Category Archives: Management

All things related to managing people, assets and self.

The New Learning Gap: Business Leaders Know Little About The Internet

Posted on by
2

Today’s Leaders Are Tomorrow’s Followers

 

For some reason I’ve run into too many business leaders lately who know less and less about how their businesses are being marketed on the Internet. From owners and CEOs to vice presidents and general managers, leaders (even good ones) are getting further detached from the realities of what truly drives their bottom line.

 

With virtually all of their customers now virtual, you would think these leaders would hunger for knowledge about digital marketing – not so. In fact, some of them seem downright fearful, and any leader afraid to learn about what makes the Web tick is destined to be a slave to the very people he is tasked with leading.

 

Rather than recreate the wheel, there’s a great article on the subject and how it is affecting car dealers at the automotive industry blog DealerRefresh.

NY Times Hardcover Business Best Sellers – October 2009

Posted on by
Reply

New York Times – Hardcover Business Best Sellers – October 2009

 

Yawn… Eleven months and Malcolm Gladwell’s Outliers continues to dominate the NY Times hardcover business best seller rankings. We love this book, and yet it still seems a little unbelievable that one book could remain on top of such a dynamic list for so long. (To read our review of this outstanding book, check out our July 2009 best seller rankings.)

 

Upon further review, we understand why Gladwell can stay at Number One: Nearly all of his challengers deliver books with no real substance, very little entertainment value, and they fill no unmet need of the book-buying public. From the boring premise of Shop Class as Soulcraft, by Matthew B. Crawford to the asininely unnecessary The 50th Law, by 50 Cent (and Robert Greene), to the clearly miscategorized What Happy Working Mothers Know, by Cathy L. Greenberg and Barrett S. Avigdor, the NY Times business list is thin, at best.

 

Given the absolute drivel populating this month’s list, we simply cannot recommend anything in the Top Five not written by Gladwell. From Numbers Six to Fifteen, there is only Jim Collins’ How The Mighty Fall at Number Seven that is worthy of a leader’s time. (Might we recommend you take a look at some classically good leadership books instead?)

The Top Five – NY Times Business Hardcover Best Sellers October 2009 (to view the entire list, follow this link):

 

This
Month

 

Last
Month

1

OUTLIERS, by Malcolm Gladwell. (Little, Brown, $27.99.) Why some people succeed — it has to do with luck and opportunities as well as talent — from the author of “Blink” and “The Tipping Point.”

1

2

THE HEALING OF AMERICA, by T.R. Reid. (Penguin Press, $25.95.) How other industrialized democracies provide health care for all at a reasonable cost.   

9  

3

WHAT HAPPY WORKING MOTHERS KNOW, by Cathy L. Greenberg and Barrett S. Avigdor. (Wiley, $19.95.) How to be a successful parent and professional without sacrificing personal happiness.

 

 

4

THE 50TH LAW, by 50 Cent and Robert Greene. (HarperStudio/HarperCollins, $19.99.) Conquering fear to attain power: a philosophy of life.

  

5

THE TOTAL MONEY MAKEOVER, by Dave Ramsey (Thomas Nelson, $24.99.) Debt reduction and fiscal fitness for families, by the radio talk-show host.

     
     
     
     
     

 

 3

 

 

Stop Managing Activities and Start Seeing Results

Posted on by
1

Keep Everyone Busy So You Can Kill Creativity

In the current economic climate (one that we’ve dubbed The Great Necession), it seems that companies are so concerned about productivity that they’re forgetting about innovation and creativity.

Whether we’re all trying to cover our asses as managers or whether we truly believe that micromanagement and piling on the busy work is the key to survival during The Great Necession, we have become obsessed with ensuring everyone still employed is constantly busy.

Understandably, many workers are doing their job and that of their laid off former coworkers; though even this doesn’t explain what we’ve observed over the past several months in workplaces across America. Too often to be a coincidence, we’ve watched in disbelief as more and more managers unnecessarily micromanage the activities of their charges in an effort to magically drive more output.

We’ve become so concerned with keeping everyone busy that we don’t leave time for our employees to be creative or creatively solve problems.

Manage the Results, Not the Activities

Often because they don’t fully understand the goals, junior managers fall into the trap of managing or micromanaging the activities of their subordinates. When desperate, even seasoned leaders will sometimes scramble to drive productivity through the micromanagement of daily activities.

