Business Success: Facebook… or face time?

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Business Success LogoIt seems like all we ever hear about these days when it comes to marketing is the importance of social media. Today’s Business Success column, supplied by  Michael Houlihan, founder of Barefoot Wine  and co-author of the book  The Barefoot Spirit: How Hardship, Hustle, and Heart Built America’s #1 Wine Brand, takes us back to the good old days, when relationships between a business and a customer were actually made in real life.

Facebook…or Face Time?: Why Business Relationships Take More Than Texting, Friending, and Online “Connecting”

Houlihan, Michael 5x7@300ppi blue bkg final aTechnology has yielded some great communication tools, but they are not relationship builders. Here, I share seven reasons why the personal touch will always be more effective than pixels on a screen.

It’s official: Email, texting, and social media are no longer just helpful supplemental business tools. They’ve taken over the whole game. Yes, technology has made many aspects of modern living more convenient and “connected,” but the pendulum has swung too far. Now, people are reluctant to do something as simple as picking up the phone, preferring to shoot off an email instead. And face-to-face meetings—well, they’re almost unheard of.

This “technology takeover” is not without consequence. Misunderstandings abound. Relationships stagnate. Trust is at an all-time low. And all of these issues are at least partially due to the fact that genuine human connections have been replaced by mouse-clicks and keystrokes.

Social media and technology do have their place, but they are not, and never will be, a substitute for in-person interaction. Your physical presence—or at least the sound of your voice—builds trust you can’t even approach with a keyboard, screen, or profile image.

Having bootstrapped a business from the ground up, I know what I’m talking about. Bonnie Harvey and I are the founders of Barefoot Cellars, the company that transformed the image of American wine from staid and unimaginative to fun, lighthearted, and hip. When we started our company in the laundry room of a rented Sonoma County farmhouse, we knew almost nothing about winemaking or the wine business. Our new book, The Barefoot Spirit tells our California-style rags-to-riches story in compelling and colorful fashion, and reveals just what it takes to succeed as an entrepreneur.

I can’t tell you how many retailers, suppliers, and potential customers I visited in person during those early years. What I can tell you is that I would have never gotten satisfactory results if I had tried to build those relationships via email and social media. The Barefoot brand would never have become a national bestseller without meetings, phone calls, and recurring personal visits that kept relationships all over the country healthy and up-to-date.

People don’t just buy your product; they buy you.

I worry that young people’s dependence on virtual communication has stunted the social skills they’ll need to attract customers. Through no fault of their own, they have inherited a world that provides a comfortable firewall insulating them from personal rejection—one in which they simply don’t have to communicate in real time. (Could you learn to walk if you were handed a crutch at birth?)

Of course, in a global economy, face-to-face meetings are expensive. When clients, vendors, and even employees are on the other side of the world, it’s not economically feasible to hop on a plane every time a meeting is needed. In these cases, Skype is the next best thing to being there.

Live video streams allow you to do just about everything short of shaking hands. I have begun to use Skype frequently in my own business dealings. I love that I can make eye contact with someone who is sitting on the opposite side of the country. We accomplish so much more when we become more than “just” an email address or a disembodied voice to one another!

If you make the time necessary for personal meetings—if not in person, then via Skype or, at the very least, on the phone—others will not only remember you, but they will appreciate the effort you put forth. Read on for seven specific advantages of real-time, in-person, face-to-face relationship building:

The time investment shows you really care. It’s a fairly universal truth that human beings want to be valued and appreciated. Spending time with someone else, whether that’s in person, face-to-face on a computer screen, or, if all else fails, via a phone call, is one of the best ways to convey these things. In essence, an investment of time says, “While there are many other things I could be doing, I’m choosing to spend my time with you. That’s how important I think you are!” Minutes and hours spent with another person have the power to create a bond that money can’t buy.

When you spend time with others, you find out what you truly have in common and you have an opportunity to share your opinions. Plus, visiting someone repeatedly over a period of time can also provide valuable non-verbal clues to his or her values and concerns. In my own experience, I have been amazed by how helpful it can be to travel with someone, whether it’s a colleague or client. On any trip there will probably be instances that cause stress and anxiety, which presents an opportunity for both of you to see how the other handles a variety of situations and to learn to work together more effectively.

You’re better able to give personalized attention. This is perhaps the biggest key to successful sales and the establishment of any long-term relationship. Think about it: It’s hard to multi-task on something unrelated when someone is physically planted in front of you, demanding your attention. Unless you have no problem with blatant rudeness, you’re focusing on the other person, responding not only to what they say, but also to their mood, movements, and many other non-verbal signals. You will read these signs and adjust your behavior accordingly.

Letters on a screen can’t compete with the personal touch. In my experience, when you use someone’s name along with eye contact and an attentive demeanor, they’re more likely to be agreeable and to give you the benefit of the doubt. They know that your time is valuable and that you chose to give it to them. The next time they see you, they will be more relaxed and familiar in your company. And the more visits you have, the more your relationship with that individual strengthens. Trust me, people want to do business with people they know. You can get to know them much better offscreen.

You’re more effective in general. When you’re talking to someone else in real time, you can make progress in real time and solve problems in real time. (Believe it or not, lobbing emails back and forth isn’t always the most efficient method!) Thanks to facial expressions, body language, and tone of voice (see below for more information on each), you’ll usually find out more than just the basics when you have a verbal conversation. In fact, if you’re really observant, you may notice things about the other company or clients that they themselves aren’t even aware of!

Always meet in person if you can. When an important client or critical team member is on the other side of the globe, a face-to-face meeting once or twice a year can often be a smart investment. The rest of the time, if your communication is anything beyond a simple FYI, be sure to Skype or call.

Facial expressions help get your message across… Did you know that the human face has at least 20 muscles that work in concert to create a myriad of telling facial expressions? When you put it that way, the process sounds complex, but amazingly (as you know!) we don’t have to consciously think about forming those expressions at all. This is a powerful argument for face-to-face meetings, whether they’re in person or via Skype.

Observing those expressions during verbal communication can give you instant feedback about how your message is being received. You can quickly adjust your message on the spot to make it more meaningful or agreeable, and avoid possible misunderstandings. Facial expressions are also an invaluable way through which to express sincerity, interest, curiosity, happiness, and more.

…So does your body language… Unlike looking at a posed profile shot or any still image sent over email, being face-to-face with another person gives you the opportunity to see the other person’s dynamic reaction and make adjustments to your own message. Real-time body language provides tons of non-verbal cues that are impossible to convey in a text or email.

As humans and social animals, we are naturally wired to get this feedback instantly. We’re also equipped to share our own feelings and attitudes through the way we stand, sit, gesture, and more. It’s a good idea to spend a little time learning the basics of body language. For instance, if you know that hands in one’s pockets indicate boredom or disinterest whereas leaning slightly forward indicates interest, you’ll be able to respond more accurately to others and avoid sending messages you don’t mean to.

