Wednesday, June 4, 2008

A Natural Manager -- New podcast episode available now

The eleventh episode of my new podcast series, Strategy and the Fat Smoker, is now live and available for download.

The series is dedicated to exploring the themes found in my article by the same name.  I encourage you to forward these to friends and associates who may be interested in the topics covered.

In A Natural Manager, the 12th episode in this series, we will hear the story of Jerry Labbate, the manager of an exercise gym in downtown Boston.  The story of Jerry's intuitive management style is rich with lessons for managers in all fields.  We will summarise the key points to help maximise your managerial effectiveness.

NOTES FOR THE EPISODE:
00:36 -- Introduction
01:31 -- A brief professional history
02:45 -- Essential hiring practices
06:40 -- The importance of clarity in employee training
09:00 -- Structuring monthly meetings with the team
11:25 -- Dealing with underperformers
13:45 -- What are the lessons?

You can download A Natural Manager or sign up to receive new Business Masterclass seminars automatically with iTunes or other podcast players. (Click here for step-by-step instructions on how to subscribe). My seminars are always available for download at no cost.

Sunday, June 1, 2008

Winter is Almost Here

This will have been a productive and inspiring season due to everyone's insightful contributions. This is why I want to take the opportunity, one more time, to extend my gratitude to those of you who have joined me and others in the discussions that took place here. I appreciate the generosity and sincerity with which you share your thoughts. Thanks to all of you.

Commentors

Pete Aldin, Jerome Alexander, Alkali, Amit, Richard Becker, Jimmy Blackmore, Wally Bock, Pawel Brodzinski, Duncan Bucknell, Charlie, John Churchill, Anne Costello, Carmine Coyote, Stuart Cross, Ctd, Mark D, Daniel, Dave, Krishna De, Dogidoll, Stephen Downes, Francis Egenias, Heidi Ehlers, Judith Erickson, Guanming Fang, Denis Fort, Eugene Gascho, Geoff, Michelle Golden, Gopalreddy, Phil Gott, Mark Gould, Charles H. Green, Grisha, Ford Harding, Sharon Hayes, Hermes, Joseph Heyison, Howie, Irene, Jake, Jennifer, Jim, Katherine, Anthony Katselas, Kiki, Cary King, David Kirk, Karma Kitaj, Pamela Koons, Greg Krauska, Thomas L., Lynette, MG, Bruce MacEwen, Susan Martin, Peter Marx, Matt Mason, Maxim, Billy Mayers, Erik Mazzone, Francine McKenna, Michelle, David Miles, Matt Moore, Karen Morath, Kate Morrison, Evden Eve Nakliyat, Nancy, Michael Netzley, Norah, Mitch Owen, Sameer Panchangam, Patmcgraw, Johnson Paul, Peter, Priam, Raven, Steve Roesler, Mikeal Rolson, Richard Rosenstein, Sandra, Sandy, William Shipway, Simon, Alan Smith, Sonia, Splinter, Stee, Jim Stepanek, Richard Steven, R. Stipe, Tom "Bald Dog" Varjan, Peter Vajda, Dina Verdict, Vironika, Ashutosh Wakankar, Will, Sasha Willis, Worm, Liz Zitzow

Trackbacks

Accountants Round Up
Bill Cara
By Will McInnes
Counsel to Counsel
Desperate Freelancer
Engineers without Fears
Execupundit.com
Gautam Ghosh -- Management Consultant
Golden Practices
ITZBIG
Lean Blog
McGee�s Musings
Modern Marketing
MorePartnerIncome
Right Attitudes -- by Nagesh Belludi
Rush on Business
What About Clients?

Podcast Trackbacks

Engineers without Fears

Friday, May 30, 2008

The Undiscussed Side of Trust

Three things came together in the past week or so that caused me to reflect on what we know about trust.

First, I was reading in The Economist an article on immigration which pointed out that, throughout history and throughout the world, people like to associate with those with whom they have a lot in common.

That's why, The Economist argued, immigrants from the same country tend to move (at least initially) to the same cities and regions where previous immigrants from their origin have gone. Just as there are Bangladeshi areas in certain British towns, Irish in Boston and Russians in Brooklyn.

Nothing wrong with that, right?

Well, no, but in the same week I received an email from someone in an eastern European country who asked: "Do you think the principles of trust that you described in your article apply in Eastern Europe? Rather than the factors of credibility, reliability, intimacy and lack of self-orientation that you write about, trust in my country basically boils down to whether or not you come from the same village as I do. Or at least the same region."

The third thing that happened is that I was sent an email about a blog by Carmen van Kerkhove, who argued that, essentially, many diversity trainers in business focus on all the wrong things. One of her most telling points is that by trying to teach people how to be "sensitive" to other races, genders and religions, the training actually just trains people how to hide their racism -- it doesn't stop them being racist, just how to not show it!

I'm really not equipped to be a moralist, but there's some complicated stuff going on here.

Sometimes, we work hard to be race-, gender-, religion- and class-blind. The, at other times, we are all "realists" and recognise that, very often, people like to deal with people who are like them. We call it "comfort", "chemistry", "connection."

For example, when we strive to create diverse firms in order to appeal to diverse buyers (female partners to go after female clients, people of colour to "penetrate" the ethnic community they come from) we are trading on the (apparently universal) tendency of people to prefer dealing with people like themselves.

There seems to be an aspect of how we as humans come to trust that is inherently "racist." OF COURSE, it's not just Caucasian males who can be racist in trusting people who are like them. People of all nationalities, genders and religious background do it ALL the time -- not just occasionally, but (it would appear) as the default position! Global literature and movies from any age would be only a microscopic fraction of what they are if we eliminated dramas based on star-crossed lovers whose families do not want them to marry because they come from different backgrounds.

If all this makes you uncomfortable (as it does me) there's still some hope. People like interacting with and TRUST people with whom they have a lot in common, when there's no other evidence. "Being like us" (ie the class-ist, racist, religious, gender-biased starting default position) can, it seems, be overcome by just being more trustworthy than others. Credibility, reliability, intimacy and lack of self-orientation DO matter.

But let's not fool ourselves about what a large portion of the world actually uses to base their trust judgments on. We don't have to like it, but we do have to acknowledge and deal with it.

Wednesday, May 28, 2008

Train a Pigeon

In this video, we're going to explore the proposition that helping another human being to improve, to fulfill their potential is, in fact, a general process with general lessons which we can draw upon both from within business life and from our experience outside being either a sports coach or helping out children grow. Somewhat humorously, I call the description; how do you train a pigeon?

Friday, May 23, 2008

Where Are We On Client Feedback Approaches?

Along with hundreds of other consultants, I have advocated (literally for decades) that firms should have programs for systematic client feedback. However, these are not as simple to design and implement as one would like.

One thing that needs to get clarified right up-front is the purpose of getting client feedback. If it is a sincere effort at continuous improvement in quality and client satisfaction, then one would do different things than if it is a marketing exercise run by the marketing department (as it still is in some firms.)

As a third purpose, some firms try to design feedback systems to obtain input to the firm's compensation scheme. The problem with this is that instead of the positive "let's learn" aura surrounding the scheme, the client feedback can quickly turn into a negative "gotcha" system, perceived by the firm's people as adverse and something to be suspicious of.

There are lots of alternatives out there on how firms get client feedback. First, when is it done? Mid-engagement, or at the end? Doing it in the middle allows for course-correction, but influences, positively or negatively, the engagement relationship itself.

Second, there's the question of who obtains the feedback. Is it the lead service provider on the assignment? The marketing director? A third-party research firm? Retired partners/ senior executives?

Third is the question of coverage: do you try to get feedback on all work or just a sample? (The answer to this one depends on your purpose, of course. If you're trying to use it as input to a compensation scheme, then you probably need broad coverage.)

Finally, there is the question of the medium you use to contact clients and get the feedback. Among the choices are personal visits, phone calls, on-line surveys, e-mails, mailed questionnaires.

My question to all of you out there is: what's the state of play in 2007? Are firms having success with different kinds of client feedback approaches than they did in previous years?

Wednesday, May 21, 2008

Getting Others to Give You What You Want

A crucial difference in our style in dealing with the world is whether we deal with other people as "us," part of the same relationship. Or whether or not we're always thinking of them as "them," people who are on the other side, people from whom we want things. They are adversaries. The following clip tries to illustrate that distinction.

