Given that I have the opportunity to interact and observe with businesses across the country, it gives me the potential to learn from those whom I serve and interact. In preparing for a presentation to a chamber of commerce luncheon, I decided to share some of the observations I have gathered over the past months. I have seen businesses who are doing relatively well and those who are not (or who have closed their doors). And these are the patterns I have seen.

Businesses who do well in difficult financial times:

Are able and willing to make and implement tough decisions. Some companies who were not able to make tough business decisions quickly are no longer around. Those who hesitated and waited before making cuts have suffered and made the path more difficult for themselves. It is important to note that family-owned businesses often struggle in this area — either because they do not have the processes and decision-making mechanisms in place to make authoritative decisions, or because the “difficult” decision may be to let family members go.

Realize that marketing is a way of life. I am using the term “marketing” to essentially mean: a) letting people know what you do; and b) being easy to find by potential customers. Those companies who were doing well, had a large back-log for their services or products, and who had fallen asleep in their marketing, often had difficulties “gearing up” their marketing plan when tough times hit. However, those companies who had continued to actively market were in place to adjust their plan and keep going.

Combine focus with diversity. Although I firmly believe in Jim Collins’ “hedge hog concept” (knowing what you do well and using that product/service to drive your business, I also believe there can be focus with diversity. Many of the companies who are now doing well in this tough economy had some diversity built into their business plan — either a variety of markets to which they applied their product/service, or they had a secondary line of products that they could “ramp up” in response to a need that arose. A number of companies who have only one primary service or product line are struggling to survive and/or develop a new product or service in times where there is not a lot of available capital to do so.

Understand that the focus of “networking” is not primarily about finding potential customers but looking for opportunities to serve others. Given that I was at a networking event, this was an important topic to address. All too often (almost always, in fact) business representatives go to networking events (luncheons, educational seminars, receptions) with the primary focus in mind to meet potential customers, give them your thirty second “elevator speech”, and press your business card into their hand. And with what do most of us walk away from these events? A blurred memory of who we met and a stack of business cards. Consider the following scenario. How much would you remember the person who actively sought to hear about any needs or challenges you are experiencing and was able either to connect you with a resource that could help or introduce you to someone who may have the service you need? Now that is impactful.

Actively encourage their employees. I have been working on a project of applying the Five Love Languages (a book used in personal relationships) to work-oriented relationships.

Initially, when Dr. Chapman and I started the project, the economy was good and one of our primary applications was in “how to keep valuable team members”. For many companies now, the issue is how to keep your employees from becoming discouraged and burned out — they have more work to do and increased responsibilities with the same (or maybe less) pay and resources.

We have developed the Managing By Appreciation Inventory to help managers and business owners how to communicate encouragement and appreciation to their employees through non-financial means, and how to do so in a way that is significant and meaningful to the employee. Whatever tool or method you use, it is critical to find ways to encourage and show appreciation to your employees in these difficult times. Briefly think of what a discouraged employee looks like in day to day life, and quickly calculate the costs to your organization of having a discouraged team — loss of productivity, poor customer satisfaction, negative attitudes, increased mistakes.

So, if your business is still alive and kicking, take a minute and see if you can take any of these factors and apply them to your organization — and hopefully increase the probability of your survival!

I live outside of town (for those who grew up in a rural setting, it would be a stretch to say we live in the “country” — although for those who live in an urban setting, they would think so — lots of trees and animals, and we live on a dirt road).  And I love to take walks in the woods.  This morning I hiked around in the early morning sun, through some surprisingly thick woods and undergrowth.  And it “got me to thinking”.

For many of us, our daily lives are quite segregated from nature.  Hence, we tend to miss many of the foundational lessons we can learn by making some basic observations (and observations that would seem self-evident to most of our ancestors).

