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attitude Business culture Employees Leadership Motivation Small Business

Teamwork means… what?

Teamwork has been on my mind a bit lately, so I thought I’d organize a few thoughts along those lines.

Trust is leadership is influence

Every day of your life, people are doing a credit check on you…your trust
– Rick Warren

People learn to trust you when you are predictable. When they can predict how you will handle a situation, how you will care for a client, how you will advise or comfort an employee, how you will discipline an employee – as well as when or where, and how you will call out an employee for a solid or above the call effort.

Think about that not only regarding your service to clients, but your service to your team. What example do you set for other employees? How do you talk about clients when clients aren’t around? How do you talk about other employees when they aren’t around?

People trust those who are loyal to them. Loyalty demonstrated in others is often assumed to be the same loyalty one thinks they’re getting when they aren’t around. Loyalty doesn’t mean being soft. It means being consistent, predictable and thinking of everyone – including but not solely the company and its owner(s) in every decision and action.

Life’s battery isn’t self-sustaining

Remember, the employee’s job is one of many things attached to their “life battery”. Work, home, kids, spouse and many other things compete for and/or charge/consume the energy in that battery.

If everything is taking energy from the battery and no investment is made in recharging the battery, how long will it last?

I don’t have the right to be tired” – reality show producer Mark Burnett, meaning that he doesn’t have the right not to take care of himself.

You can probably identify things that drain your battery. Can you also point to the things done daily or weekly that recharge it? What helps your team recharge? Does your team know what saps your battery? Let them know. For me, drama and the inability to get focus time are major battery leaks.

Teamwork, motivation and ownership

Don’t expect every staff member to work at the same level all the time. Different work motivates at different levels. Energy levels swell and fade. You and other team members can impact the performance of others more easily than you think.

Don’t expect employees to care as much as you do, work as long as you do, work as hard as you do, or live and breathe your business like you do. Some will, but most won’t because they don’t own the place. For you, it’s an investment in your lifetime financial future. What is it for them? What have you done to make it more than a paycheck for them? Perhaps you have some sort of employee ownership program, but it has to be real or it may as well not exist. Employee owners have a skin in the game and they will view things differently as a result, just as you did before you were a business owner. Don’t expect people to act like an owner if they aren’t.

When team members show an interest in learning new things or deepening their expertise or skills, it’s not enough to get out of the way. Do what you can to help them get a running start. You can pay for the education, reimburse upon success, make time in their day for it, and find other ways to leverage their enthusiasm and interest. No matter what you do, don’t discourage it.

Affirmation and Appreciation

Management of mistakes is important. Perseverance, determination and endurance combine to create wins, but mistakes teach us what doesn’t work. How we recognize, debrief and analyze them to avoid repeat episodes is critical.

Make at least weekly contact with everyone. I don’t mean a wave or a smile in the shop, but a few moments or a pre-arranged chat, email or text conversation about the Weekly Four:

  1. I’ve made progress on …
  2. I’m having a problem with ….
  3. I need a decision from you about ….
  4. My goal(s) this week is ….

Keep in mind that presumption isn’t communication. Assuming that an employee knows that their long/late hours lately are appreciated isn’t appreciation. Be explicit to them and their family. A short handwritten note to the family to recognize their effort and the family’s sacrifice is more than a thank you.

What does teamwork look like to you?

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Employees Entrepreneurs Leadership Management

Micromanagement… is there a cure?

What is micromanagement? I suspect everyone who experiences it has their own definition. Wikipedia describes it as “micromanagement is a management style whereby a manager closely observes or controls the work of subordinates or employees. Micromanagement generally has a negative connotation.

Closely observes or controls” could be good or bad, depending on the context. It’s a tricky thing but like some other creations, we tend to know it when we see it, or experience it. One person might say “closely observes” is good management and that “controls” is necessary when training new people or people in new roles, but experienced people might feel that controls is unnecessary. Is your waffle detection alarm going off yet? Good. Look, it’s clear that there will be differing opinions on this, particularly between managers and employees who naturally have different perspectives. I don’t expect that to change, but how we view these things can change, even if we aren’t able to “cure” it.

