Interesting Developments

As the economy continues to decline many people are wondering how bad will it get. I had a friend ask me just a few days ago if I thought we would all be waiting in line for a loaf of bread? My answer was no. I do think we have some rough times ahead but I think we are more prepared then we might have been 50 years ago. Today's crisis is bigger the reason it is bigger is because it is a global epidemic not a local epidemic. 5o years ago if China's economy failed the U.S. would feel some impacts but nothing like today. The world as we know it has become flat built upon speed and agility. Today I can get on Google Talk and have a conversation with anyone in the world real time with a touch of the keyboard. You do not have to work in the corporate office to have a corporate job and telecommuting is growing rapidly. People today are free agents and we are all looking for the next big signing bonus.

With economic growth always comes with a bubble and only the strong will survive. We will cycle through this economic times like we have in the past some with prosper others will not. I think in times like this is it even more important to surround yourself with the best people continue to learn and grow and prepare for the next growth surge.

Uncertain Times are Certainly Here

Uncertain times are certainly here and no one really knows what tomorrow holds. If you read any financial website or newspaper you will find the horror that is the financial markets but there are some areas that they are not talking about. The current price of gasoline is down from $4.00 to $1. 75. My family drives roughly 700 miles a week this means we are saving on average $315 a month for fuel costs. This is the type of stimulus package the American people need in today’s economy.

I have been in the financial services business since 1999 and as most people have said we have never been in times like this before. I certainly do not have all the answers but I do believe one of the reason this could be worse than the deprecation is the amount of information that is available to people. Take this blog for example during the great depression no one had the opportunity to speak their mind about the economy except for the media and government. Today anyone can talk and give their opinion on what they feel is the right solution to fix the economy. I do not have the answers nor would it be appropriate to make recommendations, but I do know the more we spend time looking at the negative aspects the decline will only get worse. Take the fuel price decline as your stimulus package and remain positive good times are ahead.

Bailout Matters

Congress will begin debating the amended proposed bailout this evening with an expectation to have an approval for the House of Representatives to approve later this week. This legislation has by far been one of the most scrutinized bills the public has had to face and to the average person might not seem fair. Being in the financial industry for nearly a decade I can assure you this is not a request but a demand for our economy and the remainder of the world to continue to operate and here is why.

What most Americans do not understand is this is not about giving the banks a free pass after all the Banks will have to take immediate losses with the bailout on portfolios that are performing well. The problem is not about doing subprime mortgages the problem is about banks lending to each other and providing capital to the financial sector. What happens if a Bank falls? In the past few months we have seen a number of banks fail and for all practical purposes customers’ deposits have been safe. What have not been safe are the customers’ credit lines and this is where the slippery slope begins. If a bank fails the credit line will be closed meaning a business owner will not have access to working capital. Sure in credit training it is very clear you are never to lend to a customer who is having trouble making payroll, rent, or utilities but the working capital lines are used for inventory, expansions, and growth. Although it might seem like a bank issue, here is an example of what can happen.

Bank fails on day 1 and begins to call business lines of credit due immediately. Business X does not have the liquid capital to repay the credit line so they begin shopping for a new business line of credit. The already tight credit market make it difficult to find a new line of credit from a bank with no existing relationship but new bank does fulfill on small credit facility. In order to pay back the entire outstanding debt the business owner decides not to purchase new inventory and sell the remaining inventory to eliminate additional capital costs and avoid legal action from the financial institution. Since the business has lowered the inventory levels sales begin to decrease and the owner is forced to reduce overhead and expenses which usually means job cuts. These cuts take place and a number of people find themselves unemployed looking for new work and trying to pay their bills. These same people are living paycheck to paycheck and this gap in employment causes them to miss a payment forcing the bank to tighten additional credit policies and shrinking the credit market. It is a vicious cycle.

So when you hear people say this is not about the average American I argue this is absolutely about the average American. After all Small Business is the future of America and these are the businesses that are impacted immediately.

Financial Industry - Build Trust

Today marks a day that I will never forget. I have been in the financial services industry for the past 10 years and these are times we will be studying for years to come. Today’s market (stock price) is not a reflective indicator of the company’s actual net worth. For example in the past 2 weeks we have seen a merger between Washington Mutual and JP Morgan Chase and most recently a merger with Wachovia and Citigroup. This is what I consider the last man standing epidemic that is happening on Wall Street. When the music stops every one is looking for a chair and once all the chairs are taken the last person standing should be prepared to exit the stage.

