Just Do It

Posted on November 6, 2016 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 don’t need to point out how poorly this approach works with today’s Millennial workforce. We Boomers grew up in this environment and may have a tendency to continue its practice. Perhaps it’s 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 isn’t yet a convert to a more enlightened style of leadership. Note the highlighted words. It’s pretty clear that he’s 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’s 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 are able to relax, smile and become totally humble.

Here’s 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’s 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. It’s clear that Mr. Doe’s team members work “with” him – not “under” him. I’ve 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 of 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.

You can also listen to a weekly audio podcast of my blog. What you hear will be different than what you read in this blog. Subscribe on iTunes or wherever you get your podcasts. You can also click on this link – https://anentrepreneurswords.com/audio-podcast-17-sleepless-in-seattle/.

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.

PM

Posted on October 30, 2016 by anentrepreneurswords

In this blog PM does not stand for night time. Instead it’s all about Preventive Maintenance. In the world of buildings and real estate, smart operators pay a great deal of attention to Preventive Maintenance. We pre-check furnaces and air conditioning units prior to the heating and cooling seasons. We inspect roofs and make repairs to flashings, gutters and other structural elements. Mortar joints are periodically tuckpointed, and windows and doors are caulked and weatherstripped. Elevators are maintained on a programmed basis along with fire suppression systems. Why do we do it? Because the cost is less than letting things go until they break. And a major breakdown can lead to customer inconvenience and potential life safety issues.

There are many parallels for entrepreneurs. Let’s start with the obvious. Our health and wellness is one of our most important assets. Maintaining our minds and bodies in top form has a direct correlation to our productivity and performance. We all know this is true but having the self-discipline to follow-through can be challenging. So here’s my challenge to you. Do you schedule a complete physical exam with a medical doctor every year? Do you go to the dentist once or twice a year? How about a regular eye exam? Are you getting enough sleep at night? Are you exercising regularly? Are you eating in a healthy manner? Here’s a tip. When I see a medical professional, before I leave I schedule an appointment for the next year. Then I don’t have to remember to do so later when I’m busy because it’s already on my calendar. Younger entrepreneurs may have a tendency to put off some of this “Preventive Maintenance.” They may think they are invincible or not old enough to worry about PM. But getting into a habit early in one’s career may enhance the quality of one’s life in his or her later years.

How about estate planning? Do we have one at all? Buying life insurance when we’re young is a very smart move. It’s so much more expensive the older we get. And don’t forget about disability coverage. Do we have a will? Is it reviewed periodically and updated as necessary? Are we using all of the estate planning tools that are available to us? I’ve been a big advocate of utilizing revocable trusts in which assets are held. It helps to avoid the expense and public nature of probate. We had a partner who understood the need for such trusts and I hounded him to title his assets this way. But he failed to follow-through. When he died unexpectedly his estate was a disaster. It took more than two weeks to locate the most current version of his will. Many of his assets were subject to probate because they weren’t held in trust. In the end, it took several years to settle his estate and the lawyers were paid hundreds of thousands of dollars to untangle the mess. Here’s another tip. I keep an estate planning notebook and update it twice a year. Everything that my wife, children, tax accountant and estate attorney would need to be aware of is contained in this notebook – both in hard and electronic versions. Copies of all of my partnership agreements, loan documents and other important business information are burned to a CD-ROM.

Preventive Maintenance even applies to our relationships. Are we taking vacations at the appropriate intervals in order to maintain our sanity and that of our families? How about the relationships we have we members of our team? Sometimes entrepreneurs have a tendency to power along without regard to how teammates may be feeling. We are focused on accomplishment and can easily forget to focus on the well-being of others. To avoid this trap, I create calendar-driven electronic tasks that remind me to periodically set breakfast or lunch with various members of my team. I feel that it’s important to get out of the office where I can focus all of my attention on those individuals. Entrepreneurs generally work on their external relationships with veritable ease. And a similar effort must be made to avoid neglecting internal relationships.

