The Howl Issue 3

Writen by Rick Johnson

I hope everyone had a great Thanksgiving and looking forward to an even better Christmas. I personally am now getting into the Christmas spirit after spending all day Saturday and most of Sunday putting up the lights outside and helping decorate the tree. As this year comes to an end and we celebrate the holiday season, most of us have a lot to be thankful for. I know I count my blessings everyday and look for opportunities to reach out to others that may need help, support or encouragement. Have a wonderful holiday season and a prosperous New Year. Reach out to someone.

If you missed Issues #1 & 2, e-mail: rick@ceostrategist.com for copies of these issues.

This month's issue contains:

• The Housing Bubble --- Is It Finally Ready to Burst?"

• First in a series on "The Challenges Facing Family Owned Businesses"

--- How can you turn over your business to your children without creating chaos?

• Kids and Guns

• 15 Revealing Questions To Ask A New Sales Candidate

• Client Corner --- "My Kids Can't Cut It"

The Housing Bubble --- Is It Finally Ready to Burst? ---- Economists have been predicting the burst of the bubble for the past five years. Every year they have been wrong. 2005 was supposed to be the year when things really started to slow down. Low and behold, 2005 was another banner year. Those in the building supply business are sitting around smiling as they count the profits. I am not an economist, thank God, but maybe, just maybe the economists are going to finally be right as some signs are beginning to show that may indicate a slow down in the housing boom. And of course, the auto industries problems, specifically General Motors with their recent layoffs and plant closure announcements just adds strength to this conjecture. What's the old saying? "So goes General Motors, so goes the economy."

Sales of existing homes fell almost 3% in October and the decline could have been higher except for the demand created by the surge of Hurricanes, especially Katrina. The level of unsold homes in October was at its highest peak in nineteen years. Some of this may be attributed to the fact that prices have risen at a pace not seen in twenty five years. A chief real estate economist stated; "The housing boom has likely passed its peak. (We have heard this before) The boom is winding down. I expect continued softening in housing." (David Lereah, chief economist for Realtors.)

Economists also predict that the buildup of unsold homes across the nation would dampen the surge in prices that saw 69 cities report double digit price increases this summer compared with third quarter 2004. Another prediction is an additional ½ point increase in interest rates by June of 2006 which could create a slow down in price increases to about 5% next year.

In reference to new construction, it also has shown signs that the bubble may be ready to burst. Housing construction and new building permits were down sharply in October. The Commerce Department reports that construction of new homes and apartments fell by almost 6%, which was the biggest decline in seven months. Applications for new building permits fell almost 7%, which is the biggest decline in six years. Nariman Behravesh, another expert chief economist stated, "We are likely to see a steady downward trend in housing activity over the next few months. Mortgage rates are at the highest level seen in more than two years." National Association of Home Builders said a new survey showed builder optimism fell in November, the largest amount since the September 11th terrorist's attacks.

So, is the bubble ready to burst? Many economists seem to thinks so. However, the statistics cited have been cited in the past. The predictions of a bubble burst have been reported in the past. On the other hand, some economists disagree at least partially. David Seiders, chief economist for home builders stated that he believed that sales of both new and existing homes, while still setting records for a fifth consecutive year in 2005, will only see a small 5% decline in 2006. This would represent a very soft landing (5% is not much considering the growth we have experienced over the past five years). Do they really know? Who knows? Maybe that's why Roosevelt said he would only deal with "One Armed Economists." So they couldn't say, "On the other hand"…

Be cautious in 2006. Don't panic but don't bet the farm. Initiate a contingency planning process. If you don't need the plan in 2006, so what, sooner or later the economists might get it right and that contingency plan that you have tucked away will become invaluable.

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First In A Series On Family Owned Businesses------ In 2006 we will try to cover many of the issues and challenges in "The Howl" that face privately held family owned businesses. Every family owned business faces difficult challenges. Readers are encouraged to e-mail rick@ceostrategist.com with comments, questions and topics for discussion related to the challenges faced by family owned businesses.

How can you turn the business over to your children without creating chaos--- This is probably the toughest question any business owner that has family working in the business will ever face. However, the answer is simple. The answer is….. It depends. It depends on how well you (the owner) have prepared yourself and your child for this transition. Have you planned this out? Has your successor been trained, developed and prepared for the transition? This is pretty easy if you only have one child in the business and he/she just happens to be the next Jack Welch of wholesale distribution. This child has worked outside the business for someone else for a minimum of five years. They have completed their MBA and they worked their way up in your organization starting in operations or customer service. They don't walk around with their silver spoon visible and they don't wear their family title on their sleeve. "Piece of Cake!"

Let's face Reality--- That scenario, although it certainly does exist, is the exception and not the rule. In most cases privately held businesses generally have several family members working in the business. When the president has more than one child in the business, things start to get more complicated. Before we dive into that challenge, "How do we select the next President?" let's review a few statistics.

• Family business is the driving force behind the US economy providing over 50% of our employment

• 59% of family owned businesses have only 1 or 2 owners

• 25% of family owned businesses surveyed in 2004 stated they would seek non family member CEO's for succession

• Key areas that family owned businesses seek advice and counsel on include:

--- Strategic Planning

--- Organizational Design

--- Operational Effectiveness

--- Leadership Development

--- Succession Issues

--- Compensation

--- Sales Effectiveness

--- Risk Management

Now, how do you decide on who should be the next President? If you are not one of the lucky few described in the opening scenario and you have multiple family members working in the business, your stress level is already at a high point. First, many if not all family members working in the business have feelings of entitlement to some degree. This is generally true of at least one if not all of the president's kids. Choosing the next president becomes even more difficult if the children have used their name as a title instead of the actual title of the job function they performed and the position they hold in the company (This is often unintentional and some kids don't even realize it). This difficulty increases exponentially if none of the kids have demonstrated a high level of competence, respect for all employees, leadership skills that pattern the servant style and at least some promise of potential to fill the president's shoes.

Although the majority of parents would prefer that their children take over the business and carry on the family legacy, this is not always the best option available. I know it is difficult for any parent to admit that their child may not possess the skill sets necessary to take over as President of the company. However, that situation actually does exist in many family businesses.

What are the options if Junior isn't ready? --- The first two questions to ask yourself are: "Will Junior ever be ready?" "Does Junior have the ability to learn how to become President?"

As difficult as it is to accept, your answers to these questions alone are not good enough. If you have a Board of Directors, you should solicit their input and recommendations. Hire a Human Resource Consultant to do an assessment of not only Junior but other executives in your organization that may be qualified for the Presidency. Conduct 360 degree reviews to get input from peers and subordinates. Precisely define the Presidents role and responsibilities and match these requirements to Junior's skill sets. If you don't have a board, create one before the transition. Include the following action items as part of the transition plan:

• Create a development transition training program for the new President (This should be designed as an internship)

• Clearly define the former Presidents role after the transition. Will he remain and come into the office? Will he become Chairman of the Board? What responsibilities will the former President retain?

• Manage the expectations of other family members. Do not allow family tension to create tension in the business. This could lead to employees taking sides.

• Use your attorney to cover all legal issues

• Create a real Board of Directors

The Family business can be complex--- The family business structure can be complex and confusing. This is especially true when numerous family members work in the business. The business is composed of interdependent relationships between functions and people that depend on the ability to work toward common objectives. A family owned business with multiple family members has twice as many opportunities for mistakes, resentments and complacency. Teamwork is essential and effective communication is critical. It is of paramount importance that employees are recognized as the true reason for success. Family issues must not penetrate the business environment. Holding family business meetings, off site, on a regular basis is highly recommended.

These meetings should be used to air feelings, check boundaries and clarify roles and responsibilities as they are being played out. The President must keep his finger on the pulse of the company culture and environment. Family members must be challenged as issues arise that are detrimental to the long term success of the company. Some companies create a "Code of Conduct" just for this reason. Regular confidential employee surveys are also a useful tool in this regard. (E-mail rick@ceostrategist.com for a complimentary copy of "A Guide to Leadership Succession in the Family Business")

It's your company, it's your legacy and when all the cards are played it is still ultimately your decision. Listen to your employees, listen to your executive team, get some outside advice and then ----- trust your instincts as a professional business person. Remember, you can always sell the business or bring in an outsider as President.

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Kids and Guns ------ I'm probably going to get a lot of negative feedback about this but so be it. Just prior to sitting down for Thanksgiving dinner I was reading the local newspaper and came across an article titled, "How young is too young to hunt?" The newspaper had a picture of a young boy, 6 years old holding a .223 caliber rifle with a scope. He was all dressed up in camouflage gear. The article talked about this young boy killing his first deer when he was five years old with one shot from his .223 caliber rifle. The boy himself was excited as he talked to the reporter.

"I shot it right behind the front shoulder. Dropped it right in its tracks," the boy said. This boy of six stands 4 feet tall and weighs 50 pounds. He's a good student that earned an award for responsibility in kindergarten that year. KINDERGARTEN!

