I can look back now and see how much I also got out of the countless hours we spent in bars, on planes and on my fishing boat dissecting the topic of business. It was almost like Bo was my therapist; a sounding board for me to reflect on the personal and professional situations that were evolving around me. Talking to Bo drove me to seek better answers because he challenged me about what it meant to do, as the Golden Rule says, the right thing. The idea that those conversations might have contributed something to a wider audience than just us is hugely rewarding.

After a while, though, Bo and I took a break. But I didn’t get to hide for long. That’s because Steve Baker of the Great Game of Business and Loren Feldman of the New York Times hatched this idea for me to write a blog for the Times. They then put me in touch with Darren Dahl, another writer from Inc. who, for some reason, wanted to help me write the darn thing on a regular basis (he also has a happens to love learning about business, for what it’s worth). That experience, too, was both exhilarating and exhausting. Not that talking about business tires me out. It was the process of writing for an audience that I wasn’t sure really understood what we were trying to get at. Don’t get me wrong: I love to hear dissenting opinions and to have people challenge me. But I just couldn’t seem to connect with the audience. The comments we received on our pieces seemed to attack the fundamentals of capitalism more than they stoked an actual debate about how to run a business. That’s why, after about a year, we took a break from that as well.

Well, maybe you can guess what happened next since you’re reading this now. I’ll admit it: I missed it. The Monday-morning therapy sessions where you get to step out of your day-to-day thoughts to focus on maybe what you don’t know or what you want to know more about. That’s what this new blog, which I pulled Darren back in to help me with, is going to be all about. I’m never going to pretend to be a guy like Michael Porter or Steven Covey who can neatly package ideas for mass consumption. Really, I’m doing this just as much for myself as I am for the members of what I hope can grow into a community of ideas. That means I want to hear from all of you. Send us feedback, ideas and the challenges you’re working through. We can then look for opportunities where we can learn from each other. I’ll share some of my thoughts and observations both inside and outside of SRC in return. Maybe we’ll even pull Bo back into the mix from time to time. Perhaps, by all of us doing this together, we really can find a way to save the world through business.

Some folks use the word “leadership” as a synonym for influence. Let’s expand that definition to include a couple of other important activities:

• Influence
• Setting the example
• Removing obstacles for your people

This is not an all-encompassing definition of leadership. Volumes have been written on the subject. In a small business setting, though, it’s good to have a simple, common-sense approach to things so let’s focus on these three attributes.

Influence

There are many kinds of influence. A screaming child in a restaurant is influencing the embarrassed parents.

You can use various types of influence over your staff. But we’re not talking about domination. Of course your position of authority is real so you can’t (and wouldn’t want to) turn that off. But how about simply asking your team – individually and collectively – to deliver the desired behavior?

Years ago, I had two employees who became hostile toward each other after a previously harmonious working relationship. It was jarring for their team members, because they both were considered friendly and easy-going. Quickly it became apparent that this wasn’t going away.

Sitting down with both of them, I pointed out that they likely spend more time at work than with their own families, and a troubled relationship affected everyone around them. They got it, and all returned to normal soon after that.

But it’s not always that easy. A similar situation later erupted with two other employees, and it required more firm and direct language: “You don’t have to like each other but you must work together in a professional and congenial way. Otherwise one or both of you will have to leave.”

You’ll develop your own style over time, but don’t shy away from issues in your business – deal with them directly and quickly.

Checkup:

• Do you avoid issues or deal with them promptly?
• What past problems could have been avoided, and what current issues could be solved via a dose of influence?

Setting the Example

This one’s pretty self-explanatory. Nothing will spoil your good leadership efforts faster than “do as I say and not as I do.” This doesn’t mean you have to become “one of the guys” but know this: Your people watch you like a hawk. Model the behaviors you ask of your team.

Checkup:

• Are you a stellar model for your team? If not, in what areas do you need to improve?

Removing obstacles for your people

As the business owner, you’re the main resource provider. Here’s a good way to find out what obstacles are in your team’s way: Ask ‘em.

How about having your employees create a “Stop Doing” list, or a “Hassles” log? What resources do they need? What procedures are outdated?

Checkup:

• Are you fully aware of obstacles and resource shortcomings in your operation?
• Do you have a plan for addressing them?