…and so does your tonality. It’s happened to everyone: You send an email that’s laced with sarcasm or humor…which the recipient totally fails to pick up on. Oops! Now you’re left frantically doing damage control. That’s one major reason why texting, emailing, and friending can be great ways to communicate while failing to succeed at relationship building.

When spoken, the same words used in a text or email can have a very different meaning based on the tone, inflection, and the emphasis that the speaker gives. It’s much easier to “get” intentions behind the spoken word. And if the other person sounds reluctant, uncomfortable, or guarded, for instance, you can take advantage of the opportunity to ask why and discuss ideas that might never have been brought forward over email. So the next time you find your mouse hovering over the “compose” button, think about reaching for your phone instead.

Your vulnerability shows (and that’s a good thing!). In the virtual world, you can almost totally control the image you show to other people. You choose the pictures you post on your profile. You censor the information you do and don’t want to share in your messages, posts, and updates. And usually, you can think about and edit what you want to say before pressing “send.” But in a real-time, face-to-face relationship, the other person can see you in 3-D and observe your dynamic, spontaneous behavior, including tone of voice, expression, dress, and body language. The other party sees your human imperfections and is aware that you are vulnerable to potential personal rejection.

Imperfections and vulnerability make you appear more believable and sincere. Most people will overlook minor foibles in appearance and speech because you are literally there for them. It’s special! This can be a big advantage in the long run. And in the short run, you take precedence over all their virtual relationships

Despite my belief that people want in-person attention, Barefoot didn’t avoid technology as it developed—far from it. What’s important is to use these tools appropriately and not let them become crutches.

A relationship can start through text, email, or social media; in fact, I encourage entrepreneurs and other businesspeople to utilize those resources. But in order to be lasting and dependable, a relationship has to grow in person. Yes, developing your face-to-face social skills will make you feel vulnerable at times. As is the case with learning to walk, though, feeling vulnerable is why we get so good at it!

Like any skill, becoming personable takes practice. A good way to start is to eliminate virtual communication when in-person communication is possible or more effective. So shake hands and come out a winner! Remember, genuine, lasting, and dependable relationships take time and physical presence. High touch beats high tech every time.

 

Business Success: Top tips to empower & motivate your employees

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It’s amazing what a group of people can accomplish if they are all highly motivated andBusiness Success Logo working toward the same goal. My most recent first-hand experience with this came earlier this month, with the enormous success of The Big Photo Show. Despite facing some serious challenges, my colleagues at PMA and I, and the board, as well as some other amazing folks who joined with us, pulled together and poured ourselves into making the show work — and work it did!! That would not have occurred had anyone on this phenomenal team not been both driven and empowered to make it happen. This week, that’s the subject of another great Business Success article from Doug Williamson, CEO of The Beacon Group:

Top Tips to Empower & Motivate your Employees

As you well know, in times of uncertainty, stress and organizational restructuring, it is more important than ever for a CEO and his or her entire leadership team to take a proactive and progressive stance when it comes to Employee Engagement and Motivation. The sad fact of the matter is, most organizations don’t do such a great job at this even in the best of times so, when the context changes, as it has, they find themselves both out of step and out of tune.

Doug Williamson

It is essential to understand Employee Engagement is not the same thing as Employee Satisfaction and at its very core, it is a measure or proxy of how “invested” employees are in making the company a success. If you frame the issue in this way, then it fundamentally changes how you go about the task of raising the level of “investment” in order to drive better business results. Employee Engagement is not about the soft stuff of many HR programs, it is about the hard stuff of improving the bottom line.

Steps to Take: Actions to Consider

Tip # 1 – Treat your employees as investors

In other words, position all of your messages in the same way you would to any investor. Give them a reason to be optimistic in the future even if they are in a funk today and then create the most favourable investment climate you possibly can.

Tip # 2 – Treat your employees as adults

You are simply not going to win the hearts, emotional wallets, confidence and support of your employees by assuming they don’t see what is going on every day. In fact, the average grass roots employee probably has better early warning systems that most VP’s and knows exactly what needs to be done to make things better.

Tip # 3 – Tell the truth and nothing but the truth

In most cases, the employee wants to know what the company plans to do so tell them straight. You will gain more by telling tough news early rather than late and by showing you are on top of things. The worst truth is still better than the best lie.

Tip # 4 – Make the business case

If you believe it’s going to be a tough period ahead with tough decisions that are going to have to be made, make the case for why the company needs to adjust and trust that logic will rule the day. Help people do the math and most will understand there are both assets and liabilities.

Tip # 5- Watch your say/do ratio

Perhaps the most important driver of Employee Engagement is the credibility of the leadership team. The best way to destroy credibility is to not keep your promises. So, if you say you are going to do something – then do it!

Tip # 6 – Discriminate with intelligence

Not all employees are created equal. While tough to admit, some employees matter more than others. As a result, the employee population cannot be thought of as one homogeneous mass. It is made up of different constituencies each with their own wants, needs and fears and therefore requiring their own investment strategy.

Tip # 7 – Find the core group and deputize them

In every organization there is a parallel leadership team, a group of people of all ages, tenure and seniority that are the “go to” people and who may not even show up on the senior level organization chart. These are the influencers, the people other people go to when they need to validate or translate what is going down from the top. These people ultimately determine what others think so their support and their use as a communication network is critical. Embrace them and allow them to influence for the positive.

Tip # 8 – Create real dialogue

People want conversation not memos, speeches and town halls. They want to be engaged one to one in dialogue that matters to them not to you. It’s the same as an election, you need to shake hands and kiss babies. Get out. Talk to people. Create conversation. You might even decide to be real brave and engage in social media to create the conversation in real time.

 

Business Success: Are you scaring your employees into incompetence?

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Christine Comaford

Business Success LogoUnless I’m on a roller coaster, I don’t like being scared — and you probably don’t, either. It’s common sense that when we are reacting out of fear, we are not going to make the best decisions. That’s one of many reasons why fear in the  workplace can bring efficiency and innovation to a screeching halt. Most businesses owners and managers wouldn’t deliberately scare their workforces, but many do it without even realizing it. Might you be one of them? And if you are, what can you do about it? Read this week’s Business Success article, contributed by Christine Comaford, bestselling author of Rules for Renegades and of SmartTribes: How Teams Become Brilliant Together (Portfolio/Penguin), coming out in June — and find out.

Five Mistakes Leaders Unknowingly Make That Scare Employees to Death

Most leaders know that command & control is dead and that fear doesn’t motivate employees. Quite the opposite, in fact. That’s why, for the most part, we refrain from doing scary things. (Only the worst “bully bosses” make it a practice to scream at an employee, or call him abusive names, or threaten to fire him the next time he makes the coffee too strong.) Yet even good leaders unintentionally strike fear in the hearts of their workforce.

