“Humour is the number one way to disarm someone, and get them to let you in to their lovely little world.” I love being in Zimbabwe because every day I get a chance to interact with all of the “serious” businessmen doing “serious” things.
Drinks are on you; jokes are on me.
Sitting with investor worth a few million dollars can be awkward; especially the first time. You are telling him what you think he wants to hear and your sweat beads tell him you are as nervous as a family of worms paddling over a bream pond. The first time I started down the entrepreneur lane I memorized my pitch and nothing else for my first presentation. I desperately stuck to the speech I had rehearsed a hundred times in front of a mirror. In fact, it was so bad that I did not even wait to hear how everyone’s weekend was (after all mine had been spent in front of the mirror). I aggressively pulled out my laptop and started rushing helter-skelter through my slideshow as if I was talking to a bunch of machines that were going to make a decision right after I was finished. I had to learn to relax and have fun with my presentation.
Relax. Get your target to relax and enjoy the show, after all you are not the first person looking for his money and there is little worse for a prospective investor than spending thirty minutes sitting through a presentation that can put the dead to sleep. You could buy him a great glass of wine, take on the bullet of the bill and pay for his truffle covered fillet and his Dom Pedro. Tell a few great stories. Entertain him. Tell a joke. The tears drizzling from his eyes as he is banging the table is the sound of money splashing into your account.
You, my friend, have just entered the realm where “there are numbers in laughter.” Think about a first date with a beautiful girl. On your first date you may not impress a high-class socialite with your clean looks or the extent of your vocabulary, but if you can make her laugh you win. Laughter is where the gold is and laughter is where the next date awaits. You spill your salad onto your lap in a fit of nerves; make a joke out of it. Humour is like a rubber sword, you can make a poke without drawing blood.
A lunch time sales pitch is no different. Create a memory without that thick, heavy, sad smoke of a serious offer lingering around causing your tie and his to feel very tight and uncomfortable. You are trying to sell the best thing since sliced bread; so are a thousand other people. I have said many times that a relationship is more important than quick buck. A strong business partner or serious financial partner is looking for more than just a plan. It’s about class, it’s about humour, and it’s about “can you be someone that I’d like to invest my time in or will all of our meetings just be boring as high school.” Begin to build that relationship in that first meeting.
Two years back I had my first dinner with a billionaire. He was from the US and was sniffing out the prospects of putting down some finance for various projects. He started off very reserved. My brother and I took our seats. He was very reclusive in his posture. My brother and I took the “All or nothing approach” and directed him through the African Based Menu. There were two ways we could leave this dinner-crying or laughing. We could have become quickly overwhelmed by the facade of this heavy weight. It was him in one corner, my brother and I in another. The score was 1 to 1 billion in dollars. We used the only weapon in our arsenal, humour.
We took the view that he was probably very bored with talking business and wanted a little a bit escape – that’s what we ended up giving him. You know that it’s going well when he begins to try and throw back the fruit. He ended up giving my brother “high fives”. High Fives at a business dinner? You better believe you do not leave a billionaire hanging when he puts his hand up for a connection. My hand was sore from the high fives he was giving me in response to perfectly executed jokes. The roar of laughter was almost embarrassing for us (not that we let that show however). At the end of the dinner we did not gain a business partner. We gained a friend. He invited us to his hotel and personal telephone numbers started coming out. Pictures of his single daughter (and no I did not take her for a date) and even if we only saw him again in 5 years he will never forget that night. It was priceless, and better still he paid for our dinner.
Ninety percent of your best memories lie in the area of humour. That is why people go the pub and grab a drink and laugh off all the serious number-crunching meetings they have had during the day. This does not give one the license to be a total clown or to show you as unserious or unreliable. The humour only works when you can deliver it well and your reputation is solid. In humour, timing is everything. If they are not laughing, then it probably was not funny.
Don’t take everything so seriously. Enjoy business, enjoy food, enjoy life and make the billionaires laugh.
Friday, 21 October 2011
Thursday, 13 October 2011
Starting to Invest...a few tips
Building up your investment portfolio is something that takes time. If
you’re starting to branch out into other small investments the goal of
this piece is to give you a few pointers on what to look for, and what
to avoid. Many people get excited about “Quick Spins” or “Investing in
other countries” but the grass is not always greener on the other
side.
Invest in relationships not just in concepts. Consider this situation,
you get pitched this great idea in a boardroom in Harare. The person
who is running with the concept is from a city in Ghana and his pitch:
“You can buy a piece of land on the Ghana coast at next to nothing.
The value of the plot will double every year because of a coastal
development fund and when you finally decide to build you’ll be so
happy that you put your money here because the return will be unreal.”
Your eyes perk up, and the sounds of having an exquisite beach plot on
the lovely beaches of Ghana sounds like a dream.
Even though you’ve never been to Ghana before and you are not really
sure if the water is warm or cold, and you’re also not really sure
that the beaches are beautiful. The return sounds good and you could
also rent it and then use if for your own family vacations. This is a
good deal. Well… maybe. Another way to look at it is that you buy the
property on impulse. You end up visiting the plot and you convince
yourself that you’ll start building. You contract the builders while
you are there and go back to Harare. Three weeks later the builders
call – they need more money. You fly back to Ghana only to find that
the builders have made a huge mistake on the foundation of the
property. You cannot fix the problem in the few days that you are in
the city and so you have to schedule another trip in a month. Every
extra profit you make begins to be poured into your plot in Ghana.
