Let Your Passion Drive Your Business 101127

It has often been said, “If you do what you love to do, you will never work another day in your life.”  While this may not be completely true, the point is well taken, if you are going to spend upwards of 25 – 30% of your entire week doing something, shouldn’t you make sure it is something you enjoy?

Max Maxwell of Maxwell driving school has done just that.  Parlaying a career as a professional stuntman, Max spends the bulk of his time with one thought – how to keep kids safe on the road.  Taking the skills he learned as a stuntman and understanding the need for an increase in safe driving, Max opened Maxwell Driving School. 

I recently caught up with Max and discovered at least a portion of what drives him to do what he does.  Max explained to me that every year approximately 42,000 people die from vehicle related accidents.  Putting that into perspective, he framed it this way, “That’s like a fully loaded Jet Liner crashing every 2 weeks and killing all aboard.  If that was happening in the aviation industry, there would certainly be an outcry from the public.”  Sitting back in my chair, I realized how right he was.

After asking him what his goal was, he put it as simple as one can, “I want to keep teenagers safe.”  It’s not sexy, it’s not elaborate, but it is certainly sobering as a parent of two teenagers and two pre-teens to hear someone else express a concern for all teenagers in such a way.  In fact, Max not only cares and has a passion, he has put his money where his mouth is…he recently purchased a “Skid Car” that allows him the ability to safely put drivers in a simulated environment of losing control to teach them how to get out of this.  When I asked him about his philosophy of getting out of a skid, he was quite candid, “Don’t get into it in the first place.”  He went on to reinforce his primary goal for his students, SAFE DRIVING SKILLS.  The skid car is designed to teach his students how to handle an unwanted event if it occurs but his preference is for them to never have to use those skills.

While Max does not seem to be opposed to “Driver Education”, he points out clearly that driver education is just not enough.  Since no one ever learned to throw a baseball, catch a football or kick a soccer ball in a classroom, how can you develop the necessary muscle memory, techniques and practice reactionary responses in a classroom?  Well, you can at Maxwell Driving School, with four indoor driving simulators, he has the ability to allow the student to practice hands on skills before they ever get behind the wheel of a vehicle.  An immobile simulator is much safer than a 2,000-pound car to provide the first level of skills assessment – there’s no light pole to back into in the classroom.

You can contact Max Maxwell @

Maxwell Driving School

7777 Walnut Grove Road

Suite 49

Memphis, TN 38120-2121

(901) 755-6777

Until next time…

Let's Talk Turkey - 101106

It’s early November and most everyone is getting ready for Thanksgiving in a few weeks – everyone except most business owners.  Most of us business owners are burning the midnight oil trying to figure out how to squeeze a profit out of this economy and in some cases, just trying to break even while we ride this storm out.

So, let’s get to the bottom line.  There is still business out there.  People are still spending money, just more selectively than before.  So what do you do?  The answer is simple, you run lean, you run efficient, and you go get the work.  The days of the “order-taker” sales team member being able to get by on the crumbs off the table and stumbling across a nice order every once in a while is no longer effective.  With that in mind, the true hunters are still producing, albeit, maybe not as they were before, but they are still leading the pack.

So the question appears to be, what to do with the “order-takers”.  I know there are as many answers as there are people; however, I offer two options for your consideration providing you have a reasonably motivated and capable employee:

1.       Downsize the “order-takers” and reassign the customers to the producers.  While this seems like a quick fix; this could be a $66,250.00 expense.   Using $75,000.00 as a total salary/commission basis for our “order-taker”, think about these costs:

a.       Cost to hire a replacement when the economy picks back up:  $18,750.00

                                                               i.      This is an average commission for a headhunter and is a relatively reasonable budget to account for the headhunter or the lost time, productivity, and effort of your HR department.

b.      Cost to train the replacement to your company standards:   $18,750.00

                                                               i.      It’ll take at least 90 days to get the new employee up and running.

c.       Cost of lost customers that “just loved the former sales rep”:  $18,750.00 conservatively.

d.      Severance/unemployment/etc:  $10,000.00 conservatively

e.      Total Cost to “down-size” the “order-taker”:  $66,250.00

2.       Invest in an outsourced consultant to assess an alternative training program to assist the “order-taker” to transition from “order-taker’ to “quasi – hunter”.  While you may never make a true hunter out of them, everyone can be coached to a higher level of performance.  The added benefit, once they learn to become a “quasi-hunter”, the benefits will be compounded annually.  Total cost:  $0.00.  (The consultancy fee would be calculated into the break-even analysis).

