A new study from no less than the Massachusetts Institute of Technology (MIT) and powerhouse IBM finds that  workers who maintain online connections to their bosses produce more than those who don’t.

The surprising finding: Not only were people who frequently communicated online with their manager more productive. Those who avoided their managers online were much less productive.

The researchers (two of them from MIT’s Sloan School of Management) analyzed a wide range of electronic communication channels, including e-mail, buddy lists and  social networking activity of 2,600 workers over 12 months to come up with their conclusions.

Employees who maintained constant electronic communications averaged an increase in revenue of $588 per month over the average; the luddites who didn’t produced $98 per month less than the average.

The researchers concluded that the underperformers probably felt pulled in too many directions with no clear leadership or direction.

As the modern workforce becomes more geographically dispersed it’s become a challenge for workers and managers to stay connected and know each other’s strengths and weaknesses.

Using electronic tools to forge stronger bonds and communicate tasks, objectives and feedback seems to be a key way for companies to keep everyone connected, directed and productive.

To read the details of the MIT/IBM study, visit here.

1. Discouraging experimentation: It’s been said that you don’t make an omelet without breaking some eggs, and the same holds true in business. Managers who rule with an iron fist and come down hard on employees for making a mistake – even if it’s in the service of trying to do something positive for the company – make those employees feel like it’s not worth the risk to color outside the lines, so to speak. That type of “sweatshop” atmosphere generally results in high turnover, low morale and very little in the way of progressive ideas.
2. Criticizing in public: The old saying goes that a manager should “praise in public, criticize in private.” Surprisingly, a lot of managers get that backward, whether it’s due to impatience or wanting to make an example of employees who aren’t following procedure. Criticizing in public doesn’t only belittle an employee in front of others, it makes him/her reluctant to speak up or share constructive ideas for months or even years to come. Long term, it sends a message that management can cut down staffers whenever they like, which doesn’t bode well for “round-table” collegiality.
3. Always reacting negatively to “new” ideas: Some of the best employees a company can hope for are those who have the intelligence and ambition to recognize and capitalize on new trends. In progressive-thinking companies (e.g., Google, Amazon, etc.) the best ideas don’t necessarily all come from the top. In fact, Google insists employees devote 20% of every work week to their own Google-related project or initiative. Having the mentality that “We always do it this way because it’s always been done this way” may not be an effective management style, especially given the shifting economy and the impact technology has had on almost every facet of business.
4. Failing to communicate downward: With so many companies experiencing cutbacks and layoffs, there’s been more of a mandate from the C-suite to play things close to the vest, so to speak. Unfortunately, lack of any reassurance from management (regarding the company’s future plans and/or direction) creates fear among the ranks. Employees end up spending more time worrying about job security than they do focusing on the task at hand. One solution: Send a weekly e-mail to everyone in the department, apprising them of the latest news and changes. It allows you to put a positive spin on what’s happening, and increases the chances employees will do the same.
5. Refusing to delegate: One of the most valuable skills a great leader possesses is the ability to empower others by delegating low- and mid-level tasks to trusted employees. Delegating also allows great leaders more time to focus on big-picture tasks that allow the entire company to thrive. Managers who fail to delegate are generally not ineffective at developing employees who are eventually promoted into key positions at the company, which is a key to long-term retention.

Based in part on “Managing Risk Without Risking Experimentation,” by Art Petty, Management Excellence.

The study’s findings were based on:

• Feedback from more than 450 managers at Fortune 500 companies with a specific focus on the shared characteristics of 30 of those managers who were fired during the three years the study was conducted, and

• Additional feedback from more than 11,000 everyday business leaders  (with a specific focus on the least effective 10%).

While a lot of the characteristics that made up the top 10 may seem like no-brainers, the study also revealed that most ineffective leaders weren’t even aware they exhibited negative behaviors. In fact, those who exhibited the most negative behaviors often rated themselves very positively when surveyed.

