I recently had a conversation with a senior executive who mentioned, “If we are acquired by XX they will have to keep our talent? So I began to probe a little more and ask why?
She then went on to say, “Our people are better educated and have always been considered the cream of the crop. When we walk down the streets if you are not part of our team you are simply on the wrong team.” I began to push back and mentioned they might have a different view at this point and maybe we should consider reviewing ourselves in the mirror.
It is this mindset that caused companies like Enron, WorldCom, and Quest to have so much financial difficulty. If you are blind to the fact that the company that is buying you might actually be performing better than you there is a serious problem. After all if we did have the best people than what is our real problem? Is it our products, services, or locations? If the answer is no, the blame falls on the decision making process which goes right back to the PEOPLE.
In business there is room for confidence but little room for arrogance. People today want to be led and given clear direction by someone they trust. Arrogance leads to ignorance and making comments like they would be lucky to have us. The fact of the matter is it is attitudes like this that drive the for sale sign directly into the ground.
Wednesday, April 16, 2008
Everyone Sells
Have you ever been in a meeting or with a group of people who say they hate sales? Do you find these are the same people that are looking for new projects, trying to get funding, and want to do process improvements? Sure they might say they hate sales but the reality is if they are going to be effective leaders this is an attribute they will need to have.
Sales is more than a business function and one can debate the importance of it for hours. Marketing will tell you the reason we increase business is from the campaigns and advertising. Sales management will tell you without the people closing deals advertising is useless. One thing is certain if your business is going to be successful you have to be good in sales. You have to be willing to sell your idea to an investor, company or partner. Sales does not have to be viewed as a negative, it is really the process of educating your customer on making the right buying decision. If you educate the CEO on a cost saving project that includes a one time capital investment you have just sold an idea. Sure the best executives in the world are good at seeing through the fluff and getting to the true value but the way you present the information can make or break the sale. In business, regardless of your role, you have to acknowledge sales is a part of your job . If you want to continue to grow in the organization I would suggest you fine tune your sales skills.
Sales is more than a business function and one can debate the importance of it for hours. Marketing will tell you the reason we increase business is from the campaigns and advertising. Sales management will tell you without the people closing deals advertising is useless. One thing is certain if your business is going to be successful you have to be good in sales. You have to be willing to sell your idea to an investor, company or partner. Sales does not have to be viewed as a negative, it is really the process of educating your customer on making the right buying decision. If you educate the CEO on a cost saving project that includes a one time capital investment you have just sold an idea. Sure the best executives in the world are good at seeing through the fluff and getting to the true value but the way you present the information can make or break the sale. In business, regardless of your role, you have to acknowledge sales is a part of your job . If you want to continue to grow in the organization I would suggest you fine tune your sales skills.
Tuesday, April 15, 2008
Tax Time
For nearly all of Americans today is the last day to file your taxes with the Federal, State, and local government. I was listening to the radio today and they were mentioning that there is a line to get to the post office. So I began to wonder why the government does not change the process in which we file taxes. Recently the government changed the process on how they were going to pay out SSI each month to even out the distribution of payments and work streams. Unfortunately there has been no change to the way we file our taxes. Let's think about the advantages of having a tax filing system that takes place based off of your birth month.
Advantages
Advantages
- Accountants do not have to cram 12 months of work into 3 months
- Small Business owners do not have to file extensions every year costing them more money
- Government has a regular stream of income (incoming and outgoing) all year
- Car dealerships can offer rapid refund options car buying discounts all year long (my favorite marketing plan)
- CPA's can enjoy March Madness, Opening Day, and the Masters
- Government does not have to hire temporary work just to review documents
- US Postal Service does not go "postal" on customers due to lengthy lines
Sure there are advantages and disadvantages to any idea but this seems like a production function that could be streamlined. Lastly and most importantly thank your CPA for a job well done. Make it a point to send them referrals (as if they were not busy enough). Do not think for one second because it is April 16th they are on the golf course and do not have anything else to do for the next 9 months. They are now taking care of all of the clients they have not been able to talk to for the last 3 months.
