The Incremental Entrepreneur

Posted on June 6, 2021 by anentrepreneurswords

The drive from New York to Los Angeles covers 2,791.8 miles. Or put another way, that is 176,888,448 inches. And to show you that I am not playing favorites – for those of you who prefer the metric scale, the New York to LA trip spans 449,295,541.2 centimeters. Why the obsession with inches (or centimeters)? Simply put, it is about progress. Totally confused? Let me explain.

We all know that progress is “a movement toward a goal or to a further or higher stage,” according to most dictionaries. We entrepreneurs hold a steadfast belief that progress is the Holy Grail, and wheel spinning will send us spiraling into a major funk. Even progress that seems too slow to us can be cause for great angst. I certainly stand before you guilty as charged! But here is what I have learned. Sweeping change may not be lasting. Here is an example. Suppose that our business begins to grow at a very rapid pace. Year-over-year our top line revenues (fueled by sales) increases 35% to 50%. What a wonderful problem to have – right? Well, rapid growth comes with a price. Often, there is not time to lay a solid foundation of systems and processes. We are just go-go-go all the time. And the success masks over the rickety infrastructure that may have been installed in haphazard fashion.

Let us look at another example. We are negotiating a new contract with a vendor that has proposed taking over our entire human resources function. There could be a substantial savings involved. But this is a big leap, and what if it does not work? How do we rebuild our HR operation? Would making a change force us to hire another outsource provider because re-starting our internal HR department would be too difficult?

There is something to be said for embracing incremental change. I am not saying that taking the inch-by-inch approach is right for every situation. There is no doubt that there are situations where making a big, honkin’ impact is the right thing to do. But I know that too often I want everything at once in nearly every circumstance. And of course, this leads to mounting frustration when it does not happen to my liking. I have written before about patience – a gene that is absent for most entrepreneurs. Embracing incremental change is not all about patience, however.

Incremental change can be plain smart business. Take the example of the outsourcing of the HR function. Perhaps there would be a way to dip our toe in the water with the vendor. Maybe we outsource a portion of the HR function on a test basis and evaluate the results. If after sufficient time we feel comfortable, maybe we move another portion of the HR function (or even the rest of it). Maybe rather than grow at 50% per year we throttle back to 25% or 30%, and intentionally invest resources in building a solid infrastructure. Instead of rolling out an entirely new sales training program, we prioritize our weakest areas and develop training around them. The ultimate goal would be to implement a new sales training program, but over the course of 18 to 24 months.

As much as we want everything to happen right now, sometimes we are better served by making change inch-by-inch. We take what the market will give us. We take the gains that our team can generate. Sure, it is nice to score a touchdown with a 103-yard punt return in 11 seconds. But we score the same seven points when we grind out positive yards. Yes, sometimes we achieve a first down with just an inch or two to spare. If we are in it for the long haul, the incremental approach may even be more rewarding because our wins are not the result of a fluke or a lucky break. We know how to win.

This blog is being written in tandem with my book, “An Entrepreneur’s Words to Live By,” available on Amazon.com in paperback and Kindle (My Book), as well as being available in all of the other major eBook formats.

The “Looker” Entrepreneur

Posted on May 30, 2021 by anentrepreneurswords

I knew a person who always seemed to have a black cloud following over his head. He encountered some of the most bizarre situations I have ever known. His drive to work regularly was a harrowing experience. I would hear tales of near-death situations involving rogue drivers forcing him off the road. Then there was the incident at the sporting goods store. He tried to return an item he purchased and got into a massive fight with the store that involved an ongoing string of e-mails and phone calls. Finally, he always seemed to be feuding with a friend. The reasons were so banal that I never figured what was really the problem.

At one point I dug in a little deeper to try and understand why this individual was always struggling so much. And guess what I found? He had an LFT problem. If you have not figured it out by now, LFT means Looking for Trouble. He was continually loaded for bear and saw a conspiracy against him every time he turned around. Turns out he was a very aggressive driver (I rode with him once and he scared the bejabbers out of me). He could be very demanding so I imagine that in a retail store he might have been inclined to run roughshod over the salesclerk. He told me that his motto was to “expect the unexpected” and be ready to “play offense.”

Going through life with an LFT mindset must be depressing. And it is an attitude that’s pure poison for entrepreneurs. I can see preparing for the unexpected, but intentionally expecting something bad to happen seems like it could become a self-fulfilling prophecy. I truly believe that if we see conflict and strife in every situation then that is how we will live. Those types of thoughts are like a magnet.

