Monthly Archives: August 2011

August 31, 2011

Bound By The Chain Of Command

By Chris LoCurto
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Yesterday, we launched the second EntreLeadership Podcast, and it’s taken off like crazy. Thank you to all who are subscribing and making it the No. 1 business podcast and No. 2 podcast overall. If you haven’t listened to it, click on the image to the right.

As part of the podcast, we’ve invited you to ask questions. Here’s a fantastic one from Tim:

Mr. LoCurto,

I heard your EntreLeadership podcast the other day. Very nice. I enjoy something new to listen to from Mr. Ramsey. Now, where I work I am not a leader, manager or supervisor. I’m just a frontline IT support person. In the first podcast, you spoke about an employee emailing Mr. Ramsey directly about a ted.com presentation.  Did that violate the chain of command at your company?

Where I work, if I emailed the service center VP (someone about four levels above me), I would be written up so fast my head would spin (due to violating the chain of command), and I even know the VP a little bit.  If I wanted to send something to the service center VP, I would have to send it to my supervisor, who would send it to his supervisor, and on up the chain.

Also, when you do the leadership feedback meetings, how do the employees know what they say won’t be later used against them?  I could see an employee thinking they would be marked as a troublemaker or as someone who is not a team player if they bring up something that is too critical.

I’m just looking for your input/feedback based on my experience over my career in the IT industry.

Peace be with you,

Tim

Thanks, Tim, for a great question. First things first, we don’t go by our last names. Just call us Chris and Dave. As for the chain of command, I think it is absolutely vital and Biblical. Jethro saw that Moses couldn’t handle managing all of the people, so he counseled him on setting up leaders over them.

Wisdom says that you can’t have every team member bogging down one leader. We recently discussed in one of our Leadership Council meetings that, for the sake of time, we would not bring up issues that could be addressed by a team member’s immediate leader.

The difference between our culture and yours is that our leaders are accessible, and our team knows it. Our leadership team has to be accessible to our team members. It’s part of our culture. Without it, we would have a lot of suppressed, unappreciated, do-the-least amount-to-get-the-job-done employees. We don’t want that! Therefore, our team members understand the need to respect the chain of command, but they know it’s not law.

As for the leadership feedback, we don’t keep a score of team members as troublemakers for telling leadership of issues. Instead, we fix the issues, or we show why it’s not one.

I’ve seen the environment that you’re in, and I know it makes you scared and cautious like a whipped puppy instead of on fire and ready to run like a thoroughbred. We prefer thoroughbreds around here.

Question: How accessible are you and your leadership team?

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14 comments   |  tags: , , , , , , , , | posted in EntreLeadership, Leadership, Small Business

August 30, 2011

How Not To Bomb At Speaking

By Chris LoCurto
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People consistently rank public speaking as their number-one fear. Why? Because we have a tendency to wonder, and sometimes worry about what our audience thinks of us.

Do they think I’m a dork? Do they hate what I’m saying? Are my gestures too small or too big? Do I sound like an expert or a moron? Do my jeans make me look fat? Okay, maybe not the last one. Our fear of being judged is what makes public speaking so tough. The funny thing is, most of the time people aren’t thinking about the speaker anyway. They’re thinking of the content.

But every now and then, you come across someone who forces you to think of them as a speaker. Recently I had the opportunity to listen to someone present on a subject I consider myself to be advanced in. His presentation wasn’t as strong as it could have been. In fact, I spent a lot of time thinking about giving this person a hug.

Now, if you’re not a speaker, you might have spent your time focused on how bad the speaker was. As a speaker, I spent most of my time wanting to help him. With a few tweaks, it could have been a much better presentation. Here are some of my tips for making a presentation the best it can be—whether it’s in front of a crowd of thousands or simply in your next team meeting:

