Beverly Flaxington is a practice management consultant. She answers questions from advisors facing human resource issues. To submit yours, email us here.
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Dear Bev,
I am confused about something. I’ve heard you say we should not ask our clients for referrals, but we should identify clients to approach. Isn’t this the same as asking them for help?
Rebecca M.
Dear Rebecca,
Most advisors are taught, or believe, that the road to referrals is “just ask and keep asking.” They will put a nice line on their emails asking clients to refer them, and they will ask at every client meeting. I hear from advisors that this doesn’t work. They are continually frustrated by the lack of response, even with their best clients who say they are highly satisfied. I think in most cases, this route isn’t as effective as having a strategic, thoughtful approach to referrals.
This is the difference. Instead of just randomly asking, you should identify the clients you believe could-be the best referrals (we call them the “should be” clients). They should be referring because they are happy with your services and they are connected to people whom you want to do business with and who will be a good fit for your firm.
Once you identify these clients, you can take steps to approach them and show them ways they can help you. This is the difference between just asking, “Who do you know?” and saying, “I know you are working closely with your alumni board at your college, I notice that (name here) is on the board, is there a way you could facilitate an introduction for me?”
This is about understanding human behavior. Instead of having someone search their mind for a connection, present a connection and ask directly for help.
Most clients do want to help when asked, but you need to make it easier for them. If you can reach out with a strategic and more laser-focused approach, you are going to get a better response than a general “Just ask!”
Dear Bev,
We have a small office of four people. Two are advisors and two are administrative and support staff. One of our admin employees is a very difficult person to work with when it comes to giving feedback. She isn’t doing what we need her to but won’t listen to anything we say. She gets defensive and irritated when given feedback and then calls in sick for a couple of days. I know you might say to fire her, but unfortunately I can’t afford the time it would take to replace her. How do I get through to someone who doesn’t want to listen?
Please do not use my name
Dear Financial Advisor,
Why would I say fire someone as a first step? I am the Human Behavior Coach™ after all, so I am always looking for a more positive solution if we can find it! Firing someone may be the right answer, but let’s exhaust all options before doing so.
I do want to comment though – it’s never a good idea to keep a poorly performing staff member simply because you don’t have time to deal with replacing the person!
I have a few tips for when an employee is defensive and unwilling to listen to feedback:
Watch your personal style in delivering the information. Are you assertive and aggressive with this staff member? Do you intimidate her in the process of giving the feedback? Instead of opening communication do you shut her down with your approach? Or conversely, are you too soft in delivery? Are you so vague that she can’t understand what needs to change? Be objective in your communication approach and make sure you aren’t confusing her with your style.
Make sure the role matches the skill set. Is she a fit for the role you are asking her to fill? Have you added new responsibilities that she doesn’t understand or isn’t capable of assuming? Many times in a small firm, advisors will dole out new duties to people who aren’t equipped to handle them. Be sure you are clear about the role, her skills and expectations.
Have clear steps for improvement. Have you laid out a clear process so she knows exactly what she needs to change? Most people don’t know exactly what they need to do to improve. Be specific about what’s wrong and what actions she needs to take to improve. Set milestones if possible so she can improve in a step-by-step fashion. The more clear and specific, the easier she will understand what she needs to do.
Consider probation as an option. Could you give her a limited time to make change happen? I know you don’t want to fire her right now, but sometimes lighting a fire can be helpful in setting a specific timeframe.
I know this process is not easy. I like to say that businesses would have no problems if it weren’t for dealing with the people issues. People are at the root of our success or failure. Take the time to consider some of what I’ve outlined here and see if you can’t rectify the situation a bit to get the response you need.
Beverly Flaxington co-founded The Collaborative, a consulting firm devoted to business building for the financial services industry in 1995; in 2008 she co-founded Advisors Trusted Advisor to offer dedicated practice management resources to advisors, planners and wealth managers. She is currently an adjunct professor at Suffolk University teaching undergraduate students Leadership & Social Responsibility. Beverly is a Certified Professional Behavioral Analyst (CPBA) and Certified Professional Values Analyst (CPVA).
She has spent over 25 years in the investment industry and has been featured in Selling Power Magazine and quoted in hundreds of media outlets, including the Wall Street Journal, MSNBC.com, Investment News and Solutions Magazine for the FPA. She speaks frequently at investment industry conferences and is a speaker for the CFA Institute.
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