I can count on two or three fingers the number of times I have had close calls in my car. I know I am vigilant when it comes to driving and while alert, I am not “waiting for the other shoe to drop.” In other words, I do not believe that there is someone out there looking to make my driving experience a miserable one. As an entrepreneur I am aware that there may be others who are looking to gain an unfair advantage. But I do not obsess on this awareness. Instead, I go into each situation with the belief that the person across the table from me is going to deal honorably and I know that we will find a mutually acceptable conclusion to our interaction.

Life is so much better when we are in an LFG mode. LFG? Looking for Good.Do not be fooled by this approach. It is not naïve or Pollyanna-ish. LFG is relatively simple. We look for the good in every experience and with every person. This type of thought is also like a magnet. When we Look for Trouble, we find it. When we Look for Good . . . we find it! It does not mean that I am going to walk down a dark alley in a big city and flash a big roll of Benjamins! After all I am not bulletproof. But it does mean that until someone proves me wrong, I am going to choose to see a positive outcome in whatever I am doing.

The entrepreneur who wakes up in the morning with a siege mentality and wonders who or what is going to come at him today, is in trouble before his feet hit the floor. By contrast, the entrepreneur who wakes up and knows that today is going to be positive and productive has just set the stage for a great day. Oh sure, there will be challenges because that’s just life. But the challenges are so much easier to resolve when we do not have a nagging belief that there is someone hiding around the corner ready to whack us in the kneecap.

So, which will it be – LFT or LFG? The choice is 100% ours to make. There is no conspiracy. And there is no “other shoe” about to drop.

The O-Fer Entrepreneur

Posted on May 23, 2021 by anentrepreneurswords

In baseball the stat line for a hitter who strikes out, flies out or grounds out in all his at-bats during a game is shown as 0 – 4 or 0 – 5. The stat sheet for a basketball player who continually shoots and misses without scoring a point might show 0 – 7 or 0 – 10. In athletic terms this is an O-fer . . . O for 4 or O for 5 . . . O-fer. Going O-fer is an ignominious experience and generally brings on scorn from the fans. In 1922, Babe Ruth faced St. Louis Browns’ pitcher Hub Pruett. The first 14 at-bats for the Babe resulted in 10 strikeouts and two walks. During the 1922 World Series, Babe Ruth hit one single and one double in 17 trips to the plate. Arguably one of the greatest players to ever step on the diamond, Babe Ruth struck out 1,330 times. That was fewer than other baseball luminaries such as Barry Bonds (1,539), Mark McGwire (1,596), Mickey Mantle (1,710), Alex Rodriquez (2,287) and Reggie Jackson (2,597). Any student of the game will tell you that all of these players were some of the best in the history of baseball.

There is another side to the story. Ruth had 2,214 Runs Batted In (RBI); Bonds had 1,996; McGwire had 1,414; Mantle had 1,509; Rodriguez had 2,086, and Jackson had 1,702. And each smacked a lot of home runs during their respective careers – Ruth (714); Bonds (762); McGwire (583); Mantle (536); Rodriguez (696) and Jackson (563). I know this is a lot of statistics and if you are not a baseball fan you may not fully understand the astounding nature of these feats. But there is a point to all of this. In life we do strikeout. Baseball players strikeout. Entrepreneurs strike out. Salespeople strike out. Going O-fer is just part of the game.

What matters is how we deal with going O-fer. When we flameout do we play the victim and blame someone else? Or do we examine our technique as well as the surrounding circumstances and look for ways to tweak our “form?” How easy would it have been for these great baseball players to have let their propensity to strikeout destroy their careers? Instead, they did something else. They figured out how to take the strikeout experience and find a way to hit the ball out of the park in a future plate appearance. Babe Ruth was number 118 in lifetime strikeouts, but he was number two in RBIs. I find this fascinating. Here is a man who drove in far more runs than he struck out – yet he had a lot of strikeouts over the course of his career.

I listened to a podcast recently about a venture capital firm that was launching its first fund. The principals were doing the typical road show and calling on prospective investors in multiple markets. They would typically be gone for a week at a time – one week they made 25 meetings in Boston, Chicago, Atlanta, Miami, and New York. During that week they were O-fer through 22 meetings. Imagine how this might feel! Yet, on their final day, they went three-for-three and netted tens of millions of dollars in commitments.

