The Biggest Barrier to Success

3 10 2012

How is it two people in very similar businesses can have two completely different outcomes?  Whether it is retail, service, manufacturing, or healthcare, we know a company that is growing rapidly while another is going out of business.  Some may argue it’s luck.  Others might say it’s location.  There are even others who would imply that the company was successful because of other outside influences such as political incentives and breaks.

Yet for every success there are ten failures.  These companies may be across the street from each other, or they could be on the other side of the world.  Regardless of the industry, location or political environment, one barrier is pivotal to the success of any business; the habits and beliefs of its leaders.  It is the deep rooted habits that drive the outcomes.  It is the belief system that drives a person to create their own realities.

Much of my work is spent with CEOs helping them understand how their behaviors influence their decisions, actions, and outcomes.  This is very apparent in companies that are caught in the money trap: wanting top dollar for your product but unwilling to spend more than the lowest possible price on anything you purchase.

Our habits attract people who are most like us.  If a leader is constantly haggling to get everything for the cheapest price possible on goods and services, they shouldn’t be surprised that their customers demand the same from them.  It’s the law of attraction.  Whatever you place your energy towards will grow.  Obstacles are visible because you are looking for them.  Opportunities exist but most people miss their chance because they aren’t looking for them.

Bottom line, your biggest barrier to success is often you.  When you accept that, and change your thinking, the right opportunities will begin to present themselves.

Action item:  Struggling with something?  First look to yourself and ask, “What am I doing to create this?”  Can’t figure it out?  Then ask someone else.  A friend, mentor, coach, or trusted advisor are your best options.





Ask Penn State if They Can Measure the Value of Culture

16 11 2011

“Integrity is how you act when people are watching.  Values are how you act when people aren’t”

Organizational culture is a hidden asset.  What I mean here is you can’t really see, taste or touch it yet its presence is always there.  When you nurture and develop it, the results often lead to very positive results.  I work with companies to define this intangible object and quantify it in real world value.  Because when you can quantify the influence of culture, it is easier to make an investment in its growth.

So what is the value of culture? Can things such as Vision, Mission and Values be quantified.  When things are going OK, it is easier to define.  When things go wrong, it can be blatantly obvious.  I have been a college football fan for a long time.  Since I am from Wisconsin, I like many others in this state are devout fans of the Badgers.  I remember going to games years ago when there would be 20,000 (I’m being optimistic here) in the seats to watch a game.  Nowadays games are sold out.  The stadium is packed and the Badgers often rank as one of the top teams in the nation.  University leadership created a sports culture built upon success and they have reaped the benefits.  The economic impact to the university has to be in the tens if not hundreds of millions over the past decade.  The indirect benefits have included other campus improvements for the university and a tremendous economic boost for the local community on any given home game for football, basketball or hockey.

What’s even more noticeable is when things go way wrong.  Penn State is going through that turmoil right now.  And it could have all been avoided if someone would have taken action.  Just in case you were under a rock for the past two weeks, a former member of the coaching staff for Penn State football was allegedly involved in a sex scandal.  The actions of this individual have been documented for the past decade along with the apparent cover up that led to the firing of key figures at the college and the dismissal of Joe Paterno.

At one time, Penn State represented a lot of the good things about college football.  Joe Pa was a well respected coach.  He had an excellent track record of finding talent that could also pass their classes.  Penn State was scandal free, avoiding issues of corruption that had plagued other large universities.  Joe Paterno and Penn State Football was an institution.  Unfortunately the institution had cracks in its foundation.  What the scandal exposed was a mis-alignment of values, vision and culture.  Penn State represented trust and integrity.  Yet at some point, leadership chose to betray those values to protect the image of the college over helping the innocent victims.  It is sad and unfortunate.  I have been to Penn State for a football game.  The hospitality was great and both students and alumni that I have met represent all that’s right with the college.  I am sad they have to go through this.  Unfortunately the majority suffer from the actions of a few.

That leads to the cost.  The impact of the scandal and cover-up go beyond emotional damage.  There will be a significant financial impact as well.  Paterno was responsible for bringing millions into the college.  Then there’s alumni donations which may take a hit.  Additional costs will also include the litigation associated with the scandal.  Also affected are college recruiting for both athletic students and regular academics.  While it is too early to measure the entire extent of the financial damage done, the costs will be well into the millions and impact the college for years to come.

While these are extreme examples from a large institution, each company has a direct financial impact created by their culture both positive and negative.  During challenging economic times the culture is often the first to be neglected influencing future success.  Do you know the impact your culture has on your business?  Have you measured it?  How will it influence your future?





Growth is Out There. Are You Bringing Your Best Game to Get It?

29 08 2011

This past weekend I had the opportunity to visit some friends at Lake of the Ozarks in Missouri. They are in the process of starting a museum in the area and I offered my assistance to help them on a big weekend. For those of you unfamiliar with the lake, it is a popular tourist spot south of Jefferson City. Its biggest activity: boating. For most of us here in the Midwest, we are familiar with a bass boat or small cruiser. At the Ozarks, you often see ocean going performance racers or large cabin cruisers because of the lake’s size. It is also in a beautiful part of the country that offers over 2000 miles of shorefront with all the little coves and inlets.

The reason I am bringing this up is to say that people are still spending money. This past weekend was Shootout, an annual event where everything from pontoons to fifty foot race boats compete for top speed on a stretch of open water as thousands of spectators watch. To say that the amount of money floating in the water is obscene would be an understatement. When many of these water-going projectiles can cost in the millions; and it is common to see several of these types of boats docked at any of the bars and restaurants lining the shore you can see that people are still spending money. Now they are just spending it differently.

While there I was able to talk with several executives in the industry as well as people who were there to enjoy the weekend. The business leaders were optimistic about their industry and were seeing a resurgence of buyers. They also admitted that the clients were the ones who were passionate about boating since lending practices have changed how people are able to afford these luxury items. People are still willing to spend, they are just more careful how they wish to spend their money. For their investment, they want more. If it is eating at a restaurant, the service has to be top notch. If they are buying products, they have to be high quality. Often the value of the item aligns with the values of the individual. That awareness is heightened in an environment where we are talking about a lifestyle.

As business leaders we are about creating experiences. Because people make their buying decisions based on emotion, we are continually pressed to make the experience the best one possible. Because our customers’ values are different we have to align the experience with their values. This is what makes business so challenging. We are always working to hit a moving target. The companies that are the best at this are growing and the businesses who fail to learn this are struggling.

This is why it is so important to know who your customers are. Learn which ones are the best. Understand what is important to them and why they would choose to do business with you. Also know which ones aren’t a good fit. You will never make everyone happy so spend your time making your best customers exstatic to do business with you.








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