Remember, of the many reasons to hire a consultant; objective review of business practices and specialty training are among the top ten.

Until next time…

The Leadership Process

A Leader establishes Mission, Casts Vision and assembles Senior Teams; Directors assemble Management Teams and develop Strategy to support the Vision and Mission; Managers devise and implement Tactics in line with the Strategy; and the rest of the Team implements those Tactics.  Without a clear focus of what the Leader’s Vision and Mission is, the entire process breaks down.

Think about it…..

Until next time…..

IT'S NOT ROCKET SCIENCE - IT'S COMMON SENSE

I sat through two meetings today at two different client offices over two different subjects with totally different areas of professional activity (I am intentionally being vague); however, the exact same problem existed between the two organizations.  The problem…Lack of a solid defined mission statement and the lack of accountability amongst the troops.  As you know, I have repeated and repeated the same theme for years now…Mission, Leadership, Focus, Job Descriptions, Accountability, Feedback, and Celebration. 

Without a well defined mission, the troops will never know what success looks like.  Without leadership, who is going to follow you towards accomplishing this mission?  Without focus, how can you separate the sheep from the goats?  Without defined job descriptions (Scorecards), how will the troops know what success looks like?  Without accountability, why should an “A” player perform different than a “B” or “C” player?  Without feedback, how will they know?  Without celebration, how do we let off steam when we succeed or fail, (yes, fail…at the very least, you can celebrate the failure is over and proceed on with a positive project.)

I challenge you to take a look at this and see if it does not make sense to you.  If you want to learn more about how KTF Consulting, LLC can help you with Realigned Efforts…Forward Momentum, please give us a call.

Until next time…

An Open Discussion with Shelby County Republicans

Okay Republicans, you ran the table last night.  Let’s see, you picked up Shelby County Mayor, Mark Luttrell; Shelby County Trustee, David Lenoir; Shelby County Sheriff, Bill Oldham; and you defeated Willie W. Herenton for U.S. Congress, District 9.  Whew, you have lots to celebrate for now, but keep one thing in mind.  This election has more to do with an unsatisfied electorate than what you Republicans have been doing right.  I’d behoove you to consider a few quotes you may find of interest:

·         “A wise and frugal government, which shall leave men free to regulate their own pursuits of industry and improvement, and shall not take from the mouth of labor the bread it has earned – this is the sum of good government.”  Thomas Jefferson

o   Let me interpret

§  Don’t Spend more than you make – BALANCE THE BUDGET AND KEEP IT BALANCED

§  Leave industry to the private sector

§  Don’t take money and resources from a productive member of society to give to a capable but unwilling non-productive member of society

·         “It’s not about you.”  Rick Warren, The Purpose Driven Life

o   Let me interpret – Southern Style

§  It ain’t about you.  You are a Public Servant, now go SERVE.

·         “Government is not reason; it is not eloquent; it is force.  Like fire, it is a dangerous servant and a fearful master.”  George Washington

o   Let me interpret

§  Government is a necessary evil; however, left unattended, it will become a terrible instrument of destruction. 

·          “No man is good enough to govern another man without that other’s consent.”  Abraham Lincoln

o   Let me interpret

§  You have been placed in a position of authority because of the DESIRE of the people to trust you and your actions.  Take heed to this trust and protect it with your very being, it is sacred and humbling.