If we look at micromanagement like a cold or flu that we want to cure, we’ll naturally focus on the cause and on symptoms. We focus on symptoms to make life easier until a cure is found, and we focus on the cause because the origin can often tell us how to solve (or cure) the problem.

What causes micromanagement?

I don’t think there’s any one cause. Based on experience, research and discussions with a number of people, there are four things that I’ve heard as reasons why micromanagement is taking place (noting that managers rarely acknowledge it) :

  • Lack of data.
  • Lack of trust.
  • Lack of control.
  • Previous delivery failures.

If you look at that list, what you’ll probably read from it is that someone is frustrated. That someone is management. The things management does out of frustration with these things will almost certainly cause frustration among employees.

It’s important to understand the people we’re working with: entrepreneurs. One of the things that entrepreneurs seek when starting a business is control. Control over income, destiny, time, etc. With success comes an eventual realization that the entrepreneur can’t do it all. Success means that the entrepreneur’s business has to grow and hire people, or it has to stop growing – something that rarely pleases entrepreneurs.

Must. Have. Control.

The minute you hire people, there’s a loss of control. The entrepreneur is now a business owner, not just an entrepreneur doing and controlling it all. “Suddenly” they have to trust someone else to do what they do well. When your neighbor takes over your BBQ chef role at the quarterly neighborhood block party, letting go is difficult. This is no different.

Years later, it’s no different for the entrepreneur. The work of the business reflects upon the entrepreneur personally. The entrepreneur’s inability to know and control everything is a difficult beast to overcome, particularly if the business grows to a point where they no longer has the ability to “know” every employee personally. When the entrepreneur no longer hires every employee, another phase of this process takes place.

So what to do?

A prescription

How do we deal with the four causes?

Lack of data – A lack of information brings assumptions. Assumptions usually don’t go how you expect, so that leads to …

Lack of trust – Trust might seem like the wrong word here, but that’s likely what it feels like to the employee. Trust is built by publishing plans, milestones, deadlines and then HITTING THEM.

Lack of control
– Much of this comes down to treating the entrepreneur’s lack of control. It may be new to them or not, but feeding the other parts of this helps provide the opportunity to analyze how things are going at a high level, ask if any help is needed without having to drill down into the nitty gritty on every little thing for every project you have in progress – what most employees would view as micromanagement at a company of 20, 50, or 100 employees.

Previous delivery failures – When projects fail or are late, lack of data about the cause of failure leads to assumptions (and the cycle continues).

The big thing about this is freeing the entrepreneur to wear the CEO hat. No one else can do that work. If the entrepreneur can’t get to it because of time spent micromanaging, that’s not good. Help them escape the micromanagement trap by providing the data they need.

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Entrepreneurs Leadership Management Project Management Small Business

Complete the important work

What are you not getting done? Why aren’t you getting those things done?

Does important work often go undone? If so, is that work truly important?

Delegation

Why aren’t you getting those things done?

Is it because of other things that keep you “busy”?

Are you busy because you aren’t delegating enough?

Are you unable to delegate?

Are you unable to delegate because you have no one to delegate to?

Are you unable to delegate because you don’t have time to document the task to be delegated?

Are you unable to delegate because the task requires skills that no one on the team has?

Do you have a system to develop people on your team? Is the system producing people that you can delegate tasks to?

If not, what should be changed so that the system produces team members who can take over the parts of your work that can be delegated?

Is it because you aren’t developing the “former” you in your team so that you can spend more time being the current you?

Systems

Is it because you don’t have an organized manner (system) of keeping track of what needs to be done?

Is it because the system (whether it’s paper, phone or computer-based) doesn’t work?

Is it because the system doesn’t work like you do?

Is it because the system doesn’t remind you of work that is scheduled or that needs to be done?

Is it because you don’t use a system that you have?

If you don’t use a system you have, why don’t you use it?

Focus

Is it because you aren’t giving yourself enough focus time?