Entrepreneurs should view themselves just as they would an expensive, high-performance automobile. We wouldn’t dream of skipping the recommended maintenance on such a car. And thus we should make certain that we are just as attentive to the Preventive Maintenance that is needed for our health and wellness, estate planning and relationships.

Vreugde (and More Gioia!)

Posted on October 23, 2016 by anentrepreneurswords

Yeah, I had to look them up too. The first word is Dutch and the second word is Italian. But they mean the same thing. In Spanish the word is alegría and in Swedish it’s glädje. So enough with the mystery. The word is JOY. Unfortunately this is a word that is foreign to many entrepreneurs.

You see, we entrepreneurs are a pretty serious and driven bunch. We have important stuff to do and companies to build. We’re always moving at the speed of light and struggle to find enough hours in the day. Joy? Let’s see, maybe we can squeeze it on the calendar three weeks from Thursday at 2:00 PM . . . for 20 minutes. Is the picture coming into focus yet? The point is that many of us don’t allow joy to get within two miles, much less become an integral part of our lives. After all, feeling and celebrating joy isn’t very macho and we don’t want someone to get the wrong idea.

Why do we persist in having such an allergic reaction to joy? Can we become one of the next captains of industry and still allow for a modicum of joy? Of course we can answer in the affirmative and actually we must. Joy and success are tied inextricably by definition. If you don’t believe me – look it up! Merriam-Webster clearly states that “joy is the emotion evoked by well-being, success, or good fortune or by the prospect of possessing what one desires.” But here’s something else that I’ve learned. We can feel great joy when we celebrate the success and good fortune of others.

I believe that joy should become a part of our daily lives. It’s one of the healthiest emotions we can have. And here’s something I’ve learned that can become your secret weapon. Do you know what it feels like to get stuck in the downward spiral of negative thinking? We lost a deal to a competitor that we were sure we had in the bag. Or one of our key team members just quit. And maybe the bank wouldn’t make the loan we needed. When faced with these kinds of issues our thoughts can turn dark very quickly. But we can just as quickly turn the tables by “jumping into joy” and with both feet. I started practicing this concept a number of years ago. Every time I’d start to feel down, I would intentionally find someone who was in a good place – a friend, family or team member. Then I would applaud their success or good fortune. It’s amazing what a lift this provided for me, not to mention how it made the other person feel.

Joy is uplifting. It’s shout-it-from-the-rooftops passion. It’s at least one level above happiness if not more. Joy kicks the endorphin rush into high gear and does all sorts of positive things to our bodies. We can experience joy through all five of our senses – sight, sound, touch, smell and taste. If we don’t practice it or if we wait for it to come to us, then in effect we’re suppressing it. But if we go looking for joy it’s incredibly easy to find. And don’t we like to be around people who are joyful? They are easy to spot. Their facial features are etched with a permanent smile and a twinkle in their eye. They radiate warmth and bubble with personality.

We can continue to be Mr. or Ms. Seriously No Nonsense, or we can lighten up and have some fun at work. For a number of summers, we had an Ice Cream Day. I dressed up in a ridiculous looking ice cream cone suit and pushed an ice cream cart around the office passing out Nestlé drumsticks, fudgesicles and other delectable delights. I had a blast and everyone had a good chuckle. This truly was a joyful moment for all.

Life is pretty boring without joy – and so are we. Joy tramples negativity and helps balance our emotions. There’s no downside whatsoever to reveling in joy.

The Bermuda Triangulation Effect

Posted on October 16, 2016 by anentrepreneurswords

Allow me to set the stage. Don, Shirley, Frank and Jessie all work for the same company. They are peers and interact on a daily basis. Let’s pull back the curtain momentarily and observe what is happening.

Shirley has stopped Frank in the hall. They have an exchange that goes like this.

