Tag Archives: Management Training

How TrueCar.com Caught Car Dealers Off Guard

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The Internet is (finally) introducing progress to the car business… whether automotive retailers like it or not.

While the Internet itself has so far been little more than an evolution of how car dealers do business (think about it: dealers have been receiving and responding to sales leads from Internet customers for more than fifteen years, yet most dealerships still see less than thirty percent of their sales coming from these online customer inquiries), what TrueCar will bring to dealers is nothing short of a revolution… and most dealerships aren’t prepared.

TrueCar’s business model is designed to eventually eliminate car dealers. For now, they seem content with just getting rid of the pesky commissioned car salespeople. If TrueCar gets their way, every car dealer in the country will provide the actual selling prices of their vehicles up-front; with no haggling. This, it seems, has gotten some in the industry a bit peeved.

“It’s not too late to put this beast down,” commented one such peeved industry veteran about TrueCar on one of the leading automotive dealership forums, DealerElite.net. Others on the site are calling for government investigations and dealer boycotts of TrueCar.

Can they put the beast down?

Forget for a moment how good their model of showing a guaranteed selling price is for consumers, TrueCar still needs car dealers to pay them $299 to $399 per vehicle sold or TrueCar will simply go away. If dealers truly abandon TrueCar, then what?

Unfortunately for the TrueCar detractors, there are two unstoppable forces at work that guarantee that even if TrueCar crashes and burns, the TrueCar business model will not only survive, but eventually become the industry norm. These forces are competition and consumers.

While there have probably been hundreds of dealers who have dumped TrueCar as a provider of sales leads since the industry call-to-arms officially began in November, there have likely been hundreds more who’ve signed on. Dealers, you see, want to sell cars; TrueCar, it seems, actually helps them do that. The competitive nature of car dealers simply won’t allow them to leave these sales leads to their competitors.

From a consumer perspective, one might ask “what took so long?” Why is it we can discover the actual selling price of everything from iodine to iPads before we ever leave for the store, but with cars we still have to haggle as if we’re walking through the Istanbul Grand Bazaar? With or without TrueCar, consumers were already moving toward no-haggle pricing for their vehicle purchases. TrueCar accomplished just one thing that had not been successfully deployed before: displaying the final selling prices of identical vehicles from competing dealers… and this, you see, removed the dealers’ greatest advantage in the car deal.

Why would dealers ever knowingly give up their advantage?

It only took a few car dealer indiscretions to allow TrueCar to get into the position of radically reforming the way new cars are sold to the public; and nearly all of these are examples of failed leadership at the dealer level.

Because most managers of car dealerships got to their level without the assistance of a solid training program or a heavy focus on process or process improvement, it’s no surprise that they “lead” with virtually no focus on these, as well.

Automotive retail provides some of the best examples of bad leadership, likely due to its history (“no one trained me, why should I train anyone?”) and its unbelievably high turnover rate (“why train my salespeople, when they’ll just end up working for someone else in a year?”). Additionally, car dealers have survived for years without the need for formal training programs or progressive leadership; why should anyone think they need these today?

With no focus on training or continuous process improvement, most dealership Internet sales managers – the ones who should have seen TrueCar coming and warned the others – were so busy playing with Facebook and Twitter; so busy thinking they were in the technology business that they never even realized they were in the business of selling cars at a profit. Of course, for most Internet managers, it didn’t help that since they receive almost no respect or support from the other managers in their store – including their direct supervisors – it is doubtful anyone would have listened to them about TrueCar anyway.

Interestingly, the dealerships that wasted (and continue to waste) countless hours and dollars to perfect some social media identity generally feel that social media is a revolution in the auto industry – while missing the true revolution: transaction price transparency and the guaranteeing of transaction prices via the Internet.

Not all dealerships want to put the beast down…

The dealership owners and general managers who never fully embraced the idea of selling cars online are the ones that are the most annoyed by TrueCar. They are the ones rallying their local state associations and regulatory agencies to protect them from themselves. Progressive dealerships – those organizations where everyone is pulling toward the same goal; and where the future brings opportunity, not uncertainty – are comfortable with the move to TrueCar. Many of them got rid of commissioned salespeople years ago.