Finally, long overdue, it is built and you start renting. Then the
tourists that rented your place trashed it and break several things in
the house and you are not sure if they paid the full amount. You also
have a hunch that the person you left in charge of your property stole
your geyser and replaced it with a substandard copy but that will take
weeks to prove. You are in Harare and your local business needs your
attention and so you cannot just pick up and leave every time there is
a problem. You’ve got an investment in Ghana (for the record: I think
Ghana is great country) that is frustrating the heck out of you and
when you mention to your wife that you would like to take her there
for Christmas she bursts into tears because you forgot about your
annual Cape Town Visit. An opportunity that sounded great ended up an
expensive managerial nightmare. Yes, this may be a cynical approach
but it may not far from the truth.
When you are starting to build your portfolio invest around the
corner, literally. Unless you have money to play with, invest in a
place that you can drive to, it is so much easier to check up on. I
had a friend that did once buy a lovely beach property on the East
African coast. He lived in the U.S. When he first invested in the
property he was overjoyed. “This will get me a constant revenue source
from visitors every single month.” Like in the example, there was more
travelling backwards and forwards to manage the property then actually
enjoying it’s return and benefit.
In another instance there are large asset management companies that
will help manage your money but you will not end up owning anything
and the return will be controlled. Now there is nothing wrong with
that but remember what you are getting into. Do not put everything you
have in something that is extremely controlled. Should you go this
route make sure you are clear about the fee structure, penalties for
early withdrawal and do some homework on the funds you are investing
in (their prime investments, who manages them etc.).
If you’re friends with a stock broker, or there is someone you have
been to dinner with a couple times and he knows how to trade on the
market then give the market a shot, but remember that you are
investing based on a relationship. If you have a friend in the real
estate market that you trust; talk to them. Perhaps they have a fund
you can be a part of. Remember though, get everything in writing. When
it comes to hundreds and thousands of dollars that you are looking to
invest. Portion it out. Do not, I repeat do not invest everything into
one place. The world is replete with stories of people who have lost
everything when a market has turned or a company has failed. Ask
anyone who invested in Enron where in an 18-month period shares fell
from 90USD to 1USD.
In the long term there are high-risk entrepreneurial opportunities.
When you are investing in a small, local, computer business you can
see the possible returns. You can go the office if there’s an issue.
If you have partners you can organize a 20-minute coffee and sort out
the dividends and straighten out problems. Ask a few people that you
trust. What can I do with $2,000 or $3,000? See if there’s anything
that works for you. Weigh your options. Get it in writing and go
forward.
you’re starting to branch out into other small investments the goal of
this piece is to give you a few pointers on what to look for, and what
to avoid. Many people get excited about “Quick Spins” or “Investing in
other countries” but the grass is not always greener on the other
side.
Invest in relationships not just in concepts. Consider this situation,
you get pitched this great idea in a boardroom in Harare. The person
who is running with the concept is from a city in Ghana and his pitch:
“You can buy a piece of land on the Ghana coast at next to nothing.
The value of the plot will double every year because of a coastal
development fund and when you finally decide to build you’ll be so
happy that you put your money here because the return will be unreal.”
Your eyes perk up, and the sounds of having an exquisite beach plot on
the lovely beaches of Ghana sounds like a dream.
Even though you’ve never been to Ghana before and you are not really
sure if the water is warm or cold, and you’re also not really sure
that the beaches are beautiful. The return sounds good and you could
also rent it and then use if for your own family vacations. This is a
good deal. Well… maybe. Another way to look at it is that you buy the
property on impulse. You end up visiting the plot and you convince
yourself that you’ll start building. You contract the builders while
you are there and go back to Harare. Three weeks later the builders
call – they need more money. You fly back to Ghana only to find that
the builders have made a huge mistake on the foundation of the
property. You cannot fix the problem in the few days that you are in
the city and so you have to schedule another trip in a month. Every
extra profit you make begins to be poured into your plot in Ghana.
Finally, long overdue, it is built and you start renting. Then the
tourists that rented your place trashed it and break several things in
the house and you are not sure if they paid the full amount. You also
have a hunch that the person you left in charge of your property stole
your geyser and replaced it with a substandard copy but that will take
weeks to prove. You are in Harare and your local business needs your
attention and so you cannot just pick up and leave every time there is
a problem. You’ve got an investment in Ghana (for the record: I think
Ghana is great country) that is frustrating the heck out of you and
when you mention to your wife that you would like to take her there
for Christmas she bursts into tears because you forgot about your
annual Cape Town Visit. An opportunity that sounded great ended up an
expensive managerial nightmare. Yes, this may be a cynical approach
but it may not far from the truth.
When you are starting to build your portfolio invest around the
corner, literally. Unless you have money to play with, invest in a
place that you can drive to, it is so much easier to check up on. I
had a friend that did once buy a lovely beach property on the East
African coast. He lived in the U.S. When he first invested in the
property he was overjoyed. “This will get me a constant revenue source
from visitors every single month.” Like in the example, there was more
travelling backwards and forwards to manage the property then actually
enjoying it’s return and benefit.
In another instance there are large asset management companies that
will help manage your money but you will not end up owning anything
and the return will be controlled. Now there is nothing wrong with
that but remember what you are getting into. Do not put everything you
have in something that is extremely controlled. Should you go this
route make sure you are clear about the fee structure, penalties for
early withdrawal and do some homework on the funds you are investing
in (their prime investments, who manages them etc.).
