Recent study by Barclaycard who processes nearly 50% of UK’s debit card and credit card transactions, showed that customer spend in department stores, consumer appliances and vehicles have come down significantly while the spend on theatres, pubs, restaurants and cinemas have gone up. Many people do not want to spend money buying cars, homes and stuff; rather they would like to spend their time and money experiencing new environments, unique places, innovative practices, first-of-its-kind feelings and so on. Thanks to social media, they can flaunt all they have! And the friends and friends of friends make their posts go viral. That’s the experience youngsters are looking for!
If someone goes shopping or watching a movie, it’s a complete experience that she or he is looking for. Hence, the need is to go beyond what the shop sells or what the theatre plays. The shop has to think how it engages a customer right from the stage of pre-buy to long after the buy is done and provide an engaging experience. That is why modern-day theatres are turning into multiplexes complete with experience zones, food-courts, loyalty programs and are integrated with shopping centres, hair salons and game zones.
Today, owning stuff is not critical and does not necessarily reflect status, rather people are concerned about where they watched a movie, what holiday they went on, what they did there and where they had food and so on. It is not so much about what they bought as about the experience they had while buying. How is HR adapting on the face of this rise of a new economy called ‘experience economy’?
Candidate Experience all the way!
It is not a new theory – in the last two decades, business leaders and HR leaders alike, have stressed the importance of candidate experience. However, what has changed is about the ‘here and now’ impact of an experience that is not so good. Our smart phones and social media are a potent combination for the fire to spread and at the same time, has the potential to accentuate a positive experience.
HR Team has to be on its toes all the time to watch out for any negative comment and neutralize it at the earliest. Similarly, they need to gather the positive experiences and showcase those. It’s not natural for people to be spreading positive experiences as much as they do for negative stories. So, the HR team has a task at hand to create the right environment and spread the positives. It’s the experience which matters.
How is the Employee feeling now?
Each day at work is different for everyone in an organization. Employees work with their peers, sub-ordinates, bosses, also in some cases, with external stakeholders. Each interaction is a moment of truth and each moment adds to the overall experience. It is natural that all interactions do not become great. When the sum of all these experiences is above the mental image of a good day, the employee is happy. When majority of the days do not turn out to be good, it’s a trouble!
HR Team has to be tuned to the early signals and intervene at the right moment. Sometimes, HR teams are busy addressing various issues and hence, have no time to switch on their receivers. They do not make field visits, gather no relevant intelligence and hence, can at best operate in the reactive mode. Typically, organizations wait for the results of the annual employee satisfaction study to take action. But, it’s too late in today’s world! They have to find the energy, bandwidth, interest and capability to listen to all signals coming from the workplace so that appropriate actions can be taken in time.
Build the enabling infrastructure.
Often, the HR leaders and the Business leaders are well-intentioned to listen to experience of candidates as well as the employees. The HR team is capable of tuning into the vibes at the workplace and taking corrective actions. In spite of all the right things in place, execution suffers because the employees aren’t sure if they should be honest and genuine while interacting with the HR team and the senior leaders. They might be apprehensive because of unfavourable experiences in the past.
Leaders of the organization set the tone and show the candour in making decisions. This goes a long way in enabling the communication systems to work and collaborating with external centres of excellence to improve organizational processes.
In the days to come, as more and more people are going to be focused on the short-term and concerned about the experiences, HR has to ensure that agility and holistic approach in whatever it does right from talent attraction, assessment and acquisition to engagement, maintenance and development.