But he'd rather be hunting. "I like it," he said. "Shooting a gun and shooting at the animals and killing them."

The article went on to talk about an eight year old girl that made headlines last month by shooting the first black bear of the season. This was in Maryland and there is no minimum age limit for hunting. You have to be sixteen or eighteen in most states to drive a car but you can shoot a .223 caliber rifle with a scope at 5 years old. Now, I have to say that although I am not a hunter, I am not opposed to hunting. I am also not opposed to guns. I own one myself. After all, it's legal to carry a concealed weapon in Florida (It's a matter of state pride that we return fire in a drive by!) But, I do shudder when I think about a five or six year old in the woods with a .223 caliber weapon, even if they are with their Father who may be an expert hunter. A .223 caliber rifle can kill someone or something a mile away. Beyond that, how do we determine that the maturity level and the responsibility level of a six year old are such that what is learned about weapons in the woods stays in the woods when that child begins to mature?

Yes, the federal government spent a lot of money on a study that said, "Guns do not turn children into criminals." This study concluded the best way to reduce firearm related violence is to buy them a gun and teach them how to use it responsibly. Give me a Break!

Let's not forget, guns are unregulated consumer products. In Texas guns are said to kill six children and teenagers every week of every school year. I personally believe that guns and kids are a volatile combination. Between 1996 and 2000, 1,541 children died in Texas from gun violence and for every child that died, four others went to the emergency room for gun related injury. Six out of ten child suicides are completed using guns. And this is just in Texas.

To close my RANT and OUTRAGE about a five year old with a .223 caliber rifle, I want to site a project called the "Lion & Lamb Links". This was a study that asked the question, "What do you think your pre-schooler would do if he or she found a real gun---- after repeatedly warned NOT to touch a gun." The results of this project are shocking.

First a police officer was brought into a class of 60 children. His message was clear and precise. "Don't touch guns --- they are deadly and dangerous. If you see a gun, leave the area. Tell an adult." The children were asked to repeat his words and they could answer his questions. They were later left alone with disarmed guns and the majority of the children picked them up and shot everything in sight. This was reported by Hardy in a NY Times editorial.

The second study with a different group of children lasted five days. The children were instructed on how to make good choices, how to resist peer pressure and how to distinguish toys from dangerous objects, guns. The results were the same. When left alone the children began playing with the guns just as group one did. Most of the six year olds could tell the difference between the toy guns and the real guns but they played with them anyway.

Ask yourself, would your kid play with a gun, even if you trained him in the woods to hunt? Does your six year old have the maturity to handle the knowledge about something as deadly as a gun?

I apologize in advance to my gun distributor friends. But I've got to say, I would be awful nervous hunting in the woods knowing there were 5, 6, 7 & 8 year olds in those woods with loaded rifles. In fact, you won't catch me near the woods during hunting season.

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15 Revealing Questions To Ask A New Sales Candidate

1. Tell me about why you want to succeed at sales.

2. Where does your sales passion come from?

3. What is the last sales book you read?

4. Tell me about the last book you've read on creativity.

5. Tell me about the biggest sale you ever made.

6. What was the biggest reason you got it?

7. Tell me about the biggest sale you lost.

8. What do you say when a prospect says, "I want to think it over"?

9. What do you say when a prospect says, "I'm satisfied with my present supplier"?

10. What do you say when a prospect says, "Your price is too high"?

11. How often do you listen to or read personal development information?

12. When did you attend your last seminar?

13. How do you improve your presentation skills?

14. What is your most creative approach to follow-up?

15. Give me your 30-second personal commercial. Your elevator speech.

These are just a few examples to get you started in the interview.

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Client Corner

Rick

I just turned 70 years old. I am ready to turn over the reigns of my company to one of my three sons. I own a ____parts distributor with revenues that should exceed $48 million by year end 2005. All three have worked in the business for the past 15 years. I don't want to sell and I really want one of my sons to carry on the family legacy. My problem --- I don't know which son to hand the Presidency to. I hired a consultant to do an assessment to help me make a decision. The consultants, after doing a battery of tests and interviews determined that my current Vice President of sales is the only internal candidate that is qualified to take over as President. This gentleman has been with me for 25 years, he's a great guy, and I have no doubt that he can do the job but he is not one of my sons. To complicate matters even more, the son that I was leaning towards handing the Presidency to got the worst rating of anybody on the 360 degree review. In fact, the consultant privately advised me that I should consider getting this son out of the business before my transition into retirement. They also advised that one of my two remaining sons may be able to step it up and take over the reins in three to five years. He is 45 years old now. I can't wait that long to retire. What do you recommend?

George ------ Mid West

Dear George:

You are facing quite a dilemma. Obviously, the easy answer is to sell the business. However, I take it from the passion in your memo that you will not consider that option. At 45 years old your son should be ready to take over as president now. If he is not ready now, chances are not great that he will be ready in 3 to 5 years. You haven't done a very good job as his coach and mentor. That being said, if you are adamant about one of your sons taking over the business you might want to consider this scenario. Appoint your VP of sales as your successor with the understanding that one of his primary responsibilities is to develop your son to take over the company in three years. Make sure that you are generous to this VP in constructing a contract that makes him well if something happens to you and your sons decide to throw him off the bus. If your son doesn't develop enough to really run the company in three years, you might consider leaving your former VP of sales in the role of President and appoint your son CEO. He could be the outside face for the company, carryon the family name but have your President run the business on a day to day basis. This assumes that your son is willing to play that role and supports the President in his day to day role. It is not the ideal solution but it is an option that can be considered. However, be very cautious in determining what your sons are willing to accept and how they will react. A family legacy means nothing if the business goes down the tubes due to internal strife caused by intolerable family issues. This is a short answer that requires a lot more discussion.

Good Luck and let me know how things progress.

Rick

http://www.ceostrategist.com E-mail rick@ceostrategist.com for prior issues of The Howl. Dr. Rick Johnson (rick@ceostrategist.com) is the founder of CEO Strategist LLC. an experienced based firm specializing in leadership and the creation of competitive advantage. Rick received an MBA from Keller Graduate School in Chicago, Illinois and a Bachelor's degree in Operations Management from Capital University, Columbus Ohio. Rick completed his dissertation on Strategic Leadership and received his Ph.D. on April 15, 2005

Creativity And Innovation Management Core Competencies And Competitive Advantage

Writen by Kal Bishop

Following is a brief definition of core competencies and competitive advantage and their fit with creativity and innovation management.

Core Competence:

A core competence is one which critically underpins the organisation's competitive advantage. Companies can differentiate themselves from their competitors with specific core competencies, but often not for long. The differentiation is difficult to sustain and can often be imitated by competitors.

The integration (and attainment) of constituent skills that is the distinguishing mark of a core competence, is achieved and sustained through developing strong dynamic capabilities, particularly in a world of innovation based competition.

Competitive Advantage:

Whilst a core competence is a source of competitive advantage, not all competitive advantages arise from core competencies. Often seemingly unassailable advantages prove transitory because of a change of underlying factors. The very existence of competitive advantage sets in motion creative innovations that, as competitors strive to level the playing field, cause the advantage to dissipate.

Recognition of, and adaptation, to change is thus a pre-requisite of successful strategy. For many organisations, the only truly sustainable advantage comes from out-innovating the competition.

These topics are covered in depth in the MBA dissertation on Managing Creativity & Innovation, which can be purchased (along with a Creativity and Innovation DIY Audit, Good Idea Generator Software and Power Point Presentation) from http://www.managing-creativity.com. You can also receive a regular, free newsletter by entering your email address at this site.

You are free to reproduce this article as long as no changes are made and the author's name and site URL are retained.

Kal Bishop MBA, is a management consultant based in London, UK. He has consulted in the visual media and software industries and for clients such as Toshiba and Transport for London. He has led Improv, creativity and innovation workshops, exhibited artwork in San Francisco, Los Angeles and London and written a number of screenplays. He is a passionate traveller. He can be reached on http://www.managing-creativity.com.

Virtual Assistance A Money Saving Opportunity For Employers

Writen by Heather Bresser

What is a Virtual Assistant? A Virtual Assistant is a highly skilled, independent entrepreneur who provides business services in a remote or virtual environment. Some have used terms like telecommuter or working from home.

Employers are looking for alternatives to having a full-time employee. Hiring a skilled Virtual Assistant helps to cut costs normally associated with on-site employees (no need for extra overhead and space, taxes, benefits, continued training), and frees up valuable time to focus on higher priority tasks that will inturn increase profits.

Assistant For You!, a Puyallup based a virtual assistance and web design company, specializes in website design and promotion, Administrative and Real Estate Support.

November 1, 2003 marks Assistant For You!'s first anniversary. Ms. Bresser attributes her success to keeping on top of the current trends in targeted industries allowing Assistant For You! to adapt to specific client needs.

