Monday, May 31, 2010

barbers barmen and middlemen the three


Throughout this book so far, I've made reference to the fact that Paolo the Barber thinks, acts, and makes decisions like a business owner. I'm sure you can think of an instance in your own life where you have experienced a superior level of customer service and attention from the business owner, than you would have done if you had been served by a regular employee.Why is this?It's because business owners have a deeper connection with their company. They love their work, are passionate about it, and have an energy and commitment which is rarely seen in the wider workforce.Business owners understand that their actions have a direct impact on whether a customer will come back and repeat buyor go on and do their marketing for them.That's not to say that business-owner-thinking cannot be found deeper in a workforce. Certainly, people who think like business-owners exist in many companies, but there are all too few of them, and their efforts are often drowned out by a sea of mediocrity, composed of Middlemen, and Barmen.Barbers, Barmen and MiddlemenAllan Leighton, one of the UK's most respected CEOs, talks about a three level appraisal system. He categorises people's performances as brilliant, good and bad.I think this three level approach reflects the type of people -namely Barbers, Middlemen and Barmen - found in all companies.People like Paolo the Barber share all the traits of a business owner. He:? Is passionate
? Is in love with his work
? Understands the need to connect with customers
? Makes customers want to come back and buy
? Turns customers into raving fans who tell their friends and family about him.Because Paolo loves his work, it shows, and in Allan's scale, Paolo would be brilliant.You also have in your company people like the Barman. These are people who:? Are not connected to their work
? See their work just as a job
? Fail to see the connection between their salary at the end of the month, and the revenue which comes through the door from customers
? Have a lack of connection and enthusiasm for their work, and therefore fail to demonstrate any passion and energy
? Don't give customers a compelling reason to come back and buy.On Allan's appraisal scale the Barman would be bad, simply because people like him can never take your company forward. They are inherently the wrong people for your company and are a drag on the future success of your business.Let's say in your company right now, you have (more or less) 25% of your employees who are like Paolo the Barber, and 25% who are like the Barman.This leaves around 50% of people we haven't spoken about and who I call Middlemen and women. For the sake of simplicity in this book, I'll refer to them simply as Middlemen, as 'middle people' doesn't have the same ring to it!Middlemen neither share the passion and desire of Paolo the Barber, nor the negative energy of the Barman. They are somewhere in the centre. They neither over perform, nor under perform. Allan would say their performance is good, but 'good' in this case has a wide definition.Good is only good. It is not excellent, it is not brilliant.Good may give a customer a reason to come back and buy, but it may not. Customers want and expect excellence and brilliance. They want to be dazzled, thrilled and wowed! It's that level of excellence which will raise you to the top of your niche market, and it is that level of excellence which will make your customers return to you, and become evangelical about you.Good, in the eyes of your customers, is often not good enough.The only way for you to achieve this level of excellence is to have virtually every employee thinking and acting like Paolo the Barber. This means employees putting the needs of your customers first, being innovative and creative (because they love their work), being proud of and connected to their work, and understanding the direct connection between the revenues coming from your customers and their salary being paid at the end of the month.Unless you have everybody in your company elevating the level of service, care, and attention they give your customer, and being connected to their work at an emotional level, you will never stand out from your competitors and you will never fully turn your workforce into your salesforce.Let's explore a few typical business scenarios to see what people like the Barman, Barber and Middleman would do differently in each situation.SCENARIO 1: Ordering a coffee in a coffee shopYou go into a coffee shop and order a coffee. The worst case scenario comes when you deal with somebody like the Barman who doesn't care for you, his customer. Barely a word is spoken, barely a smile or greeting is exchanged and the transaction leaves you cold and emotionless.You know the person serving doesn't want to be there, and to them their job is just a job.If you ask for extra sugar or milk, you are greeted with little more than a grunt and a point in the direction of where the milk and sugar can be found.From your perspective, there is nothing in this experience for you to latch onto and certainly no reason to recommend this place to anyone else.You might get slightly better customer service from a Middleman, who neither under or over-performs, but sees your order purely as a transaction which has to be completed. If you are lucky you might be served with a smile and a bit of banter, but it is still seen as a regular transaction.This is fine from your point of view, as you get what you want quickly and efficiently, but it is nothing special and does not leave a lasting impression on you.Now think what your experience would be if the business owner was serving that same cup of coffee. Think if Howard Schultz, the founder of Starbucks, was behind the counter. What would he do for you?Remember Schultz is a man who is passionate about coffee, wants you to feel his same passion, and wants to make sure the cup of coffee he serves is the most perfect for you. Often I find that when I order a Tall Skinny Latte in Starbucks (or a cup of milky coffee anywhere else!), it physically weighs less than when I ordered it the time before. That's because the cup is filled with more froth than milk.I'm confident that Howard Schultz would never personally let that happen. Each cup of coffee would always be served at the right temperature, at the right weight, and would be offered with a warm genuine smile. I'm sure Schultz would serve it exactly as he would expect to receive it if he was a paying customer standing on the other side of the counter.Rather than asking if you would like anything else, I bet Schultz would recommend a special pastry of the day, or a new, special blend of coffee for you to try next time that he is particularly proud of.Schultz could say to you 'have a nice day', but it would mean something, where as if it was said by the other two employees, it would be said with varying degrees of sincerity, ranging from totally emotionless and insincere from the Barman, to a warmer statement from the middle 50%.Without question, Howard Schultz would leave you with a feeling that goes beyond a pure transaction; an emotional connection that would give you something to tell your friends about.Would you want to recommend this coffee shop to your friends and family? Most definitely. Would you want to keep visiting this coffee shop in the future? Certainly.The emotional bonds which would be created in that short transaction would be tangible and memorable, simply because Schultz is so proud of his coffee and the environment that he created, and it would shine and show through in everything he did.SCENARIO 2: Checking-in at the airportLet's imagine now another situation of you checking in at an airport.If at the check-in desk you were first greeted by somebody like the Barman who didn't care and didn't want to be there, again, the transaction would be cold and emotionless.Although the check-in attendant would be wearing the uniform of the airline and representing the brand of the airline, their actions would be inconsistent with the true values behind the brand.If you asked for anything out of the ordinary to someone like the Barman, it would become an obstacle. Their first word would probably be 'no' as they would be thinking more about their own needs and having to do a little bit of extra work, rather than meeting (or exceeding) your needs as the paying customer and the person ultimately paying their salary.If you checked-in and were greeted by one of the Middlemen, you could expect a much warmer greeting. They would probably have a higher level of understanding of your needs and notice for example that you were in a hurry and wanted to move through quickly to the departure lounge. Or they might notice you had checked in early and suggest some activities or entertainment for you before you board the plane. However, they wouldn't come anywhere close to the experience you would have if you were served by the very owner of the airline, for example somebody like Sir Stelios Haji-Ioannou Sir Richard Branson.These two guys would be proud of the airline they had created and they would be proud to wear the uniform representing the brand of Easyjet or Virgin Airlines. They would take time to understand your needs as a traveller, to find you the best seat in the case of Virgin, or to advise you of the best food and drink to buy on Easyjet. They might even be so proud as to tell you about the plane you were travelling on that day (why not, they bought it!).In either situation, the personality of the company and the brand would shine through leaving a lasting impressing on you, so that you would want to fly with them again and want to recommend them to your friends and family and tell them about the treatment you had which left you feeling so special.SCENARIO 3: Buying a ComputerIf you went to buy a computer from your local shop, you might be unfortunate enough to deal with a passionless employee, like the Barman. Someone who simply reeled off (in rote fashion) the specification of the computer, in the same way you could if you read the accompanying information sheet.Their level of service in helping you make a complex buying decision would be woefully poor, leaving you with no alternative but to find another supplier to help you through the maze of computer specifications. The shop would lose out on an easy ?1,000 sale.You might be lucky enough to be greeted by somebody like the Middleman, with a much stronger interest in computers, but who lacks the real conviction in their voice which gives you the certainty that you are buying the right computer.They would fail to fully understand your needs, and instead of trying to find the right computer for you, just want to make a sale, which would take them closer to their monthly bonus.Consider now if you walked into a computer supermarket and there serving you was Steve Jobs, the founder and CEO of Apple Computers.How more alive would that transaction be? How more engaging and passionate would it be when the architect of Apple computers helped you make your buying decision? His enthusiasm would be contagious and almost un-containable as he proudly presented the range of laptops and desktops machines to you, marrying your needs and wants to the features in the range of Apple computers.You only have to listen to Steve Jobs talk at one of his company presentations (which I've seen many times through streaming webcasts), to notice his language, which is rich and eloquent and his passion shines through.No other computer salesperson I know uses the words 'gorgeous and beautiful' to describe computer products. Only somebody who is truly proud of what they are selling, and believes wholeheartedly in the value they offer, would use these words with such sincerity and conviction.SCENARIO 4: Buying Household FurnitureThink finally of buying some household furniture, something my wife Jane and I did recently when we needed a new bed and sofa. Both items were around ?1,000 each, so not an insignificant amount of money to spend on one item.Although we didn't meet anybody like the Barman, we did buy a sofa from a salesman who was clearly one of the Middlemen, perhaps even on the lower side of the 50%.He was employed as a salesperson for a large national supplier of sofas who obviously spend millions of pounds each year developing their brand through advertising and using high-profile celebrity endorsements. In no way did this salesperson represent the values of the brand.In fact, along with his fellow workers, he was dressed as if he was ready for a stag-night with his wide-boy suit and spiked-up hair. His over-relaxed, unengaged, matter of fact way of selling simply did not fill me with confidence.When I asked him what the lead time for delivery of one of the sofas was, and what colour it came in, he eventually managed to drag himself to his feet and say, "Good question, I'll just go and find out". He came back rather reluctantly a few minutes later with the answers.Although he wasn't as bad as the Barman, he wasn't far off, but with the right training and development he could become more like Paolo.We eventually bought a sofa from him, and we also bought a bed from a local business and were served this time by the business owner.Here was a man who was proud of every product he had to offer. He was clearly knowledgeable; he took time to understand our specific individual needs and wouldn't let us buy the wrong product.He gave us total confidence and reassurance that the bed we had bought was without question the right bed for us. Having now taken delivery of it, there is no doubt in our minds that we made the right decision.With the sofa we bought, we both still have doubt in our minds that we chose the right one, but I'm sure if we had bought from the owner of that sofa shop (and not an unmotivated salesperson), we would have been assured that it was the best for us and would have been left in no doubt that it was the right decision.It goes without saying that Jane and I would recommend anybody to go and see the business owner at the local bed-shop, but I am relatively indifferent to the supplier of the sofas.What should be evident from these examples, is that if you have employees in your company who are like the Barman, you have zero chance of ever turning your workforce into your salesforce. It simply will not happen because they are unengaged, do not care enough, and this is reflected in everything they do.If you have people like the Middlemen who neither under or over performs, you will always do ok, but will never give customers anything to be excited or thrilled about. Customers will remain indifferent to you, as you are to them.However, if you have people in your company who share the same passion, belief and enthusiasm as the business owner, then that passion, belief and enthusiasm will be transferred to your customers. They will then walk away confident in their purchase, feeling special, and knowing that they had a remarkable experience in a market where most customer experiences are ordinary.It is not difficult for you as a company to elevate yourself to a position of leadership in your market, but first you must develop your staff - at all levels - to see themselves as business owners who are responsible for the success and ongoing growth of your company.To give your customers a remarkable and extraordinary experience that they rave about, you need to develop your staff into remarkable, extraordinary people who you rave about. You need employees in your company who Allan Leighton would say are brilliant.You need to develop your staff into people who think, act and make decisions like business owners.

