Creating a Legacy

6 10 2011

By now practically everyone is aware of the passing of Steve Jobs.  During the 56 years of his life, he changed the way we lived and worked.  Apple has been credited for creating the first personal computer.  The Macintosh with its all-in-one design and graphical interface changed the way we interacted with technology.  Later the iMac, Macbook, iPod, iPhone, and iPad came along.  These products were well designed, and almost intuitive to our needs.  Even if you aren’t a big fan of Apple, most other operating systems and interfaces mimicked those of Job’s company.

Mr. Jobs also changed the way we used entertainment.  Pixar changed how we saw animation and iTunes changed how we purchased music.  His passing only leaves us wondering what more could he have accomplished had he lived another 20 years.  The legacy he has created will influence us for generations.

This leads me to ask what legacy are you creating?  While many of us may never achieve the admiration that Jobs has, we all still have the potential for greatness in our world.  We are here for a very short time and each person we come into contact with we have the power to influence in a positive way.  When we understand our purpose and give it some direction, we can in our own way create a legacy to last the ages.

Do your little part to change the world.  Be active in your community.  Give your time and your resources to worthwhile causes you believe in.  Actively work to solve life’s challenges.  Be a good steward.  Most important, work to be your best at everything you do.  Making a difference involves showing up.  So whether you are trying to become the next Jobs, or are just trying to make life better for one other person, you have the ability to leave your own legacy.

When will you start?





Killing Customer Loyalty One Coupon at a Time

5 10 2011

Over the past week I have been working with a client on attracting new customers to his business.  The other day he contacted me to let me know he had been approached by a popular coupon site requesting that he participate in their service.  They recommended he offer one of his services at a 50% discount leaving him break even at best.  The sales person said he should be able to make up the difference through increased customer repeat business and offering other services.  As we discussed the implications of participating in such a program, the client pointed out that the service the coupon site wanted him to discount didn’t really offer the opportunity to sell other services as it was all inclusive.  In the end he realized the coupon site and the customer were the only ones to benefit by his participation.

In Apples to Apples I wrote about focusing on price and the dangers it creates for building loyalty.  Business leaders need to focus on one of two things: either being the best or being the cheapest.  There is nothing wrong with either strategy.  Either approach could help you grow your business, it’s just a matter of which one you want.  If you choose to compete on price, you have to make up for the difference on volume and efficiency.  Most businesses fall short because they are unable to generate the volume of sales to drive price down or they are unable (or unwilling) to become ultra-efficient.  Besides, you have to sell a lot of widgets to make the profit on volume.  On the other side, being the best provides its own challenges.  It requires a higher degree of discipline.  You have to be in tune with who your customers are and clearly understand their needs.  Service is critical to those who want to be the best because the emphasis is on the experience.

Many businesses find themselves in the middle which is where these coupon sites take advantage of their prospects.  By promising to generate traffic, they lure you in by getting customers into your doors.  But are they the right customers?  If they are, how is what you are offering going to be far and away different to get them to come back?  A recent NY Times article highlighted some of the challenges these coupon sites are facing and why they are waning in popularity (http://nyti.ms/coupon_loyalty).  While the sites manage to attract customers in, they will often not return because they will just go back to the site and get another coupon for somewhere else.  It’s hard to drive loyalty when you force your customers to focus on price.  In the end, everyone loses.

Want more customers?  Know the following:

  • Know who your customer really is.  Learn all you can about them.  Understand their needs, wants and desires.
  • Get focused.  Understand your purpose and how it serves your customers best.  Communicate that message to your target audience.
  • Target. Not everyone is your customer so place your energy with your target audience.  Go after them with pinpoint accuracy.
  • Solve their problem.  What issue do you solve with your client?  How is it quantified?  Focus on how your solution is the best.
  • Know why you are different.  The trap of being just like everybody else or trying to be all things to all people will lead you to sales mediocrity.  Focus less on what you do and concentrate your efforts on how you do it.  What experience do you create?  How is that different from what your competitors will do?
  • Tell a good story.  Relate to people through stories and analogies.  Share past experiences and successes.  Frame it in a way that your prospect could see themselves working with you or using your product to address their needs.

While coupons may be a tempting way to get more people through the door, they often just create more work for you without the profit.  The customer may benefit but the business does not.  Become more focused and purposeful about what you do.  Offer an experience like no one else and watch your sales grow.

Want to learn how?  Check out Apples to Apples: How to Stand Out From Your Competition.  Available now in hardcover and on Kindle!





You’re Dying From Cancer, But I Didn’t Tell You.