Here are the top 10 shared characteristics of ineffective leaders (in descending order):

1. A lack of enthusiasm. Energy trickles down in corporate cultures and leaders who show a general lack of interest in pursuing new initiatives (or helping employees succeed) are a drain on productivity.
2. Acceptance of mediocre results. Complacency is the name of the game. They aim low so there’s no risk of failure (or real success).
3. A lack direction and vision. Leaders who don’t provide feedback or lack the foresight to develop new ways to help the organization evolve create a stagnant work environment.
4. Poor judgment. They make decisions based more on whims or personal feelings than hard numbers and facts. As a result, they lose the faith of their troops (and upper management).
5. Inability to collaborate. They lack the ability to compromise and they don’t respond well to constructive feedback from employees, subordinates or their superiors.
6. Failure to practice what they preach. Ineffective leaders follow “do-as-I-say-not-as-I-do” politics. In many cases they feel they’re exempt from the same rules as employees because of their position.
7. Resistant to change. They view progress as a threat. They don’t like learning new things and balk at the idea of taking on additional responsibilities, even if it means helping the company generate more revenue.
8. Failure to learn from mistakes. This means they’re doomed to repeat them.
9. A lack of communication skills. They criticize in public, praise in private (if they praise at all).  They tell employees what to do rather than empowering them by asking good questions that help them uncover the answers for themselves.
10. Failure to develop others. They see anyone with potential as a threat. They’re much more concerned with having total control than increasing productivity by delegating responsibilities or developing top employees into reliable managers.

For more (or to purchase the complete findings of the study), visit “Ten Fatal Flaws That Derail Leaders” by Jack Zenger and Joseph Folkman, Harvard Business Review.

1. Your medical conditions: A lot of employees feel the need to explain why they were out sick or why they have a doctor’s appointment. But going into detail about your medical history and constant ailments isn’t something co-workers really feel like talking about at lunch, in their cube, or even on the train ride into work, for that matter.
2. Your political point of view: Politics have always been a taboo subject. But as the political divide in this country continues to widen, more and more employees feel the need to wear their political affiliations on their sleeves. Connecting those political beliefs to everything that happens in the office is a recipe for disaster. More importantly, ramming those beliefs down other employees’ throats will only cause people to distance themselves more.
3. Your personal phone conversations: Every office has one – the employee who insists on having loud (and often uncomfortable) – phone conversations right at his/her desk. It’s as if these employees want others to applaud their take-charge attitude. The fact is, it disrupts everyone else and does little for your reputation. Take the call outside on your cell phone … or better yet, call back after work.
4. Your music: You know it’s bad when someone’s listening to music on their headphones and you can still make out the song halfway across the office. These days, people also tend to watch or listen to internet clips at their desks. Sooner or later, this will offend others in the office, especially when an unexpected vulgarity or off-color remark pops up in the clip.
5. How under-appreciated you are: There’s nothing attractive about a victim mentality. What’s even less attractive are those employees who spend the bulk of the work week complaining about how the company doesn’t acknowledge or appreciate what they bring to the table. Dig in and get the job done. Then make a solid argument about why you deserve more. If that doesn’t work, maybe it’s time to move on to a company that will appreciate you.
6. Your kids: Sorry, but it’s true. Yes, your kids are adorable and they’re great and someday they’ll set the world ablaze. But right now everyone has work to do, and the 50 pics you took of this weekend’s baby parade aren’t at the top of the agenda.
7. Your religion: Separation of church and work at all times. You’re there to be compensated, not converted.
8. Your salary: This one goes both ways. No one likes the guy who’s always hinting about how much more he makes than everyone else (without ever disclosing an actual figure). By the same token, no one sympathizes with the person who complains about making too little, but never volunteers to take on more.
9. How the company should be run: It seems like everyone knows how to run the company better than the CEO does. Maybe that’s true. But the reality is the CEO climbed the corporate ladder and he/she signs your paychecks. That’s rarely a coincidence. It’s great to have strong ideas, provided you also maintain a certain decorum and respect for those who provide your livelihood.
10. Your snoring: Don’t fool yourself into thinking no one noticed last Tuesday when you dosed off for 20 minutes at your desk … everyone knows, and chances are someone took a cell phone pic that’s making the rounds as you read this. Next time, grab a cup of coffee, take a quick walk around the office, and suck it up … five o’clock will be there soon enough.

Can you think of anything else co-workers never want to hear again? Feel free to share your thoughts in the comments section below.