The Great Necession has created more than a little desperation in the workplace.

The key to reaching your team’s goals as leaders is to clearly identify the goals and then monitor and manage the output of those contributing to the achieving of these goals. When you try to manage the inputs (the activities) instead of the outputs (the results), you most often find you’re driving fast, though in the wrong direction. Additionally, you cannot hold your subordinates accountable for the results that the overly-managed activities attain.

When you tell someone not only what to do, but also how to do it, you own the results – good or bad.

We Need Creative Problem Solving to Solve Our Current Problems

Left to their own accord, people will always find ways to do it cheaper, faster, better and safer. If you’re micromanaging their activities, you leave them no time to improve your products or processes; and thus, no time to help pull your company through the tough times.

As leaders, it rests on us to guide our companies through this economy. Your people are counting on you to do just that. It’s time to lead again: Resist the temptation and stop managing the activities and just manage the results. It’s easier. Of course, do this only if you want creative solutions to your company’s problems.

NY Times Hardcover Business Best Sellers – September 2009

Posted on by
Reply

 

New York Times – Hardcover Business Best Sellers – September 2009

 

Ten months and counting for Malcolm Gladwell’s Outliers as it continues to dominate the NY Times best seller rankings. To read our review of this outstanding book, check out our July 2009 best seller rankings.

 

Though not showing the staying power of Gladwell yet, two authors were able to hold their Top 5 rankings from last month: Mezrich and Ramsey. We have no comment on Ramsey’s “work,” expect to say that it likely should be moved from the NY Times business rankings. (How does dolling out credit card debt elimination advice to consumers with below average intelligence qualify as a business book?) Regarding Ben Mezrich’s The Accidental Billionaires, we can actually recommend this read for those of you looking for something with a little more entertainment than “how to” advice. We enjoyed Billionaires almost as much as we liked Mezrich’s earlier offering, Bringing Down The House, and we were pleasantly surprised that we walked away feeling we learned a little something.

 

We have no plans to read anything written by former Lehman VPs (A Colossal Failure of Common Sense) or how Bernanke prevented the second Great Depression (In Fed We Trust), though we do welcome your comments about these final two of this month’s Top 5.

The Top Five – NY Times Business Hardcover Best Sellers September 2009 (to view the entire list, follow this link):

 

This
Month

 

Last
Month

1

OUTLIERS, by Malcolm Gladwell. (Little, Brown, $27.99.) Why some people succeed — it has to do with luck and opportunities as well as talent — from the author of “Blink” and “The Tipping Point.”

1

2

THE ACCIDENTAL BILLIONAIRES, by Ben Mezrich. (Doubleday, $25.) How two Harvard undergraduates created Facebook.

2

3

THE TOTAL MONEY MAKEOVER, by Dave Ramsey (Thomas Nelson, $24.99.) Debt reduction and fiscal fitness for families, by the radio talk-show host.

3

 

4

A COLOSSAL FAILURE OF COMMON SENSE, by Lawrence G. McDonald and Patrick Robinson. (Crown Business, $27.) The inside story of the collapse of Lehman Brothers, from a former vice president of the firm.

8

5

IN FED WE TRUST, by David Wessel. (Crown Business, $26.99.) How Ben Bernanke and his Federal Reserve colleagues worked to prevent another Great Depression.

 

 

The Truth about Cash for Clunkers

Posted on by
3

Leadership Decision Making and The Law of Unintended Consequences

Certainly you’ve heard the axioms “nothing happens in a vacuum” and “for every action there is a reaction” before. We’re pretty sure that every thinking adult not only understands these sayings, but also believes them to be true.

Cause and effect, means and ends, seed and fruit cannot be severed; for the effect already blooms in the cause, the end preexists in the means, the fruit in the seed – Ralph Waldo Emerson

RWE is correct, but he fails to mention that each cause actually has multiple effects; every mean leads to numerous ends; and that each seed can bear bushels of fruit. Cause and effect, like means and end, can imply both good and bad outcomes; and both scenarios – unlike the planting of a seed – often create results that are unintended and unforeseen.

The law of unintended consequences is not a new phenomenon, and it’s especially not new to government action. History has shown at every turn that government intervention, regardless of the benevolent intention, leads to numerous unforeseen and unintended consequences. Certainly, some of the outcomes are beneficial, though the vast majority are not.