If you’re friends with a stock broker, or there is someone you have
been to dinner with a couple times and he knows how to trade on the
market then give the market a shot, but remember that you are
investing based on a relationship. If you have a friend in the real
estate market that you trust; talk to them. Perhaps they have a fund
you can be a part of. Remember though, get everything in writing. When
it comes to hundreds and thousands of dollars that you are looking to
invest. Portion it out. Do not, I repeat do not invest everything into
one place. The world is replete with stories of people who have lost
everything when a market has turned or a company has failed. Ask
anyone who invested in Enron where in an 18-month period shares fell
from 90USD to 1USD.
In the long term there are high-risk entrepreneurial opportunities.
When you are investing in a small, local, computer business you can
see the possible returns. You can go the office if there’s an issue.
If you have partners you can organize a 20-minute coffee and sort out
the dividends and straighten out problems. Ask a few people that you
trust. What can I do with $2,000 or $3,000? See if there’s anything
that works for you. Weigh your options. Get it in writing and go
forward.
Thursday, 6 October 2011
Picking the Right Person to do Business With
"Let us get married so that we can make more money together." Imagine marrying someone only for the financial benefits.
You would focus more on the legal contracts than on the wedding day.
In fact, you would probably get a lawyer to help write your vows and make sure that there was a pre-nuptial agreement before there was a down payment on the wedding venue.
What kind of a marriage would that be?
Similarly, what kind of a business life would you have if every relationship only focused on the money?
People spend thousands of precious dollars on legal fee's to get a start-up business or partnership protection, just in case something goes wrong.
When or if it does, an additional "fortune" has to be spent on more legal work to get you out of the fix.
Pretty soon you would have wasted all your start-up cash protecting yourself, and in the end you still get burnt.
How much better would it be to build a business relationship (still having the partnership clearly outlined) on trust and transparency instead of legalities and suspicion.
If you don't know what I am talking about then you probably have not started a business yet.
If you catch this principle it will save you a lot of money, emotional heartache and a few intense meetings with lawyers.
(During the first year of operation lawyers often charge you per minute so be careful not to have long chats about your upcoming family vacation with them - nothing against lawyers).
Relationships are key to any business venture. The old adage of its not what you know but it's who you know holds true.
People that you partner with need to be chosen carefully.
Start-ups have potential for high friction levels; cash-flow crises, differences of opinion, fatigue and perceived imbalances in workload.
Prevention of the problem is infinity better than trying to cure it.
I had a question from one of our readers this week that ties in here.
"Where do I invest US$2 000 or US$3 000 today in Zimbabwe?"
Good question and my answer is simple.
A business partner of mine who was a former Wall Street investment banker (I'll keep his name anonymous) answered this way: "You never invest in a business idea. You always invest in a relationship."
Let that sink into your pool of beliefs and give it time to ferment.
I will give some more practical advice in another article.
Here are some buffering questions you can ask yourself when considering: "Is this guy going to be a good partner or person to invest with in the long run".
Question number 1: Is their vision the same as yours?
There must be the same desire to bring about change in your clients' lives as a result of your product.
If their goal is simply to make money, then be prepared for a potentially rough ride.
Do not let the "root of all evil" grow in the backyard of your business. Enriching the lives of others through your product and helping build a better world around you will often bring in the cash flow you desire.
Question number 2: Do they have the same values as you do?
If one member of the team is fine with overcharging while another is not you have a problem.
If your values are not the same it will be hard to have a firm foundation on which to solve problems.
Watch for patterns that repeat themselves, and do not be too quick to say, "let us partner".
Question 3: Is this person always late for meetings?
Is he shifting goalposts? An example: I helped start a business that had brilliant potential.
We got the business to a place where it would be investor worthy and operationally viable.
We had 25 percent of the company on the table for a certain amount of money.
An investor came in with the money, only to later shift his interests and he demanded 51 percent of the business. (There are sharks out there that have great smiles).
My partners and I immediately pulled out of the project because of the violation of integrity.
Legal battles could have been fought but time wasted on spilt milk can cause you to miss new opportunities.
There was no point in trying to build the business with someone who is dishonest.
Question Three: Can you trust this person?
If you cannot trust your partners on a handshake, then it will be hard to hold them to a document.
Once the handshake is trusted, then get roles, responsibilities, timelines and deliverables down in writing.
Let me say that again, all you agreements should be in writing.
Do not get me wrong, problems will arise even if you are doing business with angels and the human memory is too fallible to be relied on in an argument.
Put it on paper, it remembers better.
The truth is you may make or will make a wrong decision on a business partner.
It does not mean that things cannot be solved amicably.
The decision on whether to fight it or walk away remains yours.
Business is people. You need people to help you and to buy from you.
You need people to audit your books and to encourage you when you have hit the bottom of the ocean.
Don't short change yourself by making everything "just a contract". It is more like a marriage.
You would focus more on the legal contracts than on the wedding day.
In fact, you would probably get a lawyer to help write your vows and make sure that there was a pre-nuptial agreement before there was a down payment on the wedding venue.
What kind of a marriage would that be?
Similarly, what kind of a business life would you have if every relationship only focused on the money?
People spend thousands of precious dollars on legal fee's to get a start-up business or partnership protection, just in case something goes wrong.
When or if it does, an additional "fortune" has to be spent on more legal work to get you out of the fix.
Pretty soon you would have wasted all your start-up cash protecting yourself, and in the end you still get burnt.
How much better would it be to build a business relationship (still having the partnership clearly outlined) on trust and transparency instead of legalities and suspicion.
If you don't know what I am talking about then you probably have not started a business yet.
If you catch this principle it will save you a lot of money, emotional heartache and a few intense meetings with lawyers.