There’s more than just resilience at work here. It is critical to understand that going O-fer is just part of the game. It does not mean the game is over. With each new meeting, pitch, visit or idea, we are starting zero to zero. It is a tie game. I have learned not to look at O-fer beyond zero to zero. If we do not win the last at-bat we simply start over with the next one. We remember the instructive elements from the encounter and discard all emotion as we make the pitch again to the next customer. We only lose if we stop playing the game. We know in our bones that eventually we will hit a home run or an RBI. So, we keep playing the game.

If we understand that O-fer is just part of the game and can maintain our positive energy, we can erase our doubts and feelings of limitation. This sets us up to ultimately connect with the ball and score consistently.

The “Danger Will Robinson” Entrepreneur

Posted on May 16, 2021 by anentrepreneurswords

Lost in Space was a classic television show broadcast on CBS between 1965 and 1968. A young Billy Mumy played the part of Will Robinson who regularly interacted with the Robot. For those of you too young to remember, the plot centered on a modern-day Swiss Family Robinson, marooned in space where the goal was to somehow figure out how to return to Earth. I enjoyed watching this show in black and white, and later in color, while Will and his family would constantly encounter misadventures. One of the most epic lines was spoken in a raised voice by the Robot – “Danger Will Robinson; Danger!” whenever Will was about to be eaten by some exotic space creature, or step into an abyss that lay below some cosmic quicksand.

We entrepreneurs need our own version of the Robot to help us avoid many of the missteps that we encounter in our daily lives. One such opportunity for disaster comes when we are in the middle of negotiating. In my world, we are always buying and selling apartment properties. Let’s use the acquisition of one such property as the example for this blog. The property in question seems to perfectly fit our acquisition strategy. The location is right, the property age falls within the target timeframe, the unit mix is perfect and historical data shows a very strong operation for the past several years. But . . . the price is significantly higher than we can pay to generate the return on investment we are seeking.

We negotiate back and forth. Offers and counteroffers ensue, but we just are not quite at the price we are looking for. Here is where we need the Robot to save us from ourselves. There is a psychological threshold at which point we are committed to getting the deal done. We are vulnerable at this point to being taken advantage of. Maybe we start looking at our projections again and tinker with the annual rent increase percentage we initially underwrote. When we do this, the numbers work, and we can close the deal. Yet are the new rent increase projections realistic? Or are we simply looking for a way to rationalize the adjustment? I have certainly done it before. My reasoning went like this, “The standard 3% increase on this property is approximately $25 per month. Another .5% pushes the rent up by $29 per month. A renter isn’t going to balk at $29 any more than at $25, so I’m comfortable using an annual rent increase factor of 3.5%.” Now, it is very possible that this line of reasoning is sound. But it is important to understand the motivation behind it. Are we modifying our projections just to get the deal done, or are we really being ultra-conservative and there really is not going to be a problem with the rent increase tweak?

There is a fine line to walk between being creative to successfully complete a negotiation and allowing our emotions to drive the terms and conditions that we are willing to accept. By establishing strategic parameters in advance, we can avoid becoming vulnerable to doing a bad deal. For example, we will only acquire an apartment property that is of sufficient size that we are not compelled to purchase a second or third property in the same market just to gain management efficiencies and economies of scale. It is also important to remember to separate business negotiations from personal ones. Buying a piece of artwork for a personal residence is an emotional decision and it is acceptable to allow emotions to enter into the negotiations. Making a business acquisition of some sort should be completely divorced of emotion in all but the rarest instances.

In a business negotiation understanding where the line is between sound decision making and being vulnerable to manipulation, is critical. Establishing strategic parameters before the negotiations commence and then sticking to them during the negotiating process, will help us avoid crossing this line.

The Collaborative Entrepreneur

Posted on May 9, 2021 by anentrepreneurswords

Nike’s corporate tag line is “Just Do It.” And that could be the tag line for many companies of all sizes. Leaders at all levels send the message of “Just Do It” to their “charges.” This notion boils down to a command and control style of management. And I probably do not need to point out how poorly this approach works with today’s Millennial workforce. We Boomers grew up in this environment and may tend to continue its practice. Perhaps it is time for something different.

I know that many entrepreneurs agree in principle with a more collaborative style of leadership. Yet, the language that is used may belie this agreement. Examine the following statement that rolls up many of the words used into a massive contradiction with collaboration. Mr. Smith is a senior executive with the ABC Company and he’s describing a recent business win for his company.

