The average consumer is confronted with over 36,000 commercial messages per day. Decision makers face even more options. All available space is being bought up and sold as advertising space. Advertising exposure is increasing exponentially, and this naturally affects your cost of sales and therefore your margins. It now costs three times more to get just half the results you used to get. What to do?

You have two choices.

• You can work harder, which is tactical, short-term and comprised of reactive, daily activities.
• Or you can work smarter, which is strategic, based on a long-range plan and objective.

Your strategy should drive your tactics, not vice-versa. Strategists understand the big picture they’re creating. They agree with Michael Gerber, who said, “If you’re not working ON your business, you’ll soon be OUT of business.” So they create strategies that minimize cost and risk and maximize efficiency.

Why a Good Strategy is Essential

Statistically, motorists slow down when they see a police car to avoid a speeding ticket. Did you know they speed up again within only half a mile? That’s how quickly you’re forgotten by your clients and prospects if you don’t have a strategy that will create ongoing, unique, varied exposure and value. Strategists set goals and consistently work towards them, which leverages the Reticular Activating Systems of all those involved in the process. Involving others in your planning and creating joint ventures and win/win partnerships is essential.

Large companies know this.

90% of corporate executives surveyed felt a Joint Venture with another company was “absolutely essential” to maintain their competitive edge. At least 20% of the revenues in the Fortune 500 and International 2,000 are now coming from Joint Ventures. This strategic approach works in any size business and cuts the clutter to shreds, resulting in increased margins and staff retention, reduced customer attrition, radically decreased cost of sales and risk and exponential growth.

Sales Tip

By creating and setting your Buying Criteria, then educating your customers, you become the natural, logical choice. That overcomes clutter. And remember, it’s far better to spend $100 on each of ten good prospects than to haphazardly spend $1 on each of 100 suspects.

Management Tip

The second biggest problem in sales is that salespeople don’t close. But the biggest problem is hiring the wrong people. There is a proven system for hiring sales superstars and when you get the right salespeople, closing is no longer an issue. Once you have superstars, train them consistently and the sky’s the limit.

Let me ask you this: What do you really, really, really want?

• If you say, “Money”, what does that translate into for you?  Control?  Power?  Security?  Dignity?  Freedom?  How much money?
• If you say,  “Health”, what does that exactly mean to you?  How will you know when you’re healthy?  What has to happen in order for you to declare, “Now, I’m healthy!”
• If you say,  “Success”, what is “Success” to you?  How would you measure it?

I once consulted with a client who wanted to start a trans-Africa transport airline service.  When I dug deep down, what he REALLY wanted was to fly an airplane!  Much cheaper, methinks, than starting an airline, wouldn’t you agree?

Assessing Hot Buttons: “What is your NUMBER?”

I like this question: “What is your NUMBER?”  The “number” is the amount of money it will take you to do something. “Everyone has his price”, they say.  And they’re right.  What will it take?  And sometimes it will take a lot less than we might think.  When you know someone’s real Hot Button, you gain control beyond your wildest dreams.

Assessing Hot Buttons:  Pinpoint the Pain

Instead of mouthing off about yourself, your product or service, ask intelligent questions.    Find out what pain the other person is currently enduring.  Find out what keeps him or her awake at night, worrying – their greatest fears.

What Doesn’t Work

I know a fellow who continually tries to recruit me into his business.  But he’s so arrogant and egotistical that he never takes the time to find out who I am or what I want.  The more he runs off at the mouth the more I lose interest.  Instead of enticing me, he bores me.

What Does

I want to know everything about the people I choose to do business with because knowledge that can be applied is power.  It sometimes takes a long time to discover the Hot Button, but when you do, it’s worth the effort.  When you think you’ve found the Hot Button, test it. Don’t “jump to the confusion” that you’re right.

When you find the pain, turn the knife in the wound and then offer the solution, remedy and escape, in the form of a Joint Venture.

Understand your potential Joint Venture partner and get to know what their How Buttons are, and you will create a great Joint Venture.  Watch them:

• What do they look at?
• What do they read?
• Where do they go?
• What do they talk about the most?
• What do they spend time and money on?
• Whom do they spend time with?

