tag:blogger.com,1999:blog-81385142861466275702024-03-14T00:10:29.996-05:00RECORD BREAKER Business ConsultingBusiness and Management Advice and Thoughts from Chris Helms, MBAChris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.comBlogger62125tag:blogger.com,1999:blog-8138514286146627570.post-21946426677548772262010-08-29T17:44:00.000-05:002010-08-29T17:44:57.058-05:00Making Money From BlogsI've been blogging for a little over a year and one thing I have found to be true is that making money off of blogging is hard work. First of all, you need fresh topics to write about continually. You have to give your readers a good reason to keep coming back. Then, you have to very highly publicize your blogs. I'm getting better at this. Currently, my blogs are promoted the following ways.<br />
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1. Listed on Technorati<br />
2. Listed on Blog Catalogue<br />
3. Listed on Zimbio<br />
4. Listed on Delicious<br />
5. Shared thru Google Buzz<br />
6. Shared thru Google Reader<br />
7. Shared on Facebook<br />
8. Shared on Twitter<br />
9. Links with other bloggers.<br />
10.Emailed to select readers<br />
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Since really getting into the blog promotion phase of this project, my page impressions have increased over 400% monthly. Having a solid readership is of critical importance if you every want to make money from blogs. You also need to invite people to follow your blogs. This can be done through Google Friend Connect, Feed subscriptions, and anything else that is available for readers to click on to follow.<br />
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Some things I didn't think of until a friend of mine suggested it is to link my blogs together. I currently have 4 active blogs. Each of these has links to the other 3 blogs. This makes it easier for readers to find all of my blogs. It also helps your Google search ranking which is very important if you want people to find your work. Other things you can do to increase your page rank are: incorporating search terms in your blog titles and in the body of your posts. I also use a labels gadget to make sure all of my labels (which are nothing more than Google search terms) are repeated several times throughout my blogs.<br />
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Once you have readers, now you have to figure out how to convert readers into dollars. The easiest thing to setup for starters is Google AdSense. These are the ads that you often see at the top and along the sides of pages you read on the internet. When people click those ads, you get paid a small fee for driving traffic to those advertisers. The problem here is that Google doesn't allow you to actually TELL PEOPLE TO CLICK ON THE ADS. So, people just have to figure that out for themselves. You just have to hope that the ads are enticing enough to get people to click. <br />
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Most of the time, when a person doesn't want to click ads, there are really just a few reasons.<br />
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1. Privacy - many people fear that advertisers can track their internet usage. Nobody wants this. Clear out your cookies and temporary internet files and that should take care of most of these worries. Generally speaking, your privacy is safe with Google AdSense.<br />
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2. Safety - it is common to fear viruses and other harmful applications that can hit your computer from clicking on ads. For me personally, I will click on ads from reputable companies because I trust that those ads will be safe. Generally speaking, ads are safe. Just be smart about what you click on.<br />
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3. Value - If ads do not appear to have great value, nobody is going to click them. This is the responsibility of the advertisers. Your job is to simply get eye balls to see the ads (but don't tell people to click them).<br />
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4. Attraction - if the ads aren't visually attractive and stimulating, many people will not think to click them.<br />
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Remember though: you can not tell people to click on your ads. Instead, your viewers have to understand that these ads are how you pay for your time of providing valuable information to them. Your information is free to them. If they see an ad and have interest, then clicking on it can benefit them and compensate you for your good work.<br />
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Other ways that you can make money from your blogs include:<br />
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1. Sell something related - I am going to use my blog to promote my upcoming management book.<br />
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2. Offer advertising space to willing advertisers. You may be able to get paid directly from advertisers. I am going to contact some of these companies for this very reason. Eventually, someone will agree to a deal.<br />
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3. Associate / Affiliate Programs - these are programs where you get commissions for selling products on your blog site. You provide links to products and when people click and purchase, you get paid. Amazon.com is big in this area.<br />
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4. Offer you personal services. You are probably an expert at the topics that you write about. Someone might want more individualized help from you. Offer this as a consulting service and get paid for it.<br />
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These are just a few of the points that will help you make money from your blog site. Surely there are other ways and you should explore your options if you want to make money from blogging. Start with the information here in this article and build from there. If you're like me and you're already writing blogs, you might as well get paid something for it.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-91792117952639176172010-08-23T22:36:00.000-05:002010-08-23T22:36:40.481-05:00Business Management: Don't Be Blinded By SuccessI've learned a very valuable lesson this year following 3 back-to-back-to-back record breaking years (hence the name, Record Breaker). Never be blinded by success. It can be here today and gone tomorrow - especially in the field of medicine where most times, your biggest competitors are the state and big insurance companies. Legislation can eat your lunch if you are uninformed and under-prepared. That's really for another article, at another time. For now, the lesson is to not be blinded by success.<br />
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Success is great. Celebrate it, but do it again. We had such huge success over the last 3 years, that it sort of masked some serious problems that needed our attention. As my office's top manager, this is my responsibility - to not take my eye off the ball. The first 4 months of this year were very bad. We had a lot of catching up to do. Along the way, we realized that we needed some new training and new processes. We found that what got us here wasn't going to get us where we wanted to go. We've had to slightly change the way we operate. We've plugged some of the holes and we're working on plugging the rest.<br />
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Success in business deserves celebration today and then a short memory tomorrow. Always re-assess your current situation and make sure you keep doing what it's going to take to get you where you want to be tomorrow. Smart competitors will adjust to adapt to their failures and to try to beat you. The legal environment may find ways to work against you. Be ready. Be over-prepared. KEEP WINNING. Being a Record Breaker is about on-going success. It's about breaking through barriers. It's about never quitting and it's absolutely about BREAKING RECORDS. So, do what it takes to keep breaking records and DON'T BE BLINDED BY SUCCESS.<br />
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Incidentally, because we took the short-term blinders off, we've gotten back on track because that's what happens when you're on top of things. We are now on pace to have an exceptionally good year and finish strong. Record Breakers find a way to create success.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-5333547322542605952010-08-18T19:18:00.000-05:002010-08-18T19:18:58.177-05:00Negotiation Backfire!A week ago, I wrote about a business negotiation I was doing for some yellow pages advertising space. You can read that at the following link: <a href="http://chelmsmba.blogspot.com/2010/08/negotiating-experience-of-day.html">http://chelmsmba.blogspot.com/2010/08/negotiating-experience-of-day.html</a>. Today, I finalized the deal and wanted to tell you about the outcome. The title of this post is "Negotiation Backfire!", because of the way it ended up for the sales lady.<br />
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After she applied time pressure to me last week, unsuccessfully, she went on vacation and didn't get back to any of my emails until today. When she finally replied to me, she told me that her boss wouldn't accept my offer of $2,500 per month for the back cover of the phone book (basically the best advertising spot on a phone book), and that it was originally going for $4,500 per month. Incidentally, reading back to my previous post, $200 above my offer would have been $2,700 per month and <strong>I would have said yes to the deal.</strong><br />
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Since I last spoke to her, I surveyed lots of my customers to find out that 72% of them use the internet for search instead of the phone book. Seems like a no-brainer to me too, but written statistics can be very powerful, so I put together the data. I presented the data to her and told her that with that information, I no longer cared if I was in the book or not, and that I would just go ahead and continue my previous 1/2 page advertising, <strong>but I would need it for 1/2 the price</strong>. This was not a threat. It was just a matter of fact that I was going to cut my advertising in half with her phone book. That's a great negotiating principle - sometimes, a great impact can come from pulling dollars off the table that were already assumed to be part of an agreement.<br />
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Her response was priceless for me. She sort of did the same thing that I did. She told me that because we took so long to come to an agreement, that the advertising on the inside of the book had already "closed" and that my previous ads were no longer an option for me. The only remaining option was this UNSOLD back cover, so she offered it to me for $2,800 per month. (No kidding, as I write this my I'm smiling with a feeling of excitement.) Anyways, I turned that back around and offered to take 100% of my dollars off the table instead. <br />
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I said that since I couldn't get my prior "ineffective" ad space for half price because she took a vacation in a failed attempt to apply even more time pressure on me and caused me to lose the only thing I had even a little interest left in, that I would pay $1,400 per month for the back cover. If we couldn't do that deal today, I told her I would just take that $1,400 and advertise with her competition (it wouldn't be the first time I had to do that anyways). She faxed over a contract for $1,400 two minutes later.<br />
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So, let me summarize the value that I got from working all of the necessary tactics on this deal.<br />
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Back Cover original price = $4,500 per month ($54,000 per year).<br />
My Final Negotiated price = $1,400 per month ($16,800 per year).<br />
A difference of $37,200 per year in my favor.<br />
