Skippiness worth $900 million?

The Zappos shipping and receiving department

Image copyright: ericajoy via Flickr

Everything I’ve ever heard about Zappos has reinforced my belief that skippiness is good for business. Following this week’s news that Amazon.com has agreed to buy Zappos in a deal that tops $900 million, I’m surer than ever.

Feel-good employment

Under the heading of Success Stories, Inc magazine says,

Zappos, the online shoe retailer that has won renown for its stellar customer service and feel-good employment practices, announced that it was selling itself to Amazon.com.

The article goes on to reference a letter sent to employees by CEO Tony Hsieh, saying,

that although Zappos would be a part of a larger company, it would preserve its quirky culture that focuses on keeping workers happy.

Reading that, and being a little biased about this kind of thing, I see a simple skippiness formula:

(products people want)+(“stellar customer service”)+(“feel-good
employment practices” that “focuses on keeping workers happy”)
=very happy owners.

I don’t mistake a simple formula for an easy formula. Each part is hard work in itself and pulling the whole thing together, consistently, over enough time to build a significant business takes more focus, clarity, commitment and discipline than most leaders can muster. But when it does come together, the editors of Inc pay compliments and investors pay far more than just their attention.

The thing that bothers me is, why don’t more businesses try?

Glad to be involved

Is it because it’s not easy? Maybe, but it has to be worth the effort.

Owning/running/working in a place like Zappos must be better than the opposite – a business that offers products people don’t want, with grudging service and feel-bad employment practices that make workers unhappy. I don’t believe anyone goes in to business or takes a job intending to make it like that. It just kinda happens, especially when leaders are concerned with the pursuit of money as an end in itself.

Running a business in the pursuit of skippiness takes an alternative perspective. It’s the idea that businesses should be started and run with the explicit objective of making customers, staff and owners all glad of their involvement.

This week Zappos “powered by service” proved beyond doubt that if you do a good job, all kinds of money will flow.

Neatly filed under Skippiness
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What do all those people do?

office 2000

Image copyright: Corscri-Daje tutti! via Flickr

Inside any kind of organisation bigger than the land of Me & My Mate, you’re probably surrounded by people who do a job that’s completely different to yours.

What do all those people do?

I’ve been thinking about the doing part of that question lately, rather than the people part. The way I see it, no matter what the job title or department, the doing falls in to one of only five categories:

Making Promises – easiest to think of as all the things that happen in sales or marketing, some customer services and board functions. Anything that makes any kind of commitment on behalf of the company is a making promises action.

Keeping Promises – everything that even vaguely fits into operations: all the tasks that make the product, perform the service, look after customers, pick up, package or deliver the thing.

Measure and control – all the things involving numbers or making sure nothing gets out of hand.

Support – what gets done in order to make everything else function; what normally happens under the headings of IT or HR for instance.

Leadership and innovation – without getting bogged down in book style definitions, leadership is about direction setting and steering to the compass whilst innovation is all the processes that aim to improve things.

These are not departments, they’re functions, and whilst every person spends most of their time in one kind of role, they probably undertake processes in others, if not all. For example, a production worker is mainly employed to keep promises, but they probably also try to innovate to improve things, keep an eye on production rates and quality, put their arm around colleagues when they need it, and continually make commitments within and for their department.

Ok. So what? Is this anything other than yet another way of thinking about organisational structure?

If every process is about making, keeping, ensuring and supporting promises, or improving the way the whole thing gets done, then every job is about the customer.

So what do all those people do? Let’s hope they’re not wasting any time discussing, deciding or doing anything that doesn’t draw a straight line to improving the life of the customer.

Neatly filed under Innovating,Keeping Promises,Leading,Making Promises,Managing
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