Be a leader

So, a simple formula for small business leadership includes using your influence to promptly deal with problems, setting the example and removing obstacles. Got more to add to the formula? Post a comment below!

Bill Collier is the St. Louis area coach for The Great Game of Business. He helps businesses increase accountability and results with open-book management. He is the author of “How to Succeed as a Small Business Owner … and Still Have a Life” Bill can be reached at 314-221-8558 or billcollier@greatgame.com. His blog is http://ggobstl.wordpress.com.

What’s their message? What are their goals?

Anyone who has paid even passing attention to the Occupy movement knows that the protesters have been criticized for lack of clarity. They’re good at repeating euphemisms and phrases: “Corporate greed!” “Scrap the monetary system!” “People, not profits!” “Down with predatory lenders!”  They’re long on signs and screaming but short on specifics.

By the way, here’s their definition of a “predatory lender”: It’s a bank that actually expects you to pay back your loan.

In the spirit of “Give peace a chance” and “Can’t we all just get along?” I humbly offer to fill in the specifics for them. It’s the least I can do. In a word, here’s my take on their message and their goal:

Entitlement.

It’s disturbing that in modern America, people have somehow made it to adulthood without an inkling about capitalism and its role in making this the greatest, strongest, most successful country in history.

Or, maybe it’s not so surprising. Think about it: Self-sufficiency, hard work, entrepreneurship, handling money, doing the right thing, being thrifty … none of these are taught in school. They’re learned – if at all – from family and personal experience.

A new truth has emerged during this long, hard economic downturn: Small business is the heart of our economy. It is the main source of innovation, new jobs and hope. That’s a heavy expectation to hang on America’s entrepreneurs, but I say we’re up to it.

Maybe we have another job to add to that list. Maybe we need to be the primary source of education about capitalism and opportunity … to help stamp out the entitlement mentality.

After all, we do this for our children. Why not expand the lesson into the workplace?

I’m not talking about creating classes or homework. It’s about including simple truths in discussions with your employees:

• We must take in more than we spend.
• A pay raise is not a gift from the owner. It’s driven by the business’ success and your role in achieving that success.
• Our customers have choices. We have to earn their business.
• We must make practical decisions about using scarce resources such as time and money.
• We must honor our obligations.

If your employees hear these messages and better yet, see them in action, won’t they be better equipped to help you succeed? And who knows – maybe your words and example will help someone make better choices at home.

It beats sleeping outside with a cardboard sign that says “Down with the Entitlement Mentality.”

Bill Collier is the St. Louis area coach for The Great Game of Business. He helps businesses increase accountability and results with open-book management. He is the author of “How to Succeed as a Small Business Owner … and Still Have a Life” Bill can be reached at 314-221-8558
or billcollier@greatgame.com. His blog is http://ggobstl.wordpress.com.

Even if your company doesn’t provide literal (monetary) employee ownership, that doesn’t mean you can’t build a sense of pride, commitment and psychological ownership within your team.

This month, we’re focusing on what you can do to help increase that ownership mentality within your organization by unleashing the entrepreneur inside every employee.

To illustrate the ownership mentality, I wanted to share a video clip of some of our employees here at SRC talking about what it means to be an owner (as you know, SRC is an employee owned company, but these comments aren’t about stock value or monetary rewards; they’re about genuine pride and commitment to a company they can help build with their day-to-day actions). When you get a chance, take a look at the video here.

In addition to the video, I wanted to share a “Top 5” list of ways you can increase ownership mentality in your company. Then, I ask you to provide some examples of how you build ownership at your workplace.

5. Recognize, recognize, recognize. A pat on the back (especially from your superior goes a long way).

4. Ask for the opinions of others and let them help in decision-making. We get buy-in from employees on all our major annual plans (called High-Involvement Planning).

3. Show respect for employees at every job-level. One of my favorite quotes, “I judge a leader based on the way they treat their subordinates.”

2. Teach employees how they can make an impact. Get their creative wheels turning with some basic Open-Book training.

1. Maintain a great company image. Nothing is better than hearing something good about your workplace and having that moment of, “Hey, I work there.”

How do you build a sense of ownership at your company?

[ ] Pretty rough
[  ] Fair
[  ] Great!

Even if you chose “Great”, it’s hard to be optimistic when unemployment is high and many of the most powerful people in our government seem determined to punish achievement via the tax code.