Shirley: “Frank, you won’t believe what Don did. I’m so frustrated with him! He was supposed to prepare graphs for the PowerPoint slides to insert into the Magruder presentation and he totally blew it off. How are we going to get these graphs?”

Frank: “Wow, Shirley! It’s incredible that he didn’t hold up his end of the bargain. You know, he’s done that before. What a bozo!”

Later, Frank runs into Jessie and their conversation went like this.

Frank: “Jessie – Shirley told me that Don completely booted the graphs for the Magruder presentation. She’s about to blow a gasket. I wonder if Don should even be on our team.”

Jessie: “That’s awful! Don seems to have a history of doing things like this. He’s being extremely selfish and doesn’t care about anyone but himself.”

What is happening here? I call it The Bermuda Triangulation Effect. The Bermuda Triangle is a region covering roughly 500,000 square miles in the Atlantic Ocean where ships and aircraft have seemingly vanished without a trace. In other words, it’s akin to a mysterious black hole, sucking in the unsuspecting. Unfortunately there’s no mystery to The Bermuda Triangulation Effect. Triangulation is a no man’s land where different parties whine, moan and groan about another party without speaking directly with that party. In our example Frank, Shirley and Jessie are triangulating about Don and the problems he has caused. Yet, no one bothered to talk to Don about the issue.

Triangulation is bad for business and bad for relationships. It’s pure poison and can dramatically and adversely impact the chemistry of a team. Why does all of this grousing happen among teammates in the first place? I believe that it’s indicative of a team that does not hold mutual respect as a cornerstone. Team members also don’t trust each other to the point that they can have conversations directly with the party who is causing issues. I’ve heard many people explain that they feel like such a conversation could be confrontational and they want to avoid conflict.

Here’s the truth. Entrepreneurial leaders must take all steps necessary to eliminate triangulation. This starts with identifying clear roles and accountabilities for each team member. And everyone must clearly understand how they are accountable to each other. This accountability should include a process for addressing issues and concerns that are encountered from time-to-time. Team members should understand that it is incumbent upon them to speak directly with another team member should a challenge arise with that individual. Discussions among peers should be taboo as they are counterproductive and accomplish absolutely nothing. And team members should be discouraged from trying to resolve their issues via e-mail. E-mail is a one-dimensional form of communication and is one of the worst ways to try and sort out problems within a team.

Team members should be educated on how to speak directly with another team member in what might be perceived as an uncomfortable situation. Had our fictitious team been properly educated, the following exchange might have occurred with Shirley going to Don directly.

Shirley: “Don – I was looking for the graphs that you were preparing and found that they weren’t in shared folder. I need to drop them in the PowerPoint for the Magruder presentation. When do you think you’ll have them ready?”

Don: “Shirley – “I’m so sorry. I spent the night in the emergency room with my daughter and wasn’t able to finish them like I promised. I’ve been working on them and will have them completed in about 30 minutes.”

Shirley: “I’m so sorry to hear about your daughter. I hope she’s OK. If you need any help, just let me know.”

No triangulation occurred. The team continued to move forward to achieve its goals. Feelings weren’t hurt and time wasn’t wasted with angry chatter.

As entrepreneurs we must endeavor to create a culture of mutual respect where team members are totally comfortable having conversations of all sorts with each other. Stamping out triangulation should be a priority to this end.

Mule or Tortoise?

Posted on October 9, 2016 by anentrepreneurswords

Mules are interesting animals. They are a cross between a male donkey and a female horse. A mule is stronger than a horse and historically was used for heavy work in agriculture and timber. Mules are independent creatures and can be very obstinate and stubborn at times – hence the saying, “He’s stubborn as a mule.”

Tortoises are equally fascinating. They can live longer than 150 years and have hard shells that make them less vulnerable to predators. Tu’i Malila was the oldest tortoise on record, born in 1777 and died in 1965. If you’ve ever watched a tortoise, you know that they are slow, plodding reptiles. When they are presented with an obstacle they find a way to go around it.

