Order of Magnitude CEOs

Earthquakes, Hurricanes, Grand Slams, and Mortality (A most memorable week gets me thinking about a Steve Jobs’ speech about what's really important)

When I woke up this past Tuesday morning and headed into Manhattan, little did I know that this week is the kind of week that I will remember for the rest of my life.

On Tuesday, almost simultaneously I noticed a tweet from a good friend of mine in Northern Virginia just as I got a call from my wife about the largest Earthquake in Virginia in over 100 years (we have plenty of family in the Earthquake area). 

On Wednesday evening, as I was catching up on the day’s emails I got word along with everybody else that Steve Jobs, one of the greatest entrepreneurs in U.S. history, was resigning as CEO of Apple due to his health.

On Thursday, the New York Yankees became the first team in all of baseball history, to hit three grand slams in one game.

And, on Friday, I found myself preparing for Hurricane Irene, one of the largest Hurricanes to ever hit the New York City area.

On Saturday, today, these events got me thinking about what is really important as I await Hurricane Irene with my family.

I thought back to a Thursday afternoon conversation with Tom, a successful business owner, who reminded me of Steve Job’s 2005 Stanford commencement address.

On the train home that night, I pulled up the transcript of the speech on my phone.

And as I write this blog, I am just finishing watching this 15 minute speech which I had not done in a few years.

The speech has three great stories and a number of memorable quotes that will resonate with any ambitious owner.

If you haven’t done so recently, watch the speech now and think about what is important in your business and personal life.

Steve Jobs. 2005 Stanford Commencement Address

This week and this speech are the perfect backdrop to understanding how the daily tactical items relate (or do not relate at all) to what is truly important in your business.

As Steve Jobs says towards the end of the speech “Don’t Settle.”

You owe it your employees, clients, and family. But, most of all, you owe it to yourself.

Be Safe!!

The Story of the Friendship Clam Shell (To Get the Important and Difficult Accomplished in your Business, Make it Urgent)

 

My wife Michelle and I had the pleasure of hosting her youngest cousin, Naty, for the past few days.

Yesterday, after a whale watching tour in Cape May, we were discussing what to do next while having lunch just a few feet from the beach.  “How about going to the Cape May lighthouse or heading over to Wildwood for the rides?” Michelle asked the children.

Naty immediately answered, “Can we go to the beach?” Living about three hours from the beach, Naty doesn’t get to the beach too often.  Since not everybody had bathing suits, we drove back from Cape May and by about 6:30pm we were at Sea Bright, one of our favorite local beaches.  Naty and my two daughters hung out in and around the ocean and along some rocks that jutted out.  Stuck in-between two of these large rocks was a perfect and exceptionally large clam shell.  The three girls tried on their own to remove the shell, but were unable to pry it lose.  After a few minutes, my younger daughter Grace, on behalf of Naty and my older daughter Sarah, came running to my beach chair and asked for help.  I sauntered over and surveyed the imprisoned shell, including ignoring a piece of long rope to the side. I then pulled on the shell and quickly announced, “it’s impossible to get it out.” 

The girls did not give up. 

A few minutes later my wife ventured over to see what was happening and to let everybody know that we would be leaving soon since it was getting dark. The girls with extra urgency in their voices shouted in unison, “Can you get the shell out for us?”

Michelle went over to the two big rocks where the shell was lodged and reviewed the situation.  After pulling on the shell, she also noticed as I had earlier the same long piece of rope that I had ignored. Michelle picked up the rope and wrapped it around the shell.  She pulled on it and I heard all three kids gasp, “it moved.”  Realizing I was wrong, I then quickly and excitedly came over and helped. Within the next minute or two, the shell was extricated from its prison.

If something is important and difficult yet required for your business – such as building a scalable sales process, recruiting a key operations executive, or building out a unique brand identity, don’t give up.  Find a way to make it urgent and get going on making it happen any way you can.  It’s accomplishing the important and difficult that separate Order of Magnitude CEOs from all the other CEOs and owners.