What is very aggravating is the impact the media has on the stock price and reminds me of the movie Boiler Room. In the movie brokers are calling customers pitching them a great idea having them buy in and then the firm begins selling off the stock to reap the benefits on the way down. Hedge Funds today are doing the same things to financial stocks picking one after another attacking it dumping the shares and driving the value of the company into the ground. For example on Friday, there were firms that traded over 900% normal share volume. The market trades on speculation and fear and builds momentum along the way leaving companies powerless. Then the media steps in to drive the nail in the coffin announcing lead articles, “X Company loses 50% today.” The average consumer does not have the time to research and investigate the real financial condition of the firm all they know is losing 50% value cannot be good. This changes consumer behavior immediately causing anxiety, panic and concern thus leaving the firms answers questions that really cannot be answered because the price has been driven by speculation. So the only fundamental position the firm can hold with the consumer is Trust.

Should you Trust your newspaper or trust your banker? Has your newspaper every sat down with you and talked about your financial future from start to finish? Has your newspaper been able to help you through a financial planning exercise because you need to put an addition on for the new baby? Has your newspaper looked at you and said we can waive your overdrafts because we know everyone makes mistakes from time to time? I would guess the answer to all of these is no so why is it that we trust the media in difficult times when we should trust our advisors.

Times like these cause for constant contact and information sharing - be proactive not reactive. Today if you are a sales person in the financial services business you should be meeting with your clients, hosting conference calls, webinars explaining what is taking place and what you recommend for the future. Be prepared to answer the tough questions and do not hope the customers do not know what is going on after all you would rather then hear it from you then catching it on the 6 o’clock news. Think of it this way if your doctor found problems with your blood work you would expect that she tell you now rather than finding out later on your own. The strong will survive and it is our choice of how we will handle the adversity.

Set the Bar

This summer has been extremely busy but I have been able to continue to play my favorite sport, golf. When I think about the game of golf I think about how it resembles life events not really knowing what the next 18 holes can bring. If you are scratch golfer (0 handicap) this post might not be for you but for everyone else you will understand what I mean.

My wife recently picked up the sport of golf and we have been playing regularly for about the past 3 weeks. As you can imagine golf like life can be very frustrating when you do not know what to expect. As I watch my wife improve each week it is apparent to me she continue to set the bar higher a higher the next round. I view this as a very positive event because she is not settling for where she is today knowing tomorrow can be even better. I think as life goes on you will eventually settle and not set the bar but for each person this time is different. I know friends of mine who clearly stopped raising the bar after then finished college, some near retirement still have not stopped raising the bar. Where is your bar?

Golf might be one of the most humbling games on earth from hole to hole you can go through the full range of emotions, confident, angry, happy, stressed, and hopeful. With each hole brings new hope, new challenges, and new opportunities to be great. The same goes with life each day you wake up brings you the same emotions and it is the decisions you make during that day that will results in the accomplishments for the day. As Phil Mickelson would say I know the safe approach is to hit an iron but I am going to hit the driver. Go for it!

Brand Matters

In banking we have a fairly strict dress code Monday through Thursday so business casual Friday is a welcome change. Today I wore standard black slacks and a red golf shirt. As I looked in the mirror I thought this looks very similar to what Tiger Woods wears on Sunday. I am an avid golfer so I quickly disregarded the idea that someone else would come to the same conclusion.

As I walked into the office I stopped by and talked to a fellow co worker, she on the other hand is not a golfer and knows very little about the sport. To my surprise her first comment was, “I am going to call you Tiger, today.” So then I began to think about the importance of brand and imaging and how much it really does matter in business.

There have been numerous books, studies, and articles done on the importance of brand and how to create a successful brand. As a former MBA student some ideas you will buy into and other ideas you think are pure fluff. However, this was a real life experience of how brand can make a person identify and think about the product. She began asking questions about golf a conversation I am sure she was not planning on having today. Sure Nike and Tiger do not walk around saying we are RED but when you see someone dresses with black pants and a red shirt you think Tiger Woods. Tiger is an icon that we should all relish and study very carefully. He has single handled changed the image of golf and possibly the image of sports marketing. If an image or a dress combination can make someone think about a product, imagine the power this has when it comes to consumer behaviors. In this case the brand helped a person connect to an idea that was unintentional but effective. What is your brand?

The Sales Pitch

Today we had a chance to sit through a sales presentation for a Marriott timeshare. Having been in sales, sales management and sales strategy my entire career I really enjoy seeing new approaches and strategies. Of course going into a sales presentation knowing you are not buying makes it very unfair for the sales person but nonetheless very educational.