More accurately, we strike it into their brains. And the consequences are more dire than you might realize.

From time to time we all say or do things that spark unconscious fears in our employees. The primitive “fight, flight, or freeze” part of the brain takes control. When that happens, when people are stuck in what I call the Critter State, all they can focus on is their own survival.

In other words, everything that makes them good employees—their ability to innovate, to collaborate, to logically think through problems—goes out the window. All decision-making is distilled down to one question: What course of action will keep me safest?

Obviously, we need our employees to be in control of their whole brain—especially the parts responsible for the emotional engagement and intelligent decision-making that lead to high performance. Today’s economy demands it. That’s why my business—teaching leaders how to use the best tactics from neuroscience to get teams unstuck and shift them into their so-called “Smart State”—is booming.

I regularly see clients who master these techniques and quickly see their revenues and profits increase by up to 200 percent annually. It just goes to show how pervasive fear in the workplace actually is—and how crippling it can be.

My clients confirm how successful my techniques are at getting clients out of their Critter States and into their Smart States and how that translates to results.

“When I first met Christine, I knew we had to work together, but wasn’t sure what the return on investment in coaching could truly be,” says Sharon MacDonald, CEO, Interim Furnishings. “Now I know what it is: I think bigger working with Christine—we will double (or greater) our revenue this year as a result of my increased ability to create new strategies, expand my vision, see into my blind spots.

“Christine helped me see it was time to bring on a seasoned COO, scale up my team, and bring them new resources,” she adds. “She helped me create accountability structures and communication rhythms for my team so everyone is aligned and charging forward. We’re rapidly growing the company in a safe and sane way while preserving and increasing the fun of our culture. In less than 120 days we closed the largest deal in our company’s history using the strategy Christine and I created together. I know what’s going to happen next—we’ll exceed our sales quota. Again. This is now how we roll.”

In my new book, SmartTribes: How Teams Become Brilliant Together, I ask the questions: How might we be inadvertently holding back our teams and crippling our own cultures? What, exactly, are we doing to send our people into their Critter States? More to the point, what are you doing? Here, I describe a few (very subtle) offenders:

You “help them out” by giving them solutions. Or, you advocate when you should be inquiring. When we consistently tell people what to do instead of encouraging them to figure things out on their own, we develop a company full of order-takers instead of innovators. By training them to always ask, we create a workforce of employees who are perpetually “frozen” in their Critter State.

On the other hand, when we engage them in solving problems themselves, we create a sense of safety, belonging, and mattering—which are the three things humans crave most (after basic needs like food and shelter are met). And of course, we help them develop a sense of ownership that will serve them—and the company—well.

Start inquiring and see what happens. Ask, “How would you do it? What impact might your course of action have?” After you do this a few times with someone, she’ll start expecting you to ask questions instead of give orders. She’ll start coming to you with ideas, seeking feedback and validation. And after a few of these sessions, she’ll come to you saying, “I have a plan, here it is, and speak now if you aren’t okay with it.” Finally, she’ll stop coming to you altogether.

Aim for five inquiries for every advocacy. You’ll be amazed by what a powerful difference this makes in your employees and your company.

Your meetings are heavy on sharing and point-proving, light on promises and requests. Why might a meeting scare your employees? Because confusion and uncertainty create fear. Meetings that are rambling and unfocused send people into the fight-flight-freeze of the Critter State. On the other hand, short, sweet, high-energy meetings that have a clear agenda keep everyone in their Smart State.

The key is to understand the five types of communication:

- information-sharing

- sharing of oneself

- debating, decision-making, or point-proving

- requests

- promises

The typical meeting is heavy on the first three and light on the last two. Ideally, you should focus on only enough information-sharing in order to solicit requests from parties who need something and promises from parties who will fill that need.

Tune up your communication and the result will be meetings that are efficient and effective, and that keep your team happy and clipping along to glorious accountability and execution.

You give feedback to employees without first establishing rapport. Imagine for a moment that your employees are antelopes. Because you have authority over them, they quite naturally view you as a lion. It’s not that you’re purposely ruling with teeth and claws. It’s simply their critter brains at work, peering out and “coding” who is a friend and who is a foe. That means unless you can get employees to see you as “just another antelope,” you won’t be able to influence them—they’ll be too busy ensuring their own survival to accept your feedback.

I have a wealth of neuroscience tactics for helping leaders get inside their employees’ heads and truly establish rapport. Most of them are too complex to convey in a short article (Meta Programs are one of the most potent), so here I offer three “shortcut” phrases that help people feel safe enough to shift out of their Critter State:

  1. 1.     What if…”: When you use this preface to an idea/suggestion, you remove ego and reduce emotion. You’re curious—not forcing a position, but kind of scratching your head and pondering. This enables someone to brainstorm more easily with you.
  2. 2.     “I need your help.”: We call this a dom-sub swap, because when the dominant person uses it, they are enrolling the subordinate person and asking them to rise up and swap roles. This is an especially effective phrase when you want a person to change their behavior or take on more responsibility.
  3. 3.     “Would it be helpful if…”: When someone is stuck in their Critter State and spinning or unable to move forward, offering up a solution will help them see a possible course of action or positive outcome.

You focus on problems rather than outcomes. First, a little background: I teach her clients there are three default roles that people lean toward—Victim, Rescuer, or Persecutor. (These were first created by Dr. Stephen B. Karpman, and his article detailing these roles won the Eric Berne Memorial Scientific Award in 1972.)1 These roles are interdependent (there must be a Persecutor for there to be a Victim for the Rescuer to save) and they play out every day in the workplace.

Together these roles make up the Tension Triangle—and when we’re in it we’re problem-focused. We see everything as a problem, which causes anxiety, which leads to a reaction, which leads to another problem. It’s a self-perpetuating cycle. The solution is to switch your focus from problems to outcomes. Instead of asking “What’s wrong?” and “Why is this happening?” we ask “What do we want?” and “How will we create it?”

Being outcome focused feels very different. It’s empowering and energizing and fills you with confidence. It firmly places you in your Smart State, where possibility, choice, innovation, love, and higher consciousness are abundant. Victims become Outcome Creators. Rescuers become Insight Creators. Persecutors become Action Creators. (I have a chart that lays out the differences.) So…how do you make the switch?

First, identify each role that you and the other person are playing. Speak to the other person as the positive counterpart. If he’s in Victim mode and you tend to be a Rescuer, don’t say things like “I’ll make it better for you” or “Let me help you.” Instead, say, “What outcome would you like?” and, “What will having that do for you?” If you do this in every conversation, and teach others to make the shift as well, you will transform your cultures and quickly start getting the outcomes you want.