• Growth occurs naturally when necessary conditions are met.  In nature this includes light, nutrients, and water.  In business, core conditions include customers who have the ability to pay, the goods or services you are providing to others, getting the word out about your product (marketing), and collecting payment for your product (there are probably more I am missing).  Interestingly, in both nature and business, the lack or absence of one core ingredient means eventual death.
• Controlled growth produces more fruit.  When all of the necessary conditions are present, and especially in times of abundance, there actually can be too much growth.  Pruning, cutting out unwanted growth, planning and planting desired plants, taking out weeds, thinning out plants to provide more room, light and nutrients for selected plants — all are mechanisms for controlling growth.  In business, too many products or services offered, or not being able to manage large surges in demand can actually hinder the company’s ability to maximize their profits.
• Unrestrained growth leads to chaos and little beneficial results.   Have you ever seen a tree or plant that has grown for years without any management of its growth?  They are typically unattractive, not well organized, and don’t produce as much fruit as a tree which has been systematically pruned and thinned.  Similarly, businesses that just grow everywhere and in every direction possible become difficult to manage, and the resources needed to be productive (time, energy, human capital, financial capital) are squandered in helter-skelter fashion rather than in a focused direction.
• Healthy production comes from a combination of planning, preparation, hard work (at the right time), monitoring, maintenance, and long-term effort.  Contrary to some business books (usually in the sales & marketing field), there is no one solution that will make a company successful.  Rather, healthy businesses — like healthy gardens — require a combination of planning & preparation, long hours (at times), monitoring what is actually happening and taking corrective action.  Generally speaking, both in nature and in business, there is no quick pathway to success.  Rather, a series of actions over a long time period lead to healthy production.
• For good results to occur, challenges, lack of resources and destructive elements must be dealt with successfully.  To make plants and trees grow, it is not just a matter of providing what they need (focusing on the positive).  Healthy plants come from dealing with the threat of destructive elements as well — insects & pests, being eaten by animals, fungus or mold or blight, and a harsh environment (drought, extreme heat or cold).  In the same way, focusing on one’s “business plan” without taking into consideration the risks that may be encountered can lead to failure.  Unforeseen competitors, changes in tax law or governmental rules & regulations, or a harsh economic environment — the lack of available financial capital, the lack of adequate human capital and expertise — can tank an otherwise healthy business.

I am sure there are other lessons and metaphors from nature that apply to business-life.  Take a minute and reflect (or better yet, go on a walk, observe and ponder).  I’d love to hear your thoughts.

Today’s economic environment is taking a huge emotional toll on business owners and managers.  Given the shrinking economy, with orders for manufacturing being canceled or put on hold, with little happening in the construction industry, and with the general public spending less at the retail level — many businesses are having to either cut back employees hours or let them go altogether.

The “hidden” story behind this pattern is the huge emotional strain business owners and managers are experiencing.  And I am hearing from more and more of them each week.

One manufacturing executive told me he volunteered to take a 50% pay cut (his company is owned by a larger private corporation), even though his superiors suggested a 4% reduction for management.  He told me he couldn’t, in good faith, see his employees take a 20% reduction (by means of going to 32 hours per week from 40 hours), and not take at least the same level of reduction.

Other business owners are sharing with me the pain of having to let good team members go, because they don’t have the work needed to cover the overhead.  Some owners are losing sleep and experiencing a level of anxiety they state they never have had previously.

I grew up in a family-owned business.  My father, mother, grandfather and uncle worked together in a manufacturing firm.  And I vividly remember during the economic struggles of the 1970’s conversations during mealtimes about my dad’s concerns.  As a teenager, I was struck by the level of responsibility he felt for providing work (and thus, income) for his employees.  He frequently would share he felt terrible whenever he would have to let someone go, because of the impact it would have on the family — especially the children.  So he tried everything he could to keep them employed, even if it meant having them do tasks that were not directly revenue producing.  The stress of the situation wore him down emotionally, and physically.

