Extraordinary Business

In my September newsletter I discussed the concept of change. Largely I see the majority of us resistant to change (which I would doubt there would be many arguments against this) and as a society/business community expecting change to happen instantaneously. We are very much in a "now" society. Technology has spoiled us to the point where we demand immediate results. Yet there is something to be said for slowing the process down. And truthfully, by taking more time on the front end, we make things work much smoother on the back end.

Think of the place where you work. How often do things change? How often is that change met with resistance? How many of you are familiar with the "Flavor of the Month"? Often the running joke with each new initiative is "this too shall pass" and your employees play the waiting game to see when you will get tired of the new process, idea, or concept and go back to doing things as before. In fact, your employees can condition you to fail in the change process. In some examples I have seen the stand off last for years! Yes, years. And the only result to come out of it was going back to the old way of doing things so it's less painful. This all because of our need to make changes happen quickly and dramatically.

In my newsletter I spoke about incremental change. This process is most effective in companies that have been highly resistant to change in the past. It is a way of conditioning them to be more receptive to change in the future. In addition, the success rates are much higher that the change will be implemented and integrated into your business. To see some of the points, I will refer you to the article here: http://cdn.shoutlet.com/server/bar/51644/8555/0/s/0. To add to that discussion, I will continue on.

The idea of change is simple, yet the execution of it can seem complex. And in a way it is because to truly implement most changes, you need the full buy-in of your staff. The larger the organization, the more people you have to get on board. In most cases, change is driven top down. Somebody in leadership comes up with an idea and wants it implemented. There may, or may not, be a discussion among management on this change before it is passed down to the next layer. Middle management is given the concept and is then asked to drive it down to the front lines. Here it is crucial that middle managers understand all the how's and the why's in order communicate it effectively to the staff. Often this does not happen as effectively as it should. The change may be shared in meetings, emails, or newsletters, but full buy-in hasn't taken place. In the end this leads to resistance and not seeing the full benefit of the change process.

What if the change process was reversed? Instead of speeding the process up hoping to see immediate results, it was backed down to a more realistic time frame. Also, what if the seeds of change was planted in the minds of the employees so that instead of a top down approach, you drove the change from the bottom up. How might that change things?

Right now you might be saying to yourself, "We need to move quickly so we can react quickly." This is true, but more so when you are doing just that: reacting. Often business decisions, personal decisions, political decisions, etc. are a result of responding to an impending crisis. Sadly, we might have even been warned about the outcomes of this crisis earlier where we could have taken action, but the motivation wasn't there for whatever reason. Then when we are forced to deal with it we react. We need to become better at looking further ahead to prevent this from happening. We need to find ways to take the important but not urgent needs and prioritize.

You may also be thinking, "The employees won't come up with the right solution, and then when we don't use it they will be upset." That is because we have conditioned people to pass their problems to others. This is especially true of many managers. Managers often take on the burden of their staffs issues because they live in a false belief that it's quicker and easier to fix the problem themselves instead of coaching and teaching their people how to effectively deal with it. In essence, the ownership of the problem/idea is passed from the employee to the leader. So if it doesn't work, it's now the manager's problem. This is why it is so important to keep ownership where it belongs, on the individual.

If you are able to improve these two areas: being proactive instead of reactive and placing ownership and accountability on your people, over time you will be able to make change happen quickly and effectively. Take steps today to create a culture of change and the first step will start with you!

I encourage others to share their thoughts and ideas here. Open up a discussion and through that learn how to make change happen.

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, Business Coaching, Change Management, Coaching, InVision, Leadership, process, Professional Development, Strategy

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business Coaching, Coaching, growth, InVision, Leadership, Sales, Strategy

Labels: "Dan Paulson", "Daniel Paulson", "International Business", "InVision Business Development", Business, Business Coaching, China, Culture, growth, International, InVision, Leadership, Strategy

Natasha Vora is a friend of mine who owns Indocara. Her company specializes in bringing textiles and furnishings from Southeast Asia to sell in the US. She has a small retail shop located in downtown Madison as well as an online presence at www.indocara.com.

Though Natasha and I come from very different backgrounds, we do share some similarities. We both had the opportunity to hone our skills at larger companies (in fact, we both spent time at Lands' End), and we both left to pursue businesses that we are passionate about.

Recently Natasha had the opportunity to participate in a local business radio talk show. She shared her experiences and also brought up a really good point, the importance of buying local.

Small business is the key to stimulating the economy. These companies make up the bulk of our workforce and often are the engine for economic growth. Often we forget about these businesses when we shop. The big box stores have created top of mind awareness for many of us and we often do not give it a second thought to go to the large stores when we need something.

