When the economy dips into a recession, companies have two basic responses: hunker down to weather the storm or be aggressive by attacking weakness in competitors and opportunities in the market. I have always preferred the latter approach.
During the past two years, our company made several important acquisitions and recruited top talent to forge a new business that positions us as a leading provider of a full range of marketing services for clients ranging from manufacturers and professional service firms to nonprofits and consumer products companies. I am pleased to announce the official launch of SBN Interactive, our content-driven interactive marketing firm.
SBN Interactive is the culmination of months of planning and hard work. It combines our long-standing expertise in creating award-winning content with our intimate knowledge of the latest marketing trends and tools. More importantly, it allows us to leverage our expertise in offline and online marketing to drive measurable business results for our clients across the full range of marketing channels: Web, mobile, video, social and print.
Today, customers move seamlessly across online and offline channels and expect the experience to be consistent, connected and available when they want it and how they want it. What does that mean in practical terms? It means that businesses need to deliver a consistent brand across the spectrum of marketing channels that their customers use. Some prefer print, others video, still others social media. Regardless, marketers need to present the right message to the right customer through the right channel.
Our team of interactive marketing strategists, content strategists, content creators, designers, developers, optimization experts and technologists understand and embrace this. They collaborate to develop strategies and solutions that meet the specific business goals of our clients. From custom magazines and website content optimization to social media strategies and fully outsourced marketing services, they have the expertise — and dozens of proven tactics — to help move the needle for a business.
At the heart of everything we do is our core competency: content. Content drives differentiation, and there are few organizations that exist or are organized in a way to efficiently deliver relevant content in the context of the connected world we live in. But we, at Smart Business, live and breathe content on a daily basis.
We have spent more than two decades working with and writing about some of the most successful business people in America, from iconic business builders like Wayne Huizenga and Les Wexner to maverick billionaires like Ted Turner and Mark Cuban. Now, we are putting those same skills — and many more we have developed over the years — to work for other companies.
We will still continue to bring you management insight, advice and strategy from the best and brightest business minds in the pages of Smart Business. However, thanks to SBN Interactive, we now have a more direct way to help businesses like yours meet their goals and prosper.
I invite you to learn more about SBN Interactive by visiting our website at www.sbninteractive.com or by contacting me directly at firstname.lastname@example.org or (440) 250-7034.
Fred Koury is president and CEO of Smart Business Network Inc. Reach him with your comments at (800) 988-4726 or email@example.com.
The times were tough for Roeslein & Associates in 2001. Sales had grown from just more than $1 million in 1990 to some $20 million in 2000. Now the volume of work was practically nonexistent.
“When you go without work for almost a two-year period and you use up every bit of retained earnings that you had, it starts to challenge your own beliefs,” says Rudi Roeslein, founder and CEO for a company that engineers, fabricates and constructs unitized modular industrial systems. “We were faced with this real identity crisis of was it all smoke and mirrors? Was I just delusional?”
Indeed, Roeslein and his company were in pretty dire straits. He let two members of his management team go and the six who remained each took a 30 percent pay cut. Roeslein and his partner, who only owned 25 percent of the 250-employee business, did not take any pay for 18 months.
“I said, ‘I’m not going to force you to do it,’” Roeslein says. “He had a family and both of us had kids at the time. We had the same bills that everybody else has. We just had to live on whatever we took out of the business previously in earnings. We tried to keep as many people as possible.”
As hard as he was working to keep the business going, Roeslein also had to fight the perception that it wasn’t ever going to get better. He had complete confidence that he would make it work, but it wasn’t shared by everyone.
“When people see that, how do you keep them enthused?” Roeslein says. “You start letting people go, and (others) want to bail out. They want to leave.”
As it turns out, Roeslein was right and his company did survive the business drought and emerge on the other side, growing to a $100 million organization today.
But Roeslein emerged a new man and a new leader. He was willing to look at himself in the mirror and ask the question that few brash, successful entrepreneurs ever want to ask of themselves.
“The big soul-searching that I did was, ‘OK, once I get out of this, even if we get the business, what am I going to do differently so I don’t get into this predicament again?’” Roeslein says. “That’s where you have to identify what are the necks in the hourglass? Am I the neck in the hourglass? I came to the conclusion that I was because of how I managed my business.”
The transformation began in 2002 with a realization that Roeslein needed to get his people more involved in guiding the business.
Empower your people
As Roeslein looked at his role in leading his company, he began to understand the problem.
“I wanted all customers to discuss their opportunities with me,” Roeslein says.
He had a CFO who handled the day-to-day personnel issues and Roeslein managed the engineering, business development and product management. But he also did selling and implementing and wanted in on every sales discussion.
He realized that had to change.
“You have to get over your own ego and really accept that maybe you’re the problem and not the solution,” Roeslein says. “Maybe the solution is right in front of you because you have all these brilliant employees and you’re just not releasing their talent.”