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The real killer part of this deal though is not in the money that I saved above, and that's a lot of money for something like this. No, the best part is that for $329 LESS PER MONTH, I have the BEST advertising spot available. Being inside the book is like being burried in and around the competition. Now, for $329 less per month that my previous ineffective 1/2 page ad, I'm able to help my prospective new customers to never have to look inside the book where my competitors are. I essentially get to make my competition invisible.<br />
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OK, so here are some negotiating lessons that you should gain from my this experience.<br />
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1. Never fall to time pressure. Turn it around and use it to your advantage.<br />
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2. Deadlines are very often not real. Push them back as often as you can so that time pressure is on your side.<br />
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3. Take money off the table that was previously assumed to be part of the deal in order to get a better deal.<br />
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4. Paint the portrait of pain. I did this by showing the sales lady how I would take all of my money out of her book and put it in her competitors' books. She would have lost the sale and her competitors would have gotten stronger. I was absolutely going to do this. Be prepared to do what you say you're going to do. If your bluff is called, that can seriously backfire on you.<br />
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5. Use market data to back up your position. The power of the written word, especially in relevant statistics, can be a very powerful tool.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-14315668720473218352010-08-11T14:51:00.004-05:002010-08-11T17:19:11.288-05:00Get Hired In Spite of Your Weaknesses<span style="font-family: Arial, Helvetica, sans-serif;">In a recent blog post, Abdus Salam (<a href="http://better-jobs-advice.blogspot.com/">http://better-jobs-advice.blogspot.com/</a>) points out the importance of being ready for interviewers to ask you about your weaknesses. He says to be straight-forward and honest. While I most certainly agree with his point, my response is below.</span><br />
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<span style="font-family: Arial, Helvetica, sans-serif; font-size: large;">Great advice. I happen to be responsible for hiring new associates and while weaknesses are important to know about, it's more important to understand that we all have them. If I'm asked about my weaknesses, I'll admit that I need a calendar and task list to be organized, otherwise all bets are off, but I'll also say that with those tools and my other strengths, I'm going to break records. Immediately redirecting to strengths and opportunities is a good way to keep interviewers on-point as to why they would be making a huge mistake not to hire you.</span><br />
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<span style="font-family: Arial, Helvetica, sans-serif;">Take a loot at Salam's Better Jobs Advice blog. It's really good and he makes extremely good points. </span><br />
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<span style="font-family: Arial, Helvetica, sans-serif;">When it comes to getting hired, always, always, always be honest when asked about your weaknesses, but do your best to keep the interviewer focused on your strengths and on the opportunities those are likely to bring to the company.</span>Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-41544322643492113952010-08-09T16:27:00.000-05:002010-08-09T16:27:31.886-05:00Negotiating Experience of the DayToday I had a very nice meeting with a new sales rep for a major yellow pages publisher in my area. This was a great opportunity for me to sharpen up on my negotiating skills. So, I made note of all of the tactics she used on me (knowingly or not) and I used my own in response. Here's what happened.<br />
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The tactics she used with me.<br />
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1. <strong>Time Pressure</strong> - The book was closing tomorrow, so that I would have to decide today. I did not decide today, so time pressure didn't work.<br />
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2. <strong>She told me who else wanted the ad space</strong> that I was considering. This happened to be someone that I know and respect. So, instead of it making me feel pressure, it made me reconsider purchasing the ad space at all. Backfire.<br />
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3. <strong>She deferred to her higher authority</strong> to come up with a price. I told her she would have to do better than that and get back with me.<br />
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4. <strong>She tried to get more and more information from me</strong>. I said as little as necessary because that information was a strength for me and could have been turned into a weakness if I shared it.<br />
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5. <strong>She said she could keep the price the same</strong> <strong>instead of raising the rates</strong> in order to convince me to do the deal today. I said that I might just pull out of that book all together.<br />
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6. <strong>She offered to give me free ad space to sweeten the deal</strong> and convince me to say yes. I accepted that with the condition that she would also give me better pricing and then I continued to hold out for a better offer.<br />
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What else did I do?<br />
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1. I was completely disinterested.<br />
2. I was noticeably uncomfortable with the idea of signing another agreement.<br />
3. I was very quiet causing her to give me more information.<br />
4. I mentioned that my plan B was to completely stop advertising in her book.<br />
5. I deferred to my higher authority by saying that my CEO would have to approve anything that I agreed to.<br />
6. I reminded her of the last time that I pulled $35,000 of annual advertising dollars from her company just a few years ago and spent it at the competition.<br />
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My best guess is that first thing tomorrow morning, she will email me and offer all of the ads that I want, including the free ads, and come in at no more than $200 per month more than what I was already paying last year. If that is the case, then I'll accept the deal after she reduces it $100 more per month. We'll see.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-29542274111899483452010-08-06T14:23:00.002-05:002010-08-06T14:24:53.497-05:00In Sales, Tell Customers What you Want Them to DoAn understood "rule" of sales is that if you want the customer to do something, you first need to tell them. For example, if you want customers to call your phone number after seeing it in a yellow pages ad, you should say, "Call Now," next to the phone number. If you want customers to order 3 or more of something, you should tell them that the price is discounted if they buy more than 3 items. It you want customer referrals, you ask for the referral and if you want customers to visit your website, you say something like, "visit us online at www.whatever.com." You should never take it for granted that customers know what they're supposed to do next. Some people will see your ad and automatically connect the dots and call you or visit your website. Those people will get to your website and make a purchase. Others may need a little help connecting the dots with some friendly persuasion. For those people, you say things like, "call now" or "visit us online at. . .". If you want something, ask for it. If you want someone to do something, tell them what you want. This works and for that reason, it is a well understood sales principle.<br />
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HOWEVER, this is not the case with google ads. I learned recently that you CAN NOT tell your prospective customers to "click the ads". You can not say this in anyway whatsoever. Those ads basically have to sell themselves. I received a friendly message from google and the majority of it is below. Take a look.<br />
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<em><strong><span style="color: red;">Publishers are not permitted to encourage users to click on Google ads or bring excessive attention to ad units. For example, your site cannot contain phrases such as "click the ads," "support our sponsors," "visit these recommended links," or other similar language that could refer to the Google ads on your site. Please make any necessary changes to your web pages in the next 72 hours. . . If you choose not to make the changes to your account within the next three days, your account will remain active but you will no longer be able to display ads on the site. Please note, however, that we may disable your account if further violations are found in the future.</span></strong></em><br />
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So basically, advertisers want you to click on the ads. They are willing to pay me when you click on the ads. But, they do not want me to tell you to click on the ads. You just need to figure that out on your own. I understand the rationale for not wanting me to tell you to click on the ads. They want people who are genuinely interested in what is offered in the web sites that you click on. These advertisers have another huge responsibility once you click on the ads however. <span style="color: red;">THEY HAVE TO SELL YOU ON THEIR PRODUCT OR SERVICE. They have to close the deal.</span> My job is to provide a way for you to get to their site and their job is to make a compelling offer to you that you will find hard to refuse. They're already qualifying you as a potential buyer by placing ads on my site that are somewhat relevant to my blog's topics. That's a great idea! Knowing that I have qualified viewers on the blog page where I'm advertising, I would want me to tell you to click on the ads because I would want the opportunity to make you an offer that you can't refuse.<br />
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With all of that said, Google's ad policies are what they are and bloggers like myself must adhere to them. So, in the future, I won't be telling you to click on the ads. Instead, you'll just have to see them and do whatever you feel compelled to do. Regardless, don't forget the very well understood principle in sales: tell customers what you want them to do if you want them to do what you want.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-58631525226263549722010-08-05T17:36:00.001-05:002010-08-06T12:24:10.187-05:00Negotiating TacticsThese are some of my favorite negotiating tactics. Tactics are things that you say and do to help the other side do more of what you want them to do. <br />
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1. Fear of Loss. Show someone how not choosing your product or service will damage their position. For example, if your product has been proven to help businesses make $10,000 more each month, you might say something like, "It's going to cost you $120,000 per year NOT to do this deal."<br />
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2. Time Pressure. I personally hate when people do this to me. Here, you make it clear that the current good deal will go away after a certain date - "This deal's good thru the end of the month." "If we can get this done today, I can knock off an additional 10%." Another way people use time pressure is in renewing contracts. I find that advertising sales people won't contact me to find out if I want to renew my ads until about a week or so before the supposed closing date.<br />
