Used with permission.
Thanks to Skip Carruth, VP, McLane Advanced Technologies - for the email of his notes from a presentation by Geoff Colvin, Editor-at-Large for Fortune Magazine at the Central Texas Economic Conference.
Geoff told this story to highlight what he thinks will be critical for businesses during this recessionary period:
In the 2004 Tour de France, Lance Armstrong was attempting the impossible – a 6th win of this most prestigious event. Through the first 4 stages, the winners of each stage changed hands but for the next 10 stages, Frenchman Thomas Voeckler never lost first place and led the field by 22 seconds. The next 3 stages were the most brutal and demanding of the tour - the Alps stages. Battling through a series of three seeming impossible ascents, Lance sprinted ahead on the first mountain stage and already led the field by 1:25. On the last day of the mountain stage, Lance was caught off guard by the sprint of a German rider, Kloden with only a half mile to go. Lance knew his teammate did not have the stamina to threaten the leader. The German rider led by 110 yards with only 600 yards to go. In what is arguably the most exciting finish of any stage in Tour history, Lance gave it all he had, passing and ultimately beating the German by a few inches. By the last stage of the mountains, Lance had extended his lead to 4:09. Never again was anyone a serious threat to beat Lance who went on to win this Tour as well as a 7th title.
Geoff’s point was this – we are in the mountain stages of our business life. The recession is looming and the battle will be difficult. But those that rise to the challenge and work hard during this most difficult time will be so far ahead that, when we come out, no one will catch up.
With that in mind, Geoff gave us 5 things that leaders do in difficult times:
1. Focus on the most critical things and reset the targets. If there’s a freight train bearing down on you (like the recession), don’t pull out the strategic plan. Put all the stuff aside, roll up your sleeves and tackle the challenges head on.
2. Focus on the core – for example:
a. Dow Chemical during the depression believed that chemical research was its core and it invested in that research. Coming out of that, among other things, were NYLON and NEOPRENE.
b. Coca-Cola knows that its BRAND is its most valuable asset. When economic conditions are difficult, they INCREASE advertising and marketing funds.
3. Protect your most valuable assets – people, relationships and culture. The first 3 budget items cut in a downturn are travel and entertainment, advertising, and training and development. The leaders train, develop their workforce and out-brand their competitors. These times are the best times to evaluate your people – “You don’t know who is swimming naked until the tide goes out.” Get rid of those folks that EVERYONE ELSE knows are deadwood and develop and even hire the underappreciated best from elsewhere. What you do with your people will be remembered for a long, long time.
4. The best leaders communicate like crazy – far more than when things are going well. Your people are nervous and anxious. Be honest, be realistic and be encouraging! Don’t “hunker in the bunker” but get out and share optimism and enthusiasm.
5. The best companies realize that we need to increase the value of what we’re offering. Redefine the value and develop new solutions for the new economy. For example:
Verizon saw a dramatic increase in households that were cancelling their landlines at home. They weren’t going to let go of their cell phones so, drop the home phone. The copper leading to these homes was paid for 50 years ago – that revenue is very profitable. Verizon changed their message and encouraged people to keep their home phones – pay only $5/mo ($5 is greater than $0!!!) but they can only call Verizon (of course) and 911 in an emergency and the home phone will still work when power to the home goes out. They salvaged what would have been a significant loss by changing the value equation.
Geoff’s final message – “Great performance comes from deliberate long-term practice and skills developed over the long-haul.”
Skip Carruth
Vice President – Commercial
McLane Advanced Technologies
Office: 254.791.8300
eMail: skip.carruth@mclaneat.com
Web: http://smb.mclaneat.com/ http://www.mclaneat.com/
Tuesday, April 21, 2009
Saturday, April 18, 2009
LeadingWell Disciplines
A person that intends to lead well recognizes that he/she must be a leader leading leader. LeadingWell is about the desire of developing other leaders.
Author, mentor, and internationaly recognized speaker John Maxwell describes a Leader as "anyone who influences; period-the-end." Dr. Charles Swindoll is reported to have said, "give me one word to describe leadership and I say 'influence,' give me two and I say 'inspiring influence.'"
LeadingWell disciplines recognizes the disciplines of a Leader Leading Leader as one who strives themselves and equips others to be;
1. Purposeful - you approach others to purposefully add value to the relationship;
2. Relational - you are warm and inviting and work at relationships;
3. Objective -you assess strengths and weaknesses objectively;
4. Vulnerable - you model self-disclosure and honesty;
5. Incarnational- you live out what you teach;
6. Dependable; you are consistent and responsible with your actions and promises;
7. Empowering - you give power away and facilitate growth in others;
8. Resourceful - you use every tool you have to grow people and improve processes.
There are many parts to an organization's culture and these P.R.O.V.I.D.E.R. disciplines are something we can daily use to assist us in the fulfillment of our Vision, Mission, and Value Statements.
Author, mentor, and internationaly recognized speaker John Maxwell describes a Leader as "anyone who influences; period-the-end." Dr. Charles Swindoll is reported to have said, "give me one word to describe leadership and I say 'influence,' give me two and I say 'inspiring influence.'"