Original :: barbers barmen and middlemen the three


Sunday, May 30, 2010

business owner thinking a new way of


It is now clear that to create a company which your customers rave about, and repeat buy from, requires you to have employees who operate at a higher-level un-experienced by most of your competitors. The highest level of performance you can expect from any individual is the same level of performance and commitment you would expect from a business owner - the very founder of the company.There is without question a distinct way of thinking which is business-owner-thinking. Business-owner-thinking has been around as long as there have been business owners.What many people forget is that all businesses were once started by a business owner, an entrepreneur. Even the great multi-national brandwhich exist today were once started by a business owner.Ford Motor Company, was started by Henry Ford in 1903. IBM was started by Tom Watson Snr in 1914. Coca Cola was started by Asa Griggs Candler in 1892 after buying the formula from John Pemberton. Nike was started by Philip Knight in 1972. McDonalds (as we know it today) was started by Ray Croc, and before that by Dick and Mac, the McDonald brothers who started the company in 1940. Tesco was founded by Jack Cohen in 1919. Sony by Masaru Ibuka and Akio Moritain 1946. Honda by SMichirM Honda in 1948, and Wal-Mart, one of the largest retail corporations in the world, was created by Sam Walton in 1962.The original founders of most large multi-nationals can be traced, even though many of them started their companies more than 100 years ago. But always when you look back in time, you'll find the founding business owner who had the idea, vision, ambition, and love for their customers to create something really remarkable.These entrepreneurs understood the basic rule for success - that the easiest way to grow a business is through repeat, happy, customers who do your marketing for you.Think of any multi-national brands today and you'll see that they each have loyal customers who repeat buy from them time and time again. The brand itself has become trusted, so that just the logo and the name stands for something that we believe in. Often we trust the brand just as much as we trust a recommendation from our friends or family.These mega brands have spent many years and many millions of pounds to imprint their image in our minds so we know what they represent, and what they stand for.You may not have the multi-million pound marketing budgets these multi-national companies have, but you can create happy, repeat customers who spread the good word of your company and what you stand for in the same way.The entrepreneurial spirit behind the brandAlways behind the spirit of the brand stands the founding entrepreneur who is the purest employee any company will ever have. In some organisations, the number of employees who have been and gone since the founder first started the company runs into hundreds of thousands, if not a million plus for large established companies such as the Ford Motor Company or Wal-Mart.But the importance of filling employee number 239,331 with the same spirit and energy as somebody like Henry Ford or Sam Walton remains essential to the success of any business.If employee number 239,331 doesn't embody the very essence of the entrepreneur, but is closer to the Barman or the 50% of Middlemen who neither over or under perform, then how can the company be true to its brand values?Developing, maintaining, and keeping alive the entrepreneurial spirit of business-owner-thinking in your company is essential to your continued and ongoing growth and success.In this chapter I'd like to introduce you to seven core principles of business-owner-thinking.When you look at any high-performing business owner, you'll find that these core principles run through their bones and are non-negotiable. They are the same principles that everybody in your company needs to live and breathe by.1. The only standard to aim for in business is excellence!The only standard in business for you and your employees to strive for is excellence. It is the only standard your paying customers demand and expect from you, and is the same standard you would expect if you were a customer of your own company.Excellence is a way of life, it's an inner ambition that everything you do, and everything you create and sell is at the highest level. Paolo the Barber knows this, just as all business owners know it.To illustrate excellence in practice, let me use the example of the famous UK Chef Gordon Ramsay to show how he constantly strives for excellence. His outstanding quest for excellence and quality has been officially recognised by his ever growing number of Michelin stars.Gordon Ramsay has himself become the brand, with his logo simply being his signature. When you see that logo, you have a high expectation of what you will receive, and you know it will be of an exceptional standard.Ramsay's employees have also become famous in the culinary world with his chefs becoming revered themselves and sought after, as they too constantly demand the same impeccable levels of excellence.Ramsay does not only have a full order book for paying diners who must book months in advance to get a table at one of his restaurants, but he also has a queue of trainee chefs who want to work for him, and who to want learn the secrets from a true master.If you in your own organisation set 'excellence and above' as the only standard, so that everybody in your company is committed to this goal, your customers and marketplace will very quickly recognise you for the true leader and innovator you are.They will reward you by repeat buying from you, and doing your marketing for you through their multiple word-of-mouth recommendations.But for that to happen, every employee in your company has to understand the need for excellence in everything they do. In a software company for example, excellence must be achieved at every step - from designing the software, selling it to a customer, installing it, or answering a technical question on the phone.In a motorway service station, excellence must be shown in the cleanliness of the toilets, the quality and freshness of the food, shelves being well stocked, the absence of litter, and paint work not being chipped. This is not just the responsibility of one person, it is the responsibility of every member of staff in the company to reach for a higher standard.At all levels across your organisation your employees must look at their own role and ask themselves, 'Am I doing this to the standard my customers expect of me, and am I doing it to the standard I would expect if I was a paying customer?'2. Business is not about what you want, but is about what your customer wants!All great business owners know that the success of their business has very little to do with what they personally want, but everything to do with what their customers want.However, when you deal with a company as a paying customer, you could often be mistaken into thinking that it is the other way round; that the needs of the employees come first, ahead of your own.How often have you stood in a shop, waiting for the shop assistant to finish their conversation with a colleague before they serve you? How often have you made contact with a company with an enquiry about a product or service, and left a message which they never responded to, simply because the employee wanted to leave early, or couldn't be bothered to deal with it?As is often said, the customer is king. Or in Japan, it is said that the customer is God, the highest deity. They recognise the basic fact that if you haven't got a customer, you haven't got a business.It appears that too few employees make the obvious connection between revenue coming through the door, and the payment of their salary, bonus or benefits. But business always has been and always will be about customers.Most organisations however are structured in the wrong way to be able to serve their customers at the highest level.Let me explain this a little more.If you think of your own organisation and draw it out in an organisation chart, I'm sure you'd put the CEO at the top, the directors, Vice Presidents and managers below, and then below them, the rest of your employees.By definition, customers come underneath employees, because it is the employees who deal with customers.If you draw the same shape and think of it as a pyramid, you will have the leadership at the top, the team in the middle and customers at the bottom. More often than not, the leadership at the top is unaligned with the rest of the team and customers.What great companies do (who are truly customer focused and understand the life-time value of customers, and the power of word of mouth recommendations) is to invert the pyramid and put their customers at the top.They understand that the whole purpose of a business is to serve customers, and that everybody throughout their organisation is responsible for keeping customers happy - whether they are customer-facing, behind the scenes in back-office, fulfilment or any other unseen area of the business.The retail company Nordstom, started in America in 1901, is legendary for its customer service and if you go to the Nordstrom website you'll see this very same inverted pyramid which is at the centre of their company's values.The Nordstom employee handbook is one paragraph long and encourages staff to think like business owners and to do the right thing at all times for their customers.3. The growth of your business is dependent on these two factors: maximising the life time value of your customers, and harnessing their word of mouth referrals.This is a subject we have already spoken about, but it is important to recognise that the success of your