For those wanting to start a Virtual Assistance company, Ms Bresser suggests, "niche in an area that you are not only good at, but love to do." She urges finding an established Virtual Assistant as a mentor during these rough start-up phases. "Having a mentor will help you avoid pitfalls that many face," says Ms. Bresser.

For more information about the Virtual Assistant industry and why you should hire one, contact Assistant For You! today. We can be reached directly by phone at (253) 537-7703, by email at heather@assistantforyou.com.

About The Author

Heather Bresser, Virtual Assistant and business owner of AssistantForYou.com, offers high energy and her outgoing personality to her varied clients, and has been able to help them with marketing and growing their businesses through providing innovative website design and marketing strategies.

Problemsolving Success Tip Everyone Necessary Nobody Extraneous

Writen by Jeanne Sawyer

Everyone Necessary, Nobody Extraneous

The goal is to make sure everybody who can contribute to the problem-solving effort is appropriately involved. The key word here is appropriately. There are many different ways of involving people in the effort, making best use of their skills and time available and satisfying management's need to know what is happening. The more political and visible the problem, the more important it is to manage everyone's participation.

Start by developing a list of key players: all the people who should participate in the problem-solving effort in some way. Then define the most effective role for each. Typically, there will be a small group of people who have specific skills that you need intensively, and who can and will actively participate in the whole problem-solving effort. These should be the members of your core team.

In addition, you will have stakeholders who need to be informed of progress but won't directly contribute to solving the problem. You may also need technical experts who can contribute to understanding the problem causes or to identifying solutions, but don't need to participate in the entire problem-solving effort.

For stakeholders who need to be informed of progress, develop and publish a communication plan. Tell them when and how they will be kept up-to-date with regular progress reports as well as if anything goes wrong. These stakeholders do not like surprises, so give them what they need to be confident that you and your team are on track and that they'll know with plenty of warning if you're not. If they have this confidence, they'll tend to leave you alone to do your work.

The more political the problem, the more likely it is that some of these stakeholders will try to attend team meetings. Generally, this is a very bad idea: their presence tends to disrupt rather than contribute to progress. If you have this situation, the best way to keep them out is to develop a strong communication plan and follow it, thus demonstrating that their attendance is unnecessary as a way of finding out what's going on.

Technical experts tend to be in high demand, making it hard to get their time. Use these people only where you really need them, which generally means they don't belong on your core team. Invite them only to specific meetings where you really need their expertise, such as to a session where possible root causes are identified or where you are analyzing the merits of possible solutions.

Only have the people on your core team who will contribute actively to solving the problem and who are truly needed for the entire problem-solving effort.

Copyright 2006. Jeanne Sawyer. All Rights Reserved.

Jeanne Sawyer is an author, consultant, trainer and coach who helps her clients solve expensive, chronic problems, such as those that cause operational disruptions and cause customers to take their business elsewhere. These tips are excerpted from her book, When Stuff Happens: A Practical Guide to Solving Problems Permanently. Now also an ebook, find out about it and get more free information on problem solving at her web site: http://www.sawyerpartnership.com/.

10 Steps Towards A Stressfree Introduction Into Management

Writen by Allan Mackintosh

Becoming a manager for the first time can be an unnerving and sometimes stressful experience. In many cases, organisations expect you to immediately jump into the role and begin to perform as if you have been there for years. Also, you may have been promoted "out of the blue" and as such have not taken part in any "succession planning" that would have prepared you for the management role.

If you follow the ten steps outlined then you will put yourself in a much better position to develop into your management role than perhaps may have been the case.

Step 1 - Be yourself

It is important that you do not try to act like your predecessor. You will have your own style of management and it may be that the previous manager had a particular style that you were not comfortable with. You will have an idea of what the best management style is for any given situation but this will only come with time, perhaps through training and coaching. The best thing you can do is to look at yourself and decide what you want out of the management role and what you need to do in order to build your capabilities in that role.

Step 2 - Go easy to start with

Although there is always pressure on a new manager to take up where the last manager left off, don't go rushing into things. Do not be the "new broom that sweeps clean" all previous procedures away. Ensure that you reassure your team that it will be "business as usual" at least until you get the opportunity to speak to each team member about what their fears and hopes are as regards you being their manager.

Step 3 - Talk to people, listen and gather information

It is vital that you talk to each member of your team. Sit down with them and "contract" with them. How do the two of you want to work together? What are their expectations of you as their manager? What are their hopes, fears and aspirations? What are their motivators and de-motivators? It is important that this is a two way process and you should be asking them the same questions so as there is mutual understanding. Also ask them what they think needs to be done to make the team or department more effective - seek their input right at the start.

Although it is important to talk to the team, it is also vital to talk and contract with those senior managers who will have a "stake" in your actions. They must be comfortable and if you "contract" with them as you would with your own team then you will have greater understanding of them as they will have of you.

Step 4 - Ensure you get coaching and mentoring from your own boss

Once you have established a working relationship with your own manager then ensure that within this "contract" he or she builds in time to coach and mentor you through, particularly the early day. As a new manager you should know exactly what is expected of you in terms of both your business objectives and your development objectives. You should have a development plan that highlights your strengths and development areas in respect to your new role and with the support of your manager you should start to implement that plan immediately. Your manager should have the coaching skills to ensure that you maintain your progress and deliver against your plan.

Step 5 - Know the Boundaries, Policies and Procedures

In many "new manager" situations teams, or individuals within teams, attempt to "change the rules" in relation to what needs to be done and how it is done. There will be company rules and procedures and these need to be adhered to, until at least the time they have been reviewed and any change negotiated and implemented. Don't let you being the "new boy" be an excuse for teams or individuals to take liberties. Let people know where they stand; what they can do without asking; what they need to ask to do, and what they cannot do.

Step 6 - Be Available and Visible

Make sure you are available and visible. It is very easy to be "available" over the phone or through e-mail but you cannot beat a good "face to face" very so often. It is vital to your team's development and progress that you make time to sit down with them and have regular face-to-face chats. As a manager you will be their coach and mentor and as such you should make time to coach them through their business objectives and challenges. Don't hide behind "important meetings" as many managers are apt to do.

Step 7 - Avoid Favourites and ensure Consistency and Fairness

You may be now managing the team you were once part of. You will have had friends in that team and perhaps had some people you did not get on with. You now have to ensure that you do not let your personal preferences get in the way of you effectively managing that team and the individuals within the team. Avoid favouritism at all costs and ensure you treat everyone equally, fairly and consistently. The minute you take sides the team starts to disintegrate.

Step 8 - Keep communication high and as open as possible

It is important that you keep communication levels high, letting your people know what is happening whenever possible. Avoid being secretive where possible as people naturally jump to conclusions, usually the wrong ones! Make sure you praise when you see something good done. Praise is the most powerful form of feedback and unfortunately managers do not use enough of it! Consider starting a newsletter and although you instigate it and perhaps write the first couple of editions, let the team take over and start to delegate the tasks involved to the team.

Also, ensure that you ask for regular feedback from both your team and from your boss. How are getting on in relation to your new role? What do you still need to develop? What's going well?

Step 9 - Be Pro-active and start to make your own decisions

Many first time managers continue to go to the "boss" to ask for permission to do things. This does not raise their profile with either senior management or with their own team. You are the boss! You can make your own decisions, so you must know what the boundaries are in relation to what you can do and what you can do. In your early contracting with your own manager ensure you know where you stand and then be pro-active about moving your business forward.

Step 10 - Encourage the team to work together

The outputs of a well-disciplined and effective team will always be greater than the individual outputs of the team members and to this end you have to encourage the team to work effectively together. You have also to get them to understand that you are learning the management game and that you will need their support as well. If you can get the unit working cohesively together they will support you through your early management days.

Bonus Step - Take time out to relax and reflect

In the attempts to get the job done, many new managers do not take time out to relax, wind down and then reflect on their progress. They go thrashing about from task to task never stopping to ask for feedback. This can be dangerous to their health and also to the wellbeing of the team as a whole. Make sure you take a break occasionally. Your coach and mentor will ensure that this happens - or will they?

Allan Mackintosh is a professional management coach who after 19 years in the pharmaceutical industry started his own management coaching consultancy, Performance Management Coaching. He is a successful speaker and has recently turned author, having had his first book, "The Successful Coaching Manager" (Troubador 2003)published in August 2003.

Allan can be contacted on 00 44 1292 318152, e-mail allan@pmcscotland.com or visit his website at http://www.pmcscotland.com

Minimising Conflict With Effective Communication

Writen by Lee Hopkins

Did you know there are 5 types of communication that lead to conflict?

Let's look at them...