  • Talk to me, Goose – (Yes, that’s a favorite line.) One of the biggest mistake speakers make is being over the top. If you’re not Zig Ziglar, don’t try to be. Be you. Some people try to go so big that they end up sounding like bad salespeople. Instead of selling me, talk to me. Have a high-energy conversation that fits the size of your crowd.
  • Clip Art rocks! – Make sure your presentation is up-to-date. It doesn’t cost that much to purchase great presentation software nowadays, and there is a whole world of templates being created every day. If yours looks outdated, it will take my focus away from what you’re saying, especially if I know what a good presentation looks like.
  • Heeey, what’s in this? – To me, content is the most important thing. If people are going to spend their time in front of me, then I better deliver something that can change their lives. I say it this way: Everything you say on stage, even if it’s a joke, must have a purpose. Otherwise you are wasting my time. Evaluate your entire presentation, and if there’s fluff, cut it!
  • Is this a sleepover? – You have to be cognizant of your time! Unfortunately, I am a repeat offender of this. If you have 45 minutes to speak, tailor to presentation to your time. Otherwise you start losing your crowd at 46 minutes. Plus, if you take too long, you have to cram the rest of your info towards the end.
  • Practice really does make perfect – You MUST know your material. Your audience will forgive a couple of bobbles, but if you can’t remember what slides are next, it tells me that I wasn’t important enough for you to practice your presentation.
  • You can’t make me do that – Crowd interaction is fantastic . But if it’s forced upon the crowd, it’s annoying. It’s okay to ask for something from me as an audience member, but don’t make me respond. If I’m comfortable enough with you and my surroundings, I’ll react.
  • Um…uh…ok – How you say your presentation also depends on how distracted I can be. In How To Speak Gooder I share an exercise I came up with years ago to train myself to speak fluidly by teaching my brain to think ahead while I speak.
  • Who are you again? – Make sure that you absolutely understand who it is you’re speaking to. What do they do? Where are they from? Who are their clients? And most importantly, do they already know your material?

There is a lot more to being a good or great speaker, but this should help you avoid the common pitfalls.

Question: What areas do you think speakers need to work on?

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34 comments   |  tags: , , , , , , , , | posted in Leadership, Small Business

August 29, 2011

When A Co-worker Talks Too Much

By Chris LoCurto
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Here’s another great question from a Twitter follower. I asked @Dustin_Nichols if it would be ok to use his question for a post, and if he cared if I shared his name or not. Obviously he was ok with both. Feel free to send any questions that you would like answered. I can use them for a post and credit you or not. It’s up to you.

Dustin asked what to do with a team member who drives everyone crazy. I asked how and he said the following:

If you’re anything like Dustin, you’ve worked with the person who couldn’t stop talking. They drive those around them crazy with constant chatter about stuff that is usually not relevant to what’s happening at the time. They can’t wait for you to walk in the door so they can tell you just how cute fluffy was last night playing Chopin on the PLAYSKOOL piano. It baffles you that they won’t let you get to your chair and turn your computer on before they’re discussing what happened last night on Big Brother.

While I’m no expert on the psychology of the over talker,  I believe there are a ton of reasons for this persons inability to respect your personal ear space. Some are:

  • They have nobody at home to talk to.
  • They do have someone at home, but they don’t get the attention they need.
  • Their personality style is such that they are a mega people person, but very immature in their growth.

Whatever the situation, you have to remember that they are a person with feelings and needs just like the rest of us. While we all need acceptance and attention, some need it more than others. So how you handle it matters. Getting mad is only going to hurt their feelings and make you feel like a dork. Instead, come at it from the side of Grace.

How would you want to be treated? Or, better yet, how would you want someone to treat your son or daughter if they were the one with the problem? You have to understand that it is imperative you use kid gloves when handling a situation like this. My suggestion is you take them out of the cubicle/office setting and have a calm discussion with them. One where you use the “sandwich” technique.

Start by telling them a few of the things that you appreciate about them most. Seriously, come up with some good stuff. Then gently tell them you have a concern that may make them feel defensive but you hope that it doesn’t. Share that there are some things they are doing that are causing some distractions to team members.

List out the items and let them know that it is perfectly fine for them to have discussion times at lunch, breaks, off hours, but during work hours they need to be cognizant of distracting other team members. It’s important that everybody focuses the time they spend during paid hours doing work. Otherwise it’s stealing from the company. Then follow-up with how great of a job they do and how much you appreciate their work.