29 09 2011

Imagine not feeling well and going to the doctor to get things checked out.  The doctor looks you over and tells you there’s nothing to worry about.  The problem persists for several months, followed by several visits.  Each visit finishes with the same response until one day you are so sick and weak you now are taken by ambulance to the emergency room.  After a battery of tests the ER doctor comes into the room and tells you that you have been diagnosed with late stage cancer and you are probably weeks away from death.  Sad, fearful, and angry you call your regular physician and ask him why he didn’t catch this.  His response to you is shocking.  “I didn’t tell you because I was worried you couldn’t afford the treatment.”

Sounds like a lawsuit waiting to happen.  First of all, this is an example.  I know a lot of doctors and they would never put the welfare of their patients in jeopardy.  Nobody in their right minds could believe a doctor would do such a thing.  What about businesses?

I take a great deal of pride in the work I do for my clients as well as those contacts who aren’t.  I have the strong belief that my role is to do what is right for the people and the business.  Because of this I may tell people things they don’t want to hear.  Some cases I have lost projects because of it.  Yet in most situations that is what gets me hired.  I tell leaders what they need to know.  If I am not the right resource I refer them to the proper professionals that can help them out.  While I am conscious of the client’s situation, I recommend the action they need to take and leave it up to the referral to see if they can help.  After all, if someone has a cancer in their business, I do not want to be the one who didn’t warn them.

So why do I bring this up?  My rant begins with a conversation that took place with a service provider who was talking to me about referrals.  To be clear, this was not a situation where i was asking him for referrals, but more of a discussion about the practice.  He said he was often aware of needs that his clients had, but was reluctant to refer to outside professionals because of what they might think.  Like the analogy of the doctor, he knows his clients have issues that could prove costly, yet he fails to act out of fear that they will balk at the idea or that they are unwilling to pay for outside help.  The difference here is there is no perceived malpractice.

I do not say these things because I desire more regulations or outside intervention.  I merely wish to bring up a point.  As a professional, you owe it to your clients and colleagues to help them be successful.  If relationships are built on a foundation of trust, I believe your clients and others in your professional circle will value what you have to say.  If you are concerned about it you may need to do a gut check on how solid your relationship is.  My clients are successful because they are told things they don’t want to hear,  but NEED to hear.  Because of this, many of these people are experiencing substantial growth when other businesses are struggling to make ends meet.  They set goals and act deliberately while their competition worries and unfocused action.  Many of my clients are building and expanding while others are shrinking.  All of my clients are through referrals.  In other words, they came to me because someone had the courage to say there is help available.

Whether you are a banker, accountant, marketer or even a coach, your actions towards your clients speaks volumes about your values.  That is why as professionals we build relationships of trust with other service providers.  We may not be doctors, but we do need to hold ourselves to a higher standard.  It is how we will grow and innovate.  So go out and build those relationships, check backgrounds, research and build your circle of professionals.  When you help a business grow, not only do you help that business, you help create jobs, and strengthen our economy.  Not to mention you have strengthened a relationship that will pay you back ten fold over time.  Be courageous, build trust, and create growth.





Seven Steps to Ending Disruptive Behavior in the Workplace

27 09 2011

Can a productive employee actually cost you business?  I am reminded of words that were shared with me some time ago; “People are hired for their technical expertise and fired for their behavior.”  That is just as true today.  I have noticed a trend on this subject recently.

After a morning meeting with a client, we discovered that a productive employee has cost her business around $370,000 dollars in lost revenue.  Yes, that is correct.  This lost revenue is because the employee in question has driven away even higher producing members of her sales team.  These people have gone to work for the competitor and have taken business with them.  The difference in the disruptive employee’s production vs. the people who have left works out to be $370,000 in gross dollars.  That is pretty significant.  And often these costs are hidden because we often don’t measure the impact of one person’s productivity against a group.

Business leaders need to protect themselves against what I call disruptive behavior which is when an individual, or group, negatively impact the productivity of the rest of the workforce.  Steps to correct behavior may be taken too late or dealt with incorrectly.  In a few cases, the negative behavior is ignored which creates critical problems that are difficult to correct.