The Truth about Cash for Clunkers and The Law of Unintended Consequences

In a nutshell, the US Government created a program that requires taxpayers to spend $3 billion help 750,000 people to buy a new car. The program, officially the Car Allowance Rebate System (CARS) though more commonly known as Cash for Clunkers, was created solely “to energize the economy; boost auto sales and put safer, cleaner and more fuel-efficient vehicles on the nation’s roadways” – this, according to the government’s official cars.gov website.

While nearly everyone in Washington was breaking their arms patting themselves on their collective backs after just two weeks of CARS, the truth is that this program, like all government programs, has already spawned numerous unintended consequences (and none of them positive). Here are just a few:

  • Kelley Blue Book analysts are predicting a bubble in used car prices as a result of the CARS program. This means the cost for a used car is going to be higher, creating a burden on the working poor and lower middle class.
  • Charities are reporting that donations of used cars are down 20% since the start of the CARS program.
  • Already hurt by the economic downturn, used car lots are seeing an additional 20% drop in sales since the beginning of the program – these lots are more often owned by local businesspeople and not large corporations.
  • Some independent auto repair shops – precisely the kind that would service an older car – are reporting up to 25% decreases in their business.
  • Because of the increased demand for many models, car dealers are not discounting beyond the required manufacturer’s rebate. This means that all consumers are paying more for these models.
  • Economists blame the drop in overall July retail sales on the CARS program; arguing that consumers spent on new cars, but cut their spending elsewhere – deepening the recession the program was meant to help stop.
  • The top new model sold so far under the Cash for Clunkers program is an SUV – the Ford Escape – and two large trucks (Ford’s F-150 and Chevy’s Silverado) and a Jeep are among the Top 10 new models sold. (Hardly the pro-green movement for which the government was hoping.)
  • 750,000 working automobiles will be taken out of service and replaced with 750,000 new vehicles. The process of manufacturing each new car (when you account for the acquisition of all material required) is a much more polluting proposition than driving each old car until its natural demise.


It’s clear that Cash for Clunkers will do little, if anything, to stimulate the overall economy; but what about the nation’s car dealers and manufacturers? While dealers are making more per car sold and manufacturers are seeing their inventory backlogs shrink, both of these benefits will likely be short-lived.

The increased demand created by the CARS program cannot be sustained without better economic news. The dip in overall July retail sales signals to us that the end is not as near as we had all hoped. Instead of kick-starting the US Auto Industry, Cash for Clunkers likely pulled ahead many consumers who would have purchased later this year and in 2010. This means many dealers should look for softer than expected new car sales from September through the end of the year.

For the manufacturers, it seems they never learn. Ford announced this week that as a result of the “success” of the program they are ramping up production in the US. While this should be good news for the economy, it likely signals that Ford will be cutting production more than usual this November and December. Rather than enjoying the higher prices brought on by the momentary (and sure to be short-lived) spike in demand, Ford plans to run with the standard Detroit playbook and chase demand by building more cars, trucks and SUVs in the next couple of months. It’s as if Ford is proclaiming “Forecasters be damned, the recession is over.”

…

The leadership lesson in all of this is that the world is always more complex than it seems on the surface. Whether we’re talking about the US Economy or the five people in your workgroup, there is an equilibrium that must be considered before major changes are enacted. Understanding how these changes will affect all stakeholders is an important first step towards reaching your goals; but it is only a first step.

It is equally important to make assumptions about the unintended consequences that will inevitably define the success or failure of any major project, program or transformation. While you’ll be wrong more often than you’re right, just knowing that unforeseen outcomes are expected will make you a better leader – if for no other reason than you’ll be better prepared to manage the unanticipated results.

Young Managers Working in a Small Business: What Can They Do To Get Respect From Below and Above?