What mechanism do you have in place to create focus time for yourself?

Does the mechanism work? If it doesn’t work, why is that?

Do others ignore the things you place in the way to allow you to have focus time?

If others ignore your focus time barriers, what have you done to clarify the situation or “discipline” those who ignore the barriers you build to create focus time? Are others aware of these barriers?

Classification

What is the cost of not getting these things done?

Is the cost, benefit or other financial impact what you use to determine the importance of a particular piece of work?

Does not getting these things done imply that they weren’t important after all?

Is the mechanism you use to identify work as “important” performing effectively?

If you look back at the work you considered important last month, do you still think it was important?

If not, how will you fine tune the system you use to assign importance?

Is there a system you use to classify work as important, not important, etc? One such system identifies work in four quadrants: “important and urgent”, “important and not urgent”, “urgent but not important”, and “not urgent and not important”. This system is often credited to “Seven Habits” author Stephen Covey, but there are also documents dating back to President Eisenhower’s use of the so-called “quadrant of work” system to decide what to do, what to decide upon, what to delegate and what to delete from the todo list.

Costs

Do sales or project goals depend on whatever you aren’t finishing?

Is the important work you’re not getting done tactical or strategic?

If so, is that a consistent situation? If not, have you recently been fighting through a situation that required you to focus on tactical?

Of the work considered important, is the cost of doing the work more than the benefit of doing that work?

If the cost exceeds the benefit, what makes that work important?

If the cost exceeds the benefit, should the work be done at all?

Turning that toward the less important (busy work?) that is consuming time best spent on the important work – if the cost of the busy work exceeds the benefit, should this work be done at all?

Do the important work

Consistently being able to identify the important and completing it while delegating what isn’t important IS the important work. The work you delegate may not be as important for YOU to do, but the fact that it can be delegated is the critical difference.

What’s the important work for you this coming week? What’s in place to make sure you get it done?

If you don’t have your system fine tuned yet… Does your staff?

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Competition Improvement Leadership Management Project Management Setting Expectations

Project Management: Is it done yet?

When I was young and a bit green at project management, I somehow managed to have responsibility for a number of big projects. Some came in OK, some never seemed to get rolling properly, some were late, and some seemed to take on a life of their own. A latter group tended to include projects whose scope was a moving target or had many unknowns.

The worst of these have a way of being the unknowns you never see coming, often gestated from a family tree of assumptions and incorrect or changed information.

Secretary of Defense Rumsfeld famously said that decisions are made while dealing with “known unknowns and unknown unknowns“. Anyone with large project experience knows exactly what he meant. Interestingly, Rumsfeld credits a NASA manager with the terminology.

Project management requires discovery

The software business has a sketchy reputation for delivering projects on time, despite a lot of internally-driven improvement over the last two decades. This reputation is sustained by the memory of failures of very large software projects.

Agile project management and related methodologies have helped a great deal. Many of these methodologies can trace their roots back to Lean manufacturing / management methods taught by Deming in Japan after World War II.

Success with these management strategies depends on early discovery of issues, challenges and changes in the information driving your decisions. This, along with our human tendencies, is why the MVP (minimum viable product) construct works. The earlier the customer sees your work, the earlier you’ll find out if you’re on track.

Usually, you get to decide how this discovery occurs: organically as the project work occurs, or in advance, thanks to discussions of expectations, requirements and manufacturing options during the design phase.

Poorly managed projects are often started without sufficient discovery and discussion. Even today, many projects are started and finished with very little advanced thought. No one would build an airliner as it rolls down the runway. While that sounds a bit ridiculous, this is exactly what happens.

The context of the design is critical as well. Work done in a vacuum, even with the best of intentions, often produces incorrect assumptions thanks to the aforementioned unknown unknowns.  The project’s scope is an known unknown and the unknown unknowns are often a simple matter of lack of experience with the environment where the completed project will be used. The gap between expectations and results matters whether you’re building a crescent wrench, a software program or a Mars rover.

When will it be done?