So as things began to pick up, Roeslein appointed the six managers who had been department managers and made them directors.
“I assigned specific customers and accounts on a regional and global basis, regardless of whether they were technical or nontechnical,” Roeslein says. “I divided it among them.”
The key to making this work was that Roeslein didn’t just call them into his office, tell them about the change and then expect them to figure out how to do it on their own.
“I said, ‘I will mentor you for a period of a couple of years,’” Roeslein says. “‘I will go with you to these customers, but ultimately, I’m turning these customers over to you. I’m turning these projects over to you. Then you guys figure out how to complement each other. Figure out who is best at construction, engineering and business development. One of you is going to become the president of the company.’”
It was a bold move, but Roeslein quickly knew it was exactly what his business needed.
“We quickly became a $100 million company, which under my leadership and style, probably never would have happened,” Roeslein says. “We would have been stuck at $20 million to $25 million because that’s what I could manage and that’s what I could keep my thumb on and have enough daytime hours to manage.”
If you feel like your company is stuck, it could be that you’re unwilling to let the people you’ve brought in to work with you and for you stretch their legs and use their talent. You’re only one person and if you keep all the important work to yourself, your company is severely limited in how much it can grow.
“You have to take the risk,” Roeslein says. “Put those people out there. Put them on the front line, put them in difficult situations and see how they respond. From that, you can start to formulate a plan as to who your leadership is and who your next generation is. That’s what I’ve challenged my six managers to do.
“Give guys an opportunity. Challenge them and push them beyond what you believe they can do and see what they can do. If you just keep them on the bench, they’re never going to be able to demonstrate their capabilities and you’re never going to know.”
Back up your words
If Roeslein had talked to his people about having a bigger role in the business or being empowered but continued to make the same decisions he had always made and lead the way he had always led, his company would not have grown.
“There are signals and indicators that employees read,” Roeslein says. “You say certain things. But it’s eventually what you do. What we did was we engaged them in a concept that signaled that we believed there was a future.”
That engagement was made with his six directors but also with every employee who had concerns about the company’s future during those dark days.
“Why would I have them working on all these improvements, cost reductions and things that work toward the future?” Roeslein says. “What I really focused on was let’s build and work toward the future. The future is confident, as far as I’m concerned. Why would I risk every penny that I have and everything I’ve worked for if I didn’t believe in it?
“That resonated with my employees and certainly with six out of eight managers.”
It resonated even more with those six directors when Roeslein rewarded their hard work and effort in getting the company turned around.
“These guys are going to sacrifice a tremendous amount of their lives to this company,” Roeslein says. “I told them a portion of their bonus each year could be applied toward ownership of the business. You’ve already made a huge sacrifice taking a 30 percent pay cut for two years to keep our business alive. Here’s your reward.”
The directors took advantage of the offer, buying out Roeslein’s partner and eventually reducing Roeslein’s share of the business from 75 percent to 51 percent.
“I don’t want to sell this business to outsiders,” Roeslein says.
Build for the future
Just as Roeslein mentored his six directors, he expected them to do the same for another group of leaders.
“If we want to grow the business to the next level, each of you needs to mentor six people,” Roeslein says of his message to his six directors. “That is the next step in the evolution of this company. You mentor six people, and you get the same level of confidence in them that I have in you.”
You’ve got to approach your business as though it were a team and you all make contributions to that team or you’re going to run into problems.
“It’s easy to be a really good guy and smile when things are great,” Roeslein says. “But when things are really bad, that’s when you find out your own character and your own ethos.”
So when failure occurs, approach it with the perspective of how the team can improve instead of focusing on the person who screwed up.
“Every leader needs to put their employees in a situation where they can succeed,” Roeslein says. “When they fail, they need to recognize they are part of the failure. You can’t have your people be so concerned about, ‘What are we going to do if we fail?’”
Roeslein says running a business is a lot like the whitewater rafting he used to do in Colorado and Utah.
“You’re just slowly going down the river and the sun is shining and you relax and your mind wanders,” Roeslein says. “Then, all of a sudden, you hit those rapids and those giant holes, and it scares the hell out of you. You wonder if you’re even going to make it through. It’s how you perform and how you treat everyone during those periods that really forms your character.”
How to reach: Roeslein & Associates Inc.,
(314) 729-0055 or www.roeslein.com
The Roeslein File
founder and CEO
Roeslein & Associates Inc.
Born: Salzburg, Austria. I was born in 1948 and came to the United States in 1956. I remember seeing the Statue of Liberty. One of my most lasting impressions was the train ride to St. Louis with my face plastered against the window looking out at the countryside. I didn’t speak a word of English.
Education: Bachelor’s degree in electrical engineering, Saint Louis University.
How did your childhood shape you? All of us had this work ethic where we believed no one was going to take care of us. We had to take care of ourselves. Kids can be cruel. Me and two of my German friends, instead of the three Amigos, we were the three little Nazis. So we went through some tough periods.