I have also experienced the buy local dilemma. Some companies perceive that business expertise or strategy needs to come from a large company in a big city, and that is simply not the case. Yet I have lost opportunities because of the perception that the business knowledge of a company in another state must be better than what can be provided locally.

I think it is important for all of us to support our local economies as much as we can. In order for us to thrive, supporting those in our community is crucial. So before you head to that big box store, maybe check to see if it's available from a local business.

To hear the podcast for Natasha's interview, go to http://loyalearspodcasting.com/wtdy/audio/IB032409.mp3

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, customer loyalty, customer service, Economy, growth, Leadership, marketing, process, Sales, Strategy

What if you could reinvent your business or your product and grow by 20% this year, would you do it? My guess is probably so.

Today I read an article on Inc. Magazine's website (twitter inc5000 if you are interested.) about a small chemical company that did just that.

In Max Chafkin's article, he shared the experience of OMI, a company in Barrington, IL that specialized in industrial strength deodorants. For years, the company made a healthy profit margin of 80% by selling its non-toxic chemicals to engineers and plant managers. Yet Phil Coffey, who would later own the company saw more potential.

Phil had a plan to reinvent the product that had been so successful for industrial use and tap into the consumer products market. He saw a $4.7 billion dollar industry that he could tap in to.

After purchasing the company, Phil took a risk and launched a costly consumer strategy. His risk paid off and now their Fresh Wave product is taking off. In fact, they expect 20% growth in 2009 despite the economy.

The message here is this: opportunity exists everywhere. Unfortunately most of us fail to see it because we are too wrapped up in our own issues to notice. In other cases, even if we do see the opportunity, we may be too afraid to risk it. Phil's company already had profit margins of 80%. My guess is many would be happy with that and be unwilling to take on a risky venture.

Our country was founded on people taking risks; sticking their necks out. In order for us to grow and thrive, we need leadership that is willing to do the same. We need to make educated decisions and find the opportunities we can take advantage of. It is necessary to our survival.

Take ownership of your situation, find ways to re-invent yourself, make wise decisions, and have a plan.

Now is not the time to complain about the economy, your industry, your employees, management, government, or anything else. If you are willing to let someone else control your destiny, you may not like the results.

Labels: "Dan Paulson", "Daniel Paulson", "Inc. Magazine", "InVision Business Development", "Phil Coffey", Business, Economy, growth, Leadership, marketing, Sales, Strategy

Growth is possible anytime, anywhere, in virtually any industry. All too often we miss these opportunities over concerns and fear from what we see occurring in the marketplace. Yet businesses who are poised to grow now will be miles ahead of their competition when the economy shifts.

Why would I say this? It's simple, because most businesses will cut back and wait right now. It may be because they are unable to take action (no resources) or it may be fear (concerns without a plan).

What if over 80% of your competitors chose to do nothing right now, or continued to do things the same way they have always done them? What opportunities does that leave you?

If you are able to take action, you should do so now! Just make sure you are wise in your move. Have a plan, define new opportunities, limit your risk, and move ahead.

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, Business Coaching, growth, InVision, Leadership, marketing, Sales, Strategy

I recently read an article by Barry Thomsen. He puts out the Small Business Idea-Letter. You can find is content at http://www.idealetter.com. The article was titled "It takes time for a business to put up a closed sign."

The article hit home on a key point that I tell many business owners who are struggling; "It's not what you did yesterday that got you here. It's what you have done over the past several months or years." Almost nothing happens overnight. Most problems start out benign. They are symptoms to a larger ailment and they may go unchecked because at the time they seem to be a nuisance instead of a larger problem. They are put off because people are too busy dealing with the daily issues to worry about them. Often when companies realize they need to fix these issues, it may be when they no longer have the time or the resources to do so.

Here's Barry's list. It's a pretty good one. I have abbreviated the original article to fit in this blog. If you would like the original article, please contact Barry at www.idealetter.com.

Customer Care: Treat your customers well or they will spend their money elsewhere.

Marketing: You must advertise and promote your business. Hanging out your sign is not enough.

Owner Attitude: Make sure your attitude is one that people want to do business (or work) with.

Training/Development: Customers want a knowledgeable, courteous staff. Continually develop your people.

Spending: Manage your money wisely. A growing business needs capital. Lavish trips and expensive equipment can cost you dearly.

Ownership: Stay connected to your business. Pay attention to the details so your business will grow.

Business Knowledge: Get to know the business basics, take courses, read and learn.

Salaries: Keep your pay and that of your employees at an affordable level. Reward for outstanding performance.

Keep up to date: Your products and services have to keep up with the times.

Ownership Change: If you bought into a business, you need to learn what the customers expect. Cutting corners could cut your sales.

Build Reserves: Keep cash on hand for the lean times

Product Mix: Learn what your customer is looking for.