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3. Walk Away Power. This is a good counter-tactic for time pressure. When someone says you only have a week or a day (or whatever) to get this done, I'll often tell them nevermind. Don't succumb to time pressure and other negotiating tactics if you don't have to. Walk away power can be powerful. You can always come back to the negotiating table if and when circumstances change. You're never back into a corner unless you put yourself there.<br />
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4. Show people the net positive value of their good decisions. If something will cost $1,000 up front, but then bring in $5,000 more, then the net positive gain is $4,000. When people see what's in it for them, and financial gain is a huge motivator, they will usually agree to a deal.<br />
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5. Show shock and disbelief. When someone makes an offer to you, no matter how good it seems to you inside, you should show disbelief that they would consider such a bad offer. To really sell it, you need to look noticeably disturbed for a while after the offer. Many times, the opposition will modify their offer out of fear that you might walk away.<br />
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6. Isolate points of agreement. Once both sides agree on what they already agree on, it makes it much easier to break down the remaining points of disagreement. "We already agree on the color, the quantity, and the base price. Now, we just need to work on leasing terms and a fair final payment amount." This prevents the deal from being clouded up unnecessarily and allows you to negotiate the remaining points individually.<br />
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7. Break prices down to their absolute smallest points. For example, if you are trying to get someone to pay you $12,000 per year for your services, tell them that it would only cost $33 per day. Then of course remind them of their potential benefit which could be $48,000 per year or 4 times their investment.<br />
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8. Calling people out on their tactics. This usually will make them feel silly and embarrassed for trying to use negotiating tactics on you. For example (and this happened to me once), if someone tries using the "good cop, bad cop" tactic on you where one of them is on your side and friendly, while the other is more aggressive and abrasive, it's funny to call them out on it. I stopped the conversation and said, "wait a minute - is that good cop, bad cop? I'll do this deal for the amount I originally stated or not at all. What's it going to be?" Winner - me!Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-80092065391098863112010-08-03T17:06:00.000-05:002010-08-03T17:06:05.167-05:00Schizophrenic Economy?Bloomberg Businessweek's August 2nd edition has an article about "The New Abnormal" economic climate. It talks about Americans who are cutting back on some things, but splurging on others. During a time of nearly 10% unemployment and foggy economic uncertainty, many people simply don't know what to do. People worry about losing their jobs and about not being able to pay the electric bill. Others are cutting back for that just-in-case situation, while some are cutting back in areas so that they can continue to spend in other areas. The Dow hits extreme highs and extreme lows. Economists can't seem to agree on the outlook in the short term or the long term. News outlets are so politicized that the average person can't tell the difference between the truth or variations of the truth. Instead, they blindly rely on MSNBC and Fox News to set them straight. Record numbers of people are out of work and the news media focuses more on the 10% unemployed than the 90% still employed. Train wrecks make the news. That's just the way it is. Now, the country is waiting and hoping that things will soon turn around, and they will turn around, but everyone is going to have to adapt and adjust.<br />
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Businesses that have down-sized are not going to just instantly increase staffing numbers because the economy turns around. Instead, they are going to try as much as they can to get more efficient and need less people. They are going to get more efficient in every area possible. At the same time, people will need to adjust and adapt to their situations. When we get a raise or a promotion, we tend to adjust our lifestyles up. Well, this will be necessary too when we need to adjust down due to pay cuts, demotions, lay offs, and terminations. Everyone is going to have to adjust and everything is going to be uncertain for a long time to come. It's not economic schizophrenia. It's just shock and adjustment, but it's going to be OK.<br />
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This is an opportunity to teach young people to be smarter with their money. Teach high school kids financial and entrepreneurial skills. Mandate finance classes for all college students - not just literature, algebra, govenerment, etc. Make extern programs mandatory for all college degrees. This is very successful in the healthcare fields. It's free labor for business and on-the-job training for students. Teach business ethics to young people today to prevent Enron and Worldcom tomorrow. Teach people how to make personal budgets and avoid future credit crunches.<br />
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This is an opportunity. We need to make the best of it.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-12139234921527267242010-08-02T19:32:00.000-05:002010-08-02T19:32:47.074-05:00What's Wrong With Generations X and Y?I just attended a business conference with the most intelligent and highly educated speaker I think I have ever heard. His name was Dr. John Howard, MD, MPH, JD, LLM. I leaned over to my co-worker and told her that he was "the smartest guy in the room" by far. He had some very interesting statistics about the make up of the workforce in this country and about where that make up was expected to go in the near future. The thing that really didn't sit well with me was his facts on the Generation X and Generation Y portion of the workforce.<br />
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From 2000 to 2010 there was a 9% drop in the number of workers ages 35 to 44 (Generation X). This is expected to continue thru the year 2020. During this time, workers in other age categories will increase. What the heck!<br />
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Generation X is made up of people born between 1965 and 1980, followed by Generation Y (born 1980-2000). In the study presented by Dr. Howard, from 1992 to 2002, Generation X'ers desire for jobs with greater responsibility fell from 69% to 54%, while Generation Y's desire dropped to 60%. So in other words, those in Generation Y are demanding higher level jobs at a higher rate than Generation X (although not by much). And, this decline happened during the '90's. What happened in the '90's that caused the younger generations to lose the motivation and drive for jobs with higher responsibilities? And, why is it worse for Gen X than Gen Y? What's wrong with responsibility and with being in charge? These positions set the standard for business. They set the rules of business. They are some of the change agents of the world.<br />
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I'm a little frustrated that the younger generation is more likely to be my boss in the future than I am to be theirs (statistically - I'm definitely not in-line with my generation). Now, look at these next figures.<br />
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According to this study, Generation X values are less aligned with the organization than any other generations (of the 4 generations since 1928). Even Generation Y is more highly aligned with the organization's values than X. Gen X is also near the bottom (very closely followed by Gen Y) when it comes to caring about the fate of the organization. <br />
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What in the world is going on with people born between 1965 and 2000? And, are we passing on this apparent apathy to our kids? With this much apathy, it is my opinion that the "cream will rise to the top". That's why those of you reading this need to be aware and take action. Be more motivated than the average Gen X'er and Gen Y'er. I think there is real opportunity for the 30 and 40-somethings to get into positions of authority and make a difference. Get into the top of the class (so to speak). That doesn't appear to be too hard unfortunately. Take some initiative. Don't be part of the 9% drop in workers from our generation over the next 10 years. And if you can't get aligned with the values of the organization, then by all means, start your own! Do something!<br />
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I hope that reading this makes you feel unsettled just like it does me. My business conference had a lot of other information in it today, but the rest of it was a very distant second compared to Dr. Howard's presentation. <br />
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Let's reverse this trend.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com3tag:blogger.com,1999:blog-8138514286146627570.post-41628290869026532952010-08-01T19:35:00.000-05:002010-08-01T19:35:30.372-05:0010 More Tips for NegotiationsThis is part 2 in my series on negotiations. These 10 tips will be helpful in any deal-making situation.<br />
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1. Always tell the truth. If the other side ever catches you in a lie or finds that some "fact" you used to support your position is not accurate, it will sabotage your position completely. If I find that someone misleads me, lies to me, or uses inaccurate information, I'll be a broken record on that point as often as possible to get a better deal. My feelings will literally be hurt (as far as the other side knows) and I'll use it to my advantage. Always be accurate. Always tell the truth.<br />
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2. Dress like a person who is successful. When you appear successful to your adversary, they will (often unknowingly) give you more respect. Men - wear a dark suit, light colored shirt and a tie with red in it. Women - wear a dark colored suit or dress. Get a haircut. Wear appropriate makeup. Shave. Use nice cuff links. Shine your shoes. Be the best dressed person in every meeting. Dress like the deal is unimportant and be prepared to lose. Dress for success and have success.<br />
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3. Put your information in writing. People generally believe things that are in-writing. Use charts and catchy headlines. If you're product saves businesses thousands of dollars per month, show the other side the average dollars saved monthly. Put it in writing. If your customers are overwhelmingly and enthusiastically satisfied with your services, put their satisfaction scores in writing. This will be far more powerful than just verbally saying so.<br />
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4. Cite your experts. Tell people who else uses your services and who else recommends you. This can be anyone in positions of authority. Mayor, council person, doctor, lawyer, CEO, pastor, etc, etc, etc. Anytime you can cite the strong opinions of a (even perceived) expert, you will be in a position of strength.<br />
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5. Get people to commit to things verbally and publicly. Generally, when a person says something out loud, especially to a group of people or to someone they respect, they will be inclined to back that up with their actions. For example, if you can get a potential client to tell a group something good about your product, he/she will be more likely to back that statement up with a purchase.<br />
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6. Make yourself well liked. Try to use charisma. When people like you, they are far more likely to do what you want and expect. If you want someone to buy from you, you have a lot better chance if they like you than if they don't.<br />