Posted on by
2

For Young Managers, it’s not Just About Gaining the Respect of Subordinates

One of the most common questions from our readers concerns how they as younger managers can lead older subordinates – all while maintaining respect and sanity. Where we felt we could help, we’ve provided these youthful leaders advice and guidance as recently as last month when we responded to a question posed by a reader named Sourabh from Mumbai, IN. He was curious how he could convince a firm he was interviewing with to hire him despite his age. Prior to that, we’ve explored possibilities for other young leaders in responses dealing with young business owners, leading grizzled older subordinates, and also how a young manager can keep from being run over. Recently, a new reader found our site and posed her own questions after exploring our advice about how a first time manager can gain respect:

Hi, I stumbled across this site as I was searching for some help. … I am not only the manager but the youngest technician at my company. … I work in a small family owned salon where everyone is on top of each other all the time. Here are my concerns that I am hoping you will be able to help me with:

As I mentioned, I am the manager of the salon but unfortunately I don’t get any respect from some of the older employees as well as the employees that are around my age (25). It seems that no matter what I ask them to do or how I say it, as soon as my back is turned I am a “bitch” etc. My requests usually go ignored until the very few times I have yelled at my employees. Which trust me is not many. I have worked for people that were demeaning and constantly yelling and my goal when getting this position was to be assertive but fair and never intimidating. It is getting to the point where if things don’t change I might snap.

I know I am young but I put in more paid and unpaid hours into the salon than any other employee. I work really hard to make us the thriving spa we are becoming and it frustrates me when people cannot reciprocate. I spend the majority of my time (when I am not with my own clients) ordering the supplies that the techs need, coming up with marketing ideas to make their books more solid, building our website, etc. But all I get back is arguments over why they have to do this special for the price I gave them when they want to charge more, or complaints when things they need aren’t ordered (they usually don’t tell me what they need I have to figure it out myself).


I am becoming resentful because I feel like I am constantly doing for them with no respect being given back to me. With the employees that are my age I am just blatantly ignored or told I am being a bitch. But when everyone wants something i.e. to leave early or come in late the next day all the sudden they are calling me “Miss Manager…”

How do I get the respect I not only desire but deserve?

My boss is way too nice to everyone. It really is out of control. I love her and consider her a great friend but at the same time my role as manager has been blurred by her as well. Sometimes I feel like I am not the manager just her personal assistant. She doesn’t want me to reprimand employees when it needs to happen.

How do I establish with her what my role as manager is?

I have asked her this question before with no real answer. I don’t think it’s fair for me to be telling the staff what to do but unable to say anything when things are not getting done. It would be one thing if she dealt with the issues but she is way too nice for that. I get upset because the employees take advantage of her and I don’t like watching that happen without being able to do anything about it.

Please help!!! – MM, USA

Ms. MM, may we call you M? Our apologies on the length of time it took to effort a response, but your questions were so specific and your situation so intriguing that we wanted to ensure we got this one right. (Not that we don’t try to answer all questions correctly, it’s just that you so completely described your issues that we felt compelled to reciprocate just as completely.)

We’ll tackle your issues and questions one at a time, and in the order you presented them…

I work in a small family owned salon where everyone is on top of each other all the time.

It’s always easier to manage large than it is to manage small. We often laugh when we hear about the tremendous “leadership” provided by this Fortune 500 CEO or that one – when you’re armed with a seemingly unlimited budget, surrounded by Yale and Harvard MBAs and staffed with more Administrative Assistants than Congress, you’re going to have very little trouble executing – provided, of course, that you have a brain, a plan and your ego in check.

Contrast this to a young manager trying to get the most from a group of high school graduates and having to do all the heavy lifting herself. It’s clearly easier to manage large and we feel your pain, MM.

It seems that no matter what I ask them to do or how I say it, as soon as my back is turned I am a “bitch” etc. My requests usually go ignored until the very few times I have yelled at my employees.

On the surface, it seems to us that there is no consequence for either insubordination or inaction by the employees. People yell when they are out of options, and if there were consequences at your workplace, you would certainly never have to yell.

Our advice here is two-fold. First, never yell again. When you lose your cool with someone you are telling the world that you are not in control and that you can be controlled by others. In your case, you are ceding your power to your employees and they are likely getting a big laugh at your expense. Second, it’s time to sit down with the owner and create your version of an operations manual. This manual need not be fancy, but it must detail the policies and procedures for the company, and especially the consequences for poor behavior. (Of course, no business rules are worthwhile if they’re not enforced.)