None of this will be easy, and it has the potential to upset the over talker, but it’s something that needs to happen. Again, treat them the way you would want your child to be treated.

Question: How would you handle an over talker?

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17 comments   |  tags: , , , , , , , | posted in Leadership, Small Business

August 26, 2011

How To Be A Stronger Leader

By Chris LoCurto
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There are two types of leader: those that are willing to discover their strengths and weaknesses and openly share them, and those who are only willing to share their strengths.

I believe both types know their weaknesses, but only one is mature enough and secure enough to point them out. As far as I have experienced, all leaders go through a time in their lives when they don’t want anyone to know that they aren’t strong in an area. They try so hard to keep up an image of someone who can do anything.

But those that are more mature understand that discovering your weaknesses can only enhance your strengths. How? It’s simple. Once you understand the areas you struggle in, you can support yourself with people who are considerably strong than you in those same areas. The problem is, people become afraid that if a weakness is apparent, then their leadership must be flawed. Which is a view taken only by other immature leaders.

The truth is, if you can stay more focused in your strengths, you can accomplish greater things. I was talking with one of the coolest members of our team, Charlie Allen, about how he has a job because his leader, Michael Reddish, spoke up about areas that he was weak in. As Michael realized that he was strong in being a big picture and visionary guy, and weaker in extensive research, he discovered the best way for him to continue to grow his area was to bring in someone who was really strong in research area and details.

Charlie mentioned that if it wasn’t for Michael’s revelation, Charlie wouldn’t have a job with us. I partially disagree…Charlie’s a champion, he would’ve found his way in. But it really raises a great question. Do you recognize your areas of strength and weakness? if not, here are a few things you can do discover them:

  • Write yourself up – Start by writing a lists of both strengths and weaknesses to the best of your recognition. The important thing here is to be brutally honest with yourself. It’s okay to not be great at everything. Trust me when I say that you will be much happier spending your time doing what you love, instead of what you can.
  • Humble yourself – Ask your spouse or best friend to weigh in. I know, this is way harder than it sounds for some people. But who knows you better? Let them know what you’re wanting them to do and give them time to process it. Then, when they are ready, LISTEN! Take what they have to say and process it yourself. You may not agree with it all, but as you continue leading, you may begin to see some of those stand out.
  • It’s your turn – Talk with team members that you trust and respect and ask their opinion. These are the people who work with you the closest. They get to see your strengths and weaknesses played out everyday, even if you don’t think so. Again, give them time to process the question before they answer.

You’re ultimate goal should be to grow as a leader. If you don’t support your weaknesses with people who are strong, then you’ll continue spending time in those areas. Get some courage and tackle this process as soon as you can. You’ll be amazed at what you find out.

Question: Have you seen leaders do this, or leaders who need to?

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8 comments   |  tags: , , , , , , , , | posted in EntreLeadership, Leadership, Small Business

August 25, 2011

How To Attract The Talent You Need

By Chris LoCurto
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Hiring is always one of the most daunting tasks for a leader. Obviously you have work that’s not getting done, or you’re stretching your current staff beyond acceptable long-term limits. You have to spend a ton of time going through resumes of people who don’t fit the position.

Someone will spend a lot of time making initial calls, calls on past employers, calls on references, etc. And that’s before you begin the process of sitting down with strangers, asking tons of questions, hearing….interesting answers, and hoping that you find a gem! Then, if you’ve made the same mistake as most leaders, you hire someone only to find out later that they weren’t right for the position. Thus starting the process all over again.

If that’s ever been you, you’re not alone. I don’t know of a single leader who doesn’t have some hiring war stories. It happens to us all. The key is to do everything you can to fix the process. Tim Sanders was doing our devotional one day and he said it’s okay to make mistakes, just don’t make the same one twice.

We have a pretty good track record of hiring people at Dave Ramsey‘s office due to the massively long hiring process we have. I’ve written a few posts on how to do it right, but I wanted to take this time to tell you about an important element of your job posting that should save you a decent amount of time. It should be obvious that you need to write your job description in such a way as to attract the talent that you need.