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7. Never get angry. Negative emotions are deal-killers. He who gets angry, loses.<br />
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8. Put your strongest arguments either at the beginning or at the end. These are the most memorable points of any presentation. Putting them at the beginning can set the potential client up for agreeing with everything else you have to say. Putting them at the end leaves the potential client with a strong feeling that will be hard to forget. The very best thing to do is put your strongest point in the beginning and then reiterate it at the end.<br />
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9. The Power of Golf. The reason so many business deals are done on a golf course is because golf can be such a pleasant distraction. When the buyer / client is in a positive frame of mind, a deal will be more likely. It doesn't have to be golf. It DOES have to be whatever the client finds to be a positive experience.<br />
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10. Always tell people what you want or expect. If you want them to buy something, you have to say so. If you want a better price, you have to say so. Tell people what you want. This is the very best way to get it.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-36365716705103155292010-07-30T15:37:00.000-05:002010-07-30T15:37:00.701-05:00High Dollar Negotiating TipsThis will be the first in a series I'm going to be writing about negotiating. Negotiating isn't just important in business. It's also valuable in your personal life. When you are talking to your kids, you're negotiating (even though they may be winning). Dealing with your spouse can be a process of negotiation. When you're purchasing something, it's a negotiation. Business deals are full of negotiations. Buying a house, or a car - serious negotiations. So, this is a topic that really affects everyone, and that's why negotiation is my favorite of all business topics. In this blog, I am going to give some helpful tips in negotiating. Later, I'll talk about some specific negotiating tactics, preparing for a negotiation, closing the deal, and more. So, stay tuned. For now, here are some helpful tips to think about in any negotiating situation.<br />
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1. Be prepared. This means that you should know about the person or business you are going to be negotiating with. What are their "hot buttons"? What do they want? What problems are they experiencing? What problems can you help them solve? What weaknesses do they have? What weaknesses do you have? How do you hide those? How much do you want to pay and how much are you actually willing to pay? How much do you want and need to get paid? You need to spend an adequate amount of time preparing for whatever deal you're working on. This is the first and most important part of any successful negotiation.<br />
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2. If you're planning on making the first or opening offer, it needs to be very high or very low depending on what's best for you. For example, if you're trying to purchase a piece of real estate and you know the market value of the property is $100,000, you might want to initially offer $85,000. It seems like a ridiculous offer considering the market value, but this prevents the seller from coming out of the gate with a ridiculously high offer like $125,000. You're anchoring the sales price at or below the market price and that starts you out in a strong position.<br />
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3. Never fall in love with a deal. You must remain objective and keep your options open, including the option to simply walk away. The purpose of a negotiation is for you to get a good deal. Don't sabotage yourself by losing objectivity.<br />
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4. Always say "no" to the other side's opening offer. They are trying to anchor the deal in their direction anyways, so don't say "yes" yet. Make them work for it. Even if you like the deal, you don't love it and you are going to say "no". This will get you a better deal every time.<br />
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5. When the other side makes the opening offer, be shocked at their offer because you can't believe they would offer such a bad or one-sided deal. Then wait for them to cave in and make a better offer. Always say, "you have to do better than that". Even if you like their opening offer, be shocked and tell them to do better. It will work most of the time.<br />
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6. Only give up something if you get something in return. These are concessions and you can't concede if the other side is unwilling to do the same. Because you did your planning in advance, you already know what things you would be willing to concede and what things you want. If someone says they need you to drop the price by $5,000, (after you look shocked that they would ask such a thing) you tell them (very reluctantly) that "I might be able to do that, but I would need you to pay 40% up front instead of the original 25% that we talked about before". Always get something of value in return for giving up ANYTHING - regardless of that thing's value to you.<br />
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7. Never offer to split the difference. That is your opponent's job, not yours. If the other side wants $100,000 and you want to pay $80,000, don't offer to split. However, if the other side offers to split the difference, then you're in a very good position. That means they would now be willing to accept $90,000 and you're only $10,000 apart instead of $20,000. From this point, you would say, "wow, you'd be willing to take $90,000? That's great because now, we're only $10,000 apart. Surely there's a way we can get this deal done since we're so close on price." If you end up paying $87,000, you're in better shape than if you would've offered to split the difference. Because then you might have ended up at $93,000. You just saved yourself $6,000! Great job!<br />
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So, that's quite a bit of information for you to soak up for now. Try this stuff out. It's amazing how well it works. Practice, practice, practice. Have fun with it. What's the worst thing someone can say to you? "No"? So what.<br />
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Stay tuned for more High Dollar Negotiating Tips.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-56667604499364494922010-07-25T17:23:00.000-05:002010-07-25T17:23:03.748-05:00You're Worth It!Have you ever taken the time to just think about what you put your time into? If so, spend some time comparing it to the things that you want - in life, in work, financially, family, etc, etc, etc. How does the time you spend compare to the things you want? You need to realize something very important: You're going to get exactly what you're willing to put your time into. So, where are you spending your time?<br />
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I want to be (for lack of better words) a famous management guru. I also want to someday win a million dollars in a world class poker tournament. I want my kids to be crazy smart and be more successful that I dream of even myself being. I want my wife to think and say nice things about me when she thinks of me and talks to others (and I want her to mean it). All of that stuff takes work (TIME).<br />
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What do you want? Maybe you want to make more money. Maybe you want to make A LOT more money. Or, maybe you want to be a better cook, or a better student. Maybe you want to be a better hunter, better coach, better mom or better dad. You just might want to be better than the person in the office next to you. OR - Maybe you want to be the best at something. (Yes, I know - I've made my point.)<br />
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Personally, I think you <strong><em>should</em></strong> want to be the best at something. I sure do. I want to be the best at everything that I do. Well then, figure out all the other places you're <strong>wasting</strong> your time and re-allocate that time to the things you want to be best at. Then, work at being the very best in the world. Don't sell yourself short either. Believe me, you can be the best at something.<br />
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I'll get you started. This is so easy - I promise you that you can get this done. <br />
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Step 1: Write Down Exactly and Specifically What You Want to be THE BEST AT.<br />
Step 2: Write down 5 or 10 ways you can make that happen.<br />
Step 3: Never, ever give up until you've accomplished your goals.<br />
Step 4: Give yourself a way of knowing when you've accomplished your goals. <br />
Step 5: Reward yourself for getting it done.<br />
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Also, be reasonable. Look, I want to be President of the United States, but they're not going to let that happen. I also want to be Free Safety for the Dallas Cowboys, but I can't list all the reasons that's not going to happen. However, I do want to make $350,000 per year. I can make that happen, so I'm working the steps. I do want to be on the cover of a business-related magazine. I can make that happen too, so I'm working the steps. I'm just putting the time in that it takes to get this done. It's hard work, but the payoff is going to be huge. And, I think I'm worth it. And, so are you.<br />
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Finally, if you find yourself reading this and telling yourself reasons you can't do what you want, or reasons you can't have success in areas that I think you should, then stop it. Start back over at the top and try again. Don't shut yourself down. There are plenty of people out there who will try to do that. Don't help them. Lots of people are going to tell you that you can't do stuff. That's OK. They're wrong anyways. Don't make it true by buying into it.<br />
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For lots of people, this requires a complete paradigm shift in their lives, but you know what? Make that shift. Don't sell yourself short. You're worth the success that you dream you should have and it's not too late either. Carpe Diem - "Sieze the Day!" Sieze it every day.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-49953866674553009682010-07-24T12:32:00.000-05:002010-07-24T12:32:00.812-05:00Are You Breaking Records or Nearing Disaster in BusinessIf your business was nearing disaster, would you even know before it's too late? How would you be allerted to serious problems? Would you rely on an employee to tell you? Do you think your competitors are such good friends that they will give you a head's up? Or, would you need to sort through piles of reports to find problems? You need a systematic approach for identifying potential problems before they become total nightmares.<br />
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On the flip side of that, you also need a way to measure success and break records. Although it feels good, and it certainly sounds good (at least to you), you can't just go with your gut. Again - reports: who has time and if you make time, will you really know what you're looking for? Will all of the pieces make enough sense that you can do something valuable with it?<br />
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I can come up with hundreds of more questions just like the ones above, but the answer is somewhere else all together. For those of you who were reading my blogs back in 2009, you will remember one called, "Record Breaking Business Tracking Systems". <a href="http://chelmsmba.blogspot.com/2009/02/record-breaking-business-tracking.html"><strong><span style="color: blue;">http://chelmsmba.blogspot.com/2009/02/record-breaking-business-tracking.html</span></strong></a> <strong><span style="color: red; font-size: large;">THIS IS THE ANSWER</span></strong>.<br />