But I think the great equalizer for me was always sports. I started playing soccer at an early age and when you’re very good at something, kids accept that you’re good at that and a lot of that other stuff goes away.
Did the tough times then help you deal with them better now? I didn’t look at it as leaving long scars. Did it toughen me up and make me more able to take ups and downs in life? I think so. But I’ve never looked back and said, ‘Gee, those kids that held me down and tried to carve a swastika in my forehead were bad kids.’ It was just a sign of the times. Things were going on and you just fought your way through it and just keep on going.
Who has been the most influential person on who you are? My father. He’s the example of a completely selfless person. His whole life was focused around us.
Let people put use their talents.
Mentor leaders through growing pains.
Reward employees who help you meet goals.
When significant change is on the horizon for your business, it is important to recognize how people react to the unknown.
In an article by David Rock, the co-founder of the NeuroLeadership Institute, two broad themes are discussed.
The first is that each of us is driven by an “overarching organizing principle of minimizing threat and maximizing reward.” Those immersed in the drama of an acquisition are biologically driven to wondering and worrying about what will happen to the existing social order.
The second theme is that there are parallels between the way we respond to how well our social needs are met and how we respond to the meeting of our physical needs. He cites a study indicating that it hurts just as a much to be left out as it does to experience a hammer meeting our thumb.
Rock proposes a model, SCARF, which includes these two themes as a way to help us navigate what can trigger reward or threat behaviors in social situations. The model, in short, is as follows:
Status - This refers to how important we are or perceive we are within a particular group. When a company is acquired, employees may believe they will be viewed as lower on the totem pole than employees within the acquiring company.
What can you do?
Promote a culture of respect in which everyone’s opinion is valued in ways appropriate for their areas of expertise. When discrete events occur (e.g., promotions, acquisitions, etc.), be proactive in communicating how and why personnel decisions have been or will be made.
Certainty - Certainty refers to the need our brain has to respond to recognizable patterns. When we can’t, error messages akin to a “flashing printer icon” go on.
What can you do? Be clear. Be as specific as possible. For big projects, break them down into specific steps. In individual interactions, remember that the level of clarity necessary will be different for each person. When details are pending, promise that more details will follow, communicate a timeline for the additional information and deliver on that promise.
Autonomy - The third point refers to how much choice and control we perceive we have over our lives. As a leader, do you find yourself telling others what to do in their area of expertise? If so, you may be restricting their autonomy.
What can you do? Don’t micromanage. Enough said?
Relatedness - This refers to whether or not someone is “in” or “out” of your group. We’re all familiar with the student who doesn’t have an “in” group and sits by himself at lunch. His brain is firing the message that he’s on the outside looking in.
One way to promote relatedness is to encourage affinity groups. These could be either related or unrelated to workplace initiatives. Be a role model. Make an effort to relate to people that may be on the outside looking in.
Fairness - The fifth and final point refers to the belief that others aren’t being treated preferentially. Think executive elevators, executive washrooms, etc.
What can you do? Be clear about your reasons for decisions you make and changes that must be made. Be clear about the “why” and “how” of your decisions. There should be no hint that you’re trying to hide an unfair process by not being transparent about your reasons.
Andy Kanefield is the founder of Dialect, Inc. and co-author of “Uncommon Sense: One CEO’s Tale of Getting in Sync.” Dialect helps organizations improve alignment and translation of organizational identity. To explore how to promote organizational sync by minimizing threat responses, you may reach Andy Kanefield at (314) 863-4400 or firstname.lastname@example.org.
Integrating a comprehensive behavioral health plan into the medical health plan your company sponsors is a win-win. Employees are able to improve their health mentally and physically, and the employer can track cost savings related to direct health care costs and indirect costs through more productive, healthy employees.
“One out of every four adults will experience a mental health disorder in a given year,” says Tom Albert, manager, Behavioral Health Services at HealthLink. “I think few people, in general, realize the rates are that high.”
Smart Business spoke with Albert about how integrating behavioral and medical health allows employers to better coordinate their members’ care.
How do behavioral and medical health impact employers?
The rate of one in four adults experiencing a mental health disorder annually goes even higher for those with chronic medical problems. Furthermore, employees with untreated psychiatric or substance use disorders can be at a higher risk of on-the-job injuries. This can lead to missed time from work, expensive treatment and a decrease in quality of life for the individual.
Absenteeism is not the only concern for employers. Presenteeism, or the loss in productivity of employees who come to work sick, can also be costly for employers. The Institute for Health and Productivity Studies at Cornell University found that depression and other mental health problems are among the illnesses that have the most significant decrease to productivity.
What’s the advantage of integrating behavioral and medical health management?
Ninety-three percent of Americans believe a health care plan should cover behavioral health treatment, according to a National Association of Psychiatric Health Systems survey. Some workplaces don’t cover behavioral health. Other employer groups cover it but carve out the management, which makes it difficult to coordinate care.