A Great Coach in Action -- New podcast episode available now

The eleventh episode of my new podcast series, Strategy and the Fat Smoker, is now live and available for download.

The series is dedicated to exploring the themes found in my article by the same name.  I encourage you to forward these to friends and associates who may be interested in the topics covered.

The eleventh episode, A Great Coach in Action, tells and examines a story of exemplary coaching skills.  Often, managers are content to rely on performance appraisals, cold criticism, and appeals to another's sense of personal responsibility towards the organisation in order to effect positive change in a person's performance.  These approaches seldom work, as we've seen in previous episodes.  In this episode we will describe an approach that does work:  ensuring that those in managerial roles have the attitudes, skills, and behaviours of a skilled coach.

NOTES FOR THE EPISODE:
00:37 -- Introduction
01:13 -- An example of a great coach in action
05:29 -- The lessons
22:26 -- Last thoughts

You can download A Great Coach in Action or sign up to receive new Business Masterclass seminars automatically with iTunes or other podcast players.  (Click here for step-by-step instructions on how to subscribe).  My seminars are always available for download at no cost.

Pictures of Partners

A reader writes in to ask:

"I've noticed that the Big Four accountancy firms do not profile their partners on their websites -- yet almost every law firm does. Any thoughts on the reasons and wisdom of these differing approaches?

I guess it could send the message that when you instruct anyone at PwC etc., you instruct the firm; but when you instruct someone at a law firm, you instruct the individual. Do clients really see a distinction? Or do accountancy firms fear that their staff will be poached by rivals, I wonder?"

Ideas, anyone? Advice?

Sunday, May 18, 2008

Is Managing Professionals Different?

As a specialist (historically, at least) in managing professional service firms, I often get asked whether (and how) managing professionals or managing a professional firm is different from management "in general."

(Sometimes the question is posed as how leadership of professionals differs from leadership in general.)

As time goes by, I'm increasingly coming to the belief that the differences are minor, if they exist at all. This is mostly because it's a good idea to treat EVERYBODY as a professional.

This doesn't always go over well. I was being considered to do some educational sessions for managers in a (super-successful) investment bank and was asked how what I would present would reflect the special nature of their people -- highly intelligent, already successful, already energetic and motivated, etc.

I really stuck my foot in my mouth when I said that the key to managing ANYONE, even a secretary, was to treat them with respect, deal with them as individuals, assume that (until proven otherwise) they were intelligent and interested in excitedly pursuing a cause or vision of excellence that they could believe in, help them find the individual, personal challenge that would match their interests and passions, etc., etc.,

Apparently, I gave great offence, because the individual I was talking to replied: "What do you mean, it's not different from managing a secretary? Our people are SPECIAL!!"

Now, I'm not so naïve as to realise that I could have phrased it better. (I often get into trouble for being blunt and refusing to play into people's underlying assumptions. I'm a less diplomatic trusted advisor than I'd like to be.)

However, if you ignore my language skills and get to the underlying issue, there's an important debate there. Just because someone's a "professional" does that mean that they need to be managed in different ways, with different skills?

I'm not asking the moral question here, but the pragmatic, practical one. If you were put in charge of managing a group of "partners" (i.e. senior VPs, shareholders) would your approach to managing be different than it would be if you were in charge of a group of admin staff?

Phrase it another way: If you were going to put on a course on how to be a good manager, would you cover different material if you were training managers of senior professionals or managers of admin staff?

Friday, May 16, 2008

Do You Have a Trusted Advisor?

Among the topics that I still speak (and consult) about regularly is that of being a trusted advisor to one's clients (the topic of an article.)

I think that one of the reasons that interest in the topic doesn't seem to diminish is that true trusted advisors seem to still be scarce.

As a test of this, I ask my audiences what I ask YOU now: Is there anyone you have hired who serves as your trusted advisor?

If the answer is yes, I'm (eternally) curious about two things. First, what are the specific kinds of things they do (or did) that made you accept them as your trusted advisor? (I know the theory -- I'm interested in YOUR real world practical experience.)

Second, I'll be curious to find out which practitioners (in general) seem to have earned trusted advisor status most frequently. Has it been it your doctor, lawyer, accountant, broker, consultant, PR person or some other?

Maybe I'll sneak in a third question to solicit your input: as time goes by, are you finding it easier or harder to find professionals you trust?

Wednesday, May 14, 2008

How Managers Should Spend Their Time

Everyone agrees that professional groups need to be led by a player coach or a producer manager. But the balance between those roles is not always agreed even with in firms or within the group themselves. In most firms the emphasis is on the player or the producer role meaning that the main job that's taken seriously is to serve the clients and get out and get revenues. The coaching or the managing is very often neglected. I think this is a very bad economic choice for most firms, as you will see in the following discussion.

Saturday, May 10, 2008

Who or What is the Firm For?

The longer I think about business, the less I think I understand it clearly.

The latest issue of The American Lawyer magazine reports on the top 100 largest US law firms, and includes a number of interesting articles and analyses.

Two in particular caught my attention. One reported on the general industry trend (discussed in this blog before) of partners becoming increasingly mobile between firms. Actually a number of articles were about this -- it's probably the single most important thing going on as a structural shift in professional businesses -- not restricted to just law firms.

The issues the trend raises in my mind were exemplified by the second article which profiled an immensely successful firm which has dramatically improved its profitability (among other accomplishments) in the past 5 years. The "moves" made by the firm did indeed impress this reader.

But here's the kicker: the article pointed out that, since 2001, 37 percent of the partners (i.e. shareholders) had left the firm. Now how is one supposed to process that?

"The firm" has clearly flourished -- but not for all the people that, theoretically "owned it" and worked there five years ago.

That is, of course, how business in most industries work: a "company" can be deemed successful even if (a) it is no longer in the businesses it was in when it started (b) the people who worked there no longer do and (c) the company serves completely different customers and markets than it did before.

What has flourished is the entity: it's not clear what else has.

Now I'm not saying it's inevtably bad (I'm a free-market capitalist who went to business school.) I am saying it's confusing and ambiguous.

Who are we running the firm for? The standard capitalist answer used to be "for the shareholders." But if it is not unusual for one third of them to be gone within 5 years, what then remains as the purpose? Who THEN are we running the place for? Or for what?

Friday, May 9, 2008

Happiness is Relative

There have been a number of studies in recent years showing that, while people in many countries are getting richer, they are not necessarily getting happier. The research seems to show that, for most people, apparently, happiness lies not in the absolute amount of "rewards" you have, but in whether or not you have more or less than others.

If you have more than those you compare yourself to, then you will be a happy person. If you have less, you will be unhappy.

This matches what I tend to see. CEOs with obscene paypackets are unhappy until they have matched what is considered "normal" among other CEOs. Lawyers from modest beginnings, making more than a million dollars a year or more, can get depressed and resentful because they are not earning what investment bankers earn.

The issue is not just about money, but many forms of the world's rewards and recognitions. Academics and other authors can be (and are) jealous the (non-monetary) respect and recognition that is accorded to their (perceived) competitors' work. Socially, in their personal lives, people are always playing the game of "keeping up with the Jones':" being content with what they've got, until their neighbour has more.

All of this points out something rather interesting for managing oneself and others. If happiness comes from "how well you are doing compared to others," then it matters a lot WHICH others you compare yourself to. And that can be very arbitrary.

On any given day, we can be amazed at the good fortune we have been showered with, compared to specific others who, perhaps, did not have our advantages. There will usually be solid reasons to celebrate our relative successes, triumphs, accomplishments, recognition.

On the other hand, for most people and most companies, there will ALWAYS be someone who, in some way, has done "better," deservedly or undeservedly, and the focus can become a dispirited one of regret and disappointment, that we are not doing as well as THEM.

Sometimes, you don't care what others have got. Or to be more precise, certain people just aren't your reference group: you don't compare yourself to them. Others you care about a lot.

The questions that all this raises in my mind are these:

(a) How are the reference groups you compare yourself with determined?

(b) As individuals (self-management) or as companies (managing others) can we learn to control or manage who we choose as our reference group?

(c) How do you keep comparisons to a reference group "healthy" and avoid obsessive, unproductive comparisons?