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These are charts of graphs, often referred to as dashboards, that give you up-to-date reporting that will save your butt and make you a business hero. With these dashboards, you will track everything that you would otherwise need a long report to figure out. Someone will report the data and enter it into a simple Excel spreadsheet and the graphing add-in program will create your charts.<br />
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Here's the really important reason to use tracking systems. When you see a drop in production and it lasts 3 weeks, you don't need to wait until 3 months to recognize it and solve the problem. By then, it could be too late. If you track new customers and you see that total new customers drops by 3 per week for the last 3 weeks, you give yourself a chance to turn it around before it gets totally out of control.<br />
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On the other hand, when something is working really well and you see the graph jump to a new high range, you get an opportunity to figure out how it happened and reinforce what works.<br />
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<div style="text-align: center;"><span style="color: red;"><strong>THESE TRACKING SYSTEMS ARE ABSOLUTELY CRITICAL TO BUSINESS SUCCESS!</strong></span></div><br />
You may be saying to yourself, "I get it, but I don't need graphs, besides it's just Excel. Big deal." You better believe it's a big deal. It's the single biggest deal I know of to positively affect business growth. Go back and re-read by previous blog about business tracking systems, then put some serious thought into the following question.<br />
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<div style="text-align: center;"><span style="color: red; font-size: large;"><strong>By how much do I want to beat my competition?</strong></span></div><br />
Promotions happen from growing the business and beating the competition.<br />
Raises come from growing the business and beating the competition.<br />
Recognition for being a great manager comes from growing the business and beating the compeition.<br />
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If you want help setting up your Record Breaking Business Tracking System, then I want to help you. Contact me and we will work something out that makes sense for you. I've written the manual on how to create these systems (literally).Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-20956829584145113102010-07-21T17:29:00.000-05:002010-07-21T17:29:31.995-05:00Don't Lose MoneyIn the early part of 2008, I began reading a book called, "Rule #1" by Phil Town (see below).<br />
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<span>THIS TURNED OUT TO BE A GREAT BOOK! In his book, Town lays out a simple strategy for investing. Well, as I was reading, I decided to create an Excel spreadsheet and try to apply the formulas that he teaches for evaluating, buying, and selling, stocks. This spreadsheet was really just to test out the book - to see if it really worked. Since I wasn't sure yet, I DID NOT INVEST MONEY IN THE STOCKS THAT I EVALUATED USING THESE FORMULAS. Mistake? Read on.</span><br />
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<span>I evaluated several stocks, but eventually narrowed my list down to 10 finalists. They are listed below along with their stock price as of March 13, 2008.</span><br />
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<span>Apple - AAPL $122.25</span><br />
<span>Amazon.com - AMZN $68.32</span><br />
<span>Dell Inc - DELL $19.85</span><br />
<span>Microsoft - MSFT $28.62</span><br />
<span>Wal-Mart - WMT $50.60</span><br />
<span>China Mobile LTD - CHL $70.72</span><br />
<span>Qualcom - QCOM $40.25</span><br />
<span>Best But - BBY $40.61</span><br />
<span>Tradestation Group, Inc - TRAD $10.04</span><br />
<span>Cisco Systems - CSCO $24.95</span><br />
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<span>Since March 2008, I think most people understand that markets around the world went into the tank. With that said, if I had purchased those stocks and then sold them at their high point in the last 52 weeks, 7 out of the 10 stocks above would have made money. Apple and Amazon could have made me rich. The 52-week highs for those stocks were:</span><br />
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<span>Apple - AAPL $279.01</span><br />
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Amazon.com - AMZN $151.09<br />
Dell Inc - DELL $17.52<br />
Microsoft - MSFT $31.58<br />
Wal-Mart - WMT $56.27<br />
China Mobile LTD - CHL $59.22<br />
Qualcom - QCOM $49.80<br />
Best But - BBY $48.83<br />
Tradestation Group, Inc - TRAD $8.89<br />
Cisco Systems - CSCO $27.24<br />
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So, for every dollar I would have invested in these stocks (including the losers), I would have made .51 cents profit. That's a 51% return on investment (ROI) or put another way, a 25.5% ROI annually. Where else can you get that kind of return? Some might argue that the answer to that question is Gold, but that's another story all together.<br />
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This process doesn't happen without some work, but I'm eventually going to take the steps to evaluate more stocks based on today's financial situation. I wouldn't do it without this book though.<br />
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By the way: Rule #1 is "Don't Lose Money".Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-84038256649112876112010-07-19T21:38:00.000-05:002010-07-19T21:38:13.759-05:00Take a ChanceThis is a topic that I have really struggle with - Taking a chance. I've found myself having a fear of failure or a fear that people won't like my stuff. I wrote this book, "Record Breaker" LAST YEAR. I literally finished it 1 year ago, but I delayed doing anything with it. That started weighing on me because I knew I had that unfinished project. Then one day I was talking to a friend who said something that finally helped me get past myself so that I could do something successful. He said:<br />
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<em>How many people do you know? How many people have you ever known? A thousand? More? How many of those people ever wrote a book?</em><br />
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You know what? I only know one other person who ever published a book and he's a PhD. So that energized me. Now, I have a meeting with a printer in 2 days. I can't wait to get this project finished up. Even if I never sale 1 copy (and I plan on selling out), I published a book and that makes me 1 in 1,000.<br />
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I'm taking a chance. I'm getting past myself and my irrational fears and doing something that will be successful. What are you holding yourself back on? What big ideas do you have that you haven't followed thru to completion?<br />
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I think everyone should take their chance. Be 1 in 1,000.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-59220845561215395612010-07-16T17:23:00.000-05:002010-07-16T17:23:39.584-05:0015 Car Buying Tips to Keep you From Getting Hosed1. Shop around to see what other dealers and private sellers are selling cars for. Get a working price range before you talk to any sales people.<br />
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2. Have a list of car choices. Don't put yourself in a buying corner by limiting yourself to a single choice because. . .<br />
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3. Don't fall in love with a car. If you fall in love with a vehicle, you will lose objectivity, and you will get hosed.<br />
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4. When talking to a salesman, be disinterested in even doing the deal at all. In fact, be a little uncomfortable with the whole idea of changing cars because you are. . .<br />
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5. In love with your current car. It's going to be tough to get you to trade up or out of your current car. Let the salesman see that for you, buying a car is not an emergency. You're in no distress. You can take it or leave it and you know what? You just might want to leave it since you love your car so much anyways.<br />
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6. Handle only 1 deal element at a time. Deal elements include: total sales price, financing / interest rate, monthly payments, trade-in value, and the kind of car you <strong><em>might</em></strong> purchase if you do the deal. Start with the total sales price of the vehicle and don't move off of that subject unless or until you are satisfied with the price. No deal is good if it costs too much. So forget monthly payments, interest rates, and trade-ins. There's plenty of time to get to that because. . .<br />
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7. You are willing to close the place down if that's what it takes. What time does the dealership close? 9pm? That's OK. I cleared my schedule so I can take as long as it needs to take. By the way, would you be helping those people over there if we were already finished up here? Make the salesman uncomfortable about losing the commissions from all of the other customers he could be helping if he would just quit giving you the run-around.<br />
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8. Know your credit score and debt to income ratio before going to a dealership. Remember, financing is irrelevant to you until the other deal elements are worked out anyways. When you know how good your credit is, you'll already have a pretty good idea of how good of a financing deal you are going to get.<br />
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9. Make them show you the Black Book. I know this thing exists, but has anyone ever seen it besides the dealers. I had a guy tell me that they don't use Blue Book values. They use the Black Book. So, I said, "fine, bring me that book so I can see it too." For some reason, he agreed to my price instead of showing me the book. I thought that was interesting.<br />
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10. When the salesman starts to make too many trips up into the manager's office, just demand to talk directly to the manager. You don't need a middle-man to get this deal done. That middle-man's not on your side anyways, so try to get rid of him and go straight to the decision maker.<br />
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11. Make a ridiculously low offer to get started. If you know the average sales price of a particular vehicle is $20,000, then offer $15,000. This anchors the negotiated price range lower and certainly closer to the average sales price. Otherwise, the dealer is going to start high and then you'll be forced to work too hard. Make the dealer work instead. And if the dealer makes a ridiculously high offer, let him know that it's ridiculous. Don't be scared to speak your mind. It's your money.<br />
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12. Never offer to split the difference - ever. That's the dealer's job You're not willing to settle for the difference anyways, so don't bother. However, if you want to pay $18,000 and the dealer is stuck on $24,000, but offers to split the difference, then guess what? The dealer's new number is $21,000 (splitting the difference of $6,000 lowered his price to $21K). Now, you're only $3,000 apart and you say, "well, we're only $3,000 apart from what I want to pay and what you're willing to accept. Surely there's some way we can make this deal work." You'll probably end up paying $20,000, but you only had to go up $2,000 and the dealer went down $5,000. That's a success!<br />
