Extraordinary Business

Toyota, what have you done?!?

Posted Wednesday, February 10, 2010

Want to see how to destroy a great reputation that took years to build in just a few short weeks? You might want to talk with Toyota. In their quest to become the world's largest car company they made a mistake that GM was often considered guilty of. They let quality slip.

That alone probably wasn't bad enough to do the damage. But trying to cover it up was. Toyota knew there was a problem, but they weren't sure what it was or how to correct it. First it was the floor mats causing the accelerator to stick. When that didn't resolve the issue the public began questioning if they actually knew. Now it appears Toyota has the solution by fixing a faulty accelerator. Just when they thought it couldn't get worse, now there is a problem with the breaks on the new Prius. A recall has been issued in Japan, and the US is waiting to see what they will do here.

Recalls in the auto industry certainly aren't new. Actually they happen quite often. Check out http://www.automotive.com/new-cars/recalls/index.html and see for yourself. So what made Toyota's such a big deal?

I think the issue is trust. Toyota built its reputation around it. You could trust them, their vehicles were reliable, you could count on their resale value, etc. The recalls have people questioning that trust and it's going to take a lot to repair it.

People have become very skeptical in today's economy. Loss of jobs, the mortgage bubble, and questionable business practices have caused cynicism to increase. Rebuilding trust will be a challenge and it will take time. For others, it will create opportunities to grow. Trust is one of the most valuable things in your business. Make sure you don't squander it. Hire the right people, communicate and value them. Treat them well. Work with integrity and be a good community partner. Create a legacy that will have people wanting to do business with you and not driving them to your competitors.

Labels: "Auto Industry", "Dan Paulson", "Daniel Paulson", "InVision Business Development", auto, Business, Business Coaching, Communication, Economy, growth, InVision, Recalls, Strategy, success, Toyota

posted by Dan Paulson @ 1:46 PM 0 comments

Business would be wonderful if I could just fix all these damn problems!

Posted Monday, May 11, 2009

Is that something that you said to yourself? Maybe even thought it a couple times? I think every business owner or executive has come across a point where they wished they knew all the answers.

Every business has its challenges. We may think the grass is greener at another company in another industry in another location. The truth is it probably isn't all that different. In fact, they are probably dealing with the same problems as you!

Throughout the past 20 years, I have worked for (or with) someone. Their problems were everything from lack of sales, lack of qualified people, poorly trained people, high competition, low margin, commoditized goods, etc, etc, etc... It didn't matter that the company was less than ten people or several thousand. Each faced pretty much the same problems. The only real difference was the scope of the problem relative to the size of the company.

Often we focus on the wrong things. We get trapped by the problems in our head. We worry too much about our competition and what they are doing when the focus should really be on ourselves.

I remember working with a company that wanted was battling shrinking sales. I was contracted to help them come up with a new strategy and position them as a market leader. It was not successful, and not without trying. The reason for failure: obsession with their competition. They were so worried about what their competitors were doing they failed to take action. Worse yet, they reverted back to old behaviors which made the problem that much worse.

Your problem may not be fear of your competitors, but something is challenging you right now. It's not the economy. Even now there are successful businesses that are growing. Seek to discover what is holding you back and change it!

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

posted by Dan Paulson @ 6:52 PM 2 comments

Growing Internationally

Posted Tuesday, April 28, 2009

Several months ago I began a new journey that started by simply asking a question. What that question led to was a new direction that could potentially make my business grow to where I dreamed it would be.

It all started earlier this year (2009) when I was doing my usual search through LinkedIn. I came across an interesting profile for a business in the US that was working with China in the healthcare industry. The CEO, Ruth Lycke, was the first stroke survivor to be treated in China. Since then her company China Connection has been working to coordinate medical services from China with people in the US.

I was interested to learn more about her story since she was based in the Midwest. How did she come to seek treatment in China? What caused her to start her business? How easy was it to create an international company doing business in China? My thought was it couldn't hurt to ask so I contacted her directly. To my surprise, I soon got a reply via email welcoming my connection and wanting to answer any questions I had.

Within the week, Ruth and I connected via phone. I had the opportunity to learn about her journey and the opportunities that her circumstances had created for her. She had been working on China Connection since 2004 and had built a solid reputation, as well as good connections in China.

