Slide 1 - Insurance and Savings Ombudsman

							Insurance and Savings Ombudsman

       The subtlety of communication
Research by Customer Care Measurement & Consulting (2005) in the US
 asked consumers what responses they wanted in pursuing complaints and
compared the results to what consumers perceived they got out of the process.

Remedy                                             %Wanted to Get         %What they Got
Explanation why problem occurred                          73%                   18%

Product repaired/service fixed                            72%                   27%

Thank you for my business                                 71%                   25%
Assurance problem wouldn’t recur                          70%                   16%
Apology                                                   59%                   25%
Chance to vent                                            59%                   47%
Money back                                                45%                   18%
Free product/service in future                            35%                   12%
Compensation for time, inconvenience or                   23%                   4%
injury
Reasons to try harder..
If we could really understand what was important we might be able to
solve the problem.

A small number of complaints will become „full blown‟ disputes. This is
less likely to happen if the complainant is procedurally and
psychologically satisfied.
(CAV / VCAT)

Of the disputes that do proceed or become complex complaints most will
involve expectations not being met – or mistakes being made.

Dispute escalate when they are not resolved efficiently.

There is so much more to hear, appreciate, understand.
Peculiarities of Human Communcation
 Words are an imprecise vehicle for communication (reflective listening
  helps us check what we have heard)
 We speak in code. Listeners are not good code breakers.
   We obscure thoughts and feelings to protect ourselves.
    We decode messages all the time (husband making CDs)
    We do not always decode messages accurately (ABC Complaint)
    How we decode will depend on how we feel/think at that moment.
    We make assumptions about someone‟s intention based on the words
      they use and their behaviour.


People Skills by Robert Bolton PhD
 Peculiarities of Human Communication
  An example of the inexact process of communication


What I mean                What I said               What they heard

„I am scared that I did    „I am disappointed that   „She blames me and I might have to
something wrong. Need      this happened. What are   refund the $.‟
the $. Don‟t want the      you doing to fix this
bother.‟                   problem.‟
(my thoughts or feelings – (My words or actions.     (listener interprets the meaning
hidden within me.          Often imprecise or hide   behind the words and actions.
Understood only by me.) true meaning.)               Interpretation is only known to
                                                     listener.)
Peculiarities of Human Communication

 People don‟t talk about the real issue upfront.

 The most important issue is often the issue that makes us feel
  most vunerable.
 People will often focus on and resolve less important issues
  while the real concern remains hidden.
 ‘Research shows that empathetic reflections which demonstrate
  understanding and acceptance are much more likely to foster
                                       ’
  exploration of these important areas..
Peculiarities of Human Communication
 We have been taught to hide our emotions.
    „I don‟t want to hear that angry voice.‟
    „Don‟t get upset because I will just ignore you.‟
    „Where is your happy face?‟
    „Don‟t cry like a baby.‟
 People can be blind to emotion or blinded by it.
    It can be helpful to mirror or reflect what you see.
 Filters distort what we hear (built up over a lifetime our filters
  help us to deal with large volume of information we receive)
 Some words have emotional connotations that do not relate to
  their rational meaning (politician, black, youth). An emotional
  response to a word will interfere with the message.
Reading Body Language
 There are 6 ways to receive information about how some one
  feels:
     The words they use,
     The sound of their voice,
     The speed of their speech,
     Their facial expressions,
     Their posture,
     Their gestures.

   We often miss the message or filter it out.
   Be more aware of these cues. Notice the changes.
Body Language
 There is a wealth of information if you choose to look for it.
 Check your assumptions.
 Be aware of your own body language and the impact it has.
 Look for discrepancies between the words and behaviour
Listen for more information
Beyond words
Audio clips
Telephone Communication
  •Every time you make or receive a call you are the face of your
  organisation.

  •A customer‟s first impression of you and your organisation is
  through your voice and phone manner.




Verbal Judo - The Gentle Art of Persuasion
George J Thompson PhD & Jerry B Jenkins

Beyond Reason - Using Emotions as You Negotiate
Roger Fisher and Daniel Shapiro
 7% of a message is conveyed through words. 38% is conveyed through
  the tone of your voice. 55% of the message is conveyed by body
  language.


 Your voice must make up for that 55% which can‟t be seen. Voice must
  convey most of the message during a telephone conversation.


 A complainant is listening to every minute detail of your conversation to
  ascertain whether you are with or against them.




      Words can wound and we don’t easily forget.
If you are strategic with your words you will build rapport with people; they will
listen to you, treat you well and trust your suggestions.

“This was a devastating time for us”
“Cheer up. It wasn‟t all that bad.”


Match their style of communication. Reflect back the key elements of what you
hear.


‘To win one hundred victories in one hundred battles is not the highest
skill. To subdue the enemy without fighting is the highest skill.’

Sun Tzu
Some language drives us crazy
Language to avoid
Language to Avoid
 “Don‟t blame me…”
 “It sounds like crazy hour there…”
 “It can‟t be all that bad…”
 “This will be difficult for you to understand…”
 “You may not understand…”
 “It‟s not our policy…”
 “Listen…”
 “I‟m not responsible for that area…”
 “But you said…”
Language to Avoid
 “Hang on, slow down”

 “ I don‟t know.”

 “We can‟t do that.”

 “You‟ll have to…”

 “You need to…”

 “…But…”

 “Always, never, etc”

 “I understand…”

 “Accounts have made another dumb mistake..”
Try these…
 Use language that will diffuse not enflame.
 Use open questions
 Match as much as possible.
 Consider how they will hear it.
 Be strategic – think about the messages you want to send.
Reframing
Reframing
  Reframing occurs when you identify the underlying issue by
  ignoring the toxic language.

