lives, etc. What I find refreshing is the introduction of those as a coherent whole, with clear objectives behind and a constant development. Not trying to claim this is not the case anywhere else but the author at least does an excellent job of demonstrating how to do it right (as opposed to just paying lip service to the new fad of the day).If you are looking at the book from a 2013 perspective (the turnaround started in 2005), some of the things do not seem as new as they were when introduced (where many were much closer to, or at the leading edge). This should not deter you from reading the book, though - the explanations, the overarching plan and the consequent implementation is what matters and where the book delivers very well.In the end you may forget the employees first, customers second catchphrase, or use your own. Still, the book is likely to garnish you with some solid concepts that will help you in improving the management of a medium sized or large enterprise. In spite of all the useful advice, success will probably still be highest, if you initiate such change from high enough up (like the author), otherwise many of the ideas will probably fail to penetrate the resistance of the status quo defenders.
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