While you may not have an accurate answer to that question, better design will improve your ability to give an estimate that someone can actually trust.

Better design? How?

The most common problem I see is not breaking things down into small enough pieces of work. Granularity is critical to the design and estimation of highly detailed / technical work. The volume of dependencies and unknowns in this type of work compounds the miscalculations and omissions resulting from a lack of detailed analysis, resulting in inaccurate estimates and missed expectations.

An estimate of days, weeks or months without a detailed breakdown of subtasks is symptomatic of the problem. I find that estimates require subtasks no larger than two to four hours to create a design that’s thought out well-enough to meet expectations, discover obstacles in advance, while producing a reasonable estimate.

But it’s not perfect!

Human nature also creeps into the equation: We like completing tasks.

It’s such a part of our us that people tend to focus on less important tasks simply because we can complete them before the end of the work day. We feel accomplished despite leaving big projects untouched.

If you’ve ever written things on a checklist that you’ve already done so that you could check them off, then you know what I mean.

Rather than fight the fixation on small projects that we can “download” and complete in a work period, feed it with subtasks of your big, important projects that conform to the need to complete something the same day.

Life has a way of being incredibly creative when it comes to finding ways to delay a project’s completion. Build these project management tactics into your design, estimate and build workflow so that you can get better work done faster – even on big projects.

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Business Resources Employee Training Employees goals Improvement Leadership Small Business Strategic Notepad

Leading your team to goal setting

Last week, I suggested that you communicate company goals to each team member so that your company-wide goals have context for them in their daily work and with their department’s goals. That’s only part of the job when working with team members and goal setting. The other part is making sure they have a process for identifying what they want to accomplish and how they will break it down and knock off the steps required to make departmental and personal goals happen.

Goal setting training?

You might be looking at that last paragraph and wondering how it is possible that anyone on your team doesn’t already have a process they’re happy with for goal setting. Have you asked them what process they use for identifying, prioritizing and achieving goals? For a business owner, this may not seem possible, but business owners usually have a different worldview, mindset, background (and so on) from at least some of their staff.

To shine a light on that thought: In all the companies I’ve worked for and with since I started post-collegiate work in the early ’80s, not one offered (much less required) goal setting training of any kind to help employees or teams with this critical responsibility.

NOT ONE. How is this possible?

Even if your team members have a goal setting / achievement process they are happy with, do you know how it fits with the process your company uses? What if yours is better? How will learning yours impact their work and life? What if THEIRS is better? How would that change the lives of the entire team and the future of the company?

Yes, training.

The same way that it’s possible for companies to forget to train their people on project management, process management, product management, etc. The assumption at companies that don’t do this may be that “We hired an experienced person, so we expect you to know this.”

That’s great, but if the experienced hire hasn’t been trained, or uses a sloppy, misguided or incomplete method – who pays for that? Even if the method is good, but it’s incompatible with your company’s process, it’s worth discussing.

Are these things a part of your employee on-boarding? Are you showing them where the health insurance forms are and how to file expense reports, but failing to provide them with information (and training) on the company’s preferred goal setting process? Are you spending any time acclimating them to how project management is done at the company?

Are they being trained on the systems and tools your company uses to communicate, manage projects, collect and review feedback, store ideas, plan projects and identify goals? If not, how will they thrive in your system?

People systems are as important as other systems

It’s all too easy to see a need in a company, hire for it, plug someone into a position and turn them loose like a replaceable part. You may feel that your front line people can be handled that way since they aren’t viewed as a strategic hire. I suggest that they are because they are customer-facing, but it’s more than that and goes back to our discussions last week where giving context to company goals is critical to achieving them.

When you take that concept of giving your team context to company goals and apply it to the systems across your entire company, even the front line staffer needs to know your systems and the importance of using them. How else will they determine and achieve their goals? How else will they know the importance of passing along client feedback, much less how to do it?

One of management’s responsibilities is to see that the staff has the systems and training to handle everyday situations. You train them to run the register, but it shouldn’t end there. What are you doing to prepare them to become of strategic value to your company? We see stories on a regular basis where someone started at an entry level position at a large company and somehow managed to end up as the company’s CEO (or as the company’s owner). These things don’t happen by accident.