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13. Be ready and willing to walk away. You're not in love with a car and certainly not with the deal. So, when you hit an impasse, just walk away. This is very powerful because believe me, they don't want that, especially after you've spent the last 3 hours of his time working a deal only for him to lose it along with all those other customers he couldn't help because he was giving you the run-around.<br />
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14. Be reasonable, but keep it to yourself.<br />
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15. Recognize the right deal when it presents itself and take it. At some point, the dealer has really done all that he can. You need to recognize that and make a decision.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com1tag:blogger.com,1999:blog-8138514286146627570.post-66539180520699298052010-06-30T21:26:00.005-05:002010-06-30T21:52:23.478-05:00Metric Decision MakingOne thing that I've come to understand about management is that it is far too easy to get caught up in emotions and "gut feelings" and when decision making comes from those things, it's very easy to get it wrong. Take firing someone as an example. I'm a top manager and as such, I've had more than my fair share of people who have taken shots at me. I've been insulted and undermined. I've dealt with passive aggressive individuals who were smiling to my face and stabbing me in the back. I've even worked with plenty of people who I just didn't really like very much. I can't just fire everyone that I don't like or who doesn't like me. Sure, if I give a directive to someone who understands and agrees to my face, but sabatoges me or my business when I'm gone, I'm absolutely going to send that guy packing. We need our team members to act like team mates and not like enemies. I think that's pretty well understood.<br /><br />It's the emotional things that I really want to focus on though. If you don't particularly like someone, you might just have to get over it. Number 1: we dont make decisions based on likes and dislikes - period. Number 2: what if you get rid of a top-performer based on something personal and/or petty? What if you don't even realize that person is a top-performer? What if you don't even know what would define a top-performer? That's a serious problem.<br /><br />You need metrics to help guide your decisions. You need to know how your employees perform compared to other employees in your company and to other people in other companies within your industry. This starts by knowing how your company performs compared to other companies. Do you know how much revenue each of your employees should generate in a work day. Do you even know how much they are generating at the present time? If not, that's a problem. You need to figure this out.<br /><br />What about ratios too? Do you know how many people it takes to run your operation? Well, how many customers does each of your employees help per hour? 1? 2? 10? How many dollars does each of your employees generate? How many dollars per hour? Now, what if you don't particularly like someone because your personalities seem to always clash or because that person doesn't seem to want to do things "your way"? What if that person generates $1,000 per hour compared to your average employee who's doing it "your way" and generating $750 per hour? If that's the case, I think it's just about time for you to suck it up buddy.<br /><br />Your not going to make decisions based on emotions and gut feelings when you can do a little work and find out some really solid metrics to help guide you. Without those metrics, you're going to lose someone who outperforms the rest of your team by 25% when you should be looking at the guy who produces $350 per hour instead.<br /><br />This way of thinking will save your butt over and over again. It will help you decide which customers to dedicate most of your time to and which customers to stop spending time with at all. It will show you which products are selling the best, even if you don't particularly like them (which won't matter with metrics). As I've clearly shown you here, it will help you make smart hiring and firing decisions so that you don't lose valuable people and poor-performers. If you use your own numbers and compare them as many ways as you reasonably can, you'll be around a lot longer to keep making those smart decisions.<br /><br />Metric Decision Making > Emotions & Gut Feelings.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-32465399296877557182010-01-27T09:16:00.000-06:002010-01-27T09:50:28.493-06:00Relationship MarketingEveryone has heard the saying, "If it was fun, it wouldn't be called work". Why does that need to be true? The #1 job of a business is to get new customers. That's pretty fun isn't it? It can certainly take hard work too. Relationship marketing guarantees that the job of getting new customers gets to be fun. It's fun because you begin developing a network of marketing friends to work with every day. Who doesn't want to spend every day working with their friends?<br /><br />The other thing about working with your friends is that friends usually want to help each other out. I know if I have an opportunity to help a friend, I'm going to do it every time. In marketing, working with friends can and should mean being able to share business referrals and contact lists among friends. If I know 5 people (friends) that could work well with my other friends, then I'm going to introduce those 5 friends to my other friends, and all of those friends would do the same thing for me. These friends get to know those friends and I get to know the friends of those friends, and then we all figure out how we can help each other because we are all friends now and we all want to help our friends while those friends are all helping us. <br /><br />I know many of you reading this are saying to yourself, "but this is just networking, it's not a new idea." I agree that it's not a new idea, but you would be shocked to find out just how many people aren't thinking about it. I've had an opportunity to present this idea to some of my friends lately and most of them had not thought about it in this way before. I'm offering to do 2 important things for them: 1. I'm offering to do business with them myself. 2. I'm offering to open up my rolodex to them so they can develop business friends with people they never knew before. The key thing here is that they aren't having to do any cold-calling. Instead, they get to pick up the phone and honestly say, "Chris Helms told me I should talk to you." And, because it's a friends of mine, the answer will just about always be YES because friends like to help friends.<br /><br />In exchange, I get access to the rolodexes of all of my friends, then eventually to all of their friends' rolodexes as well. It's so much easier to do business with friends than with complete strangers. So, create friend-business relationships and do business with your friends every single day. The first step is to share this idea with your friends and get them on board. Next, exchange rolodexes and get to work.<br /><br />Who are your current friends that you work with? Which of those friends could help some of your other friends? Start thinking about and referring to your current business contacts as business friends. Then, build that relationship up accordingly. Go out with your friends to do some joint marketing to your list of contacts and theirs. If we all help our friends and all of our friends help us, then we will have an exponentially greater opportunity for success.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-72060321338672799192009-12-30T12:22:00.000-06:002010-01-07T18:37:36.163-06:00You're Better Than That!Most of us do way too much negative self-talk. <em>I'm not good enough. I'm bad at math. I'm a terrible public speaker. I'm not organized. I'm not qualified.</em> And on and on and on. So, there's this quote that basically says, "whether you think you can or you can't - you're right." You'll just continue on being unable to do whatever it is that you've convinced yourself over the years that you can't do.<br /><br />So, why all of this negative self-talk? Isn't it bad enough that others are going to say bad things about you? Even those things don't need to be true. They're only true if you make them true. If not, then it's just silent noise.<br /><br />A consultant once asked me what one of my worst qualities was as a manager. I told him that I had huge stacks of paper in my office that gave me anxiety over worrying that something important wasn't getting done. Now pay attention to what's next because it's so simple and so obvious. He told me to get a piece of paper and write down the exact opposite of my negative self-belief. So, I did.<br /><br /><em>I don't keep huge stacks of paper in my office and I don't have anxiety because I'm doing the important things. </em><br /><em></em><br />Just thinking about that felt so good. What a load off! Next, he told me to write down 10 ways to make that new, positive statement 100% true - and I did.<br /><br />Since then, I don't keep huge stacks of paper in my office anymore. I just work the best ideas from my original 10-point list. The beauty of this very-simple idea is that it works on just about everything. I joke that the only thing I can't make it work on is being taller. That just is what it is. But it does work on most other things.<br /><br />So, every time you find yourself saying something negative about yourself, remember that you're better than that. Write down the opposite and make a 10-point list that will help you make the new truth a permanent reality.<br /><br />You are good enough. You are good at math. You're a great public speaker. You are organized and you are qualified. You do not keep huge stacks of paper on your desk (and neither do I). This paradigm shift will change your life. You will find amazement in all of the things you're good at when you give yourself a chance to be great.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-4186670883089429582009-04-27T22:44:00.001-05:002010-09-17T11:42:05.120-05:00Build Your Marketing MachineA lot of companies don't understand that in order to excel in business, they can't just be the company that they are. They also can't simply be a company that does marketing as a part of business. For a company to excel - NO - for it to dominate in business, it must transform itself into a MARKETING MACHINE. The marketing machine exists to generate an over-abundance of new customers. Everything that it does serves the singular purpose of creating new customers. All of its working parts need new customers in order to continue moving. New customers are the very fuel that powers the machine. The marketing machine doesn't care what industry it is in. It doesn't care what kind of widget it makes or which services it provides. It only cares about doing it in a way that creates new customers and keeps them coming back for more.<br />
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Companies who want to be marketing machines must completely change the way they view themselves and the way that they do business. These companies can no longer see themselves simply as the company that they are. Instead, they must become a marketing machine that does _____________. For example, a medical office can not simply view itself as a doctor's office. Instead, it must become a marketing machine that sales medical services. Hair salons are no longer just hair salons. They must become marketing machines that sale beauty. If you look at the top companies in any industry, you will likely find a tremendous marketing machine. Nike, Adidas, Coca-Cola, Gatorade, McDonalds, NFL, NBA - just to name a few.<br />
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As you read this list of top-tier companies, you're probably thinking, "sure, but these companies spend millions marketing their products. I can't spend that kind of money." Agreed. Maybe you can't spend that kind of money. So, let's make an agreement about spending right here. You decide how much you can afford to spend on marketing your product or service. Then, think about how much you can afford NOT to spend money on marketing. Once you have spent adequate time on the money, get past it. <strong><span style="font-size: 130%;">Marketing is not ONLY about spending money.</span></strong> That's small thinking. <strong><span style="font-size: 180%;">MARKETING IS ABOUT EVERYTHING THAT YOU DO.</span></strong> That's why you're a marketing machine.<br />