(During the first year of operation lawyers often charge you per minute so be careful not to have long chats about your upcoming family vacation with them - nothing against lawyers).
Relationships are key to any business venture. The old adage of its not what you know but it's who you know holds true.
People that you partner with need to be chosen carefully.
Start-ups have potential for high friction levels; cash-flow crises, differences of opinion, fatigue and perceived imbalances in workload.
Prevention of the problem is infinity better than trying to cure it.
I had a question from one of our readers this week that ties in here.
"Where do I invest US$2 000 or US$3 000 today in Zimbabwe?"
Good question and my answer is simple.
A business partner of mine who was a former Wall Street investment banker (I'll keep his name anonymous) answered this way: "You never invest in a business idea. You always invest in a relationship."
Let that sink into your pool of beliefs and give it time to ferment.
I will give some more practical advice in another article.
Here are some buffering questions you can ask yourself when considering: "Is this guy going to be a good partner or person to invest with in the long run".
Question number 1: Is their vision the same as yours?
There must be the same desire to bring about change in your clients' lives as a result of your product.
If their goal is simply to make money, then be prepared for a potentially rough ride.
Do not let the "root of all evil" grow in the backyard of your business. Enriching the lives of others through your product and helping build a better world around you will often bring in the cash flow you desire.
Question number 2: Do they have the same values as you do?
If one member of the team is fine with overcharging while another is not you have a problem.
If your values are not the same it will be hard to have a firm foundation on which to solve problems.
Watch for patterns that repeat themselves, and do not be too quick to say, "let us partner".
Question 3: Is this person always late for meetings?
Is he shifting goalposts? An example: I helped start a business that had brilliant potential.
We got the business to a place where it would be investor worthy and operationally viable.
We had 25 percent of the company on the table for a certain amount of money.
An investor came in with the money, only to later shift his interests and he demanded 51 percent of the business. (There are sharks out there that have great smiles).
My partners and I immediately pulled out of the project because of the violation of integrity.
Legal battles could have been fought but time wasted on spilt milk can cause you to miss new opportunities.
There was no point in trying to build the business with someone who is dishonest.
Question Three: Can you trust this person?
If you cannot trust your partners on a handshake, then it will be hard to hold them to a document.
Once the handshake is trusted, then get roles, responsibilities, timelines and deliverables down in writing.
Let me say that again, all you agreements should be in writing.
Do not get me wrong, problems will arise even if you are doing business with angels and the human memory is too fallible to be relied on in an argument.
Put it on paper, it remembers better.
The truth is you may make or will make a wrong decision on a business partner.
It does not mean that things cannot be solved amicably.
The decision on whether to fight it or walk away remains yours.
Business is people. You need people to help you and to buy from you.
You need people to audit your books and to encourage you when you have hit the bottom of the ocean.
Don't short change yourself by making everything "just a contract". It is more like a marriage.
Thursday, 15 September 2011
System Change
It is 8:05 on a Wednesday morning; you have a midday deadline with a major new client. The phone rings. It is your PA, Audrey, her voice is nasally and before she has got past "Good Morning" you guess correctly that she has flu and will not be coming into work.
Putting down the phone you glance across the open plan, your eyes alight on Bertha.
Bertha is bright and competent and can fill the void left by Audrey for a day.
Informing her of her new role for the day you request that she bring you the "Big Project File", get you the brief Audrey was working on, handle all calls, and while she is at it get you a cup of coffee.
Happy with your decision you retire to your office to focus on your presentation.
Thirty minutes later there is a plaintive knock on the door.
It is a tear-faced Bertha she cannot find the file that you asked for, the document that Audrey was supposed to have typed up does not seem to be in the computer.
She keeps cutting people off when she tries to transfer them to your office from Audrey's fancy phone and she is not sure how you like your tea (or was it coffee).
Two weeks ago I touched on a written systems and checklists manual as a means of managing your business.
These help avoid situations like those above. They can cover everything from filing systems to detailing how the phone works to (for the really pedantic) how many sugars you like in your beverage.
The contents of your operations manual should govern how your business is run and the standard to which it should be done.
In a perfect system, it should not matter if you, Bertha or Audrey answers the phone the results should be the same.
A few years ago I was hired by a company to review their operations. The process was exhaustive, after covering everything from ordering supplies to vehicle maintenance they finally had a comprehensive manual of how the company should operate.
The Chief Operations Officer was excited and approved the work.
The checklists were so defined that even someone who had no education could follow them.
For example: 1. Turn on the light, 2. Pick up the clean rag counter, 3. Wipe the board-room table, 4. Put the used cloth inside the cleaning room on the second shelf, etc.
It may sound way too detailed, but you'll be surprised with how many people love a daily routine that is written down for them.
Six months later nothing had changed. It was not that the new systems were faulty, there was just no buy-in from the staff below the executive. There were a couple of reasons for this.
One was that systems form a great "how to", but need to be related back to the vision of the organisation, the "why to".
This should extend to a degree that you can sell the vision of your company and relate the systems that you are developing to your dream and values and the degree of success you will have.
"Toilets get cleaned hourly because we pride ourselves on excellence. Measurements are accurate to within a tenth of a millimetre because we are creating a reliable product that will last for generations."
With the company that I consulted for there was limited communication of the vision of the company to junior staff because they were building nothing but their own salary at the end of the month.
The other reason for failure is the attempt to change too much at once. This is a common error for a company that is trying to create an operations manual from scratch when they have not had one for years, or for the company that is trying to overhaul operations completely.