The metaphor for entrepreneurs is obvious. And notice that I’ve avoided the even more obvious example of the tortoise and the hare – that’s a whole different blog someday. Instead, the lesson here is about stubbornness vs. perseverance. As entrepreneurs, we are continually confronted with situations that require some level of perseverance. If we fail to persevere, we end up flitting all over the place and accomplishing nothing. But when does perseverance turn into stubbornness? Presumably stubbornness is not necessarily a desirable trait. The dictionary defines stubborn as “unreasonably obstinate; obstinately unmoving.”

The story of Milton Hershey is inspirational. He launched three candy companies in New York, Philadelphia and Chicago. And all three failed. Hershey moved back to Lancaster, Pennsylvania where he started another company that made a unique type of caramel. But he was convinced that chocolate was the wave of the future and sold his caramel business to start the Hershey Company. Of course the Hershey Company went on to become a huge success in the milk chocolate business.

Was Milton Hershey stubborn, or did he persevere? Back to the dictionary which defines persevere as “to persist in anything undertaken; maintain a purpose in spite of difficulty, obstacles, or discouragement; continue steadfastly.” I believe Hershey epitomized the definition of perseverance. He had a vision. He was constantly tweaking and refining his products. He surmounted his obstacles and eventually became highly successful.

Stubbornness is evidenced when we keep banging our heads against the wall trying the same things over and over. And it’s not working. Suppose we have a business that is struggling to gain traction. We’re not making much money – maybe even losing money – and we continue to keep doing what we’ve been without making any material changes. Now that’s stubborn.

Let’s take that same example and overlay it with perseverance. The business has been struggling to gain traction. We’re not making much money – maybe even losing money. But we believe in the long-term vision and aren’t about to throw in the towel. Instead, we step back and analyze what we’ve been doing. We do the research necessary to identify refinements and adjustments to our approach. Perhaps we even make a major pivot. Think about the tortoise. He reaches an obstacle that he can’t go over. Does he keep trying to climb over it without success? No, he “pivots” and moves a different direction, eventually ending up achieving his vision – whatever that might be for a tortoise. Perhaps our business needs a different approach to marketing and sales. Maybe we need to eliminate a particular product and add another. Regardless, we must do things differently than we have in the past. We don’t quit. We aren’t a victim. We simply get better at how we play the game.

Stubbornness doesn’t require much brainpower. There’s a lot of wallowing that occurs. Perseverance is smart. The vision persists. The ideas flow. And success is ultimately achieved.

Inches

Posted on October 2, 2016 by anentrepreneurswords

The drive from New York to Los Angeles covers 2,791.8 miles. Or put another way, that’s 176,888,448 inches. And to show you that I’m 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’s 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’s what I’ve learned. Sweeping change may not be lasting. Here’s 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 isn’t time to lay a solid foundation of systems and processes. We’re just go-go-go all the time. And the success masks over the rickety infrastructure that may have been installed in haphazard fashion.

Let’s look at another example. We’re 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 doesn’t 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’s something to be said for embracing incremental change. I’m not saying that taking the inch-by-inch approach is right for every situation. There’s 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 doesn’t happen to my liking. I’ve written before about patience – a gene that is absent for most entrepreneurs. Embracing incremental change isn’t 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 a sufficient period of 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’re 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’s 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’re 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.

After the Love Has Gone

Posted on September 25, 2016 by anentrepreneurswords

Earth, Wind & Fire recorded a song in 1979 called, After the Love Has Gone. And of course there was the classic 1976 tune by KISS, Love ‘Em and Leave ‘Em. There’s an eerie parallel with these titles and our relationships – with our friends and with our customers. Remember when we were growing up? Most of us had a number of friends during our school years. Then we launched our careers and families, and guess what? Many of those friendships went on hold. We found ourselves burning the candle at both ends and struggling to make the kids’ soccer games, juggle business trips with date nights, and generally keep our heads above water. Sound familiar? Gradually we sort of drifted away from all but a very small, close-knit group of friends. If we are introspective about our entrepreneurial lives, is the same thing happening with our business relationships?