business is not about a one-off transaction with a customer. It is all about the life-time value of a customer, and the power of customers recommending you to others, and doing your marketing for you.Let me give you an example using Tesco, the supermarket.I could go to my local store and spend ?100 there. Tesco would be very grateful and say, 'Thank you very much for spending your money with us'.However, spending only ?100 once with Tesco would not make them the multi-billion pound mega-brand they are today.The success of Tesco comes from repeat buying from loyal customers who spend ?100 per week, every week, for 52 weeks of the year. That is ?5,200 over the course of the year.It comes from customers spending ?5,200 every year for the next 5, 10, 15 or 20 years, because they have loyalty and a connection to Tesco.But that would only ever happen if the customer continued to have an extraordinary and exceptional experience with Tesco and if Tesco continued to give them reasons to keep coming back and spending their ?100 per month with them.If, as a customer, you started to have a negative experience; if Tesco started to become complacent and take you for granted, it would become all too easy for you to switch your allegiance and start shopping at Waitrose, Sainsburys or Asda.The cardinal sin in business is to lose a customer through lack of care and attention.If your company is filled with people like the Barman, they give your customers no reason to continue to buy from you.If your company is filled with Middlemen, you will give your customers no reason to recommend you.But if your company is filled with people who think and act like business owners, who are passionate and in love with their work, who are engaged and alive, and put the needs of your customers first, then your customers will want to share their remarkable, memorable, experience with their friends, family and business associates.4. If your team don't believe, they won't be able to make your customers believe. If your customers don't believe in you, they won't buy from you!An essential trait of all great business owners and entrepreneurs like Steve Jobs, Bill Gates and Alan Sugar is self-belief and confidence. We'll speak more about this in the following chapter.But belief is an over-riding principle in the world of business-owner-thinking, because business is fundamentally all about belief. It's about creating belief in the eyes of your customers, because when your customers believe, three things happen:1. They buy
2. They buy again
3. They do your marketing for you.The way to create belief in the eyes of your customers is to create teams of employees in your company who believe passionately in your products and services, and believe in themselves.The way to create belief in your teams is to create leaders in your organisation who are inherently self-confident and believe not only in themselves, but have a rock solid belief in the products and services that your company offers.If the leadership of your company (including leaders at all levels) don't believe in themselves or in their products and services, they won't be able to make your team believe. If your team don't believe, they won't be able to make your customers believe. Clearly, if your customers don't believe in you, they won't buy!Understanding that so much of business is about confidence and belief is essential, and keeping belief high in your company (and doubt, fear and worry at bay) is one of your key roles as a business leader.It is important that you use people like Paolo the Barber (who already share your passion and belief) to your advantage, and promote them as leaders throughout your enterprise. I'll speak more about developing leaders at all levels in subsequent chapters.5. Innovation and change are the only way forward. Standing still in business is not an option.The fact of the matter is that business-owner-thinking and entrepreneurship go hand in hand, simply because all companies are entrepreneurial companies. After all, they were once started by an entrepreneur and for them to keep on growing they have to continue to innovate, and adapt and respond to the changing needs of their customers.Many people are fearful of the word entrepreneur, believing that entrepreneurship is about risk. It isn't, it's about results. It's about achieving results, more often than not, against all odds and with little or no resources, and who in business doesn't suffer from a lack of resources at some time?For you to have customers who want to keep buying from you, and keep recommending you, you must keep giving them reasons to come back and buy from you.In some instances, customers will buy the same thing from you time and time again; a cup of coffee from Starbucks is a perfect example. But very few companies can get by, by standing still, and not innovating or changing. Indeed Starbucks constantly changes its pastry selections, its coffee of the month, and its music CDs. It doesn't stand still; it is constantly innovating and changing its core offering.Other companies, such as HP, the computer giant, would be out of business in months if it failed to continue to innovate and change, because it is in an industry which constantly requires new design and innovation.It is hard to think of a company that doesn't constantly change.All businesses need to see themselves as entrepreneurial businesses, and therefore all businesses need to have employees who have an entrepreneurial spirit and business-owner way of thinking.If you can keep this entrepreneurial spirit alive in your employees, and give customers reasons to keep buying from you and keep recommending you, then you will have transformed your workforce into your salesforce.6. You must know your market and customers as well as you know yourself.A consistent trait of all successful business owners is the depth of knowledge they have of their marketplace. They have the ability to passionately immerse themselves in their industry, and to know their customers and competitors almost as well as they know themselves.However, this isn't always the case when you deal with employees. I'm sure you have been in the situation more than once where you know more about a product or service than the person serving you in a shop, or on the end of a phone in a call centre.But that would rarely be the case with business owners because they immerse themselves in their industry. Employees, on the other hand, are quite capable of immersing themselves in other areas of their lives, (if it is for their own benefit) even if they appear indifferent at work.When buying a house for example, any employee becomes the ultimate example of an entrepreneur business owner, and soon knows every house available within their target area. They know the selling prices of all recently sold houses, and the pros and cons of each possible house they are considering. They know the finance rates for mortgages and the best deals available in the market, how much the removal company will charge, and how much legal fees and stamp duty will cost. These are all figures which are on the tip of their tongue, but ask them some basic information about your customers, industry and competitors, and they are stumped!Only when your staff immerse themselves in your industry, and know your customers and competitors as well as they know their own local housing market, will you ever come close to turning your workforce into your salesforce.7. The success of your business is 90%+ dependent on the mindset of your employees.For many years now I have had the great fortune of meeting with some of the UK's most successful entrepreneurs. I have taken a passionate personal interest in the mindset and thinking patterns of high-achieving entrepreneurs and business owners.There's no doubt in my mind that somewhere between 90% to 98% of their success comes down to their mindset and an inner-confidence and certainty that they will achieve the goals they have set out to achieve.It's often said that we become what we think about most of the time, and how we think does determine our results. Quite literally, what we think about we say, what we say we do, and what we do leads directly to the results we achieve.If you have people in your organisation who do not have the mindset of a business owner, are disconnected like the Barman, or are underperforming 'Middlemen', then the chances of you achieving high levels of business growth and turning your workforce into your salesforce are slim.The fastest and most profitable road to success in your business is to train and develop the mindset and attitude of the staff in your employment.Most companies however, train only for skills, giving people the technical abilities to do their job. For the person who works in the coffee shop, this is how to make a cappuccino, how to infuse a cup of tea, or to take cash.What they fail to teach is how to do the right thing for customers, how to let the personality of the employee shine through, how to live up to the customer's expectation of the brand and how to give them a remarkable experience, so that they leave the coffee shop talking about you in a positive, rather than negative way.We'll take a closer look at mindset in the following chapter.Right now, you can see that by developing your staff to think, act and make decisions like business owners, you put yourself on a path as a company to become a leader in your field, and stand out from your competitors.By following these principles you will be known as an excellent company which is remarkable and memorable, rather than blurring into the background as just another company or, worst still, being known as that company who doesn't care. You will give your customers reasons to come back and buy from you, and go on and tell their friends about you.