I hope you are catching the common thread through these words.  You are a public servant.  We the People want you to succeed.  We want you to do well.  We even want you to be personally successful; however, this success must come from VALUE CREATION and not REDISTRIBUTION OF WEALTH.

Until next time…..

Many Thanks to Michael Synk with In-Synk

Why would a consultant invite another consultant to speak to a group of his prospects especially if these two consultants were quasi-competitors?  Simple, putting the client first.  Michael Synk with In-Synk; Inner Circle of the Mid-South; and Gazelles International has skills and resources that my clients need and they need to hear it from a different perspective.  So with that in mind, here are some of the points Michael covered yesterday at the Germantown Exchange Club meeting:

·         Business is ultimately about 4 main factors

o   People – “The right people on the bus and in the right seats”

o   Strategy – “Everyone marching to the same beat of the drum in the same direction”

o   Execution – “As I’ve said before, without a good strategy, you wind up with a lot of hard working people getting nowhere”

o   Cash – “Any entrepreneur knows, CASH IS KING”

·         From the book, “Overcoming the 5 Dysfunctions of a Team”, by Pat Lencioni

o   Trust – the foundation of a strong team, the absence of Trust does not provide a good foundation on which to build

o   Conflict – Healthy respectful conflict is good in an organization – the lack of Conflict can denote Fear – Dialogue, not Discussion is the key here

o   Commitment – without Trust and Conflict, you will not have Commitment and therefore will receive lackluster performance by your Team

o   Accountability – the absence of Commitment will drive people to avoid Accountability and therefore will not drive you to the top of the pyramid which is…

o   RESULTS – Results are a sum result of the four lower steps being in harmony

I want to thank Michael for taking the time and effort to come out and speak to our group.  I have received many complements on his talk and look forward to seeing his efforts pay-off.

Michael’s contact information:

In-Synk

Michael Synk, Owner

901-276-0200

msynk@in-synk.com

What Is Happening To Our Money?

“EU Banks Survive Test, only 7 Flunk ‘Stress’, Trial, Surpassing Expectations but Fueling Skepticism.” The Wall Street Journal, 7.24-25.10

“An IMF review of China’s economy found the yuan is substantially undervalued, despite Beijing’s move to adopt a “flexible” exchange rate.” The Wall Street Journal, 7.27.10

“Hamilton Beach moving, Mississippi lures another business from Memphis.” The Commercial Appeal, 7.30.10

“U.S. economic growth slowed in the second quarter to a 2.4% annual rate as consumers remained frugal and a business restocking cycle showed signs of fading.  The recession was deeper, and the subsequent recovery slower, than the government originally estimated.” The Wall Street Journal, 8.1.10

“China’s manufacturing activity expanded at the slowest pace in 17 months amid tightening measures and uncertain global demand.” The Wall Street Journal, 8.2.10

So the question is, what is really going on in the world economy and what affect will that have on your business?  Consider this, if China is undervaluing their currency, that gives them a competitive exporting advantage over the U.S.  That means the it takes less U.S. dollars to purchase Chinese products – sounds good right…but wait.  If it is artificially “DEFLATED” then that means it artificially causes U.S. dollars to seek out Chinese goods and services thus throwing the U.S. in an import/export imbalance with the Chinese.  Okay, so why is that a problem.  It means, the Chinese are artificially “tilting” the table to have the U.S. buy more goods and services than we would normally buy AND it allows for more products to be MADE IN CHINA than in the U.S. – okay, get the picture.  It’s artificially sucking jobs out of the U.S. to China.

Now take into account the jobs that are being sucked out of Memphis and into Mississippi and see the similarities?  So the question is not what is Mississippi doing wrong, the question is not even what Memphis is doing wrong, the question is, “What are the businesses doing right that you need to emulate?”  How about long-term planning; Total Cost of Ownership Analysis; and Cost Benefit Analysis on all aspects of your business.