Having one organization manage both medical and behavioral health benefits is gaining popularity among employers. With integration, the health plan’s medical and behavioral clinicians collaborate and ensure that individuals and their families have access to care that best meets their needs.
What are the overall goals of utilization and case management for behavioral health?
Utilization management ensures that health plan members have access to the care they need; that care is delivered in the right setting; that the quality of care meets high standards; and that resources are used efficiently in order to help control costs.
Case management involves case managers communicating directly with members and their families to assist them in navigating the health care system; addressing any obstacles to accessing treatment; and empowering members and their families to maintain an optimal level of health and functioning.
Case management helps the member to stay well so he or she doesn’t have to keep using the same services and missing work.
What is the Mental Health Parity Act?
The Mental Health Parity and Addiction Equity Act of 2008 doesn’t mandate that employers of 50 or more employees offer behavioral health coverage, but it does require that if the health plan covers behavioral health services, the financial requirements and treatment limitations are no more restrictive than medical and surgical benefits.
Prior to parity, employer groups often relied on treatment limits to control costs by limiting the number of days in a hospital or the number of visits for outpatient mental health treatment. Parity is good because the limits often were arbitrary, but it does mean the best way to control costs is to ensure care is only approved when medically necessary.
What are the results of formalized behavioral health management and review?
A Milliman case study of a large private manufacturer found a 10 percent reduction in members with chronic medical and psychological conditions saved $1 million annually and another $750,000 from reduced absenteeism, fewer and shorter disabilities, and increased productivity. An effective behavioral health management organization ensures members receive the right treatment in the least restrictive setting, which reduces costs and time missed from work, while improving overall health.
Tom Albert is manager, Behavioral Health Services, at HealthLink. Reach him at (314) 923-6288 or Thomas.Albert@wellpoint.com.
Insights Health Care is brought to you by HealthLink
We are barraged each day with opinions on the economy, jobs, health care costs and a host of other topics that can affect consumer confidence. Information is plentiful, but it is often contradictory, leaving people to decide who and what to believe.
As business leaders, you must face not only the realities of the business environment in which you operate but also the mindsets of employees and customers.
As the economy shows signs of improving, they look to see if you’ll react. But leaders often rely on others, and being fearful of making the wrong move, they wait for the percentages to improve and for more certainty to prevail. Even the optimists are finding it challenging to break out of the pack and do something bold.
Emergence depends on factors
The reality is that not every sector will enter or emerge from a recession at the same time. It is important that you understand your market and where your business is in the cycle. If you don’t already have a list of leading indicators, then you need to develop one.
Demand the best information from which to make decisions regarding your business. Rely on facts, trends and data to help make better and timelier decisions. Act quick, be decisive, and don’t be a naysayer. Focus on what can be done versus what can’t. Motivate and energize your organization and set goals to break out and show what can be accomplished.
Being an early mover can give your business a substantial competitive advantage. When you see signs of enduring strength, you need to lead changes in your organization to improve the mood and atmosphere, to build confidence that things are going to improve, and to implement the plans you have developed.
Time to take action
Here are some steps you can take:
? Leverage your competitive advantage
? Take price increases in key segments while locking in cost in others.
? Get aggressive in marketing and selling efforts
? Expand into new markets or launch new products
? Invest in training staff and hire high-quality people
? Make acquisitions of products or businesses
? Invest in incremental capacity to enable growth
? Create a contagious atmosphere where people can prosper and customers can enjoy themselves
These actions within a company become contagious and can foster creativity and risk-taking. When done effectively, these actions will position your business for success.
Setting the tone
The way you think and talk about your business, the market and the situation you face will set the tone for the organization. Your actions and words can be the difference between breaking out or being a laggard.
Do you focus on the problem or the solution?
Do you think about the opportunities to grow share or focus only on retaining customers?
Have you ever noticed that, during tough times, the sales gap between the A and B/C players widens? Their attitudes shift and you start hearing excuses from B and C players as to why they “can’t” get sales.
Even when things start to recover, the A players will distance themselves even more from the others. When you go on sales calls with the A players, they acknowledge the circumstance with the customer but will quickly focus on what should be done to make the best out of the situation.
As leaders, we can set this expectation across the organization. It’s a mindset and an attitude. Do your part to create an environment where people can be creative, develop plans and execute with passion so they can win.
Tony Arnold is founder and principal of Upfront Management, a St. Louis-based management and executive consulting firm. He can be reached at (314) 825-9525 or email@example.com.
Robin Sheldon had reached a critical point in the life of her business.
Through her strong will and determination, she had built Soft Surroundings from a small business that produced a single catalog for women’s clothing in 1999 to one that has seasonal catalogs, a chain of retail stores and an e-commerce website.
She didn’t do it entirely on her own, but Sheldon was definitely the driving force behind the company’s growth. However, she was beginning to realize that if she wanted the company to continue to expand, she was going to need some help.