Original :: business owner thinking a new way of


Saturday, May 29, 2010

getting businessownerthinking into the


The training I have just spoken about takes time, but here is something you can do right now which will make an immediate difference to the way your team performs.This is to get your employees, whenever they are faced with a difficult decision, or customer facing situation, to ask the following four questions of themselves.These questions get right to the heart of business-owner-thinking.Question 1: What would I do if I was the owner of this business? This is the first question that every one of your employees must ask themselves. To be able to answer this, they must put themselves in the shoes of a business owner.When your employees think like a business owner, they very quickly undertand that the success of your business is 100% intertwined with your customer.
The constant need to put your customer first is a must, and this is exactly how business owner think.Business owners are painfully aware of the link between revenue from customers and bottom line profits. Your staff must equally be aware of the link between their salary and the revenue which comes from your customers.When your employees see themselves as the owner of your business and understand that the success of your company is all about your customer, it's only natural that they will want to take more pride in their work, go the extra mile and have a new level of urgency, haste and passion. Not what you and I experience in all too many companies, which is complacency, and employees taking customers for granted.At its heart, business-owner-thinking is about reversing negative, under-productive employee-thinking, and replacing it with positive, results-generating business-owner-thinking.
Let me give you a personal example of business-owner-thinking.In the past year, I've stayed at various four and five star hotels whilst I've been writing and have had very mixed experiences.All the hotels charged a similar amount, but some hotels stood out over and above the others, simply because of the way their employees thought, acted, and made decisions.Hotels are a great backdrop to explain these four questions, because hotels are service businesses and when you stay in a hotel, you not only expect, but demand superior service in return for your money.You can be sure - regardless of your own industry - that your customers want the same level of care and attention from you that they would receive at a top five-star hotel. You may not be in the hotel business, but there is much to learn from great service-based hoteliers.The best experiences I have had in hotels have always been where the employees are proud to work there, and see themselves as the owner of the business.When people think like business owners, they see business differently. They take ownership and responsibility.Little jobs that need fixing get fixed. In hotels, pieces of wallpaper which have come unstuck get glued back down, rather than ignored. Annoying creaking doors get oiled. Finished-with 'room service trays' get taken away quickly, rather than being left outside the bedroom door. This all happens because the employee is asking the question, 'If this was my company, what would I expect to be done?'For sure, unstuck wallpaper, creaking doors and trays left outside a bedroom in an untidy and dangerous position is not something you would expect to happen in your own hotel. And so it should not happen in a hotel you are an employee of.In your own business, you need your staff to demonstrate this level of ownership and responsibility.Question 2: What would I expect to be done if I was a customer of this business?This question requires your employees to put themselves in the shoes of your customer, as it's your customers who are paying the bills of your company. It's your customers who are paying the salaries of your employees - and your dividends as the business owner or bonus as a business leader.All too often though, it is apparent in many companies that instead of putting the needs of customers first, employees put their own needs first.
Let me give you two examples of that.A while ago I was giving a speech in Birmingham and arrived by train. I decided on the train that I wanted to record the speech before I presented it and so I'd planned to buy a mini-disk recorder. I got off the train at about 5pm and went straight to a large 'catalogue shop'. I won't name them, but you may be able to guess who they are!In the catalogue I saw a mini-disk recorder, but wasn't sure if it had a line-in jack to plug a microphone in, so I asked the shop assistant if I could first see the product. "I'm sorry Sir," came back their reply, "we do not let customers see products after 5pm."Can you imagine saying this to one of your prospective customers?Needless to say, I didn't buy the recorder there, and that shop lost out on a quick ?80 sale.If the shop assistant had asked, "what would I expect to be done if I was a customer of this business?" then I think they'd certainly come to the conclusion that as a customer, they would fully expect to see if the product first met their needs.In the same 'catalogue shop', this time in my home town, I went to order some plastic storage units. After I paid for my goods, I picked them up from the collection desk, only to notice that one of the drawers was clearly broken.I explained this to the shop assistant who had just served me and asked him to bring me a replacement that wasn't broken. "Sorry Sir" he said, "You'll have to go to the back of the queue in the customer service line."The queue had about four other people in it, but there was no other way for me to get a set of drawers that weren't broken. When I eventually got to the customer service desk, I was treated as if I'd taken the drawers home and broken them myself, rather than having just picked them up from the collection desk!If the people in this store asked the question, 'What would I expect to be done if I was a customer of this company?', they would certainly expect the goods they'd just bought not to be broken, and if they were, they wouldn't want to be sent to the back of the customer service line.When faced with any decision, your employees must put themselves in the shoes of your customers.It's very likely that your own customers have similar examples of poor service they could cite in your company. It may only be small subtle issues, which are irrelevant to your employees, but significant to your customers, and have a major impact on their desire to buy from you, and buy again from you in the future.Question 3: Given the decision I'm about to make, what impact will this have on my customer's desire to come back and buy from us again in the future?We said before that the growth and success of your company comes from customers buying from you many many times, rather than just once. It comes from creating a relationship with your customers, and from repeat purchases.Every one of your employees must understand that the value of a customer comes from a lifetime of transactions, not just a one-off purchase.In fact the marketing cost of getting a customer to come to you for just one transaction may wipe out the profit on that first order.Very few employees really understand this concept of life-time value. If they did they would never let a customer leave your shop, office, premises or let them walk away with a product or service with anything other than having had an outstanding experience - and getting the maximum 'future value' from that particular transaction.Great entrepreneurs and business owners know that you need to get a customer and keep a customer.Peter Drucker the world famous management writer said, "The purpose of a company is to get a customer".After that, it is to sell to that customer over their lifetime. If your employees fail to grasp this basic concept about lifetime value, and think only of one-off sales, rather than repeat purchases, you will forever struggle to grow your company, and you'll forever be working on chasing new business, rather than developing rich, profitable relationships with existing customersIn order for customers to want to come back and buy from you again, a few things have to happen. First of all, your customers must always have a positive experience. Quite simply, if they leave your business disappointed, it is very unlikely they will come back again.For customers to come back and buy from you many times, you also have to be relevant to them. Often this means providing new products and services.Customers can be relatively fickle, and more often than not want the latest and greatest. This requires you to be innovative and creative and adapt and respond to their changing needs.But ultimately, your customers need to believe in you, and believe that they are getting the greatest value, benefit and result from you in exchange for the money they spend with you.If your customers are happy and feel they are getting good value, then they'll go on and buy from you time and time again; if they don't then they'll buy from your competitors - and you will again have to invest heavily in attracting new customers through your marketing.That is why it is much easier, and cheaper, to deliver outstanding products and services in the first place to your existing customers and give them endless reasons to come back and buy from you time and again.But for that to happen, every member of your staff has to understand the basic concepts of life-time value, which is an inherent part of business-owner-thinking.Question 4: What can I personally do to ensure my customers recommend my company to their friends, family and business associates?This question gets your employees to understand the basic principles of growth through referrals and word-of-mouth marketing.
Word-of-mouth marketing leverages the trust which exists between the person making the recommendation and the person receiving the recommendation.Companies can spend millions of pounds marketing to you, trying to break through the deluge of marketing messages that you are bombarded with every day.Yet nothing on earth will be as powerful as a simple recommendation from a friend which could be no more than them saying, "You really must go and see the latest Stephen Speilberg movie, it's outstanding", or "You should get the latest Nokia mobile phone. It plays movies and the photos are amazing."A friend recently recommended to me a family holiday where you stay on a farm in a luxury 3-bedroom 'nomadic house-tent'. This is something I had never considered before (and it would be very expensive for this farm tent company to reach me through their marketing), but because my friend spoke so highly of it, it's now something we plan to do in the near future.You must realise that your customers have opinions about your business and will either be making positive recommendations to their friends, family and business associates, or they will be making negative recommendations (just like I did with the Barman). They might even be telling people to avoid your company at all costs because of the negative experience they have had with you in the past.In John Maxwell's book, The Winning Attitude, he suggests that 68% of the reasons customers will quit your company is down to the experience they received as a customer.Why Customers Quit
Die 1%
Move away 3%
Develop other friendships 5%
For competitive reasons 9%
Because of product dissatisfaction 14%
Quit because of an attitude of 68%
indifference towards customers
by the supplierMore often than not, the reason customers fail to repeat buy or recommend you is down to the negative way they were treated by the employees in your company.That is precisely why it's so crucial that every one of your employees sees themselves as business owners and makes decisions like business owners.