In his book, Adapt Or Die: How The Internet Is Destroying Dealer Profits And What To Do About It, Kurt Baumberger warned of this phenomenon three years ago. Did any dealers listen? Perhaps a few, but for the most part, dealers continued to run things as they always had: heavy on telling and yelling; light on teaching and improving.

What is most surprising to me is that anyone is surprised. There has been a race to the bottom in automotive retail since the first online listing of vehicles became available. I think what is also surprising is that it’s taken until 2012 for this to become a reality in automotive retail.

Progress happens…

TrueCar is merely the first. Soon, industry leaders like Cars.com and AutoTrader.com will have to insist that dealers post guaranteed pricing on their new vehicles or consumers will simply flock to TrueCar (and the soon-to-emerge clones) to avoid the hassles of negotiating.

To those outside of automotive retail, the TrueCar detractors are probably starting to resemble what the horse-drawn carriage makers, smithies and groomsmen must have looked like as the first automobiles started rolling off assembly lines over 100 years ago. Cursing progress does nothing but make those doing the cursing seem small-minded and naïve.

The thing about progress is that it progresses – whether those in the way of progress like it or not. The progress that is radically changing the car business today has been moving like the lava flows of Hawaii’s Kilauea volcano. It has been slow and deliberate, but it’s gaining strength. You can try to divert it; but you cannot stop it. It is steady and it is devouring everything in its path.

So is TrueCar a consumer’s best friend?

I think there might be genuine concerns over how TrueCar acquires and manages private customer data; but I think the real threat they hold over car dealers is their guaranteed up-front pricing. They could get rid of their silly bell curve and no longer aggregate sales transaction data; and their effect on the industry would remain unchanged. They could also stop telling consumers what dealers paid for their cars, as this information is irrelevant in the transaction and has been available online for years, anyway.

(In the interest of full disclosure, I was first exposed to the TrueCar bell curve in 2009 – which showed what consumers had paid for similar vehicles – and I was impressed. Back then, I felt it would be a game-changer for TrueCar.com. Since then, TrueCar has expanded their online offering to include certificates guaranteeing what consumers would pay from member-dealers for a given vehicle. This innovation, coupled with pitting dealers against each other on a single webpage, made the bell curve unnecessary. Now the TrueCar bell curve is nothing more than worthless eye candy.)

With some in the industry mad as hell about TrueCar’s use of data, it is interesting that as recently as this past weekend, TrueCar CEO Scott Painter was quoted bragging in a New York Post article about the plethora of data sources his company employs to produce their useless bell curve. “We collect information from consumer reports, insurers, lenders, government records and other industry sources in addition to what the 5,400 US dealers provide so we can decipher the true cost of a new car,” said Painter; clearly oblivious to the government’s and the public’s feelings about data privacy.

Everyone is missing the point…

Consumers, if asked, would likely tell you that they don’t care how much dealers paid for a car; “just tell me how much I’m going to pay.” Dealers, because they hid even the latter information from their buyers until they’d successfully worn them down in the dealership for a few hours, have no one to blame but themselves for the growth of TrueCar.

When we buy a book on Amazon.com, we don’t care how much Amazon paid for the book or how much profit they make from the sale. We only care about the transaction price, the delivery terms and the service before and after the sale. The same is true of buying a car. Why should I care if the dealer who sold me my last car made $5 or $5,000? All that mattered to me was the price I paid, the delivery terms and the service before and after the sale.

If TrueCar wasn’t so busy trying to get every scrap of data from every consumer vehicle transaction, they might realize that the TrueGold they provide to consumers occurs when they pit dealers against each other to post guaranteed selling prices. Of course, just as car dealers suffer great leadership voids, so does TrueCar, it seems. CEO Painter comes across as an egomaniacal prick (which, more often than not, means he probably is an egomaniacal prick to everyone around him); he also seems to truly relish his role as the villain to his paying customers: the car dealers. (Not a smart move, if you plan to withstand the inevitable competition for the long term.)