  This happens when you:
   Use neutral language to identify the issues
   Ask the speaker if something is important to them
   Reframe the issue into neutral/mutual language that makes the
    problem manageable.


 Reframing is a useful tool to assist parties to move forward.
Mackay’s 10 Laws of Communication
(Why People Don’t Listen, 1994)

      1.   It is what the listener does with our message that
           determines our success as communicators.
      2.   Listeners interpret messages in ways which
           make them feel comfortable and secure.
      3.   When people’s attitudes are attacked head-on,
           they are likely to defend those attitudes and,
           in the process, reinforce them.
      4.   People pay most attention to messages which
           are relevant to their own circumstances and
           point of view.
Mackay’s 10 Laws of Communication
 5.   People who feel insecure in a relationship are
      unlikely to be good listeners
 6.   People are more likely to listen if we listen to
      them
 7.   People are more likely to change in
      response to a combination of new
      experience and communication than
      in response to communication alone.
Mackay’s 10 Laws of Communication

8.  People are more likely to support a change which
    affects them if they are consulted before the change
    is made.
9. The message in what is said will be
    interpreted in the light of how, when, where
    and by whom it is said.
10. Lack of self-knowledge and an unwillingness to
    resolve our own internal conflicts make it harder for
    us to communicate with other people.
Being Persuasive

  Negotiation theory
Why?

 The heart of negotiation is persuasion.


 Enable others to see a problem from a different perspective.


 Saves time, agro, maintains the relationship.


 If you resolve a dispute well you will have a more loyal,
  patient and resilient customer.
The Problem with Negotiation


1. Assumptions influence our strategies

2. Strategies influence our approach

3. Our approach will influence the outcome




         zTest assumptions
         zTry to hear what ‘they’ mean
Preparing for Negotiation
The Harvard 7 Element Prep Tool
Harvard 7 Element Prep
1.   Interests                         4.   Communication
     What is important to us?               What messages?
     What is important to them?             What do I need to find out?
     Who is a stakeholder?
                                       5.   Relationship
     Most important to us?
                                            What are the relationship issues?
2.   Options                           6.   Legitimacy
     What would work for both of us?
                                            What would convince them our
     What can I do at low cost?                 offer is fair?
3.   Alternatives                      7.   Commitment
     What if we don‟t agree?                What do we/they need to do?
     What can they do?
     Make strong / make weak
 Getting Your Message Heard

What message What might   Reframe the
do I want to they hear?   message, make
send?                     it effective.
Socratic Questions

 Socratic questions use logic to challenge the way you   think.


  What are   the facts and what are my perceptions?

  What evidence   supports my perceptions?

  What evidence   contradicts my perceptions?

  How else could I perceive this situation?
The Power of Thought
 Research has shown that mood affects how people behave in
  negotiations, how they process information, and how successful
  they are at positive outcomes.
 Good mood - more hopeful about future, feel more satisfied with
  outcomes, more easily recall good outcomes and find satisfactory
  solutions.
 Bad mood - negative moods lead to less satisfaction, higher
  predictions that decisions will have negative consequences and
  more easily recall unpleasant memories.
 Nurture positive moods in negotiations!



   See, Skills for Resolving Conflict, Wertheim, Love, Peck and Littlefield
To Encourage Others to Be Positive
 Model co-operative behaviour
 Reward and acknowledge co-operation
 Give Positive Feedback
 Build Trust
 Focus on the Relationship
 Be Proactive (think about their needs, be empathetic, etc)
 Some simple tips..

 To get someone to change what they are doing - talk about why it is
  good for them.

 eg.
  „If you can help me with the house work we will have more time at
  the park together.‟
  „I like it when you come to dinner. I always try to cook something
  special but I do hate the washing up.‟
  „When we get through this project we will be able to reward
  ourselves with a break.‟
More tips..
 „Why should I?‟ or „Why do you need it?‟ don‟t ignore the question,
   give a thorough explanation and hopefully they will see the benefits for
   them.
 eg „Can you tell me your birthday date so I can deal with your enquiry?‟
   „You don‟t need that. Why do I have to waste my time telling you that?‟
   „The law requires us to be very careful about customer information. We
   are required to check if we are dealing with authorised people to protect
   the customer.‟
 Giving an honest and full explanation will often be seen as respectful
   behaviour.
 Forecasting – tell them the direction and purpose of your question.

eg. ‘I want to ask you about your day. I like to know that you are enjoying school
   and getting on with your friends.’
Empathy
The most effective tool to achieve voluntary compliance.

Use matching techniques to empathise appropriately.




  ‘You’re an orphan. Do you think I would know the first thing about your life,
  how hard it has been, because I read Oliver Twist. Does that encapsulate you?’
  Psychologist (Robin Williams), Good Will Hunting
The Power of the Frame

 What is the impact of the way something is framed (for
  instance medical treatment)?

 Framing can be powerful and persuasive.


 Framing can be manipulative.


 Framing can make things more palatable.
            Consider ..
Imagine you have operable lung cancer and
must choose between two treatments - surgery
and radiation therapy. Of 100 people having
surgery, 10 die during the operation, 32
(including the original 10) are dead after one
year, and 66 after 5 years.   Of 100 people
having radiation therapy, none die during
treatment, 23 are dead after one year and 78
after 5 years.
Which treatment would you prefer?
Evaluating Risk Associated with
Offers
What will the impact of the offer be?

What might the consequences be?

Is our BATNA more attractive?

Re-assess the offer in terms of the possible risks.
Impact of Offers on Objectives

               Initiatives / Options
     Our           1         2   3
  Objectives




      A



      B
Risks if Settlement
Does Not Occur



 For Us       $ Value   For Them   $ Value

 1.                     1.

 2.                     2.

 3.                     3.

 4.                     4.