I’ve written before about my philosophy on relationships. I want to build and nurture as many relationships as possible over the course of my career for the purpose of serving them. And I’ve said before that I try to do this without any sense of quid pro quo. Deep at my core I believe that if we are truly committed to serving our relationships in whatever way possible, the Law of Attraction will bring great good into our lives.

So what happens after the sale? We work hard for six months (sometimes much longer) to build a relationship with a prospective customer. Then she buys what we’re selling. We’re elated and we make sure that the product or service is delivered in fine fashion. Then what? Six months later, what have we done to maintain the relationship? If the customer is going to buy our product or service on a recurring basis, chances are that we’ll stay in touch and continue “selling.” Maybe we take the customer to a ballgame or out for dinner. But what about a customer that has purchased something and there’s virtually no chance that another purchase will occur in the future? Do we “love ‘em and leave ‘em?

It’s rare that we find an entrepreneur who builds the relationship for the purpose of serving it. Usually there are strings attached. I’ve been on the receiving end of this my entire life. When someone wants to sell me something they butter me up and shower me with accolades, gifts and other forms of attention. If I don’t buy, they may try for a while, but eventually they drift away. If I do buy and there’s not a reason to buy the same product or service again, I’m usually dropped like a hot potato within a week. The National Sales Executive Association says that 80% of sales are made on the fifth through the twelfth contact. This means that a significant amount of time and effort must be invested to build a relationship sufficient to close the deal. This being the case, why would we not want to continue to maintain that relationship in perpetuity?

Some of us may be thinking, “This makes sense. Even though the customer might not buy again from us, keeping the relationship alive could be good for referrals.” Yes, this may be true, BUT once again we’ve attached strings to the relationship. What if we maintained the relationship because it’s the right thing for us to do? What if we maintained the relationship because we genuinely want to help other people? What if we maintained the relationship because it’s a form of expressing gratitude for all of the wonderful things that others have done for us? If we’re thinking that we just don’t have time to nurture relationships after the sale, then we are working against the Law of Attraction. There’s good flowing all around us – but if we start putting limits on our relationships we’re preventing that good from flowing our way.

Maintaining friendships and business relationships requires an intentional effort. It also means that we have to make a choice about the true purpose of such relationships. Will it be “Get Off of My Cloud” (Rolling Stones – 1965) or “Better Together” (Jack Johnson – 2005)?

You can also listen to a weekly audio podcast of my blog. What you hear will be different than what you read in this blog. Subscribe on iTunes or wherever you get your podcasts. You can also click on this link – Click here to listen to Audio Episode 11 – A Warm Blanket.

The LFT Problem

Posted on September 18, 2016 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’ve ever known. His drive to work regularly was a harrowing experience. I’d 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 out 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 haven’t 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 pretty 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 sales clerk. 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 pretty depressing. And it’s 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’s how we’ll live. Those types of thoughts are like a magnet.

I can count on two or three fingers the number of times I’ve had close calls in my car. I know I’m pretty vigilant when it comes to driving and while alert, I’m not “waiting for the other shoe to drop.” In other words, I don’t believe that there is someone out there looking to make my driving experience a miserable one. As an entrepreneur I’m well aware of the fact that there may be others who are looking to gain an unfair advantage. But I don’t 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’ll find a mutually acceptable conclusion to our interaction.

Life is so much better when we are in an LFG mode. LFG? Looking for Good. Don’t be fooled by this approach. It’s 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 doesn’t mean that I’m going to walk down a dark alley in a big city and flash a big roll of Franklins! After all I’m not bulletproof. But it does mean that until someone proves me wrong, I’m going to choose to see a positive outcome in whatever I’m 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 don’t have a nagging belief that there’s 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.