Sincerely, TrueCar Dealer Development Team…

To their dealer-customers, TrueCar behaves more like a government agency than a trusted partner; and their customer communications are signed by divisions and not people. It will be easy for dealers to dump them once real competition emerges or the major online classified websites begin posting guaranteed prices for new and used cars (and thus start driving leads and sales, instead of just expensive branding).

What won’t be easy for dealers is to get this horse back in the barn. If comparison shopping is a way of life for consumer seeking a $500 HP, what makes anyone think it won’t quickly become the norm for someone considering a $30,000 Honda? The leaders in the automotive space understand this, because leaders understand progress and they take advantage of it – even if it means destroying a business model that works today.

The leadership lesson in all this for those in and out of automotive retail is two-fold: First, business owners and their senior leaders must take a stake in the innovations brought on by technology (and not leave this to some “Internet manager”); and these same leaders need to find ways to leverage the inevitable change to their advantage (or they need to be ready to do something else with their lives).

Like it or not, progress has come to automotive retail; and it’s not going away.

 

Kain and Stauning Release Comprehensive Study – Lots of Leadership Lessons Throughout

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After nearly a year of studying the inner workings of successful automotive dealerships’ Internet sales efforts, David Kain from Kain Automotive and Steve Stauning from pladoogle.com have released their groundbreaking study showing the activities and actions that truly drive Internet sales success for today’s automotive dealers. Their conclusions are expected to shape the structure and content of automotive dealership sales efforts for years to come.

Kain and Stauning, industry veterans in the automotive digital marketing space, spent countless hours evaluating successful Internet sales operations and reviewing the data from nearly 4.3 million sales leads to uncover the fifteen most impactful activities car dealers can undertake to ensure they are successful with their Internet sales efforts.

“With so much being written about the relative impacts of social media, David I felt like it was time to take a deep dive into what was truly driving sales for successful dealers,” shared Stauning. “In fact, the automotive blogs were so gaga over social that it seemed no traditional online marketing source had any value.”

To the contrary, reveals the study (which began with case studies involving third-party leads and evolved into a deeper study into what drives Internet sales success for today’s dealers). Both Kain and Stauning felt that their consulting clients were benefiting from a robust lead mix (including third-party leads), but they had no way to disprove the theories being bandied about by the most vocal on the industry blogs.  The boisterous few on most automotive marketing websites were shouting that dealers should abandon these tried and true leads in favor of focusing 100% on first-party leads and social media.

“Nothing could be further from the truth,” piped Kain. “Our study results are clear: Dealers who want to be truly successful with their Internet sales efforts need to cast a wide net… and that net includes traditional third-party leads.”

Among the most impactful activities that separate successful Internet dealers from their middling competitors are the obvious factors like quality of lead response and the adherence to a written process; though the study revealed a higher level of importance for some not so obvious factors like middle management support and level of accountability.

“We were a bit surprised that sales, desk and F&I mangers had such an impact on a store’s Internet sales success,” added Kain, “we knew there were dealerships where these managers can be roadblocks to Internet growth, we just didn’t realize the extent to which their honest support and buy-in would catapult a store’s Internet sales.”

The study, available at KainAutomotive.com and on the Kain Automotive Idea Exchange, provides dealers and their managers a compelling and comprehensive overview of the model Internet dealership by providing real world examples of successful dealerships. Moreover, Kain and Stauning weave their own industry knowledge into the study where appropriate to help dealers learn how they can leverage all fifteen of the factors/activities identified.

 

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

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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.

Stop Managing Activities and Start Seeing Results

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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.

Leadership Lessons from Barack Obama

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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.