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You market your company by the way you treat customers. You do it with the packaging of your product. Your pricing structure is part of your total marketing presentation. The neatness of your uniforms and the cleanliness of your business location markets the company. The way you say things markets your company. Your company name markets your company. Your colors, designs, and logos market your company. The quality of your personnel markets your company. Marketing must be built into everything that you do in your business. In fact a marketing machine never makes a move without considering the impact on the customer, especially how it will effect the inflow of new customers.<br />
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The marketing machine has certain internal rules that it never violates:<br />
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1. Everything it does has a purpose - to create a new customer.<br />
2. Every single piece of written (marketing) material has a killer, customer-focused headline.<br />
3. It always answers the customer's question, "What's In It For Me?" (WIIFM)<br />
4. It never spends money on anything that is not working to generate new customers.<br />
5. When budget cuts must be made, it NEVER cuts the marketing budget.<br />
6. It always knows how customers heard about it and why they chose it over the competition.<br />
7. It always does more of everything that works to generate new customers.<br />
8. All of its working parts (employees) are a vital part of the sales team.<br />
9. It never forgets its historical numbers and its current targets and benchmarks.<br />
10.It unconditionally loves its customers.<br />
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Because it is a machine, the marketing machine makes everything automatic, only auto-drive happens in over-drive. Policies have a built-in customer focus. Procedures are created in a way that saves the customer time and encourages the customer to buy from you more often, and certainly instead of the supposed competition. Training is done fanatically so that customers receive a consistently excellent experience and consistently excellent products. Customer service is more important than dollars and cents. Therefore, employees are taught and encouraged that customer satisfaction is the minimum acceptable outcome - that customer enthusiasm is the pinnacle of the customer service plan. That's right - <strong>the customer service plan</strong> because in the marketing machine, everything is written up and standardized - especially the expected enthusiastic customer experience. When the marketing machine senses or is alerted to a potential dissatisfied customer, it takes immediate action to turn that customer into a source of future fuel that will enthusiastically tell others about their excellent experience.<br />
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Finally, once the marketing machine builds up a full head of steam, it becomes a locomotive that is ready to treat illnesses, give hair cuts, repair broken pipes, replace roofs, personal train clients, make hamburgers, or whatever else it does along with marketing. The marketing machine will dominate its industry because it is first and foremost a marketing machine that exists to do just that.<br />
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Is your company a marketing machine?Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-50539232038273373752009-04-20T18:00:00.000-05:002010-01-07T18:39:54.566-06:00Are you a Time Cyclist?One of the hidden costs of business is the cost of doing something inefficiently. You may have a process that gets the job done, and getting the job done feels good. Most people love to complete tasks, but a successfully completed task is not the ultimate measurement for good work. No, the ultimate measurement of good work is when the task is done right with the least amount of steps, people, and other resources needed to do the job. For the purposes of this article, we will refer to efficiency as just that - using the least amount of steps, people, and other resources necessary to do the job right.<br /><br />So, what is a time cyclist? This is someone who is concerned with doing everything as efficiently as possible. When a task can be done with fewer steps, it just make sense that it will take less time. Just the same, when fewer people need to be involved in any process, the total process time will be reduced because one person is more efficient that two or more. Finally - fewer other resources. These could be office supplies and other materials, software programs, computers, documents, as well as a number of other resources, depending on the particular task. If a new customer can fill out one form to obtain credit instead of two or more, wouldn't it make sense that the total time of filling out a credit application would be reduced? Doesn't it also seem to take less time by using Microsoft Outlook to send email, maintain calendar items, and organize important tasks instead of using your ISP for email, a desk calendar, and a paper to-do list?<br /><br />Minimizing all of these categories of efficiency reduces the total Cycle Time of all of your company's tasks. And, considering the old adage that "time is money," doesn't it make sense that you would want to reduce the time of everything that you and everyone in your company does? Of course it does! If you're able to help more customers in a shorter amount of time, you make more money. If you're able to do more work with less employees, you make more money. If you're able to get more work done with fewer materials, you make more money. That's the idea of being a time cyclist - to make more money for your company by doing things better (more efficiently).<br /><br />You should evaluate all of the processes in your organization or business unit for inefficiencies. Your aim is to reduce the total number of steps needed to do each task as well as the total number of people that need to be involved with each task. Everywhere possible, you need to consolidate tasks, remove wasteful steps, and eliminate unnecessary resources. Look at each step from the customer's perspective. How will those steps effect your customers? When your customers see you getting more efficient, they will be WOW'd because they will appreciate you taking less of their time at the same time that you are earning more of their money.<br /><br />When evaluating processes, write up all of the steps, with great detail, and include the name of the job title who does each step. It's very important that each step goes in order of the person doing the task. In other words, it is very inefficient to go from one person, to another, and then back to the first person, and then to a third person, and then back to the second person, and so on. <strong>The most efficient way to do any job is to not only minimize the number of people involved with the task, but the number of times each person has to handle something as well.</strong> <br /><br />Imagine that you're a customer who is calling your bank to inquire about your current savings account balance (because you haven't figured out yet that you can do this online) and the person who answers the phone transfers you to someone else, and then that person transfers you to their manager who can't access their computer, so the manager transfers you back to the original person who answered the phone because he can view his computer fine. Don't you feel like a frustrated pin ball. Wouldn't it have been so much better if the first person that answered the phone would have just answered your question? Absolutely!<br /><br />And this is the job of the time cyclist - to find inefficient processes and fix them so that customers are happy and the company reduces wasteful costs that lead to greater profits. But, like I said, these are often the hidden costs of business. Don't count on employees to tell you when something can be made easier - especially if that means making their position obsolete. Also, don't expect them to take the time to speak up when something isn't working right, because they are spending too much time working around the problems (insert the "Sharpen the Saw" story here. Google "sharpen the saw" and you can read this story on efficiency.).<br /><br />So, become a great Time Cyclist and you will save your company a tremendous load of money. This could even be the difference between an overall profit or loss to some companies, and it certainly will set you on a path to breaking records.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-75779535491242571282009-04-19T18:21:00.000-05:002010-01-07T18:39:54.567-06:00Get Promoted!If you are the top manager in your organization, then share this information with everyone that works under you. However, if you are someone who strives to move up the organizational chain, then this article is for you. You may not be know this, but your managers want you to know this information (unless they're not doing their job effectively and they are worried about you taking it). Bad managers aside, your manager wants and needs you to work at a higher level - a level that makes their job easier and one that fits well inside of the organization. To get yourself promoted, you have to stand out from the rest of your co-workers and do what most of them will not do. You have to get noticed and make yourself known for being innovative, making good decisions, and for being someone who really cares about the business. You can do this by following these directives.<br /><br /><strong>Set Personal Targets for Yourself</strong><br />Many companies don't set targets for each individual position in the organization. You will though, and it will pay off. Figure out what your average production / performance has been in the past - daily, weekly, and monthly. Then, set yourself a high but attainable target and post that target at your workstation. You already know about business tracking systems, so you need to set one up for yourself. Create a graph of your production and track it weekly and monthly, at least. Your co-workers may be happy to show up to work and collect a pay check, but not you. You're going to set targets, track them, and work like crazy to reach them.<br /><br /><strong>Recommend New or Modified Policies and Procedures</strong><br />Everyone else does their job without really going the extra mile for the company. You will get promoted if you recognize outdated or flawed policies and procedures and you recommend a better way to do them. These kinds of policies and procedures exist in EVERY organization. You just have to keep a close eye out for them and don't hesitate to make suggestions to your manager.<br /><br /><strong>Dress to Impress</strong><br />If your company has a strict dress code, then it's important that you always adhere to that policy. However, if your company allows you to dress in any kind of business attire, then always dress to impress. A good rule-of-thumb is to be the best dressed person you meet each day. You're not dressing to intimidate or because you think there's a fashion show in town. Instead, you dress well enough to show your managers and the company that you care about your job and you respect your managers enough to show it. As part of this, always maintain a very neat and well-groomed appearance. Dressing to impress and being neatly groomed will get you noticed. <br /><br /><strong>Stay Out of the Gossip and Rumor Mill</strong><br />All companies have employees who spend far too much of their time and energy with gossip and rumors. Good managers hate this and you must avoid it. You need to be known as someone who rises above such things. If a co-worker wants to talk to you about rumors or gossip, don't hesitate to tell them that you would rather not get into it. Just stay out of it.