Are you on the right team?

21 05 2007

 When the focus at work is on providing a great product or service to the customer (maximizing) the perceived value of the product is higher for the customer, and they are willing to pay more.

This translates into more profit for the company.

When our focus is on maximizing profit for the company, management tends to rush toward cost cutting and/or reducing product quality (minimizing) many times resulting in reducing perceived product or service value for the customer.

The customers may not buy your product now, resulting in less profit for the company.

It’s all about providing a product or service that will be appreciated, sought out and embraced by the market.

Creating a product or service that is valuable to the market.

The more people want YOUR product, the more money they will pay for it.

It’s about listening to customers, creating new ideas, innovating, and taking calculated risks based on your expertise and understanding of your business.

It’s not easy.  Creating has never been easy.

Success is not guaranteed.  In fact the higher the risk the higher the potential payoff and profits.

But it sure is more exciting and rewarding than cutting pennies off manufacturing, administration, sales and logistics costs.

It takes a different type of leadership, management and employees to make this happen.

What team do you want to work with, lead or manage?

Related Links

The 6 Fundamental Concepts Behind Every Successful Business

Successful Managers Should Be Breaking the Rules

Even governments market 

Advertisements




The dangers of success

13 03 2007

Today a Google search for the word “success” turned up 321 million websites.

“Failure” got 218 million sites.

We all want to be successful. Leaders are expected to be successful.

We’ve been trained, rewarded, pushed and prodded to become successful. School, work, games and personal life, we are always focused upon success.

It is probably genetic in nature. Competition to survive demands success, and therefore the desire to succeed is an inherent quality in human beings.

Success brings recognition, wealth, favor and fame to the individual or group. All are benefits and rewards of being successful. We like the rewards and benefits….we really do.

Business loves success. In fact, business is not very tolerant of failures, especially leadership failures. To be a leader in a business environment means that you must be successful and get your objectives accomplished.

We strive for success, we really want it to happen, we plan for it, we train, we learn new things, we even modify and manipulate external factors to assure the outcome we desire. Despite all our planning, spending and preparations we are not always successful. No one is successful all the time.

We often forget that past success is not a guarantee for continued success, and that failure is always a learning experience, not always a bad outcome.

The illusion that we must always be successful, and the glory and attention that success brings is not always a good thing.

“Pray that success will not come any faster than you are able to endure it” Benjamin Nnamdi Azikiwe

Success, and particularly continued success, can lead an individual or organization into the following behaviours and attitudes.

  • Cult of Personality / Fame. The focus is on the personality and not on the present or future work outcomes. It becomes more about who is doing it and less about what to do.
  • Fear. Avoiding or agonizing about doing something different, new or original, “ we were great doing this…let’s keep on doing it”.
  • Can’t let go. Inability to let go of a success and move on to the next challenge. Unwillingness to say “that project and party is over…what’s next”.
  • Over Confidence. Invincible attitude leads to strategies, theories and attitudes that may provoke attacks on enemies or punish those in a weakened position.
  • Loss of control. Inability to gauge or control excess or weakness. Losing touch with the reality of the situation.
  • Yes Men. Lack of honesty from the people around you, no real challenges to ideas, methods and objectives.
  • Hangers on. Distractions and undesirables begin to fill the agenda and schedules.
  • Closing Networks. Cutting ties with old networks and individuals to move “up” in status.
  • Depression. When the happiness or emotion of succeeding does not reach previous levels of emotional highs or didn’t meet the expectations.
  • Risk. Anxiety about repeating the success may drive one to take larger risks, or to eliminate risks.

So go on seeking success, it’s the right thing to do.

Don’t take the failures too hard, learn from them, pick them apart and understand exactly why failure occurred.

Celebrate when you do succeed, take your 5 minutes in the limelight. Then put your feet back firmly on the ground and get back to work.

“Try not to become a man of success but rather become a man of value” Albert Einstein.

Related Links

Why do we fail

Leadership lesson – A Message to Garcia





Why do we fail

22 12 2006

No one likes to fail.

We can feel foolish, outmaneuvered, incompetent, insecure, unlucky, silly, angry, overwhelmed, frustrated and in some cases afraid to try again. after suffering a defeat.

Failure is an integral part of the learning process.

Failure is required in order to become successful.

Rare is the successful individual, product or organization that has not met adversity, failure, defeat and loss.

One of the keys to success is the ability to accept failure, learn from the experience and try again.

The fear of failure is so great in some organizations that it freezes innovation, thwarts change and stifles growth.