Original :: getting businessownerthinking into the


Friday, May 28, 2010

ten practical steps to turn your


In this chapter, I'm going to share with you the exact ten-step process I take companies through when developing their staff to think and act like business owners who make customers want to buy, buy again, and then go on to tell their friends and family to buy!If you are sitting at your desk on a Monday morning and thinking, "I'd like to bring business-owner-thinking to my company, but how do I do it?", here is the answer:Step 1: Decide on, and commit to, a programme of changeStep 2: Communicate your vision to your employeesStep 3: Categorize your staff into three groupsStep 4: Identify your first trial groupStep 5: Meet with your trial group and explain why they have been selectedStep 6:Deliver the training to the trial groupStep 7: Roll out the training with the help of your newly trained staff from the trial groupStep 8: Repeat the training for the rest of the companyStep 9: Liberate the wrong peopleStep 10: Create a training leaderIn the Appendices at the back of this book, you will find plenty of training materials, content, tips and suggestions to create your own in-house training course. But before you get to these, let's take a closer look at the ten step framework which you can follow to bring business-owner-thinking to your employees.Step 1: Decide on and commit to a programme of changeThe first step is for YOU to make a decision that developing your people to think, act, and make decisions like business owners is something you are committed to. You must be 100% dedicated to training and developing your staff and raising their performance from regular employees into high performing leaders who are energized, alive and connected with your customers.Only when your staff operate at the highest level will they truly engage with your customers, and make them want to repeat buy from you, and then do your marketing for you.Step 2: Communicate your vision to your employeesOnce you've made that personal commitment, you need to communicate this throughout your entire organization. You may want to begin with one division, department or team as a test bed, but wherever you start, you must share your vision with your employees and get them onboard. You need to get your people excited, committed, and energised about the training they will soon undertake, and the benefits they will receive for themselves.My recommended approach to communicate this is to record an audio or video interview with you, the business leader, or the chief executive.In it you can capture your aspirations and goals for your company (department or team). Often, only you know what is in your mind and what you want to achieve as an organisation. Frequently, this is not clearly communicated to the employees who will make your vision happen.From the many conversations I have had with CEOs or MDs, many times I'm sure I end up knowing more about the ambition and vision of the company than their own employees do! That is simply because the CEO or senior management team does not clearly communicate its goals and vision to its workforce.How can front-line employees transfer your vision and the purpose of your company to your customers if they don't understand it in the first instance?I recently rang up a FTSE 250 Company, asking to speak to the chief executive.This is a large organization employing hundreds - possibly a thousand plus - employees. I had called the central number, which is on their web site, and when I asked for the chief executive by his name, the person answering the phone said, "I'm sorry, we haven't got anybody who works here with that name."I find it astounding that somebody on the front-line answering the telephone, firstly, doesn't know who the chief executive is, and secondly, cannot understand the very purpose and essence of the company if they don't even know who the CEO is.How could that person be true to the values and the brand of the company, which the chief executive has spent so much time, energy and money developing?It is essential to communicate regularly and candidly with your employees.You should remind your staff of your company's journey over the past few years and make sure they clearly understand where you plan to take it in the next few years.Recording an interview with you is the perfect opportunity for you to clearly and informally state the goals of your company, and to get them out deep and wide to every employee within your organization.That interview will be recorded, saved either as a MP3 or as a video, and will be made available to everyone in your company (through a podcast, or videocast) as a reference point for your employees to unify around.Step 3: Categorize your staff into three groupsStep number three is for you to look at your staff and divide them into three groups. If you are in a large organisation you may want to start by selecting a small division or individual department where you know each person personally.One way to do this is to get an organisation chart, and three different coloured highlighter pens: yellow, green and red for example. You need to be honest here, and think about the three different types of people in your company.Green: Employees like Paolo the Barber who are already high-performing and have the right attitude to grow your business. These will become your lieutenants in rolling out the training and new way of thinking to the rest of your company.Red: Employees like the Barman who have the wrong attitude, and are a barrier to your company's success.Yellow: The Middlemen who neither over or under-perform, but with the right training and development could really drive your company forward.Highlight on your organisation chart (or write down on a piece of paper) the names of the people you want to focus on. There are no fixed percentages here to split the groups by, but be honest with yourself and be clear who you feel is already a high-performer and could become a role model for your other team members.Be clear who is poorly performing and possibly are the wrong people to take your company forward.Those that are left in the middle will be good employees, who lack sparkle and energy but with some extra training and development could really make your company fly.Step 4: Identify your first trial group Now you've divided up your company (or department) into three groups, you need to select a trial group from the high performers. The group should be relatively small, perhaps 10 or 20 people (possibly 100+ people if you are a larger company).This initial group will become role models, and examples for others to follow.There are two clear ways of selecting employees to be part of your trial group,1. You choose them based on their own talents.2. You email your group of high-peforming staff and ask them to volunteer to be part of a new training and development programme.Whichever way you select your trial group, it is important to choose the people who already embody that high-achieving spirit, and who will achieve even greater results if they are given additional training, focus and direction.This group will naturally embrace the new training they will soon receive, and will demonstrate to others in your company the results that can be achieved with the right development.If you'd chosen Middlemen, or people like the Barman for the trial group, it's unlikely they would embrace the training with the same vigour and enthusiasm, and possibly would be cynical about it. If this was the case, they would be poor role models and mentors for other employees wanting to do the same training.You must make sure that the people you select in the trial group represent a cross-section of the high-achieving and forward thinking employees in your company, and are not just your direct reports in management.Step 5: Meet your trial group and explain why they have been selectedOnce you have identified and selected your trial group, you need to meet with them. This can be done face-to-face or on the phone.I personally believe that you should get everyone together face-to-face, and talk to them as one group. Here you can explain why they have been selected (as high-performing talented members of your company), and the importance of the training that they are about to go through, and their responsibilities as mentors to the later employees who will go through the training.Step 6: Deliver the training to the trial group Once you have got the buy-in and commitment from your initial trial group, you need to deliver the actual training. In Appendix A and B I'll share with you the exact format of the programme I take clients through.The success of any training programme is a mix of informative, practical content, and engaging delivery. In this book I give you the content, but it is the delivery mechanism which is the key to learning and achieving results.In your company, you may choose to use the ideas in this book and create your own in-house training programme. This could take the form of classroom training, telephone or face-to-face coaching, e-learning, mastermind learning groups, or whatever suits you.I believe learning and adopting a new way of thinking (business-owner-thinking) is a bit like learning a new language, and I personally feel that small changes, made on a regular basis deliver massive results.Therefore my own preferred teaching technique is to provide employees with a MP3 player with a structured learning programme pre-loaded on it. This mean the programme can be studied little and often (around 15 minutes a day), wherever the employee is, and whenever they have a few minutes to spare. This is one of the most cost effective and time efficient way to train large numbers of employees.Step 7: Roll out the training, now with the help of your newly trained staffOnce your initial trial group have completed their training, they are now ready to become mentors and role models for a second group of employees.This next group of trainees should consist of more high-performers in your company: people who have the right attitude and who you know you can trust to become additional role models for the rest of your company.Again, this group size could be 10, 20, 30, 100 or more. Here you should simply repeat steps 5 and 6 until all your high performing talented staff (whom you originally marked with a green highlighter pen) have gone through the training programme.Step 8: Repeat the training for the rest of the companyNow you have your high performers trained and performing at a higher level still, you need to roll the training out to the next group of employees - the Middlemen who currently neither under or over perform.You now have the advantage of using the original high-performing staff as mentors and role models, so that the 'more challenging' Middlemen can see what is possible, and they have people they can talk to.Step 9: Liberate the wrong peopleYou need to give serious attention to the remaining staff that you originally marked as red on your organisation chart. These include people like the Barman.Certainly, some of these people may improve their performance and attitude with training, coaching and mentoring, but some will not. It is those who will not change that you need to consider liberating from your organisation and setting them free.It was Jim Collins a famous US management writer who said "you have to get the right people on the bus in the right seats, and get the wrong people off the bus."If you have people in your company who are not happy at work, and whose performance you are not happy with, it is very likely that your paying customers are also unhappy when dealing with them.This group of employees are undoubtedly damaging the reputation of your company, and give your customers no reason to keep buying from you, or recommend you.In the long run, the right thing to do is to liberate these employees and help them move on so they can play to their strengths and passions somewhere else. This could either be to a different part of your organisation, or to a new organisation.I have experienced this 'liberation' several times in my own career. Firstly, when I was an accountant years ago, I knew my future was not in the industry so I made the change and liberated myself.I've also experienced it twice in the software industry when I wasn't enjoying my work, wasn't passionate about it, and didn't believe in the company. In these instances, somebody else liberated me!If an employee's heart and soul is not in your company, then all the training and all the personal development you give them will rarely achieve anything.Not long ago, I was speaking to a friend who is a manager of a team of about twenty people. He told me about one of his team who he knows is bright, and intelligent, but is unmotivated and lacks drive.My friend gave this person extra mentorship, training and invested substantially in him, but after all this, the employee turned around to him and said, "You know what, I really don't think I'm in the right job. My heart really isn't in it. This isn't what I want to be doing."It's important that you are aware of this, and consider before investing in staff that they are fundamentally the right people to take your company forward. You will most likely have employees in your company who are a 'hiring mistake', or have lost interest over time and are ready to move on.This is an opportunity to identify them, and make their liberation part of the overall programme of change.Step 10: Create a training leaderTo keep business-owner-thinking alive in your company, I encourage clients to choose at least one person who can become a designated leader to champion these ideas.This is somebody who fully epitomizes everything that we've spoken about.This is not a position of power or a title, but a role for somebody who has the right mindset, attitude and ambition to change things, and who wants to make a difference and to set new standards.The leader should only hold the position for six months, at which point a new person should be appointed and made responsible for keeping the spirit and energy of business-owner-thinking alive.

Original :: ten practical steps to turn your


Thursday, May 27, 2010

profit upgrade how to add 1000s 100000


In your company, as is the case with virtually every business worldwide, you most likely have somebody responsible for selling, possibly even a direct sales team.These are usually highly paid, highly skilled individuals who are charged with bringing in new business and expanding the top-line revenue of your organisation.Whether you sell books, mobile phones, cleaning products, engine parts for a Boeing 747, or offer a range of professional or trade services, your salespeople will no doubt be charming, persuasive and focused on making your prospective customers want to buy from you.However, even if you have the greatest salespeople in the world, you must not forget this one fundamental truh.More often than not, the sale has been made in the mind of your customer before your salesperson has said a word. It has happened before your customer has made a phone call, visited your shop, or tested your product.This is not because they've been sold your product or service by your highly-paid salespeople, but because they've chosen to buy based on an independent recommendation from a friend or colleague.The greatest form of salesmanship is not direct selling by sales professionals. It is the word of mouth recommendations which come from your repeat customers who then happily tell their friends, family and business associates about you.Word of mouth marketing comes from customers who have had an extraordinary relationship with your company, and have achieved exceptional results from the products and services you offer. It comes from customers who have received outstanding customer service from you, and want to tell others about you.Word of mouth marketing always has been and always will be the cheapest and most effective form of selling.The way to maximise word of mouth marketing is to create a company filled with passionate staff - at all levels - who give customers reasons to tell their friends about you, and give customers reasons to come back and buy from you time and time again. This is what this book is all about.This is not about traditional selling through traditional sales channels but is about creating a culture, an energy, and a vibe within your organization which can literally be felt by your customers and your marketplace.Word of mouth marketing will not make your salespeople redundant, but it will dramatically and substantially boost your top-line revenues and bottom-line profits, simply because the heavy selling has already been done by your existing customers before prospective customers even contact you.