Until fairly recently, entrepreneurs were celebrated and respected. It was all about the American Dream.

Now … well, just listen to the words being used and the proposals being made. It’s clear that some folks don’t value what entrepreneurship represents: Pursuing dreams, hard work, jobs and a rising tide that floats all boats.

When the dearly-held principles that made this country what it is today – including Capitalism – come under attack, it is difficult indeed to stay positive.

Don’t fall for it.

Here are seven resolutions for the new year to help you stay positive and improve your company’s performance.

1.    I will not buy into the “the rich don’t pay their fair share” nonsense.

The top 1% of earners pay 38% of all taxes. The top 10% pay 70% of all taxes. (This information is readily available
on the IRS website.) Actually, those with high incomes already pay far more than their fair share. You may not be rich but this ridiculous mantra is mutating into an indictment on all business owners. Get informed – immunize yourself against the negativity.

2.    I will run my business by the numbers.

It’s important to regularly review your progress and results, including:

• Sales and gross profit, broken down by product/service or customer segments
• Major expense line items
• Net profit
• Cash balance and cash flow
• Accounts Receivable, if applicable

Look at month-to-date and year-to-date results, and compare to the same period from the prior year. It’s also a good idea to look at your income statement numbers as a percent of total sales to spot trends early.

3.    I will “hire hard” so I can “manage easy.”

A bad hiring decision can haunt you for a long time. Don’t make a snap decision. Build a strong team who will grow with your company.

4.    I will delegate.

You can’t do it all yourself, so don’t even try.

5.    I will connect with my customers.

Find out the answers to these two questions:

• What’s important to you? (Quality, customer service, etc.)
• How are we doing in those areas?

Develop relationships with your customers. Find ways to stand out from your competitors and to become the supplier of choice.

6.    I will make smart use of technology to improve my business.

Technology has become so affordable and easy to use that no business has an excuse for not going high tech. Even the smallest home-based business can afford to level the playing field with larger competitors.

7.    We will think like a growth company and will not participate in the poor economy.

Get everyone in your company – starting with you and including all your employees – on this bandwagon. Think and talk about growth, pushing through challenges and achieving goals. Be winners.

Build on your successes and learn from your mistakes. Implement all these business practices, and go into the new year with the attitude that this will be your best year yet.

Bill Collier is the author of “How to Succeed as a Small Business Owner… and Still Have a Life” and is the St. Louis area coach for The Great Game of Business. He helps businesses teach their employees to think and act like owners. He can be reached at 314-221-8558 or bill@collierbiz.com.

• Start with a Vision. Think about the business – where you came from, where you are, and where you want to be.
  - Pick an appropriate timeframe, maybe 3-5 years out. How will the business look?
  Think revenues, people, locations and lines of business.
• Learn from the past. Make the following lists and use them when working up next year’s plan:
  - What worked well this year and in prior years? How can you build on those successes?
  - What didn’t work so well? How can you learn from and avoid those mistakes?
• Create a budget.
  - Start at the top line on the income statement – sales – and work down from there.
  Where will your sales finish this year? Where do you think they can be next year?
• Compensation Planning.
  - This is a good time of year to deliver employee performance reviews and then build compensation changes into your new year’s budget. Use each employee’s job description as a guide for the review … rate the performance on each assigned duty.
  - When thinking about compensation-related expenses, don’t forget your benefits. Thinking of making a change for the new year? Is insurance going up? Work it into your budget figures.
• Fixed Assets. What new property and equipment does your company need? What old assets need to be retired or sold? Again, solicit
  input from the employees. They probably know best what they need to properly do the job. Don’t have the cash flow to buy what’s needed? Consider borrowing or leasing for fixed asset purchases to conserve cash.
• Marketing Planning.If nobody knows who you are, what you sell, or how to buy, the results will be predictable. There are lots of ways to market: networking, speaking, customer referrals, telemarketing, direct mail … the list goes on and on.
  - What is your Unique Selling Proposition? Do your customers perceive your product or service as a commodity? Do you and your people sell as if you were offering a commodity? If so, revisit what makes your company, your products and your services unique. Ask the question, “Why should a customer buy from us rather than from our competitors?” If you don’t have a good answer, keep working at
  it.
  - Determine your primary customer targets, and the best ways to reach them so you can tell them about your unique selling proposition.