“My employees really came through with this project. I have a hundred people working under me and every one of them did their jobs like they were supposed to. I set their goals and they achieved them. I’ve been focused on this opportunity for a long time. I love winning this way!”

At first blush Mr. Smith seems to be giving credit for the win to others. But the way he says it indicates that he is not yet a convert to a more enlightened style of leadership. Note the highlighted words. Clearly, he is in charge here and other people have done his bidding.

Entrepreneurs can change this narrative. When we are comfortable in our own skin, we are easily able to eliminate the unhealthy aspects of our ego from our interactions with others. It is often the case that having to take the credit for an accomplishment or reinforcing the fact that we were “at the top of the food chain” is a result of our own lack of confidence or some other insecurity. With our new level of comfort, we relax, smile, and become totally humble.

Here is another version of the previous statement. Mr. Doe is a senior executive with XYZ, Inc. and is celebrating a recent success.

“The XYZ team is amazing! They worked together to establish the goal and drew upon our Core Values to develop a winning strategy. We are so appreciative of each and every one of the hundred team members who worked tirelessly on this project for more than a year. Their commitment, dedication and creativity are the reasons for our success.”

Sounds a little different doesn’t it? There is not a single mention of the words “I,” “me” or “my.” The word “employee” has been replaced with “team member.” Mr. Doe simply delivers the message without allowing his ego to enter the picture. Clearly, Mr. Doe’s team members work “with” him – not “under” him. I have written before about how we need to be intentional about modifying our vernacular away from “I,” “me,” and “my,” and changing to “we,” “us,” and “our.”

Collaborative leadership is not decision making by committee – as a leader we still make the ultimate critical decisions. Collaborative leadership is about seeking out team members and listening to their thoughts and ideas. It is valuing others as human beings and the contribution they make to the enterprise. It is about having empathy and creating a culture of respect. And it is about using the words we say as a reflection of all these factors.

When we think about what we write and say we can ask ourselves this simple question – “Do my words focus the spotlight on me or on others?” Doing so helps us move away from the old command and control approach of the past.

The “My Word is My Bond” Entrepreneur

Posted on May 2, 2021 by anentrepreneurswords

This blog is a bit of a lament. I grew up in my industry during the 1970s and 1980s when a handshake was still as meaningful as written documentation. The proverbial handshake was not necessarily a legal contract, but it might as well have been. Once we gave our word, nothing could change the follow-through on our intent. Legal documentation was merely a formality and there was not a lot of haggling over the verbiage. Sadly, this notion of “my word is my bond” has diminished in recent times.

We recently sold two large apartment communities that were part of our portfolio for several years. We went through a painstaking process of listing the properties for sale with a national brokerage firm. The properties were marketed extensively, and we issued a call for offers. Dozens of offers were received, and we opted to have further discussions with the top ten bidders. Then we made a call for “best and final” offers. Once those offers were received, we interviewed the top four bidders and determined a winner. We then told the winners verbally that we were accepting their best and final bid. In both instances, one of the unsuccessful bidders reached out within 24-hours and increased their offer. In one case, the increase was $250,000, and in the other case it was $750,000 higher. In our minds there was no decision to be made. We had already given our word to the initial winning bidders and we had no problem staying with their offers, even though it cost us $1 million.

Contrast that with a situation that occurred with another of our business units. This business is involved in the syndication of historic tax credits. We offered term sheets to a developer who verbally accepted our offer and confirmed the acceptance in an e-mail. A couple of weeks passed, and we had not received a return of the term sheets signed by the developer. When we reached out to the developer he apologized and said that he had decided to accept an offer from another tax credit syndicator. Legally, he had every right to do this. But it certainly left a sour taste in our mouths. For sure, his word was not his bond, and he did not even have the courtesy to let us know without being prompted.

It all boils down to the simple yet powerful premise of Integrity. Our company embraces five Core Values, one of which is Integrity. We are proud of the fact that we can demonstrate in real time that we practice what we preach. Integrity used to be a foundational principle for entrepreneurship. I believe that it still is, but it has become devalued – especially where the almighty dollar is involved. The problem is compounded by the fact that too many businesses throw around terms such as “integrity” and “honesty” but fail to deliver on them. Hearing Honest Harry yap about how you can trust him to sell you a car at “$1 over invoice” has caused society to tune out.