Great prices, quality, product features and service are key components of customer satisfaction. But salespeople are the driving force in generating customer loyalty.

Customers who felt their salespeople stood out from the pack (in a good way) were 10 to 15 times more likely to remain loyal.

When satisfaction doesn’t lead to loyalty

There are five key reasons why satisfied customers don’t become loyal customers. Share them with your salespeople.

1. Problems sour the relationship. Although initially satisfied with the purchase, customers become dissatisfied when unresolved problems develop later on in the relationship. And suspicion that there will always be problems can quickly sour the relationship and block any opportunity to move the customer into the loyal category.
2. Poor follow up. The same salesperson who spends months or even years pursuing a new customer fails to ensure that those orders are processed and fulfilled in a satisfactory manner.
3. Communication breakdown between customer and salesperson. Once the sale is made, some salespeople turn the servicing function over to others within their company. And as salespeople slowly lose touch with their customers, the chance of making future sales dwindles dramatically.
4. The original decision-maker leaves and is replaced by someone who has a personal relationship with a competitor.
5. Easy return. If the customer is still doing some business with a former supplier, it’s easy for him or her to return to that supplier for all of his or her needs if problems develop elsewhere.

Complacency undermines loyalty

It’s not a good idea to take a customer’s loyalty for granted. To avoid becoming complacent with your customers, try to stop thinking about “account maintenance” and start thinking about “account development.”

The key to customer loyalty is not just what you deliver — but how you deliver, service and support it. Simply meeting your customers’ expectations is not enough anymore. Customers want to know you care. Customers want you to make them feel important.

Developing loyal customers

Here are four tips to developing loyal customers:

1. Demonstrate a “we’re here to solve your problems” attitude. Customers want a positive response right away when they run into problems or have serious questions.
2. Come up with new ideas for your customers. You have expertise and knowledge, you know what’s happening in your industry and you know your customers’ needs. Now make a serious effort to share those thoughts.
3. Don’t be afraid to say, “We can’t do it.” This is not the same as saying, “We can’t help you.” It’s being honest. But don’t stop there. Try to help the customer get what he or she needs. It will build confidence and credibility for you and your company.
4. When you make a mistake, admit it right away. Don’t try to cover it up with excuses. Customers know what’s going on, and using excuses will cast doubt on your credibility. Once you admit the mistake, start talking about solving the problems.

Adapted from “Managing the Customer Experience,” by Joe Wheeler and Shaun Smith.

Just because everyone from celebrities to soccer coaches to grandmas is tweeting for legions of followers doesn’t mean you should drop everything and jump on the bandwagon.

Key point to keep in mind: If your customers aren’t tweeting, then it really doesn’t matter if you are.

Here are three things to consider before abandoning more traditional means of communication to start tweeting:

• Twitter’s not (yet) worth everyone’s time. To successfully tweet with customers, you have to be willing to put in the time to respond to questions and keep pace with new developments on Twitter. If you decide to merely stick a toe in the water, failure is all but guaranteed. In order to build credibility and establish a dedicated audience, you must be able to dedicate the vast amount of time necessary to stay engaged with your followers.
• Promoting your business is your No. 1 priority. You want to promote your specific products, services and sales philosophy. But that isn’t what Twitter followers always want to hear. They often want interactive content. Most Twitter fans want a wide variety of info they can put to use now, not just a sales pitch.
• Are your customers tweeting? Twitter is still the new kid on the block, compared to other social networking sites like Facebook. Are your customers using it or planning to use it? An informal survey of your customers’ social media interests can give you an idea of where your marketing resources will be best spent.

1. Confusing language. Did you use any technical phrases, jargon, company terms or acronyms the prospect might not understand?
2. Accents. Is the way you pronounce words confusing to others?
3. Distractions. When listening, the human brain can process more words per minute than another person can speak, so a person’s mind has idle time when he or she is listening. Did you allow your thoughts to wander while the prospect was speaking? If so, you may have misinterpreted the person’s original message — and that may have caused you to respond in a way the prospect wasn’t expecting.
4. Nonverbal signals. Could you have said one thing but sent a completely different message with your body language?
5. Prospect’s attitude. The lines of communication may get crossed if a prospect displays a poor attitude. Did that cause you to focus on the prospect’s attitude and not on your presentation?