I work really hard to make us the thriving spa we are becoming and it frustrates me when people cannot reciprocate. I spend the majority of my time (when I am not with my own clients) ordering the supplies that the techs need, coming up with marketing ideas to make their books more solid, building our website, etc. But all I get back is arguments…

This piece of advice is probably going to seem odd, but it might be time to empower this team to make many of their own decisions. Where possible, ask the techs to carry some of the weight. For example, if you like to order supplies on Fridays, then create and distribute a simple Supply Order Form to everyone on Wednesday, and ask them to tell you what they need by Thursday night. Those who fail to order the proper quantities and run out could be docked the express shipping charges or the retail price difference required to get their supplies in on time.

For the marketing decisions, encourage all complainers to provide you with what they would like to see next month. Do this in a non-confrontational, sincere manner in front of everyone, and be sure to give serious thought to their ideas. If you choose to implement one of their marketing schemes, be sure to let everyone know before, during and after the promotion that the idea came from so-and-so by thanking them regularly. They will likely take ownership and do everything in their power to make sure it is a success.

But when everyone wants something i.e. to leave early or come in late the next day all the sudden they are calling me “Miss Manager…”

There’s a Latin term that applies to this situation, M: Quid pro quo. Literally, this means “something for something,” and in business it means “scratch my back and I’ll scratch yours.” Each time one of your charges is looking for a special favor, you have a golden opportunity to do some coaching.

If the employee is the loyal, hardworking sort, then you grant their favor (when possible) and you reinforce their good behavior by saying something like “I have no problem letting someone who accomplishes so much go home early now and then.”

When the person requesting the favor is someone who has made your life miserable, you should take time to explain some of your needs before deciding whether or not to grant their request. For example, you might say something like “I appreciate that you would like to arrive late tomorrow, though I think you’d agree that allowing special treatment to someone who rarely cleans up their own work station sends a bad signal to the rest of the team. If you were in my shoes, what would you do?”

quote

How do I get the respect I not only desire but deserve?

This, M, might be the real question. Certainly, we feel that if you’re able to incorporate the advice we’ve provided so far, you will begin to build respect with your team. Of course, respect is a lot like love: The more you give, the more you get.

Make a pact with yourself to begin each day by respecting your team. This means listening to their ideas (especially the hair-brained ones), and soliciting their opinions about the company’s direction on issues that are important to them (even if you don’t care). As you begin to respect them, they will (eventually) begin to respect you.

While this is a great first step, the behavior of your team could very well be only a symptom of the real problem. From what we can gather from your comments, the underlying problem you face likely has more to do with your relationship with the owner than it does your relationship with your team.

The Real Question is How to Gain the Owner’s Respect

Let’s get some facts about someone who owns their own company on the table: Right or wrong, the owner is the boss. The goal of every company is to make money for the owner. If the owner is crazy and wants you to waste money, for example, you have two choices: Get another job or waste the money. It’s not passive aggressive behavior to give the owner what they want – even if it’s not in their best interest. This is not to say that you shouldn’t attempt to do what’s right; though in the end the owner is the owner and you are just an employee. If the owner wants to allow people to take advantage of her, that is her prerogative (and not your concern). Like the customer, the owner is not always right, but they are always the owner.

M, your issues may appear like they start and end with your subordinates, but in fact, they seem to be caused by the company owner. In our opinion, you are suffering from a lack of respect for your leadership from your boss; and this lack of respect transfers onto your fellow employees. Now, before you march into her office and demand some R-E-S-P-E-C-T, you need to understand that the owner’s behavior is consistent with someone who wants to please everyone. In her effort to please her employees, she is unwittingly minimizing your authority.

quote

How do I establish with her what my role as manager is?

While the owner certainly thinks you’re qualified, she has likely been continually undercutting you since the day you were promoted – and all of this undermining was occurring without her knowledge. She possibly has no idea what she’s doing, and that’s why we think it might be time to have a very serious, though friendly, meeting with her.

We suggest you seek the guidance of others before acting, though our advice is to sit down with the owner at an offsite location (to minimize distractions) and to ask her a few pointed questions. In a concerned, friendly tone, you may want to ask her:

  • Do you value me as a leader?
  • Do you believe I possess the necessary skills to manage the team?
  • Do you think I am capable of growing the business?
  • What are your expectations of my roles and responsibilities?
  • What are your goals for the business and how do you see my role in that?