Definition of 'Conflict'

It helps if we first define what we mean by 'conflict'

Conflict is an expressed struggle between at least two parties, both of whom perceive interference from the other towards achieving their goals

A conflict can only exist when both parties are aware of a disagreement

The importance of a team's values to communication

There are negative team values that can actually sabotage good communication within a team. For example:

As long as I do a good job that's all that matters to me
undermines team cohesiveness and co-operation.

Problems are the result of other people's mistakes
is also unhealthy.

If someone 'stuffs up' it's their problem
is really not helpful to anyone.

Such values induce competition, not co-operation and collaboration. These team values destroy teamwork!

Positive team values

There are 5 key values that aid co-operation and cohesiveness within a team:

We are all in this together
The performance of the team is seen as more important than individual performance. Note that blaming styles of communication lead to individual performance becoming the paramount object, resulting in little or no team work.

No member is more important than another
When individuals consider themselves more important than another ('superior communication') then communication breaks down and competition takes over. But when everyone is seen as an equal, communication is open and there are high levels of co-operation and collaboration.

Open, honest communication is essential
When you are thinking of a reply, instead of really listening to the other, you are engaging in 'dishonest communication'. Similarly, when you see something done that is not acceptable but you 'are polite' and ignore it you are equally being dishonest with your communication. There is no room for dishonest communication in teams. Open and honest communication requires the use of listening and empathy. Listening to understand gives us the other person's perspective—it allows us to hear their experience. Empathy reduces the need to judge the behaviours and beliefs of others. By listening and empathising we model open and honest communication.

Everyone needs open access to information
Informatin facilitates collaboration and co-operation, and effective decision-making requires all the information. Decision-making always has an element of uncertainty attached to it, but having all the information available makes the decision-making easier.

We all need to focus on the team's goals, aims and mission
Without a clear and sustained focus minor distractions become major blockages.

The 5 types of negative communication that lead to conflict

Negative communication
We all know a 'Negative Nigel/Nancy' in every team—they exist and we find it near impossible to remove them. But constant negativity drains the other team members of enthusiasm, energy and self esteem. So Nigel and Nancy need to be confronted with their behaviour. This can best be achieved if all of the other team members individually feedback the effect of this behaviour on them. An 'I message' is the best approach for this—such as, "Every time I put forth a suggestion your negativity frustrates me and I find it hard to work with you."

Blaming communication
Blamers spray blame around, effectively stopping reflection and scrutiny of their performance and behaviour. However, their impact can be reduced by fostering a learning environment, as well as the use of 'I messages', peer pressure and individual feedback. Find out what the blamer's issues are and try to address them one by one.

Superior communication
'Superiors' frequently order people about, direct, advise and moralise. They are also very skilled at withholding information. Such behaviour sets up team members for frustration, resentment and sabotage. But 'superiors' and their behaviour can be addressed with individual assertiveness and 'I messages'

Dishonest communication
Dishonest communicators frequently fail to practice listening to understand and fail to display empathy. They also display circumlocutory communication—also known as 'talking around the issue, not addressing it'. It's kind of like casually wandering around the outside edge of a garden when what's really required is to walk confidently through the middle of it. DIshonest communicators also often use royal or imperial 'WE' statements—as in, "We are not amused", when in reality it is just they who are not amused. They also deliberately choose to not address unprofessional behaviour or behaviour that is damaging to the team and its mission. All of which leads to a dysfunctional team. But it can be addressed: everyone in the team must insist on open, honest communication, foster mutual respect, stop blaming, bullying and harassment.

Selective communication
Selective communicators only tell what they think others need to know, hence keeping themselves in a position of power over the other team members. Such behaviour can be effectively addressed through assertive requests for having access to all the information.

Managing personal criticism

It is always discomforting to be on the receiving end of criticism. It hurts! Ouch!

But there are ways of managing your feelings when someone 'has a go at you'.

1. Listen to understand

• Listen with your ears, your eyes and your senses

• Engage your mind and disengage your emotions—pack them up (remember, YOU are in control of what you think and feel)

• Be flexible and accommodate another view of the problem or issue

• Evaluate, discriminate and judge the decision you make

2. Don't go into 'defensive' mode

3. Use an 'I message'— such as, "When I am just simply criticised I feel angry and hurt and disregard the information. However, I would welcome constructive feedback."

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When you match consumer psychology with effective communication styles you get a powerful combination. Lee Hopkins can show you how to communicate better for better business results. At Hopkins-Business-Communication-Training.com you can find the secrets to communication success.

I Said Pareto Chart Not Potato Chart

Writen by Martin Pl

Does this sound familiar? You were hired for the new management position. You were tasked to turn the numbers around. You take some time reviewing the current situation. Now it's time to take a look at the current processes and get your staff together to analyze the data. You tell them that you want to brainstorm; work on a few mind maps, whip out a couple Ishikawa's to get started and then have them bring Pareto charts relative to their respective functions.

One of your department heads looks at you and asks "Ishiwhat?" "You know," you reply, "a fishbone diagram." Still blank stares. "Cause and effect?" you say as you scribble out a trout carcass on your white board. Still nothing. You're starting to think the elevator doesn't go all the way to the top. You've got your work cut out for you. So you decide to punt. "Ok, let's just start with the Pareto charts," you concede. "Sir, what is a potato chart?" asks another supervisor. "Let's take a five minute stretch break and then meet back in here so that I can welcome you to the world of Pareto charts.

A Pareto chart looks similar to a bar chart. It has columns and it also has a line graph. Generally number of occurrences (frequency) is listed on the left side and percentage on the right. This type of chart is used to graphically summarize and display the relative importance of the differences between groups of data. For example, perhaps you have determined, or at least speculate that your widgets are being rejected due to – improper fittings, defective sorting machine, too large or too small, or other. If you look at the reports or studies and gather data on each of these reasons for failure, you can then plug the numbers into a chart. You may have assumed the reason for rejection was because the widgets were too large to fit through the tunnel. However your numbers may actually show (the data will validate) that indeed there was nothing wrong with the size of the widget, but rather the sorter was bent, thereby causing the good pieces to bounce into the reject bin.

Typically you isolate five categories to measure. A Pareto chart can be constructed by separating the data into categories. Let's look at another example. If your business was investigating the delay associated with processing mortgage applications, you could group the data into the following categories: No signature, address not valid, illegible handwriting, existing customer and other.

The left-side vertical axis of the Pareto chart is labeled Frequency (the number of counts for each category), the right-side vertical axis of the Pareto chart is the cumulative percentage, and the horizontal axis of the Pareto chart is labeled with the group names (categories) of your response variables. Are you getting the idea? Your bottom row will be labeled: No signature, address not valid, illegible handwriting, existing customer and other. Each title will have a corresponding column associated with it.

Next determine the number of data points that reside within each group and construct the Pareto chart in a spreadsheet program; Excel works very well for these types of charts. The difference between a Pareto and a typical bar chart is that the Pareto chart is ordered in descending occurrence importance.

Once you have your Pareto constructed and you can visually see what the data is telling you, and you will be able to answer a few questions. You will be able to determine the largest issues facing your team, department or business; you will be able to see what 20% of sources are causing 80% of the problems; and lastly you will know where you should focus your efforts to achieve the greatest improvements.

No more guess work. You won't be needlessly wasting more time and money trying to fix problems that weren't broken. Call a staff meeting and get to work on your potato, er a Pareto Charts!

Martin is w well-known speaker for Business Management and Event Planning Management. He always hold talks and was always visited as a guest speaker at Event Planning and Business Management. Get more info at http://event-planning.eclicksoft.com

Root Cause Analyses

Writen by Jan Stringer

The sole purpose of the root cause analyses is to identify the smallest number of issues that can be shown to drive, control, or predict the largest number of issues within an organization. Few survey research firms have the capability of determining an organization's root causes because the capability stems from an intimate understanding of psychological research and higher order statistics, and few firms employ individuals with such education and training.

As a result of conducting empirical research through NBRI, management is challenged by both the advantage of incisive, astute intelligence of the psychology of the target population, and what is often the overwhelming task of relating, organizing, and prioritizing a large number of issues.

Some organizations choose to limit the amount of information they obtain in an attempt to avoid 'information overload'. However, it is clearly best to gather all of the customer survey and/or employee survey information one can while expending the time and effort to do so, as the costs associated with total inclusion are minimal as compared to conducting additional, follow-up research studies. Of greater importance, limiting the amount of information necessitates choosing between issues, often resulting in the omission of certain issues that may, in fact, prove to be key to the organization's success or failure.

Still, gathering comprehensive information is of little value if it is not used to benefit the organization. It is imperative that the information be turned into action as expeditiously as possible. The task of relating, organizing, and prioritizing a large number of issues is subject to time and manpower constraints within any organization, and is best completed by the research consulting firm. Without immediate direction for action plans, research data represents wasted funds, wasted information, unfulfilled expectations, frustrated managers, and an organization that has failed to maximize the opportunity to develop to its full potential.