So, what do we do about this sad fact of life? At this point, I do not really care about whether I can believe that the word of other entrepreneurs is their bond. Instead, we will just keep doing things the old-fashioned way. If I tell you something, you can believe it whether we have a legal document or not. Hopefully, you will treat me the same way. If I screw-up, I will step up and make it right whether I have a legal document compelling me to do so or not. I cannot count the number of times over the course of my career this has happened – at a cost of literally millions of dollars. This may not be the smartest business decision, but it is the right thing to do, and I can sleep at night.

At the end of the day, as entrepreneurs we should want to be judged by the character we display over the course of our careers rather than the amount of money we will have made.

The Vengeful Entrepreneur

Posted on April 25, 2021 by anentrepreneurswords

Something happened in the entrepreneurial world that is so strange that I literally did a double take. Here is what was reported in the New York Times on May 25, 2016.

“A billionaire Silicon Valley entrepreneur was outed as being gay by a media organization. His friends suffered at the hands of the same gossip site. Nearly a decade later, the entrepreneur secretly financed a lawsuit to try to put the media company out of business.”

“That is the back story to a legal case that had already grabbed headlines: The wrestler Hulk Hogan sued Gawker Media for invasion of privacy after it published a sex tape, and a Florida jury recently awarded the wrestler, whose real name is Terry Gene Bollea, $140 million.”

“What the jury — and the public — did not know was that Mr. Bollea had a secret benefactor paying about $10 million for the lawsuit: Peter Thiel, a co-founder of PayPal and one of the earliest investors in Facebook.”

We have all heard the phrase, “don’t get mad – get even.” I think this example takes the concept to a whole new level. Ultimately Gawker filed for bankruptcy, so I suppose that Thiel achieved his objective. Thiel claims that his financing of lawsuits against the company was about deterrence rather than revenge. But that is a bit hard to swallow. Several issues surface with this situation including whether it is right for wealthy people to use lawsuits to attack free speech. But that is a subject for others to discuss. The focal point for this blog is how we as entrepreneurs choose to react when we perceive that others have been unfair with us.

Undoubtedly, we have all experienced a time when the Golden Rule was taken out of the drawer and used to beat rather than measure us. And when this happens our first instinct may be to fight the injustice that we have experienced. Thoughts cross our minds like, “we’ll sue,” or “let’s steal one of their clients or employees.” This is perfectly natural . . . and totally unproductive. Of course, there are situations where it is perfectly valid to take legal action. But doing so out of revenge or spite may not be in our best interest.

I am making no judgment about Peter Thiel. But I know for myself that even a hint of vengeance in my persona is a very bad thing. Vengeance is nothing but negative energy which can lead to all sorts of undesirable consequences. Why take a chance on attracting illness, loss of relationships, financial hardship, and other unfavorable outcomes because we dwell in the negativity of revenge? Instead, why not focus on the goals and objectives at hand and deny the temptation to wander down the payback path? Rather than looking for retribution, look to use the injustice as a powerful incentive to succeed.

The English philosopher Francis Bacon once said, “A man that studieth revenge, keeps his own wounds green, which otherwise would heal.” In other words, wallowing in revenge keeps reminding us of our negative experience. It crowds out other thoughts and feelings that might be the new idea we need or the solution to a problem we have been seeking. The pursuit of punishment and retaliation keep us stuck in neutral and prevents us from moving forward. Competition is tough enough these days – why allow our competitors to lap us while we are stuck in the metaphorical pit stop of vengeance?

As entrepreneurs we fortunately make our own choices. Choosing not to accept the negative emotions that are associated with unfair or unjust treatment puts us that much closer to prize which we desire.

The Entrepreneur and the Bus

Posted on April 18, 2021 by anentrepreneurswords

“Tom’s personal preferences on his footballs are something that he can talk about in much better detail and information than I could possibly provide,” Belichick said, “I can tell you that in my entire coaching career, I have never talked to any player (or) staff member, about football air pressure.” This is a quote from a press conference held by New England Patriots coach Bill Belichick during which he spoke about Patriots quarterback Tom Brady and the infamous “Deflategate” case. What just happened here?

This was a classic case of someone being “thrown under the bus.” In this instance it was very public and left some massive tire marks. In an entrepreneurial environment this is pure poison. Throwing someone under the bus destroys team spirit and leads to major internal trust issues.