Organizations try to reduce or limit failure by passing on historically successful methods and accumulated knowledge to new members.

Many times this information is not useful and out of date because the elements, players and dynamics of today’s challenges are quite different from those of the past.

Use the following list to analyze your current projects (and possibly prevent or limit failure), or use the list after a setback or defeat to identify where you can improve.

Reasons for business failure can be broken into 4 main groups:

Planning

  • No plan
  • Incomplete plan
  • Wrong calculations
  • Poor or incomplete interpretation of data and research
  • Failure to take into account all factors
  • Lack of experience
  • Failure to evaluate competitor reactions correctly
  • Failure to anticipate consumer response
  • Significant difference between planned and actual costs
  • Poor cash flow calculations
  • Unrealistic goals and expected outcomes
  • Underestimate risks

Information

  • Didn’t collect all the pertinent information for planning
  • Product or service was not wanted or needed by customer
  • Lack of knowledge of market
  • Lack of knowledge of customers
  • Lack of experience in the industry
  • Lack of experience in manufacturing
  • Lack of experience in sales and marketing
  • Lack of experience in administration

Operations and Follow-through

  • Lazy, didn’t do the work required
  • Undisciplined
  • Unorganized
  • No control of suppliers
  • Did not stop in time and take corrective actions
  • Did not recognize warning signs
  • Ignored warning signs
  • Did not seek professional assistance
  • Lack of attention to logistics details
  • Failure to focus on customers needs, desires and wants
  • Poorly trained personnel
  • Lack of initial capital
  • Not enough capital to maintain operations for first years

Factors outside of our control

  • Important changes in technology
  • Environmental factors
  • International, Federal, State or local government laws, regulations and legislation
  • Aggressive competitor(s)
  • Act of God
  • Change in fashion and trends
  • Theft and fraud

Related Links

Leadership lesson – A Message to Garcia

How to systematically analyze any decision for better decision making

10 things you should never do on a Friday afternoon

9 steps to better decisions





Leadership lesson – A Message to Garcia

19 12 2006

I have just discovered the piece written by Elbert Hubbard in 1899, A Message to Garcia.

Inspirational and as relevant today as when it was written 107 years ago. A must read.

In 1495 words Elbert Hubbard has captured the essence of what being responsible is all about. A magnificent example of how independence, clear objectives and discipline can generate desired results.

Excerpt: “In all this Cuban business there is one man stands out on the horizon of my memory like Mars at perihelion.

When war broke out between Spain and the United States it was very necessary to communicate quickly with the leader of the Insurgents. Garcia was somewhere in the mountain vastness of Cuba – no one knew where. No mail nor telegraph message could reach him. The President must secure his cooperation, and quickly. What to do!

Some one said to the President, “There’s a fellow by the name of Rowan will find Garcia for you, if anybody can.”
Rowan was sent for and given a letter to be delivered to Garcia.

How “the fellow by the name of Rowan” took the letter, sealed it up in an oil-skin pouch, strapped it over his heart, in four days landed by night off the coast of Cuba from an open boat, disappeared into the jungle, and in three weeks came out on the other side of the Island, having traversed a hostile country on foot, and delivered his letter to Garcia – are things I have no special desire now to tell in detail.

The point that I wish to make is this: McKinley gave Rowan a letter to be delivered to Garcia; Rowan took the letter and did not ask, “Where is he at?”

By the Eternal! there is a man whose form should be cast in deathless bronze and the statue placed in every college of the land. It is not book-learning young men need, nor instruction about this and that, but a stiffening of the vertebrae which will cause them to be loyal to a trust, to act promptly, concentrate their energies: do the thing“Carry a message to Garcia!”…….. Link

The majority of analysis I have found related to this piece focuses upon the employee. How we all wish to have individuals who do the job, who don’t require complex instructions, supervision and followup.

Disciplined individuals who are able to adapt to unfavorable circumstances and maintain their sense of mission. People who get the job done without whining, complaining, negotiating outcomes and deadlines.

Take a look at A Message to Garcia from the point of view of the leader, President McKinley. Faced with the need to notify Garcia in the jungles of Cuba, he trusted one man, Rowan, with the nearly impossible.

McKinley was satisfied that his instructions were clear, and did not give Rowan tips and tricks on how to get the mission completed. He was confident in Rowan’s abilities, or was prepared to accept failure. There were no committee meetings, no majority votes, no back-up army or alternative plans considered.