Uplifted in the Down Economy – Guest Article by Bill Curran

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I don’t know about the best of times but these sure feel like the worst of them. It’s as close to Dickens’s London as I dare want to see us go. Dickens would have been hard pressed to pen an economic/social setting as ugly as the one we find ourselves in today. Eventually, we will tire of being reminded of just how tough things have become. Maybe I have reached the depths of despair and have hit a plateau. I am in search of finding something positive and, in a small way, I did early on Saturday morning. A great example of customer focus and personal leadership were about to appear in the most unlikely of settings…and then repeat itself twenty-four hours later!

It’s cold and cloudy and my son Dan and I are navigating Rte. 24 South heading to another hockey rink. The news on the radio is thoroughly negative as story after story describes the hellish business conditions the likes of which only my elderly parents seem to recall. Even sports radio piles on, railing about ticket price pressure in a recession. It’s all quite depressing. I retreat to an oldies CD and make my way onto Rte 104 in Bridgewater. Although I don’t drink coffee, I am a quasi regular at Dunkin Donuts and as any self respectful hockey parent can attest, a stop at DD is part of the game day ritual. I open my window at the drive-through and am staring through the outdoor menu board, still half asleep. The cold wind is biting as I wait to hear the tinny voice of the invisible employee going through the motions.

What happens next startles me. I am lifted from my funk by an energetic, enthusiastic, and pleasant voice wishing me a good morning and “welcome to Dunkin Donuts!” What catches my attention is that the voice does not sound robotic nor like a teenager who wishes she were still in bed rather than laboriously taking order after order from grumpy consumers. She has, dare I say, passion. I can feel it! My son, Dan, is a bantam in youth hockey. He’s fifteen, also half asleep, and convinced I was put on this earth to embarrass him. “Did you hear her?!” I whack him on the shoulder to get his attention. He rolls his eyes as he knows a mini-lecture is coming his way.

I work in both the corporate and academic sectors and my work (passion) revolves around leadership and customer-focus. I help organizations develop their leadership bench strength. Its hard work but the results are worth it. As a student of the topic, I am always looking for examples in my daily life. They are called leadership moments. The wrong behavior is easy to spot but positive role models seem more elusive. However, every now and then you hit the jackpot. Most people miss these seemingly inconsequential moments that brush past each and every day. We think of leadership with a capital L and think of moments of what I call ‘Churchillian’ proportions. Most leadership moments won’t determine the fate of the free world but they do define the person…and the company. If you’re paying close attention, you might just find one of these leadership moments in the drive-through!




The research today equating strong organizational performance and leadership is compelling. The bottom-line differentiator between great places to work and the rest of the pack is something called employee engagement. It is the degree to which an employee feels connected to the mission of the business and is reflected in his/her output. Workers have up to 25% of discretionary effort that they choose to give…or not. Great managers treat their people differently. They give the employee the sense that their job and effort matters and they’re darn good at saluting that effort and making the workplace fun. They tap into that twenty-five percent and it pays off. It’s the difference between employee compliance and commitment. Not only does the business profit, the environment is a breeding ground for future leaders or, in this case, store managers.

The voice behind the sign at Dunkin Donuts in Bridgewater was a sixteen year old high school student trying to earn some cash but she has decided to go the extra mile and deliver service with a smile – even if I couldn’t see her face. She is highly engaged. These people believe that one person can make a difference and her enthusiasm made my day. When I got to the window, I asked the young woman if she took my order. She said no and pointed, “It was Kelly.” I asked her to come to the window. My son is slinking down as far as the car’s front seat will let him. I yelled out, “Kelly, you are so good. I love your energy and customer focus. I wish everyone gave it like you!” I received my drink from the other employee and got my change. I hesitated then offered the dollar bill from the change and yelled, ‘Give this to Kelly…a tip!” Everyone but Dan laughed. Ok, I’m not the last of the big spenders but I felt the need to reward a kid who brings energy to the workplace and it was a spontaneous gesture on my part. As we left and Dan started to sit up again, I tried to provide my son with a teachable moment, “If she keeps that spirit and energy up with customers, she’ll go places. I guarantee it.”