Based on her answers to these questions, you should know where you stand. If the meeting is going well, you may want to finish with a simple statement about how much you love working for her, how much you respect her, but how you sometimes believe her leadership style is diminishing your effectiveness as a manager. Explain to her that in order for there to be rules, there must be consequences. Without consequences, or her backing, you will not have the respect of the employees.

Not surprisingly, once the owner begins to respect your leadership, so will the employees. Unfortunately, this reverse is also true (as you discover every day). On the bright side, if your boss chooses to keep the status quo, you can mimic her style and become “too nice” in an effort to win over your charges. Because it’s always easier to change your style from “strict” to “relaxed” than the other way around, you stand a good chance of still becoming a semi-effective leader even without your boss’ respect.

Leadership Lessons from Barack Obama

Posted on by
1

What Business Leaders Can Learn from Obama’s Bad Week

Wow, what a week for the Leader of the Free World. Just as his something-for-nothing-health-care-plan was starting to lose steam on Capitol Hill, one of his friends breaks into his own home, gets lippy with a cop and gets arrested.

In his typical “you never want to let a serious crisis go to waste” fashion, Barack Obama took a page from previous US Presidents and tried to deflect criticism of his health plan with some presidential sleight of hand. Claiming a decorated police officer acted stupidly in arresting his pal Henry Louis Gates, Obama just might have uttered the dumbest thing he’s said since taking office. Thankfully, he’s provided us with a couple of truly basic lessons for business leaders in the process.

Leaders Make Sure Their Feet Are Clear of Their Mouths Before Speaking

“I don’t know all the facts.” Barack Obama stated as he began to weigh-in on Gatesgate during his nationally televised health care press conference on Wednesday.




Leaders know that this is where they should stop commenting. Leaders understand that it’s important to get all the facts before speaking – especially on topics that could be inflammatory.

“… the Cambridge Police acted stupidly in arresting somebody when there was already proof that they were in their own home,” Obama continued later in his misinformed opinion “… there is a long history in this country of African Americans and Latinos being stopped by law enforcement disproportionately. That’s just a fact.”

Clearly, Obama has never seen an episode of Cops, where nearly everyone is arrested in their own homes. The most misguided takeaway of President Obama’s declaration on Gatesgate is that he equated this incident with the stereotypical racist white cop, and even tried to make what happened in Cambridge a microcosm of race relations in America.

You Move Too Quickly

If you’re wondering what that stuff is dripping off the President’s mug, it’s egg. It seems Obama not only spoke without knowing the facts – as the facts came out it became increasingly clear that we had a belligerent old man who was disrespectful of the very police who were called to his home to investigate a possible burglary – he basically called one of the most colorblind policemen in Massachusetts a racist. Boy, I bet he wishes he’d known that before he opened his mouth.

Cambridge Police Sergeant James Crowley, as you may already know, not only teaches academy plebes on how to avoid racial profiling, but he just happens to be the brave officer who performed mouth-to-mouth resuscitation on Reggie Lewis in 1993. Lewis, you see, was black; and Crowley didn’t care as he tried to save the young man’s life.

The President should be calling for other police departments to hire more men like Crowley instead of continuing to second-guess the officer’s actions. Leaders, at this point, would know enough to apologize and explain they spoke too quickly. Even as recently as today, Obama has continued to lay much of the blame at Crowley’s feet. The American People – just as your subordinates would if you were lying to them – aren’t buying it.

What’s The Rush?

The real leadership lesson we expected to learn this week centered on the Obama Health Care Reform Plan. We were looking for the reason that the White House and certain members of congress seemed so adamant about passing the measure before the August break. The plan is one of the most costly pieces of legislation ever to be proposed, and would (by all accounts) change the way most of us access doctors and hospitals forever.

So what’s the rush? Leaders know that getting it right is always, always, always better than getting it fast. That’s not to say that leaders believe in ready, aim, aim, aim…. On the contrary, leaders are all about quick action – they just don’t take this action without understanding the pros, cons and consequences.

One thousand, one hundred and eighteen. That’s the number of pages in the Health Care Reform Bill Obama wants passed this month. With all that’s happening in the economy – and with the trillions already pledged to stimulating it – asking congress to okay a bill that would commit trillions more without expecting them to both read and understand it is unconscionable – and not very leader-like.

Measure Twice, Cut Once

Obama and the congressional leadership should take a page from careful carpenters and make certain they understand the ramifications of all aspects of the bill before signing on. (It’s quite possible President Obama hasn’t even read the bill in its entirety.)