Okay, so the next OBVIOUS statement is, “They have all these RESOURCES we don’t have!!”  Very true, but welcome to the world of consulting.  As a Value-Add provider, KTF Consulting, LLC has a plethora of CPA’s; Architects; PE’s; MBA’s; and Realtors standing by to assist you at a moment’s notice.  Give us a call and let us help you with…

“Realigned Efforts . . . Forward Momentum”

Until next time…

Do you have a good Scope Statement for your Project?

I recently conducted a Project Management Brainstorming session with a client.  The overall needs from the clients perspective were simple, “I need a standardized consistent method to manage my projects that is not so cumbersome we are spending more time and energy working the system than we are managing the projects.”  Pretty simple, wouldn’t you think?  Well, that is until you get into what a good Scope Statement includes.  PMBOK, [A Guide to the Project Management Body of Knowledge: Project Management Institute (Corporate Author)], provides information for the Scope Statement; however, in a recent seminar I attended, Michael Luzwick with mgl concepts recently summarized the Scope Statement in its simplest form, “The scope statement should be one sentence that includes all three constraints on the project:  Time, Resources, Project Objective.”  That really sums it up. 

So, my challenge was to turn this “general statement of fact” into a solid scope statement.  After some deliberation we decided on the following scope statement, “To deliver a comprehensive written Project Management Process to the President of the company by July 16, 2010 while utilizing the existing resources of the Project Management Team.”  Now we know what we are to do, when it has to be done, and what resources we have available.  Now, I know you are saying, “FOUL – “Comprehensive” is subjective, not specific.”  Good point, it is but it is by intention.  During the course of the discussion, we found we have multiple project types that require specific steps that need to be included in the project management process.  The challenge that all the processes will be used but not on all projects.  To provide “standardization” we will require a comprehensive Project Management Process that will cover ALL projects but allow for checklist that will indicate by Project which tasks are applicable and which are not.  The key is keeping the process “standardized” so that all projects have the same checklist, the same Work Breakdown Structure; the same Work Breakdown Structure Dictionary while providing for customization and individualization of the project.

I’ll keep you posted on how it goes.

Until next time…..

Execution - The Difference Maker

Recently I had the chance to participate in a panel discussion with several Memphis Area Business Leaders.  One of them happened to be Mr. John Pontius, a native Memphian and President of Pittco Management, the firm that manages the activities of the Pitt Hyde family.  The key point that Mr. Pontius drove home was most of us in the room had all the strategy and education we really needed to be successful, the difference maker was execution.  The person or firm that has the ability to consistently execute a strategy is the one that will succeed far more often than the one with the best strategy, the best business model, the best financing, the best connections, and even the best product.  Don’t believe that, consider these EXECUTION WINNERS and make your own assessment:

·         Beta was far superior to VHS but VHS won the battle.

·         We live in a PC world but anyone will tell you that MAC is a better machine

·         Motorola, the former cell phone GIANT and LG, the washing machine manufacturer

·         NetFlix and Blockbuster – guess Blockbuster should re-think those late fees

·         Microsoft and well any other PC software – remember Lotus; WordPerfect or Bourland Quatro Pro?

Webster defines execution as, “the act or mode or result of performance”.  Now that pretty much sums it up.   So the question is, why do less talented people outperform more talented people so often?  Could it be that execution, “the act or mode or result of performance” makes a difference in the outcome?  I submit that it does.  Likewise, although not a comprehensive list, the following qualities would be found in a person capable of and willing to execute a strategy:

·         Passion – Is there a fire in your belly?

·         Determination – everyone falls down, do you stay there or get up?

·         Persistence – When the going gets tough, where are you going?  You have to have “stick-to-it-ness”

·         Discipline – the willingness to do what you don’t want to do so you can have/achieve/become what you want

·         Commitment – Breakfast for a Chicken is just involvement; but for a Pig it is total commitment….think about the omelet, the egg and the bacon – see any three legged pigs lately?

·         Positive Attitude – Tom Hopkins calls it, “PMA – Positive Mental Attitude”.  This is not ignorant bliss, this is “CHOOSING” to be positive when everything around you says, “RUN!!!!!!”