“When you are part of a creative process as well as the traditional business side of the business, it’s very hard to let go of getting your fingers into absolutely everything,” says Sheldon, the company’s president and founder. “But there comes a point when you realize that you’re putting your business in jeopardy by doing this.”
Sheldon needed to get more people involved in the management of the 530-employee company. She also had to find a way to prioritize the really important things that needed to be done and separate those from the tasks that either could wait or didn’t need the same amount of effort to complete.
“So what that led to was the assessment of the type of people we needed to be hiring with what particular skill sets,” Sheldon says. “For myself, it was a matter of setting up my goals with parameters and guidelines that would get me to the point where I could let go.”
The challenge for Sheldon would be setting up that structure so she could get more comfortable with delegating tasks.
Know your priorities
Part of the problem Sheldon has when it comes to delegating is the high level of confidence she has in herself.
“I have an expectation of myself that is probably way too perfect and hard for anybody else to achieve,” she says. “I’m going to expect more from myself than I am from anybody.”
The result is that Sheldon believes she can do it all. And she saw no reason why it couldn’t be done to the absolute best of her abilities. But she finally started to understand that perfection isn’t always necessary.
“I realized I have to be satisfied with ‘good enough,’” Sheldon says. “I have to identify the few areas where it had to be great.”
There are certain tasks in any business that don’t have anything to do with the customer and have a negligible effect on the bottom line. These are tasks that just need to be done.
“You’re not going to drive yourself over the edge of the cliff trying to make it perfect,” Sheldon says. “You can get it ‘good enough,’ and that’s going to be good enough.”
Then there are things such as the photography that appears in her seasonal catalogs.
“We spend a great deal of money and time on our photography to give the customer an aspirational experience that is emotional so she forms a connection with the product,” Sheldon says. “She understands we are trying to do more for her than just sell her stuff. That’s a place we don’t give. You don’t want to settle on things that are integral to your brand.”
The solution for Sheldon to determine what requires maximum effort and what just needs to get done is a formula known as good, better, best.
“When people come to me and say, ‘I have 10 things that I’m supposed to have done in 48 hours,’” Sheldon says. “I’m being told that all of them are equally important. I ask them to go back and discuss it and come back and tell me if it’s a good, better or best. That helps people a great deal. Sometimes you have to talk to other people involved to see if you’re headed in the right direction.”
It was a lesson Sheldon wanted to impart on her team, but one she also needed to try to follow herself.
Have a plan for delegating
The next step for Sheldon was to accept that within those priority tasks that need to be done right every time, it would be OK to delegate.
“It’s a process,” Sheldon says. “You have to put some good planning behind it. But in order to do that, you have to have the right people. You have to have a very clear understanding of what motivates each individual person. They are not the same. You can’t treat them the same.
“You have to learn each person and figure out how you’re going to make them happy in what they are doing, productive and wanting to do more.”
One of the biggest mistakes you can make in business is assuming that with a few brief words in your office, an individual can take a task and run with it.
“You can ruin a perfectly good career if you take somebody who is a super performer for you and you elevate them into a management position and don’t give them any management training,” Sheldon says. “Before you know it, you have a perfectly good person who has such good skills, but now is floundering in the job because you didn’t give him or her any management training.”
Develop a plan for the person you want to give responsibility to and then share your plan with that person. Take the time to see how the person feels about it and go over areas that you’ll need to work on with the person.
“I have high hopes for being able to give you some new responsibility and I know you’re up to it,” Sheldon says. “I’m thinking this is the area that we will work with and here’s the goal. Let’s sit down together and come up with how we’re going to do this.”
A key barometer that helps Sheldon know if she’s done her job training or if she needs to do more, or perhaps has chosen the wrong person, is whether she hears her name invoked as tasks are being worked on.
“‘Robin says,’” Sheldon says, repeating the phrase she doesn’t want to hear. “If I’m hearing that too much, it means people aren’t taking responsibility for their own work and they aren’t becoming their own experts. They are having to rely on my name to get their jobs done.”
Sheldon’s goal is to make sure the person has all the knowledge and skills to make it happen on their own.
“They don’t need to use my name,” Sheldon says. “They will build their reputation and their confidence by saying, ‘This is what we need to do, and I believe this is the way for us to do it.’”
Help your people
If you run into a situation where you have a leader who isn’t invoking your name but is struggling with the role of leadership, you need to step in and give them some support. Sheldon recalls a manager he was training who wasn’t getting respect from the people she was trying to lead.
“She had to follow up on projects and things that needed to be taken care of regularly,” Sheldon says. “She just couldn’t get their respect. We worked on that for six months together.”
What Sheldon found was that this new leader was struggling with the language she used to engage people in tasks.
“One of the areas we dug into was, ‘How do you get your point across in a pleasant way? How do you get people to want to help you and want to do what you need them to do?’” Sheldon says. “There’s a whole psychology there, and we studied it. Now she is a power negotiator, and she’s still here.”