How you prepare someone to become an integral part of your success is more important as any other training you provide. Train, mentor and guide them – even if you don’t plan for them to become CEO.

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Employee Training Improvement Leadership Management Small Business Strategic Notepad strategic planning

Is your New Year planning done?

New Year planning for your business is often a mechanical process involving adding x% to various budgets and reducing others or leaving them the same. While financial planning is important, be sure to invest some time at a deeper level so that next year isn’t simply a repeat of this year with a different calendar.

Even if this year has been your best year to date, there’s always room for improvement. In fact, the year after your best year often requires even more focused effort to maintain your current pace. On the other hand, if this year wasn’t so great or was “simply OK”, then these discussions will be in context to turn things around.

Here are some questions to consider for your New Year planning…

Strength Training and Leverage

Who isn’t getting the training they need? What parts of the company would likely produce improved performance after receiving additional training to leverage their strengths? What sort of training is required? For whom? This review should involve everyone in every department, from the owner to the newest employee.

While training can go a long way toward dealing with strengths that need reinforcement, the real solution is often found by delegating certain work to other people. Fighting someone’s weaknesses is usually a waste of time, talent and money. Can they be overcome? Perhaps. Is it worth it? It depends on experience and whether or not the questioned work is the person’s real gift.

You might be tempted to think “They run the cash register. How is that a gift?

The register isn’t the point. The people at your register, at your receptionist desk, on your support lines, taking inbound calls… they’re the people who make the first impression at your company. They’re great at public facing work, or they aren’t. Some will grow into it. Some never will, but may excel at other things. In the meantime, every new prospect and client interacts with these folks. Wouldn’t you prefer they interacted with someone who rocks that register, receptionist desk, or inbound call?

Ever had a great experience at a hardware store cash register? Ever had a bad one? Ever called in or met a receptionist who was a company’s best asset or worst first impression? How are these things going at your place?

Assess Leadership

Over the last year, you can probably name the high and low points from a leadership perspective. This includes owners, managers and team members. Last week I talked about the comfort you feel when you know someone has your back. A good bit of this is driven by leadership and example setting.

For every leader on your team, consider what would help them grow as a leader in the coming year. What can you do to help? What about everyone else? Have you and your managers taken the time to identify staffers who show potential as leaders? What process will be used to do that?

If you’re a team member and you want to lead, two things: Continue leading by example and be sure to let your manager know that you want help becoming a better leader. Assuming they can read your mind isn’t a great plan for your future.

Communication

As with leadership, you can probably identify the highs and lows communications-wise over the last year, both with your clientele and your team. What’s your plan to learn from them, train based on what you learned, reproduce the wins and address the less than ideal?

Is there anyone on your team who needs communications training? Do you cringe when you read emails from some people? Does anyone on your team struggle to get their point across verbally? What can you do as an owner to help them?

If you’re the one having difficulty communicating, who can you ask for help / suggestions? Again, don’t assume anyone will come to your rescue. Take initiative. The ability to communicate effectively is a big differentiator for you and your company.

New Year planning and individual goals

All of the things we’ve discussed above relate to individual goals. Either you want to improve or you want your direct reports to improve, or both. What have you done to communicate the company’s goals for the coming year? What about your departments? What about your personal ones?

It’s time to have these conversations.

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Business culture Employees Leadership Small Business

Culture defines who has your team’s back

How tight is your staff? What’s the culture of the team? Do they trust one another? Do they trust you? Do your employees know you have their back? Do they know their peers have their back?

Can everyone on your team depend on the processes, systems and people involved in your business? If you said yes, does every single person agree?

If you haven’t asked, don’t assume the answer is yes.

How well do they jell?

Ask your team about the qualities of the people they want to work with. Use their answers during your hiring process. You can’t allow even the smartest, best qualified prospect to join your team if they’ll create cultural conflict.