I faced this when I took over a long-standing, compact business. They had generally great systems that worked.
The only problem was that they were not written down.
If someone went on leave there was no way to follow up on his or her tasks, and new staff had no idea what to do.
I literally had to sit with each staff member and ask what he or she did, write it down and examine the process for possible improvement.
My advice is start in one area. There is probably no "right" area to begin, but pick one where there is little to change (preferably at little expense) and where the positive results will be quickly noticed.
Name badges for front office staff, watering the small front lawn twice a week, the way the phone is answered for an external call are all simple and relatively cost effective measures.
Document it, checklist it, explain the reason for the change, and follow up on compliance and results.
Then move on to the next area. It may be slower than you want but greater compliance translates into better results.
After all, results are what matter. One last tip, in some cases make sure your procedures are compliant with legal requirements. This is especially true in the process governing disciplinary cases.
Get advice where necessary and have a copy of the relevant laws on hand.
Putting down the phone you glance across the open plan, your eyes alight on Bertha.
Bertha is bright and competent and can fill the void left by Audrey for a day.
Informing her of her new role for the day you request that she bring you the "Big Project File", get you the brief Audrey was working on, handle all calls, and while she is at it get you a cup of coffee.
Happy with your decision you retire to your office to focus on your presentation.
Thirty minutes later there is a plaintive knock on the door.
It is a tear-faced Bertha she cannot find the file that you asked for, the document that Audrey was supposed to have typed up does not seem to be in the computer.
She keeps cutting people off when she tries to transfer them to your office from Audrey's fancy phone and she is not sure how you like your tea (or was it coffee).
Two weeks ago I touched on a written systems and checklists manual as a means of managing your business.
These help avoid situations like those above. They can cover everything from filing systems to detailing how the phone works to (for the really pedantic) how many sugars you like in your beverage.
The contents of your operations manual should govern how your business is run and the standard to which it should be done.
In a perfect system, it should not matter if you, Bertha or Audrey answers the phone the results should be the same.
A few years ago I was hired by a company to review their operations. The process was exhaustive, after covering everything from ordering supplies to vehicle maintenance they finally had a comprehensive manual of how the company should operate.
The Chief Operations Officer was excited and approved the work.
The checklists were so defined that even someone who had no education could follow them.
For example: 1. Turn on the light, 2. Pick up the clean rag counter, 3. Wipe the board-room table, 4. Put the used cloth inside the cleaning room on the second shelf, etc.
It may sound way too detailed, but you'll be surprised with how many people love a daily routine that is written down for them.
Six months later nothing had changed. It was not that the new systems were faulty, there was just no buy-in from the staff below the executive. There were a couple of reasons for this.
One was that systems form a great "how to", but need to be related back to the vision of the organisation, the "why to".
This should extend to a degree that you can sell the vision of your company and relate the systems that you are developing to your dream and values and the degree of success you will have.
"Toilets get cleaned hourly because we pride ourselves on excellence. Measurements are accurate to within a tenth of a millimetre because we are creating a reliable product that will last for generations."
With the company that I consulted for there was limited communication of the vision of the company to junior staff because they were building nothing but their own salary at the end of the month.
The other reason for failure is the attempt to change too much at once. This is a common error for a company that is trying to create an operations manual from scratch when they have not had one for years, or for the company that is trying to overhaul operations completely.
I faced this when I took over a long-standing, compact business. They had generally great systems that worked.
The only problem was that they were not written down.
If someone went on leave there was no way to follow up on his or her tasks, and new staff had no idea what to do.
I literally had to sit with each staff member and ask what he or she did, write it down and examine the process for possible improvement.
My advice is start in one area. There is probably no "right" area to begin, but pick one where there is little to change (preferably at little expense) and where the positive results will be quickly noticed.
Name badges for front office staff, watering the small front lawn twice a week, the way the phone is answered for an external call are all simple and relatively cost effective measures.
Document it, checklist it, explain the reason for the change, and follow up on compliance and results.
Then move on to the next area. It may be slower than you want but greater compliance translates into better results.
After all, results are what matter. One last tip, in some cases make sure your procedures are compliant with legal requirements. This is especially true in the process governing disciplinary cases.
Get advice where necessary and have a copy of the relevant laws on hand.
Wednesday, 7 September 2011
Facebook, Myspace and Business
Post, post and post again - it's a fetish of the first world and it's funneling into Zimbabwe. When a "Nielsen Rating" comes out with a Stat that says "ONE out of every four minutes spent online is spent on a social site or blog" you'd better be aware of what you, your company or your organisation is saying on the networks - if anything at all.
If you're reading this and you don't have a Facebook account - someone you know does.
Social media sites are becoming more powerful than just a place to let your friends (most of them are people whom you've never met) know what you did on a Friday night.
Do you just "Add" people? Or is there a criterion that's based on at least "ONE" in person conversation for you to accept a follower, friend, link or buddy? Social media has become a monster that still has not finished growing yet, and probably won't for a very long time.
It's fact that social media is not only a place for you to spill your mind, read the highs and lows of other people's lives, and laugh at people trying to look their best while taking a photo of themselves, but it's a place where your reputation is on the line.
When you realise that your job, career or business image could be destroyed because of information that gives off the wrong image, then it starts to take on a different spin.
According to Career Enlightenment - a hub that helps companies with social media strategy, 89 percent of companies in the first world will use "social media" for job recruiting.
Most of these recruitments are centred round LinkedIn, Facebook and Twitter.