You frame “change” the wrong way. Almost all leaders want—probably need—their companies to change. It’s the only way we can achieve growth. Yet as we all know, people inherently resist change. In fact, according to Rodger Bailey’s groundbreaking work on Meta Programs in the workplace,2 65 percent of Americans can tolerate change only if it is couched in a specific context (see Shelle Rose Charvet’s excellent book on Meta Programs, Words That Change Minds, for a deep source on Rodger Bailey’s work3). That context is “Sameness with Exception.”

What does this mean? Essentially, it means leaders need to present the “change” as merely an improvement to what we are already doing: The bad stuff is being removed, and good stuff is being added.

Seriously—this is the best way to package a change message. And don’t use the C-word. Say “growth” instead.

By the way, resistance isn’t necessarily a bad thing. It’s just the first step on the organizational path. The other four steps are Mockery, Usefulness, Habitual, and New Standard. But once you can clear the resistance hurdle—and it will go fairly quickly when you present change the way I just described—you’re well on your way.

Did you recognize your own leaders—even yourself—in the list above? If so, you’re not alone.  And the good news is that once you can make the (relatively simple) changes, you are likely to see dramatic improvements in your results.

All leaders want to outperform, outsell, and out-innovate the competition. And most of us have teams that are quite capable of doing so. We just need to stop scaring the competence out of them.

Business Success: Has a gorilla taken over your company?

Coach Burt Professional Blue (2)
Coach Burt Professional Blue (2)

Coach Burt

Take a quick look around you. Spot any gorillas? I don’t either… but it might not hurt any of us to take a second look. Many thanks to Coach Micheal J. Burt and Colby B. Jubenville, authors of the new book “Zebras & Cheetahs: Look Different and Stay Agile to Survive the Business Jungle (Wiley, 2013) for contributing this week’s Business Success column:

The Concrete Jungle Survival Guide: Four Steps to Overcoming the Chaos (and Taming the 10,000-Pound Gorilla in Your Midst!)

Your organization’s poisonous culture may be holding it back and tying your hands as a leader. Here, we explain what you need to do to put cooperation, growth, and innovation back in the spotlight.

Look around. Has a 10,000-pound gorilla taken over your company? Before you reply with a quick “no” and refocus on your to-do list, bear in mind that this giant beast is known by a second name—culture. And understand that taming him is imperative because his destructive behaviors can keep your company’s tribe from doing what

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Colby Jubenville, PhD

it was brought together to do.

Here are some tell-tale signs that he has adopted your organization as his habitat:

• There are several positive change initiatives in the works, but the old guard refuses to alter “the way we’ve always done things.” They aren’t receptive to new hires and won’t take an active role in training them. Rather than working to move the company forward, they spend most of their day making excuses for why things should stay the same.

• Your employees are constantly patting themselves and each other on the backs. Unfortunately, they’re often celebrating empty wins like getting a client’s order right on the second try or passing an angry customer on to another department. These “celebrations” only serve as a smokescreen to hide stagnation and lack of progress.

• Most people in your organization seem too comfortable. They gravitate toward and “nest” in the familiar. At times, you wonder if innovation, creativity, and motivation are foreign concepts to them.

Unfortunately, the gorilla’s constant bellowing drowns out other messages in the concrete jungle, which allows poisonous cultures to take entire organizations hostage. The good news is, prepared and proactive leaders can provide clarity, unite the tribe, and—yes—tame that unruly gorilla so that cooperation, growth, and innovation are once again in the spotlight.

In our new book, Zebras & Cheetahs: Look Different and Stay Agile to Survive the Business Jungle, we explain that leaders who can successfully go nose to nose with culture gorillas are members of a newly evolving breed: Zebra and Cheetah (or Z&C) Leaders.

Zebra and Cheetah Leaders are so called because they exhibit qualities of both breeds. Like zebras, they boast a distinctive appearance that others can easily recognize. Like cheetahs, they possess great speed and are particularly quick accelerators. And like both, they have an ability to utilize their senses so well that they excel in adapting to their environments. In other words, these are leaders who are able to adapt to the fast-paced, always-changing, and highly competitive business world, and who are capable of leading diverse tribes within it.

Zebra and Cheetah Leaders recognize that 10,000-pound gorillas are sustained by individuals who, unlike themselves, have refused to adapt to the ever-changing landscape of reality. Here, we share four things Z&C Leaders must do in order to stop feeding the gorilla…and create clarity amid the chaos of the concrete jungle:

Get real about the reality your tribe is facing. Chances are, the path your tribe once took through the jungle was wide, well marked, and free of most significant obstacles. You could count on easily visible indicators, typical benchmarks, and annual performance ratings to keep you going in the right direction. And if any doubt cropped up, your organization’s fearless leader—the lion-like king of the jungle—would dictate who should lead, who should follow, and what should be done. To hear your change-averse gorilla tell it, that’s still an accurate portrayal of reality. But don’t let him fool you. “The good old days” are long gone.

In today’s competitive, constantly changing global economy, organizations whose cultures expect the journey through the concrete jungle to be easy won’t last long. These days, the path can quickly change, or disappear altogether. You might encounter rockslides or quicksand at any moment. And predators—otherwise known as competitors—will be constantly nipping at your heels.

That’s why Z&C Leaders are committed to drawing a clear picture of the true, actual circumstances their organizations face, regardless of how positive or negative they may be. Only then will you be able to cut through the smokescreen your gorilla may be throwing up and unite your tribe in pursuit of an overarching dominant aspiration.

Make sure your tribe understands the complex order of the concrete jungle. In nature, jungles are incredibly complex. They contain a dizzying amount of animals and plants that are competing for resources and survival. But despite (or in some cases, because of) the occasional casualty, the ecosystem supports the many populations that call it “home” and enables them to thrive.

Ideally, that’s the case within your organization, too. (Think about the corporate buzzword “synergy,” which refers to diverse individuals accomplishing more together than they could alone.) However, it doesn’t matter how balanced and well calibrated your tribe is on paper if all of its members don’t understand where, how, and why they fit.

It’s a natural instinct for people to worry about their futures. That’s why so often new ideas, policies, and people spark pushback in the concrete jungle. Established tribe members worry that they’re being edged out or that they’re entering the endangered species list. And that type of uncertainty feeds the gorilla. It’ll beat its chest, bellow, and attack what it mistakenly perceives to be the competition, effectively halting growth and progress.

Remember, as a Z&C Leader, it’s imperative for you to not only leverage your tribe’s talents, but to make sure all of its members understand where they fit within your organization’s ecosystem, both now and in the future.

Clearly define success. Once tribe members understand the order of the jungle they inhabit, Zebra and Cheetah Leaders must outline what, exactly, constitutes success. Left to their own devices, each individual is likely to define that outcome differently, usually in whatever way would benefit them most personally. In this scenario, you’re likely to have some employees who mistakenly believe they’ve “made it,” while others struggle, strive, and snipe their way in the wrong direction.