However, you should write your posting in such a way as to attract the personality style that you’re looking for. For example, we have a ton of families that take their vacation to come to Financial Peace Plaza. Some to celebrate getting debt free, some just to get an extra shot of enthusiasm in their arm. Either way, we wanted to do something special for those folks when they came in. Our thought? Taking our book store and expanding it to add a large coffee shop with cakes and cookies and someone incredible to run it.

Now, if I posted a job listing for the person to run that, and I didn’t explain what we were looking for in that person, we would have had a ton of resumes from hard charging driver personalities with a goal of expanding our coffee-house empire by adding five more stores within the first year. But that’s not what we were looking for.

Instead, we wanted to give coffee, cakes, and cookies away for free. Yes, free. If these folks were going to take their hard-earned vacation to come see us, we wanted to bless them in the process. Also, we wanted someone with the heart of a servant, the heart of a host/hostess, not someone who was interested in watching the bottom line. Therefore, we needed to post this listing in a way that asked for someone who had hospitality running through their veins.

Luckily, one person stood out immensely and that was Martha Thompson. If you’ve been to FPP, and interacted with Martha, you know she is the exact fit for what we needed. She bakes the most insanely good stuff, makes a great cup of coffee, but more than anything she treats people like kings and queens. She listens to their financial journeys and tells the stories of how we got to where we are. Again, something we most likely wouldn’t have received with a generic posting.

Question: How have you seen job posting fail?

Help me help others. Pass this along to those in your network.

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8 comments   |  tags: , , , , , , , , | posted in EntreLeadership, Leadership, Small Business

August 24, 2011

Why Customers Pass You By

By Chris LoCurto
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One of our fantastic editors, Amy Lorton, was recently at a massive trade show. As she was walking through the exhibit hall, something caught her attention. There was a stark difference between the vendors who were slammed and the vendors who had no traffic. The ones who were not busy were all sitting down.

I wonder what the thought process is behind this type of salesmanship. Maybe they don’t want to bug people. Maybe they’re afraid that if they stand up, they will be too intrusive. Maybe they think the only way to engage someone who hasn’t first engaged them is to act like a bad used car salesman. I really don’t know the reason, but I do get that their current sales plan isn’t working very well.

You don’t have to attack me as I walk by, but at least make me think you are interested in your product. When I see you sitting there waiting on me to come up to you, I figure what you have to sell can’t be that good. And possibly, that’s why nobody is at your booth. It’s because they figured it out, as well. Instead, get on your feet and make me believe you have something that I need.

As a salesperson, you have to realize that so much of your sale is relational. When our Financial Peace University team exhibits at a conference, they are constantly on their feet trying to engage the attendees walking by. They don’t run out into the aisle and attack them, but they make sure they are there to answer any question attendees have, as well as serve them anyway possible.

Some vendors believe that if people want to know about their product, they will come to them. Actually, the truth is that attendees at a large trade convention are roaming through the mass collection of wares wondering if anything is right for them. Show them how your product is the thing they need. Do it well, do it nicely, but stand up and do it!

Question: Who are you more likely to engage, someone sitting down or someone standing?

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14 comments   |  tags: , , , , , | posted in Leadership, Small Business

August 23, 2011

Oh, so now you’re nice

By Chris LoCurto
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I’ve noticed a trend at restaurants lately, where some of the servers are going out of their way to be nice…when they hand me the check. It’s funny because it seems like the person who gave me the bill is not the same individual who served me throughout the meal.

I’m not saying they were bad servers or  are mean or anything. They were actually all good. However, when the checks were dropped, I received comments like, “Have a fantastic evening, sir.” These remarks were normally said with an over-the-top tone that was nowhere near the one used to ask me, “You know what you want” So the question is: Has someone started teaching servers that the last impression is the one that gets  them a tip?

If so, someone fire that guy. Each time it has happened to me lately, I adjusted the server in my mind to a bad salesperson. Why? Simply put, if they could be that unbelievably nice at the end of my meal, why weren’t they that way the whole time? In fact, if that was the case, I would have given an extra tip! I can’t help it. I love happy, can-do-anything kinds of servers. It’s probably because I was a waiter once, and I understand how easy it is not to be nice. Consistency should be the goal. Let me think you’re always nice, not just when you want a tip from me.