To turn massive amounts of information into action quickly and effectively, management needs to know the dominant, primary causal factors for the results of the study. For example, we may find that job satisfaction is low and turnover is high in a particular division of a company, while we also find that the same employees feel their compensation and benefits, working relationships, and life balance issues are all at satisfactory levels. Interventions aimed at addressing low job satisfaction, through better job descriptions, training, or career planning, may well decrease the high turnover, but unless it is the root cause of the turnover, the effect will soon fade, and the organization will be faced with the same difficulties it had before the research.

To conduct root cause analyses, correlations between each survey item and all other survey items must be conducted. This is a time-consuming exercise for large bodies of data. The correlations are used to identify the items to be used in the regression analyses, which are conducted stepwise, and then linearly on the data. The stepwise regression analyses eliminate those items that exert lesser amounts of influence over the data, and the linear regression analyses provides input to the path analysis, the final 'line up' of the primary, causal factors, and the levels of significance of each.

In our real world example above, it was found that the management style present in the division of the company experiencing the difficulty with turnover was responsible for the low job satisfaction. In particular, it was found that supervisory training in communications skills would reduce turnover to a greater extent than any other intervention. This intervention was implemented, and the desired results were obtained. Indeed, with root cause analyses, turnover as well as several other concerns not mentioned herein were effectively and efficiently treated with optimal results and minimal interventions.

Clearly, time is of the essence. Organizations must act while the information is fresh, expectations and receptivity are high, and gains from the research can be realized. The Root Cause Analyses provide management with the bottom line of their research studies, so that organizations can be developed comprehensively, to the highest levels possible, as quickly as possible, surpassing the competition in all regards.

Dr. Jan Stringer is a member of the American Psychological Association, and she has authored numerous articles and publications about surveys, training, and employee and customer satisfaction. You can click here to view a free Web-based Customer Satisfaction Survey Demo.

Try Listening For A Change

Writen by Larry Galler

We are a society of people who work hard at the art of persuasion. We work to persuade our customers and prospects, our co-workers, our children, and just about any one else we can get to listen to us. But we're not too good at listening and that is a shame because opportunities come when you listen hard.

The customer will tell you about a problem they have. Solve it and you will have a long-term customer and maybe even a raving cheerleader. The prospect will tell you why they are holding back in purchasing your product. When you overcome their objection they will buy from you. The co-worker will tell you about an idea to build your widget better. If you utilize that idea you can do a better job of satisfying your customers. The child will tell you – I can tell you lots here from personal experience but this is the business section of the newspaper and anyhow, I'm not qualified to write about parenting.

Business is a constant learning experience. The best teachers are those around us, those we rely upon and those who rely upon us. But often do we actually listen to these teachers. How often do we treat conversations as learning experiences? How often do we ask questions, then probing questions for clarification? How often do we create opportunities to have these conversations, how often are we "too busy" to take the time to create these opportunities?

I'd like to challenge you this week. I'd like you to create just one listening opportunity with someone knowledgeable about an aspect of your company. Ask one question, "what can we do to improve (whatever that aspect is)" and then just listen. Perhaps ask a deeper question to better understand the issue or to clarify the message. Please do not start a debate, just listen. I think you will be impressed because the people who purchase or make or deliver your product may know much more about it than you do. They work or live with the product and they have probably thought of improvements but won't speak unless someone listens. Create that opportunity and then… listen for a change.

Larry Galler coaches and consults with high-performance executives, professionals, and small businesses since 1993. He is the writer of the long-running (every Sunday since November 2001) business column, "Front Lines with Larry Galler" Sign up for his free newsletter at http://www.larrygaller.com Questions? Send an email to larry@larrygaller.com

How To Play A Winning Game

Writen by Saleem Rana

In business as in life, forces are at work that determine the outcome of things.

These forces, for want of a better name, are psychic forces.

I would like to wax on two of them here for a moment, as they pertain to something that you may find highly relevant. They are the forces that determine failure and success.

While life is too complex to identify these two forces as the only ones, they are elemental enough to have a major impact.

The first force is called the gathering force.

The second force is called the scattering force.

They are diametrically opposed to each other; use the first, and you win; use the second, and you lose.

The gathering force is focus and attention. When you use it, you are in the right mood, doing the right thing, with the right people. You have a vision, a plan, the right knowledge and skills, and apply the appropriate action. You learn from feedback, whether positive or negative, adjust to it, and move forward with your venture. There is cooperation, harmony, and even love when you use the gathering force.

The scattering force is lack of focus and inattention. When you use it, you are in the wrong mood, doing the wrong thing, with the wrong people. You have no vision, a vague plan, insufficient knowledge and little or no skills, and act impulsively. You fail to learn from feedback, either ignoring it or taking it personally, fail to adjust to it, and make no progress with your venture. There is conflict, disharmony, and various levels of hatred when you use the scattering force.

Of course, people don't use the scattering force intentionally. It just seems to happen. It is an inchoate, unformed, and eventually chaotic state; while there is an attempt at order, it is insufficient, the center does not hold, and things fall apart. The result is bitterness, hatred, and rejection of all learning and understanding.

Since you are now more fully aware of the value of the gathering force, you can use it to play winning games and to abort losing games and start over.

Saleem Rana would love to share his inspiring ideas with you. Hunting everywhere for a life worth living? Discover the life of your dreams. His book Never Ever Give Up tells you how. It is offered at no cost as a way to help YOU succeed. http://www.theempoweredsoul.com/enter.html Copyright 2004 Saleem Rana. Please feel free to pass this article on to your friends, or use it in your ezine or newsletter. It's a shareware article.

The Long Amp Winding Road To A Comprehensive Business Plan

Writen by Pam Ivey

If you don't know where you're going, how are you going to get there and, come to think of it, how are you going to know you're there if you arrive?

The business plan. Okay, okay. I can hear your sighs and groans already. But a business plan needn't be boring and dry. Gaining insights into your target market, learning about your competition and projecting income can be kind of exciting. Yes, I'm a bit of an "information freak" but you, too, can find many interesting details when researching for your plan.

Many of us just plain don't know where to start. It's no surprise - they sure didn't teach it to us in high school, which was a real disservice, if you ask me. Did you know that 99% of all businesses in Canada are small businesses (companies comprised of fewer than 100 employees)? It's beyond me why we don't better educate our young students in entrepreneurial activities, but then, I digress. Let's get back to your business plan.

A traditional business plan is made of up a number of topics such as, the executive summary, company fact sheet, company overview, market overview, target market, competitive research, a marketing plan, financial projections, break-even analysis, S.W.O.T. analysis (strengths, weaknesses, opportunities, and threats), and worst-case-scenario. Think of it as the roadmap guiding your business toward the goals you have defined in your plan.

How, exactly, does one go about preparing a business plan? Well, the best place to begin just may be your local library or your computer, to use the vast array of resources on the Internet. Research your target market and competitors. Utilize resources available through banks and trust companies to predict your income and expenses. Be creative!

I know it sounds a little daunting, but if you take it in bite-sized pieces, it can be accomplished in a few weeks. "A few weeks?!" you moan. Well Rome wasn't built in a day, was it? A pretty important piece of real estate – and your company is just as important to you. You don't really want to rush through the planning of something as critical as your business, your livelihood, your dream, do you? I didn't think so. So take the time, do your homework and celebrate your business' success!

Pam Ivey is founder and partner of Visual Persuasions Canada, a boutique agency which offers comprehensive marketing and design services tailored to Real Estate Professionals.

Top Consultant Asks How Can You Manage A Losing Team

Writen by Dr. Gary S. Goodman

Jim Tracy was the skipper of the Los Angeles Dodgers for several seasons.

His winning percentage wasn't great, but he led the team to the post-season at least once.

Then, reportedly in a dispute with management about the length of his contract extension, he bolted and signed on as the leader of the Pittsburgh Pirates, a team that has been losing for decades, and really has done a lot worse that the Dodgers.

How, I asked myself, could Tracy go from bad to worse?

In other words, how could he embrace the idea of managing a sure loser?

Yes, you could retort, "For the money, dummy!" but I think that's only part of the story.

I think he relishes the challenge. If he turns that team around, he'll be a hero, somewhat like what Jim Leyland experienced in Florida after he brought a world championship to the Marlins.

In a way, Tracy's choice is a sure winner.

Consider this. If the Pirates keep losing, who can blame him? They're the train wreck, so to speak, and he's merely the attending physician. The best you can expect of him is triage. He can't save EVERYBODY, right?

But again, if he finds a way to win, or at least to improve their record, he'll be highly regarded.

That's very different than being in charge in LA, where you're expected to deliver, and pronto.

As I write these words, things aren't looking good. Tracy's team has just lost its 12th game in a row.

This is only the second time that has happened in the franchise's history.

Maybe it's tougher to manage a losing team than I thought!