Go Away – We’re Closed

Posted on September 11, 2016 by anentrepreneurswords

Once upon a time there were entrepreneurs who cared about their customers. They understood what it took to make their customers happy and keep them coming back. Then their businesses grew and grew until one day they weren’t small anymore. Instead they became large behemoths that cared less about the customers and more about bureaucracy, CYA, policy and how to squeeze more dollars out of their customers. In the process, a number of their customers had experiences that were unacceptable and downright maddening. In this blog, I would like to relate several stories about encounters I’ve had as a customer of several larger companies. The names of the companies are irrelevant. What is instructive are the lessons we can learn as entrepreneurs and especially what we don’t want to emulate.

Let’s start with the airlines. The large domestic carriers are consistently stepping in it with their customers. One summer we made flight reservations on a major airline and then a few weeks later needed to change one leg of the flight. The airline’s website was impossible to negotiate to figure out how to make such a change. So I called the customer service line and got into the queue. Thirty minutes later they called back and were ready to assist me. I was informed that because I had a “special” fare, I would have to pay the difference of $173 plus a $200 change fee. I protested and pointed out that the special fare was still being advertised on the flight to which I was changing. And I also said that I found it unreasonable to charge a $200 change fee for a couple of minutes of re-booking. The representative wouldn’t budge. I said that I would leave the original reservation in place and in the future, find another airline to fly with friendlier policies. The “haughty” young man representing the airline said, “All of the legacy carriers are charging the $200 change fee.” Wow! Of course we know this is true, but a statement like this sounds like blatant collusion. The message to me, the customer was, “We’re going to screw you and so are the other major airlines.” Lesson #1: Never use the “everyone else is doing it” explanation when interacting with a customer.

My wife and I were in Washington, DC and made reservations for dinner at a major national steakhouse chain. It was a Tuesday evening and when we placed our order we naturally wanted – you got it – steak. Well, steak wasn’t an option at this restaurant. They were out of every cut of beef with the exception of a low-end sirloin. When I spoke to the assistant manager she said that there had been a delivery issue. Seriously? They do have grocery stores and meat markets in Washington, DC. My entrepreneurial instincts caused me to wonder why someone hadn’t simply gone to the store and purchased enough steaks to cover until the delivery arrived. I’ve been to other restaurants where the server or the manager has literally made a mad dash to the store and purchased something I wanted and they didn’t have. Lesson #2: Never tell a customer “we’re out of that.” Do whatever it takes to ensure that the customer gets what he or she wants.

Here’s a classic. A national chain store closes at 8:00 PM. I arrive at exactly 8:00 PM. What do you suppose happens next? The store manager won’t allow me to enter and says, “Sorry, we’re closed.” So here I am, a ready, willing and able customer and the store representative doesn’t want to serve me. Adding insult to injury, I’m told to come back the next day when they reopen at 9:00 AM. But what if that’s not convenient for me? In this case it’s apparently more important to avoid inconveniencing the store employees than the customers. Lesson #3: Always remain open for business until the last customer leaves. And if someone else wants to enter and it’s after hours, by all means accommodate him or her.

Finally, here’s another one that I’m sure will sound familiar. I made an appointment for an MRI at a large chain of imaging centers. I arrived 15 minutes early to make sure that all the paperwork was completed prior to my appointment time. Then I waited, and waited, and waited. About 20 minutes after my appointed time I asked once how long it would be and was told, “We should get to you soon.” After another 15 minutes I inquired again and the receptionist said in exasperation, “Sir, I have no idea how long it will be before we will get to you.” I left. Lesson #4: Never tell a customer that you have no idea when he or she will receive service.

As our businesses grow it’s critical that we make amplify our efforts to maintain customer focus even if it costs extra to do so. The additional investment will more than payoff when our happy customers continue to return and refer other customers to us as well.