<br /><br /><strong>Write up Your Post</strong><br />The best way to move up in the organization is by writing up your current job so that it can easily be given to someone else. With a clearly written job description that includes all of the steps that you take to do all of your daily tasks, you can even train your replacement. This makes your manager's job easier because she won't have to spend time in training. It also shows your managers that you think about the business as a whole and not just about your business unit. They will know that whatever position you hold, it will be a high-performing and efficient position, that will be a success for the organization. Writing up positions is the job of the manager, so show your company that you are willing and able to take on that role.<br /><br /><strong>Always Follow Policy</strong><br />The surest way to not get promoted is to not follow policy. Having to be warned and written up will stick with you. So much of company policy is just common sense. Get to work on time, clock out for lunch breaks, don't falsify time-keeping and other records, etc, etc, etc. Policy exists so that managers can focus on the core functions of the business and not have to waste time baby sitting the staff. As a person who wants a promotion, you won't need baby sitting, but in spite of the common sense nature of policy, others surely will and you will be their boss someday.<br /><br /><strong>Be a Super-Nice Person</strong><br />Speaking of common sense, you need to be aware that people want to be around those who they find to be interesting, fun, and nice. Like it or not, it really does matter if people don't like you. When you're not likable, your probably also not promotable. This is quite simple. Smile a lot. Give professional compliments to others. Shake peoples' hands. Tell people when their doing a good job. Say nice things about your co-workers to their managers and say nice things about your managers to their managers. Being likable is a common sense principle of influence, so use this to your advantage and be a nice person.<br /><br />If you do these things, you deserve a promotion. If you do it and you find that it's not working, it's probably because you forgot one simple thing - be sure your managers know these things about you. Show them your graph. Give them the write-up of your post. Submit a summary of policy you recommended at your next performance review. If you've done these things, you're dressing to impress, you're a super-nice person, and you clearly follow all company policies, then all that's left is to ASK. Remember: you have to ask for the things that you want, so ask for the promotion. If you don't get it right then, you will surely plant the seed in the minds of your managers and that seed will grow until you do get promoted.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-72930030789118909922009-04-14T21:49:00.000-05:002010-01-07T18:39:54.568-06:00Qualities of Great LeadersGreat leaders have many qualities - so many that I can't possibly list them all here. You will likely think of others. Regardless, I want you to read this list and evaluate yourself on each one. Be brutally honest with yourself and work on the areas where you are not as strong. Most importantly, build on your current strengths. These are the things that probably come naturally to you. Finally, if you find that you are the exact opposite of any of these, consider how being so detracts from your overall leadership ability.<br /><br />Leaders are skillful and persuasive speakers.<br />Leaders have a positive attitude that is contagious.<br />Leaders motivate others.<br />Leaders have a vision of greatness.<br />Leaders are compassionate.<br />Leaders are trustworthy.<br />Leaders persuade rather than coerce.<br />Leaders empower others to make good and innovative decisions.<br />Leaders are ethical.<br />Leaders are honest.<br />Leaders have unyielding drive.<br />Leaders never show pettiness, spite or vengeance.<br />Leaders encourage innovative thinking.<br />Leaders control their temper.<br />Leaders are consistent.<br />Leaders make tough decisions.<br />Leaders set and reach goals.<br />Leaders are self-confident.<br />Leaders are dynamic and energetic.<br />Leaders frequently praise others.<br />Leaders plan ahead.<br />Leaders treat others as equals.<br />Leaders show respect.<br />Leaders never gossip.<br />Leaders never speak badly of others.<br />Leaders delegate to accomplish more.<br />Leaders know that good people are the key to success.<br />Leaders care about their staff.<br />Leaders identify and build on each person’s unique talents.<br />Leaders place strengths ahead of weaknesses.<br />Leaders instill confidence in others.<br />Leaders want to inspire others.<br />Leaders reject average.<br />Leaders listen at least as much as they talk.<br />Leaders give credit to others, even when it sometimes belongs to themselves.<br />Leaders take responsibility for problems.<br />Leaders focus on solutions more than problems.<br />Leaders solve problems before they get out-of-hand.<br />Leaders set consistent expectations for everyone.<br />Leaders use resources efficiently.<br />Leaders take and learn from constructive criticism.<br />Leaders criticize without insults or degradation.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-54309609883035008812009-04-12T08:51:00.000-05:002010-01-07T18:39:54.569-06:00Decision Making is Not a Popularity Contest"When I've heard all I need to make a decision, I don't take a vote. I make a decision."<br /> - Ronald Reagan<br /><br />As a manager, when a decision you make doesn't work out quite the way you planned, who's going to be held responsible for it? You are. If you only make decisions based on others' approval, do you think those other people are going to be around if the decision turns out badly? Of course not. So, why should your decisions be a popularity contest? So often, I've seen managers who don't want to make decisions without the approval of others around them. This is because they aren't confident in their decision-making ability, they fall to the pressure of other strong-minded individuals, and/or they just don't want to take risks that are part of big decisions. Management exists because someone has to take the lead in business. So lead. Don't let your decision making be part of a popularity contest. Here's how it's done.<br /><br />1. Identify the problem or the area of opportunity that a decision must be made on.<br /><br />2. Talk to those who are involved in this specific area. The purpose of these discussions are to gather all of the available information from the perspective of staff - not to gain approval.<br /><br />3. Review any other available data that could be helpful in making your decision.<br /><br />4. Measure the potential financial impact of the decision - positive or negative.<br /><br />5. Decide and put the plan into action.<br /><br />The point is simple: all you need to make your decisions is relevant information. Once you have all of the available relevant information, you then must decide, act, and don't look back. All of your decisions will not be popular with everyone that you work with and they don't need to be. They just need to be good decisions based on relevant data. Don't get lost in popularity contests and don't get bogged down in the fear of big decisions. To be certain, important decisions bring with them various levels of risk. That's part of the deal, but you are in a position to lead by making these decisions. So, don't leave them up to the consensus of others who won't be around if the deal goes bad.<br /><br />I want to note that I'm not suggesting that managers should ignore the good advice of others around them. Good advice is part of the information-gathering process. I'm just saying that it's up to you how you use it. Never ignore good information.<br /><br />Finally - when you make smart decisions based on relevant data and the deal goes as planned, who do you think should get credit? This is a 2-way street. A leader who is able to make tough decisions, based on all of the available, relevant data, deserves all the credit - especially considering that you'll take all the blame if it goes bad. And, if you allow your decisions to be part of some group consensus, expect to be lonely when the group was wrong. Be strong and lead with good decisions.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0tag:blogger.com,1999:blog-8138514286146627570.post-43068487862149530882009-04-07T21:09:00.000-05:002010-01-07T18:39:54.570-06:00Paint the Portrait of PainIt is well studied that most people will go to great lengths to avoid pain. In this case, I don't necessarily mean "pain" literally. Pain could be a problem that people would want to avoid. It could be a significant loss that would result from a specific action or inaction. It could be financial and it could be social. For now, we'll use "pain" to mean anything that a person would like to avoid in order to avoid a negative consequence.<br /><br />In sales, the idea of pain avoidance is a powerful tool. Currently, gold dealers are promoting the pain of a falling dollar because gold will not likely ever lose its value. Put your money in gold, they say, and not only will you get a great return, but your money will not be worthless when things get worse. Who wants their money to be worthless? Nobody. And these companies tell you to buy gold in order to avoid the pain of a worthless dollar (they may be right by the way).<br /><br />Doctors know all about this principle too. When you're seeing the doctor and all you have to pay is your copay, what do you think you would say if the doctor asked you, "would you like to get blood work to rule out a life-threatening illness?" Hmm. . . let me think about it. OK - go ahead since it could save my life.<br /><br />What pain do your customers suffer when they don't buy from you? What pain do they suffer when they go to your competition. In my medical office, when an injured worker goes to the competition, he finds himself back at work with an injured back. That's literal pain. Some of them go to doctors who don't understand workers comp rules, so they don't get their forms filled out correctly and they get fired from their jobs. When I tell them how we solve these problems, they wouldn't consider going to the competition and I don't blame them.<br /><br />Personal trainers have a captive audience of gym members who experience various levels of pain - from being overweight and unhealthy to being <em>almost</em> as strong as the next guy. When they paint the picture of an ineffective workout being performed in a gym that they are paying a monthly fee to belong to, and show prospects the success of their past clients, they not only paint the portrait of pain, but they paint the portrait of solution at the same time. Powerful.<br /><br />You have to figure out how your customers experience pain if you want to be able to solve their problems and promote those solutions to future prospects. Customers who want economic cars likely have the pain of a long, expensive drive to work. So, hybrid dealers sell them an inexpensive car that gets 40 or more miles to the gallon. Problem solved. Lawn care guys go door-to-door leaving business cards at the houses with the worst yards. They assume that the home-owner doesn't enjoy doing his own yard or it would look nice like the neighbors. They fix the pain by offering a service that other people want to avoid. During "tax season," firms promote the avoidance of scary IRS audits. Who wants that kind of pain? Nobody, so these companies make a ton of money by using (at least partially) fear avoidance.<br /><br />To attract more customers and prevent your existing customers from going to the competition, you must identify their areas of pain, solve their problems, and promote the ways in which you solve their problems. Paint the portrait of pain and then paint the solution through advertising and promotions.Chris Helms, MBAhttp://www.blogger.com/profile/04232869897294429354noreply@blogger.com0