Wednesday, May 7, 2008

Excitement

In this video we are going to dig deep into the issue of excitement. Of how you ensure that in fact people bring to their work passion and excitement and enthusiasm. And the question is going to be not only about yourself but also the people around you.

Why Most Training is Useless -- New podcast episode available now

The tenth episode of my new podcast series, Strategy and the Fat Smoker, is now live and available for download.

The series is dedicated to exploring the themes found in my article by the same name.  I encourage you to forward these to friends and associates who may be interested in the topics covered.

This tenth episode, Why Most Training is Useless, deals with the reliance many companies and firms place on training as a surrogate for the hard work of true skill development.  Training is a wonderful last step in a change process, but a pathetically useless first step.  I examine the numerous other essential steps in that process.

NOTES FOR THE EPISODE:
00:35 -- Introduction
00:42 -- Training is no quick-fix
02:08 -- Choosing managers and implementing training
04:31 -- The keynote speech
10:04 -- The hard business of making change
14:46 -- The correct approach to training
19:42 -- Summary

You can download "Why Most Training is Useless" or sign up to receive new Business Masterclass seminars automatically with iTunes or other podcast players.  (Click here for step-by-step instructions on how to subscribe).  My seminars are always available for download at no cost.

Sunday, May 4, 2008

Laws about Blogging (Really -- Legal Stuff!)

If you blog, then you'll want to read Aviva Directory's "12 important US Laws About Blogging."

Very important and very clearly written.

April Top 5 Roundup

Thank you to everyone who contributed to make these posts the most linked and discussed ideas in the month of April.

  1. Good to Good
    Here are some interesting questions: Is there business advice out there for people and firms that, quite consciously, make a choice that they don't want to pursue "Olympic Gold"? If not, is most business literature profoundly misleading because it assumes objectives that are inaccurate?

  2. Great Clients
    In this client relations post, I quote Dennis Howlett's AccMan's list of "Great Client" characteristics, and add to those my own. Readers contribute many interesting opinions and stories.

  3. The Long Term
    I have observed that our biggest barrier, as individuals and organisations, is the difficulty in doing what is in our long-term best interest, not just what provides immediate gratification. This post builds on ideas developed in How Not to Manage People and Strategy and the Fat Smoker. Experience has shown me that there are effective ways to get people to do what they (already) know is best for them in the long term.

  4. The War For Talent
    On the HBS site, Bob Sutton announces that "The War for Talent Is Back" (did it ever end?). Here is my response to that statement and what I think we can do to win the battle.

  5. The Overhead Projector
    To this day, I prefer the use of the overhead projector because it is still the best technology I know to minimise the speaker-audience barrier during presentations. Some people wonder if this projects an unprofessional, out-of-date image ...

Saturday, May 3, 2008

Career Strategies at 60

Many of my friends / acquaintances are going to be 60 this year, or are of a similar era.

Many have worked for big firms that have mandatory retirement policies in place, so a lot of people have moved on to new phases of their life: college teaching, pro-bono or charity work, consulting, getting involved in their industry association. Some have launched entrepreneurial ventures, completely separate from what they did in their previous employment. Very few are doing nothing.

It's a strange transition. For others, they find it hard to contemplate doing something totally DIFFERENT.

They have been so "invested" in their career choice (writing, speaking, consulting) that the notion that it may be time to do something different (or change the balance) is an unusual feeling, and I think many of their age-group feel it too. For example, friends in Big-4 accounting firms tell me that their firms put on week-long courses for partners in their mid and late 50s, asking "Have you thought yet about what you're going to do NEXT?"

Next? NEXT?!?!

Who says they're done with what they are doing? On the other hand, with each passing year, as is normal in any business, more and more competitors enter the field. As the ads say "Past peerformance is no predictor of future results." How many of them can be Peter Drucker, truly productive and creative into our 90s?

But they tell me that if they made 60, the odds are they'll make 85 or so, and most of that time able to work effectively.

Any reaction from other aging baby boomers out there? What do we X-ers and Y-ers think 60-year olds should be doing? (Other than getting out of the way!)

Friday, May 2, 2008

Sincere thank you to all of you

I like to recognise my readers and those who trackback to my posts every month so for April, here are your due credits -- thank you for keeping this blog dynamic, and relevant to you.

I encourage each of you to click on the links of other participants. Check each other out!

Commentors

Pete Aldin, Jerome Alexander, Alisya, Allen, Amit, Andrea, Ariel, Charan Atreya, Barb, Ann Bares, Richard Becker, Carol Bergeron, Wally Bock, Duncan Bucknell, Build An Ebook Empire, Tim Burrows, John Caddell, Shawn Callahan, James Cherkoff, Eric Christiansen, Todor Christov, Stuart Cross, Mark D, Daniel, Peter Darling, Krishna De, Mike DeWitt, Doc, Lance Dunkin, Heidi Ehlers, Ellen, Eugene, David Ewing, Brad Farris, Doug Ferguson, Franc, Charles H. Green, Lisa Guinn, Santiago Gómez, Ford Harding, Ted Harro, Ken Hedberg, Hemang, Michael Hjerth, Tom Hood, Amanda Horne, Dennis Howlett, Mike Hunter, S. Anthony Iannarino, Ilya, David Jacobson, John, John, Tim Khaner, Ed Kless, Howard Krais, John Labbe, Patrick Lamb, Listr, Luke, Stephanie Lunn, MHG, Javier Marti, Susan Martin, Max, Scott McArthur, Jim McHugh, Judy McLeish, Ann Michael, Andrew Mitchell, Cristian Mitreanu, Moisha, Janet H. Moore, Abhisek Mukherjee, EVDEN EVE NAKLİYAT, Nancy, Gabriella ORourke, Dave PRouhet, Sameer Panchangam, Patmcgraw, Tamara Paton, David Phillips, Eelke Pol, Prem Rao, Tony Rice, Ric, John Riutta, Robert, Steve Roesler, Stephen Ruben, Michael Sampson, Stephen Seckler, Steve Shu, Linas Simonis, Carl Singer, Ian Street, Bob Sutton, Will Swayne, Kathleen OBrien Thompson, Charles Tippett, Tom "Bald Dog" Varjan, Gene Turner, Peter Vajda, Veeraiah, Luis Villa, Coert Visser, Ashutosh Wakankar, Ms. Sabrina Waller, Ellen Weber, Hugh Williams, Liz Zitzow

Trackbacks

A New Wave of Thinking
Accountants Round Up
All Things Workplace
Alpha Kappa Psi -- Mu Sigma
Business for enjoyment's sake
Dawud Miracle @ dmiracle.com
In Search of Perfect Client Service
International Lawyer Coach Blog
jobman2u
Michael's Thoughts
MorePartnerIncome
Picture001
Real BIG Thinking
The Employee Factor
The New View From Object Towers
Three Star Leadership Blog

Wednesday, April 30, 2008

Not Qualified to Manage

In the following video clip, I try to make the case that being an effective manager is not about knowledge, and is not even about skills, but that the crucial element in becoming an effective manager is entering into the role with the right set of attitudes. I also try to make the case that not all of us, in fact, can qualify on those attitudes.

Sunday, April 27, 2008

The War For Talent

Apart from his own blog, Bob Sutton has a blog on the Harvard Business School Online Site

(Actually, he co-hosts other blogs as well, but let's not go there because I'm intimidated enough already!)

On the HBS site, he announces that "The War For Talent Is Back" (did it go away?) and offers five lessons for discussion:

  1. Superstars are overrated.
  2. Great systems are more important than great people.
  3. Create smaller rather than larger pay differences between "star" employees and everyone else.
  4. The law of crappy people (great people will hire other great people, but mediocre people will hire even worse people because they are threatened by competent people) is probably a myth.
  5. The no asshole rule helps.

Here are some of my lessons / propositions for winning the war for talent:

  1. In hiring, never let the pursuit of volume get in the way of maintaining the highest possible standards.
  2. People want the opportunity to learn and grow: you must actively work to provide a variety of stretching, challenging experiences.
  3. Standards of people supervision and management are as important as standards of product or service quality: they should be monitored and enforced in the same way.
  4. Firms that try to win by hiring pre-existing, already-formed talent will never do as well as firms that are skilled in building talented people.
  5. Talent is over-rated: character and energy count for more.
***

What are some of your lessons for winning the war for talent?

Saturday, April 26, 2008

What's Our Deal?