You can also listen to a weekly audio podcast of my blog. What you hear will be different than what you read in this blog. Subscribe on iTunes or wherever you get your podcasts. You can also click on this link – Click here to listen to Audio Episode 9 – Mistake Prone

Liars

Posted on September 4, 2016 by anentrepreneurswords

Here’s a set-up question. What do you think of companies that aren’t honest with their customers? The answers range from, “That’s terrible” to “It happens every day.” Unfortunately both answers are correct. What’s particularly irritating is when those companies beat their chests about how much they care about their customers. There’s a disconnect between words and actions which is pretty disturbing and serves as an excellent lesson for entrepreneurs.

Allow me to tell you a personal story. Each summer we look forward to spending a couple of weeks at a beautiful destination spot in the mountains with enormous trees, blue skies and a fabulous lake. We fly into a nearby airport, collect our bags and head to the car rental counter where we’ve previously made a reservation. After checking in we venture to the car pick-up area – and every single year, bar none, our vehicle is never ready. We’ve waited anywhere from 20 minutes to as long as 45 minutes. The attendants smile and promise that “They are just cleaning up the car as we speak – it will only be a few more minutes.” Fifteen or twenty minutes later they smile again and disappear to go “check” and see where things stand. Sometimes we go through the same drill with two or three more attendants – they seem to work in a tag team sort of manner. Finally, someone tells us that “They’re bringing around the car right now.” Any reasonable person would conclude that would mean the car would arrive in two or three minutes. But it never happens. Eventually we may get the car we ordered. More often than not, we end up with a different vehicle – sometimes better and sometimes worse. Adjustments are made to the price and we’re finally on our way. Here’s what’s so bothersome about this experience. We are never told the truth. The attendants are friendly enough. They explain that they’ve been slammed with returns and pickups. But the string-a-long routine is always the same. Yes, I know. I should probably use a different car rental company – though I’ve encountered similar issues elsewhere with other firms. With this particular car rental company, on their website they make a big deal about how they focus on the customer. Part of their mission statement extolls their desire “To exceed our customers’ expectations for service, quality and value.” Elsewhere we’re told that, “Take care of your customers and employees first, and the profits will follow.”

This situation is emblematic of a pervasive problem in the business and entrepreneurial world today. Sometimes we’re so afraid of disappointing a customer that we’d rather try to give them hope while we juggle difficult circumstances. We say things that aren’t quite true and eventually we’re in worse shape than if we would have just been totally honest. Lying doesn’t usually end well. I learned this as a kid and have watched others suffer the consequences as an adult. What should the car rental company have done? For starters, they have a very sophisticated IT operation and could easily have collected data from every hour of every day at every location. Then they would know from my stated pick-up time that there usually is a 30-minute wait and set my expectation accordingly. But we all know that sometimes things unexpectedly go wrong. Training their employees to have empathy in such situations and be totally honest would go a long way.

In a circumstance like this, here’s what I would rather have someone say to me. “We had 50 cars returned within a 30-minute timeframe. Normally we never have more than 20 cars returned in such a short period of time. We’re running at least 45 minutes behind. I’m going to give you a 15% discount for the delay and recommend that you come back at 3:30. In the meantime, here are some drink coupons for the bar inside the airport terminal. Please accept our most sincere apologies.” This statement is pro-active and wrapped with empathy, honesty and realistic expectations. The customer may not be pleased, but at least the company can’t be criticized for not doing everything possible to atone for a bad situation.

We need to ask ourselves whether or not we set honest and realistic expectations for our customers. When we do, we’ll have a much greater chance of solidifying customer loyalty – even when things don’t go as planned.

You can also listen to a weekly audio podcast of my blog. What you hear will be different than what you read in this blog. Subscribe on iTunes or wherever you get your podcasts. You can also click on this link – Click here to listen to Audio Episode 8 – The E Factor.

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