One out three employers reject people looking for jobs based on their poor social media conduct! So if you've just had a horrendous week, and you have the urge to throw all of your untamed thoughts out to the "SOCIAL MEDIA WORLD" - think again. Who actually see's everything you freely blurt out?
On the upswing - all of this social media stuff may make it easier for you to find that job you've been looking for.
It all depends on how you present yourself wherever you like to be seen online.
Gone are the days where you could only sell yourself or your business with a handshake and a good conversation. Now you've got to try and create the "best you" online.
To make it clear for people who may think that social media is for a young generation that is A.D.D. It is a global shift in the way people are communicating. I want to emphasise the word, "global".
Are you ready and willing to adapt, and keep adapting? Shifting from just friends, to casual networking to landing jobs; online technology is moving at a lightning pace, and because there is a constant stream of new social sites and networking platforms no one is an expert at all of them.
You don't have to be a professional to keep up with the trends, just don't ignore them.
If you freeze up every time you think about trying to begin the long journey of online branding or personal profiling ask someone (probably a younger person) to help set you up.
On the flip side if you're the person that I've mentioned at the start of this article who has no secrets, put the breaks on that keyboard of yours and be more strategic. There is a new Twitter tool called TwitterJobSearch.com, which posts thousands of jobs a day - making it easy to respond to and apply for.
This is almost an instant process.
Twitter Job Search claims to have the only real-time job board.
Business Starter Uppers - try it out and post something. Keep your profile visible and guard your personal reputation.
Your Facebook page is not just a "jawl". It's where investors do their research, it's where clients get nosey, and it's where your competition get's a little insight
If you're reading this and you don't have a Facebook account - someone you know does.
Social media sites are becoming more powerful than just a place to let your friends (most of them are people whom you've never met) know what you did on a Friday night.
Do you just "Add" people? Or is there a criterion that's based on at least "ONE" in person conversation for you to accept a follower, friend, link or buddy? Social media has become a monster that still has not finished growing yet, and probably won't for a very long time.
It's fact that social media is not only a place for you to spill your mind, read the highs and lows of other people's lives, and laugh at people trying to look their best while taking a photo of themselves, but it's a place where your reputation is on the line.
When you realise that your job, career or business image could be destroyed because of information that gives off the wrong image, then it starts to take on a different spin.
According to Career Enlightenment - a hub that helps companies with social media strategy, 89 percent of companies in the first world will use "social media" for job recruiting.
Most of these recruitments are centred round LinkedIn, Facebook and Twitter.
One out three employers reject people looking for jobs based on their poor social media conduct! So if you've just had a horrendous week, and you have the urge to throw all of your untamed thoughts out to the "SOCIAL MEDIA WORLD" - think again. Who actually see's everything you freely blurt out?
On the upswing - all of this social media stuff may make it easier for you to find that job you've been looking for.
It all depends on how you present yourself wherever you like to be seen online.
Gone are the days where you could only sell yourself or your business with a handshake and a good conversation. Now you've got to try and create the "best you" online.
To make it clear for people who may think that social media is for a young generation that is A.D.D. It is a global shift in the way people are communicating. I want to emphasise the word, "global".
Are you ready and willing to adapt, and keep adapting? Shifting from just friends, to casual networking to landing jobs; online technology is moving at a lightning pace, and because there is a constant stream of new social sites and networking platforms no one is an expert at all of them.
You don't have to be a professional to keep up with the trends, just don't ignore them.
If you freeze up every time you think about trying to begin the long journey of online branding or personal profiling ask someone (probably a younger person) to help set you up.
On the flip side if you're the person that I've mentioned at the start of this article who has no secrets, put the breaks on that keyboard of yours and be more strategic. There is a new Twitter tool called TwitterJobSearch.com, which posts thousands of jobs a day - making it easy to respond to and apply for.
This is almost an instant process.
Twitter Job Search claims to have the only real-time job board.
Business Starter Uppers - try it out and post something. Keep your profile visible and guard your personal reputation.
Your Facebook page is not just a "jawl". It's where investors do their research, it's where clients get nosey, and it's where your competition get's a little insight
Thursday, 1 September 2011
System failure
THERE is a great scene in the movie Forest Gump where the main character, Forest, is running on his epic trail when someone points out that he has just stepped on dog poop.
His reply is "It happens!" This response inspired the person to start a logo firm using a modified version of Forests' reply.
As an entrepreneur when you run your business "stuff happens" and you are the one that is responsible for cleaning it up.
If the company does something well or terrible it's always your fault. In a start-up business these occur often.
It may be a botched order, incorrect information given to a supplier or (if you are a large multinational oil company) a major oil spill in the Atlantic Ocean.
No matter how big or small the mistake is, it is in your best interest to address it immediately and a repetition of the same mistake. One way of achieving this is by instituting a systems checklist.
Last week we spoke about taking responsibility for a fault, and cleaning up your reputation in the short term.
But once you are done with the damage control take the "problem" a couple steps further and have a long, hard look at where and why things went wrong in your systems or checklist manual.
I know it is easy to think that we are beyond the need for simple "checklists".
I have seen many entrepreneurs throw a qualified person at a position and expect them to supersede expectations.
Without proper checklists and systems that regulate a job or project, you are bound to repeat mistakes.
If you don't have systems of success it's very hard to adjust an error in your business.
Checklists and systems are what make franchises so successful. It's all in the franchise model as a turnkey solution, which looks at everything from how to turn on the lights, to how to write an email.
It is easy to become very reactive and make snap decisions that, while they solve the problem, either create others or does not have a beneficial effect on your image.
