Tag Archives: Relationships

How Do You Maintain a Healthy Work-Life Balance? Six Solutions

Situation: A CEO says that he typically works long hours and frequently works weekends. This taxes his family life and he is neglecting activities that were previously enjoyed. Are you living for work or working for a living? How do you maintain a healthy work-life balance?

Advice from the CEOs:

  • Life is more than work. Just the fact of you’re asking this question indicates that you already know that too much focus on work is not good for you.
  • Develop and devote time to your hobbies. The CEO and engineers in one company developed a company robotics club, and participate in robotic competitions. This has a number of benefits. It provides fun away from work while keeping their creative engineering skills sharp. As they compete, they meet and form relationships with potential business partners and customers. It builds camaraderie and cohesiveness within the team. They have the opportunity to involve their kids in this activity. In addition, they translate this into a public service by assisting local schools who have their own robotics clubs.
  • Regular exercise, particularly with a group, helps you to be more effective at work. This is supported by substantial objective research.
  • Involve other people – friends and family – in your hobby or exercise activity. It will help to both strengthen relationships and resist distractions.
  • To assure that this becomes part of your life, put it on the calendar and don’t let other priorities displace it.
  • Learn to say “no” to things that would displace this activity.

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How Do You Differentiate Your Offering? Five Critical Steps

Situation:  A company has had success with a few large clients but wants to expand their customer base for long-term growth. The challenge is that their offering competes in what is commonly regarded as a commodity market. How do they avoid being perceived as a commodity? How do you differentiate your offering?

Advice of the CEOs:

  • One company created differentiation by getting to know everyone in the business. They built long-term relationships, based on reputation and trust. They took the time to understand the needs of customers that they wanted to develop. As opportunities arose, they built relationships and asked questions to clearly define and align with client needs. While this takes time and patience, the objective is to be able to say “We know your business” – with credibility. Here are the steps that they took:
  • Study the businesses, sector, and customers that you wish to serve.
  • Leverage your success with large customers. Talk about how you helped subunits within these large customers. This makes a big customer seem more like a collection of small customers similar to your prospects and makes your experience relevant.
  • Let prospective customers know that you are hungry and will go the extra mile for their business.
  • Learn who currently serves your prospective clientele. Study these competitors, their strengths and weaknesses. Talk to their customers – learn what they love about competitors’ service, and what they would like to see changed. Find the holes in what others provide and fill these holes with a better offer.
  • Look for and encourage repeat business and references to new business.

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How Do You Establish Sales Accountability? Three Approaches

Situation: Several CEOs have experienced difficulty establishing accountability within their sales teams. Sone sales reps consistently come up with excuses for not generating new accounts or meeting their sales objectives. The impact of lost sales had significant effects on revenue performance. How do you establish sales accountability?
Advice from the CEOs:
• It is vital to understand who are the best customers and most profitable products and services for those customers. Establish regular sales meetings to discuss customers, products and services, to identify promising sales opportunities and to coordinate sales efforts.
• Work with both sales management and individual team members to determine desired outcomes:
 Set sales targets – work with the team to establish firm expectations on reasonable and achievable sales targets. Agree on a tracking system to measure progress toward those targets. Encourage members of the team to work together to achieve the targets.
 Customer type – who are they, what are their priorities and expectations, and how can the company best address these.
 Product(s) – work with the team to determine which products best fit each customer type and develop creative ways to position those products to increase sales.
• Establish measurable behaviors which if done will result in success. For example:
 Calls per week and results of those calls.
 Relationships with key decision makers and development of additional relationships within existing and potential customers.
 Thorough qualification before quoting, presenting, demo, and so on. The who, what and why that connects with successful sales..

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How Do You Find and Train Staff for Satellite Offices? Five Points

Situation: A company plans to grow from a single site to additional distant sites. The CEO has two concerns: how to bring in the new people, and how to preserve the culture that they have developed as they build new sites. How do you find and train staff for satellite offices?

Advice from the CEOs:

  • First, how does the company currently identify customer targets?
    • Typically the company targets specific personnel within a potential client who will be decision makers or influencers on the company’s projects. Market developers then build relationships with these individuals.
  • Points of focus in selecting employees in other geographic areas.
    • What will be the office configuration? Likely 3-4 individuals, including an engineer, office manager and project manager.
    • Promote the company as the preferred place to work in the new locations. Offer signing bonuses for employees who identify and bring in new people, as well as for the new employees.
  • Does the company anticipate that maintaining company culture will be a challenge as the company expands? Yes.
    • Train new employees in the home office for one month to help them understand the culture. Immerse them in a project so that they experience the work ethic.
    • Have current personnel serve short term stints in the new offices. This will help to build consistency of service and delivery between the offices.
  • What is the best way to recover from a service challenge?
    • Occasionally we all make mistakes. Don’t miss the opportunity that “service recovery” presents to strengthen relationships with clients.
    • A competent and timely response to a problem situation can create an indelible impression on the client.
  • What else can the company do to improve its marketing?
    • Assure that there is an existing cost calculator in each remote site. This speeds response without having to wait for decisions from the main office.
    • Install a traffic plug-in on the webpage for each remote site and feature this on the site webpage. This allows current and potential customers to schedule their visits to their convenience.