I have a new article on my website called What's Our Deal? It's about "doing strategy" and it begins:

"At a recent conference, I heard a number of successful firm leaders describe how their firms had achieved significant growth and profitability. A common phrase used by each and every one of these firm leaders was "making sure that all the key people were 'on the same page.' "

Clearly, it was important that something was agreed to and shared among the members of these firms. But what? What does "being on the same page" really mean? And how is it done?

To find out my views, you can read the article.

But what are YOUR views?

Friday, April 25, 2008

The Brazen Careerist

Penelope Trunk, a/k/a The Brazen Careerist, writes one of the most enjoyable blogs around.

She writes so well that even if you're not in her target audience (Generation X or Y), or currently in the market for career advice, she's nevertheless worth making a daily habit.

She's also just publishing a book, also called The Brazen Careerist, written in the same attention grabbing, helpful style.

Here, for example, is the opening of one of her chapters:

"Here is a message for people who say they can't stomach office politics: you will die a slow, painful career death."

Essential, fun stuff!

Thursday, April 24, 2008

Public and Private

Green Dot Life is a (very) unofficial blog for employees of Deloitte consultants.

Yesterday, this post appeared:

Hi Everyone!

I am considering whether or not to make the leap from Accenture to Big-D (yeah!). Can someone here help me to validate and/or to change this following statements?

1. Since Big-D is not a publically-traded company, it will be more generous than Accenture (a publically-traded company). e.g.

= in salary and the overall compensation packet;

= with expense policies;

= with "office perks" (e.g. beer fridge, snacks)

= with "team / social events"

= Required chargeability targets (e.g. 80% for managers? 90% ?)

= How geenrous the promotion process is -- if there are "lots of bright people, ready for next step" (i.e. not just stopped at the "top 15% performers only")

2. Deloitte probably has more prestige compared to Accenture (i.e. still retaining its "original big-4 image", structure and corporate name), whereas Accenture has a lot more "airtime" and marketing success due to how much it spent on the Tiger Woods ads.

= But those "marketing success / awaress" does not necessarily lead to more revenues, profits or happier share-holders (for Big-D, happier SH's are the Partners).

= Nor does the "prestige" of Deloitte brandname translate to more revenue all the time.

Agree? Please feel free to comment on any of the above proposed statements. THANKS! Hope to be joining you folks at Big-D soon!

Happy Senior Consultant

*****

What do the readers of this blog have to say in response? Would you expect the same differences as this person would between a publicly-traded professional firm and a privately-held partnership?

Wednesday, April 23, 2008

Managing Works

In this video we're going to explore how management, in a society of professionals, can really be made to work. The clip opens with an example of fabulous management, fabulous coaching, that was done to me early in my career, and contrasts with the sorts of management that we often see, inside professional firms.

Tyrants, Energisers and Cynics -- New strategy podcast episode available now

The ninth episode of my new podcast series, Strategy and the Fat Smoker, is now live and available for download.

It is dedicated to exploring the themes found in my article by the same name.  I encourage you to forward these to friends and associates who may be interested in the topics covered.

With "Tyrants, Energisers and Cynics", we begin to look into problems in management and the factors in business culture that enable them.  With so many approaches an organisation can take to management, only one of these approaches will, in the long run, produce enduring profitability and abundant business generation.  Why are so few firms willing to invest the time?

NOTES FOR THE EPISODE:
00:33 -- Introduction
00:44 -- The evolution of short sightedness
01:40 -- Tyrants
05:22 -- Energisers
08:39 -- Cynics
13:45 -- Short-term thinkers:  The enabling factor

You can download "Tyrants, Energisers and Cynics" or sign up to receive new Business Masterclass seminars automatically with iTunes or other podcast players.  (Click here for step-by-step instructions on how to subscribe).  My seminars are always available for download at no cost.

Sunday, April 20, 2008

Good to Good

A lot of business advice, including my own, is often based on the assumption that people want to get somewhere. After all, the best-selling business book ever is "Good to Great", which replaced "In Search of Excellence" in the all-time sales league.

But here's an interesting question: what about people and firms that, quite consciously, make a choice that they don't want to pursue "Olympic Gold." They want to do good work, serve their clients well, while making a decent living.

Do business authors and consultants have anything to offer such people? Is there business advice out there for those without profit-maximising, glory-seeking objectives?

If not, is most business literature profoundly misleading, because it assumes objectives that many real people do not have?

Saturday, April 19, 2008

Great Clients

One of the blogs I always read is Dennis Howlett's AccMan. He mostly focuses on the uses of technology in accounting, but every so often he throws in a gem of really valuable general wisdom.

Here's his list for how he characterises great clients:

All cards are played face up

  • Mutual accountability
  • Willing to share whatever is necessary to get the job done
  • Constantly probing to find the best solution
  • Time is no barrier
  • Eager to learn ... and to teach
  • An "always on" response mechanism
  • Keep up the pace
  • Express thanks
  • Accept value based pricing
For me, I'd add:
  • Wants thorough solutions, not quick fixes
  • Is an admirable person of honour, integrity and principles, who it is a privilege to serve
  • Wants a true dialogue, not just an agent to implement or advocate their pre-fixed conclusions
  • Gives me enough pre-meeting homework so I can come to meetings prepared and give of my best
  • instead of having to react on the fly
  • Helps me understand and prepare in advance for organisational politics

What would you add as descriptors of great clients?

Friday, April 18, 2008

What Did You Learn from Drucker?

About a year ago, I participated in a webinar entitled "Best Selling Authors Pay tribute to Peter Drucker." Apart from myself, the 80-minute audio seminar (which you can still listen to here) featured:

  • Tom Peters, business consultant and best-selling author of "In Search of Excellence" and many other titles
  • Frances Hesselbein, founding president and chairman of the board of governors of the Leader to Leader Institute
  • Marshall Goldsmith, Ph.D., consultant and best-selling editor of more than 20 business books, including "Coaching for Leadership"

In September of this year, the same group of people will be repeating our tribute, live and on a larger scale in Sydney, Australia. (To get details of the program, contact the Australian Institute of Management.)

In addition to a panel, we will each be making in-person presentations about how Peter Drucker influenced our work.

During the 2006 webinar, I said that, after the Bible and Shakespeare, Peter Drucker was the most quoted and least read author in history.

My question for all of you out there who have read his work is: what's the most important lesson YOU took away from Peter Drucker? How did he influence your approach to management and business?

Thursday, April 17, 2008

Working With Your Client's People

Here's a reader question based on THE TRUSTED ADVISOR:

"A client retained me to help implement a re-branding strategy of their retail stores by coaching store managers in how to make the desired changes. One form of resistance I encountered was people saying words to the effect, 'We're doing fine right now' and 'We're already doing it,' which I interpreted as complacency. I was disappointed in the outcome of influencing those managers to change their approach. Most of them eventually left the company, voluntarily or otherwise. After re-reading your article, I'm wondering whether, had I 'named and claimed' their resistance, we may have enjoyed more success and retained their experience. Or perhaps they lacked the flexibility needed for a changing environment.

"I celebrated the small wins in making the changes that I saw their employees adopt -- usually despite the managers' indifference. I put most of my efforts toward asking the managers how I could help them remove the barriers they felt prevented them from embracing the new strategy. Neither of those approaches accomplished much and they usually told me they were too busy to give me and the new strategy their attention.

"After reading your article, I wonder what you think might have happened had I said to them words such as, "With so many satisfied customers and your positive financial results I guess it's hard to understand why the company is investing in this strategy. Please tell me if I'm out of line here, but I get the feeling that because you've been doing a good job that you don't share the company's concern about how quickly and how much the marketplace can change from shifts in customers' tastes and from new competition. Could you help me understand why I'm feeling that way?"

****

I hope other readers of this blog will join in, because this is a classic consulting situation. The core of the problem is that that you get hired by people at one level (top management) and are asked to work with their subordinates (in this case, the store managers.)

In such (completely normal) situations, it's not surprising that you are not treated as the subordinates' trusted advisor, because you are not. You are management's agent, and automatically treated (at least initially) with scepticism and suspicion.