Pricing: Make sure your pricing matches what you are offering. If prices fall too far out of line, you may lose your customers.

Big Accounts: While those accounts may pay well, they will cost you dearly should you lose them. Balance out your business so you don't have too many eggs in one basket.

Taxes: Keep up to date on your taxes. Falling behind here can be costly.

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, Business Coaching, Leadership, Sales, Strategy

How versed are your people on the direction of the company? Here is a quick way to find out and it requires only two questions. First, take a random sampling of your staff. Include some leaders as well as front line and start a discussion with them.

Ask them these two questions:

1. What are the primary objectives for the company?
2. What is your role in accomplishing them?

Wait for the response on each question and compare notes. If your employees and leadership gives answers that closely match yours, then you are on the right track. However, if your staff looks at you with a blank stare, you are going to have some work to do.

What is most important now is that you have the right people doing the right things. If your people aren't working on the right goals, you will be wasting time and money. It could also be a sign that you need to review each persons' job expectations and streamline process. Make sure the right work is being done to provide the best performance and service for the company.

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, Business Coaching, Change Management, InVision, Leadership, marketing, Strategy, Vision

One of the most costly challenges in business today are the staffers who punch in, but fail to show up for work. Almost every business has them. They show up and occupy their space, but they fail to perform to the expectations of the job.

While market changes have helped companies reduce staff, how can you be sure that you have the best employees working for you now?

• Better communication: establish clear communication with your people to make sure they understand the goals fo the company.
• Better accountability: Make people responsible. Give them specific goals that can be measured by the employee as well as the leader. Meet regularly to review and discuss.
• Better documentation: Plan out a clear record of performance for your people. If someone is under-performing, make sure you document it. If someone is performing above expectations, do the same.
• Better follow through: Stick to your word and hold all members of your staff to the same standards.
• Better distribution: Distribute work evenly among the entire workforce. Avoid punishing good workers by heaping more work (and greater expectations) on them
• Better measurements: Assess your people, develop strengths once you know what they are.
• Better culture: If you want to be world-class, you must think world-class. Become a culture that talent is attracted to and can perform well in.
  

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, Business Coaching, growth, Leadership, Strategy

Charter Communications is near bankruptcy and it looks like there may be no way out of it this time. Microsoft co-founder Paul Allen has sunk a bunch of cash and lost $7 billion in the process. Could this have been avoided? You bet!

I have been a Charter internet customer for about four years now. Where I live, high speed internet choices are limited. So at the time Charter was the best option for me. For my first 4 months with Charter, it was a nightmare. Billing mistakes and confusion on what i owed led to the cancellation of my service 4 months into the relationship... Even though I paid my monthly bills. After a long discussion with their customer service department I got them to waive the reconnect charges and make the corrections to the bill.

The following year my rates more than doubled without warning. I did not receive a notification and immediately contacted customer service. I was informed that my plan was cancelled and I was bumped to a faster service and a higher monthly fee. Again, after discussing this with customer service, they enrolled me into a promotional package which lowered my monthly rates down to a price point closer to what I was paying before.

Last year (2008) I did receive notification of an increase and was informed that my bill would be doubling. This led to another call and after getting transferred to their customer retention department, a slight reduction in the rate change.

Charter, how could you avoid this? Better service would help. The examples above are my own, and I am not about to share negative feedback from others, but it seems as though Charter chooses to provide poor service on the front end and requires the consumer to jump through hoops to fix a problem that could have been avoided. To their credit, they have addressed my issues and made corrections, and it would be nicer if they looked at their practices and prevented the problems in the first place.

For the sake of Charter, I hope they are able to figure it out. Choices where I live for high speed are better, yet I do not want to go through the hassle of changing it.

Labels: "Charter Communications", "Dan Paulson", "Daniel Paulson", "InVision Business Development", Branding, customer loyalty, customer service, Economy, InVision, Leadership, Strategy

Tomorrow our 44th President will be sworn into office. While Barack Obama spoke of change throughout his campaign, it is up to all of us to make a difference. For future generations to prosper, we must make difficult decisions today. America has always been a land of opportunity and it is up to us as leaders in business and politics to create a strong economy.

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Now that 2009 is upon us, let's take the time to approach the year with new determination. While little has probably changed, let's all make it a point to change our attitude about our business and the economy. Look at 2009 through a new set of eyes and focus on how to grow your business. the only way we can all make a positive impact is by finding a way to win, not to survive. It is possible, I have seen it. Several businesses I know are experiencing double digit growth right now. Our jobs as leaders is to take advantage of opportunity. Find that opportunity now! Let's not squander it away with the hope that someone else will change our future for the better.

Labels: "Dan Paulson", "Daniel Paulson", "InVision Business Development", Business, Business Coaching, Change Management, Economy, growth, Management, marketing, Strategy