Do personality assessments.  If you know I’m a High D, INTJ, you know more about me than most.  Take the time and spend the money, do your homework.  It will pay off in spades.

I talked recently with a fellow who has a staff of eighty-five people that are not his sales team. He wants to increase his sales, so I suggested he consider turning these employees into salespeople. “But that’s not their job!” he protested.

Exactly. And that’s why most business owners overlook their greatest underutilized asset – their non sales employees. I got very excited when I realized that there were 85 people who could help increase his sales with no cost or risk!

The Unrealized Value of Your Employees

Every person on earth wants to feel important, recognized and appreciated. We want to feel that our contribution is important and that our ideas and suggestions are valued. Plus, we want to feel that we get rewarded for any value that we create. I have found that our employees at the coalface often know more about our businesses than we do. Their suggestions are based on real life, real experience and real opinions. They have insights and recommendations which could radically improve our bottom line profits, if we only gave them a reason to share those ideas, listened, and rewarded them accordingly.

Unleash Massive Sales!

Your employees want to feel a part of the business. They want to feel that they have secure jobs and that they can increase their income without moonlighting and arriving at your business half asleep. By listening to their ideas and providing them non-threatening and easy to use, understandable sales tools with a system to measure and reward results, you can unleash massive sales! When we understand that our businesses provide products and services that relieve pain and create value, we can train our employees to perceive “sales” differently. Use this massive, neglected resource – the cost is miniscule and the results are extraordinary – improved productivity and loyalty, decreased employee and customer attrition and increased sales and profits, innovation and motivation.

Give your employees what they want and the sky’s the limit

Zig Ziglar said, “You can get anything out of life, if you’re prepared to give enough other people what they want.” Most employees dread going to work and we can change that. Give your employees what they want: a voice, an ear, an opportunity, security, self esteem, reward, motivation, purpose and recognition, get your ego out of the way, and the sky’s the limit.

How workers ranked what they considered important, starting with the most important:

1. Appreciation for good work,
2. Feeling “in” on things,
3. Help with personal problems,
4. Job security,
5. Good wages,
6. Interesting work,
7. Possibility for promotion,
8. Loyalty of Management to workers,
9. Good working conditions,
10. Tactful discipline.

Apply this knowledge to your management systems and win!

Yesterday, I received this encouraging note from a friend of mine who is a very successful entrepreneur:

“Hi Robin,

I just read your Eagle Attitude article and you are right on. I always make asset vs. liability calls.

Recently one of my staff did considerable damage to our main computer and database by going to inappropriate places on the internet. Certainly grounds for firing, not too mention suing for damages. Instead we are reworking his job description to take advantage of some obvious talents. There are some penalties he is working through, but there should be some substantial benefit to the company long term.

It’s nice to read that a risky decision is sometimes the best decision.”

How I Joint Ventured Instead of Firing my Employee

That reminds me of the time I was a manager in a large, resort hotel and we learned that one of the staff members was secretly running his own little room service business inside the hotel. He diverted all the orders to his cousin’s café on the corner. The thing was that he gave excellent service and guests were delighted with the quality (that’s how we caught him – compliments from guests about dishes that weren’t on the room service menu!) So instead of firing him, we created a joint venture: we saved his salary, cut overhead substantially and continued to provide the service to our guest, while his own business flourished. Win/Win!

Savvy entrepreneurs always…

• Savvy entrepreneurs look for ways to capitalize on the strengths and resources of their partners, associates, employees and vendors.
• They focus on what does work instead of what doesn’t work and, most importantly, keep their egos in check.
• Take the time to listen carefully and discover hidden assets like skills, connections, resources and information.
• Know that sometimes, opportunities take a little while to appear and options take time to become apparent.
• Know that patience and good communication skills, as well as being prepared to generously share the profits, are essential.
• Think outside the box and keep your eyes on your common goals.
• Be flexible and open to new ideas.
• Know that good people are hard to find.

Sales Tip

The better you know your salespeople, the better you can channel their energy, interests, skills and time. Don’t make the salesperson fit the job; rather, make the job fit the salesperson. Take time to listen to their opinions and suggestions, encourage sharing and reward innovation and risk.

