‘Technically they’re right but the client isn’t happy’. How do you handle an employee who lacks soft skills?
- Mike Clyne
- Mar 12
- 3 min read
In the second of our hypothetical HR dilemmas for financial firms, we discuss what to do if a capable employee upsets a client. How do you protect the client relationship while strengthening the soft skills needed within your team?
Imagine the scenario:
You are the COO of a hedge fund. A client has contacted you directly about one of your employees. They are not alleging misconduct. There has been no breach of compliance. No regulatory issues. But the client says your employee was abrupt. Dismissive. Even a bit rude. You can see where they are coming from (and if you are honest, not surprised). This team member is highly knowledgeable but has a manner that some people find blunt. What do you do?
Immediate actions:
This is a delicate situation and your actions will depend on various factors, including your own relationship with the client and the employee.
Call us at FeMan Consulting for support at this early stage.
In the first instance:
You will have thanked the client for sharing their concern and clarified what specifically caused the discomfort
Within reason, you will have been as neutral as possible by avoiding immediate criticism of your employee or being overly defensive
Your discussion should have reassured the client that you take their feedback seriously.
The goal at this stage is containment. You are protecting the client relationship without making impossible promises.
“This is often the point where external HR advice can be helpful. Especially if the client is particularly valuable to you, the employee is senior, long serving, or there is a disagreement about what happened: external HR guidance can prevent escalation by bringing clarity and a fresh perspective.” – Mike Clyne, FeMan Consulting.
Next considerations
1. Bring in short-term measures
Could someone else manage this client relationship while you assess the situation? Is this practical?
This is a pragmatic move that does not have to feel punitive towards your employee. Temporarily reallocating the contact can protect everyone involved, and your business reputation, while you address the underlying issue.
2. Reflect
This is the opportunity to find out what actually happened within pointing fingers or apportioning blame. You should:
Speak privately with your employee
Share the client’s feedback calmly and factually
Ask for your employee’s perspective
Explore whether they were misunderstood, or unaware of how they were perceived; or was the situation particularly pressurised?
In financial firms, high performers are sometimes promoted for their technical excellence over soft skills. Which leads us to your next recommended step…
3. Reset expectations
In firms without an HR function, behavioural standards can be implicit rather than explicit. It’s a good idea to:
· Define what ‘professional conduct’ means within your firm
Clarify expectations around client communication
Ensure everyone knows that commercial success relies on both competence and relationship management.
This is another area in which FeMan Consulting will support you, drawing up clear communication guidelines, tailored to your firm’s culture.
4. Support development
Slip-ups can be opportunities for growth, so this is a valuable time to consider:
Does your team need any communication coaching?
Roleplay for difficult conversations
Mentoring from senior colleagues who have strong client rapport
Formal training in negotiation or client management.
You may also wish to build soft skills into your business performance objectives, promotion criteria and appraisal conversations. FeMan Consulting will help you do that effectively.
Even if this situation hasn’t happened to you yet: bring FeMan in as your trusted HR partner today. We will help you to build your team’s people skills, protect client relationships, and ensure your business continues to thrive.
