"Servant Leadership Practices…the Sam Walton Way!"

In the midst of the holiday season we find ourselves in, it only makes sense for this week’s blog to interrelate the lucrative retail giant Sam Walton’s business team philosophies to building strong teamwork communities inside business. Michael Bergdahl, former Walmart Executive and current keynote speaker, stated in his book: What I Learned From Sam Walton: How to Compete and Thrive in a Wal-Mart World, “Servant leadership is the foundation and the secret of Sam Walton's ability to achieve team synergy.”

The term Servant Leadership was originally coined by Robert K. Greenleaf in 1970 when he published an essay titled, “The Servant as Leader.” Broken down in those terms its makes much more sense exactly what is meant by the term Servant Leadership. In layman’s terms Servant Leadership escalates the practice of employee empowerment when it’s performed with due diligence. Furthermore, organizations that operate utilizing Servant Leadership best practices recognize statistics of higher employee satisfaction equating to higher levels of employee retention, which also translates into elevated business practices and business growth.

Sam Walton developed the 10 Rules of Sam Walton that he personally followed. These rules also set the bar by which anyone that worked for the retail mogul also had to follow:

1. Commit to your Business: Displaying extreme passion about anything you value becomes more contagious than the flu, step throat, or chicken pox. Actions speak louder than words. When coworkers see someone passionate about their work, they will also become more passionate about their responsibilities.

2. Associates should be treated as partners: All partnerships include sharing the profits of the business. No matter how large or small your business is or how large or small the sharing of the profit is to your employees, they will become more vested in the success of your business if they are also sharing in the profitability.

3. Creatively motivate your partners: Money and ownership are merely short-term rewards to your day-to-day partner associates. Determine motivating factors that suit your partners and more importantly your business. Set rigorous goals/competitions with outrageous payouts, change management responsibilities, and always keep partner responsibilities fresh.

4. Explicit Communication: Partners should feel like they are given detailed information about the business. The more they understand the more they care about the business and therefore the harder they work for its success.

5. Appreciate your partners: Again, money and ownership are only one piece of the puzzle. Everyone likes to hear their value to the company. Recognizing partners for their effort provides immeasurable outcomes to the companies success.

6. Celebrate successes and Laugh at YOUR failures: Notice I didn’t say point out others failures. That certainly should never occur except in one on one conversation behind closed doors, but as a business owner, you should never take yourself too seriously. Whenever possible do something silly or funny that will give your partners the safe opportunity to laugh and have fun. Allow them to see the human side of you.

7. Listen to your partners: Listening is only half the battle. Getting them to talk is the greatest challenge. Partners need to feel safe to express their ideas. This is where, as previously mentioned, displaying your failures becomes valuable. When employees feel safe to share ideas without ridicule or criticism the volume of ideas will overflow. Who better to invent best practices than those people on the front lines of your business day in and day out?

8. Exceed customer’s expectations: Sam Walton stated, “The two most important words I ever wrote were on that first Wal-Mart sign: "Satisfaction Guaranteed." They're still up there, and they have made all the difference.” Your partners are also consumers and possibly consumers of the product or service your business distributes or performs. As such they feel satisfaction from taking care of your customers in the way they would also like to be taken care of as a consumer.

9. Control your expenses better than your competition: The more your partners understand your passion, your methods for controlling your expenses, and the impact that has on the profit margin; they will become overseers of your expenses as well as innovators of methods for cutting expenses.

10. Swim upstream or go against the grain: Innovation isn’t inspired by continually doing what you’ve always done. Take calculated risks and be ready to be criticized for taking those risks. This is why by employing the Servant Leadership methodologies described you will build a supportive team willing to also challenge those naysayers to prove them wrong, all the while building your business based on their belief in the work done together as an equally respected team.

Following Sam Walton’s 10 rules is one foundation for building Servant Leadership in a business. If you would like support in developing Servant Leadership strategies in your business, we are eager to team together with you to get the results you desire. Visit our website at www.themeritgroupindy.com or call 317-805-4896 today!

Look for more small steps that produce BIG results!