Original :: profit upgrade how to add 1000s 100000


Wednesday, May 26, 2010

how can duncan bannatyne spend so much


Some years ago, I interviewed Duncan Bannatyne as part of my research into high-performing entrepreneurs. The first time I first met him, Duncan wasn't as famous as he is today; he hadn't yet starred in Dragons' Den. However, he was a hyper-successful entrepreneur who was listed in the Sunday Times Rich List and could freely choose how he spent his time. In fact, Duncan had bid ?7,000 at a charity auction and won a walk-on-part in a Guy Richie movie. He enjoyed it so much, he decided he wanted to become an actor - and let his people run his companies (in here is a clue to Duncan's success!)He told me he'd just finished studying at the New York Film Academy, which is off the Strand nearrafalgar Square in London, but his subsequent auditions hadn't gone well. Even with this lack of success in the movies, his star quality and 'winning smile' shone through, and it's no surprise to me that Duncan has become a household name for his TV work.I interviewed Duncan at the Park Lane hotel in Piccadilly, asking the same questions I had asked many UK entrepreneurs.Duncan said one thing to me that day which, at the time, didn't register with the potency it does now as I look back and reflect on those particular words.He told me he had a Board meeting the following day and that he should have looked at his accounts but didn't because he knew they were going to be fantastic.How did Duncan know? He knew because he had people in his company who thought and acted like him. He had people he could trust in his absence to run the business and make decisions for him, while he went off pursuing his own acting career, and in later years his own television career.His people think and act like business owners.Let's look at what is going on in the mind of a business owner, the mind of somebody like Duncan Bannatyne, and the mindset and attitude you need to develop in your own employees, so that they too think, act and make decisions like a business owner.1. Confidence and BeliefThe starting point for success for any great business leader is true inner self-belief and confidence.?Confidence in your own ability to achieve the goals you set out to achieve.
?Confidence that you can overcome any obstacles.
?Confidence that you can make your customers believe in and buy from you.Simply put, if entrepreneurs didn't believe in the businesses they set out to create, they wouldn't start in the first place, because they wouldn't be able to make the team believe or their customers believe.Your employees need to share the same level of inner confidence as someone like Duncan.Anybody that has a vision and takes it personally upon themselves to create a business needs to have within them an unswerving, unshakable resolve, which becomes something of substance that other people can buy into and believe in.It goes back to the very simple fact that if you don't believe in what you are doing you can't make your team believe. If your team don't believe, they can't make your customers believe. If your customers don't believe, they won't buy, buy again, or recommend you. So belief is the starting point.2. Passion and DesireThe next core trait of a business owner, or someone like Duncan, is passion and a pure unadulterated love of what they're doing.Passion is the fuel that drives you forward, it provides momentum and energy, and is infectious. People around you will be inspired by your passion and will pass on that energy to their team. This feeling will be conveyed to your customers who will then be compelled to buy from you.It's your job as the business leader to instil your passion in every member of your team.Customers pick up on passion and belief. It is a company's passion and belief that customers buy into.If you show passion and deep belief in everything you do, you give your customers a memorable and remarkable experience which they will want to share with others.But, if your employees don't share your level of passion and belief for the business, then as a company you will never achieve high levels of success and fulfil your true potential.Clearly people like the Barman lack that passion and desire, and if you have employees like him, you'll never be able to create a business which customers can believe in and buy from.Whereas if you have people like Paolo who love their job, and demonstrate business-owner-thinking, they will exude an inner confidence and passion for what they do, which in turn will send out viral shock waves into the market about how excellent your company is.3. CourageThe third element of the mindset of a business owner is courage and the confidence to step outside your comfort zone.So much about success at a personal and business level comes down to having the confidence and courage to conquer your own inner fears, doubts and limiting beliefs. It's having the courage to do the very things that you are uncomfortable doing.You only have to look at one entrepreneur, Richard Branson, who (by his own admission) is a shy person and uncomfortable in public speaking situations.However, he knew only too well that the best way to promote his brand was for him to become the face of it. Now, whenever we think abut Virgin we automatically think about Branson. When Virgin Brides was launched, he famously dressed up as a bride himself; when he launched Virgin Cola he drove a Tank down Fifth Avenue in New York to proclaim his battle with Coca Cola. He even injured himself whilst abseiling down the Palms Resort Fantasy Tower whilst promoting his new airline route between San Francisco and Las Vegas. He personally does television and radio interviews, but speaking to an audience is not naturally comfortable for him, as it is for media personalities such as Jonathan Ross or Ricky Gervais.However, what Branson clearly does is find an inner courage, which is fuelled by his passion and supported by his own inner belief in himself, to step outside his comfort zone, and to do the very thing he needs to do to achieve his goals.4. Goals and PurposeThe fourth element is to have a clear purpose, clear goal, and a higher vision and mission.You need to understand why you do the things you do.You can have all the passion and energy in the world, but without a clear goal (which everyone understands and believes in), nothing will ever be achieved.In the courses and books I've written, I talk about entrepreneurs having 'man on the moon goals' which are ambitious, stretch goals.America would never have made space travel history if President Kennedy, in 1961, hadn't set a goal to land a man on the moon and return him safely to Earth.By announcing this goal publicly, the whole team behind the mission had something real and tangible to work towards. They passionately believed in that goal and as a result, made it happen.In your organization your team needs to have the same clarity of goals, the same higher purpose, and your own 'man on the moon' goals.There may be thousands of sub-goals in order to achieve the higher purpose, but if your staff don't understand what the higher goal is, there is no way they can help drive your company towards it.A perfect illustration of this is the story (possibly apocryphal) of President Kennedy visiting the space station in the early 1960s when the space rocket was being developed.In true Kennedy style he stopped to speak to somebody who was sweeping the floor. Kennedy said to the man, "What are you doing, sir?" The man sweeping the floor said, "Mr. President, I'm helping put a man on the moon."Everybody in your organization has to understand what the higher purpose of your company is. They must know what your man on the moon goals are what their part is in helping you to achieve them.If they don't understand what the bigger picture is and if work to them is purely a job without a sense of purpose, then there is very little reason that they will give their all. Ultimately it is the customer who will suffer.5. Persistence and TenacityThe fifth element of business-owner-thinking is pure persistence and the refusal to accept no for an answer.This is a trait consistent with all high achievers. Every entrepreneur business owner you ever speak to will have endless stories where they have had to demonstrate persistence and never give up.Inevitably in business, whatever can go wrong, will go wrong. It is your inner resolve (and the inner resolve of your employees) to keep going and to push on, to overcome the endless hurdles and crushing lows, and push on through to reach your ultimate goals, which is the difference between success and failure.Without the passion and belief, it would be all too easy to give up when faced with those endless barriers.Famously, Branson's engine blew up the night before the maiden flight of his Virgin Atlantic crossing. For most people this would have been a barrier, but Branson pushed on and kept going to create one of the world's premier airlines.Duncan Bannatyne ran out of money before finishing the build of his first nursing home. Where other people at that point may have given up and said, 'Well, I can't complete this because I can't afford it', Duncan found an ingenious, creative way of solving the problem. He asked his mother and her pensioner friends to temporarily fill the nursing home in order to persuade the bank to release the final payment of the loan which was dependent on the nursing home being full.Stories that entrepreneurs tell you about persistence often sound like they have been made up, and are a testimony to their levels of creativity and ingenuity. It's this level of creativity and ingenuity you need to unleash in your staff.6. Energy FlowThe sixth trait of entrepreneurs is having positive energy and thinking positively even when times are tough.So much in business is about the flow of energy, and creating an environment where a positive flow of energy can thrive, without being destroyed by negative people who disrupt the balance.I used to work for a software company in London and each day the managing director would walk in, and with him through the door, would come all of his negative energy.Prior to him walking through the door, the office would be buzzing and alive but his negative energy would soon start to infect everyone and create negative pockets throughout the company.Virtually all companies have this negative energy in some shape or form, but coming from the business owner it is inexcusable. It's your responsibility as a business owner or business leader to create an environment of positivity, of positive thinking, of can-do and will-do, and of ambition and drive where success can, and will be achieved.7. FailureNumber seven is the understanding that failure is a good thing.The reality is that nothing of any note has ever been achieved without experiencing failure along the way.Failure is inevitable when trying something new, pushing for new heights, and new innovations, or entering new markets as entrepreneurs inherently do.It goes without saying that not everything will work. Entrepreneurs embrace failure, see it as a positive and agree that if you're not failing, you're not trying hard enough.That's not to say that they actively seek it, but when it comes along they are ready to react. It doesn't get them down because their belief, passion and their drive keep them going.All too often though, in companies failure is seen as a negative thing and is frowned upon.In certain circumstances, failure through lack of attention or lack of effort should be seen this way.But when trying new things, such as innovating and changing, it is only those companies that recognize that failure is part of the journey to success who truly will achieve higher goals.You need people who understand that failure can be a positive thing and should be learnt from. They know that by failing they can develop wisdom and experience which will ultimately get them closer to their goals.8. Hard Work and HustleNumber eight is hard work and the hustle factor. It is simply taking action. It is the physical act of working with a level of commitment, intensity, and sense of urgency, that is needed to get things done to deliver results.Duncan Bannatyne didn't start his multiple businesses without working hard, putting in the hours, and being 100% committed to achieving his goals.I'm sure Duncan will agree that his journey, and the journey of his team, has been fun. They've enjoyed it and as a result, the hard work has not seemed like hard work because it was fun.It was fun because they were doing something they were passionate about, that they believed in and that they had the desire and the ambition to create.If you have people who are despondent and indifferent to their work, and who see it as a chore, then how can they ever perform at a higher level? How can their own inner splendour pour out into your products and services and be felt by your customers?It can simply never happen.That is what customers should pick up on, the fact that you enjoy your work and love what you do.The beautiful Apple iPod could never have been designed by someone who didn't love and enjoy their work. It was clearly created by someone who loves music, loves design, and loves technology. It was not something that happened overnight. I would imagine it required thousands of hours of intense effort, concentration and time.The people working on that project are clearly proud of what they've created. It shows in the smallest details: in the design of the iPod player, the packaging, the marketing, in the way the menu system rolls up and down, and from the constant innovation that comes from generation to generation of not only iPods but a whole range of Apple products.Apple is a clear illustration of a company whose people embody business-owner-thinking. Their products have become so beautiful and have that wow-dazzle factor that they sell themselves.As a result, their customers are passionate fans of Apple and now, because of the energy and buzz in the marketplace, people want to be part of Apple.That could never have happened if the people in Apple didn't love their work, or if they acted like the Barman I spoke about in Chapter 1.Similarly, it wouldn't have happened if the people in Apple were Middlemen who neither underperformed or over performed.Putting it all together: LeadershipThe net result of all of this is that business owners are actually leaders.They are people who lead themselves to achieve their higher goals, and are able to lead and inspire their teams to achieve more.It's the personal development of your staff to turn them into leaders (who think, act and make decisions like business owners) that you need to focus on to achieve extraordinary results in your company.Can anybody become a leader?I'm often asked whether anybody can become a leader and whether everybody has these traits within them.Without question I say the answer is yes, if that person is working in an environment that they are passionate about and have the desire for.Everybody demonstrates this leadership ability at some point in their lives. I spoke in the previous chapter about buying a house, and the increase in business acumen and leadership you demonstrate when you want something that badly.The same is true when you book a holiday. You immerse yourself, and for a moment in time, you become a leading expert on your desired destination, whether it is a two-week long haul trip to Thailand, or a five day skiing holiday in the Pyrenees.A friend of mine recently wanted to get tickets for a key Manchester United European Cup game at Old Trafford. Immediately, with this goal in mind, he fought harder than he usually would and demonstrated just the kind of traits that a high achieving entrepreneur would, simply because his own ambitions and goals were aligned. He was chasing a goal that he was passionate about, that he had a burning desire for, and that he believed ultimately he could reach. Needless to say, he got his coveted tickets in the end!Leadership ability and business-owner-thinking lies within everybody if the right circumstances arise. But this may not be the case currently with everybody in your organisation.Your staff who are like the Barman may not show leadership ability at work, but this doesn't mean they don't have leadership ability within them. They just don't have it in them for your company, or for the work that they're doing.The Barman could for example, be a gifted cyclist and someone who outside of work regularly organizes long-distance bicycle rides from the UK to the South of France. He could be a first-class footballer who is the captain of his local football team and leads by example. He could be a church goer who leads his church group every Sunday.Given the right circumstances and the right motivations and desires, anybody can be a leader and a person of high-performance, but they have to be playing to their strengths and following their passion.In your company, you need to find and actively develop people so that they play to their strengths. You need to align their passions, goals and motivations with the goals and aspirations of your organization. You need to develop your people into leaders who think like business owners, not just employees.It is these people who will make your customers want to buy, buy again and then do your marketing for you. It is these people who will transform your workforce into your salesforce.