Management Tip

By clearly defining the parameters of your employees’ jobs, you remove fear. Show them what they have to do to get fired, and you reduce any reticence to innovation. Fear stunts creativity and openness. People who feel secure will be more productive and honest with you. Spend more time developing relationship with your staff than you do with your customers.

Someone says, “I’ll get back to you.” You should immediately ask, “When, exactly, will you get back to me?” If they don’t get back to you on that day, follow up right away. Don’t sit around waiting for people.

Appointments

Someone shows up late for an appointment. If they don’t call to say they’ll be late, LEAVE after 15 minutes. If they do call, and they’re going to be more than twenty minutes late, cancel the appointment.

Returning Communication

Someone doesn’t return your e mails or phone calls promptly, but you have established that they did receive the voice mail, message or e mail. The longer you wait, the less control and respect you have.

Decision Making

Someone refuses to make a decision, makes you wait, puts you off. They are controlling and manipulating you, or they are simply too gutless and politically correct to say “No.” Walk away. If they do come back, renegotiate, increase your fee, and punish them for making you wait, in order to re-establish your authority and positioning.

Production

Someone doesn’t produce on time, on a regular basis. You find that you’re always waiting and listening to their lies an excuses. Find a replacement for them, or suffer as they repeat the pattern. Meanwhile, reduce contact, remove as much business and control from them as possible, and create negative consequences for non-performance.

Control your time, business, relationships, and choices carefully. Be in control, and spread your risk.

Sometimes, ego, laziness, and fear will interrupt and skew our reasoning when prioritizing our profits.

The reason we’re in business is to create the maximum amount of after tax profit in the shortest amount of time, with the least cost and risk.

While we all want to do what we enjoy and avoid conflict and work, we can use Joint Ventures, subcontracting, effective delegation, and leverage to create the results we want, if we set things up correctly.

#1 Strategize Objectively

Remaining objective and rational when prioritizing and planning our progress is essential. Clearly defining what will create the greatest return on investment, where the optimal back-end is to be found, and the real marginal net value of a customer or Joint Venture demands careful analysis and communication with your team and mentors. Like a jigsaw puzzle, we want all the pieces to fit seamlessly, so that the flow of business is smooth and natural, not forced and stop-start.

• Diversifying incomes streams and creating additional back ends with long-term potential is the result of Planning, not Panic.
• Compromise and quick fixes will undermine your progress, your reputation, and your balance sheet.
• Remember the 80/20 rules and fearlessly remove the 80% while conscientiously building the 20%. Getting rid of one rat in your organization guarantees that he will takes his rat friends with him.

#2 Reevaluate Regularly

Reevaluate, change your mind, terminate non-productive activities, Joint Ventures, and people, and constantly adjust. You’re in business to make a profit, not to accommodate parasites and create protected employment for losers. Play the “What If?” game, build in Plan B’s, and have contingency plans in place, including Key Man Insurance and alternative suppliers. Things change. See the Big Picture.

#3 Invest in Education

Invest heavily in training and education, but only if you use it.  Look for the return on investment. The greatest ROI I ever get is when I invest in training and education, but then I always apply what I learn.

#4 Optimize Your Time

If you only have 24 hours a day, it’s because you’re not leveraged or you’re not delegating. Paying someone $100 to make $1,000 is good business. Don’t do minimum wage tasks and only deal with winners who have a proven track record.

#5 Take an Honest Look

Finally, stand back and take a good, hard look at your business, your time, your profits, and the future of your business. If this was someone else’s business, what advice would you give them?

The waitress called me “Mr. Elliott” and “Sir” instead of “Robin”.  In place if the usual plebeian, vulgar “you guys” we were referred to as “Mr. and Mrs. Elliott.”  And she crumbed the table down and  removed the cruet set and utensils before serving the dessert. How refreshing! Walt Disney said,

“Do what you do so well that they will want to see it again and bring their friends.”