We refer to the force of a tribe working toward success as collective passion. Why? Well first, collective relates to the fact that everyone in the tribe is working together toward a shared dominant aspiration, or goal. The word passion has a double meaning. Its modern context involves deep affinity for something, and its Latin root passio means “to suffer.”

Make no mistake: The struggle to survive and succeed in the global economy won’t always be pleasant or easy. But if your tribe goes through the metaphorical fire together, it will emerge as a stronger and more efficient group. Stated plainly, collective passion helps create a cooperative, unified environment within your organization—an environment in which gorillas can’t survive.

Create new levels of professionalism. Good news: This fourth step in overcoming chaos and keeping your corner of the concrete jungle gorilla-free is the easiest. You’ll find that when your tribe’s members have collectively survived the crucible and reached the first level of success you’ve set for them, their relationships with each other will change.

Specifically, competition within the tribe will naturally be replaced by new levels of cooperation once everyone sees what they’re all capable of accomplishing together. This will then allow the competitive focus to fall where it belongs: outside the tribe.

This is the position you want to be in as a Z&C Leader: basing your decisions on factors within the concrete jungle instead of focusing on factors related to the tribe. Just be sure to keep a close eye out for any signs that the culture gorilla might be creeping up on you. If you so much as smell him (for example, you notice tribe members excusing their own inadequacies or trying to backstab those they see as more productive workers), nip those behaviors in the bud.

There will always be chaos in the concrete jungle as a whole, but that doesn’t have to be the case within your specific organization. When you succeed in kicking the gorilla out and getting your tribe members to trust their Zebra and Cheetah Leader, your organization will enjoy increased transparency, accountability, and productivity.

Coach Micheal Burt — part coach, part entrepreneur, and all leader — is the go-to guy for entrepreneurs who want to become people of interest, salespeople who want to be superstars, and managers who want to be coaches. He is a former championship coach and the author of eight books. His radio show, Change Your Life Radio, can be heard globally on iheart.com (WLAC). Colby B. Jubenville, PhD, is principal of Red Herring Innovation and Design, an agency specializing in teaching people and organizations how to compete on unique perspective, education, and experience in order to create unique value. He regularly speaks on his philosophy, Collective Passion, a model that illustrates how to meaningfully connect organizations, customers, and employees.

Build a better business through online presence

Kevin McNally (3)

Today’s Business Success is from a new contributor, Kevin McNally, CEO and founder of Interactive Palette, and focuses on a topic we can’t learn enough about: marketing online.

Kevin McNally (3)Build a Better Business through Online Presence  

Effective marketing is at the heart of a successful business with a prevailing online presence perhaps the most straightforward route to achieving commercial goals.

In fact, a company’s website is the first thing many potential clients check out before deciding where to take their business, so it pays to maintain one that provides consistent up-to-date information, is easy to navigate and in general positively reflects what your company has to offer.

A powerful website should focus on your specific industry and help to build your brand. Those in the photography trade already know that a picture is indeed worth a thousand words; as such current content is critical to a business website.  Here is where a Content Management System (CMS) can keep your website fresh and inviting.  All too often, businesses rarely alter their website, in large part due to the misconception that it will be a costly endeavor.  While it’s true that a complete overhaul of a website comes with a considerable price tag, adding a CMS is quite cost-effective and typically pays for itself in short time.

For the uninitiated, a CMS is a web-based interface that allows business owners and specified staff the ability to add pages, edit content, upload images and PDFs and make other changes to a website as needed.  This allows a business to maintain the most up-to-date information on projects, services and price information. It enables the capacity to post press releases, special offers, testimonials and useful links.  And perhaps most importantly for the photography industry, a CMS allows inclusion of a dynamic photo gallery of completed projects.

A website becomes much more search engine friendly with the use of a CMS, allowing for increased traffic and potentially increased business. Building wide awareness of a website is essential to the success of a business and with a few fundamental SEO (Search Engine Optimization) measures you can increase “hits.”

In much the same way that real estate is defined by “location, location, location,” in the world of websites a top ranking on search engines –such as Google or Yahoo – is king.

One of the best methods to increase search engine ranking is through the optimal use of keywords; that is, knowing what specific words or phrases people are searching for and then targeting those phrases on your site.  A website designer can conduct the appropriate research to determine and target those keywords and also provide further analysis to pinpoint the most important terms – or terms “with opportunity” – that might help bring the right visitors to your site.

Website linking is another technique used by professional website designers to attract traffic to a site.  In brief, this mechanism interlinks words or phrases key to a business website to other relevant pages on the site.  In addition, consider linking images from your website to other important pages in the same way; this can attract traffic through “image search” results.

While “less is more” in terms of a company’s home page or contact page, a website’s news section is where content rules.  Instead of short paragraphs or brief press releases, it’s wise to include blogs or articles of about 500 words.  This approach not only allows for comprehensive information about your services or other newsworthy information, it also adds to that all important keyword total.  In fact, search engines are always on the look-out for expanded website content, so use it to your best advantage.

So, how can you gauge whether your website is doing your business justice? Google Analytics is a service offered by Google that generates detailed statistics about a website’s traffic and traffic sources.  It allows you to measure sales and conversions and also provides insights into how visitors arrived at your site, how they use it and how you can keep them staying on it longer and returning more often.

Also, sure your company is included in Google Local listings – think of it a modern day Yellow Pages.

The “must have” list for better business is a website that loads quickly; that’s the best way to optimize traffic.  Keep in mind that if your website’s home page overdoes content, you may be in jeopardy of scaring off potential clients, so word to the wise – pare content on the home page down to the essentials to allow visitors continued navigation on the website.

Speaking of navigation, make sure that information is never more than a click or two away; providing a variety of navigational routes will go a long way toward ensuring customer satisfaction.  Think image maps, hyperlinks and drop-down menus in addition to search engines—all say “user friendly.”

Maintaining a few social networking profiles (such as LinkedIn, Twitter or Facebook) can be a great way to promote your company to new clients, while at the same time keeping past and current clients in the know about what’s going on.

While a static website that provides comprehensive and consistently updated information is of great value, site owners can leverage their knowledge, add another dimension to their site and directly target audiences through podcasts.

In short a podcast is a digital media file, downloaded directly from a streaming Internet source.  Podcasts are distributed over the Internet using syndication feeds and are hosted by individuals, businesses or organizations that want to share information. Podcast files are streamed and/or downloaded onto a computer, mobile device, MP3 player or iPod, etc.

Think of podcasting as having the ability to broadcast a personalized radio and/or video show directly from your website, thereby lending a “voice” to your business. Podcasting is a way to showcase your expertise and can enhance your reputation as an authority in your field.  It is also a means of communicating in a much more personal manner than via a blanket email, e-newsletter or attached written document. Another plus to podcasting is its minimal cost; all that is needed is a microphone and Internet connection with RSS, a format for delivering regularly changing web content.