As luck or fate would have it, I found myself in Brockton the next night at…yes…another hockey rink. My neighbor and I dropped our boys at the door and dutifully headed back to the Dunkin Donuts around the corner. Along the way, I told him of my customer delight encounter of the previous day. We entered the store and found ourselves to be the only customers. The young lady behind the counter greeted us by saying, ‘Hi. May I help you?” I jokingly responded, ‘How did you know?” We laughed. I described what I wanted. “I’ll take a medium hot chocolate with whipped cream in a tall cup.”

A voice from around the corner said, “You like whipped cream?” I said, ‘I love whipped cream!” She filled my order and placed the cup and the closed lid in front of me. She decided to put her own signature to her work by placing a small mountain of whipped cream complete with a chocolate syrup design on top of the cup’s lid. I yelled, ‘Holy cow. It’s a work of art!” Two Dunkin Donuts in two days by two teenagers who, incredibly, get it when it comes to dealing with customers. There may be no odds for this. Working the window or the counter is not easy stuff. It is perfectly fine to perform the task at hand and do no more. It isn’t expected. But when someone goes above and beyond in this kind of setting, you are witnessing leadership in action. It’s what is known in customer service circles as WOW moments.

I told this story to several people at the rink and I suspect they thought my drink was spiked. For a few short moments I forgot all about the troubled economy and other world maladies and relished poetry in motion by a couple of teenagers. I was happy. I was uplifted. In an uncertain age where folks are keeping their heads down as a form of survival, these two chose to use their positions as a medium for shouting out their zest for life. There was no supervisor peering over their shoulders making sure policy was being adhered to but I suspect these two stores had strong managers, i.e. leaders. They decided to make their work an opportunity to express themselves to customers in a positive light thus allowing their employer to be viewed in a very positive light as well…no additional charge. Companies would and should die for this kind of behavior. Someone once said, “Leadership is doing the right thing when no one else is watching.” They served as terrific role models to young and older employees alike.

One person can make a difference. In this case…two did. Savvy employees don’t do just enough to get by. They bring their A game each and every day. They don’t hunker down and hope to survive. They stand tall…and stand out. To hell with this down economy. It, too, shall pass. There is hope yet for the future. These two employees are helping to lead the way. I’m off to the rink and in search of another Dunkin service-leadership moment.

Bill Curran is a senior leadership consultant. He has served in a variety of leadership development roles at companies such as PerkinElmer, EG&G, Vertex Pharmaceuticals, Sensata Technologies and Marshalls. He has extensive adjunct faculty experience in leadership and organizational behavior at Boston College, Stonehill, Babson, and UMass-Boston. He’s also an unpaid chauffer to many hockey rinks throughout New England! He can be reached at www.BillCurranAssociates.com or at billcur@comcast.net

Lazy Kids and the End of Entrepreneurship in America

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The Future of Entrepreneurship in America

I noticed something strange while sitting on my front porch today: A professional landscaping crew of seven had descended on my cul-de-sac to industriously cut the lawns and trim the bushes at my home and the homes of my neighbors on either side.

While this same event happens twice each week during this time of year, it finally struck me as odd today when I realized that there were children of lawn-mowing-age living under our very roofs. In fact, of the eight kids occupying our three homes, five of them are old enough to mow lawns. (While I began mowing neighborhood lawns for cash at 9, I am only counting those kids 11 and above as being of lawn-mowing-age.)


Help Wanted: Lawn Mowing Tweens and Teens

It’s not like we never offered to let our children mow our lawns for cash. I have offered, begged, cajoled and even pleaded with both of my sons of lawn-mowing-age to let me keep the cash in the family. My oldest mowed twice last year, though once he had earned enough cash to acquire whatever video game he simply had to have at the moment, he lost interest. (We “allowed” him to lose interest because he seemed unwilling or unable to edge or trim; a feature we enjoy with our current professional landscapers.) Likewise, my neighbors have used every tactic known to mankind to see their kids on the business end of a lawnmower, all with no luck.

