Revisiting The Nordstrom Way

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I just finished rereading the "The Nordstrom Way." The second time made me rethink some original ideas I had about leadership. For a long time, I dismissed Nordstrom's success as simply great retail or aggressive marketing. But after rereading the book, I am convinced that their outstanding customer service – what they are widely known for – is not a marketing ploy. It is a direct output of a very specific, deliberate, and insightful approach to leadership. This "Way" isn't just about being nice to customers, but about a set of core principles that, when applied consistently, empower an organization.

Here are the three key takeaways from the book that resonated with me the most.

Real Empowerment is a Competitive Advantage, Not a Risk.

Many have paid lip service to the concept of "empowerment." But Nordstrom is a company that actually walks the talk. They don't just delegate tasks; they delegate authority. They give frontline employees – the people interacting with customers daily – a surprising amount of latitude to make decisions. Some might view this as risky, even potentially chaotic. Will employees run wild? Will standards slip? But such concern misses the point entirely.

Nordstrom's approach with radical trust isn't a liability; it's a competitive edge. Empowered employees can solve customer problems faster, more creatively and with a personal touch that a rigid, rule-bound system cannot match. They are not just following scripts but thinking, adapting and truly owning the customer experience. This agility is essential in a market that changes rapidly. What most of us have experienced is the complete opposite: layers of approvals, employees hesitant to act without permission, and processes that prioritize control over customer satisfaction. That sounds less like efficiency and more like organizational gridlock.

Genuine empowerment, which Nordstrom embodies, is not just another HR initiative. It is a strategic business move. It unlocks employee potential, fosters innovation at every level and allows a company to respond to customer needs with speed and genuine care. It's not about losing control; it's about distributing control to those closest to the action.

Leaders don't just delegate tasks; they delegate authority.

Servant Leadership is Strategic Leadership.

The term "servant leadership" has been widely used and often misused by many organizations, as it gives a perception of being distinct from other companies. People are drawn to this appealing promise, but once they join the company, they realize that the leadership style differs significantly from what was initially presented. "The Nordstrom Way" redefined the experience we have all encountered. Their leadership model is deeply rooted in serving their employees. And here's the key: this isn't some touchy-feely exercise in corporate altruism. It's actually a very strategic approach.

If leaders prioritize supporting their teams – removing obstacles, providing resources, fostering growth – what happens? You get more engaged, more motivated and more capable employees. And who benefits? Everyone, including the bottom line. Servant leadership, as I understand it through the Nordstrom lens, isn't about being a pushover. It's about recognizing that your primary responsibility as a leader is to enable your team to succeed. It's about shifting the focus from personal authority to collective achievement.

Servant leadership done well (and Nordstrom strives to do it very well) isn't just a nice philosophy. It's a powerful strategy for building a high-performing organization. It fosters loyalty, drives innovation and raises a workforce that delivers exceptional customer experiences. It's not soft; it's smart. It's about leading by empowering, not by dictating.

Your Internal Culture Is Your External Brand.

Here's what really hit me after looking at "The Nordstrom Way": you cannot fake authenticity. Companies spend fortunes on branding and crafting external images of customer focus and quality. But what I see at Nordstrom is their internal culture – how they treat their employees – is the real foundation of their external brand reputation. The two are inseparable. If employees are valued, trusted, and empowered, that internal experience will be reflected outward. They are more likely to be engaged, enthusiastic and genuinely care about delivering excellent service.

I can't help but recall my experience at a company where I worked. The management wanted values formation training and employee engagement that focused on spiritual nourishment. It sounded transformative, but the reality was that the culture was very toxic. Leadership was autocratic, office politics were common, and leaders often acted as if they were way above everyone else.

If your internal culture is marked by micromanagement, gossip or selfish ambition, that toxicity will inevitably seep out and impact the customer experience. You can't expect employees to deliver exceptional service with a smile if they feel undervalued or mistreated behind the scenes. You may be upper management heavy but your NPS is below zero.

My takeaway? Your internal culture is not some separate, internal matter. It is your brand in action. It is what customers ultimately experience, whether they realize it consciously or not. Nordstrom's consistent brand promise of exceptional service isn't built on advertising campaigns alone. It's built on a foundation of internal cultural values prioritizing respect, empowerment and service, starting from the leadership down. Your culture isn't just something you have; it's everything you project.

Beyond Retail

"The Nordstrom Way," isn't just a case study in retail success. It shows a comprehensive blueprint for leadership in any industry. True competitive advantage doesn't depend on the latest technology or the most aggressive marketing. It is about how you serve your people and empower them to lead. And perhaps their leadership principles are based on this timeless truth: "For even the Son of Man did not come to be served, but to serve, and to give his life as a ransom for many" (Mark 10:45). Rereading this book has been a valuable lesson in the strategic power of empowerment, the strength inherent in servant leadership, and t e undeniable link between internal culture and external brand. It's a "Way" worth considering and even adopting in any organization seeking not just to survive but to truly thrive.

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