Essentially, podcasts are recorded and then distributed over the Internet, allowing you to reach new and wider audiences through your website.  Once listeners subscribe to a podcast feed, new podcasts are automatically downloaded to their computer or mobile device as soon as they are available, enabling your audience to listen at their convenience.  Since podcasting is an on-demand subscription technology, you can monitor your subscribers and have confidence that they are receiving the information you’re providing.

As a bonus, guests can be invited to participate in your podcast, providing an interactive and engaging element.

Podcasting not only showcases your expertise, it also shines a media light on your personality, giving your audience a sense of who you are and what your business can provide.  Moreover, podcasting allows subscribers access to information at their convenience.  They can listen when they want, starting and stopping content at will.

Having and maintaining an up-to-date website is essential to conducting business these days, but optimizing its potential should also be a priority. Through the use of proven mechanisms, traffic can be drawn to the right destination… your website.

 

On the Imaging Executive podcast: Secrets of Business Success and Creativity

Gail McMeekin, 12 Secrets to Creative Success

 

Gail McMeekin, 12 Secrets to Creative Success

The wealth of advice in The 12 Secrets of Highly Succcessful Women isn’t gender-specific: it covers some of the most pervasive and important issues professionals face, including mastering challenges, visualizing creative results, eliminating negativity, committing to and following through on new projects, and simple ways to overcome obstacles to success.

Author Gail McMeekin says “Recognizing your creativity leads you into a life of self-expression, fulfillment, and contribution.”

You can download the interview here.

Or listen directly here:

Phantom stock: Shedding light on a key employee retention tool

Paul Bardaro headshot

Paul Bardaro headshotI’d like to introduce you to a new contributor with this week’s Business Success column, Paul Bardaro. He is a partner in the Boston-area accounting and business advisory firm Rucci, Bardaro & Falzone, PC.  Through the firm’s Business Planning Services Group, he offers business valuation, financial counseling and strategic planning advice to companies in transition. In this article, he explains how “phantom stock” can benefit employees, without taking control from the hands of the owner.

Phantom stock: Shedding light on a key employee retention tool

It’s an ongoing challenge for many photography businesses in virtually any phase of the business cycle – how to motivate and retain employees who are essential to the company’s success, yet without granting them an actual ownership stake.

True, during the most recent economic downturn, any serious thinking about long-term employee incentive programs may have slipped to the bottom of your to-do list.  But as the industry slowly regains its feet, it may be time to think ahead.

Keeping this rare and valuable type of employee in the fold usually requires more innovative incentives than the traditional 401k, health insurance and other typical perks.  But at the same time, business owners may not yet want to enter the “no-return zone” of ceding true ownership control.

One solution is the little known practice of issuing so-called “phantom” stock.  As mysterious as it may sound, the technique has numerous and comforting benefits for both the employer and the key employee.

For owners, that list of benefits includes:

  • Less hassle to set up and monitor – unlike its more conventional brethren, the issuing of phantom stock is considered a non-qualified benefit.  As such, it avoids much of the paperwork, restrictive rules and reporting requirements that are typical of traditional qualified benefit plans.
  • Complete control of plan terms – as a non-qualified arrangement, owners have total flexibility to determine how the plan contract is drawn up, which employees participate, when and how many shares are granted, terms of vesting, payout schedules and similar details.
  • Protects ownership control – since phantom shares come with none of the statutory shareholder rights under corporate law, the full authority for company decision making remains with the owner(s).  Any rights of the “phantom shareholder” are limited to rights specifically stated in the phantom plan.
  • Spurs employee motivation and productivity – high-value workers now have more than just a job and a paycheck to keep them interested.  They are in it for the long haul, especially if payout terms are tied to long-term company performance.

A sense of ownership, with little down-side risk

At its core, phantom stock is a highly effective compensation tool that allows key employees to enjoy a sense of “ownership” in the company – to share in its future success without necessarily sharing in the voting control, profits, dividends or distributions that normally come with the issuance of legal equity or stock options.

From the employee’s standpoint, the potential financial reward of participating in a well-designed phantom stock plan will closely mimic the payoff of actual equity or options: hence, the names “mirror stock” and “shadow stock” that are sometimes used to refer to these plans.

Yet many of the risks and liabilities that ordinarily come with direct, legal equity ownership are avoided with this pseudo version of company stock.  For instance, the employee isn’t required to infuse cash into the business, isn’t exposed for corporate governance issues, and isn’t required to personally guarantee company debt.

Here’s an example: Let’s say the business owner awards one of his high-value workers 5,000 shares of phantom stock.  Rather than having actual equity value, the phantom shares mirror the value of real company stock at, say, $20 a share.

The phantom stock plan that the owner has devised beforehand typically spells out a customized formula or generally accepted method for valuing the shares at some point in the future, say three years down the road.  When the time comes, the company schedules a valuation and determines that the owner’s stock is now worth $40 a share.  The employee receives a payment of $20,000 – his or her reward for staying with the company and contributing to its growth.

When it comes time to reconcile the tax implications of the transaction above, the company benefits from a $20,000 tax deduction, and the employee declares the amount on his or her tax return as ordinary income.

Notice that the original grant of phantom stock by the company is not a taxable event; nor was the eventual receipt of the proceeds from the stock considered a capital gain on the employee’s tax return.  These are two of the ways that phantom stock differ from actual equity and options, and are factors that need to be considered when contemplating the pros and cons of establishing a phantom stock plan.

A unique benefit at a comparatively modest cost

To be sure, there are some administrative costs to establishing and maintaining a phantom stock plan –legal fees, accounting fees and periodic reviews to help determine the value of these pseudo shares. These costs compare favorably, however, with those of a relatively inflexible ESOP or a qualified or nonqualified stock option plan.

Furthermore, the set-up and administrative expenses are no match for the price of losing just one of your key managers or executives.  Some experts estimate the cost of turnover at the senior level to be between 100 and 150 percent of the person’s annual salary.

Rather than face that type of financial burden, most business owners would agree – it’s far better to retain your top people with a thoughtful approach to compensation that truly benefits them, and keeps them engaged, productive and happy.
For a free copy of “Ten Questions to Ask When Considering a Phantom Stock Incentive Plan,” contact Paul Bardaro at 781-321-6065 or bardaro@rbfpc.com.

Lessons learned while boxing Gerrie Cooney

RonFelberheadshotsm

Ron Felber, President & CEO of Chemetall, North America and author of A Man RonFelberheadshotsmof Indeterminate Value learned a few things in the boxing ring that can also help in the board room.

Boxing Gerrie Cooney

Who knew how dangerous being a rabid boxing fan could be? Certainly not me when, at the age of 55, I accepted the challenge of boxing 6’ 7”, 265 pound former heavyweight contender Gerrie Cooney for a charity event in Plainfield, New Jersey!

