October 1, 2001

5 Min Read
Inside Self-Storage Magazine 10/2001: Thoughts From the Road

Incentives, Recognition and Motivation

By Jim Chiswell

AsI work and talk with owners across the country, I am constantly asked:"What type of bonus system should I use for my employees?" It seemsone of the most popular is a compensation for every unit rented. Others haverecognized that a manager's incentives should be tied directly to theperformance of the store compared to the yearly budget. Sharing a percentage ofthe financial success over the expected budget can be profitable for owners andmanagers.

I am rarely asked, however, about the big picture: keeping employeesmotivated in their jobs. Motivation cannot be accomplished by money alone. Yes,I know dollars are important, but research study after research study points tothe need for a combination of factors to keep your team at peak performance.

It is important employees feel knowledgeable about the business itself. Thiscan be achieved by having all employees participate in planning the annualbudget, as well as the design of future Yellow Pages ads and other salesliterature. This means having everyone create the written goals and objectivesfor the year and then keeping them informed of the progress.

If you give someone the responsibility for carrying out a specific task, heneeds to have the authority to act accordingly. Nothing can undercut morale morethan a boss who is constantly second-guessing the employee and getting in themiddle of things with a "No, let's do it this way" approach. OK, maybeeveryone that works for you cannot do something as well as you could, but do youreally want to be behind the counter every day? Probably not.

The other critical factor is in recognizing people for the job they aredoing. If you are a part of Storage USA, Shurgard or other organization withcountless employees, having a "Regional Employee of the Month" is muchsimpler than if you are a single-store operator. But even with one facility andtwo or three employees, a recognition program can be created. The recognitioncould be for the outstanding results from a "mystery shopping" phonecall or positive comments from a customer. Many times, just having an owner comeinto the store to say a simple "thank you" can have a significantimpact. Bringing in an unexpected lunch treat or taking over the office so anemployee can have the afternoon off will have positive results.

I would also like to encourage owners to think about giving unexpectedincentives to their managers, a concept Joe Niemczyk of Executive Self Storagehas used for many years to help motivate his troops. A CD player or tickets to asporting event, when totally unexpected, can produce a lasting memory ofappreciation. I know of one owner with several properties who took everyone todinner one night and just as the meal was ending handed out gift cards thatread, "You are as good as gold to me!" Inside each card was a solidgold coin. It was a direct way to give people an unexpected bonus with a uniquetwist. If you do not have an incentive and recognition program in place, it isnever too late to start. There are no rules or restrictions, so use yourcreativity.

Speaking of recognition, I would like to acknowledge Louise and Leo, managersat Plantation Self Storage in Bluffton, S.C., for being selected as Managers ofthe Year by Mini-Storage Messenger magazine. I know this team and the award iswell-deserved. Congratulations!

Telephone Research

I had an opportunity to see firsthand the telephone-research informationbeing produced by a company called Client Discovery Service in Georgia. (See the"TechTalk" column published in the July issue of Inside Self-Storageor visit www.callerid.com for moreinformation.) Its telephone-monitoring devices are picking up some significantweaknesses in our telephone operations. Monthly reports show you, by the hour,when inbound calls are coming in as well as when, and to whom, outbound callsare being made. You may think that simple five- to seven-minute call you make toa friend each day is not telephone abuse--until these calls show up on thereport as consuming five to six hours a month.

The reports from Client Discovery are some of the most powerfultelephone-research tools I have ever seen. The visual reports pinpoint theactual locations of the phone calls on a map. You can instantly see where yourmarking efforts are having an impact. The company will even provide a daily faxservice to provide you with the telephone numbers of inbound callers whose phonecall was never answered. These lists, waiting for the managers on the faxmachine when they come into the office in the morning, can generate realcustomers with a simple courtesy call.

Who could object to receiving the following phone call: "Hello, Mr.Chiswell. This is Alyssa from Silverado Self Storage calling. Our caller-IDtelephone database indicated someone from this number called our officeyesterday. I am sorry we were not able to take your call. How can I helpyou?" OK, the real privacy freaks might be taken aback that you had theirname and telephone number, but even the most cynical person will be impressed byyour follow-up. The individual with a storage need will appreciate the fact youare trying to assist him.

Where Did This Come From?

Thanks to everyone who responded to the burning question from May's Thoughtsfrom the Road column about the origins of two phrases: "dead as adoornail" and "easy as pie." Congratulations to Jimmy Murtaugh ofFlorida and Kim from South Dakota for being the first two to reply. Jimmy andKim nailed them both with an online search.

It is apparent to me that because of modern technology, the answers to thesesorts of questions are readily available on the Internet. Therefore, I havedecided to abandon my idea of including phrases like these in each of mycolumns. This is a prime example of how you sometimes have to try things outyourself to see if they work for you. Someone else's lack of success with aconcept does not necessarily mean it won't work for you or your facility. Sodon't stop trying new ideas. I know I won't.

Jim Chiswell is the president of Chiswell & Associates. Since 1990,his firm has provided feasibility studies, acquisition due diligence, experttestimony and customized manager training for the self-storage industry. Inaddition to contributing regularly to Inside Self-Storage, Mr. Chiswellis a frequent speaker at Inside Self-Storage expos and various associationmeetings. He can be reached via e-mail at [email protected]or by calling 716.634.2428. Visit www.selfstorageconsulting.com.

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