I explained my services to Ruth and asked about the potential in China. She felt there were wonderful opportunities there for my process and then surprised me by offering to assist me with building a practice in China. I was cautious (and Ruth will attest I still am) about taking my business this direction. In an instant I had gone from inquiry to potentially opening up a whole new opportunity. Curiosity got the best of me and I wanted to learn more.

We agreed to meet face to face so I could address any questions I had plus weigh out the possibilities of making a move like this while reducing as much risk as possible. Our meeting was both informative and reassuring. I left with what I believe to be a great opportunity: build a business where I can work to break down the barriers between two cultures that very much want to work together.

Doing business with Asia is going to be necessary to build trade. China has the fastest growing economy and the greatest challenge is our cultural differences. (I am purposely avoiding political discussion here and will only say that if we want someone else to change, we must educate and provide opportunity. That goes both ways.) If I can help bridge a gap, who knows what opportunities that will provide in this country as well as abroad.

So I recently opened an office in China and am in preparations to make a trip there in the coming months. Are there risks? Yes and they have been calculated. The point is this is one step to bringing a dream to reality. I welcome the challenge and look forward to reporting more in the future.

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

posted by Dan Paulson @ 5:46 PM 0 comments

The importance of buying local to the economy.

Posted Friday, March 27, 2009

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

posted by Dan Paulson @ 9:55 AM 0 comments

Invention out of necessity

Posted Wednesday, March 11, 2009

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

posted by Dan Paulson @ 4:05 PM 0 comments

Opportunities Exist: Are you ready for them?

Posted Monday, March 09, 2009

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

posted by Dan Paulson @ 10:25 AM 0 comments

Punching in and Checking Out

Posted Saturday, January 31, 2009

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

posted by Dan Paulson @ 10:37 AM 1 comments

Make Change Happen

Posted Monday, January 19, 2009

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.

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

posted by Dan Paulson @ 10:19 PM 1 comments

Great to Bankrupt

Posted Sunday, January 18, 2009

Between 1982 and 1997, Circuit City was growing at a rate 18.50 times the market* and was considered one of the strongest companies in home electronics. Recently it was announced that Circuit City would be closing all its locations and liquidating its inventory after a failed attempt to find a buyer.

Circuit City was one of the companies highlighted in Jim Collins book "Good to Great" which studied the traits great companies possess that allow them to sustain growth above the industry average. Besides Circuit City, Fanny Mae has also experienced its own problems in the wake of the crash of the housing market.

We need to remember that corporate performance can be a fragile thing. There are many factors to calculate why these once great businesses fell and in the end, Jim Collins may have said it best himself in the book's first chapter; Good is the enemy of great.

The key to thriving in any environment is to address the little problems no matter how insignificant they seem to be at the time. These are the issues often overlooked when business is doing well, but are the Achilles Heel when business tumbles. Businesses typically don't fail overnight, they are slowly destroyed by complacency and oversight. The story of these two once great companies might have ended differently had they addressed the warning signs that began to surface years ago.

*"Good to Great" by Jim Collins, Harper Collins Publishers

Labels: "Dan Paulson", "Fanny Mae", "Freddie Mac", "Good to Great", "InVision Business Development", "Jim Collins", Change Management, growth, Leadership, marketing, Sales, Strategy

posted by Dan Paulson @ 4:19 PM 1 comments

Wipe The Slate Clean

Posted Monday, January 05, 2009

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

posted by Dan Paulson @ 10:50 PM 0 comments

How long will the economy affect your business?

Posted Friday, November 14, 2008

There is a lot of talk about our economic situation in the media these days. What is your business doing to change its future? Many businesses use economy as an excuse for growth. The theory is in a poor economy you should hold back and wait for the environment to improve.

I would challenge this philosophy as there is more wealth created in a down economy than in a booming one. People and businesses who are ready to grow take advantage of the market when others are retreating. Now is no different. In any market, there are highly profitable businesses. The excuse you have to sit back and wait doesn't fly. To me, it also doesn't make any sense.

If you are running a race and you are in the lead, you do not stop to catch your breath when the run gets difficult. If you are in the middle of the pack, you would never think of stopping because the people behind you would pass you up. If you are in last place and stop, you will never even compete.

What can you do to take ownership of your business and grow now. Waiting could give someone else the advantage and leave you well behind the pack.

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

posted by Dan Paulson @ 9:02 AM 0 comments