A few more questions to ask your team:

  • Is there anyone whose call you don’t want to answer? Ask them to think about why they wouldn’t answer.
  • Is there anyone whose call you will always take? Ask them to think about why they’d always answer.
  • Is there anyone on the team who makes you wonder “Why does management keep that person around?
  • Is there information about the business that you don’t have that’s preventing you from doing your job to the best of your ability?
  • If you’re responsible for local sales, do you know what parts of town yield the most profit?

Those last two questions are a clue about the information your team needs to become more effective. It’s not always about the obvious things.

Team members who are ready to grow into more responsibility will start asking (if not only wondering to themselves) if the work they’re being asked to do is turning a profit for the business. It’s critical to complete the circle of communications to your team about sales and profitability. When employees show concern about these things, feed that fire. It’s a sign that they’ve matured beyond taking home a check and are interested in growing their impact on profit.

These things contribute to your culture

While some businesses will hand wave away their culture as a meaningless foofoo thing, culture is what glues your team together. It defines how well they work together every day (or not) and that goes directly to how well they treat your clientele.

It’s essential that you use your culture as a filter for deciding who has the privilege of joining your team.

If you don’t, you’ll likely lose people who are very difficult to replace because they’ll see right through the “culture is important, employees are important” statements you might make.

To be a place where people want to work, these things matter.
To be a business people want to do business with, these things matter.

What doesn’t kill you…

I had an annual meeting conversation with a team this weekend. They’ve been to hell and back over the last year, business-wise. The ones who survived the worst part and stuck around have learned to depend on each other and expect great things of one another every day. They understand the importance of defending one another, covering for one another and expecting the best from everyone as the work together. They understand what’s important, what’s not and that they have to stick together and continue to work together or they will certainly die (employment-wise) separately.

While I won’t mention what business they’re in, I wouldn’t suggest taking them on. After listening to them and speaking with them, it’s clear they’d take punishment for one another. Best of all, they understand that the best culture in the world doesn’t mean much if profitable sales, consistent delivery and service don’t happen. It takes all of these things.

And that’s important because?

I mention this because a trial by fire will either destroy your team or bond it like few other experiences. The differences between teams that get destroyed and the ones that bond include your leadership as an owner, the team’s leadership (implicit and explicit), who makes up your team and what they’re made of. These things define your team’s culture because it defines who they are.

Which team do you lead? Do you know where the strengths and weaknesses are? Are you willing to investing in the proper hiring, training and communication to build your team into one that can take a punch?

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attitude Business culture Employees Leadership Motivation Small Business

Making employees feel safe

Gary Vaynerchuk make a safety comment in a video I was watching the other day that struck me to the core. It made perfect sense but I hadn’t really thought about it from quite the angle he came from.

While I’ve always tried to listen more than I speak (thanks Dad) as well as “praise in public, scold in private” and work within a number of Jim Rohn / Stephen Covey “seek first to understand” ways, I have found that there’s a line that you can cross when managing people that can stop the flow of accurate information from them to you – and perhaps from you to them.

The deadly part is that once you cross that line it’s really hard to erase the line or cross back over it into the nice little town of Truthville. That’s the place where Gary’s comment provided some clarity.

How do you make them feel?

What Gary said was “When you make them feel safe, they start telling the truth”.

He wasn’t accusing people who don’t feel safe of being liars. He’s saying that until they feel safe around you, within your business and its culture, you aren’t giving them the option to tell the truth. Up to that point, you’ve only given them the option to tell you what you want to hear, or perhaps the “safe” part of the truth.

When people don’t feel safe, it damages every conversation. It isn’t solely about the critical, strategic discussion you’re having this afternoon. It will affect every discussion, because they aren’t comfortable where the danger zone is.

As a result, they will often say nothing, as if they have no opinion, have nothing to add, and agree with whatever’s already been said. The reality is likely that they might have something quite valuable to share, controversial / challenging or otherwise, but they don’t feel safe sharing it. Unless you’re sensitive to what you’ve done, or more accurately, what you haven’t created for them – they might appear ambivalent, stupid, shy, unthinking, not insightful and many other things that you might see as negative.