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How Do You Shift a Key Employee to Manager? – Pt 1 Four Points

Situation: A CEO wants to promote a key employee from rainmaker to manager. This will not involve a change in expectations or metrics for either the new manager or the employees who will report to her. However, there needs to be more forcefulness and clarity on what needs to be accomplished, both for the new manager and her team. How do you shift a key employee from rainmaker to manager?

Advice from the CEOs:

  • Renegotiate expectations of the two employees who will now report to the new manager. This doesn’t change the team goal, but will give all members of the new team measurable objectives that will enable them to contribute. An example of a measurable and achievable objective may be leads generated for them to close.
  • Don’t just measure activity – measure the outcomes that the team’s activities produce. For the new manager, create a 90-day plan with specific, SMART objectives, as well as a training schedule that will bring her up to speed with the full organization so that she sees how the pieces fit together and has the opportunity to contribute as she sees opportunity.
  • Think about the full process through which the vision will be translated to reality:
    • Vision →
    • Plan →
    • Standards of Performance →
    • Objectives →
    • Evaluate and Monitor
    • With multiple feedback loops between these components
  • The key to business development or sales is relationships. Much of the technical aspect of any sale amount to learning the lingo that is involved with the sale.
    • Look at what members of the team can do to build relationships with potential clients.
    • Support them with technical support and teach them about the technical aspects of the business along the way – for example through lunch seminars.
    • The new manager will act as the closer for relationships that the team nurtures and brings to the firm.

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What are Appropriate Social/Personal Interactions at Work? Three Points

Situation: A new CEO has been promoted from within the ranks of a small-to-medium sized company. He was told by the board that the promotion was based on exemplary performance and the feeling that he was ready for this responsibility. He’s been with the company for many years and has developed close relationships with co-workers. How will the promotion impact those relationships? What are appropriate social and personal interactions at work?

Advice from the CEOs:

  • Consider three cases:
    • Case 1 – Even though two individuals may be friends outside of work, they do not engage as “friends” at work. There is a different role structure at work.
    • Case 2 – Coaching of children as an example: though two individuals have a friendship or close relationship outside of work, for example frequently playing golf or another sport, favoritism should not be shown toward this individual at work. Preserve the veil of trust with the other employees.
    • Case 3 – A CEO often has lunch with employees, but no other social activity outside of work. This individual often expresses a personal interest in others’ families and their families, interests and hobbies. This person takes the time to show that he or she cares about employees.
  • Just as was the case between the new CEO and the prior CEO, there is a natural distance between any employee and those individuals who evaluate or review them. The evaluators or reviewers have a power over the employee that prevents them from approaching each other as true peers.
    • Because of this natural barrier, do not try for force social or personal interactions. The best that one can do is to make sure that the others know that the CEO cares about them, has their interests in mind, and shows an interest in their families, interests and hobbies.
    • It is important to take advantage of opportunities to demonstrate an interest in others.
  • The person who asked the question mentioned the success of the CFO in building relationships with others in the office. If invited, attend these same functions. Observe and learn from the CFO’s interactions with the others. Model the CFO’s interactions but add your own individuality to this modeling. Most of all, listen actively, and patiently allow the interactions to mature. Don’t force things.

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How Do You Position Yourself as the New Leader? Five Points

Situation: A medium-sized company has just been acquired. A long-term employee has been named CEO of the entity. During his tenure with the company, he has established solid relationships within the company and is well-respected. He understands that he is no longer a co-worker but is now CEO. How does he best position himself to both employees and to the acquirer? How do you position yourself as the new leader?

Advice from the CEOs:

  • Proactively engage the team in a dialogue about the direction and potential of the company. Focus comments on the positive and the potential of the firm and the combined entity. The acquirer is bringing a new sense of excitement and energy to the firm. They will be looking for key leaders who share their excitement.
  • Market yourself to the new owners.
    • Develop a list of hopes, desires, and needs.
    • Dialogue with the acquirers and learn their hopes and dreams for the combined entity.
    • Look for synergies between your and their hopes and desires. Create your own marketing campaign around these synergies.
    • Position yourself an essential member of their transition team.
  • Select a mentor from the acquirer. Actively seek out their advice and guidance. Use them as a sounding board as you develop your campaign as new CEO.
    • The new organization is now just a plan and may be very flexible.
    • Ask acquirers about the model that they see. What are their key objectives for the first year? What niche do they wish to fill buy acquiring the company? As the key liaison between the company and acquirer bring value to the transaction.
    • When speaking to them, listen for their questions of how they see you fitting into the organization. This will present an opportunity to define your role by addressing their key needs during and after the transition.
  • The same suggestions apply to an individual receiving a promotion within the same company.