As children, we tend to point fingers at others rather than accept responsibility for ourselves. The blame game was in full swing and a normal aspect of childhood. We should have seen its destructive nature then and refrained from carrying it into adulthood. How often have you heard something like this? “Our revenues are down because the salespeople didn’t move enough of our product.” Or “The contract was late being delivered to the client because my administrative assistant was sick.” And how about, “I’m sorry we delivered poor customer service – I’m going to fire John Doe whom you spoke to on the phone.”

Wow! These are some heavy-duty statements and perfect examples of what it looks like to be thrown under the bus. They are also perfect examples of scapegoating, finger-pointing, excuse-making and general lack of accountability. At all costs, the speaker wants to distance himself from what went wrong. It is obvious that this is not enlightened leadership. How simple it would be to change a few words and ultimately the whole message. Consider these alternatives. “We’re pulling the whole team together to identify a new strategy to increase revenues.” No one is being blamed here and a positive step has been identified. “I’m very sorry the contract was late. Please let us know if there is anything that needs to be changed.” The client does not really care why the contract was late. Thus, a heartfelt apology is all that needs to be said. “I’m sorry our customer service wasn’t satisfactory. What else can we do to make this right?” Again, a straightforward apology and no one is blamed.

Teams become strong when each member knows everyone has his or her back. What if clearly someone screwed up and makes the whole team look bad? Shouldn’t that person be held accountable? This is a fair question, and the answer is yes to accountability. But as leaders, we should never publicly do so – to a customer or in front of the whole team. Individual issues should be dealt with individually. We accomplish nothing when we embarrass a member of a team in front of others. Not only does that team member resent such treatment, but the other members become afraid of making mistakes for fear of being called out in similar fashion. Rather than move forward with positive energy, the team then becomes tentative and apprehensive.

A respected leader will always take one for the team. He or she understands that an individual failure is a team failure. The failure could have happened because the team member did not have the training or the resources to succeed. It could have happened because systems and processes within the organization were broken. Perhaps there was a lack of communication or understanding. And it is possible that the organization failed because it placed a bet on a team member that really was not qualified for the job. Rarely is failure isolated to a specific individual. Recognizing this, the strong leader will resist the temptation to single out an individual and instead accept responsibility on behalf of the entire enterprise.

Being thrown under the bus is humiliating and painful. People want to work within companies that create a climate of trust and avoid blaming individuals for problems when they arise.

Messy Entrepreneurship

Posted on April 11, 2021 by anentrepreneurswords

Years ago, I remember watching with great interest when my then-2½ year-old grandson and his then-11-month-old sister explored their relatively new lives. Building an entrepreneurial business is a lot like raising a child. There is a tremendous amount of nurturing required. Let us look at the parallels.

My grandson was prone to tantrums which come with the territory during the terrible twos. Usually this happened because he was frustrated or did not get his way. In a growing business we can feel extreme frustration when things do not go our way. We may tend to take out our frustration on others in the form of an adult tantrum – possibly we say or do things that are less than kind. I also noticed what happened when baby sister picked up one of his toys. Now, this may have been a toy that he had not touched for weeks, but if she latched onto it, he suddenly wanted and needed it right then and there. He would push her, and she would push him back – and trust me, she was a strong little cuss! In our entrepreneurial endeavors we may regularly experience conflict with others who see things differently. As with children it sometimes seems like all we do is attempt to resolve such conflicts.

Do you want to talk about hyperactivity? I am an expert on this subject. When you look up the word in the dictionary, my grandson’s picture is there. He and his sister have both been afflicted with this tendency all their lives. They are all over the place all the time. When he was younger, he would put together a couple pieces of a puzzle, then zip over and ride his tricycle, then run upstairs and bang on his drum set (a hand-me-down from his older cousin who received it from yours truly – kind of a Karma thing). Baby sister was motoring around and climbing on everything during every single waking moment. Think about the entrepreneurial environment. It is hectic. The pace is frenetic, and we are constantly putting out fires and incubating new ideas – all at the same time. The downside of course, can be a lack of focus and a failure to complete tasks and projects.