The act of delegating has to be about more than just you saying to your employees, ‘Hey, you need to do this now.’ It’s a process that you have to be actively engaged in if it’s going to be successful.
“For me, things get tested,” Sheldon says. “It could be our clothing design. It could be our creative print design. It could be copy. It could be many things. As soon as I can get to a comfort level where I’ve seen it go the way I’d like it to go three or four times in a row, then I back off. I only check every now and then.”
When you do check in on how your people are doing, don’t just look for problems.
“None of us probably give positive feedback as often as we should,” Sheldon says. “If your business is moving fast, chances are you might be leaving that out and that’s so important. Along with positive feedback is making time to care about these people.”
The numbers show Sheldon is making the right moves with her business as the company hit $120.8 million in 2011 revenue. Two new stores were announced in Boston in September, and Sheldon feels good about the future. She says keeping it fun will be a big key.
“If you don’t allow people to feel they are having some fun in their job, you may lose them sooner than if you give them a little relief now and then,” Sheldon says. ?
How to reach: Soft Surroundings, (800) 240-7076 or www.softsurroundings.com
The Sheldon File
president and founder
Born: New York
Education: University of Denver. I was actually working on an English lit degree, which had nothing to do with what’s happened the rest of my life. I wanted to write, but not in journalism. I was not a business person or thinking about business much at that time. It’s an unusual situation, not one that most women would find themselves in today. It’s interesting how somehow the business finds you.
What was your first job?
I was a research assistant to a newspaper in Long Island, N.Y. I started to fall in love with the written word. I have a book that I’m working on and I do it when I get a moment to breathe. Maybe I will get to finish it someday. It’s a mystery, certainly fiction.
What is the best advice anyone ever gave you?
In the world of business, it’s, ‘Know your customer.’ I guess that came from Dennis Pence, who is president and chairman of Coldwater Creek. If you can put yourself in your customer’s shoes and see what you’re doing from their perspective, it will change the way you do things and it will make you more successful. We all get lost in our own little world and think we know why we’re doing things. Sometimes we’re doing things that the people we’re trying to do them for don’t want.
Know what tasks require maximum effort.
Help your people achieve their potential.
Make sure you praise a job well done.
How often do you go to market without a solid business strategy? Probably never, right?
The reality is that if you’re like most organizations, then you’re doing this right now — and you don’t even know it.
That’s because most organizations do not have a well-thought-out marketing strategy. Instead, most are doing what somebody told them they should do. This includes creating a mobile website, engaging in social media and advertising.
All of these are “smart” marketing initiatives. But if they’re done in a vacuum, there’s no way to measure what results those initiatives are intended to accomplish. Worse, you’re chasing tactics instead of delivering results.
There is a significant difference between marketing tactics and marketing strategy. Marketing tactics are ways to bring channels to life. This could be a new website or a mobile-optimized version of your site. Or it could be creating new sales collateral. Tactics should be used to bring your brand message and value proposition to life.
Unfortunately, if they’re not tied to a cohesive strategy, you will not achieve the results you desire.
A marketing strategy, however, allows you to understand the results you should achieve. It also keeps everyone aligned with what you’re trying to accomplish and where you are in the process.
As an example, there are three main reasons for a website: to verify your organization’s brand message to potential customers, to deliver your value proposition and conversion.
Conversion can mean different things for different industries. In retail, it might mean picking out a product, putting it in your shopping cart and making the purchase. In business-to-business, conversion might mean picking up the phone to contact the company, providing a name, email and phone number, or signing up to receive a newsletter.
Without understanding how consumers behave, you may be selling your marketing efforts short. You might not be providing enough information to clearly articulate your brand message or value proposition or you might not be offering users an easy experience that allows for conversion. So how do you ensure that a consistent brand message, value proposition and the ability to target customers converts across all marketing channels?
First, understand who the target consumer is and their needs, attitudes and behaviors. This can be discovered through research, including focus groups or through industry-based segmentation.
Then, conduct a deep dive to understand your business goals and objectives. In retail, this might be the number of sales you want to drive. In B2B, it could be increasing the numbers of prospects in your pipeline.
Finally, evaluate your company’s existing marketing tactics — your website, marketing collateral and overall brand message.
Only then will you be well-equipped to evaluate your overall tactics and compare them to marketing best practices and the competitive landscape. This results in recommendations that include expected business results and return on investment.
Prioritize these by measuring the highest impact against investment levels, and then create a timeline to implement them over a one- to two-year period. Share this strategy throughout the entire organization so everyone understands what will be accomplished and what the expected results are.
Without strategy, and an understanding of everything that goes into it, any money you pour into tactics tends to be money poorly spent. Done correctly, your marketing strategy suddenly becomes your organization’s key driver and leads to tangible and measurable business results.
Dave Fazekas is director of digital marketing for Smart Business Network. Reach him at firstname.lastname@example.org or (440) 250-7056.