·         Purpose – Whatever you do, do it with a purpose.  Think about what you are doing and do it “on purpose”.

·         Decisiveness – Napoleon Hill refers to one of my favorite Presidents, Abraham Lincoln and his decision to issue the Proclamation of Emancipation even though he knew it would seriously injure his political standing and ultimately cost him his life

·         Courage – Again, Napoleon Hill points out the founding fathers in “Think and Grow Rich”.  Have you read the last line of the Declaration of Independence lately?   “And for the support of this declaration, with a firm reliance on the protection of Divine Providence, we mutually pledge to each other our lives, our fortunes, and our sacred honor.”  WOW – they laid it ALL on the line.  We win, we are a free nation.  We lose, these fifty-six men will hang.  Do you think you could find Fifty-six people in Congress that would do that today?

So, the next time you are in an interview, regardless of which side of the table you are on, think about what the PERSON sitting in front of you is made of, what they stand for, and what type of EXECUTION you will receive from them and then decide if you want to work for them or have them working for you.

Starbucks - Customer Service at its BEST

Okay, I am an official “COFFEEHOLIC”.  I love coffee.  I love it in the winter, I love it in the summer, I love it all times in between.  There is nothing better than sitting on my porch watching the sun come up with a nice cup of coffee and my two dogs (Daisy – Blue Healer / Cocker Spaniel mix and Sumner – Great Pyrenees) wrestling to see if it is possible for both of them to get into my lap at the same time.  That is unless you are a Starbucks fan.  Me personally, I have three Starbucks locations that are mine – all mine.  The first one is in Millington, Nate is my barista.  The second is in Bartlett, Joy is my Barista.  The third, and the Champion of the Customer Service world is the Starbucks on the Island, Poplar and I-240 in Memphis.  Now, this crew is “tight”.  It does not matter if it is Alice, Alicia, Ben, Bill, Dee, Olivia, Sean, or Teresa who waits on me, they know me when I get there, they know what I order and they treat me like I am the only customer they have. 

When is the last time you treated your customers as if the entire world revolved around them? 

I have changed my morning commute just to swing by their location in order to see my friends, yes friends, each morning.  How many of your customers are currently going out of their way to come to you because of how YOU and YOUR TEAM treat them? 

I know I have learned far more from them through their treatment of me than I have spent on their coffee.  Several people have blogged about their exceptional customer service.  Jeffrey Gitomer, notable sales trainer, has his own slant on Starbucks “Good morning, I NEED a cup of coffee” (http://www.gitomer.com/articles/View.html?id=15926).  (By the way, if you don’t subscribe to Jeffrey’s weekly newsletter, you’re cheating yourself).

Any way you pour it, Starbucks has the magic touch when it comes to customer service.  Rate yourself on these traits that Starbucks provides consistently across locations:

·         Warm environment – I am at home at Starbucks

·         Writing my name on the cup – WOW – what a concept – I’m not just a “Triple Venti, Non-Fat, White Mocha, Stirred with light Whip Cream”, I am “Kevin” with a J, or a “Have a Great Day” note on the side of my cup (and this is at the drive thru)

·         They know when I was there last.  I get a “Missed you yesterday” if I have a meeting that takes me out of my natural path to the office.

·         They come to the window or wave to me from the inside service location.

·         If I am meeting someone inside, I get this, “Hey, you’re supposed to be out here” look from Teresa.

·         They make me feel welcomed because they do it intentionally.

·         Their personality goes with them

I had a class while working on my MBA with a Starbucks barista and boy was she upbeat (and not just from the coffee + she smelled like a Starbucks – AWESOME!!!!)

Gitomer gave me the challenge to take my crew to Starbucks and then discuss their customer service.  I challenge you to review Gitomer’s link above and do the same.  If it does not change the way you think about customer service, it should. 

Kevin Fleming, Starbucks Gold Cardholder since 2006