From red to green

Here are five communication green lights that clear the way to an effective two-way dialogue with your prospects:

1. Think before you speak, choosing your words carefully. When you have a choice, choose a short, common word instead of an overly technical term.
2. Be aware of your own accent, and try to speak clearly. Check to make sure there are no words you’ll stumble over during a presentation.
3. Pay attention to the prospect. Try not to allow your mind to wander.
4. Be aware of the nonverbal signals your prospect sends, as well as what the person’s saying. Watch to see if the prospect’s body language matches what he or she says.
5. Remember that attitude is everything. Your attitude is what prospects will remember most about you.

Source: Business consultant Renee Evenson

Being there 24/7 means being organized to deliver value to the customer at all times and knowing what to do under any circumstances. Customers like to be cared about. It’s one of the main reasons why they do business with you.

What about your salespeople?

So what about your salespeople?  Do they understand the evolving importance of being ready, willing and skillful 24/7? Do they know enough about their customers to support them at any moment of the day? Do they have the system, skill and commitment to be there at the customer’s time of need?

Staying up with technology

In the 1840s, salespeople could be excused for not knowing everything. They could even be excused for their unwillingness to change in the face of better ideas about how to do things.

No excuses

They have no excuses today when they’re only a few mouse clicks away from a wealth of information about practically anything that is going on or has gone on in the past. They’re only a few more clicks away from some of the best thinking about what might go in the future.

The following tips will help your salespeople put the customer’s interests first and close more sales.

1. Have a conversation, not a presentation. Presentation implies a one-sided transaction. Your salespeople should be doing only 20% of the talking by asking good questions. Pointed questions will encourage prospects to tell salespeople what their needs are and how they can be filled. Being prepared to ask the right questions is key.
2. Listen between the lines. A lot can be discerned from what’s not being said. Do prospects look engaged? Are they speaking quickly? Do they seem frustrated? What’s their body language revealing? These are questions salespeople should be asking themselves while listening. Non-verbal feedback will often tell them where to go next.
3. Focus, focus, focus. Urge your salespeople to maintain tunnel vision when they meet with prospects and customers. Sometimes they’re forced to meet in a busy environment. They should turn off cell phones and minimize distractions whenever possible. Encourage them to concentrate on what prospects are saying and how it impacts their ability to serve them.
4. Keep an open mind. If selling meant walking in, presenting a product and signing on the dotted line, anyone could do it. It doesn’t work that way, especially in this economy. Prospects and customers are more likely to raise objections than they did in the past. Objections spell opportunity, and salespeople who listen well can take an objection and use it to close the sale.
5. Take notes during a presentation. The devil is in the details, and it could be a minor detail your salesperson forgot that makes the difference between a sale and failure. Salespeople who take good notes can always look back on what was said with absolute clarity.
6. Know when it’s time to close. If your salespeople follow the first five tips, they’ll know how to present the sale in a way that is mutually advantageous to all parties involved. Because they’ve been listening closely and responding appropriately, they’ll know when it’s time to ask for the sale.

Adapted from Magnetic Selling by Bob Bly

Stop them from feeling compelled to read the tea leaves with these two strategies:

1. Keep talking — For workers concerned about job security, nothing is scarier than silence. So even if there’s no news, make sure they know it. A statement as simple as, “We’re still hanging in there and this is what we need from employees going forward…” can go a long way toward reassuring staff. If the news isn’t quite that positive, and you’re unsure how to present it without harming morale, run your statement past another strong communicator first.

2. Get out of the office — Obviously, there are times you need to be in the office with the door closed. But when the economy is turbulent, employees try to read between the lines to get the “real” scoop on the company’s health — and their own job security. So while you know you were just making a dental appointment and then phone-interviewing a new marketing candidate, all staffers will see is a long, closed-door phone session that has them wondering if the company just lost its credit line or a big customer.

As much as possible, open the door, circulate among departments and let them see that all is well. Informal contact can count for as much, if not more, than more formal meetings and memos to reassure employees and keep morale up.