It all began innocently enough. The company where I work donated a boxing ring to the Black United Fund (BUF), an inner city youth organization, and I—Golden Gloves alumnus, circa 1969—was asked by a fellow named Cliff, who worked in our mail room, to “lace up the gloves” for a boxing exhibition to get some publicity and funding for the program.

That was my first mistake.

You see, for me, the images that came to my mind upon being asked were happy, funny ones: Jack Dempsey mock-sparring with Charlie Chaplin, Jerry Lewis swooning for the cameras after being jabbed by Rocky Marciano or George Plimpton exchanging obviously pulled punches with hard-hitting champ Joe Frazier. There is a history for such foppery!

Unfortunately, these images were not shared by Cooney who suggested, through my erstwhile mailroom clerk turned publicist-trainer, Cliff, that “I get into shape” to make a good show of the three, one minute rounds of our pugilistic encounter.

This was my second mistake.

Since the exhibition—wink-wink—was being held to get interest in the BUF boxing program and some money through attendance, I assumed that Cooney’s comment was intentionally provocative like Ali once did to get fans excited about a bout. So, responding in kind, through my friend Cliff, I made a counter proposal which was that Gerrie better “get into shape” because I was already in tip-top condition!

The morning just prior to the exhibition, I should have known something was terribly wrong, but I didn’t. Cooney arrives and autograph-seekers surround him. He is jovial, buoyant, a really great guy…until he sees Cliff and me. I look up to his face towering above me, and now he is not smiling. “Where are you from?” he asks sternly.  I look to Cliff, who nods in the affirmative, “I’m from Mendham, Gerrie, and a big fan.” I answer. “Mendham,” he assesses skeptically. “That’s where all the rich guys live!” I think about it for a moment, look to Cliff, who eggs me on, and conclude that this, too, is part of the hype, “Yeah, you got a problem with that?”

Mistake number three was my biggest.

A short time later—after I’d entered the ring bedecked in gym shorts, head gear, and worn-out Adidas—a strange, crawly sensation begins to creep up from the small of my back as it occurs to me that perhaps Cooney didn’t appreciate the hype his out-of-shape executive opponent had given the bout and was genuinely angry about it! Worse, as I would soon discover, my trusted pal Cliff had neglected to have the bell’s timer changed so that the three, one minute rounds we were supposed to be fighting was actually set for three, three minute rounds! And that’s when, to me, “Gentleman” Gerrie Cooney, dressed entirely in black and now glowering at me from across the ring, began to look a lot like DARTH VADER from  the movie Star Wars.

ROUND 1: I stride out of my corner at the bell (think Jerry Lewis), have barely put my hands up, and BOOM! I get tagged in the face with a left jab that feels like a jack hammer on steroids. “Hmmm,” I’m thinking, “must be some kind of mistake,” when—before the thought finished crossing my mind—BOOM! A second jab, harder than the first, sends me reeling across the ring. And suddenly, at least in my addled mind, I’m no longer Jerry Lewis, but Manny Pacquiao after he’s been tagged hard, and now I’m thinking: “You know, I’m going to kill this guy!!”

Mistake number four.

Cooney and I fight, toe-to-toe for three full minutes of the first round (with him, of course, pulling his punches, and me not). And so it goes for three exhausting, terrifying rounds.

IN BETWEEN ROUND ONE: I notice that Cliff, who is also my “corner man,” is conspicuously absent. “Where’s Cliff?” I ask the stranger who greets me, breathless. “He had to leave,” he confesses, spritzing me with water as he barks instructions. “Wait a minute!” I say, “Why did Cliff have to leave?” The stranger, stops, “He said he just couldn’t stand to watch anymore,” he tells me.

Oh-h-h, my God!

IN BETWEEN ROUND TWO: no longer angry, tired, beat up, sitting in my corner with my new best friend, the corner man, my eight year old son Greg, who has been in the audience watching, approaches, “Dad,” he says, “if you get knocked out and have to go to the hospital, how do I get home?”

AFTER ROUND THREE, POST-FIGHT: I am a physical and mental wreck. No one wants to even look at me (which gives me a good idea of what I must look like!) Cooney just shakes his head, the mail room clerk’s replacement has disappeared, and even the woman from the BUF, in charge of planning the event, walks the other way as I leave the ring.

On the way home, dehydrated, with body throbbing, I stop at a local watering hole with my son, Greg, who has a soda while I nurse a very cold beer. “So, Greg,” I venture sadly, “who do you think won the fight?” Greg, stops, thinks a long moment and finally answers, “I think you did, Dad, but not by much.”

By Monday of the following week, returned to work after my boxing adventure, there were many lessons for me to contemplate as I sat in a conference room meeting with a group of employees at my company. The first is, think twice before jumping into precarious situations. The second is, the old axiom about what happens when you ASS-U-ME you understand what someone else is thinking—it makes an “ass” out of “u” and “me.” And the third is that professional fighters of both the caliber and nature of Gerrie Cooney are proud, decent men who genuinely care about the sport of boxing and don’t like to see it trivialized.

Proof for all of those observations came that Monday morning with a rap on the door of our conference room. When the group of us looked up, there was Cooney—all 6’ 7” of him, “I came by to make sure you were okay,” he announced, “and to tell you that you’re a gutsy little guy.”

To me, that said it all about the man and, perhaps, something about me, and what it was like boxing Gerrie Cooney.

Ron Felber is President and CEO of Chemetall, North America. He is the author of the forthcoming business thriller A MAN OF INDETERMINATE VALUE (Barricade Books; June 2013). Felber began his writing career with articles based on his experiences for True Detective magazine, and went on to write three books in the classic Nick Carter series.  He is also the author of Il Dottore: The Double Life of a Mafia Doctor, which is the basis for the Fox television series The Mob Doctor. His other books include The Privacy War: J. Edgar Hoover and the Fourth Amendment; Presidential Lessons in Leadership; and The Hunt for Khun Sa, Drug Lord of the Golden Triangle.

 

 

Protect your clients’ children from identity theft with safe business practices

Bob Chappell jpeg

Bob Chappell jpegThe idea of having my identity stolen — of someone purchasing big ticket items, or even committing crimes, using my name — scares me a lot. I try hard to do everything right, from using a credit monitoring service, to watching my statements with an eagle eye, to shredding most of my mail. But one thing I didn’t think of, at least until now, was doing all of that to protect my kids’ identities, too. I had no idea child identity theft was so prevalent, or that businesses that don’t take the right steps to protect the identities of children could wind up in a lot of trouble. Here, Robert P. Chappell Jr., author of Child Identity Theft: What Every Parent Needs to Know (Rowman and Littlefield), explains more.