Dr. Gary S. Goodman is the best-selling author of 12 books, over 600 articles, and the creator of numerous audio and video training programs, including "The Law of Large Numbers: How To Make Success Inevitable," published by Nightingale-Conant-a favorite among salespeople and entrepreneurs. For information about booking Gary to speak at your next sales, customer service or management meeting, conference or convention, please address your inquiry to: gary@customersatisfaction.com

Structure Boundaries Freedom

Writen by Joanne Victoria

Workplace boundaries will prevent you from reacting to others' interference and getting angry at their disturbances.

No matter what size your business is, you need to set boundaries and provide structure to your workday. You determine your schedule, not your clients or vendors. If you decide your day starts at 9:30 AM, then don't answer the phone or turn on the computer until then.

Start the day with a good breakfast. Breakfast is the most important meal of the day. Break-the-fast like a king or queen. Don't forget the protein. Take frequent breaks during the day to give your brain cells a rest. Schedule in exercise for the body as well as relaxation for the brain.

Leave your office for lunch at least 3 workdays per week. It's much too easy to work through lunch, eat at your desk and ignore your personal needs.

Don't forget those evening meetings, whether networking or classes. Allow time to leave work, home office or a job, revitalize yourself, and be ready for these events.

If you work with others, learn to close your door or put a "Do Not Disturb" sign on your cubicle. It's difficult to concentrate when constantly interrupted. If you allow full access to co-workers, clients or vendors, you may wind up being angry or over-reactive to minor infractions.

The telephone works three ways: you can pick it up, hang it up or not touch it at all. Have voice mail or an answering service. Listening to incoming calls on an answering machine will only prove a distraction. Should I or shouldn't I answer that? OK, I'll pick it up. It's never as important as you think.

If you are working on a project, give it one hour of effort at a time. Check messages and decide the importance and urgency of these calls. Then decide if you need more protein. Athletes are not the only people who require constant nourishment. Using your brain is exhausting, but has never been given enough credibility.

Don't get 'stuck' on-line. If part of your marketing is focused on the Web with e-mail newsletters or similar marketing tools, hire someone to do the updates for you. If you value your time and have set a dollar figure for Web-update time, you can see the wisdom in having a less expensive individual perform this function. Use an employee, student, independent contractor or virtual assistant.

It's too easy to sit in front of the computer and get lost when that time could be better spent writing or going for a walk. Take care of yourself, first!

Mornings are best for detail work. The mind is refreshed and capable of high functioning. It's best to return phone

calls in the afternoon, especially if they are non-urgent. Critical thinking is best done in the morning. Delegate all your non-essential tasks. The more structure you have in your work, the more freedom you have.

As a last item, learn to say no. Say no to anything that does not fit into your annual plan and your goals. The purpose of creating your plan is to determine what you really want to do. If a request comes for a volunteer or paid situation that does not fit into your plan, just say no.

Saying 'no' is difficult for many people, especially if they are just discovering their boundaries.

Remember - always take care of yourself first!

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Publishing Guidelines: Thank you for publishing this article in its entirety including the resource box. When possible, please notify me of publication by sending either a website link or a copy of your ezine upon publication to: mailto:joanne@joannevictoria.com.
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Joanne Victoria, 20-year Vision and Business Coach helps empower entrepreneurs to build successful lives and businesses in a conscious manner. Author of 2 Books including:Lighting Your Path! How To Create the LifeYou Want and Vision With a Capital V: Create the Business of Your Dreams. http://www.JoanneVictoria.com
joanne@joannevictoria.com Orders: 888-503-2665 - Phone: 415-491-1344

Measure It First Then You Can Manage It

Writen by James Louis

If you can't measure it, you can't manage it. Companies may be able to survive for a while if managers aren't using data to make decisions, but they will eventually see their demise; likely sooner than later. Those companies to benchmark off are the ones who are not only surviving, but thriving! Pick your favorite phrase: TQM, Process Management, Quality Circles, Improvement Teams, Standards and Measurement departments or any other title you prefer. The function is the same. Look at baseline data – percentages, dollars, hours, quantities – and continuously monitor the performance.

There should not be any task that a supervisor or staff members perform that cannot be measured. If you can't measure it, you can't manage it. Take a fast food restaurant for example. There are a plethora of areas that can be measured such as days without an accident, customer wait time in line, length of time burgers are in the warmer, amount of money off in the drawers, customer complaints, etc. Graph it out and keep a spread sheet of your figures. Clearly you're looking for improvement. If there was a decline, brainstorm, find the root cause and then fix the problem.

The process is the same no matter what industry you're managing. Whether you manufacture widgets, if you are the CEO of an internet marketing firm or if you sell cookies, take a look at all the steps involved in day to day operations. Assign values to the process. Set goals. Review the results on a daily, weekly or monthly basis. Remember, if you can't measure it, you can't mange it. Charts and graphs are an excellent tool to visually remind you of where you have been and where you plan to go.

In the midst of measuring your subordinates' performance, don't neglect to measure and manage your own operations. Don't think for a minute that your boss isn't looking at your performance. And if you're the top dog, you had better be managing yourself well, or you will never succeed at managing others

James Louis writes about things that impact our society. His years of experience in finance prompts him to write about and share his insights about different aspects of the financial world. One of those insightful subjects is Structured Settlements. For more information visit his Structured Settlement site.

Title Proliferation

Writen by Mike Myatt

I have recently been doing quite a bit of work in the European Community and more particularly in the UK. One of the things that I've found interesting is that many of our European brethren are not familiar with the term "C-suite executive". As the yank from the colonies I've found myself attempting to rationally explain the phenomenon of "Title Proliferation" (which is comprised of "Title Escalation" and "Title Inflation") that we've experienced in the US over the last several years. After a few explanations and a little reflection, I thought this topic worthy of today's blog post (or blog venting session as the case may be).

It wasn't that long ago that we only had a handful of C-suite positions: Chairman of the Board, Chief Executive Officer, Chief Operating Officer and Chief Financial Officer...Oh what a wonderful era when Corporate America was a simple place where a president was a president and not a division manager posing as a president.

All kidding aside, in this author's humble opinion there are legitimate needs and corresponding uses and benefits for certain titles when applied appropriately for true corporate benefit. That being said, I'm never thrilled to be called on by someone who introduces themself as something more than the reality of who they really are...Clever marketing is one thing, but gross embellishment is quite another.

Let's see if we can't make sense out of this debacle by first defining the difference between title escalation and title inflation. Title escalation is the creation of a new position which in turn truly requires the creation of a new corresponding title. Title inflation on the other hand is bestowing a grandiose title upon someone who is either underqualifed or otherwise not legitimately deserving of the title. I believe the phenomenon of title inflation in the US to have been started in the banking industry...I woke up one day and suddenly found that anyone who was not a teller was a Vice President of something or other…Let's examine the current list of C-suite titles (excluding the ones mentioned above):

• Chief Strategy Officer

• Chief Information Officer

• Chief Technology Officer

• Chief Investment Officer

• Chief Innovation Officer

• Chief Talent Officer

• Chief Marketing Officer

• Chief Knowledge Officer

• Chief Compliance Officer

I'm sure that by the time this article gets posted there may be a few other titles that need to be added to the list. All puns aside, there have been times when I found myself completely in awe of the talent, experience and intelligence possessed by individuals that have held the aforementioned titles. In other circumstances I have been totally embarrassed for corporations that have allowed their entities to be represented by such extreme examples of form over substance.

So where did all these titles come from? If I'm candid, I can't say for sure, so what follows is my best attempt at reconstructing American title history and therefore should not be taken as fact. As I noted earlier, I believe that banks induced the inflationary period that has so tightly gripped Corporate America with regard to titles only to have insurance companies and other financial services firms follow suit. In America, as goes Wall Street, so goeth the rest of Corporate America. Yes the heard mentality is still alive and well…

Title Escalation on the other hand (at least where used appropriately) simply evolved over time to keep pace with corporate growth and maturation. By way of example, when corporate finance became so fractionalized by complexity and specialization, it was necessary to draw a distinction between investment and finance and thus the duties, roles and responsibilities were divided between the Chief Financial Officer and the new role of Chief Investment Officer. The same holds true for advancements in all practice areas and disciplines…As technology became more advanced, staffs and budgets grew as did corporate dependencies a various platforms, environments and toolsets and thus the need for more senior leadership positions such as Chief Information Officers and Chief Technology Officers. When marketing evolved beyond buying media in print, TV and radio mediums to managing multiple brands across multiple mediums on a global basis the Chief Marketing Officer was born and the list goes on…

When all is said and done, I believe necessary and appropriate title escalation by design is a valuable and needed evolutionary phenomenon that constantly pushes the envelope of innovation and is good for business. It is the unnecessary, illogical and harmful aspects of title inflation that I take exception to.

So there you have it…I've been referred to as the world's greatest repository of corporate dribble and in this post I think I've lived-up to my billing…Thanks for allowing the venting session.