We were lured into the presentation with a $150 gift certificate to be used on the island we were staying at. One might say $150 is a lot of money but this is a very low cost for a face to face sales presentation with someone who is a qualified buyer. The one area they forgot to ask is, were we interested. In order for someone to be a buyer they have to have 2 requirements they have to be interested and qualified. You will not complete a sale if either of these requirements is not met. As we walked into the presentation we signed up and were given a number. The number was in a 5x7 picture frame so it was not something you could hide. The room we were asked to sit in was also set up for sales one small loveseat with a single chair directly across (couple vs. sales person). After all of the numbers where handed out the sharks were released. You began to see sales people scurrying through the rooms looking for their assigned numbers. Then our sales person approached us and asked if we could follow her as she took us into a small sales room. The presentation was as expected, directional selling letting people say yes as much as possible. The presentation lacked the pressure I was expecting. The sales person had broken English but I guess this could be expected since we were in a foreign country but this was mistake #1 in the sales process. Mistake #2 was she did not gauge our interest if we wanted to buy from the beginning. There is no need to try to sell someone something they do not need or do not want. Mistake #3 once she confirmed we were not going to buy she became less than professional and swiftly moved us out the door to our $150 gift certificate.

Although we had no intention on buying I would have to say the overall sales presentation was good. I actually left the meeting with a good understanding of their product line as well as a good sense of the sales person’s ability. We were presented an option that actually would have met all of our needs if we were going to buy and for that I commend the sales person. After all she really did listen to what we had to say and tried to make the best recommendation possible. If you are in sales make sure your customer is interested and qualified and you will save a lot of time and energy.

Career Coach

There are so many people in corporations who have true talent but never seem to make it out of their little cubical. It is true some people do not aspire to be any more than their current role and actually refuse more responsibility. Early in my career I would have said to eliminate this part of the work force. The truth is these are the folks who make the business go everyday. In this post I want to focus on the person who wants to advance but is frustrated because he feels he is being passed up for other candidates.

If you work in corporate America you have certainly run across this person and they might sit beside you today. This is likely the same person you hear say, "I do not get paid enough to do this job." This is the same person who comes in right on time or late and never stays past 5. Yet when a promotional opportunity arises he is over looked. I am no advocating that you need to work 60 hours to be noticed in fact I would argue the person who is working 60 hours has time management issues. I am simply saying you can only expect to get what you are willing to put in. If you are sitting at the blackjack table and you are looking to triple your pot but you only play the minimum it is unlikely it will happen anytime soon. If you want to be promoted here are a couple of tips that will help you get to the next level:

• Tell your boss your career aspirations and others around you
• Control you career have a 1/3/5 year plan with specific goals you want to achieve
• Work with a mentor (preferably someone outside your group that you trust and will be brutally honest)
• Invest in yourself (education, 360 evaluations, networking)
• Ask about new roles and challenges and being willing to push yourself into an uncomfortable situation

Most times people never do any of the above yet wonder why they are still in the same role waiting for the tap on the shoulder. Sure shoulder taps still do happen but not as often as they used to. No one is going to own your career more than you and if you are expecting someone to you better plan on being in the same cube for a while. After all your manager probably owns her career and this is why she cannot own yours too.

Meetings

Have you been on a project team when it feels like you are running around in circles? This is very common in corporate America and I have a few beliefs on why this takes place. There are people in the world who are always willing to provide feedback without providing solutions. These are the people that every organization should avoid. These are likely the same people who schedule 2 hour meetings without an agenda and let the conversation flow from topic to topic. At the end of the meeting the group usually walks out saying “what was that meeting about?” Then there are people who will push back for no real reason just because they think they are adding value. What they do not know is they are preventing the team from moving forward.

When working with a group you have to have a detailed approach and agenda before meeting. Set goals for the meeting and action items at the end of the meeting. It is simply not good enough have a meeting without clear direction and purpose this is a waste of time. If you know someone who continually has useless meetings stop going you are wasting your time and the company’s resources.

Email Bomb

The email bomb is something that companies have to take into consideration and give appropriate training. I recently had a situation where I was communicating through email and trying to be as clear as possible. The problem like I mentioned in previous emails is people do not proof read what they are sending before they hit the send button. I was recently amused by an email that literally had 10 different messages in 4 sentences. I wanted to respond by stating can you please proof read and resend? Of course we all have a tendency to go through things very quickly, misspell words, and my favorite use the reply to all function. Here are a few tips when crafting an email that will help minimize the confusion that might take place.

• Only include the people on the email who need to be included this is not the right time to show your boss you can handle conflicts
• Subject / Title should reflect the actually information that is included in the email
• Address the audience like it is a formal letter, ex. Brad,
• Give specific action items in the email, ex. I need a response by Monday the 3rd at 5pm.
• Closing, ex. Thanks for your help,
• Name & Contact information
• Spell Check and reread before you hit send.