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How Do You Handle a Difficult Employee? Five Observations

Situation: A CEO is pondering how to handle a difficult employee. This individual has brought in good business but is never satisfied with his level of pay – though he is highly paid. While he is good at bringing in new accounts, he doesn’t make the effort to grow them over time. How do you handle a difficult employee?

Advice from the CEOs:

  • It is necessary to establish a mutual understanding with the employee that no matter the level of pay, the employee will think that it is too little. This reframes the discussion because it establishes that there is no win by paying the individual more. The unspoken part is “why bother?”
    • Given this reality, the maximum level of pay for the employee is $X.
    • Note that there is no negotiating power until once this is said it is acceptable to let the employee walk away.
  • The CEO feels indebted to this individual because he has brought the company many new accounts. He is a good hunter. But the task now is not to hunt but to cultivate and grow the opportunities that that the company has in hand.
    • The issue is that this individual doesn’t build relationships that will grow business in his accounts.
    • He has done well for the company. The company has rewarded him handsomely. However, now a different talent is needed.
  • What’s the best alternative for action, and how is this communicated to the staff?
    • Do not lay this individual off – terminate him for cause.
    • This individual has repeatedly been asked to act as a team member, but he has steadfastly refused to do this.
    • His attitude, while good for his own efforts, is bad for the company and is clearly counter to the desired culture.
    • He is better off in a situation that aligns with his talents and style.
  • Terminating this individual for cause sends a critical message to the rest of the company – culture is important. You are determined to establish a healthy culture even it if means eliminating your best performer.
    • To those who ask, answer that this individual was treated fairly. Clear expectations were established, and ample opportunity was given to be a part of the culture that you are establishing.
    • Ultimately, the culture that you seek to establish – one that is good for the whole team, not just for star performers – was not right for this individual.
  • Use this situation to relaunch a campaign to build a company culture of collaboration and best practice development between teams. With the elimination of this individual there may be new enthusiasm around this initiative.

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What is Your 10-Year Growth Plan? Four Points

Situation: A CEO is building a 10-year growth plan for her well-established company. Options include building the company on its current track, growing through purchase of another company, or merging with another company. What are the most important considerations for each option? What is your 10-year growth plan?

Advice from the CEOs:

  • Considerations to start the process:
    • When acquiring another company or merging, the value is the reputation, relationships, and good will of the other firm. This may be more expensive but can provide a head start in the new market.
    • Perform an ROI analysis of build vs. buy. Estimate what it will cost to build. Compare this to what others are asking for their firms. In both cases generate a 5-year cash flow forecast. Discount future cash flows using the company’s desired rate of return – for example the company’s PBDI&T target – as the discount rate.
    • Also compare the relative risk of each option.
  • Build Option:
    • It’s not necessary to recreate the full home office operation.
    • Start small – sales, support, or maybe just an address.
    • Do the actual work at the home office until sufficient business is generated at the new site to support a larger local operation.
  • Buy Option:
    • Look for a company with a good local reputation, who shares the acquiring company’s values, but who wants to sell.
    • This option provides staff, relationships, and a reputation in place. They will already know the local code.
    • Structure a deal for long-term value to the owner. The ideal is to pay as much as possible with future rather than current dollars, with a premium for high retention of personnel and business
  • Spend some time in a new area and get to know it before deciding. If the company already does some business in the new locale, this simplifies the decision.
    • Some locales have been found by others to require a local head of the office who is from the area – who “talks the local talk and walks the local walk.” This will be the case whether the decision is to build or to buy.

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How Do You Maintain the Passion for Your Business? Six Thoughts

Situation: The CEO of a company is finding it increasingly difficult to maintain the passion that she had when the business was young. Day to day work feels like having a monkey on her back with too much time spent on sales and business minutiae. Too little time is spent on strategy and growth. How do you maintain the passion for your business?

Advice from the CEOs:

  • Look at what you like and don’t like – delegate what you don’t like.
    • Delegate activities which are inappropriate for a top executive – like answering the telephone when others are present to do this.
  • Get everybody in the same boat – get them rowing in unison.
    • Delegate more responsibility – with the understanding that others will make mistakes. When they do, they must understand their responsibility for repairing them.
    • Prioritize tasks as they are delegated to reduce conflict or confusion.
  • Strengthen relationships with key suppliers and customers. This is a strategic move to reduce future risk to the company.
  • How did you get the monkey off your back?
    • Ask managers and employees for their input – have them develop solutions. If they push back that they don’t know how or don’t have the resources, let them know that their job is to provide solutions, not just to identify problems.
    • This takes time and patience, but if the CEO is steadfast this can yield results in a surprisingly short period of time.
  • Reduce time spent on sales. Become the closer – the only person who can do that little something to close a sale.
    • Have the others do the heavy lifting our qualifying the customer, developing the solution, crafting the proposal and presenting this to the customer. Limit the CEO’s involvement to reviewing the proposal prior to presentation, and to acting as closer ONLY if sales can’t do the job themselves.
  • Learn to take time off – develop other interests. This is the first step in being able to take longer periods of time off.

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