What you were trying to get the store managers to do may indeed have been a wise move for the company, but you must not believe, for a moment, that, from that fact alone, the store managers would want to go along with it. You can't assume people will want to do the right thing for the company, even if (or especially even if) they hold middle management positions. Like all human beings, they will first filter any proposed changes through questions about what's good for them personally. They may never say it out loud, but that's what they are thinking -- always.

There's even an acronym for it: WIIFM? (What's in it for me?)

You describe the store managers' attitudes as "complacency" and "indifference" but I'll bet dollars to donuts that what was really going through their heads wasn't that neutral.

So, what's a trusted advisor to do? Well, obviously, one of the first things you have to figure out is whether or not the proposed changes your (top-level) client wants to make actually are in the personal best interests of the subordinates you are working with.

If the answer to that is "yes", then your counselling job is to earn the trust of the subordinates and work with them to help them see why the change is (potentially) good for them. (You had better not be faking it, either. If you really want me to buy into your program, you've got to convince me you're trying to help me as well as the company, not just the company.) I would try to get the individual talking about his or her job and what the changes would mean to them personally. I'd stop talking about "how much the marketplace can change from shifts in customers' tastes and from new competition."

If the answer is "no", the proposed changes are not in the subordinate's interests, then (as might be the case with the example you gave) maybe your job is to help the subordinate understand that, the change is going to come anyway, whether they like it or not, and you want to help them adapt to it. (It sounds like some the store managers could not, or did not.) Let's hope you can do it in a way that sounds like support, and not a threat!

Yes, this is all tough to do, but it's absolutely typical in consulting. Management always wants consultants to "go persuade my people to do X." That's what being a change agent is all about. And doing it well means being able to be an honest broker, understanding changes from the perspective of all the parties involved.

OK, folks. Time to pitch in. A lot of you who read this blog are consultants. How do you handle situations like this? What do you say?

Wednesday, April 16, 2008

Fat Smoker

One of the most interesting challenges in business is that very often we already know what we need to improve but we don't always get around to tackling it. The same is, of course, true in our personal lives and in this video, I will use that analogy to suggest ways that we can actually improve our business by drawing upon what it takes to improve our personal lives.

Sunday, April 13, 2008

Edward Tufte on Powerpoint

Shawn Callahan, a regular participant on this blog, sent me a fabulous link to a discussion of Powerpoint's abysmal contribution to obfuscation, especially as it affected NASA's decision-making ability. The ensuing discussion is serious and heavy, but worth reading. Like me, Tufte is on a campaign to stamp out Powerpoint.

For those of you who don't know his work, Tufte is the world's expert on the visual display of quantitative information. His books are works of art. Look for them!

Handouts and Slides

For a long time, when I do a speech, seminar or consultation meeting, I have handed out many more pages of slides / handouts than I plan to cover.

The theory is that (a) if someone asks a question, I can say "Yes, l've got something on that, let's look at page 26" and (b) handing out more pages than I actually plan to cover gives people "takeaway" value -- extra material that they can review after the meeting.

In recent years, I've noticed something interesting -- this approach is becoming MORE effective. In the old days, when I handed out the paper copies to everyone, they rarely got used. With the best intentions in the world, people stuffed paper into their briefcase and never looked at it again. or they abandoned it so they don't have to carry it home.

Many meeting organisers responded to that by handing out CDs of the handout material, but even that is now old-hat. What's really working well is to post the slides and handout material on the web. Obvious, but incredibly effective.

I am now finding that people are REALLY following up and using the material, and apart from the "noble" cause of providing more value, it's helping to introduce my work to new people as those who met / heard me forward the material on to their friends.

I use two approaches at the moment. My standard set of handouts is on my website and I place the customised ones in a private area ("landing page") for each client. It might be interesting to note that I still hand out the paper copies. If there are none, and I just say "Go to the private landing page for more," fewer people go, because they don't know what's there and they don't bother. However, if I hand out the paper and say "If you see anything here that interests you, you can find it on the landing page," then the follow-up percentage is much higher.

I have two questions for you to react to, if you wish to join in:

(a) Who else has an interesting set of handouts available for download? Tom Peters posts his slides, but maybe we can make a list here, so that everyone who reads this blog can be made aware of other interesting resources out there. Any nominations?

(b) Has anyone evolved to different strategies on using and disseminating their slides / handouts? What are you doing?

Saturday, April 12, 2008

Planners and Performers

This blogpost continues this week's series on making presentations. See here and here.

There's a spectrum of presentation styles, between planners and peformers.

I'm the latter.

Personally, I have difficulty sometimes working with and through human resource and training departments who, when we're working on putting together seminars or speeches, want to:

  • Specify learning objectives
  • Develop a teaching plan
  • Identify in advance every slide that is going to be used, in which order
  • Know which questions are going to be asked of the group at which point
  • Otherwise establish a fixed methodology or flow for the session

I know these people are doing their job, and that many of them are highly trained in "adult learning." I also clearly see the need to capture the content, the process and the flow when a company or firm is trying to roll out a program which is going to be delivered many times in different locations.

I just find it hard to slot my delivery style into such a structured, planned approach.

I'm prepared to be accountable for achieving goals when making presentations: I just hate being locked in specifying in advance exactly what's going to be said, in what order. I never know that until the (interactive) performance begins.

I can also work with "planners" to help THEM develop programs that can be given (by others) multiple times.

But when the stage lights go up and the curtain rises, it's a performance! With all the strengths and uncertainties that are implied by that word.

By the way, this doesn't only apply to formal seminars. For me, it applies to all client meetings: I prepare, but I stop way short of preparing a fixed, formal presentation. Even there, I take the performing approach, rather than the (structured -- "who's going to say what when?") planned approach.

Does anyone have experience or insight as to how to capture the benefits of both approaches?

Friday, April 11, 2008

Take Questions In the First 15 minutes

As a follow up to yesterday's posting on using an overhead projector, here's another philosophy of mine on giving presentations (in small or large groups, standing up or sitting down.)

No matter how much you want to convey, you should always give your audience the chance to react and ask questions as soon as you have covered your first main point -- no later than 15 minutes into your talk.

You should ask something like "Does that fit your world?" "Do you all agree with that?" "Is that what you are doing now?"

By asking for immediate response, you can ensure that you are both relevant and that you are bringing your audience along in your chain of reasoning. If you wait until you have given 4 or 5 steps in your reasoning, you could suddenly get a question about your first point and have to retrace all your steps -- you'll be scrambling to catch up.

And if you get a question that's about something other than where you are going, either use it to bring you back to your theme, or ask permission to come back to it later.

Some speakers to do not follow the 15-minute rule, but I think that's what makes them "speakers" rather than EDUCATORS. If you want the focus to be on you -- give a speech. If you want to serve your audience -- take questions -- frequently and early.

Thursday, April 10, 2008

The Overhead Projector

I have had some questions about why, in my videocasts, I am shown using an old-fashioned light-bulb overhead projector (OHP), even for presentations to large audiences. Some people ask whether it doesn't present an unprofessional, out-of-date image.

To this day, in all my presentations, I ask for the overhead projector as a matter of choice, because it is the best technology I know to minimise the barrier between me and the audience.

By writing on blank plastic sheets with the projector, I can create "lists" in front of people, drawing the answers out from them, even if I already know what I want the list to contain. The session thus becomes more Socratic and interactive.

Even if I am not being so interactive, and am making my own points, the act of writing them down in front of people lends some drama and "theatre" to the proceedings, allowing me to keep the presentation lively.

Contrast this with the all-too-common approach of having prepared slides, in a fixed order, and rigidly walking the audience through what you have decided they should listen to. That's no way to "connect."

A wise mentor once told me that, in making a presentation (or in teaching) you can focus on one of three things: your material (let's get through this), yourself (ain't I great?), or the audience (what do you want to ask about?)

Guess which is most valuable?

Which leads to the final virtue of the old-fashioned OHP: If someone in the audience asks "But what about this other perspective?", you can quickly throw on to the OHP any prepared slides you have on the topic. You don't need to scroll through tens (or hundreds) of computer based-Powerpoint slides to find the one you need.

An OHP and a collection of prepared plastic sheets allow you "random access" to your material, thereby enabling you to truly customise your remarks (and your performance) to the specific people in front of you.

Wednesday, April 9, 2008

Survey Results

In the year 2001, I did a study, which resulted in an article called "Practice What You Preach", in which I studied 139 professional businesses around the world. This video clip shows the early results of that study.

