I grew up in the country, where roads are “maintained” rather than “improved”, and where storm drainage can often be a challenge. So we were used to big rain storms (like last week) resulting in large puddles of water on either side of the road. We knew it was a big storm when the puddles met in the middle and stretched across the entire road (and as kids, it meant that some excellent “mud biking” was in store). A day or two after the rain had stopped, someone would notice the puddles and put up a warning sign like the picture above.

This always struck me as humorous. Everyone who lived on our road, or used it on a daily basis, had already been navigating the puddles for several days by the time these signs started showing up.  We already knew, or had learned the hard way, that caution was needed. So what was the point of the sign?

When is a warning sign most effective – before something dangerous or unwanted happens, or after it occurs?

What about your business – are you getting timely warnings before adjustments are needed, or just historical indicators telling you that something has occurred? What are the key performance indicators that drive your business? How do you get accurate and timely feedback about these key measurements, so that you can react when adjustments are necessary?

Think about your potential warning signs and put them up early.  Let people know what they mean and how to avoid the problems that could arise.  Prepare a plan to follow to get you around the potential pitfalls.

And please, drive safely this week!

How easy do you make it for your customers to do business with you?  Have your “upselling” efforts inadvertently resulted in lost opportunities or, worse yet, lost customers?  Do your processes enhance your customers’ experience?

These questions came to mind as I was standing in line at a national rental car agency.  (I won’t mention the company’s name, but I’ll bet you hate making one and the government hates sticking to one.)  My day started off by leaving our San Jose hotel at 4:30 a.m. where we caught an airplane to Washington D.C.  We arrived there at 4:30 p.m. after a long and tiring day of travel.  Worn out and drained, we caught the shuttle bus to the rental car center, ready to pick up our car and finish our day’s journey.

I had made an online reservation, answering all the questions about the options available, and so I expected my confirmation to be processed very quickly.  I first went to the express check-in area where I was told the car was reserved, but that I would have to go upstairs to check in.  I left my wife at the express area and told her I would be back in just a few minutes. When I got to the counter there were two agents waiting on people.  I was second in line and was thinking how fortunate I was that it wasn’t busy.  That feeling of euphoria soon ended.

UGLY POINT #1 – One agent (who, I later found out, was the manager) was helping a customer, while the other agent was beginning the review of the liability waiver.  You know the one, the one that says, “We tried to sell you additional insurance at a cost equivalent to $5,000 per year, but for some reason you didn’t see that as a good deal.”  As smart consumers, these women had already determined that they were covered by their personal auto insurance carrier.  However, doubt crept in to the woman who was the primary renter.  “If my friend is driving and has an accident, will the company go after her or me?” Shrug. The manager, who had just finished with his customer, was brought over.  “Yes, as the person on the contract, you will be liable.”  “OK, let’s add the insurance.  No, we’d better change the contract over to her (pointing at her friend).  We need you to re-write the agreement and show her as the renter.”  (My wife calls.  “Where are you?”  I tell her it will be just a few minutes now.)  The manager disappeared.  (I’m still waiting in line.)  Finally, after an interminably lengthy discussion, the women had their car and were off.

UGLY POINT #2 – At last, it was my turn.  I brought up my confirmation, knowing that this would be quick.  There was no apology for the long wait, no acknowledgment that I had even been there.  The agent keyed in my information and asked me how much luggage I had.  Then the barrage of questions (no, strike that… “recommendations”) started.

“We recommend that you get the full-size car instead of the standard-size.”  No, thank you.

“OK, do you accept the full-service package?”  What!?  I don’t understand what that is.

“It includes liability coverage.”  No, thank you.

“We recommend that you at least choose the insurance on the car.”  No, thank you.

“We recommend that you choose the fueling option so you don’t have to worry about bringing the car back with a full tank of gas.”  No, thank you.

“Finally,” I thought, “I’m done with these annoying questions.”  While these questions are always frustrating, after nine hours of travelling and 30 minutes standing in line, these questions were EXTREMELY irritating.  Another phone call from my wife.  “This is not going well and is REALLY frustrating!”, I said, intentionally within earshot of the agent.  No comment from the agent.

UGLY POINT #3 – No matter, I had gotten through the questions unscathed and the agent printed the contract.  My momentary jubilation quickly ended when the first point was reviewed.  “Here’s your total rate.”  ARGHHH!  The amount was $60 higher than the confirmation agreement I had given the agent.  The agent reviewed the confirmation, looked at her contract, looked at the computer screen, and hit a few keys.  No explanation could be found.  The manager was now brought over and he assumed the investigation.  Again, no apologies, no “Thank you for waiting”… nothing.  He spent the next several minutes hitting computer keys.  Finally, he just made an adjustment and gave me the revised amount.  It was $30 LESS than my confirmation!

“Oh, well,” he said, as he printed the contract.  But, there was one final problem.  The revised contract had no total.  When I asked about it, he just said that it was a modified agreement and showed me the adjustment.  I asked him for the total and manually wrote it on the agreement so I would have a record of it before I signed it.  Again, there were no apologies, no consideration at all for the extremely lengthy and annoying process.

Finally!  I was done and am on my way to get my car.  Total time from entering rental counter area… ONE HOUR!

Questions to ask yourself:

1. Does your performance management system reward the desired behavior?  While additional revenue per customer is a nice goal, the add-ons may be perceived as an additional pound of flesh from your customer.
2. Are your employees well-trained in your product or service?  Customers may ask very logical questions when presented with a sales request.  You r employees should be trained to anticipate such questions and have ready responses that make sense to the customers.
3. Do you have “the right people on the bus”?  Jim Collins, author of Good To Great, uses this term to describe employees who have the attitudes and attributes needed for your company.  He suggests hiring for attitude and training for aptitude.
4. Is your company easy to do business with?  When presented with a sales offer, the customers’ reasonable questions were met with a) no response, and b) a negative response. W hat seemed like a streamlined process via the online reservation system, turned into a nightmare when the system broke down.

With the best of intentions, businesses often begin to focus inward at their own processes and systems.  Instead, they should be looking outward, to their customers, and focusing on their needs and wants.  The ability to place the customer first and foremost, and then design the processes and systems to support that focus, is what sets good companies apart from mediocre ones.

Given the opportunity, your customers and employees are ready to tell you what to do.