What is the best way to motivate employees? Some successful CEOs treat employees as friends, while other equally high-achieving leaders regard employees as merely hired hands, giving them a day’s pay for a day’s work and nothing more.
What’s the best approach to produce the best results for the company, the employee and the employer? Much of the issue lies with one’s definition of a friend and the culture of the organization. Many companies boast that their employees are like family. This sounds great, but can it work?
If either party crosses the fine line that separates the difficult-to-define business and personal space, both employer and employee can become disenchanted or worse. One way to think of it is that friendship is more unconditional. We accept a friend for what he or she is or isn’t. On the flip side, the reality is that most bosses embrace or reject employees for what they do on a consistent basis.
The military has its own way of handling fraternization between officers and the enlisted by making it a possible court martial offense. This stance is predicated on the belief that socializing between these two levels is “prejudicial to good order, discipline and partiality.” It is well recognized that business relationships without boundaries can produce too much drama.
Perhaps what we need is a new definition for a nonemotional, congenial, enjoyable and productive day-to-day relationship between leader and follower. This moniker could be employee-friend, or “e-friend” for short. “E-friend” isn’t an app but would describe an employer/employee relationship where there is mutual respect and a genuine appreciation of one another, underscored by an understanding, albeit perhaps unspoken, that when the time for talking is done, the boss has the final word on matters that occur between 9 a.m. and 5 p.m. Using these ground rules, both sides can have it both ways by using good judgment and treating each other as they would want to be treated if their roles were reversed.
The employee should expect from the boss that, when the chips are down, either on a business basis or when the employee has a personal problem, he or she knows that the boss will be there for him or her, providing understanding and advice and, when requested, helping the employee maneuver through rough patches. From the employer’s perspective, the employee would be someone who, through thick and thin, is there for the company and can temporarily put personal needs aside when there is a business issue that can’t be postponed.
The e-friend boss should know as much about the employee as the employee wants the boss to know, which can include sensitive professional problems or even family or medical issues. In a good relationship, the boss could certainly know, as one example, what the subordinate’s kids are up to in their lives and be the first to say to the employee that it’s more important for him or her to go to an offspring’s ballgame or play, rather than putting in extra time on the business project du jour.
Instinctively, employees know if a boss truly cares or is just going through the motions to be politically correct. They know if the head honcho is sincerely concerned about them as a person, not just another set of hands.
Not everything and everyone in the workplace are created equal. There will always be a pecking order; however, there is nothing wrong with truly enjoying the people with whom you work every day and sharing meaningful experiences, all of which lead to a more fulfilling role for both the employer and the employee. The best criterion to avoiding problems is using generous doses of plain common sense. There is a much-quoted line from the 1987 movie “Wall Street,” starring Michael Douglas as the ruthless tycoon Gordon Gekko, who proclaimed, “If you want a friend, get a dog.” This provoked both laughs and sighs, but in the real world, this attitude makes for a very lonely Ebenezer Scrooge-type life for the boss and a shallow existence for employees who must spend more than half, at the very least, of their Monday through Friday waking hours working.
At times, people can be difficult, both to work for and with. However, it’s the people who make the company and relationships that combine respect and a form of e-friendship that can make the real difference.
Michael Feuer co-founded OfficeMax in 1988, starting with one store and $20,000 of his own money. During a 16-year span, Feuer, as CEO, grew the company to almost 1,000 stores worldwide with annual sales of approximately $5 billion before selling this retail giant for almost $1.5 billion in December 2003. In 2010, Feuer launched another retail concept, Max-Wellness, a first of its kind chain featuring more than 7,000 products for head-to-toe care. Feuer serves on a number of corporate and philanthropic boards and is a frequent speaker on business, marketing and building entrepreneurial enterprises. Reach him with comments at email@example.com.
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Richard Branson is full of big ideas. The man who founded six companies that each rake in more than $1 billion annually dares to think big. For him, it’s all about the experience, making a difference and not doing things the same way as the competition. An idea captures his imagination and he sets out to turn it into reality.
For him, it’s not about the money. It never has been.
When he sees a situation where he thinks he can make a difference in people’s lives, he looks for a way to make a difference. He understands that “why” he is doing it is more important than the “what” or the “how.”
Author and consultant Simon Sinek agrees (see video link). He explains that Apple is wildly successful at what it does not because it can build computers better than anyone else but because it understands “why” it is doing so. It’s not that the competition doesn’t know what it is doing or that it doesn’t have talented people creating good products. It’s just that Apple understands why it is in business and focuses its message on that instead of what it does — which is build electronic devices.
Sinek says that people like to do business with people who believe what they believe, so they buy more on the “why you do it” rather than what you are actually doing. Notice that profits are secondary. If you do things the right way for the right reasons, profits come naturally.
You might already have a big idea for your business, but it will most likely never reach its full potential unless you understand why you are doing it. Have you ever stopped to think about why you are in business or why you are doing what you are doing? It can be an enlightening exercise.