Doing It for the Money -- New strategy podcast episode available now

The eight episode of my new podcast series, Strategy and the Fat Smoker, is now live and available for download.

It is dedicated to exploring the themes found in my article by the same name.  I encourage you to forward these to friends and associates who may be interested in the topics covered.

"Doing it for the Money", the eighth episode in the series, talks about the basis for any successful marketing effort:  The ability of the provider to convince the buyer that they are truly interested in them and that they are genuinely trying to help.  This is no simple task and there are certainly no quick fixes for it.  How is it then, that this is so rarely a topic in any firms marketing discussions?  This episode looks into how firms can build firm-wide enthusiasm for involvement in business development.

NOTES FOR THE EPISODE:
00:39 -- Introduction
01:40 -- No quick fixes
06:34 -- What's wrong with "do it for the money"?
09:50 -- Promoting enthusiastic involvement in business development
14:02 -- Transactions vs. relationships in culture and rewards systems

You can download "Doing It for the Money" or sign up to receive new Business Masterclass seminars automatically with iTunes or other podcast players.  (Click here for step-by-step instructions on how to subscribe).  My seminars are always available for download at no cost.

Sunday, April 6, 2008

Marketing the Marketing Consultants

There are now a HUGE number of consultants who advise professional firms out there, and probably the specialty with the largest number of practitioners is advising professional firms how to market themselves.

Which, of course, raises the question of how these marketing consultants go about marketing themselves.

As an author or blogger, I receive a large number of requests to endorse or review books being published by these marketing consultants, and it's very hard to be selective. Most of them are eminently sensible, but I have to confess that few make me sit up and say "Wow, I never thought of that!"

But then again, perhaps I'm not really the target audience for these books. Many of the authors are trying to serve people NEW to thinking about marketing, not observers, practitioners and consultants like me who, for better or for worse, have been trying to make sense of it for a long time.

So, I'm actually not in a position to evaluate how effectively these books serve their marketplace -- what may strike ME as simplistic and familiar may actually be a very useful way of presenting really useful ideas and suggestions. It's just that I'm too jaded to tell.

As a result, if I don't review your book or give you an endorsement, it may be a GOOD sign that you have written your manuscript well, for a completely different audience.

One of the problems of being around for a while is that an idea needs to be really new or counter-conventional to stand out, while the truth is that the need out there is not for new ideas, but for old wisdom communicated in better ways that can command attention in ways as the old ways lose their effectiveness due to familiarity (or from the simple fact of being old.)

But then, that's probably what all consultants have been doing from time immemorial.

Saturday, April 5, 2008

Making The Network Work

Do you (or does your firm) belong to a network, where you try to collaborate with individuals and firms that are separate from your own?

Many individuals and firms attempt this, attempting to get the benefits of access to professionals in other locations (cities or countries) or in disciplines other than their own.

These networks exist in many professions, mostly to refer business to each other (or at least that's where I see them working best.) Occasionally, members of the network try to join up to pitch for business jointly, thereby (if they are successful) winning work they would not have qualified to bid for alone. This does happen, but much less often.

In some case, the benefit is not in revenue increases, but comes from belonging to a group that shares best practices. This can be the biggest benefit if you have mechanisms to facilitate the sharing.

My observation is that it's very hard to make these networks work very well. They are not disasters, and if the memebership fees are low enough, they can be "clubs" worth joining, but the potential is often unrealised.

Does anyone have views on the best ways to ensure that these networks really do benefit their members? If you are a member, what's the best way to take advantage of any network you belong to?

Friday, April 4, 2008

Thanks for another season of engaging and intelligent conversations

I am always delighted when we have ongoing conversations here in my blog. I'd like to express my gratitude by giving credit to everyone who has contributed these last few weeks with these sincere thank-yous for the month of March:

Commentors

Adam, Jason Alba, Alex, Al Arnold, Arnold, Aron, Brad Attig, Richard Becker, Nagesh Belludi, Louise Berto, Harry Binswangaer, Wally Bock, Pawel Brodzinski, Bob Brown, Duncan Bucknell, Shawn Callahan, Martin Calle, Stuart Cross, Lance Dunkin, Francis M. Egenias, Heidi Ehlers, Anna Farmery, Bruce Follansbee, Fran, Jordan Furlong, Phil Garcia, Brenda Glover, Marcel Goldstein, Phil Gott, Mark Gould, Ted Harro, Ken Hedberg, Dennis Howlett, Irene, John, Timothy Johnson, Linda Julian, Frank Kanu, Britt Keener, Tim Khaner, David Kirk, Delaney Kirk, Ed Kless, Greg Krauska, Nicolas Kübler, John Labbe, Roland Lichti, Toby Lucich, Stephanie Lunn, Stephanie Lunn, Javier Marti, Matthew E. Johnson, Ph.D., Matthew Stibbe (Bad Language), Patrick Mauldin, Andre (Redbeard) Mazerolle, Erik Mazzone, Darlene McDaniel, Pat McGraw, Jim McHugh, Bob McIlree, Chris McLaughlin, Michael, Karen Morath, Nancy, Pamela, Steve Pashley, Shelly Phegley, Ponnuchamy, Dave Prouhet, Nick Rice, Ric, Steve Roesler, Rebecca Ryan, Sammy, Bryan I. Schwartz, Sean, Stephen Seckler, Mark Shead, Shelley, Silver, Chas Simpson, Sonnie, Mike Spack, Will Swayne, Kathleen OBrien Thompson, Tom "Bald Dog" Varjan, Cindy Tonkin, Penelope Trunk, Vishal Tyagi, Peter Vajda, Ashutosh Wakankar, Ellen Weber, Susie Wee, Peter Weldon, Ric Willmot, Mary Wynne-wynter, Liz Zitzow

Trackbacks

A-Ideas Blog
Accountants Round Up
Balanced Life Center
Blawg Review
BrainBasedBusiness
Business Development
Business for enjoyment's sake
Client Service Insights (CSI)
Emmanuel Oluwatosin: Inspiring Excellence, Realisi
Internet Marketing Resource Center
Kishore Balakrishnan�s Blog
MabelandHarry
Michael's Thoughts
Modern Sage Online: Practical Living Blog
More than a living
Positive Politics
Recruiting.com
Research, Technology,
SalesMotivation.Net
Settle It Now Negotiation Blog
Small Firm and Solo Practice
Software Project Management
Sonnie's Porch
Target: Vietnam -- by Matt Powell
the basquette case
The Engaging Brand
The Greatest American Lawyer
The itzBig Blog
The Organic Leadership Blog
Thoughts & Philosophies
Three Star Leadership Blog
Verve Coaching
Victor-Fam.com

Podcast Trackbacks

Accountants Round Up
Emmanuel Oluwatosin: Inspiring Excellence, Realisi
Isabont
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Victor-Fam.com

Thursday, April 3, 2008

The Long Term

In much of my recent thinking (and writing) I have observed that our biggest barrier, as individuals and as organisations, is the difficulty in doing what is in our long-term best interest, not just what provides immediate gratification.

This problem comes up again and again. In last week's blogpost about How Not to Manage People, Mark D. observed: "My experience tells me that all things being equal most people want to or are at least willing to embrace your teachings but all things are not equal. As soon as your teachings conflict with short term financial gain, people begin to throw out the teachings which they view as costing them money. I know I am sceptical and somewhat jaded but there is no stomach for anything that risks immediate profits."

As I tried to point out, this is not about just MY teachings, but is a much broader point. As I argued in Strategy and the Fat Smoker, it is part of the human condition that we can know what to do, why we should do it, and even how to do things for which we fervently desire the benefits. None of that actually predicts that we actually are going to do what we absolutely know is good for us.

Note that it's not about a lack of incentives: live longer is a pretty good incentive!

I continue to be professionally frustrated by all of this. If we can't help people start doing what even they say would be best for them, how can we be really helpful?

So here's my question: how DO you help people actually get on the program for what is their best interests? The question is relevant if you are a manager trying to coach your subordinates, or if you a consultant or other trusted advisor trying to get a client on the path that is best for him or her.

So what actually works to get people to take the long-term view with their work, their business and their lives?

Rational discourse (logic) doesn't seem to work consistently well, and providing statistically reliable data doesn't seem to be persuasive (so much for the Surgeon General's reports!)