A classic example of “doing it right” is Chick-fil-A. Every time you enter a store, you are treated consistently well from beginning to end. The staff is courteous and respectful. When you say, “thank you,” they always follow it up with “my pleasure.” That’s the kind of customer service that makes you want to tip big!

Interestingly enough, the wait-until-the-end phenomenon isn’t just for servers. In fact, you’ve probably noticed it in several different places. How about the rude receptionist who suddenly realizes you might actually say something about them to the person you’re meeting with? All of a sudden, they are as sweet and as interested in you as they can be.

To me, the issue is people not going the extra mile to make all customers feel amazing through the whole process of the transaction. There may be a ton of good reasons that they aren’t “feeling it” that day, but none of them matter in the eyes of the customer. All they know is the experience with that person. And that can be the difference on whether the customer returns or not.

As leaders, it’s our job to make our team successful. Part of that is ensuring they have all the tools necessary to do their job, including instruction on serving customers each and every time they interact with them. Be excellent in the ordinary. The goal is not to shine when the moment is right. It’s to shine the whole time. Then, every moment is right.

Question: Have you noticed the same actions happening? If so, where?

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12 comments   |  tags: , , , , , , , , , | posted in Leadership, Small Business

August 22, 2011

Steps To Handling Micromanagers

By Chris LoCurto
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If you are a leader, one practice you should always follow is to micromanage your brand new team members like crazy during the 90-day probationary period. You need to do everything you can to set that person up for success. Not by asking, Did you do that? Did you do that? Instead, by inquiring if they have everything they need. Do they have any questions? Is there anything you can do to help them?

This allows you an opportunity to see if they are going to be fantastic at the job. If they struggle, you know you have a problem. If they excel, you have a winner and you need to give them the room to grow.

Once the three-month period is up, no one needs to be micromanaged. So why does it happen? As a team member, there are two things to understand about a micromanager. Either they don’t trust you or they are control freaks. It’s usually the latter. Either way, they aren’t “leading.” My definition of a leader is someone who spends their time making their team successful—not the other way around.

I was recently asked by a friend if I had any suggestions on how to deal with her micromanaging leader. And when my kicking-him-in-the-shin recommendation didn’t work, I figured I better come up with a better one.If you are being micromanaged, here are some steps you can take to resolve the issue:

  • Talk to me, Goose. - No matter the deal, you have to discuss what’s going on with your boss. Set a time when you can meet without distraction and explain what you are feeling. Keep in mind, it should be a discussion, not an attack, which will immediately put them on the defensive. Explain what you are feeling, and then be adult enough to hear their response. Remember, you might not like what they say. If the reason they are micromanaging is because of your lack of performance, then don’t be offended. Simply ask the steps necessary to fix the problem. Then, do everything you can to resolve it! If you do and they continue to micromanage, then you’re not the problem.
  • It’s not you, it’s me. Wait, no, it’s you. – If they truly are a control freak, then it is going to be a little harder to fix. In fact, you might not be able to. But at least you can bring the issue to their attention. So do it! You need to show how you have been consistent in completing whatever your KRA (Key Result Areas) is. If you’ve proven yourself to be successful, you now have the opportunity to ask that leader why they have felt the need to check up on you so often. (Don’t use the word micromanage. Believe me, it won’t get you points.) If they are mature enough to engage and explain, then request more authority. If the leader is a control freak, they probably aren’t mature   enough to have this conversation. Again, do it anyway, realizing it may take more than one meeting. Your job is to help them see you can be trusted.
  • Which side is your good side? – Finally, ask them to mentor you in this process. Yes, I know. If they’re a control freak, why would you ask them to guide you?  Simple enough: It will actually help them see they are being a control freak.

If you have gone over the process with them multiple times, they will eventually realize you are a success. That will help them let go…some.

Question: What situations have you experienced with a micromanaging leader?

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20 comments   |  tags: , , , , , , | posted in Leadership, Small Business

August 19, 2011

What Should You Do With Profits?