How is this costly to your business?

The obvious problem is that your people tiptoe around and say only what they feel safe saying, instead of offering their most brilliant ideas and insightful opinions. Those things are rarely going to be middle of the road safe, so they are muted. This will change the appearance of that person and their attitude.

You might even think about getting rid of them because they aren’t intellectually contributing to important conversations at the company. Who wants an employee who doesn’t care one way or the other, or who doesn’t think about the big questions the business needs to discuss, or never has an opinion?

What could be happening is that you’ve not yet created an environment that allows them to feel safe sharing the most intelligent, valuable things on their mind. When your staff members intellectually shut down, or self-arrest before providing their most creative ideas and insights, you lose.

Eventually, you may lose them but in the meantime, you have a team of folks doing their work in an environment where they are afraid to take risks, speak their mind, share their insights (right or wrong) and take ownership of a situation. If someone doesn’t feel safe, they’ll never take ownership of something because claiming ownership means they agree to be responsible when management comes calling.

Happy, safe employees take ownership

I saw a Facebook post from an acquaintance the other day. He was getting home from work at 11:30pm on a Friday night – and all he could talk about on Facebook to his family and friends was how excited he was to work for the company he works for. While I suspect his management doesn’t want him doing that every night, I’ll bet they appreciate that he recognized something that needed to be done, done right then, and that he stuck to it till it was complete.

People take responsibility when they feel safe. Ownership matters to them. People crave it but they won’t take it if it doesn’t feel safe to do so.

Part of taking ownership is telling the unvarnished, unfiltered truth when important discussions come up. The more valuable your people are, the more valuable their insights and opinions will be.

Do your employees feel safe enough to share those things with you?

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Business culture Entrepreneurs Improvement Leadership Small Business Strategy

What’s holding you back?

I suspect you’ve heard of the Pareto principle, also known as the 80/20 rule.

In its simplest form, it states that 80% of the results come from 20% of the efforts made. Further studies on the principle have shown that it often extends to far more than efforts made, and frequently describes the results produced by a team or a group of people.

If you look closer, you’ll find that the root of the 80/20 split of results is often based solely on differences in things members of the group do and do not do. If you review the habits, techniques, tactics and strategies regularly used by the 20% who get 80% of the results vs. the habits, techniques, tactics and strategies regularly used by the 80% who get 20% of the results, you should find some causative differences. I suspect some of them will be obvious, while others will require further study to determine why those behaviors contribute to a major difference in outcomes.

Some have postulated that of the 20% who are most successful, there is a 5% that leaves the remaining 15% behind, despite the success of the 15% group. I think you might find yet another set of behavioral differences between the 5% and the 15%. This doesn’t mean any of these behaviors are bad, though they certainly could be.

That the 80% is behaving differently from the 20% (and especially the 5%) doesn’t mean that they are unsuccessful. In my experience, their level of success tends to be closely related to their mindset and their belief in what they can accomplish.

Choices matter

If you’re part of that 80% and don’t want to be, you have some decisions to make. You have to decide that you won’t remain in the 80%. You have to decide to learn from those who are achieving the things you want to achieve. This may seem obvious, but I can tell you that this is a most difficult choice to make and a decision that many people think they make, but infrequently stick to. It’s too easy to keep doing things the way you’re doing them. It’s easier to not have to explain what you do and why, particularly since most of the people you interact with will seem to need a justification for why you do things differently. You’ll hear it from your staff, your contractors, your vendors, your family, your clients and your prospects.

Clinging to the behavior of a group you don’t want to be in is what keeps you in that group. More often than not, it’s central to what’s holding you back.

In any group of similar people, the behaviors of that group are substantially different. Whether you’re in a room of professional pool players, professional skeet shooters or “self-made” billionaire business people, history has proven that 20% of the people in that room are making the majority of the advances and having the majority of the successes – DESPITE the fact that everyone in the room is a member of that group. Perhaps more telling is that 5% of the people in that room are far ahead of the remaining 15% in that 20% group – even though they’re peers.