In descending order of effectiveness, here's my experience in what gets someone (us as well -- don't make this all about THEM) to change from acting in a short-term way to doing what they (already) know is best for them in the long-term:

  • Talk up or create the "glamour" of the future state (Think of how fabulous it's going to be when you're there!)
  • Make it a moral principal (Isn't it consistent with our/your values to act this way?)
  • Get us/them to commit themselves to more public disclosure on actions, to keep them/us on track (embarrassment rather than guilt.)

What experiences do the rest of you have? Have you helped a short-term actor become a long-term actor? What REALLY helped/worked to bring about this transition? What gets people on "the diet?"

Wednesday, April 2, 2008

Strategy is Standards

Among the most important things I've learned is that to succeed, a professional firm needs values, principles, or standards. But you have to use these words very carefully. In many firms, their values are things they aspire to -- things they wish to be -- and that is not the sense in which I am using it here. I'm using the values in almost the religious sense, that these are the principles we will not be prepared to break. What I am trying to report to you is, firms that have such principles, flourish.

Tuesday, April 1, 2008

March 2007 Top 5 Roundup

I'd like to thank everyone for all the thoughtful comments on my blog. Here are the five posts that had the most discussion this month.

I REALLY hope that people will keep these specific conversations going: the spirit of a blog is that we all react to each other, and I am delighted when these conversations continue.

  1. How to Set Fees
    It seems like a very bad idea to bill by the hour, especially if you are a consultant just beginning your practice. So how do you approach a client to establish accurate value-based pricing? A beginning consultant asks for advice on this crucial skill.

  2. Required Reading
    Back to basics: a couple of my favorite entry-level business books and a host of suggestions from the readers.

  3. Talking with Reporters
    Press coverage might be a nice pat on the back but is it worth pursuing as a marketing strategy? Here are my thoughts on this following a recent experience with the Wall Street Journal.

  4. The Three-Month Rule
    Plans and reviews ought to be conducted on a once-every-three-month cycle -- it's long enough to work around the world's unpredictabilities both at work and in people's personal lives.

  5. Promoting a New Article
    For some time now, I have been saying that a book is a "20th-century artifact" and that the way to serve your market (and to get your market's attention) is to write a stream of blog posts. The challenge I face -- and the topic on which I'd like your input -- is thinking about marketing the article I am writing based on these articles ...

Sunday, March 30, 2008

How Not to Manage People

CCH (a provider of tax information, software and services) have a new whitepaper, "Recruiting and Keeping Up-and-coming CPAs at Your Firm" which provides insight into what's important to young accounting professionals in the workplace today, how firms are measuring up and what firms can do to recruit and retain top talent.

The whitepaper is based on the findings of a survey of CPAs with four to seven years of experience, asking them what they wanted most and asked them to rate how well their firms were meeting these needs.

The results are the same old sad story. Fewer than one-half of firms received a very good rating on their ability to deliver on the attributes most important to up-and-coming professionals.

Amazingly, only 39% of the respondenst rated their firms as very good in providing "comprehensive resources to get the job done."

How about that for convincing your staff about your commitmtent to quality and giving them a good work experience!!

Interestingly, the three most important atrributes of firm culture in the eyes of the respondents were:

  • Ethical leadership in the firm (only 55% of firms were rated very good!)
  • Work / Life Balance -- Family friendly Policies (38% of firms rated very good)
  • High quality feedback, supervision and performance management (13% of firms rated very good!)

What ARE these firms thinking of? What IS going on out there?

I'm close to giving up in disgust. why bother writing and talking about sensible management if these results reflect the real world?

Saturday, March 29, 2008

Promoting a New Article

For some time now, I have been saying that a book is a "20th-century artifact" and that the way to serve your market (and to get your market's attention) is to write a stream of blog posts.  That way, you educate your audience to expect new ideas and thoughts from you on a regular basis.

However, once you've written the blog posts, nothing stops you from going for the double benefit of compiling the blog postsinto an article and issuing it as such.  That's the strategy that worked so well for me in launching my career.  Both of those articles were compilations of previously published blog posts, and people really like having them between hard covers.

I think I'm now ready to put together my next article, based upon the blog posts I have been writing over the past 18 months (and which are all available for download on my website).  With a little rewriting, I think I can bring out my common themes and major messages.  (Strategy as determination and courage, management as the willingness to be accountable for the managerial role, going behind the facade of people who claim to want long-term relationships, etc.)

The challenge I face -- and the topic on which I'd like your input -- is thinking about marketing the article.

Article marketing has always been a complete mystery to me.  I long ago learned that traditional publishers are useless, so I'll be self-publishing (as modern technology allows me to do) with both on-line versions (pdf) available for sale and "dead tree" versions sold through business magazines.

My past history also taught me that it's incredibly expensive and completely uncertain to hire specialist publicists.  Over the course of the past 11 years, I spent a total of $200K on publicists and publicity, and never came anywhere near getting much attention from the audiences I was targeting.  All publicists SAY they will get you interviews and reviews in key media, but it never really worked out that way for me.  There are over 50 business magazines published in Australia each month, and breaking through the clutter is very hard.

So, here's my latest thoughts:

  • Self publish and send out free copies to CEOS and managing partners of key firms
  • Send out free copies to every business blogger I can think of
  • Send out free copies to every traditional journalist I can think of
  • Send out free copies to every university professor in a professional school
  • Develop a new series of "you-Tube" style videos, 3-minutes long or less
****

So, as I get ready to think about marketing my new article, what activities do you think I should be doing or preparing for?

Friday, March 28, 2008

Talking with Reporters

Yesterday (March 27, 2007) I was (briefly) quoted in the Wall Street Journal in a story about whether or not your spouse is a good person to turn to for career advice.

But this blogpost is not about the content of that story. It's about talking with reporters.

I'm a great believer in doing it out of courtesy, but unlike many of my professional firm clients, I don't believe getting quoted is a particularly powerful marketing tactic. Yes, it was nice that my name appeared in print, and also that it was mentioned in passing that I was an author.

But experience has taught me that being quoted like this doesn't really help promote my business or affect the likelihood of me getting hired.

Yet many financial service firms, consulting firms, accounting firms, law firms and so on spend quite a bit of time trying to get press coverage in places like the WSJ. Why? Is it really worth the effort and the money?

I'll grant that a story ABOUT me might be powerful, but I have been lucky to have had my share of those, but it would be very hard to identify even a single enquiry that came from press coverage. My family like to keep track of my clippings, and, embarrassing but true, I (still) get personal gratification from seeing my name in print.

But I think the marketing benefits of talking to journalists, and press coverage in general, are way over-rated for professional businesses.

Do you agree or disagree? Is there any hard evidence one way or the other?

Thursday, March 27, 2008

Required Reading

If you do a business degree, they will often assign you books on marketing, managing, organisational behaviour and strategy. But many "classics" never get assigned because the topics they cover are seen as too "basic."

For example, there are lots of people (like me) who took many courses on "Management" but never really had to think about supervising another human being.

This is not just about younger people getting their first education: it's also relevant when large professional firms first start offering management training to senior officers appointed to managing positions for the first time.

Such organisations often arrange special executive education courses at elite universities, when what their new managers really need is to read The One-Minute Manager.

Rather than learning advanced topics such as market positioning, segmentation, etc., surely we should start by helping people understand what it feels like to sit across the table from someone who you are trying to get to hire you? Something like Dale Carnegie's How to Win Friends And Influence People.

Yet the One-Minute Manager and Dale Carnegie are rarely assigned texts (unless I'm out of date with what's happening.)

Here's my question for all of you: what are the essential but neglected (basic) business books that YOU think people should read that tend not to get assigned in formal courses? Where would you recommend that people read to START to understand management, marketing, and other business essentials?

Wednesday, March 26, 2008

Profit Formula

In business many factors lead to ultimate financial and business success. The challenge is to identify which factors tend to drive other factors and hence, where you really should start to launch the sequence that leads to ultimate profitability.

The Friendship Strategy -- New strategy podcast episode available now

The seventh episode of my new podcast series, Strategy and the Fat Smoker, is now live and available for download.

The series is dedicated to exploring the themes found in my article by the same name.  I encourage you to forward these to friends and associates who may be interested in the topics covered.

