Pool Party Ethics

Treasured reader(s),

 

It has been far, far too long since I have written to you, at least from my perspective. I am pleased to report that we've been engaged in some very interesting projects lately. The only problem is, when we owe actual clients actual work, it is difficult to compose meaningful blog content. It’s also more than a little awkward to post that content when we count those very clients among the readers of the blog.  Happily, stories like the following virtually write themselves.   I continue to be inspired by business leaders who make wise and creative investments in employees.

 

A friend of mine works for one such organization, a firm that implements technology solutions for voice and data communications – everything from high-end videoconference rooms to private and public network infrastructures. He recently attended a great company party, paid for with “spiffs” from the manufacturers of equipment they install. Spiffs are incentive payments that manufacturers offer to the sales reps of retailers or value-added resellers. In this case, this company’s sales reps all agree to pool their spiff payments, and use them to sponsor parties for all the people who actually deliver the work that they sell. It amounts to some very serious recreation, at no cost to the company.

 

This is smart for many reasons. First, spiffs can create at least a potential conflict of interest: a sales rep has an incentive to recommend or specify a product that may not be the optimal unit for that customer. By pooling the spiffs, this company is eliminating that temptation. 

 

Second, the sales reps are in a position to collectively reward the people who do the work after the sale gets made (and, often, plenty of work beforehand, too).   A good party is a very tangible “thank you.” Building this into the way things are done reinforces how important it is to share the each project’s pleasures and rewards, along with its work.

 

Finally, these kinds of events bring together people in a social setting, for whom effective collaboration is critical for ultimate customer satisfaction. It is easier to rely on – and harder to disappoint or ignore – people with whom you have a relationship. Parties are often how these relationships are formed and fostered. They also create great environments for memories and stories to be made and shared, to the benefit of all involved. 

 

Indeed, it seems that this program does all those things. My friend talked about how people converse at the party who don’t have occasion to do so in the course of their work, and how each event seems to bring the teams together.

 

A little creativity, an interest in doing things right, and the willingness to follow through can improve an organization, while someone else picks up the bar tab. Ethics is sweet.