Sure this does not look like rocket science and it is very simple. If you do this every time you will find conversations are much easier to have and the communication struggle can be eliminated.

Connected

If you have been in corporate America for any period of time you have asked the question, how did he get so high in the organization? This is the realization that it is not always what you know but who you know. Have these questions ever come up in conversations in your organization?

• What has he/she done to improve earnings?
• When was the last time he hit his goals?
• What makes the head of sales the right fit for the head of operations?
• Why does his boss love him and his team hates him?

I unfortunately have personally witnessed these events take place. There is nothing more frustrating for an workforce whom wants to win and progress than to see mediocre performers at the top. After all if leadership is mediocre the company will be mediocre at best. So many times in business managers are afraid to hire talent because they are in fear of losing their job. once this trend begins to happen an organization will spin into a downward spiral. A great leader will promote, teach and push his/her people into new roles that will make them successful for years to come. Once you realize you are not asking the above questions you should take advantage of the opportunity. Working with great leaders is unfortunately not the norm regardless of the corporation.

Snap Decision

I have been recently working with a gentleman and helping him structure his business in a way that will be profitable for years to come. A couple of days ago I received a phone call from him saying he had found a great opportunity. I could tell how excited he was so I began to listen to him explain the business he was considering buying. For clarity the business he was looking at was a retail location - golf course to be exact. After he said the word unbelievable about 10 times I began to ask him a couple of questions the first of which was, "where is it located." He said it is in the middle of nowhere. My first reaction, challenge to attract customers. I then asked why do you think this is a good idea when everything that we have discussed is different. He began to explain his end goal is to buy a course and the opportunity is presenting itself now. I listened a little longer and then said before you make a decision we should review the financial documents and make sure it is worth it. Two days later we both agreed now is not the right time and he should remain narrow and strategic. Yesterday I get a phone call that says I am the proud owner of the course and now I need to figure out the rest.

Small business is great but there is a reason why 70% + fail. It is because snap decisions like this are made without critically thinking. You have to take out personal emotion and look at the facts. In this case it is a golf course in Ohio that means it will likely be closed for 3 months out of the year. It is in the middle of nowhere that means customers are less likely to travel to your location unless you offer speciality services that your competition does not offer. It has been for sale for 3 years that means the price is too high or it would have been sold a long time ago. Business is not easy you have to be willing to step back ask hard questions and walk away. I love the entrepreneurial spirit but hope he does not become part of the 70%.

Bouncing Ball Manager

Do you remember as a kid going to the grocery store with your parents? Before leaving I would always beg my mom for a quarter to buy something out of the vending machine. It never failed I would always go for the bouncing ball that was sitting in the case. The funny thing about the bouncing ball is when it is in the case it is not moving, causing problems or breaking anything. However, as soon as the ball gets loose it can cause broken windows, sprained ankles and fights amongst kids.

In business have you ever had a manager that you would consider the bouncing ball? This is the person who hops from idea to idea causing distractions and providing no vision. Of course we are all guilty at times of not thinking clearly and reacting rather than processing but not like the bouncing ball manager. The bouncing ball manager will say I want this completed in 12 months and a couple days later will say we really need it by the end of the week. The bouncing ball manager will say we should focus on X but two hours later will question why you are not looking at Y. So here are some ideas on how to deal with the bouncing ball:

· Keep the scope of the project narrow?
· Ask the question, what are we trying to solve?
· This project has a very large scope. What do you want to complete first and when?
· Provide him/her regular updates keeping scope in mind?
· Push back and provide feedback do not be a yes man you will both fail.

Of course the bouncing ball manager will continue to be all over the board and at times will be near impossible to deal with. This is an opportunity to become a leader and manage up. Just because they are the boss does not mean they cannot learn and develop.

Flip of the Switch

Have you ever been part of a difficult time in business and then all of a sudden there is a flip of the switch? Some might call this a time they never forget. It might be as simple as the time you closed your first big sale, your first promotion or a career change. For so many people the switch is different but when it happens you are sure it happened.

Recently the flip was switched in our company. We have been strategically thinking about our future in regards to a merger, acquisition, or private equity infusion. As you can imagine the time the flip switched and we knew the decision the morale instantly changed. People can now focus on the controllable rather than the uncontrollable. Our teams have confidence what they are doing is correct and there will be a tomorrow. Now is the time to think about strategy and future execution.

When you are in a moment that feels like you are flipping the switch take a step back and think about what you are going to do next. How will this event change the future and have we learned from our past mistake? How will we capitalize on our second chance and who do we need to thank for sticking with us through these tough times?