This seventh episode, "The Friendship Strategy", looks at the parallels between building trusting relationships in business and building friendships in personal life.  All too often, it seems that when people come to work, they leave behind everything they know about interacting with other humans.

We will look into the reasons why people neglect to use these lessons and what it takes to improve your personal and professional relationship-building skills.

NOTES FOR THE EPISODE:
00:14 -- Introduction
00:43 -- Understanding business relationships through personal life
02:03 -- Conversation and trust
06:54 -- Socialising in business relations
10:21 -- How do they feel about you?
15:30 -- Being supportive
18:30 -- Initiate relationships

You can download "The Friendship Strategy" or sign up to receive new Business Masterclass seminars automatically with iTunes or other podcast players.  (Click here for step-by-step instructions on how to
subscribe).  My seminars are always available for download at no cost.

Sunday, March 23, 2008

Leadership Qualities

If you don't subscribe to my (free) articles, then you won't know that I have just published a new article on my website entitled Selecting A Leader: Do We Know What We Want? (downloadabe in pdf form, as all my articles are.)

The article points out that many of the desired characteristics that firms say they want in a CEO or Managing Partner are inherently contradictory: for example, firms often say they want someone who is both decisive and consultative. It's tough to be both.

Some other trade-offs include choosing someone who:

  • Focuses on working inside firm versus focuses on a high profile with clients and marketplace
  • Is good with numbers versus good with people
  • Leads in accordance with a strong personal ideology of his or her own, versus is the kind of person who tolerates different views, values and approaches

In the article, I describe a simple approach to debating "forced choices" between a large number of these "paired virtues", as a way of getting firms to clarify what they really want in a leader.

What contradictory or conflicting things do you see people include when they enumerate the desirable characteristics of a leader?

Saturday, March 22, 2008

Is Stewardship Dead?

Over the years, I have had a lot of people ask me for definitions of (a) what is a profession (b) what is a professional (c) what is a professional service and (d) what is a professional service firm?

On the last question, I have always argued that a professional service firm, as a special type of organisation, is one where the current partners develop and pass on the firm to the next generation. (It's also called the partnership model)

In the old days, when professional firms acted like they cared, many of them ran on the principle of stewardship or "legacy." The firm was run not only for the current generation, but with an eye to building an institution that would flourish and survive in future years. Partners, so the argument went, held the firm in trust for the next generation.

This was not just a cultural issue. Under the stewardship model, equity in the firm was transferred at book value -- in at book, out at book. Partners made their money from the income they earned while working at the firm, not by equity appreciation.

I got a call yesterday from a CPA firm partner who thinks that continuing to think this way today is all hogwash. Firms today aren't REALLY run to leave a legacy or build an institution for the next generation, and firm leaders should stop pretending that they are. They're fooling no-one, he says.

Today's partners want not only to maximise their income, but also (when the time comes) they want to be bought out at fair market value when they leave the firm, not just depart with a token retirement pension.

In part, the commonality of the "stewardship" versus "if you want ownership you have to buy it from me" model depends on which profession / industry you're talking about. PR firms, ad agencies and other marketing communications firms have ALWAYS been "owned." They've always been "built to flip" (ie sell to one of the big conglomerates like Omnicom or WPP.) From the beginning, their founders ran them to create a "capital event." They didn't usually give away equity for nothing to rising young people.

On the other hand, in the profession of law (in the US, UK and Australia, but not necessarily elsewhere) there is still a history of running a partnership model, not a corporate model. The message is still (so far) "earn your income while you're here, there's no capital gains to be made from your ownership of the firm." In part, that's because in many countries there are barriers to who can own a law firm.

But what do you think is going to happen in the UK when the Clementi reforms are (finally) implemented and outsiders can buy the equity of a law firm? How long do you think it will take for the existing partners to rethink (even more than they have been doing) whether they want to admit new partners without forcing them to buy in at fair-market value? Why give away a part share of ownership in your law firm when you can sell it to Goldman Sachs?

In accounting firms, it depends on the size of the firm. Big global firms still pretend they are "passing on the heritage", while many small CPA firms owners are unapologetic in saying: if you want ownership in my firm, you have to buy it from me!

So, what do the rest of you see going on out there?

  • Is Stewardship (or the partnership model) dead, even among the firms that pretend to still have it?
  • Should we all just admit that the way firms are being run today is to maximise the wealth of the current shareholders?
  • If you ran a firm, would you run it on ownership or stewardship principles (be honest)
  • Is there a price to be paid if firms switch from one approach to another?

Friday, March 21, 2008

How Clients Can Get the Best out of Us

Here's a question from "Eric":

I am thinking of writing an article myself about how clients of consultants can create the right relationship with their consultant so that they get more bang for the buck (i.e. more insight from an objective viewpoint then they would normally get via the usually limited "statement of work").

If my company gets called in to help out (with anything from strategy through technical implementations), we end up learning so much about their organisation, how they build processes, how things really work and I feel that in some situations, the client puts barriers up that prevent effective communication.

If clients knew how to approach their consultants and their relationship with them, they could glean a lot of "insider" information that they would not normally get. We find out SO much about the inadequacies of client organisational structures, communication breakdowns, lack of effective change management etc. that I think the client management might benefit from if only they knew. Some know how to get this out of us and some don't.

I understand some of the barriers: they might consider their consultants just money grubbing stiffs, may not trust them, are politically boxed in, etc.). Obviously, a bigpiece of a partnering relationship is the responsibility of the consultant lead. However, it does take two to tango, doesn't it?

***

I think it's a great idea for an article, Eric. But you haven't really got us started.

Why don't we all try and complete the following sentence:

"To get the most out of us, our clients should ..."

(Self-serving actions like hire us some more are not allowed! The spirit of this is to avoid reinforcing the perceptions that Eric so readily identified -- that if we are not careful, clients will see additional activities by us as the work of untrustworthy, money-grubbing people. Anything we suggest has to avoid reinforcing that, right?)

So, to get the most out of us/me, clients should:

  1. Help me/us understand, before we get in too deep, the real politics of what's going on in their organisation
  2. Tell us/me the truth, up-front, about what they're really willing to change and what they are not
  3. Meet with us/me one-on-one informally, so that we/I can pass on "off the record" and informally some of the things we think we have learned.
  4. Allow for informal "what's going well and what are you learning?" conversations on a regular basis during the work, not just at the end.
  5. Keep us/me informed if their priorities and goals have shifted, so that we/I can adapt along with them.

Anyone else want to join in? What could clients be doing (specifically) to get the most out of you and your firm?

Thursday, March 20, 2008

An Employeer's New Bonus Scheme

Here's another reader question, from "D":

For the last nine years I have worked for a sales and marketing firm. Almost every year I have received "Incentives" and "Bonuses" (of varying amounts) for the work I do. The "Bonus" is from a pool of funds paid to my company by my client. The "Incentive" is paid directly from my employer.

This year the company is taking a 12% "administration fee" (pre-tax) from the bonus and incentive monies. I've been in this business for over 20 years and have never heard of such a thing, let alone experience it first hand.

The oddity of this -- to my thinking -- is that someone who receives a $1,000 bonus pays $120 for the cost of being paid. Someone who receives $3,000 pays $360 and so on up the scale. Another way to look at it: My client paid the company almost $1,000,000 in bonus. My company is taking almost $120,000 in "fees" from its employees (and the employees are paying the tax as well).

So, my questions are (a) Have you ever heard of such a thing in any business? And (b) Isn't it odd that the employee would pay a federal and state income tax on what the company is taking out as an administration fee? (In other words, we are paying the company's income tax before them; at least, that's the way it seems to me.)

***

D, I never expect to be surprised at the complex payment schemes that firms devise, and I'm rarely shocked that firms would put in place self-serving systems that adversely affect their employees (or independent subcontractors, in other instances.) If it's the deal they offered at the beginning, and employees voluntarily accepted that deal when they came in, then so be it.

However, it's the overnight change in the mutual understanding that would trouble me if I worked where you work. As you point out, a 12% administration fee burden on employees is a sizable sum, and if it were to be "imposed" without explanation and consultation, I'd expect a revolt. (Unless it's the same in every competitive firm.)

I'm enough of a capitalist to say employers are allowed to structure their pay offer any way they want to. But I'm also enough of an idealist that I, personally, wouldn't continue to work at a place where the mutual trust was broken in this way.

What think the rest of you?