Original :: how can duncan bannatyne spend so much


Tuesday, May 25, 2010

take the sales out of selling


It came to me at a peculiar time. I am a sales trainer and I was training sales people. In a moment of uninspired accidental brilliance (that's an enormous exaggeration) I said something that made all the sense in world, but was completely contradictory in nature.

"My ultimate goal for you," I said to a roomful of seasoned professional sales people "is to completely remove the concept of 'selling' from who you are and what you do." But wait a minute...I'm a sales trainer...a SALES trainer...and these are sales people...SALES people...and ALL my clients are SALES people. Was I secretly hoping to put myself out of business? Hardly.

The point is this. The sales process in American busiess has become painfully stale. It's wrought with manipulation, misplaced intentions, ego, self indulgence and in some instance, complete fakeness. I certainly don't mean to offend any professional sales person, but it's likely time you took a strong, deep OBJECTIVE look at what you do in your role as a professional sales person.

Here's what I suggest you do about it:

1. �Change Your Intent:� Completely shift your focus in all sales situation from "getting the deal" to helping the prospective client. Don't give this lip service. Change what/how you think about the sales process and your role in it. Quit trying to persuade, convince, push, pull and coerce your prospective clients....just focus on making their life better off and let the results just happen.

2. �Don't Think of Yourself as a Salesperson...think of yourself as a BUSINESS PERSON:� Lots of sales people will tell you, "I run my territory like it's my own business." But do they really? Entrepreneurs tend to think about things very OBJECTIVELY and make decisions using more analysis than emotion. Try to put the same concept into affect for yourself. Be an objective business analyst and you'll completely change how you sound and appear to prospective clients.

3. �Be Yourself:� Stop being fake. Stop pretending to be interested in things that you're not. Just be real. Be yourself. You are likely a very competent, likeable, intelligent person who has a lot of knowledge that others will buy. Just let your ego down and let go of the desire to please them or kiss their ass and just be you.

There you have it.

Original :: take the sales out of selling


Monday, May 24, 2010

are people more inclined to buy from


On the face of it, the strongest solution should always win the new business, regardless of how much the client likes you. However, it's commonly accepted that personality factors can influence decisions in awarding new business. So to what degree does this happen; if you have the strongest solution, is that enough to get you over the line? Or are decision-makers swayed by how much they like a person behind the solution?The importance of a strong solutionLet's face it - even your staunchest supporters will find it hard to support you if you have a weak solution, especially in a highly competitive situation. Generally speaking though, your solution is likely to be fairly similar to that ofyour competitors. Therefore, the difference between winning and losing the business may be the relationship you have with the decision-makers and even whether they like you as a person. Regardless, it's vitally important to always have a strong solution as your foundation.A systematic approach for both the solution and personal relationshipsEssentially, the systematic approach to winning new business tells us that we need to focus not only on the quality of our proposal, but also the relationships we have with the key decision-makers. To focus solely on the solution leaves us vulnerable to a competitor who has a stronger relationship with the client. After all, there are countless examples in the business world of the best solution not winning a pitch. Of course on the other hand, relying solely on your relationship with the decision-maker is equally risky. That's why we need to work on both sides of the equation.Adapting to and interacting with different personality stylesHow others feel about you is predominately determined by how you interact with them. Often there isn't much you can do about individual characteristics such as gender, race or age, but there is a great deal you can do about controlling the way you interact with others. One of the critical skills we develop in our programs is the ability to read and adapt to the interaction style of the other person. To become well versed at this, you need a framework to understand certain personality traits, which then helps guide your natural interaction style to suit every type of client.The DISC framework for understanding human behaviourAlthough better known for his work with lie detectors, William Moulton Marston also published The Emotions of Normal People in 1928, where he described four behaviour patterns which form the basis of the DISC framework:
DOMINANT

INDUCEMENT

STEADINESS

COMPLIANCE
In its modern adaptation, the DISC framework is very useful in understanding human behaviour and interaction preferences. As shown in the table below, there are two axes for the framework: the first is whether a person is task or people focused, and the second is whether they make decisions quickly or slowly. These axes allow us to classify individuals into one of four dominant style preferences, although in most cases, there is a blend of all four styles to some degree.How to deal with each styleWhen dealing with the High DHigh D people are looking for fast results and are generally not concerned about other people's feelings. This means you need to get down to business quickly and show them the bottom line. Earning their respect is critical, which is sometimes achieved by standing up to them.When dealing with the High IHigh I people value relationships and enjoy dealing with people they like, so spend time getting to know them. As with High D people, they can be impatient but are more likely to be led by their feelings for someone. The High I person most commonly presents as a likeable extrovert.When dealing with the High CHigh C people tend to be very analytical and often introverted i.e. they place great importance on facts and analysis rather than feelings. Most importantly, the High C person has to believe you rather than necessarily like or respect you, so it's critical that you're genuine in your dealings with them.When dealing with the High SFinally, High S people are recognised by their careful, yet warm approach to relationships. They can be slow to make decisions but they greatly value relationships. Trust is extremely important to a High S person, so be careful not to lose it or you may never get it back again!It's all about the clientThe overall message in this article is to think about your relationships and how you interact with key decision-makers. Treat them how they like to be treated, not how you think they should be treated. The more dominant our own personal style, the more likely we are to ignore the different style of the decision-maker, so be cautious. After all, if you connect with them on a personal level, your chances of winning the business will increase.

