The three truths of customer-centric cultures
Being customer-centric is no longer a choice; it’s a necessity for businesses aiming to deliver exceptional customer experiences and outcomes. A customer-centric culture ensures that every touchpoint of the customer journey not only meets but exceeds expectations, building loyalty and driving long-term success.
While many businesses aspire to be customer-centric, few achieve it. They all typically would intellectually know ‘why’ being customer-centric matters. The difference lies in understanding and embedding three truths of customer-centric cultures into everyday behaviours. These truths aren’t theoretical—they’re practical steps that leaders can take to create a meaningful and lasting impact. Let’s explore them.
The three truths of customer-centric cultures
1. It’s not all about your values
Values are important, but they’re just the starting point. Too many organisations get caught up in defining the perfect words for their value statements, spending months debating whether to use “care” or “empathy.” The truth? Words on a wall won’t transform your culture—behaviours will.
What truly matters is how those values are demonstrated day-to-day. Instead of debating semantics, focus on connecting employees to these values through action. Leaders need to live the values and model behaviours that resonate with their teams. This means showing care and empathy in real, tangible ways, not just during strategy meetings but in everyday interactions.
2. Team climate eats company culture for breakfast
While company culture is often seen as the holy grail of transformation, it’s team climate that makes the real difference. Culture is broad, nebulous, and slow to change, but team climate—the environment experienced at the team level—can shift almost immediately.
Here’s why team climate matters:
- Proximity: Great leaders don’t manage from a distance. They stay connected, walk the floor, and listen to both employees and customers. This physical and emotional closeness builds trust and creates an open line of communication. By addressing issues as they arise and showing they care about both employees and customers, leaders demonstrate their commitment to customer-centricity. For example, leaders who spend time in customer service departments or on the shop floor gain invaluable insights that allow them to make impactful changes.
- Role Modelling: Actions speak louder than words, and role modelling is symbolic. Leaders set the tone for their teams by consistently demonstrating customer-centric behaviours. A powerful example of this is Amazon’s Jeff Bezos. At Amazon board meetings, an empty chair is often reserved to represent the customer, reminding everyone that decisions must prioritise customer needs. Such symbolic actions resonate deeply, ensuring that the customer remains at the heart of decision-making. Leaders who model these behaviours inspire their teams to do the same, creating a culture where customer focus becomes second nature.
- Illuminate Awesome: Organisations often focus on identifying and fixing what’s wrong. While that’s necessary, equally important is celebrating what’s right. Recognising and amplifying great behaviours inspires teams to replicate them, creating a ripple effect across the organisation. Leaders should make it a priority to publicly praise employees who go above and beyond for customers. For example, acknowledging a team member’s innovative solution to a recurring customer issue not only boosts morale but encourages similar behaviour in others.
- Psychological Safety: Team climates thrive when employees feel safe to speak up, share ideas, and challenge the status quo. Leaders who foster psychological safety create environments where innovation and collaboration flourish. This means listening without judgement, encouraging experimentation, and learning from failures rather than punishing them. When employees trust their leaders, they are more likely to go the extra mile for customers.
Research shows that 75% of employees leave jobs because of bad bosses, not bad companies. Leaders who prioritise team climate have an immediate and profound impact on their team’s engagement and, in turn, on customer outcomes.
3. Focus on performance, not just culture
Many organisations take a “culture-first” approach, believing that a strong culture will naturally lead to high performance. While this might be true over time, businesses don’t have the luxury of waiting years for results. Instead, focusing on performance metrics can be a faster and more effective way to drive engagement and, ultimately, culture.
Here’s how it works:
- Start with clear, customer-centric performance goals. For example, improving first-contact resolution rates or reducing customer complaints.
- Provide teams with the tools and training they need to meet these goals.
- Factor in a focus on team climate, mindset, and capability development. Creating a positive team environment, shifting mindsets towards customer-first thinking, and building the necessary skills and capabilities can significantly enhance the success of performance improvement projects.
- Reduce Friction: Address barriers that hinder progress. Simplify processes, remove inefficiencies, and create smoother workflows that empower employees to focus on delivering results.
Interestingly, when organisations focus on improving performance with these elements in mind, cultural improvements often follow as a byproduct. Performance improvement projects where friction is reduced and team climate is prioritised often see a marked decline in attrition rates and an increase in employee engagement. Engaged employees, motivated by tangible goals and clear leadership, naturally create a stronger, more cohesive culture.
Building a customer-centric culture starts with you
If you want to transform your organisation into a truly customer-centric business, start with these three truths. Focus less on perfecting your values and more on embodying them. Shift your energy from vague cultural aspirations to creating an exceptional team climate. And above all, drive performance in a way that inspires and empowers your people.
Customer-centricity isn’t just about what you say as a leader—it’s about what you do. By embracing these three truths of customer-centric cultures, you can create a workplace where employees thrive and customers keep coming back.
Find out more about Team Climate here