Obama, however, wants everyone in America (especially the congress) to look the other way and let his plan go into effect. Why, we ask? What’s the rush? If health care is so important to Barack Obama, shouldn’t we make sure we get it right the first time?

We’re not even talking about debating the merits of the plan the President has laid out – it could very well be perfect for America – we just want to know that if health care is so important to the President, why did it take him six months to name a Surgeon General? (And why does she seem so overweight and under-qualified?)

Therein lies the leadership lesson. Leaders’ actions speak louder than leaders’ words – and true leaders know this. That’s why true leaders would never try to shove something down their charges’ throats. Instead, true leaders provide the facts, gain consensus and mentor as their teams do the right things. We wish Obama would do the same.

Leaders Don’t Get Too Caught Up In The Details

Posted on by
2

 

Low Hanging Fruit and the Cost of Perfection

Imagine a small airplane flying low over a crowd at a baseball game. The door of the plane opens and a smiling man appears with a large sack. He turns the sack over just as the plane flies over the bleachers and millions of dollars in various denominations begin to flutter down to the amazed crowd below. The plane makes a dozen more passes, and each time the man empties sacks of bills onto the crowd.

Now imagine you are in this crowd and you see hundreds, fifties, twenties, tens, fives and ones all floating toward your waiting hands. As the bills come within reach, you feel compelled to collect only the fives and ones because you know they’ll be easy to spend and they’ll work in most vending machines. Additionally, you decide to straighten each bill as it reaches your hand and you arrange all bills in sequential order by serial number and denomination as you collect them.

Of course, these decisions hinder your ability to gather the maximum amount of money, but you really want to make sure these dollars are perfectly displayed in your wallet once the money shower subsides.


Crazy? Probably, but managers in businesses of all shapes and sizes make similar decisions every day. While rationale people would grab every bill just as fast as possible, managers locked into some strange quest for flawlessness worry too much about perfection and not enough about the goal – costing their companies millions in actual losses and even more in lost productivity.

 

Leaders Grab the Low Hanging Fruit

 

Often in sales we talk about Low Hanging Fruit (LHF). This overused phrase refers to the sales that are so easy to make you just have to walk up to the great sales tree, reach up and pick the customer of your choice. This phrase is so hackneyed and misunderstood that it nearly cracked the Top Ten in our list of the 25 Most Annoying Business Phrases of All Time.

 

The concept of LHF in sales came about because inexperienced salespeople would often pass up the sure thing only to spend an inordinate amount of time trying to close a sale that would eventually yield them less commission. In leadership, LHF refers to the opportunities that take little effort. These opportunities are often not glamorous, causing unfocused managers to chase shinier objects (leaving the LHF to rot on the vine).

 

Leaders, of course, maintain the goal in the forefront of their minds. This keeps them focused and allows them the wisdom to grab the Low Hanging Fruit; and to avoid the traps of shiny objects and the ill-advised pursuit of perfection. Leaders do what is best for the company and not just what feels best at the time or makes them appear to be in control.

 

Perfection is a Joke, and it Costs Too Much

 

I once worked with someone who was put in charge of overseeing the migration of the company’s website from provider X to provider Z. While X had done a fine job with the site, the company just felt it was time to change. No biggie, this happens. Unfortunately, my colleague got so caught up in how every page of the new website looked (she argued for weeks about shades of blue that were indistinguishable to the naked eye), that the designers at provider Z left out major functionality that would have converted twice as many visitors. Additionally, the new website performed poorly with search engines like Google because my colleague was too busy picking just the right images to notice that the content was incorrect.

 

A leader who was focused on the goal would have known that search visibility and conversion were the primary objectives of the website, and that there were no secondary objectives. This leader would have looked at the opportunity to build the site correctly as Low Hanging Fruit and would never have been caught up in unimportant details like Cornflower blue v. Dodger blue.

 

The Devil is in the Details

 

In today’s business world there is no room for perfection. Those lucky enough to still have a job are likely carrying the weight of several laid-off coworkers. True leaders understand this and do everything they can to maximize the ROI of their activities and decisions. They do not get caught up in colors or sequential bill stacking when the future of the company is at stake. As bad as it may sound to the dilettante managers, leaders understand that good enough is sometimes good enough.