Prologue: My King Solomon Decision - Who gets to keep the clam shell?

My older daughter Sarah and Naty both wanted the magnificent clam shell.  Naty, as a souvenir of her brief trip to the beach with us, and Sarah, well just because it was a nice big pretty shell. 

What to do?

I asked both girls if Naty could take the shell with her back to Virginia and the next time they saw each other, Naty would give it to Sarah who would then get to keep it until the next time they met, and so on.

I proclaimed it the “Friendship Shell.”  Luckily, they immediately agreed, and we all happily left the beach.

The Sad Stories of Shoulda, Coulda, and Woulda (Meet 3 Business Owners You Don't Want to Be)

I recently caught up with 3 business owners that have struggled recently - Shoulda, Coulda, and Woulda.

Shoulda: “I shoulda invested my profits when my business was growing like gangbusters a few years ago like my buddy who had the same revenue and profits as me.   In fact, now that I think about it my buddy’s profits were even lower than mine.  When the downturn hit, I pocketed my profits now look where I am.”

“Where are you?” I innocently asked Shoulda.

“Well, my buddy’s profits are four times or more what ours were back then and mine have been cut in four.”    

“That’s nothing, at least you have profits,” said Coulda, who apparently had been listening in on my conversation with Shoulda.

“I coulda kept some great clients and staff and attracted new ones but I didn’t pay enough attention to their concerns and goals.  I didn’t see the market changing, instead, I just focused on what I wanted and now I have lost my top talent and my best clients.  And for the employees that stayed with me, I am now just a job for them and for my clients, just another vendor.  I am barely breaking even now.  I wish I knew then what I know now, I coulda done it so differently.”

“Your both amateurs compared to me,” barged in Woulda.

“I had some great employees but I never let them make decisions.  They kept coming to me and instead of helping them decide what to do, I always made the decisions for them.  I never let them make any mistakes that would impact the company; I never let them grow for fear of them making a mistake that might cost the business a new client or money.  Now, its 10 years later and I am still making all the decisions.  And, my last decision is shutting down my company at the end of the year.  If only there was a way to go back into the past, I woulda spent my time and resources developing my leadership team, my company woulda been so different now.”

Shoulda, Coulda, and Woulda all looked dejected and defeated as I surmised that each thought about what they might have done differently if allowed to start again from the beginning playing the game of business owner.

“Why so resigned about your future?” I cried out as they each shuffled out, heads down, “tomorrow is a new day, it’s not too late…” but Shoulda, Coulda, and Woulda, didn’t want to hear any of it, it was easier for them to be resigned about their future, based on their mistakes of the past.

Don’t be Shoulda, Coulda, or Woulda when it comes to your business.  It’s the future that matters not the past.

Still a Beginner at Key Items Truly Valuable for Your Business? It's OK to set ambitious goals and adjust later (Update on how I am doing with my triglyceride and HDL levels)

Back in the end of January, I made a public declaration of reducing my triglyceride and HDL levels.  At the time my triglyceride level was 243, with an end of year goal of 150, and my HDL level was 37, with an end of year goal of 40.  When I made the declarations, I knew very little whether either declaration was too ambitious or not ambitious enough, but, I speculated making the declaration public would make it more likely that I would make changes to my diet and exercise in the right direction.  I was right.  I significantly upgraded my eating habits as well as now exercise regularly following the P90X program.  I also committed in that January 30th, 2011 blog I would visit my doctor half-way through the year to check on my interim status.  Well, I visited my doctor in July and received a call about 10 days ago from my doctor to discuss the results.

“Jeff, I have some very good news.  Your triglyceride level dropped all the way down to 81, over a 160 point drop, very impressive.”

“Awesome.” I yelled excitedly into my cell phone, as my doctor is not prone to hyperbole, so I knew I had done well.  “And my HDL level?”

“Not as good Jeff, your HDL dropped from 37 to 34.”

“I don’t get it, what could have caused the drop Doctor?  I am exercising and have improved my diet?”