Monday, April 14, 2008
Structured Thought
I recently attended a training session performed by a group called thoughtleaders. The class was titled Structured Thought and Communications and provided some very good insight. The one area that I found to be the most helpful is the process of building consensus before going into the final boardroom setting. Although the process on paper seems very easy I assure you the process is quite complicated.
The steps that Mike Figliuolo discussed during the presentation are different than most process oriented approaches. For example at one point you begin to define the problem before using any data analysis. Coming from a prior world that lived six sigma this is a four letter word. How would you every make a recommendation before doing a little data mining. Mike's approach does not say to avoid data but suggests that you use it later in the process rather than in the beginning. I thought the training was exceptional and well constructed. I would recommend anyone who has aspirations about taking their career to the next level to attend.
The steps that Mike Figliuolo discussed during the presentation are different than most process oriented approaches. For example at one point you begin to define the problem before using any data analysis. Coming from a prior world that lived six sigma this is a four letter word. How would you every make a recommendation before doing a little data mining. Mike's approach does not say to avoid data but suggests that you use it later in the process rather than in the beginning. I thought the training was exceptional and well constructed. I would recommend anyone who has aspirations about taking their career to the next level to attend.
Thursday, April 10, 2008
Uncertainty = Nonproductivity
As a leader you have to understand that during uncertain times you have to drive people even more than normal. People begin to ask, "Why am I working on this project if it is going to be cancelled in a couple of weeks?" The fear of uncertainty causes this to take place and thus reduces productivity. People begin to review their options, look for new jobs, confirm their severance package, and flat out do nothing.
This is not because people do not want to work and be productive it is because they are uncertain about the vision and strategy. I spoke about vision a few months ago and how important it is for an organization, this is a perfect example. Sure when a company is going through a possible merger or sale there is a tremendous amount of anxiety, this does not mean there should be no productivity. As a leader it is your job to rally the troops and keep the message simple. Today we need to focus on XX. Focus the energy in a positive direction rather than the uncertain one. For the most part people can do one thing great and multiple things ok, find the one thing that needs attention and focus them on it.
This is not because people do not want to work and be productive it is because they are uncertain about the vision and strategy. I spoke about vision a few months ago and how important it is for an organization, this is a perfect example. Sure when a company is going through a possible merger or sale there is a tremendous amount of anxiety, this does not mean there should be no productivity. As a leader it is your job to rally the troops and keep the message simple. Today we need to focus on XX. Focus the energy in a positive direction rather than the uncertain one. For the most part people can do one thing great and multiple things ok, find the one thing that needs attention and focus them on it.
Wednesday, April 9, 2008
Turmoil
A company that is undergoing financial hardship causes turmoil for all stakeholders. As a leader it is not acceptable to say it is business as usual because it is certainly not. As a company shops for investors or a buyer everyone is on edge and the fear of the unknown is intense. Sometimes knowing the outcome regardless if it is good or bad is better than speculation. It is not business as usual because these are very unusual times.
Tuesday, April 1, 2008
April Fool
Ironically the environment that our company faces today is far from foolish yet more concerning. The financial sector is under a tremendous amount of pressure these days and working for a financial firm is similar to working at the local funeral home. Of course if you work for one of the few banks that have been able to avoid the credit / sub prime crisis this might feel like the time of your life.
An uncertain environment does not work well for anyone in a company. Productivity declines, customer satisfaction deteriorates, and core business practices are changed because people go into a protection mode. I find it alarming when businesses today know they need to make a decision but find it hard to make the tough one. Being a leader is not easy and a CEO of a fortune 500 company is not an easy job but you cannot forget about core business strategy and execute. Plain and simple in business you have to execute or you should be prepared to be executed.
An uncertain environment does not work well for anyone in a company. Productivity declines, customer satisfaction deteriorates, and core business practices are changed because people go into a protection mode. I find it alarming when businesses today know they need to make a decision but find it hard to make the tough one. Being a leader is not easy and a CEO of a fortune 500 company is not an easy job but you cannot forget about core business strategy and execute. Plain and simple in business you have to execute or you should be prepared to be executed.
Subscribe to:
Posts (Atom)