Mike Myatt is the Chief Strategy Officer at N2growth. N2growth is a leading venture growth consultancy providing a unique array of professional services to high growth companies on a venture based business model. The rare combination of branding and corporate identity services, capital formation assistance, market research and business intelligence, sales and product engineering, leadership development and talent management, as well as marketing, advertising and public relations services make N2growth the industry leader in strategic growth consulting. More information about the company can be found at http://www.N2growth.com or by viewing http://www.N2growth.com/blog

Are You Making It Fun At Work

Writen by Larry Galler

Almost all of us love to play games. Toddlers are intrigued by games of manipulating colorful shapes. Seniors crowd bingo halls. Every generation plays games of skill and games of chance from chess to backgammon to tic-tac-toe. Games can be social events, team events or solitary challenges. We watch games filled with vicarious thrills on reality TV. Games are part of the fabric of our lives and have a place in business also.

Most games can be broken down into three parts: a challenge, a strategy, and a reward. Surprisingly most business endeavors consist of the same three parts: challenge, strategy, and reward. Yet when we approach a challenge in a work context, we normally think of it as "work" rather than "fun." But what happens when we make that task at work into fun by turning it into a game? If it is done thoughtfully, respectfully, and creatively a game can increase staff enjoyment and customer satisfaction.

Is there an undesirable task that must be done? One game oriented manager has everyone in the department (himself included) pick one card from a deck and the unfortunate person who picks the lowest card gets the task.

In a high-pressure atmosphere dealing with fast response shipping one company has developed a game where teams race each other (with points off for errors).

Look at the tasks that your business does. What is dull and repetitious? Can you make a challenge out of it? Within the context of a game atmosphere can your group develop strategies to do that task better? Cheaper? Faster? What will the rewards to the organization are if you can meet the challenge? How will the team members be rewarded when you meet the challenge? If you make it a game and make it fun it will focus attention on the task at hand. Competition can transform individuals into team members who work together better. Spirit and morale is heightened. Productivity is increased.

If work becomes fun (note that I mean serious fun), everyone – customers, staff, and management wins the game. Work to make work fun and see what winning feels like.

Larry Galler coaches and consults with high-performance executives, professionals, and small businesses since 1993. He is the writer of the long-running (every Sunday since November 2001) business column, "Front Lines with Larry Galler" For a free coaching session, email Larry for an appointment - Larry@larrygaller.com. Sign up for his free newsletter at http://www.larrygaller.com

Accounts Receivable Factoring Basics

Writen by Marco Terry

Having to wait up to 60 days for commercial customers to pay their invoices can be one of the biggest challenges that owners of small to mid size companies have to face. Waiting to get paid is not usually an issue for well-established companies that have a significant cash cushion in the bank. However, it can seriously affect smaller companies or companies that are going through a significant growth phase.

Most owners react to this cash flow problem by going to the bank, hoping to obtain a loan or a line of credit. However, banks have strict lending guidelines and seldom lend money to businesses that cannot demonstrate three years of profitable operations and cannot provide audited financial statements. Furthermore, most bank financing products tend to have arbitrary limits, which are based on your existing financial capacity, rather than your projected growth.

What growing businesses need is a form of financing that is tied to sales, allowing you to get more working capital, as your company grows. Furthermore, the solution should work for small and mid size businesses that may not have established credit histories, but that have great paying customers. Is there such a solution?

If you are in a situation where your business is growing and selling products or services to great credit worthy customers, you should consider factoring your invoices as a possible solution. Accounts receivable factoring allows you to convert your slow paying receivables into cash, by financing them through an accounts receivable factoring company. Accounts receivable factoring is a flexible line of financing that is directly tied to your sales. Basically, the more you sell to good customers the more financing you can obtain.

The process is fairly simple. Once an accounts receivable factoring agreement has been established, you send copies of your invoices to the factoring company, who in turn advances you a significant portion of their value. A small percentage is usually not advanced and kept as a reserve to cover disputes/etc. You obtain immediate funding to pay for company expenses and grow the business, while the factoring company waits to be paid by your customers. Once they get paid, they will rebate the funds that were kept in reserve and charge a small fee for the service.

Accounts receivable factoring is an ideal product for companies that are growing quickly and cannot afford to wait 30 to 60 days to receive payment from their customers. It provides you with the necessary financing to operate and grow your business, and as opposed to bank products; it's easy to qualify for this service.

Invoice Factoring Group

Invoice Factoring Group is a factoring company that can provide you with a free accounts receivable factoring or receivables factoring quote. Marco Terry, the president, can be reached at (866) 730 1922.

Copyright © 2006 Commercial Capital LLC. Document may be reproduced provided it is not modified and all links are kept live.

Hiring A Good Employee What To Ask In The Interview

Writen by Michele Redmond

Personally, I am not fond of the whole interviewing process. Unfortunately it's a necessary part of growth, which I am fond of. It definitely is easier if you have a procedure that you follow when interviewing people for a position in your company.

I am the co-owner of a small business with only 6 employees. We have fairly small quarters to work in, and it is a friendly family atmosphere. When we need to hire someone it is important that we find someone not only very qualified but that will fit into our organization.

Since my business is a technical one (medical billing) it is also important that I hire someone with a brain. I don't mean that to sound insensitive, but the truth is I am hiring for a position that will require thinking. (I have actually considered putting that in the ad "Data Entry With A Brain")

I have found that since we have gone to a list of preset questions we have had very good luck with our hiring. The last 3 people we have hired have been good choices. Prior to the last three, we interviewed and hired a person without a preset list of questions and it was horrible.

First of all, the interview starts when the person responds to your ad. Do they follow instructions on how to apply? If you put "no phone calls" then they shouldn't be calling you, etc. How is their response? If you request a resume it should be neat and up to date. It should, even though it is not required, have a cover letter. Is the experience on the resume related to what you are hiring for, or is it not crucial for the position?

You should look the resume over carefully. Look for unexplained gaps in their employment. Also look for any clues as to why the person may be applying for your position. If they are just graduating from college, and your job is not in their field, they may be looking for a temporary position. This may be ok for you, but for us, we don't want to go thru the training necessary for a temporary person. Make notes on the resume of any questions you may want to ask them in the interview.

It should be easy for you to reach the person at the number that they provide you with on the resume. Or at least you should be able to leave them a message. Listen the how the person answers the phone, or the message on the machine. These are little clues as to who the person is. If you have to leave a message, they should return the call within a reasonable time.

Once you set up an interview time, pay attention to when the person arrives. Preferably they should arrive at least 5-10 minutes ahead of the scheduled time. Their appearance should be neat and presentable for the position they are applying for.

When the actual interview begins, you should have your list of questions in front of you, with a pen to take notes with. Write down your comments next to the questions as the person answers them. The following is a list of good questions to ask during the interview to help you get an insight as to who the person is:

Why are you applying for this position?

What type of job are you looking for?

If you are currently employed, why are you looking to leave your current job?

If recently unemployed, why did you leave your last position?

What would you say is your strongest quality (qualities)?

What would you say is your weakest quality (qualities)?

If I were to speak to one of your recent employers, what would they tell me is your best quality?

What would they say is your worst quality?

How much work have you missed in the past year due to sickness, or unexpected reasons?

What is the reason for the most time that you miss?

Do you take regular vacations every year at the same time? (Christmas? Summer vacation?)

Do you require medical insurance?

What would you like to be paid? (Not that you are going to pay them what they ask, but it is helpful to know what they think that they are worth. We recently interviewed someone who asked for less than we were willing to pay!)

Give an example of a situation that would arise in the position that they are applying for and ask how they would handle it. (When we are looking for a data entry person, we ask them how they would handle it if they fall way behind on the schedule that we have them on. I know it seems like everyone should know the 'correct answer' to that question, but it stills helps you to see what type of person they are by their answer.)

When would you be available to start work? (Again, this question will show you what type of employee they are. If they are currently employed, you would want them to give the current employer notice and not just walk out leaving them high and dry.)

When the interview is over, you may want to indicate to the person when you expect to make your decision. Once we interviewed a person for a specific position and during the interview we determined we didn't think that the person was qualified. We advised her that we didn't think she was qualified. She asked us what duties we felt she wasn't qualified for and then stated that even though she didn't have the experience we were looking for she felt she could learn the jobs that we needed done. We decided to take a chance on her and it turned out to be a great decision. So sometimes it pays to let the person know how you are leaning during the interview.

The above list of questions can be a good start to a successful interview. All of the questions may not pertain to your particular situation but you can use the list as a guide and change the questions to fit your situation. The important thing is that you go into the interview with a plan.

Michele Redmond is co-owner of Solutions Medical Billing and has been in business since 1994. She has a bachelor's degree in Computer Information Science and is responsible for the medical billing for over 50 providers. She currently has 6 full time and 1 part time employees. For more information on medical billing visit her website at http://www.solutions-medical-billing.com.