By Chris LoCurto
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Recently, we launched the First Ever EntreLeadership Podcast after receiving many requests for it. The goal was to create an additional way of teaching the EntreLeadership principles. The day we started, it went straight to the No. 1 spot for Business Podcast downloads and was the No. 2 Overall Podcast download.

Now that the podcast has debuted, we want to hear from its listeners. I will answer some of the questions via the podcast, as well as through my blog. One of the first questions we received at podcast@EntreLeadership.com was:

I own a small financial coaching business on the side and average about $2,000 worth of sales each month. I do not have any employees at this time, and I am unsure what to do with the income in regards to profit. Is there a formula I should use to allocate those remaining dollars after operating expenses for things like advertising, retained earnings, paying myself, etc.?

That’s a fantastic question that so many people ask. Here are a few steps you can take:

  • Take it home! - Now, when I say, “Take it home,” consider whether you actually need the money at home. If so, take what’s necessary for a living wage (how much you need to live on). If you don’t need the money, you still probably should take home something small so you emotionally feel like you’re winning. Otherwise, look at all the places inside your business where you can grow.
  • Piggybank it! - You need to be saving money and building up retained earnings that equal 50% of your annual expenses. That number should be whatever it would cost you to keep your doors open for six months if you didn’t obtain any new business. It’s not overhead and the expenses of your current orders. If you don’t have any new work, you don’t have to pay those expenses.
  • Grow it baby! - Where do you need to spend money to grow your business? Most likely marketing, possibly advertising, or, even better, sales people! Can you invest into team members who bring money in the doors? If they’re commissioned sales people, it doesn’t take much from you to get them going.
  • Look out! - Or better yet, look ahead. If you’re good on the previous three options, start looking at a percentage of your income to put into an HR fund. This amount could be for profit-sharing, Christmas parties, special outings, helping team members with needs, etc. Obviously, it’s not needed if you don’t have a staff. But as you grow a team, you should take care of them.

Percentages are really based on your needs at the time, as well as what you’re willing to share. You make the decisions, just always be thinking about your team.

Questions: How have you used profits in your business or what questions do you need answered?

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13 comments   |  tags: , , , , , , , | posted in EntreLeadership, Leadership, Small Business

August 18, 2011

Why Your Time Is So Important

By Chris LoCurto
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Without customers, your business doesn’t exist. How about that for an opening sentence? You can make the greatest product in the world. If nobody buys it, though, you’re going to have a lot to give family and friends at Christmas.

Therefore, you need to take care of your customers. Make sure you always go above and beyond to show them their patronage is greatly appreciated. In Do You Really Care? I discussed how the smallest touch can tell your client how much you are focused on them instead of the bottom line.

But what happens when your product is in high demand? If you’re Apple, for example, then it’s easy. You continue to create a great product that causes demand through scarcity and urgency. It keeps the customer always coming back for more and willing to wait on the next latest, greatest thing you produce.

However, there are some high-demand businesses that have forgotten part of what customer service is all about. Take the medical field, for instance. I completely understand that if I’m sick, I need a doctor. If I’ve done a bad job taking care of my weight, I probably will want to see someone about my blood pressure.

What I find annoying is the treatment of their customers by so many working in the medical field. Somehow, it has become standard to set appointments with patients, and then leave them sitting in a waiting room for potentially hours. How is that OK?

When did it become acceptable to treat someone that way? Did they forget the people in the waiting room are actually paying for the visits? Well, you don’t understand, doctors are very busy, and it takes a lot of time with each patient. Great, then schedule accordingly. If you’ve been practicing for any length of time, you have a clue how long the issue at hand should take.

What’s my point? Imagine what would happen to your business if you did the same thing to your customers. Now think of something you do that is not up to the highest standard, simply because it has become acceptable. It used to be OK to have a drive-through line a mile long. Now, businesses like Chick-fil-A are realizing it’s not good enough, so they have team members out in the parking lot taking orders to speed things up.

Why? Because they understand that without the customer, they don’t have a business. And when a patron sees a line that will take most of their lunch hour, they’ll go somewhere else. It’s that simple.

Question: What are some of the fixes you see that businesses can make?

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17 comments   |  tags: , , , , , , , , | posted in EntreLeadership, Leadership, Small Business

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