Tag Archives: First

How Do You Work with Challenging People? Two Cases

Situation: A CEO has two challenging employees. One is talented and learns quickly. However, he is an individual performer who only works well on his own. He feels that he should be paid more than the maximum available at his grade. The second individual will do anything, but generates a lot of overtime. He is  meticulous but has a high rework rate. How do you work with challenging people?

Advice from the CEOs:

  • Offer a trial opportunity to the first individual, as follows.
    • Say a particular job is estimated to require 3 hours of labor. If he can finish it in 2, he will be paid the full 3 hours of labor. However, if rework is required, then the hours for that rework will get dinged against future work that is completed under-time.
    • This provides an opportunity to make more on each job – and the company the ability to bid and complete more jobs – but also means that if sloppy work is used to finish early, he will pay for this later.
    • Because this individual is a quick learner and is diligent, he is a good candidate for this program on a trial period basis. If it works, others may want to try the same deal, potentially cutting overtime and labor cost per job. This may also prompt them to assure that they have everything that they need before they start a job, cutting unproductive time and overtime.
  • The second individual could be a cut-him-loose situation.
    • Take the individual aside and clearly express the expectations. If he indicates that he understands and will complete his work to expectations, tell him that you will work with him.
    • To assure that he clearly understands the instructions and expectations, ask him to repeat these back to you.
    • Emphasize the importance of making sure that he has the materials needed before going to a job, and the job is done correctly the first time.
    • If his response is “No, I can’t do that,” tell him that the company will help him to find another job, within reasonable bounds of time and effort.

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How Do you Position Yourself as the New Leader? Six Points

Situation: A new CEO has just taken over at a well-developed medium-sized company? He will be a first-time CEO. The principal concern is how to introduce himself to the staff and customers. He believes that first impressions are critical and wants to get off on the right foot. How so you position yourself as the new leader?

Advice from the CEOs:

  • Proactively engage both staff and customers in a dialogue about the direction and potential of the company. Focus comments on positive opportunities. Demonstrate a fresh sense of excitement and energy. Both staff and customers will be looking for a leader who shares their excitement. Demonstrate good listening skills.
  • There are a number of good books on leadership. Look for a title and theme that is appealing. An important point is the need to “market” yourself to both staff and customers.
    • Develop a list of hopes, desires and needs for the company. Add to this list based on what is heard from staff and customers.
    • Look for synergies between your and their hopes and desires. Create a “launch campaign” around these synergies.
    • This will position you as both an essential member of their team, and as a leader that others will want to follow.
  • Find a mentor. One who has deep experience with the role of “new Leader”. Seek their advice and counsel. Use them as a sounding board while developing a campaign for “Operation New Leader”.
  • Remember that both the company and the new vision are just plans and may require flexibility.
  • Ask others – particularly mentor and staff:
    • What is the model that they see? What are the key objectives that the company should accomplish during the first year?
    • What niche do they see the company aspiring to fill? From this may come insights into underdeveloped opportunities that the predecessor failed to leverage. Also, an opportunity to gain key allies within the company.
    • Focus discussions on what will bring increased value to the company.
  • While speaking to others, listen for their questions about the role of the Leader. This will present an opportunity to define the Leader role by addressing their needs as you transition into the new position.

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How Do You Best Test a New App Online? Five Perspectives

Situation: A CEO has a new app that her company wants to test online. The principal challenge is avoiding a “catastrophic success” – success that ramps so quickly that the company is unable to deliver the quality or responsiveness expected by users. How do you best test a new app online?

Advice from the CEOs:

  • The challenge is similar to that faced in the massively multiplayer game space.
    • Creators target a small number of known enthusiasts (sneezers) with the message that they are special. The creators ask them to preview a new game and provide feedback that will help the creators produce the best game possible.
    • Never apologize for an Alpha or Beta test. Let enthusiasts know that they are getting the first peek at what will be the greatest thing since sliced bread. Enthusiasts will tolerate Alpha conditions – as long as the company responds quickly to their suggestions for service or performance improvement.
  • For initial live tests hype the coolness and uniqueness of early availability and adoption.
    • Don’t lower expectations – manage them by responding very rapidly and fixing any glitches. This is why Web companies are 24-hour, eat and sleep in the office affairs during launch and for as long post-launch as needed to assure success.
    • Continually hype the coolness of being involved early.
    • Use the current version as the early test. When the company is ready to spread beyond the very first users, reward them for sneezing the app to other users.
      • For example, as a Beta Testers, users get 10 free 1-year plug-ins to give to their friends. For each additional user that they bring on-board, they get an additional 10 free 1-year plug-ins.
      • This technique supports the coolness of having been a Test participant because it makes the participants cooler with their close circle of contacts. The really smart ones will give free plug-ins to other sneezers and influencers. Reward this latter group for bringing on additional users.
  • Using lessons from the gaming market:
    • Shake out all issues pre-Alpha Test.
    • Conduct automated testing of the software via server farms that are set up for this.
    • Be prepared for upgrades – both in the software and in the server farms. Typically upgrades are conducted while the software and systems are live.
    • Create test localities to pre-test any upgrades to assess the impact on performance and service prior to deployment. This minimizes disruption to the broader audience.
    • Recruit, alert, and reward those who assist with these tests.
  • It is possible to conduct an unsophisticated Alpha Test, but this can’t be risked in Beta Tests.
    • Alpha testing is usually conducted as an internal exercise and lasts until all of the bugs have been identified and worked out.
    • The Beta test is then planned, with a known number of sites or users.
  • Concerning IP Protection:
    • Threats will come from two sources:
      • The iTunes types who may perceive the new offering as a threat to their markets – ones with deep pockets to keep the company busy defending its legal position.
      • International teams who rapidly clone any new technology that they find for a variety of motives. These groups tend to work from locales where IP protection is difficult to impossible.
    • IP is not secure until tested in courts. Often this involves the most innocuous aspects of the IP or software offering. In addition, big players may seek injunctions to halt service until courts resolve claimed IP conflicts.

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How Do You Develop a Sales Organization? Four Points

Situation: A small company’s business is increasing and they need to build a sales organization. To date all sales have been conducted by the founder CEO and a single employee salesperson. Should they build inside or outside sales first? Are there trigger points at which one or both should be increased? How do you develop a sales organization?

Advice from the CEOs:

  • Right now you have first mover advantage in your market space. You have a unique offering and no existing competition. The immediate objective is to maximize early market share. Borrow if necessary to ramp sales. There is no trigger point.
  • Hire an outside salesperson now. You want an individual who is knowledgeable about your market and who has a large set of contacts. Make at least 50% of this individual’s compensation variable (commissions) to start and escalate the percentage of variable compensation as sales grow. Hire at current market rates.
  • Supplement your existing marketing with an investment in social media marketing and SEO (search engine optimization). Don’t try to do this yourself on the cheap – hire a pro. Invest in Pay-Per-Click to push your visibility.
  • To sell this plan to your existing salesperson and the rest of the team, it’s time for a Come to Jesus talk.
    • Make a strong business case for your program.
    • The trade-off is either invest now to rapidly build sales or become insignificant.
    • Once you’ve made your pitch and received consent, let the plan work before you ask for more.

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