Finally, if you’ve got the luxury of the time and money .. Go on a 1-3 day “planning retreat.” Take all the info you’ve gathered, and all your financial statements, and go somewhere away from the office to immerse yourself in this planning process. This quiet time is perfect for working on your Vision and reflecting on past lessons learned. If appropriate, take your management team along and invest some time in this valuable work.

Commit to making next year your best ever.

——————————————-

Bill Collier is the St. Louisarea coach for The Great Game of Business. He helps businesses improve results by teaching their employees to think and act like owners. He is the author of “How to Succeed as a Small Business Owner … and Still Have a Life” Bill can be reached at
314-221-8558 or billcollier@greatgame.com.

Want educational business articles and information with a humorous twist right at your finger tips? Download Bloapp, a free blog app, then click this post to get the QR code and scan it.  It’s that easy!

“Why do I have to go to bed?”

“Why is grandma’s hair that color?”

In his book Start with Why, author Simon Sinek makes the case that most businesses can explain what they do and how they do it, but few
can clearly articulate why.

I agree, and suggest that much of the formula for small business success can be found in the
answers to these three questions:

1- Why do you do what you do?

2- Why do your customers choose your business instead of your competitor?

3- Why do your employees work for you instead of somewhere else?

1 – Why do you do what you do?

Of the hundreds of entrepreneurs I’ve met over the years, the most common reasons given for
being in business include:

• Be my own boss
• Passion for industry
• Make more money

Why do you come in early and stay late? Why do you take risks and sign personal guarantees?

Give this question the serious thought it deserves. Then, build your business in a way that supports your “why.”

2 – Why do customers choose your business instead of your competitors?

This one is huge. Here’s an experiment for you:

With no warning or preparation, ask each of your employees to write down the answer to this question. It’s an opinion – no pressure, no right or wrong answers, and nobody gets in trouble for their response.

Gather ‘em up and see what they say. Unless you’ve been doing a pretty good job of discovering and discussing your value proposition (or unique selling proposition or competitive advantage – whichever you prefer to call it), you’ll get about as many responses as you have employees.

Another good exercise: Survey your customers. Find out what’s important to them. What do you do well, and where can you improve?

How powerful would it be for everyone in your company to know exactly why your customers choose you over the competition, and to use this knowledge to enhance every communication, every transaction, and every customer contact?

3 – Why do your employees work for you instead of somewhere else?

Hopefully, it’s because they choose to and not because their choices are limited.

Also hopefully, you see your employees as a team – an essential, important ingredient of your business’ success, and not just a resource to be used and abused.

Each of your employees has a “why.” Find out what it is. Conduct an employee survey, but also be sure to speak with them individually. What are they after? What are their aspirations? How can you help?

Important questions – Important answers

If you will take the time and make the effort to explore these three questions, get the answers and then apply this knowledge to your business, it will go a long way toward building a business that serves your why, your customers’ why and your team’s why.

And isn’t that a great reason to do what you do?

Bill Collier is the St. Louisarea coach for The Great Game of Business. He helps businesses improve results by teaching their employees to think and act like owners. He is the author of “How to Succeed as a Small Business Owner … and Still Have a Life” Bill can be reached at 314-221-8558 or billcollier@greatgame.com.

During the time that we’ve been helping others implement The Great Game of Business, we’ve seen the ups and downs and are often surprised by the number of people who are “fair-weather Great Gamers”, meaning they have passion and intent to play the Great Game of Business, but are missing the mark in one or more areas. Here are the top six (because five just wasn’t enough) Great Game No-nos:

Don’t forget to Huddle. Consistency is the key to success. Your team needs to be meeting frequently, and that means more than once a month (even if it’s just in small groups). Also, set a time and stick to it. If you have a consistent, set time, it will help eliminate ‘conflicts in schedule’ because everyone should be in a routine of blocking that time off on their calendar.

Don’t just share the numbers. If you’re playing the Game, your team should be driving results and providing the numbers at your staff meetings. You should not be simply giving them a spreadsheet at month-end detailing your accounts. That’s history, and you can’t change it. (PS: This means your employees will have to be educated about your business)

Don’t pick the wrong trainers. Who knows the numbers better in your company than your own accountants? Probably (hopefully) no one. That’s why they are most qualified to teach your folks the financials, right? Wrong. While there are certainly several accountants out there who will make excellent teachers, learning financials from a trained accountant would be like having Lady Gaga teach your grandmother about fashion: frightening and frustrating.