Why? Because the 5% is doing something different. That 5% will likely be the first to leave the group behind, because they’re already pulling away.

Markets are groups too

Your market is no different. No matter where you are in your market, I’ll bet you can identify who the leaders are, who’s in the middle and who is near the bottom.

When you see someone in your market do something that works, do you see if it works for you? When you do something that works, does anyone else in your market try it?

When you see something in another market that you appreciate, do you try it – even if you have to put a twist on it to make it work for you? Do others in your market do this?

Can you easily identify things that competitors in your market are doing that are holding them back? If you shine that light back on your own business, are you doing any of them?

If you aren’t a leader in your market, can you identify things that the leaders in your market are doing that you aren’t doing? If so, what’s holding you back from implementing them?

Improvement is a choice. Your place in your market is a point in time, it isn’t a foregone conclusion.

Categories
attitude Business culture Customer relationships Employees Entrepreneurs Improvement Leadership Positioning Small Business

Do you value your clientele?

Business demonstrate what they value through their behavior.

Some businesses value what they do, those they work with and most of all, those they serve. They work hard for every lead. Every client. Every order. Every payment.

They work to improve their craft every day. They learn from the best of their peers, while extracting and fine tuning strategies and tactics observed in other industries.

They “over-communicate”. As a result, their clients have no doubt what’s going on during a sales process, an order, a refund, much less construction, manufacturing, delivery, repairs and ongoing maintenance.

When there’s a problem or miscommunication, they pick up the phone, they email or otherwise communicate all the necessary details, then work as a partner with their clients to create a win-win resolution.

When they market, good businesses do their best to create want, evoke need and make an irresistible offer without being slimy. The ones who value their clients most also talk about the importance of the everyday things they do for their clients that other businesses might also do, but never bother to mention (Example: Northern Quest’s housekeeping and security team commercials).

Let’s talk about that for a moment… These businesses set standards for these seemingly mundane details and train their employees so they can attain them every day. Rather than tell us about the food or entertainment, why do they remind us of tasks performed by staff who are all but invisible to some of their guests?

The everyday things that these staffers do may not be what makes you decide to make an initial reservation (or purchase) or choose their resort over another. Even after a visit, you may not remember these details weeks or months later, if you notice them at all. What they might do is make you notice the next time, draw attention to that aspect of your experience with them and/or provoke you to think more about them on your next visit to another facility. These mundane things are often the tipping point between going back to resort A or choosing their down-the-street neighbor, resort B. They’re the kind of things done by businesses who value return clientele.

These business will do any number of things to monitor and improve the things they’ve know will cause their clients to return.

They will systematically call their clients and ask for 20-30 minutes a couple of times a year (at least) to discuss not only how their performance has been, but what the current and upcoming expectations of the client are and what else they could do for that client in the future.

When confronted with a reality check about their service, rather than come back with a confrontational reaction, they ask how they could improve that situation – and others.

These businesses don’t show that they value their clients by thinking that they’re done improving. Instead, they are constantly looking for ways to improve – even if they can’t immediately implement the change.

These businesses don’t focus on the worst of their clientele. In some cases, they fire the worst, in others, they implement programs that raise the worst to a better place. They see it as an investment to help their clientele become better individual clients, whether their clientele consists of consumers, businesses or both.

These businesses invest in education internally and demonstrate the importance of delivering educational value to their market, which not only improves the market, but establishes their position as a leader in that market and builds their credibility.

These businesses don’t have a moral ambiguity about selling. They know that they have an obligation to their business, their employees, their employee families and their communities to make the effort to see that every possible prospect who can benefit from their solutions does so. They understand that this obligation to sell to the best of their ability isn’t just about them, but that it connects to the well-being of their clients’ businesses, their clients’ employees and their families and ultimately, to the communities where those families live. They understand that this obligation does not mean that everyone with a heartbeat is their prospect, so they carefully qualify who does and doesn’t get the opportunity to benefit from their products and solutions.

Do you value your clientele?