Communication is key in running a business that creates online social networks to connect consumers, customers and employees to obtain market insights. Companies and consumers use Communispace to discuss products and to provide insights and opinions to clients: taking market research to a new and different level. Communication is a priority internally as well: Communispace survived the dot-com bust in part because employees were so dedicated to the values and practices of the company that they took a voluntary pay-cut.
Diane Hessan formed the company in 1999 when she saw the need for businesses to hear requests, thoughts, and feedback from consumers. She uses the same technology in her own office, to listen to employees every step of the way. In addition, she holds weekly staff meetings, no matter where employees are or what they are doing. Even more importantly, she holds two quarterly meetings, where employees can ask any question, and where financials are explained in terms that everyone can understand.
"Communication costs nothing and has a huge impact. The fact that I am open and honest with everything allows people to communicate back to me and they are honest in return. Management worries about the market rather than how employees are feeling, because employees will tell you and be honest. They'll talk back in person or in our private online community." says Hessan. Adds Maria Rapp, Vice President of Strategic Accounts, "It's okay to challenge and debate the practices here. Management is willing to consider things and change."
The focus on honesty and caring contributes a great deal to the working environment. "There's an open atmosphere here and tons of energy. Everyone from the lowest to highest levels knows what's behind the books. Even in bad times Diane is very honest," says Dan Savage, vice president and senior community consultant.
Communispace's employees are more than half women. Families and work/life balance are taken seriously, but a formal work/life policy does not exist. Hessan asks that every employee come to work ready to focus, and if they cannot do that, encourages them to take work time to resolve personal problems. If someone often comes into work without their home life in order, Hessan sees it as a symptom of disorganization across the board.
Employees can work at the time of the day that they are most productive, but are expected to put in some time at the office. "It's not unusual to send out an email at ten 'clock at night and have a few responses fifteen minutes later." according to Hessan. She is a working mother herself and supports the choice of many of her female workers to work part-time, noting that two of the six people in her top management team work only a few days a week. Hessan says that by supporting the diverse life situations of employees she receives an amazing amount of energy and work back from them. "Some of our highest performers here work less than five days a week."
Communispace survived the dot-com bust and is growing quickly. The client retention rate in the past year was 94 percent and Hessan attributes success to the hard work of her employees. As a technology company, clients meet few Communispace employees, but the customer service on the employee's part really makes the difference to clients. Says Hessan, "Clients like us because of the values we try to strive for. We keep in touch with clients as much as possible. It isn't so much about the software, what the clients respond to most is the dedication of the people here."
Talent is the biggest value in the hiring process. The combination of worker-friendly principles and the practice of constantly seeking talent in the hiring process greatly helps Communispace's success. Hessan realizes the cost of hiring the wrong employee and asks all of her employees to refer talented friends to Communispace. She is also in the practice of hiring when they have no jobs open, offering potential hires a start date a few months into the future. In 2005, 29 out of 30 offers were accepted and 12 of those new employees came from internal referrals.
Hessan attributes her success and happy employees to her experience in previous jobs and with past managers, which gave her ideas for her own company. Her advice for small to midsize businesses is "Pick a couple things and do them really well. Don't try to do everything, choose what employees have energy for. Work those ideas, trust employees and don't try to do everything right away. People underestimate the value of experimenting or failure. Remember, you can't delegate having a winning workplace to human resources. Engage employees and get them to help. You can stumble on something great."
Company: Communispace Corporation
Web site: www.communispace.com
Industry: Online Community/Research
Location: Watertown, MA
Number of employees: 65
Sales: $8.5 million
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