It can be tricky to keep the workplace humming in these grim times: Morale and productivity are down, you may be working with reduced staff, and there’s no budget for perks. And anything that looks like managers are pushing employees too hard now is a sure way to have people jump ship once the economy improves.

Even some well-intentioned moves can backfire if nervous employees are reading the proverbial tea leaves for signs that their jobs may be in danger.

Here are three proven techniques to get the most out of your employees without busting the budget — or their chops.

1. Lead by example. Employees mirror what they see upper management do — especially in uncertain times. If employees see you and other top managers working as hard as ever, they get two messages loud and clear: That their project or department is still a company priority, and that whatever changes the company may be going through, job expectations haven’t changed.
2. Cheap carrots still work. Maybe you’ve had to cut back on some perks, but the most motivational thing you can do — dole out liberal praise — is free. When workers feel like anyone’s job may be at risk, anything you do to show them that their efforts are recognized and appreciated is a huge morale booster.
3. Use a ‘hurry-up’ offense. — If business is slower, employees may pad the amount of time it takes to do a task simply to make themselves look busier. It’s a basic ploy to make them feel their job is more secure. Taking a little extra time to ensure work is top-notch is one thing. But some employees may fall victim to do-just-enough-itis. Be sure to set specific deadlines for each task or project — and always have a future or stretch goal for them to shoot for.

It could be something as simple as a typo, or as serious as a confidential message sent to the wrong recipient.

Either way, it’s embarrassing – and avoidable. Here’s how you can make sure your e-mails stay error-free.

• Clear your desktop of all distractions when you plan to respond to e-mail. If you don’t have time to respond right away, let the person know when they can expect to hear back – and wait to compose the message when you’re free of distractions.

• Wait until you’ve completed the message before selecting recipients.

• Run spell-check.

• Only copy those people who need to be in on the conversation – and think carefully before hitting “reply all.”

• Attach documents as soon as you refer to them in the e-mail – and verify they’re the right ones.

• Always keep your tone professional.

• If you’re upset, cool down before you hit send – and it’s an even better idea to talk in person.

Persuasion is more of an art than a science, and there are plenty of ways to make your case more appealing to someone else.

Follow these seven tips to make a more persuasive argument.

• Talk about the other person’s benefits. They want to hear how it’s going to help them. Make sure you focus your presentation on the audience’s needs, not yours.

• Prepare for objections. Write down all the reasons someone might disagree with the argument. Then come up with rebuttals to each one.

• Ask the other person questions. It’s more effective than making statements because it forces the other person to come to his own conclusion.

• Admit weaknesses. If there are some holes in the argument, be up-front about them. But don’t dwell on it. Instead, explain why the plan is still the best solution.

• Have evidence on hand. People aren’t going to believe just anything. Collect surveys, charts, etc., to prove why your position is the right one.

• Give a heads-up on what to expect. Let ‘em know the possible risks involved, in case something does go wrong.

• Thank them. If the person eventually agrees, be sure to show appreciation and reinforce that they’ve made a good decision. This will help keep them from second-guessing.

Case in point: After noticing more rumors spreading in his growing company, Jack Lee, CEO of 4Refuel Ltd., required all senior execs to spend a certain number of hours with employees in the field.

Execs spoke candidly with employees, finding out what they enjoyed about their jobs and what they didn’t, what they would change and any ideas they had for improvement. Best of all, they found out exactly what a normal day for these workers was like.

This also gave execs a chance to relay important news and messages that otherwise might not have gotten through.

And the communication went both ways. Employees were able to say, “I don’t think we should be doing this or that,” without fear or intimidation.

The arrangement has worked especially well, says Lee. Satisfaction surveys show workers are feeling more invested in and appreciated by the company — now that they’re able to enjoy conversation and contact with top management.

Build a connection

4Refuel Ltd. created partnerships between employees and executives. Here’s how you can do the same:

• Invite all company employees to high-level meetings, and welcome contributions by asking thought-provoking questions like, “What could we do better/differently next time?”
• Encourage senior-level managers to spend time with employees on a regular basis, such as a couple of days in each department.
• Get involved in departmental goals. If a certain department is trying to reach a particular milestone, offer to pay for a party or some other incentive when they reach it.