Don’t use the book as a how-to guide. Too often, people treat inspirational books like The Great Game of Business as a text when really, it’s a memoir. The book doesn’t detail the methodology it takes to really implement The Game successfully. Put bluntly, reading The Great Game of Business makes you no more of an expert in implementing Open-Book Management than the next guy. Would you read a book about medicine and then try to perform surgery; I sure hope not. If you want to learn “how-to” attend a seminar or talk with a coach (shameless plug).

Don’t forget to involve your people in planning. Recently Jack told us that High Involvement Planning is one of the first practices a team should take on. So what is HIP? It’s a bi-annual process where your team gathers the information necessary to make an educated plan for the next year. Don’t miss the opportunity to gather valuable information, opinions and buy-in from your entire staff; you never know who might have a golden idea.

Don’t underestimate the power of first impressions. Implementing the Game is typically a big cultural change and should not be taken lightly. Make sure your team is given the training and tools they need to do their part. Also make sure they understand why you’re making this change—we want them to feel excited and empowered; not burdened. Bottom line: Do it once, do it right. If you’re team gets a positive first impression of OBM, they’re less likely to go rogue if/when something doesn’t go as expected.

So, what’s the biggest no-no you’ve encountered with implementing the Game?

Are you a leader?

Before you answer that question, consider … there’s a big difference between management and leadership. Try this quote on for size: 

“Management is efficiency in climbing the ladder of success; leadership determines whether the ladder is leaning against the right wall.”   – Stephen Covey

Michael Gerber used different words in his classic business book, The E-Myth Revisited. (If you’re among the dozen or so remaining entrepreneurs who haven’t read it, do yourself a favor and read it soon.) In it, he distinguishes between the three roles that small business owners fill: the Technician, the Manager and the Entrepreneur, with the latter handling the strategic work. You could easily substitute the word “leader” for “entrepreneur” without detracting from E-Myth’s wisdom or message. Leadership is indeed strategic work. 

There are dozens – heck, hundreds – of definitions of leadership. I suggest that the following 3 skills deserve a place in any discussion of leadership:

1. Create a Vision
2. Think strategically
3. Inspire action

Create a Vision

One of my favorite sayings is, “If you don’t know where you’re going, any road will take you there.” In business, this applies both to concrete, easy-to-measure goals such as revenue and to more fuzzy objectives: What kind of company do we want to be? What sort of people will we let in? What are our values? 

Creating and communicating your vision is your business’s roadmap to the future. Creating a vision for your business three or more years out can be a powerful experience. It can re-energize the owner and the employees. I’ve seen this first hand and strongly recommend it.

Have you created a vision for your business? 

“Leadership is the capacity to translate vision into reality.”   – Warren G. Bennis

Think Strategically

Okay, so you now have a destination in mind. Now, how do you get there? 

Strategic thinking is a fancy way of saying you’ll look at the desired outcome – the big picture – and figure out the best use of limited time and resources to help you get there.

How much time do you spend each month thinking about your long-range goals and what you should be doing now to keep you moving in the right direction? 

Inspire Action

Knowing what to do is good, but without action you’re going nowhere fast. It’s the leader’s job to get everyone excited and mobilized. Communicate – communicate – communicate. Tell ‘em where you’re going, the path you’re taking, and what’s in it for them. If you believe in your vision and there truly is something in it for your employees, then you are serving them by achieving it.

How much time and effort do you devote to this sort of inspirational communication with your troops? And, do you set a good example? 

“Leadership is defined by results.”   – Peter Drucker

Be a leader

Being an entrepreneur and a small business leader is much more than an occupation. It’s a calling. Wall Street, Big Business and Washington have all dropped the ball. It’s up to us to keep the American Dream alive. Take time to lead. 

Bill Collier is the St. Louis area coach for The Great Game of Business. He helps businesses improve results by teaching their employees to think and act like owners. He is the author of “How to Succeed as a Small Business Owner … and Still Have a Life” Bill can be reached at 314-221-8558 or billcollier@greatgame.com.