Something has changed over the past few decades. While I’d prefer not to sound like my father or grandfather and lament about how “this generation blah, blah, blah;” it’s important to mention that my current neighbors and I literally fought with kids in our respective neighborhoods to mow the lawns, trim the bushes or shovel the snow of childless homeowners back in the 1970’s and 80’s.

What does all of this mean?

The End of Entrepreneurship in America

American fathers and mothers of school-aged children should sit down when they read this: Your kids are destined to lead a life of indentured servitude. They don’t share the American Dream that made Gates a billionaire and Obama a President. They want everything handed to them, and that simply will not happen in the real world.

I wish the news was better, but it seems they are lazy and they are ungrateful and they’ve lost the Great American Spirit and innate entrepreneurship that built such lasting companies as Lehman Brothers, WorldCom and Enron.

The good news is that they can always get jobs as landscapers.

Proper Filenames are Critical to Proper Business Etiquette

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Sometimes You Have to be a Prick to Those Outside of Your Company

 

I just received the March 2009 purchase report from one of our company’s 50+ vendors who provide such recaps. This particular vendor chose to name the file MyCompanyMarch.xls. By “MyCompanyMarch,” I mean he put the name of my company and the month in the filename… and nothing else. I could scream. What in the world was he thinking? Clearly, he was not.

 

Imagine if all of the vendors we dealt with used the same filename nomenclature as this self-centered simpleton. If that were the case, I’d have more than fifty files on my laptop all named MyCompanyMarch.xls. Now imagine if we’d been doing business with these fifty-odd companies for a number of years; I could potentially have hundreds of files all named MyCompanyMarch.xls. Suppose I needed to find the March 2006 recap from Vendor Z; could I easily locate this file? Of course it would be cumbersome, because this vendor wasn’t thinking of the audience when he named his file, just himself.

 

Yeah, But the Vendor Can Find the File

 

When this vendor peruses through his files, he’ll easily spot the one he sent me this week. The data will be at his fingertips and he can look like a hero to anyone who asks him to retrieve it. He named the file for himself, not me. Of course, if he plans to keep his job longer than 12 months he should add the year to his filenames. Though I doubt he’ll still be employed next April. On the off chance he is, I wonder if his March 2010 recap to me will be named MyCompanyMarch2010.xls. Probably not; it’s likely that someone this unthinking will never bother to change the way they do something as meaningless as naming files.

 

(Of course, naming files is not meaningless. I just wrote that to see if you were paying attention.)


 

Using Proper Filenames is Critical to Maintaining a Free Society

 

Filenames on your computer, whether they are monthly recaps for your customers or your resume for a prospective employer, should reflect not only what you want to know about the file, but more importantly, what the intended audience wants to know about the file. Here are some examples of bad filenames (all of which I have received) and better alternatives:

 

  • Bad filename: MyResume.doc. Good filename: Smith.John.Resume.doc.
  • Bad filename: CustomerNameMonth.xls. Good filename: VendorName.CustomerName.Description.MMYYYY.xls (for example: AcmeWidgets.WidgetRetailer.OrderHistory.032009.xls).
  • Bad filename: CustomerNameProposal.ppt. Good filename VendorName.CustomerName.Proposal.MMYYY.ppt.

 

Is There a Leadership Lesson Here?

 

Not everything on AskTheManager.com comes with a leadership lesson. Sometimes, we just like to rant. Though it’s a little bit of stretch, we do think there is something leaders can learn from this.

 

Jimmy Dugan was a good leader. Despite his alcoholism and apathy, he was able to get the most out of his team. And although his team lost the AAPGL Championship (of course he was missing his best player, Dottie Hinson), his leadership helped turn a bunch of girls into accomplished ballplayers… not an easy task, even in a fictional world.

 

The next time you’re faced with a vendor, an applicant or a prospective vendor-partner who provides you with a file that includes an inconsiderate or idiotic filename, you need to take a deep breath and a page out of Jimmy Dugan’s book. I suggest using Jimmy’s words of wisdom that he provided to right fielder Evelyn Gardner: “Start using your head. That’s the lump that’s three feet above your ass.”

 

Sometimes you have to be a prick.