“Tell me the changes you’ve made.”

“As you know from my visit two weeks ago, I completed P90X and I have dramatically cut down on carbohydrates.”

“Anything else?”

“Yes, I am eating less dairy products - I am drinking soy milk and even eating egg whites instead of eggs,” I proudly told my doctor.

“That’s it Jeff. Actually I want you to eat dairy products which are rich in Saturated Fats. You need to boost your intake of Saturated Fats to help raise your HDL level.”

Jeff: “What type of milk?

Doctor: “2% or Whole. Whole is better.”   

Jeff: “How about eggs, can I have one every day?”

Doctor: “For sure, even more if you like.”

Jeff: “Even the yolk?”

Doctor: “Especially the yolk.”

Jeff: “Won’t eating all these dairy products raise my LDL?”

Doctor: “It might go up a little, but your LDL is currently fine and we can re-evaluate after your next check-up at the end of the year.”

Although I am still a beginner when it comes to my health, I commit to continue to develop my competence and will measure how I am doing in the beginning of 2012.

Where are you or your business currently a beginner – Sales? Marketing? Hiring? Training Staff?  Make a declaration to develop competence for something that is valuable for your business, set a goal, track it, start moving towards it, and then make updates as you and your organization develop competence.  

As for me, I declare to keep my Triglyceride level below 125 and to raise my HDL to 40 by the end of the year.  Are my important goals in the domain of health too ambitious or not ambitious enough, I’ll find out in early 2012.

How are you doing on your important goals for your business?

The Blue Container or the Red Container or Both (Don't Be Surprised If Your Staff Can't Read Your Mind)

 

This past week I met Mitch, a long-time business owner, for lunch. 

“Jeff, my new senior fulfillment person keeps saying the wrong things to our clients.”

“Mitch, what do you mean?”

“Well, she pissed off a wonderful long-term client of ours by going over the implementation plan and fees in detail and also giving him an option of how to save money.”

“Sounds like a great thing to do Mitch, why did the client get pissed off?”

“This client doesn’t care about saving money. This client is all about speed and getting the exact thing he wants when he wants it.”

“Are all your clients like this one?”

“Actually not, the majority of our clients would like to know their options.”

“Interesting,” I replied, “reminds me of what happened between my wife and me this past weekend.”

“How so?” asked Mitch.

“Well, my wife Michelle had just come back from spending hundreds of dollars purchasing pool chemical tablets of a brand called Sustain. There are two types; one in a Blue Container and the other in a Red Container.   About 2 weeks ago, I mentioned to my wife that we only had a couple of weeks of Sustain left and could she pick up some more.  Yesterday, she made a special trip to the pool supply store and brought back the Sustain tablets.“

“When she got home my wife asked me to remove the containers from her trunk since each weighs about 30 pounds.”

“Hmmm, containers I thought to myself, I went to her car and immediately noticed, not one, but two large containers of Sustain.  I was expecting just a blue container but right alongside it was an unnecessary red one.”

“I exclaimed to my wife, ‘Why did you buy the red container of Sustain, we only needed the blue container?’”

“You didn’t say we just needed the blue one, my wife replied.”

“We were both a bit frustrated.  Luckily, I quickly realized that even though I knew what I wanted, how could my wife.”

Mitch thought about this for a moment and replied, “I get it, but to write-up or train what to do for each client would take a long time and this is the first time we have had to be concerned about it in years.”

“Ok, got it Mitch, that’s a great conscious choice and you know how I love conscious choices.  Just don’t be surprised when your fulfillment person pisses off another client because she can’t read your mind on how to handle each of your clients, or if she doesn’t know what values really matter to you. Just like…”

Mitch stopped me and finished my sentence, “you’ve learned that your wife can’t read your mind.” 

“Exactly Mitch, I just wish I would have realized this a few years back, it would have saved some silly arguments earlier in our marriage.”

Mitch gave a good laugh as our conversation turned to the upcoming football season.