Original :: are people more inclined to buy from


Sunday, May 23, 2010

5 checks to increase your sales success


No matter how ready you are to sell something you can't sell anyone anything they don't want. You can say all the right things yet walk away without a sale and not know why. However, if you'll add these 5 checks to your sales conversation list you'll sell more.While you can control what you say and do, your actions and your words are far less important than the potential client you're talking to. Some potential clients don't readily give out more information than you ask for making it difficult to know exactly what they're thinking. Yet, what they're thinking is exactly what you need to know.A buyer will not buy unless they hold these 5 beliefs: They must believe they have a challenge thy want to do something about.


They must believe this challenge is emotionally important to them.


They must believe there is a solution to their challenge.


They must believe your solution is the best solution.


They must believe they need to act now.
You see the signs of disbelief all the time. When a potential client doesn't believe they have a challenge or they don't want to do anything about it they resist talking to you. They don't want to have an appointment with you and ditch you even if they agree to an appointment.If their challenge isn't emotionally important the potential client is indifferent about your solution. They won't commit to hearing about it and they certainly won't commit to doing anything about it. They'll politely put you off.Sometimes prospects have a challenge they want to do something about. It's emotionally important to them yet they don't believe a solution exists. For example, a man may have tried shampoos and other treatments to stop balding. The solutions he tried didn't work. Now he doesn't think any solution works and is annoyed when presented with yet another supposed solution.The key is to weave questions, stories, and case studies into your sales conversation to bring these 5 checks out. Each belief moves your potential client one step closer to a sale. When you discover the potential client doesn't believe they have a challenge then you can thank them for their time and quickly move on.

Original :: 5 checks to increase your sales success


Saturday, May 22, 2010

qualify why it is so important to your


Generally speaking, your best clients are already using your product or service. Would you try and sell somebody who is a vegetarian, hamburger? Would you try and sell someone who drank water as a general rule, a soft drink? Then doesn;t it make sense to choose to spend your time with people who have shown a history of purchasing your product or service in the past?Know who your market is, know who the decision-maker is, know why they would buy your product or service, the specific problems that you address, know how often they buy, when they by, and what their buying criteria is.As a general rule, these of the five qualifying questions that you and your prospect should know the answers t.1. Why am I here? Can you answer it? Can the prospect answer it?Your prospect, should be looking forward to your visit. Your relationship should be based on trust. The best way to begin a relationship based on trust, is to start with all of your cards out on the table. Meeting prospects under false pretences is not a good way to start a healthy relationship based on trust. Additionally, what are the stresses, challenges and concerns of your client to be? What as an organization are they trying to achieve?2. Besides yourself Tom, who else is involved in the decision making process?If there others involved in the decision - you might say something along the lines of, Do you mind if we can arrange a meeting where Mary can attend as well? I would actually be interested in her input as well. It's extremely important, that all the decision makers are present during your sales call. Generally, when one or two decision-makers are absent, this is used later as a reason to put off the decision.3. On a scale of one to ten, ten being the highest, how much of a priority is this for you right now?You should know the answer to this question before you sit down with your prospect. When I am talking to my prospects over the phone and setting up the appointment, a question I like to ask is; "Just to give me a rough idea, when are you thinking of moving forward with _____________" In order to make the best use of your time and your prospects time, meet with prospects who are motivated and interested in making changes or solving their problems right now, not three months from now.4. What have you set aside for as a budget?Whenever discussing any type of project or business interaction with your customer or prospect it's in your best interests to ensure that your prospect or customer has the budget to pay for it and any additional costs that a buying decision may entail. The majority of objections that you will encounter, will generally be around the pricing issue. Most salespeople and business owners who get pricing and other objections fail in presenting their product or service as a good value or a good investment for their prospect or customer.
Good questions you might want to ask, would include; What are you comfortable in spending? What have you set aside in past years for projects like this? When is year end?5. Where do we go from here?Always as a salesperson - ALWAYS - know what the next step is! One of the elements of a successful presentation is when your prospect or customer can feel comfortable in your presence. You can do this by being well-prepared, knowing when you can ship, when you can deliver, and having all of your forms ready. From my experience I have found the best time to close the deal is today. Studies show that your chances of making a sale drop dramatically after your first or second visit. Make the best use of your time, and remember first impressions are lasting impressions!Are you ready for your next level?
Go Here [http://www.salesmasterybook.com/Sales%20Primer%20Order%20Page.html]!

Original :: qualify why it is so important to your


Friday, May 21, 2010

proposal writing how to get your


Proposal Writing becomes easier, more powerful, and more profitable when you follow some easy tips your English teacher never told you.REDEFINE YOUR UNDERSTANDING OF A TOPIC SENTENCEYour Topic Sentence is your first paragraph.Your first paragraph is your Topic Sentence.Your first paragraph, your Topic Sentence should never be more than two sentences. Never!Forget what your English teachers said. You are writing a business document, not a term paper.This becomes even more critical in Proposal Writing.That's where you prove to the readers or evaluators that your Proposal will far exceed their expectations.That Topic Sentence has five jobs to perform.The Topic Sentence must:1. Introduce yourunderstanding of your client's goals2. Create interest in your approach to their needs3. Establish a positive working relationship4, Narrow the scope of the project5. Serve as an Executive SummaryIf you can successfully complete the first four jobs of a Topic Sentence, you automatically accomplish the fifth job. By reading your Topic Sentence, your readers will decide if they are going to read the rest of the document, route it to someone more closely aligned with the project, or reject it as not meeting their standards.Proposal writing uses Topic Sentences in three areas.1. Transmittal Letter (When needed)2. Executive Summary3. Paragraphs introducing new sectionsIf you can create a powerful Topic Sentence using one sentence, do so.For example, consider the following Topic Sentences."This proposal will show Hinkle Dinkle Manufacturing Company proven practices we use to get your project completed on time, under or on budget, and with minimal disruption of your normal business operations." Would that attract the attention of the evaluator?I think so.If you prefer a two sentence topic Sentence, consider the following: "This proposal will show Hinkle Dinkle Manufacturing Company proven practices that will meet or exceed RFP #12345's stated requirements. BobBuilders guarantees to get your project completed on time, under or on budget, and with minimal disruption of your normal business operations."PAIR YOUR PARAGRAPHSNow that your Topic Sentence has your readers hooked, you now move on to the Body of the proposal.The Body of a proposal contains the information your readers or evaluators want to see. Here, they expect details, graphics, and explanations. Your second paragraph would then logically follow the claim you made in your Topic Sentence."Hinkle Dinkle Manufacturing Company's project success carries our guarantee derived from similar successes in achieving client goals in major, well-know projects such as..."Are you starting to build credibility and interest in your approach to their needs? I think so. Now for the "pairing your paragraphs" part. Again, your English teachers never told you this, but you gain major points with this concept.NO PARAGRAPH YOU EVER WRITE SHOULD EXCEED FIVE SENTENCES.You may have 10 sentences worth of information.Big deal!Your readers psychologically and subconsciously don't want them.White space sells.Your job is to take the most important information in those 10 sentences and skinny it down to no more than five sentences. Remember, the Paragraph Police will be watching.FOLLOW THE LAW OF AVERAGES WITH PARAGRAPHSThe LAW OF AVERAGES states, "Average 18 words per sentence."The important word in this helpful hint is "average." That does not mean every sentence must be 18 words long. Using shorter sentences will help your readers read your writing faster, understand it easier, and remember it longer.I feel confident most of you have heard the expression, "in 25 words or less...""In 25 words or less, tell us why we should send you to Hawaii." Please understand the importance of this concept. Do you understand they are giving you the first seven words?"You should send me to Hawaii because..."If you take the first seven words they give you, you must then state your reason in 18 words! If you're following the math here, 7 and 18 equals 25. For e-mail, that average should be 15 words per sentence. The reason for that average is that many, if not most, of your readers are not really "reading" your e-mails. They are skimming and scanning them on a computer screen. Or, even worse, they are trying to view your messages on a PDA. Help your readers understand and remember your messages by presenting them information in an easy-to read, easy-to-scan format.

Original :: proposal writing how to get your