Here are some questions related to mangement and leadership to reflect upon.

  • Have you surrounded yourself with capable individuals, and trained them?
  • Do you trust that they have the capacity and abilities to do their job?
  • Do your people understand and embrace the mission and objectives of your organization?
  • Do they know you will support their actions and in order to reach that goal?
  • Have you enough confidence in them to let them carry the message to Garcia?

Related Links

Leadership – who do you want to lead

Are we killing team performance by over-communicating

What defines an exceptional leader

Motivation – Heroic Moments

Wikipedia: Elbert Green Hubbard

Quotations by Elbert Green Hubbard

A Message to Garcia





How to tell if your Mexican banknotes are counterfeit

18 11 2006

How to tell if your Mexican banknotes are counterfeit.

The handling of foreign currency creates a whole new set of challenges for the business or vacation traveller.

The Bank of Mexico has a webpage dedicated to explaining the security features of the Mexican coins and banknotes so you don’t get bamboozled. Verifying Mexican banknote authenticity

Learn about the security features in Mexican banknotes to eliminate the possibility of receiving “funny money” during your travels.

Security features in manufactured Mexican banknotes – A quick chart to help identify the security features in the current banknotes in circulation in Mexico.

Security features in the 20 Peso polymer banknote

Security features in the 50 Peso paper banknote

Security features in the 100 Peso banknote

Security features in the 200 Peso banknote

Security features in the 500 Peso banknote

Security features in the 1000 Peso banknote

If you believe you have counterfeit Mexican currency, bring it to the attention of a Mexican bank for verification. If the banknote is counterfeit you will not be reimbursed for it’s value, but you might avoid going to jail. Passing counterfeit currency is illegal in Mexico.

The US Department of State Consular information sheet for Mexico states A number of Americans have been arrested for passing on counterfeit currency they had earlier received in change. If you receive what you believe to be a counterfeit bank note, bring it to the attention of Mexican law enforcement.”

Related Links

Mexican currency, monetary policy and financial systems – BANXICO

Banco de Mexico – BANXICO – Bank of Mexico





World Corruption Perception Index 2006 – Transparency International

7 11 2006

Interesting look at perceived corruption worldwide.

Transparency International has released their 2006 index of corruption perception on November 6, 2006.

Mexico lands at number 70 on the list, which puts it close to the middle of the pack out of a total of 163 countries.

Since 1995, Transparency International has published an annual Index of perception of corruption ordering the countries of the world according to “the degree to which corruption is perceived to exist among public officials and politicians“. The organization defines corruption as “the abuse of public office for private gain. ” – excerpt from Wikipedia Corruption Perception Index.

As this index is based on polls, the results are subjective and are less reliable for countries with fewer sources. Also, what is legally defined, or perceived, to be corruption differs between jurisdictions: a political donation legal in some jurisdiction may be illegal in another; a matter viewed as acceptable tipping in one country may be viewed as bribery in another. Thus the poll results must be understood quite specifically as measuring public perception rather than being an objective measure of corruption.

Statistics like this are necessarily imprecise; statistics from different years are not necessarily comparable.” – Wikipedia Corruption Perception Index.

Related Links

Internet Center for Corruption Research

Corruption Perception Index – 2006 (EXCEL)

Transparency International

Wikipedia





12 reasons why we ask for business help

23 10 2006

Here’s a list of common, and not so common, reasons we seek out business help and hire business consultants:

12 Reasons: Why we ask for business help

1. I know what’s wrong, but don’t know how to fix it.

2. I know what’s wrong but don’t have the resources to fix it, what should I do?

3. I know what’s wrong and I know how to fix it, but don’t want to fix it that way, show me another method that is easier, better or less costly.

4. I don’t know what’s wrong. Help me diagnose the organization or situation.

5. I think I know what is wrong and want a second opinion, validation and confirmation.

6. I don’t think anything is wrong, but just to make sure I want you to take a look.

7. I want you to tell me what is wrong so that I can tell you you’re wrong.

8. I want solutions, if they don’t work I want to blame it on you.

9. I want to achieve specific results and don’t have the expertise. I want to hire an expert in order to save time and reduce errors.

10. I have a problem and want to fix it. I don’t want to be wrong and prefer to use experts to guarantee success.

11. I want to be one of the first to learn and implement the “new and improved” business ideas, theories and practices.

12. I am looking for new ideas to break our routine and make it exciting again, make something new happen.

Related Links

10 Reasons why people hire business consultants

The clients I don’t want