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Building Shareholder Value Through Your People

Written by: Martin Haworth

Article Overview: By using your best asset, your people, really well, it helps you and your shareholders benefit. Your people have wonderful skills and leveraging this is what makes good businesses truly great.

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Building Shareholder Value Through Your People

Increasing shareholder value is the most important driver for organisations in the modern business world. Shareholder value is built through growing profit and building confidence in the organisation, which moves share prices upwards. Shareholders like this!

And the employees of an organisation have a crucial part to play in both elements of this.

They contribute to sales by selling more, both to new and old customers. They build the customer base by word of mouth from existing customers. New customers are pre-filtered because your existing customers tell them exactly what you do, so more customer interactions are converted, with less wasted time. This means that your costs are kept down.

Your people buy better because they build great relationships with suppliers - so they get the best deals. Both sides win, so the relationship blossoms.

Great people in your organisation work hard to keep costs low, because they are enabled to do so. They have freedom to be creative. They get very focused on the 'Does it create value?' question and work together, with the best results as their only goal.

With all this positive activity, the organisation looks and feels strong to it's customers, suppliers and shareholders. With this and a great profit performance, confidence grows.

Shareholders enjoy great improvements in the value of the growth in the price of the shares they hold and the dividends they receive.

Martin Haworth is a business and management coach and trainer, working with a range of clients from corporates to individuals worldwide. www.MartinHaworth.com

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Article Tags: best deals, blossoms, building confidence, business world, corporates, customer base, customer interactions, dividends, existing customers, haworth, improvements, increasing shareholder value, management coach, organisations, profit performance, share prices, shareholders, value question, word of mouth, worldwide www

About the Author: Martin Haworth
RSS for Martin's articles - Visit Martin's website

(c) 2010 Martin Haworth is a business and management coach and trainer. He is the author of Super Successful Manager!, an easy to use, step-by-step weekly development program for managers of EVERY skill level and a leadership and management trainer and coach at Coach Train Learn!

Click here to visit Martin's website
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