With the demands of daily business, we seldom stop to think about the reasons behind our actions, and if we do think about it, the answer is often “to turn a profit.” But to what end?
When you understand why you are trying to make a profit and the answer goes beyond simple wealth, then you are getting to the heart of what differentiates a good business from a great one. Maybe the reason why is a social issue, such as eliminating hunger, or maybe it’s a medical issue, such as curing a disease. But it doesn’t have to be grand. The “why” can be something like “making computers easy for everyone to use.” The important part isn’t the scope; it’s understanding your business’s basic reason for existence.
When you’ve taken the time to understand that, your business will have the potential to do great things because employees and customers alike can unite around a common understanding.
It’s why Apple is a great company and it’s why Richard Branson is wildly successful. If you’re already doing it, you’re on your way. If not, take the time to think about it.
Fred Koury is president and CEO of Smart Business Network Inc. Reach him with your comments at (800) 988-4726 or firstname.lastname@example.org.
According to Merriam-Webster, management is “the process of dealing with or controlling things or people.” While “controlling” is a bit harsh in my book, the definition is correct in it's focus on management of people. To be a good manager or team leader, you have to have an above average interest in people. Success in management is found in the relationship developed between leader and team.
The best managers see themselves as catalysts. They become that agent or force that provokes or speeds significant change or action. These managers get things done quickly by leading with solid people skills.
Here are 4 people skills that every good manager must possess:
1. Understanding the right way to give a critique.
The worst thing you can do if you want to get someone to listen to you is to criticize.
As human beings, we hate to be criticized. When we feel attacked, we usually attack back – even when we are in the wrong. Many of us fall into the trap of thinking “I know I am right and I am going to prove it to you.”
Over the years I have learned that this way of thinking simply does not work.
A good manager has the self-control and presence of mind to put aside the needs of his own ego and say “I've got a problem, will you help me?” Enlisting cooperation in this manner will always lead to better results.
2. Understanding the need to help.
If someone comes in to criticize you or to raise your game, under what circumstances would you be willing to accept the critique?
The answer for me is simple. If I think someone is really trying to help me, then I'll engage and listen.
On the other hand, if I feel that the person is just trying to get the job done or make himself look good, I may listen, but my heart will not be in it. My interest and creative energies will be lost.
The truth of the matter is: Managers will only have influence over their people to the extent that their people think they are sincerely trying to help them. It is simply the way human beings work. Good managers truly care about their team and work hard to help them.
3. Understanding no two people are the same.
As a manager, you do not influence everybody the same way. People do things for their own reasons – not for others and not for you.
Inspiring people to your company vision happens best when you help them to see what's in it for them. This varies from person to person. It is your job to discover what things motivate each member of your team.
Some people are motivated by a challenge, some by money and others by recognition.
It is about reading their needs, desires and wants and then leading in such a way that ensures their success at obtaining them.
4, Understanding the best way to get tasks completed.
An effective manager realizes that each time he has an interaction with someone about a task, there are two things going on:
a. A discussion about the task and how to get it done.
b. The way in which the interaction affects the managers relationship with the collegue.
The first is pretty straightforward, but it's success is determined by the tenor of the second.
It must be said that the task should not be sacrificed for the relationship at all costs. It must also be said that winning on the task is not good if the manager ruins the relationship. Both are important and the manager must do well in each area.
I refer again to the need for the manager to develop relationships with the team in order to understand the best way to get things done according to individual members needs, desires and strengths.
In the end, good managers know how to use their influence and power to help others achieve beyond their wildest dreams.
I like management guru Tom Peters' definition of power:
“My definition of power is understanding that all of managing — and this comes out of the old grade school book — is the notion of doing more than you and I can do by ourselves; that is, doing things through other people.”
He goes on to say:
“If you are interested in getting things done effectively and imaginatively through other people then what you're trying to do in the workplace is exactly what you're trying to do on the football field – which is to get people who work with you to achieve beyong their wildest dreams.”
Workplace managers understand that good people skills determine their success. They work hard to develop the skills needed to lead in ways that shows their interest in people.
DeLores Pressley, motivational speaker and personal power expert, is one of the most respected and sought-after experts on success, motivation, confidence and personal power. She is an international keynote speaker, author, life coach and the founder of the Born Successful Institute and DeLores Pressley Worldwide. She helps individuals utilize personal power, increase confidence and live a life of significance. Her story has been touted in The Washington Post, Black Enterprise, First for Women, Essence, New York Daily News, Ebony and Marie Claire. She is a frequent media guest and has been interviewed on every major network – ABC, NBC, CBS and FOX – including America’s top rated shows OPRAH and Entertainment Tonight.
She is the author of “Oh Yes You Can,” “Clean Out the Closet of Your Life” and “Believe in the Power of You.” To book her as a speaker or coach, contact her office at 330.649.9809 or via email email@example.com or visit her website at www.delorespressley.com.