Imagine a single incident where a child trips over a display in a supermarket and gets hurt in the process.
An extreme reaction would be to ban children completely from the premises to avoid all injuries in the future by putting up signs that read "No children at this supermarket".
However, remodelling safer displays or creating a child entertainment area would be much more suitable solutions, especially if you have a large number of mothers coming through your establishment.
Changing the system on what type of products to put on display could also be an option.
While you do not want to avoid blame where blame is due, it is worth looking into factors that precipitate human error.
Could you really affix total responsibility for a bad decision taken at the end of a shift by a doctor who is expected to work for 12 hours without relief?
Factors contributing to human fatigue and errors in judgment must be examined. These are your systems!
On another note there is also the extremely rare possibility that your mistake may produce the next great trend.
Penicillin is widely thought to have been discovered because Alexander Fleming accidentally contaminated one of his samples of bacteria with mould.
In a similar manner, Thomas Sullivan began shipping samples of tea in small silk bags, expecting his clients to open them to take the tea out.
Instead people found it easier to boil the tea inside the bag and the teabag was born.
It is therefore critical to correct disastrous mistakes by adding systems and checklists.
Keep an eye out for a mishap that could actually make your business grow.
His reply is "It happens!" This response inspired the person to start a logo firm using a modified version of Forests' reply.
As an entrepreneur when you run your business "stuff happens" and you are the one that is responsible for cleaning it up.
If the company does something well or terrible it's always your fault. In a start-up business these occur often.
It may be a botched order, incorrect information given to a supplier or (if you are a large multinational oil company) a major oil spill in the Atlantic Ocean.
No matter how big or small the mistake is, it is in your best interest to address it immediately and a repetition of the same mistake. One way of achieving this is by instituting a systems checklist.
Last week we spoke about taking responsibility for a fault, and cleaning up your reputation in the short term.
But once you are done with the damage control take the "problem" a couple steps further and have a long, hard look at where and why things went wrong in your systems or checklist manual.
I know it is easy to think that we are beyond the need for simple "checklists".
I have seen many entrepreneurs throw a qualified person at a position and expect them to supersede expectations.
Without proper checklists and systems that regulate a job or project, you are bound to repeat mistakes.
If you don't have systems of success it's very hard to adjust an error in your business.
Checklists and systems are what make franchises so successful. It's all in the franchise model as a turnkey solution, which looks at everything from how to turn on the lights, to how to write an email.
It is easy to become very reactive and make snap decisions that, while they solve the problem, either create others or does not have a beneficial effect on your image.
Imagine a single incident where a child trips over a display in a supermarket and gets hurt in the process.
An extreme reaction would be to ban children completely from the premises to avoid all injuries in the future by putting up signs that read "No children at this supermarket".
However, remodelling safer displays or creating a child entertainment area would be much more suitable solutions, especially if you have a large number of mothers coming through your establishment.
Changing the system on what type of products to put on display could also be an option.
While you do not want to avoid blame where blame is due, it is worth looking into factors that precipitate human error.
Could you really affix total responsibility for a bad decision taken at the end of a shift by a doctor who is expected to work for 12 hours without relief?
Factors contributing to human fatigue and errors in judgment must be examined. These are your systems!
On another note there is also the extremely rare possibility that your mistake may produce the next great trend.
Penicillin is widely thought to have been discovered because Alexander Fleming accidentally contaminated one of his samples of bacteria with mould.
In a similar manner, Thomas Sullivan began shipping samples of tea in small silk bags, expecting his clients to open them to take the tea out.
Instead people found it easier to boil the tea inside the bag and the teabag was born.
It is therefore critical to correct disastrous mistakes by adding systems and checklists.
Keep an eye out for a mishap that could actually make your business grow.
Responsibility...and such
"I AM NOT THE ONE!" You've heard it or you've said it. The "number one" excuse phrase in the country when something goes wrong.
This week I had a crack in my window filled in by a young and energetic entrepreneur in Kaguvi Street. Kaguvi Street is filled with aspiring micro businesses that can just about do anything.
When you arrive at Kaguvi Street all you have to do is roll down your window, spot "anyone" and ask them "anything" and almost guaranteed, they'll get it done in their own unique way.
So my crack was filled as I watched my "shamwari" fill in the slit in my window. He covered it with tape while smoking a cigarette that was budding to its end.
"Just leave the tape on for a few hours and you'll see the crack in the window will just be a small line that you can barely see."
I negotiated on the price, gave him money for his job, and made sure to get his phone number. He promised me that if it was not up to satisfaction that he would do it again.
I drove a way a satisfied customer, happy to help this young entrepreneur business.
In one second I thought of four different people that I would send his way, who all needed window cracks filled.
A few hours later I pulled the tape off of my front windshield. I wasn't surprised to see absolutely "no change" in the crack.
In fact the crack had actually grown. Rats! The next day I called my window fixing "friend". After I explained the problem to him he made a commitment to come and see me that day.
After he didn't show, I called him again. Whilst chewing something, he told me that he was too busy to tend to my issue.
I insisted over the phone with a smile that he should redo his job, knowing that my good friend here more then likely would not take responsibility to address his slack hand.
Eventually his comment was that the "chemical and filler was the problem." His last word to me was "Sorry." Of course, it was the chemical that was the issue.
I smiled as I hung up, because of course it could not be shoddy workmanship. The idea of checking up on a job that he had done (I had to ask for his number not him take mine) and bothering to remedy
a problem was alien to this young gentleman. It is a real pity because I will not be running down to Kaguvi Street again to get a crack filled any time in the future.