If you are experiencing disruptive behavior, you should take the following actions:

  1. Address the problem immediately – Take action now instead of waiting to see if the problem will correct itself.  When issues aren’t dealt with right away, they send messages to your good employees that you don’t care.  This can lead to frustration, anger, lost productivity, poor service, and poor quality.
  2. Keep emotion out of the discussion – Taking corrective action when you are angry or upset will only lead to an argument.  Handle the situation rationally and stay focused on the facts.  Address examples of the behaviors observed  and focus on the desired behaviors.
  3. Act as a coach, not a disciplinarian – Sometimes we may come across like the scolding parent.  If you know how well your kids listen when you act like that, imagine how an adult will be.  Open a dialog, ask questions, enroll the individual in how they can be part of the solution.
  4. Get both sides – Find out what is going on with the employee that might be leading to their disruptive behavior.  Are their actions caused by their own frustrations?  Is there something personal going on that is reflecting in their work habits?  Understand their side of the problem and help them come up with their solution.
  5. Keep it positive and keep it real – Maintain your focus on desired outcomes.  Keep the conversation as positive as possible yet don’t let people off the hook or make excuses for bad behavior.  The moment you make the poor performance acceptable, you can expect to see more of it.
  6. Establish follow up and accountability – Often bad behavior continues because no action is taken past the discussion.  When dealing with behavioral issues, it is not possible to make immediate corrections to someone’s attitude.  Continued follow up is needed.  Check in with the person.  Make sure they are continually working towards change and they know you are there to support them.  Reinforce desired behaviors over only recognizing poor ones.  Catch them doing good things because most people only hear when they screw up.  Whatever you place your focus on will grow.
  7. Encourage open dialog between staff members – Though this takes time, building trust and open communication between team members is an effective way to prevent performance issues.  Consistent leadership and positive behavior on your part will reinforce the culture and the group will start self-policing their own actions.  Trust people will do the right things and in most cases they will.  Just don’t forget to follow up and verify the right actions are happening.

Taking these steps can increase the performance of your workforce and reduce the time you spend dealing with disruptive issues.  Make sure you do your part as a leader to not only make this the best customer environment, but also the best work environment.





Facebook Reminds Us How Difficult Change Can Be

22 09 2011

If you have been on Facebook in the last 24 hours you might have noticed some differences.  If you have not, I am sure many of your Facebook friends will inform you.  Yesterday, Facebook made some significant updates to their page and news feed causing many users to cry foul.  Facebook says the changes are to improve user experience and make it easier to stay connected.  The users, however, find the new layout confusing with the absence of some features they had grown accustomed to.

But this is not about Facebook’s change as much as it is an observation about change in general.  Though we are in a continually evolving world where change comes at us faster than ever before, we often wish things would remain as they have been.  I remember these experiences when I worked in the corporate world.  A change would be sent down by management and one of the following would happen:

  • Backlash – “That’s not part of my job!”, “This doesn’t make any sense!”, “I’m telling my boss this isn’t right!”
  • Sabotage – People will set out to make sure the new way will not work
  • Complacency – This is the “flavor of the month” and this too shall pass
  • Collusion – Water cooler huddles dissing management or anyone who agrees with the change
  • Resistance – Flat out refusal to try the new method
  • Acceptance – This is a rare bird.  Some think it is extinct
  • Embrace – Some actually see the benefits and not only look forward to the change, but may actually take the lead on making the change better (even rarer than acceptance)

As you can imagine most of our wiring around change is that it is negative.  I am sure there are many reasons for this, but the fact is we will go through countless changes in out life.  As leaders, we will ask others to be part of change.

There are things that can help make change a little easier in our organizations.  Here are a few things you might try:

  1. Inform and educate – Appeal to the reason why the change needs to happen.  Focus on outcomes, benefits and desired results
  2. Enroll staff – Change that happens behind closed doors and then sprung on its participants can lead to revolt.  Whenever possible, incorporate informal leaders into the process.  Find the people who can influence the change one way or another.  If they own it, they can help create a positive message.
  3. Deal with the emotional issues related to change – Fear is a powerful factor in any change process.  Often people’s minds go to the worst case scenario.  Address those concerns early on.  Get feedback.  Seek advice and if someone has a different idea, let them research it if possible.
  4. Whenever possible, be transparent – work people in to a new way of thinking by sharing information.  If you are holding back because you are worried what people will think, don’t be surprised if that is the outcome you create.
  5. Work on behaviors around change – Coaching and mentoring is involved here.  Help people develop the skills necessary to do and think differently.
  6. Create a change culture – Empowered leadership, empowered staff, a clear direction where to go, and focusing on the positives can go a long way to making change a regular part of your business model.  Get people thinking.  Teach creativity skills as much as you would technical  skills.  Tap into that entrepreneurial spirit that your organization had when it was young and everything was constantly different.  Make people the catalyst for moving forward!

