"Loyal employees create loyal customers." It may be a cliché, but there sure is a large element of truth in it.

Somehow I didn't get the "home handyman" gene at birth, so on the rare occasion that I am forced to make a repair around the house and can't get out of doing it, I make a bee line to the hardware store I have been going to for years because they have a helpful staff, many of whom have helped me multiple times. And they don't snicker when I ask even the most stupid of questions. I am a loyal customer because that company has been able to create loyal employees.

While the selection isn't as deep and the prices may be a little higher (though not always), I can't get that level of service and expertise at a national chain's big box store. In fact, I usually have to run around and find someone to help me at the big box, and I'm not very confident of the help I do get.

When I am helped by a long-term staffer at the local store I have a sense of confidence that comes from continuity instead of the chaos I perceive when I am in an establishment with a high rate of employee turnover.

Most of the time I see only a small portion of the staff, but the loyal employee ethos to satisfy their customers carries over throughout the enterprise. I know the companies that demonstrate their employees are valued, that train their employees well, upgrade their skills continually, compensate them well (with base pay, bonuses, and benefits) and communicate with them constantly will have a lower "churn" rate and far lower expense in recruiting and training. The result of this continuity is a happier work environment with lower stress, higher productivity and fewer errors, which ultimately results in having a higher rate of customer satisfaction and customer loyalty.

Where employees see themselves as expendable commodities, they become distrustful, angry, less productive, prone to error and leave quickly, creating chaos which churns customers. Which situation would you rather have, chaos or continuity?

Opinions expressed solely are those of the writer. Larry Galler, of Larry Galler & Associates, is a marketing and management consultant for small and mid-size companies. For more information or to get his free report, "Tolerations driving you nuts? Eliminate them now!" contact larry@larrygaller.com or call (219) 464-9463.