LeadingWell disciplines recognizes the disciplines of a Leader Leading Leader as one who strives themselves and equips others to be;
1. Purposeful - you approach others to purposefully add value to the relationship;
2. Relational - you are warm and inviting and work at relationships;
3. Objective -you assess strengths and weaknesses objectively;
4. Vulnerable - you model self-disclosure and honesty;
5. Incarnational- you live out what you teach;
6. Dependable; you are consistent and responsible with your actions and promises;
7. Empowering - you give power away and facilitate growth in others;
8. Resourceful - you use every tool you have to grow people and improve processes.
There are many parts to an organization's culture and these P.R.O.V.I.D.E.R. disciplines are something we can daily use to assist us in the fulfillment of our Vision, Mission, and Value Statements.
Thursday, April 16, 2009
Back on my Inside the Box Soapbox
John Miller's idea of thinking inside the box success continues to resonate so much with me. As I've said in other blog posts, the best success is when we work inside the box we have and stop looking for greener grass.
Expand the box? Sure.
Get better in the box? Absolutely.
I look at Alethes today, versus where it was a year ago and there very obvious changes. Yet, there are other changes that are not so obvious. And it is those changes that matter the most. These changes have found the soul of Alethes; the strenghth, the patience, and the resolve.
These changes have brought about some gut wrenching results, yet, we've survived.
Alethes is not a stronger company financially today than it was a year ago. But Alethes is a stronger company spiritually. Alethes' management is wiser and more prepared for continued changes, good or bad, that will come our way.
Alethes' mission is, in part, to glorify God and that is not just in the good times, but during the not so good times also. We intend to get better at our business principles, our investing in our people, and how we impact the communities we serve. We intend to continue to learn how to live out our values of being Trustworthy, Respectful, Uncompromising, Teamworkers, and Healthy.
We intend to make a difference and make a profit and help others do the same.
To that end....
Danny
Expand the box? Sure.
Get better in the box? Absolutely.
I look at Alethes today, versus where it was a year ago and there very obvious changes. Yet, there are other changes that are not so obvious. And it is those changes that matter the most. These changes have found the soul of Alethes; the strenghth, the patience, and the resolve.
These changes have brought about some gut wrenching results, yet, we've survived.
Alethes is not a stronger company financially today than it was a year ago. But Alethes is a stronger company spiritually. Alethes' management is wiser and more prepared for continued changes, good or bad, that will come our way.
Alethes' mission is, in part, to glorify God and that is not just in the good times, but during the not so good times also. We intend to get better at our business principles, our investing in our people, and how we impact the communities we serve. We intend to continue to learn how to live out our values of being Trustworthy, Respectful, Uncompromising, Teamworkers, and Healthy.
We intend to make a difference and make a profit and help others do the same.
To that end....
Danny
Saturday, April 11, 2009
Just Plain Do A Good Job
As I move into a new era of Alethes and think about the past; mistakes, successes, record high months, record low months, people hired, fired, layed-off, run off - it is apparent to me that we did best when we just did what we did well.
And with people that wanted to just plain do a good job. People with agendas that matched the company's mission and values.
Not people who had their own agendas and motives. People you could trust to just plain do a good job.
Not people who come to work everyday because they were going to make a bunch of money, but because they want to do a good job.
I can talk about being good leaders, what our mission statement means, how to live out values, etc, etc, etc, until I'm blue in the face and with worn knees. But if those I'm talking it to just want the money, just want to get in and get out.....waste of time.
And, for the most part, if the people I'm talking to are the right people, I don't have to do much of that other anyway.
To that end....
Danny
And with people that wanted to just plain do a good job. People with agendas that matched the company's mission and values.
Not people who had their own agendas and motives. People you could trust to just plain do a good job.
Not people who come to work everyday because they were going to make a bunch of money, but because they want to do a good job.
I can talk about being good leaders, what our mission statement means, how to live out values, etc, etc, etc, until I'm blue in the face and with worn knees. But if those I'm talking it to just want the money, just want to get in and get out.....waste of time.
And, for the most part, if the people I'm talking to are the right people, I don't have to do much of that other anyway.
To that end....
Danny
Friday, April 10, 2009
Head-Down, Chin-Up
Update, 4/10/2009: This blog is taking on a new format, I'm just not sure exactly what is as yet. Let's say though that it is "maturing." I'm considering a change in the name also; TableTalk, or To That End....
Or, Thinking.....Inside the Box.Things change, though my mission remains the same, my values are unchanged, but my vision is a bit impaired at the moment.
That'll clear up in time. For now, Head Down-Chin Up!
Or, Thinking.....Inside the Box.Things change, though my mission remains the same, my values are unchanged, but my vision is a bit impaired at the moment.
That'll clear up in time. For now, Head Down-Chin Up!
Thursday, April 9, 2009
Inside the Box, Outside the Box? What's up with either?
This has brought up some interesting conversations and some people have been surprised that I think of myself as an inside the box kind of guy! LOL, I've even been accused of trying to create an "out-of-the-box" type culture.