Protect your clients’ children from identity theft with safe business practices
According to the 2013 Javelin Strategy and Research Identity Fraud Report someone falls victim to identity theft every three seconds in the U.S.  In fact, there were 12.6 million victims of identity theft last year alone. The report shows a pattern of continuous increase starting in 2010 when there were 10.2 million victims, followed by 11.6 million victims in 2011 and a three year high of 12.6 million victims was reported in 2012.
The Federal Trade Commission’s Consumer Sentinel Network Data Book for January – December 2012 states that 6% of all identity theft victims are age 19 and under. This means that approximately 756,000 victims last year were children. Many of our readers, such as school photographers, portrait studios, and photo labs, work with children on a daily basis. The 2012 AllClear ID Alert Network Child Identity Theft Report  stated that the rate of identity theft for children has now reached an astounding 35 times higher than the rate for adults.
As a business owner, instituting safe business practices will help you protect your clients, their families and your business. Critical to implementing a strategy is first understanding why children are being targeted and what vital information needs protecting.
Children are now the preferred target for identity thieves for several reasons, the first of which is the length of time someone can use a child’s identity without discovery. Other reasons include the “clean” credit record children possess, the lack of a national date of birth verification system, and ease with which credit agencies issue credit and forgive debt owed by victims.
Education is the key to prevention of this crime. Child identity theft thrives because parents and businesses do not understand the concept of a child’s information being of value. Many view children as being excluded from the income-earning workforce, therefore not at risk of becoming a target. This is simply not true.
A few steps your business can take to help prevent child identity theft are as follows:
·       Use identification numbers on documents to identify children instead of requiring Social Security numbers.
·       Ensure all business documents are destroyed using a shredder. The best shredding method is to use a cross-cut shredder.
·       Institute a business policy that requires “hard” passwords on all computers. Hard passwords avoid family child names, pet names and information known to friends. Passwords should not be sequential, and should include a combination of letters and numbers.
·       Develop policies that address the destruction of client information on your computer system when no longer needed. This should include the destruction of your laptop and desktop hard drives after the life of the computer is over.

Failing to institute identity theft prevention can result in liability for your business. You could find your business involved in a civil court action. At a minimum, you may have to purchase identity theft services for your clients if you contribute to their victimization. Take simple steps today to protect your clients and business.
For more information on child identity theft, visit: www.childIDtheft.org and www.facebook.com/childIDtheft

Your best marketing tool is still the most basic one

Marsha Pink Jacket2009 Official Photo

Marsha Pink Jacket2009 Official Photo This is one of those “everything I ever needed to know I learned in kindergarten” sort of things… but unfortunately, lots of companies fail to recognize how vital it is to apply  basic life lessons to the business world. Did you get one of those LinkedIn messages she mentions below? I did…

Your best marketing tool is still the most basic one

– By Marsha Friedman, CEO of EMSI Public Relations and author of Celebritize Yourself

New concepts are constantly emerging in marketing. We’ve seen the rise of “green marketing” — appealing to people’s environmental concerns by emphasizing recycled packaging and the like. And mobile marketing, finding new ways to get the attention of potential customers clutching hand-held devices.

There’s a lot to be said for new strategies, but it sometimes seems people get dazzled by novel approaches. They forget there’s one enduring strategy that never fails.

Honesty.

You can only do so much telling customers and prospective clients about who and what you are. At some point, you have to show them. And if the experience you provide doesn’t match with how you’ve represented yourself, your company, your practice, product or book, they’ll not only walk away — they’ll likely take others with them.

There are a lot of ways your honesty — or lack of it — can be revealed in the course of a day. Sometimes, it may seem like the price of being honest is just too high, for instance, when you’ve made a mistake you fear will seriously damage your reputation.
Do you own up to the mistake? Blame someone else? Cover it up?

I like Jason Fried’s answer.

Jason is the co-founder of 37signals, a company that produces a chat tool called Campfire for small businesses. A couple years ago, he wrote a column in Inc. magazine about what happened when Campfire malfunctioned, sparking a real wildfire of rage among his customers.

But, he wrote, “People don’t judge you on the basis of your mistakes — they judge you on the manner in which you own up to them.”

Jason and his business partner were honest about their mistake, and sincere and consistent in their apologies. They corrected the problem, of course, and also gave their customers a free month of service for the disruption.

By the end of their nightmare, Jason and his business partner were getting messages like this from their customers: “37signals has been giving a free lesson in customer service and honesty the past few weeks.”

While I don’t believe anyone reading this would intentionally lie to customers or in their marketing, there are many situations that test us! I find it helps to have the rules of engagement firmly in place before a situation arises.

Here are a few good “old-school” marketing strategies:

• Be honest about what you can do – and what you can’t. I’m a “yes we can” kind of businesswoman. I’ve succeeded in business because I know there’s almost always a way around an obstacle if you’re flexible and creative in problem-solving. I don’t back down from a challenge just because it’s something I’ve never done before. However, I also know there are some things I cannot do. Recently, I had a prospective, high-profile client who would’ve been a dream to bring onboard. In our many conversations, he talked about the kind of publicity he wanted and the general goals he hoped to meet. I knew we would have no problem getting him what he was looking for. But then, just as he was preparing to sign a contract, he shared what he really wanted: His own regular segment on a national network morning show.

To get that he would need more than a publicity campaign, so it’s unlikely we could make it happen for him. And I was honest about that. He didn’t sign on with us, but, more important, we maintained our integrity and he’s not disappointed.

• Keep your word. If you offer a “money back guarantee,” honor it upon request. If you say you’ll pay a referral fee, pay it immediately. If you say you’ll have something done by a certain date, move heaven and earth to meet the deadline. If for some reason you can’t, let the customer know, tell them why and be prepared to help mitigate the consequences if possible. (The corollary rule on deadlines is don’t promise more than you can deliver!)

• Remember, there’s a fine line between attention-getting and trickery. In marketing, the competition for attention is overwhelming, so we draw upon all of our creativity to make ourselves stand out. That’s fine. Tricking people is not. In fact, some tricks — like the old bait-and-switch tactic — amount to fraud. Others may not have legal consequences but can be just as damaging. (I’m thinking of the congratulatory emails sent out by LinkedIn a couple weeks ago, telling members “You have one of the top 10 (or 5 or 1) percent most viewed profiles for 2012.” Many recipients were pleased and rushed to share their exclusive ranking on social media. Many weren’t so pleased when the Los Angeles Times reported millions of other members also got the emails.)

It boils down to the Golden Rule for business — do unto your clients, customers and prospects as you would like done unto you. Sometimes, it requires some really hard decisions. But in the end, integrity is the most valuable marketing tool in your arsenal.

About Marsha Friedman

Marsha Friedman is a 23-year veteran of the public relations industry. She is the C and she can also be heard weekly on her Blog Talk Radio Show, EMSI’s PR Insider every Thursday at 3:00 PM EST. Follow her on Twitter: @marshafriedman.