4 Keys To Managing Six Sigma Effectively

Writen by Tony Jacowski

Managing Six Sigma calls for a multidirectional approach as guided by industry specifics, projects on hand, expertise level and commitment of upper management as well as the goals envisioned by management.

Managing effectiveness in Six Sigma can be defined as well directed efforts to successful deployment of the methodology to the project which is chosen to give you the best results. This helps to improve the company's bottom line.

Managing Six Sigma Effectiveness

Experience and research over the years have time and again proven that grooming leaders results in maintaining the competitiveness that corporations need. Consequently, the end result of this is seen as improvement to profitability and sustainable and predictable constant improvements.

Effective Leaders: Key contributions to the effectiveness of Six Sigma deployment are by the leaders of high caliber. The leaders like black belts, master black belts and champions are central to the success of the project. Black belts have to standup to face the challenges during the implementation stages if the implementation has to succeed. The resistance that might crop up has to be dealt with using a practical approach.

Selection Of The Right Tools: If black belts are central to the successful implementation of Six Sigma, correct selection of tools is what helps to steer the project towards improvement. Statistically, each one of the tools must be able to measure and show in which way the project is progressing. The right tools set up checks and balances as each activity in the process can be measured against its original value. Accuracy of measurements and verification sets the stage for mid-way course correction, if needed.

Creating Communication Channels: The utmost importance must be placed on establishing and utilizing communication channel for all purposes. This does not stop at just communicating matters of project development but must include human resource plans that aid role players of Six Sigma. Regularity of communication in both written and verbal form is essential so that everyone involved is kept abreast in order to help foster communication. But the main advantage that regular communication brings about is clarity about the status and progress of the project. While developing the communication channels, it should be disseminated so that it is understood by all involved.

Establishing An Effective Project Tracking System: Tracking the project effectively is at the core of managing Six Sigma effectiveness. The essence of effectively managing projects lies in the hands of Champions and Black Belts. A watchdog committee of Black Belts and Champions must ensure a few key aspects such as developing documented project inventory for at least one year, assuring linkage of customer needs and critical business needs with the project, along with establishing an optimized project scope and size. Although documentation in itself does not ensure the success of Six Sigma, it must be taken as the first step towards establishing a permanent culture for the company to follow.

Cost of quality and improvement should be the focus in Six Sigma implementation. One must keep in mind that the transition to problem solving from data collected is continual for optimal effectiveness of Six Sigma implementation

Tony Jacowski is a quality analyst for The MBA Journal. Aveta Solutions – Six Sigma Online ( http://www.sixsigmaonline.org ) offers online six sigma training and certification classes for lean six sigma, black belts, green belts, and yellow belts.

Nine Vital Lessons For Avoiding Training Fads That Waste Time Money And Enthusiasm

Writen by Bill Robb

Unfortunately, at least two thirds of much of the training and development effort undertaken by organisations to develop their people is wasted.

This is such as shame isn't it? Waste of money is bad enough but even more serious is the waste of human energy and enthusiasm. I've witnessed organisations and their people suffer for weeks and months under the latest management fad only to find they're no further forward – or worse off.

Here are nine vital lessons from hard experience that will help senior managers plan and buy better training interventions.

1. Start at the "coal-face".

Ask people in specific departments, projects and teams what they need to help them do even better. This "bottom-up" approach encourages people to offer their own suggestions for better training, better systems and better communication. Allowing people to express what they see as the solution is motivating because it is "not management dictating" and because they see a chance of some action! This bottom-up approach often reveals problems and bottlenecks that have been around a long time – hindrances people have got used to. Remember, most organisations don't have a mechanism for everyday problems to filter up to top management.

2 Work on may fronts simultaneously.

Real sustained improvement comes from the cumulative effect of lots of 5% improvements. For example, a project might be to improve the safety record of an organisation. One way to achieve this objective is to attempt attitude change through technical and behavioural workshops. However, this will not be enough. One has to simultaneously work on the leadership ability of supervisors, improving the quality of safety meetings, improving procedures and making safety literature have more impact.

3 Look for cures – don't just treat the symptoms

Many training courses only treat the symptoms. We send people on courses because we see something not being done as well as it could be. But what is causing the difficulty in the first place? Yes, tips on time management, team building and brilliant customer care, for example, are useful, but they won't work if the organisation, albeit unintentionally, puts barriers in people's way. Production and operations people often have to struggle because sales and contracts people don't consult them at an early stage about the capacity to fulfil the contract.

4 Accept that some solutions to the problem may be boring and uncomfortable to carry out.

The solutions to improving people's performance are usually straightforward. Some are so straightforward that people don't believe it and they look for something more "thorough"! "There must be something else!" That's why consultants and management gurus feel they have to keep coming up with new fads in which to package age-old principles.

Take leadership for example. The twelve or so basic principles of being an effective leader require neither great intellectual understanding nor large sums of money to apply. However, for whatever reason, some managers find it difficult to, praise genuinely, ensure people have accurate job descriptions, talk to people on a regular basis about their jobs, find ways to reduce unnecessary bureaucracy and to communicate regularly on topics such as company progress and strategy.

Many change initiatives fail because some managers are not prepared to do the mundane and boring tasks required. No matter how expensive and grandly named and intellectually exciting a people-development programme is, it will in the end come down to doing certain basics. We have to get managers to accept this reality and to motivate them to follow through.

5 Lasting benefit takes time.

As with all interventions it is possible to get some quick results – and that's good. However, the real and lasting benefits can only come with time. For example, when an organisation installs a new appraisal system, maximum participation and involvement occurs only when trust is established in the second or third year. This means that there has to be sustained action, follow-up and monitoring. One of the biggest complaints from managers on the Performance Improvement Workshops I run, is that "We'll do all this talking and deciding and then nothing will happen!" It's often the many small tasks that seem unimportant that make the difference.

Another example of ignoring the "gestation" element is leadership training. What good does it do to send someone on a crammed 5-day leadership course? What chance do participants get to reflect on and apply what they have learned on day one? People need time to develop because it's from application that the really important questions and learning come. Rather do one day per month over a few months.

6 Concentrate on HOW not what.

Experience proves that most people know what they should do to be a good leader, to give a good presentation, to manage their time better, to write an effective report and so on. Their real problem is that they don't know HOW to do what they know they should. This means that lectures and slides and theory about what should be, are a waste of time.

People want practical solutions to help them fix real workplace problems. In any workshop it is the participants who should be doing most of the talking and problem solving. The facilitator is there to guide the discussion and at times add additional advice from hard-earned experience. Lecturing, no matter how entertaining, does not usually change people's behaviours. People have to come to their own realisation of what is required and they do this by participating and having their views challenged. People don't need gurus, but experienced colleagues who can help them to see that they are, to a large extent, capable of and responsible for, solving their own problems.

7 Ignore the pseudo-science.

We humans, as rational as we are, are still tempted to find the "magic wand" – the cure-all. There isn't one! That's why, in my experience, psychometric tests, handwriting analysis, 360 degree feedback questionnaires, psychological team profiling, and surveys with 90 questions to assess the relationship between managers and their workers and "what our customers think of us", are a waste of time, effort and money. These schemes sound good but in reality they don't get results. To try to turn the results into numbers and pretend that they mean something is an attempt to avoid the straightforward but sometimes onerous work that has to be done to ensure success.

The worst example is an appraisal scheme where you have to rate a subordinate on a scale of 1 to 5 on twenty criteria, and average the result. Statistically it's incorrect to do this, but what does it tell you in the end? The appraisee and appraiser often end up having 20 disagreements on whether "it should be a 4 or a 5".

8 People learn more when they are relaxed and having fun

There is no place for silly game-playing that embarrasses people, or all-night sessions that put people under pressure to see if "they crack", or outdoor challenges which expose people's incompetence and fear. Only when people know they are not being "watched" and that they will not be "called to account for their words", will they be willing to take the risks required to face and deal with real workplace problems affecting their and their company's performance.

9 Set an example and think strategically about employment

In almost every Leadership or Performance Improvement Workshop I am asked this difficult question: "Why isn't our senior manager here – he/she needs this more than we do?" Several benefits occur when senior managers attend development events with their middle managers. Openness, commitment and mutual learning are fostered, to mention only one. For training and development to be really successful we have to do more to show that people are not just "human resources" like any other production input to be used during good times and fired in the bad. How to do this will not be easy.

Much of what you've just read is commonsense. However, for some people the advice offered here may seem unorthodox and simplistic. But, it works for all concerned and isn't that what counts in the end?

Copyright (c) 2004 Dr William Robb Electronic publishing permitted but publication in print prohibited without written permission

For 20 years Dr Bill has helped people and organisations improve their performance by asking a series of simple questions about why people are not doing what they know they should be doing. He delights in showing people that getting better results can be simple and straightforward. Bill enjoys getting to the heart of te matter – quickly. http://www.mytimemanagementsecrets.com/