Case-in-point: Alethes and how we pay our loan officers - quick, fast, and everyday. Literally, we do a W-2 payroll daily. That is nothing but "out-of-the-box." Right?
Not true. It is as purely in-the-box. Creative, but IN-THE-BOX. There was a need - loan officers wanted to be paid fast - we could fill it. In the early days, that was easy - loan would fund, we would get a call, Paul would go pick up the check, and cut the LO a check; 1099 type compensation, nothing about bills being paid - real simple.
Today, it is a bit more complicated; W-2 wages, bills paid for proceeds, splits with managers, copy of file, uploaded and QC checks, etc, etc, etc.
But still, it was and is inside-the-box thinking; what's the need, can we fill it? Can we improve on it?
And outside-the-box? What's up with that? I love the idea, but it lives out too much as wishful thinking and leads to volatility. It reminds me of a horse my Dad had named Paco. That horse was never satisfied with anything on his side of fence. He had to have the grass on the other side and constantly got cut-up in the barbed-wire getting to it.
Our culture is about finding needs that we can fill and filling them to the best of our ability. As those abilities improve and/or deteriorate, we evalutate and correct to the best of our abilities.
Dream, but don't live in a wishing world. My Dad use tell me to wish in one hand and fill the other with sand and see which one filled up the quickest. Let's be creatively inside-the-box successful.
Head down, chin up.
Danny
Case-in-point: Alethes and how we pay our loan officers - quick, fast, and everyday. Literally, we do a W-2 payroll daily. That is nothing but "out-of-the-box." Right?
Not true. It is as purely in-the-box. Creative, but IN-THE-BOX. There was a need - loan officers wanted to be paid fast - we could fill it. In the early days, that was easy - loan would fund, we would get a call, Paul would go pick up the check, and cut the LO a check; 1099 type compensation, nothing about bills being paid - real simple.
Today, it is a bit more complicated; W-2 wages, bills paid for proceeds, splits with managers, copy of file, uploaded and QC checks, etc, etc, etc.
But still, it was and is inside-the-box thinking; what's the need, can we fill it? Can we improve on it?
And outside-the-box? What's up with that? I love the idea, but it lives out too much as wishful thinking and leads to volatility. It reminds me of a horse my Dad had named Paco. That horse was never satisfied with anything on his side of fence. He had to have the grass on the other side and constantly got cut-up in the barbed-wire getting to it.
Our culture is about finding needs that we can fill and filling them to the best of our ability. As those abilities improve and/or deteriorate, we evalutate and correct to the best of our abilities.
Dream, but don't live in a wishing world. My Dad use tell me to wish in one hand and fill the other with sand and see which one filled up the quickest. Let's be creatively inside-the-box successful.
Head down, chin up.
Danny
Thursday, April 2, 2009
More thinking....Inside the Box
Most of us have some sort of goals, aspirations, missions, values, etc. Yet, we want things to be just right, if not perfect, before we concentrate on achieving them.
When things get tough, we start wishing they'd be better and that wishing comes across as whining.
In the books QBQ and Flipping the Switch, Miller teaches the reader to learn to ask What and How questions; What can I do to make money with what I have? How can I succeed without spending money marketing myself? What does this company have that can help me succeed? What makes me think the grass is greener elsewhere?
Thinking outside the box has been a big thing over the past few years. It was probably 10 or 11 years ago that a former colleague gave me one of those little contraptions that sets on your desk; it was a stick figure of a guy setting outside a box with the caption - Think Outside the Box.
I realize that he gave that to me because I seemed to be a "think outside the box kind of guy." But, I'm not. I can dream with the best, but I like to work with what I have and improve on it. There's not much I've ever done that wasn't a continuation of something else.
And when I've stumbled? I pick myself up, brush myself off, and get going again. And I pray I learn from that previous stumble.
Learn? That means to change. Learning without changing is some kind of useless head knowledge.
Work well, Pray well, and succeeding where we are - in the box, improving on what we have, but not looking for something greener.
To that end.....
Danny
When things get tough, we start wishing they'd be better and that wishing comes across as whining.
In the books QBQ and Flipping the Switch, Miller teaches the reader to learn to ask What and How questions; What can I do to make money with what I have? How can I succeed without spending money marketing myself? What does this company have that can help me succeed? What makes me think the grass is greener elsewhere?
Thinking outside the box has been a big thing over the past few years. It was probably 10 or 11 years ago that a former colleague gave me one of those little contraptions that sets on your desk; it was a stick figure of a guy setting outside a box with the caption - Think Outside the Box.
I realize that he gave that to me because I seemed to be a "think outside the box kind of guy." But, I'm not. I can dream with the best, but I like to work with what I have and improve on it. There's not much I've ever done that wasn't a continuation of something else.
And when I've stumbled? I pick myself up, brush myself off, and get going again. And I pray I learn from that previous stumble.
Learn? That means to change. Learning without changing is some kind of useless head knowledge.
Work well, Pray well, and succeeding where we are - in the box, improving on what we have, but not looking for something greener.
To that end.....
Danny
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