Differentiate Yourself at Zero Cost

We tend to think that huge discounts or flamboyant packaging will add value and differentiate us from our competition, whereas small things that usually don’t cost anything can make a huge difference. The drivers of the shuttle service buses to and from the Long Term Parking at Vancouver International Airport used to be the most obnoxious, sullen swine I ever met, certainly not a reflection of what I consider the best airport in the world. Last week, Rika and I were very pleasantly surprised when we received cheerful greetings and sincere smiles from the new drivers, along with help with our bags. It costs nothing to train your employees and get rid of the scumbags, and the return on investment is most attractive.

Fabulous Examples!

WestJet crew members tell jokes, sing songs, smile, help, and obviously receive excellent training. They thank us for choosing WestJet; to me, there is no alternative, unless you want obese, unionized flight attendants who treat you like a smelly interruption. When I left my laptop on the plane recently, the WestJet flight attendant came running after me with it right into the Abbotsford terminal. Great attitude. A Thank You note in the mail, the Sears appliance salesman who shows up at my house the night before delivery, on his own time,  to make sure all the pipes are properly prepared. Nelson Boswell said,

“Here is a simple but powerful rule - always give people more than what they expect to get.”

We went to movies last week. Every employee was friendly and said, “Enjoy the show, folks!”

Here’s the thing: when you give great service, you feel good about yourself, you attract more business, you sleep better, and leave your competition choking in the dust.

People notice the small things, the compliments, the helping hand, the kind gestures, the extra mile, the sincere smiles and eye contact, a little extra care. What goes around comes around. Macy’s motto is,

“Be everywhere, do everything, and never fail to astonish the customer.”

The world hasn’t changed that much.

“I find it difficult to find, motivate, and keep good employees. If only I could find people who are as motivated as I am!”

• When you pay people the same amount of money, regardless of their quality of work or level of productivity, you’re trying to run a capitalist business on socialist principles.
• When you overlook slovenliness, negativity, and bad service instead of punishing it, you are encouraging it.
• When you see people creating additional value for your organization without rewarding them in direct proportion to that value, you’re discouraging them.
• When you employ anything that breathes because you’re so desperate for workers, you’re setting yourself up for failure and lowering your standards.
• When you establish ceilings and limitations on earning potential, you lose the cream of the crop.

Successful, profitable businesses prosper by design, not by default. They create a climate of attraction, motivation, stimulation, and reciprocation. This is so unique and hard to find that it will bring you some fantastic people.

How to Get Employees AND Employees who Perform

Before you tell me how hard it is to find people because you live in a booming economy like that of Alberta or British Columbia, let me suggest that, if you pay more than your competition, that fails as an excuse. And before you tell me that you can’t afford to pay significantly more than the competition does, let me assure you that you can accomplish that through the use of Joint Ventures. That’s what my company, DollarMakers, does. But this is not about creating more profit through Joint Ventures; it’s about employees.

For Example…

I once provided some Joint Venture training for an award-winning restaurant. At this restaurant, all the servers had shares in the business and enjoyed a simple profit sharing process as well. Servers were hired and fired by the Servers Committee, and everything was results based. Uniforms, serving times, and menus were determined by the Servers Committee. This was a true capitalist operation, using effective delegation, profit sharing, and common sense. The owner told me, “Robin, I manage by Consequence.” They never had a shortage of job applicants.

The ONLY Way Worth Operating

Pay people in direct proportion to the value they create - measurable, bottom-line profits should determine individual earnings.

• No automatic raises.
• No unions.
• There should be no cap on the earning potential of anyone.
• There should be immediate consequences for overstepping the mark.
• People should be allowed to focus only on their strengths. (Generally, allowing an accountant or a chef into a management position is suicide.)
• Use personality type testing and give everyone a vested interest in the success of the business, while at the same time tying their income and security to the fortunes, good AND bad, of the business. When business goes down, salaries should decrease in direct proportion, depending on individual input and production, which means simply that an employee who produces exceptional profits can experience an income increase while everyone else’s wages decrease. That’s called capitalism.

Here’s my standard “Job Description: “Whatever it takes, 24/7/365, and we share the fortunes, good and bad.” My entire business is made up of multiple, interlinked Joint Ventures. I actually practice what I preach, and it works.