The bottom line is change can be easy or difficult.  Often we choose to make it the latter.  Each of us have embraced quick and dramatic change in our lives yet we still adapt and move on.   In many cases that change wasn’t as bad as we originally thought.  So while I can’t change Facebook, I can change my attitude.  And if something as small as Facebook can throw you into a tizzy, how are you going to do against greater changes needed in your business or your life?





Sometimes the Best Way to Win is by Finishing Third

19 09 2011

I had the pleasure of hearing Malcolm Gladwell speak last week at a tech conference in Milwaukee.  You may be familiar with his books, which include The Tipping Point, Outliers, and What the Dog Saw.   Mr. Gladwell opened his discussion with the Bekaa Valley Air Battle which took place in 1982.  Considered one of the most lopsided battles in military history, the air battle represented the use of modern warfare which saw the Israelis decimate their Lebanese foes in just a few short days.  The mismatch was so bad that it has been labeled “The Bekaa Valley Turkey Shoot”.

What Mr. Gladwell recognized here was Israel didn’t use any technology they developed.  Instead they mastered what others had innovated.  For example, the Soviets were master strategists.  Their centralized power allowed them to bring great minds together to think of the best ways to fight in modern warfare.  However the Soviets did not possess the technology their strategy utilized.  The Americans are a different case.  Their fractioned yet highly entrepreneurial military had developed many of the technologies and weapons necessary to successfully lead the fight.  By combining the best of the two, the Israeli military was able to carry out an attack with such precision, they completely shut down the Lebanese.

We often place too much emphasis on our need to be first in the race.  Yet in many businesses where the business model may be new or evolving, it can actually be better to enter third.  Mr. Gladwell pointed out that Steve Jobs and Apple have been the best at this.  They weren’t really the first to develop anything.  What they did do was take the idea and make it better.

The most important phrase Mr. Gladwell shared was culture dictates innovation.  If you have the right culture, you can do great things.  What you need to do is create a culture that will allow you to be successful.  Yet cultures can be difficult to change.  As leaders, it is necessary to take the time to define what you want to become.  The direction you take your business is the choice of you and your culture.  What direction is it taking you?





A Laundry List to Accomplish Through Five Steps

15 09 2011

In a recent client meeting we were reviewing the business numbers and talking about the next steps for the growth of the operation when the subject of incentives came up. During our talk, the owner asked if the incentive package could be repeatable in another company. My answer: it depends. This led to an in depth talk about why some companies can be highly successful and others not.

My client, the owner of a very successful business as well as a grand inquisitor asked me to define what made his current revenue sharing so successful. I threw the question back at him. I said, “First, why don’t you tell me what has to happen in order for your plan to work?” Through this, an extensive list was built:

  • The current business has no debt
  • They have highly productive people working
  • There is a culture of empowerment to get things done
  • They are Mission/Vision centered
  • They developed a pattern of growth
  • The leadership character of the owner
  • No assumptions are made. Evidence supports the program.
  • Problems are dealt with immediately
  • Everyone in the organization is treated as important
  • Loyalty matters (to customers and also vendors)
  • Team will go above and beyond because they are respected
  • Communication is high
  • There is trust in the environment
  • Outside support through mentoring and coaching
  • Owner is willing to be coached
  • Owner knows his weakness
  • Owner knows his Vision for the business

We addressed that because there are a lot of things working right, his compensation is successful where in other places it might never pay out. This brought up a greater observation; there are a lot of things that make organizations successful and if it weren’t for several factors impacting all these outcomes, the business wouldn’t be where it is today.

Many business leaders focus on the laundry list that needs to be accomplished. Yet even with a large list such as this, it can all be running right with just a few simple practices.

  1. A Vision-centric culture. Everyone knows what the organization stands for, what they will accomplish and how their role plays into accomplishing that goal.
  2. Goal focused and communication driven. Each person knows what they need to achieve and there is ongoing communication to help them succeed.
  3. The right people. people matter. Period. When leadership has the right behavior and people work from a position of strength and empowerment, amazing things can be accomplished. The wrong people or even the right people doing the wrong things can be costly.
  4. Working process that is always a work in progress. In an environment of change where people are continually taught and updating best practices makes for a winning combination. By honoring systems for their consistency, but being willing to question everything for improvement, people are able to maintain a high level of productivity.
  5. Measures that mean something. Data is abundant. The right data is far more important. Knowing what to measure, how to measure it and empowering people to be accountable and track their data, team members are able to help reach their targets as well as the growth goals of the company.

By following these steps, business leaders are able to develop great performance along with happy, engaged employees. What is your laundry list and how will you be tackling it?








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