Employee misunderstandings cost US and UK businesses
an average of $37 Billion per year – (IDC Research)

On average businesses are losing $62 million per year through employee misunderstanding.  IDC findings also highlighted that the real cost of employee misunderstanding may be even higher when costs such as impact on brand, reputation, and customer satisfaction are taken into account.

The IDC definition of misunderstanding is to have "understood incorrectly while thinking to have understood correctly."  A primary cause of that employee misunderstanding is the fact that terms mean different things to different people.  This inconsistent terminology causes misunderstandings when people read or collaborate in person, through meetings, emails or on the phone.

For example, what does “Chicago Sales” mean?  Is “Chicago” Cook County, the metropolitan area, the loop and the near north or something else?  Are “Sales” receipts, invoices, payments, orders, shipments or shipments less returns? Are “Sales” dollars or units sold?

MIP’s Intellectual Capital Repository® (ICR) can save businesses millions of dollars by significantly reducing employee misunderstandings.  This is achieved by establishing meanings as an integral part of each Mental Step and then enforcing consistent terms and meanings across all decision-making processes.  In Mental Steps, terms are phrases or words shown within their context.  For example, the phrase “analyze restaurant’s support systems” is a term in an expert’s Mental Step. It is unique and it has only one meaning. …More about Mental Steps

The terms are initially identified by MIP consultants.  Meanings are provided by the expert and then revised and approved by a governance team.  The ICR ensures that each term is identified and has only one meaning.  It also ensures that each meaning is associated with only one term.  By enforcing MIP’s One-Term One-Meaning rules, the terms and meanings are easily understood and used by each individual.  They are also easily translated into multiple languages.

When individuals personalize and improve conditions or action in their Mental Steps or add additional Mental Steps to their personal “clones,” One-Term One-Meaning is enforced through the ICR.  Thus, the ICR always identifies the exact content and data that individuals need at any point in time.

According to Dr. K. Anders Ericsson, the recognized world leader in expertise, once meaningful sentences are understood, their meaning is easily assimilated and retained in long-term memory.  As the terms and meanings in Mental Steps are retained in an individual’s long-term memory, employee misunderstandings are dramatically reduced.

Also, when employees use “cloned” expert decision-making processes that are stored in the ICR, they have a much better understanding of their jobs, the judgments that need to be made and actions that need to be taken.  In addition, for the first time IT departments will be able to understand the decision-making processes that are used across business sectors.  This could eliminate corruption of critical data, the release of confidential information, and myriad other threatening circumstances that happen today because of employee misunderstanding. 

Reducing employee misunderstanding can pay for the ICR many times over.  …More