Kids make ginormous messes. When I visit at my daughter’s house, I am always struck by all the “stuff” that is strewn about even though they are no longer toddlers. At our home I watch these kids drag things out of the toy box and leave them in their wake as they move on to the next “thing.” Fortunately, we have fewer “stuff” items at our home, but there is no question that the little munchkins can pull everything out and cover the floor in a matter of seconds. And when it comes to eating, that is a whole other story. There is no other way to put it – it looks like a daily occurrence of an Animal House food fight. There’s oatmeal on the floor, eggs on the walls and cheese stuck to the ceiling! Our businesses may look the same way. Building an entrepreneurial organization is a messy proposition. Things break. The prototype product we created is not the sleek game-changer we had anticipated. Systems and processes are half-completed and sometimes customers are less than pleased.

For all the trials and tribulations of raising children, there are many rewarding moments. Watching my grandson take his first few steps and become more confident every day thereafter was pretty cool. Listening to a 2½ year-old sing the “ABC Song” perfectly was a proud moment. Seeing the smiles and hearing them lovingly call me “Poppa” melts my heart. I guess it is true what they say about grandkids being the reward we receive for not killing our children. Likewise, our hearts sing when things come together, and we take three steps forward as entrepreneurs. Oh sure, there will be two-step-backward days as well, but the net effect is positive. How do we make sure that the rewards are always there? Like parents, we remain committed to building our business just like we are committed to raising our kids. We learn how to be patient. We learn how to be positive. And we learn how to celebrate the victories along the way.

When we grow an entrepreneurial business, we know there is going to be oatmeal on the floor. But if we are committed, patient, positive and celebrate success, eventually our baby will grow up and make us very proud.

The Swivel Headed Entrepreneur

Posted on April 4, 2021 by anentrepreneurswords

A good pilot has his head on a swivel. He is constantly scanning his instrument panel as well as the skies around him. There may be other airplanes in the immediate area to avoid. Maybe there are TV towers or smokestacks to miss. Engine performance gauges must be monitored, and navigational displays are critical to comprehend. All of this can be summarized in two words . . . situational awareness. Without situational awareness we are more vulnerable to physical dangers around us. A lack of it can result in an auto accident, stepping off a curb and breaking an ankle, or starting a fire when the grill is too close to the house.

In the entrepreneurial world, situational awareness is worth its weight in gold. Now, you may be wondering how this concept applies to business situations. It has less to do with physical proximity and more to do with possessing a sixth sense about a multitude of factors. As entrepreneurs we can attain a much higher degree of success as we develop our entrepreneurial awareness. For example, how well do we sense what is happening in our marketplace? There is more to this than just crunching numbers. The key is to look behind the empirical data and understand what is truly happening. Here is a simplistic illustration. A quick look at market share might show that our firm is way out in front of the competition. And yet, we know that a start-up company has won three of the last five contracts for which we have competed. Not enough to move the market share needle but could signal trouble down the road. Situational awareness would have us take immediate action to understand why they are winning, and we are losing, and then do something about it.

Situational awareness from an entrepreneurial perspective involves a deep understanding of our customers and what makes them tick. Customer satisfaction surveys help in this regard, but we may need more than data. In person meetings are the best bet for getting a good read on our customers. If not in person, the next best option is a phone conference. At the root, we are looking for little tells that might indicate whether our customers are 100% in our camp. We encountered a situation a few years ago where we thought our client was totally satisfied with our services. Our team was convinced that we had performed as well as or better than expected. And yet, I had a gnawing feeling that something was amiss. When we dug in deeper, we learned that the client was hiring a competitor. The reason had nothing to do with our performance and everything to do with the fact that a corporate decision had been made to consolidate its business to a national company. I have always wondered whether we might have saved the business by doing some things in a radically different manner had our situational awareness enabled us to act sooner.

Finally, we must keep our finger on the pulse of our team. Are we on the lookout for signs of tension, boredom, or anxiety? It is easy to get caught up in the day-to-day chaos that we all experience and miss the signals that are flashing relative to our team. Perhaps an outgoing team member who normally participates in company activities gradually pulls back and is less gregarious. Without situational awareness, we could easily overlook that this individual is headed for the exits until it is too late. Realizing this sooner might have given us a chance of resolving whatever issue is causing our teammate to look elsewhere.

Situational awareness at the entrepreneurial level requires a certain degree of intuition. But even more important is our being intentional about having a deeper understanding of that which is happening around us. Then we are less likely to unwittingly step off the cliff and into the abyss.

An Entrepreneur's Words to Live By

Lifechanging Ideas for Entrepreneurs

Tag Archives: Entrepreneurial Spirit