What Does “People First” Mean in Business and Why Does It Matter?
We are all familiar with the rhetoric of “putting people first” when discussing great leadership, but what does it mean and how do you do it? Putting people first is a mindset supported by a set of activities that places the needs of an organisation’s employees, ahead of all other considerations, including shareholder value and profits, even if it requires personal sacrifices from leaders.
Establishing a people-first culture within a company’s HR System is a concept that works to understand employee needs, as well as one that recognises deeper changes taking place in the workplace. Creating a culture like this is a crucial step in enhancing employee satisfaction and retention.
Here we look at exactly what a “people-first” culture is and the effects it may have, on both staff retention and an organisation as a whole.
If we group individuals based on their roles within a company, we can take a look at the advantages of putting people first, based on the outcomes for each group.
Employees: Putting your employees first, by ensuring they are appropriately engaged at work has numerous benefits. The retention rate, happiness levels at work, output, quality, productivity, customer satisfaction, top-line revenue and bottom-line profits all improve when employee engagement increases.
Colleagues: When workers have a sense of belonging, friends and a supportive network within their company, they are less inclined to leave their jobs. Many employees claim that having friends at work makes them work more, care more and perform better.
Customers: Excellent customer service and affordable prices are no longer sufficient when it comes to guaranteeing a company’s success. In today’s marketplace, the experience economy is king, as we all search for intangible “wow” factors, that provide us with a positive buying experience. Customer experience suffers when companies fail to demonstrate that they care. Businesses should aim to deliver excellent customer experiences and work to achieve a people-first culture that truly cares about everyone, from customer to employee.
Vendors: Vendors are people too! Every seller has connections to others who might work for or buy from you, in addition to being a possible consumer. It is unnecessary to treat merchants disrespectfully and doing so might damage the reputation of your business.
Community: Whether you consider yourself to be a local business owner or a global citizen, everything you do affects other people. You can show your staff and clients that you care about the community by giving back to your local community, your neighbourhood, or a charitable organisation.
What Does “People First’ Mean When It Comes to Actions?”
The guiding principles of “people first,” direct activities that demonstrate that people are your top priority. Here are the five elements that make up the foundations of this philosophy.
Enablement: Providing the training, tools, resources and freedom to carry out duties. Making it simple for customers to get in touch, to enquire or to report issues.
Engagement: All aspects of a business include interacting with customers. From consulting with supplier networks and soliciting comments to asking customers to assess the merits of new product designs or product quality. This is all about sincerely valuing, admiring and soliciting employee feedback.
Ennoblement: Providing individuals with a sense of value and significance. This way of thinking is driven by the belief that everyone is deserving and significant. Companies should aim to learn what consumers, vendors, coworkers and community members have to say and refrain from being abrupt, rude or dismissive.
Entelechy: Working to bring latent potential to light. This is about encouraging people to grow personally and professionally and pushing them to leave their comfort zones in the pursuit of their passions and potential.
Empathy: Demonstrating compassion for other people, it is all about paying attention and showing concern.