Compare this to my mechanic who will call me within 48 hours of a service to find out if everything is running well, and arrange for the car to be picked up and worked on at no extra charge if there is a problem. What's more, he'll offer me a vehicle to use in the interim if it is taking too long to get the job done.
It has been said that "maturity comes with the acceptance of responsibility". Too often the shouldering of responsibility is abdicated by many who if they just accepted it and moved forward would achieve so much more.
Perhaps I should have been a little more responsible with my vehicle and taken it to a better, more reputable firm.
Or perhaps I can blame the young man's father for not teaching him proper principle; until responsibility is taken it can be sent in a never-ending circle. Look at some of the excuses being proffered by
the rioters in the recent London looting-boredom and joblessness (as though the government should just have given them jobs).
I am not talking about taking the fall for someone else's fault or error, but in situations where we can take action let's do so.
Humans have a weird psychology, make a mistake and fail to take responsibility for it and you are in hot soup. However, fix the problem and it as though the error never existed.
In fact, such service can be such a rarity that they are likely to tell their friends about you in a positive light. Guys starting businesses; Take responsibility - build a loyal customer database that will return to you. Every CEO in the world has experienced failures, shortcomings and aggravated customers.
Keeping a customer is easier if you take responsibility when something is wrong. A few practical ways to handle it; "Sorry about the mishap can I get you a reimbursement", "I'll come to where you are and fix it", "there was an error in our system and we're waiting for it to be fixed".
I'll give you a free "Coupon" if you'll just hang on while we fix it'.
Then solve the problem and move on. It is much better to keep a customer satisfied than to have to go out and get a new one.
Don't blame - just take responsibility. Zimbabwe has way too much potential, but this is a principle that we have to adopt no matter where you are on the food chain of business.
We have not passed that subtle line between childhood and adulthood until . . .
We have stopped saying "It got lost," and say "I lost it." ~Sidney J. Harris
This week I had a crack in my window filled in by a young and energetic entrepreneur in Kaguvi Street. Kaguvi Street is filled with aspiring micro businesses that can just about do anything.
When you arrive at Kaguvi Street all you have to do is roll down your window, spot "anyone" and ask them "anything" and almost guaranteed, they'll get it done in their own unique way.
So my crack was filled as I watched my "shamwari" fill in the slit in my window. He covered it with tape while smoking a cigarette that was budding to its end.
"Just leave the tape on for a few hours and you'll see the crack in the window will just be a small line that you can barely see."
I negotiated on the price, gave him money for his job, and made sure to get his phone number. He promised me that if it was not up to satisfaction that he would do it again.
I drove a way a satisfied customer, happy to help this young entrepreneur business.
In one second I thought of four different people that I would send his way, who all needed window cracks filled.
A few hours later I pulled the tape off of my front windshield. I wasn't surprised to see absolutely "no change" in the crack.
In fact the crack had actually grown. Rats! The next day I called my window fixing "friend". After I explained the problem to him he made a commitment to come and see me that day.
After he didn't show, I called him again. Whilst chewing something, he told me that he was too busy to tend to my issue.
I insisted over the phone with a smile that he should redo his job, knowing that my good friend here more then likely would not take responsibility to address his slack hand.
Eventually his comment was that the "chemical and filler was the problem." His last word to me was "Sorry." Of course, it was the chemical that was the issue.
I smiled as I hung up, because of course it could not be shoddy workmanship. The idea of checking up on a job that he had done (I had to ask for his number not him take mine) and bothering to remedy
a problem was alien to this young gentleman. It is a real pity because I will not be running down to Kaguvi Street again to get a crack filled any time in the future.
Compare this to my mechanic who will call me within 48 hours of a service to find out if everything is running well, and arrange for the car to be picked up and worked on at no extra charge if there is a problem. What's more, he'll offer me a vehicle to use in the interim if it is taking too long to get the job done.
It has been said that "maturity comes with the acceptance of responsibility". Too often the shouldering of responsibility is abdicated by many who if they just accepted it and moved forward would achieve so much more.
Perhaps I should have been a little more responsible with my vehicle and taken it to a better, more reputable firm.
Or perhaps I can blame the young man's father for not teaching him proper principle; until responsibility is taken it can be sent in a never-ending circle. Look at some of the excuses being proffered by
the rioters in the recent London looting-boredom and joblessness (as though the government should just have given them jobs).
I am not talking about taking the fall for someone else's fault or error, but in situations where we can take action let's do so.
Humans have a weird psychology, make a mistake and fail to take responsibility for it and you are in hot soup. However, fix the problem and it as though the error never existed.
In fact, such service can be such a rarity that they are likely to tell their friends about you in a positive light. Guys starting businesses; Take responsibility - build a loyal customer database that will return to you. Every CEO in the world has experienced failures, shortcomings and aggravated customers.
Keeping a customer is easier if you take responsibility when something is wrong. A few practical ways to handle it; "Sorry about the mishap can I get you a reimbursement", "I'll come to where you are and fix it", "there was an error in our system and we're waiting for it to be fixed".
I'll give you a free "Coupon" if you'll just hang on while we fix it'.
Then solve the problem and move on. It is much better to keep a customer satisfied than to have to go out and get a new one.
Don't blame - just take responsibility. Zimbabwe has way too much potential, but this is a principle that we have to adopt no matter where you are on the food chain of business.
We have not passed that subtle line between childhood and adulthood until . . .
We have stopped saying "It got lost," and say "I lost it." ~Sidney J. Harris
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