LOYAL TO A FAULT?

Somehow, a deep dichotomy has developed in the healthcare consulting/brokering world between those who rely mainly on relationships to keep and win business, and those who rely on delivering better results to win over new business.

I find myself torn between these two schools of thought, because we have developed strong relationships with our clients over the years, and like most people, I deeply admire and appreciate loyalty.  But I am also in the business of getting results for prospective clients, and if that means breaking up a long-standing relationship that the prospect might have held with someone else?….well, it’s nothing personal, it’s just part of our evolving industry.

Here in the Texas Panhandle, people tend to be extremely loyal, and that serves as a double-edged sword in business.  On one hand, loyalty is a very honorable quality that we want in our friendships, in our relationships, and in our daily lives.  On the other hand, when loyalty prevents progress in business, and it stifles innovation and improvement, loyalty can certainly be a fault.

We often times see prospective clients that are overly loyal to their brokers, and/or vendors, and it costs them dearly.  In my opinion, loyalty shouldn’t come with such a price, and so the question becomes, “Is their loyalty being reciprocated?”  Think about it.  In our industry (health care/benefits), the client’s desire and need is to lower health care related costs while maintaining good-quality benefits for employees.  Is the broker being loyal to those needs?  Is the insurance carrier loyal to the organization?  The employer is being loyal to both, and that is very valuable to the broker and vendor, but is that loyalty being reciprocated in a way that returns equal value to the employer? 

We show loyalty because it’s a human reaction.  For example, why are there still so many Dallas Cowboys fans?  It’s not like they’ve been very good in the last 20 years.  Hell, I’m still a fan! Our whole lives we’ve been conditioned to be loyal.  Loyal to our families, loyal to our sports teams, to our home towns.  Loyalty in life is good!  Loyalty in business can be a major detriment!

Every successful company breaks their allegiance to some idea, product, or partner sooner or later.  TRAITORS!!!  Why do they do this?  Because they all understand the importance of pivoting away from something that isn’t working well to something that is working well.  This is what leads to break-through and discovery.  This is what leads to improvement, or happiness, or profit, or a competitive advantage.

Now, don’t go divorcing your spouse.  Don’t stop rooting for the Cowboys.  Don’t stop being a loyal person in your daily life.  But, in business, sometimes progress requires a pivot in a different direction.  That’s all I’m saying.  Ask yourself if loyalty to an idea, a brand, a vendor, an insurance company, or even a broker/consultant is preventing your organization from improving outcomes.  Ask yourself if your loyalty is being reciprocated.