Loyalty rules!

by Frederick F. Reichheld

"Fewer than half of today's employees believe that their companies deserve their loyalty. Web-empowered customers now defect more easily and more quickly than ever. Has loyalty become an outdated notion in today's marketplace?". "Fred Reichfield, argues that loyalty is still the fuel that drives financial success - even, and perhaps especially, in today's volatile, high-speed economy - but that most organizations are running on empty. Why? Because leaders too often confuse profits with purpose, taking the low road to short-term gains at the expense of employees, customers, and ultimately, investors. In a business environment that thrives on networks of mutually beneficial relationships, says Reichfield, it is the ability to build strong bonds of loyalty - not short-term profits - that has become the "acid test" of leadership.". "Based on extensive research into companies from online start-ups to established institutions - including Harley-Davidson, Enterprise Rent-A-Car, Cisco Systems,