Interview questions

Have you ever been sitting in an interview and wondering what in the world does this have to do with the position? I was recently talking to someone and he mentioned the interviewer began to talk more about herself rather than uncovering the skills of the candidate. She began to ask questions that had some relevance but after hearing the candidates response she answered the questions showcasing her knowledge of the issue.

As if this was not bad enough the interviewer went on to ask who is the Chairman of the Federal Reserve and what is his role? WHAT? How does this relate to leadership, sales ability, or product management? Sure the candidate was interviewing for a role in the financial sector but knowing who Big Ben is does not make you qualified for the position. Unless the position is to review economic and monetary policy. In this case the position is to lead sales people and build an organization that can deliver the whole bank.

After hearing these events take place I began to think about my interviewing practices. I have always interviewed people using behavior based questions to understand how people would react in situations they will face. Of course there is no truly right or wrong answer but more of the logic and process they take that matters. The interview is never about me it is about the candidate. However, if the candidate is smart they will make it about me and less about them. If you are interviewing and the interviewer begins to explain how impressive his resume is you might want to think about if you want to take the job. After all your career is your choice it is not his. If he is telling you how great he is now imagine what it will be like once you join the team.

Confused Level of Arrogance

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.

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.

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

• 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.

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.

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.

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.

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.

Small Business - Big Business

Today small business is becoming the new big business. More and more people are making a decision to control their own destiny by opening their own business. Years ago you could decide to pick a company to work for and also plan on retiring from there in 40 years. Those days are all but gone and we will never see them again. Big business has a priority to its shareholders to produce earnings and this means growth through acquisition, cost cutting measures, and flat management hierarchy.

Small business does not have to deal with these same issues but can create a business that is just as agile as big business. Small business can take advantage of technology enhancements, 3rd party vendors, and outsourcing all the while creating an infrastructure to compete with big business. Sure there is more risk as a small business from an initial cash flow standpoint but the ROI is much higher than the normal course of employment. I have always worked for big corporations mainly because of the belief that is is safer. Of course my former business was outsourced and my current business is under extreme financial pressure. So I guess my question is why should I work for a big business?

Value Added

I once worked for a leader who always talked about value added. What value are you adding to the customer, employees and the business? So many times in large corporations value added is a buzz word and not a measurement. You simply cannot use the word value add unless you are willing to quantify the results.

Recently, I have been working on a project that is an effort to transform our culture. I have been pushing to ask what are we learning? How are we making an impact? What is the ROI? Sure in business it is not always about the bottom line but if you never get to the bottom line there is a problem. If you want to create value and prove your self worth make all of your projects or sales calls value added.

Coaching

If you read the book Good to Great by Jim Collins he explains how important it is to have the right people on the bus. Recently, I was asked to lead a sales coaching session for a team in a different line of business. The experience was great and I really felt I was making an impact. After the meeting I was asked to come back 2 more times to continue the training that we were developing. Although this is not in my job description it is certainly something I enjoy and am passionate about.

After thinking through this request for a while I began to wonder why there is no one else leading these sessions? I am concerned if the right people are on the bus and if not how will this change? In my expereince as a culture evolves you have to be willing to find the right people and if the model changes you will likely need fresh talent. Very few people will be able to adapt and change to a new enviroment. I am not saying people cannot change but the time it takes to make these changes can sometimes be the difference between success and failure. One of the first things you will every read in a marketing book is about being the first to market and how important it is. The same goes for people if you let your employees lag your culture will not change thus forcing you to lag the competition.

Ohio State Recognition

If you are a sports fan last night was a big night for college football. I am frustrated with the lack of recognition for the Ohio State Buckeyes and what they accomplished in 2007. In 2006 Ohio State lost nearly their entire offensive powerhouse and had little expectations for the 2007 season. Early in 2007 people in the media and college football analysts were not even predicting Ohio State to finish in the top 10 let alone play in their second consecutive National Championship Game. Yesterday's loss to LSU was not acceptable to Buckeye fans but I would argue this was one of the best coaching years Coach Tressel has had at Ohio State.

Over achieving is something that becomes lost in sports and in business. Once you achieve top performance on a regular basis this becomes the new standard for future results. Jim Tressel has raised the bar for the Ohio State program over the past few years and for that he should be rewarded and recognized rather than ridiculed. In business, the same phenomenon takes place every day with top sales people. Rather than rewarding them and thanking them for their hard work we raise their goals and ask them to do more with little appreciation for a job well done. Remember the Rainmakers of an organization will continue to drive forward and reach new heights however if they are not recognized, rewarded and appreciated it might not be for your organization it might be for your competition.