Today, business owners struggling with the same issues.  Here are some of the burdens I see them carrying:

• A sense of responsibility in providing for others.  Often, in our culture, business owners are viewed enviously of “having it all” — financial success, time freedom, prestige … Those who own businesses know the other side of the coin — the financial stress of making payroll and paying creditors, and the knowledge that other individuals and families are counting on you to provide for their income.
• Balancing competing needs and demands.  Yes, your employees need work and income.  But the owner must also “keep the ship afloat” — you can’t keep people employed and risk losing the whole business.   Similarly, a business’s vendors and suppliers need to be paid (they have employees, too), but if you pay them, you may not be able to have sufficient funds for your own payroll.
• Guilt.  “I should have …”  or “I shouldn’t have …”  Business owners are experts at second-guessing themselves and expecting themselves to have perfect judgment.  Business owners feel guilty for having to let employees go.  They feel guilty to the remaining team members for not letting other employees go sooner.  And they especially feel guilty for “not having seen this coming.”
• Lack of knowledge about the future.  As the saying goes, no one knows what the future holds.  This is also true for business owners.  But, ironically, they are often asked by others (colleagues, employees, customers, family members, friends) to divine the future:  “When do you think this will turn around?”  And the lack of predictability in our current economic environment wears heavily on business leaders — it is very difficult to make decisions about the future when even the short term (3 to 6 months) is highly unpredictable.
• Pressure from numerous fronts.  Business owners have numerous parties who place pressure on them — their customers, their vendors, their employees, the community, their family, their church and charitable organizations.  And most of these groups are generally unaware of the other parties involved in the business leader’s life — and they are primarily focused on their needs.
• Need for wisdom and discernment.  Most successful business owners (that is, those who have endured difficult times previously) are humble individuals.  They know that they don’t know everything, and that, almost more than anything, they need wisdom and discernment in how to manage during these tumultuous times.   The goal often becomes survival, and they are willing to do what is necessary to accomplish this goal — even if it means not “looking” successful, or taking on responsibilities that are beneath their title and position.  And they are almost always willing to accept counsel from others.

So, the next time you are interacting with someone who owns or manages a business, take some time to listen to them.  Ask them how they are doing.  Give them a word of encouragement or appreciation for all they do for their employees and the community.  And try not to ask them to do something for you — they have enough demands in their life as it is now.

There is plenty being written about the current financial crisis and, like the political elections this past fall, it is easy to become overloaded with information.  Obviously, there are a lot of opinions about what has happened, who is at fault, and what should be done.  Some of the comments are driven by philosophical beliefs (for example, about macroeconomics), some by political beliefs, and less seemingly by looking at the data in longer term historical perspective.

One interesting voice in the milieu is Peter Schiff, who has a video on YouTube with over 1 million hits, where he predicted the burst of the mortgage bubble and the ensuing market crash back in 2006.  In 2007, Schiff published a book entitled Crash Proof: How to Profit From the Coming Economic Collapse. And in a recent article in Fortune magazine, Schiff discusses his beliefs how best to deal with the crisis:  “shrink the government radically, cancel all bailouts immediately, take plenty of tough medicine, and let the free market do its job”.

Now I obviously am not a macroeconomist, nor a financial analyst, but it seems other business leaders are calling for similar (although maybe not as stern) actions.  Jim Collins, author of Good to Great,  also has an interesting article where he attempts to put the current economic situation in historical perspective.   Consistent with his message in Good to Great that business leaders must force their management to deal with the harsh realities they face, and not act like they aren’t there, Collins reiterates the point that the companies who survived the Great Depression and continue today remained true to their core values. Often these core values included commitment to their people, providing quality products even if it was costly, and maintaining a long-term perspective.

Often as a psychologist I assist people in dealing with their feelings.  And, in contrast to the old days of just helping people “get in touch with their feelings”, we now know that emotional reactions are intimately linked to an individual’s expectations — what “should” happen (or what “shouldn’t”).  So a person’s emotional reaction is an interaction between their expectation and what they actually experience — if the expectation is met, we feel pleased; if it isn’t, we can become angry, disappointed, hurt or discouraged.

I believe we are entering into an important time in recent history where individuals’ beliefs about life (about the way things should be) are going to be challenged with the reality we each experience.  And I personally believe that a lot of the psychobabble about “perception is reality” and “reality is whatever you want it to be” will crumble in the face of the difficult times many will encounter.

There is an objective reality (and, yes, our experience of it is influenced by our perceptions and beliefs) — and the choices that we each make will have increasingly important consequences for our lives.   This is true both at an individual level, as well as corporately for businesses, and also for our country.  There are some foundational economic principles — and the various macroeconomic belief systems will be proven either true or false by the results that occur.

But at a more foundational level, the following principles seem to be true over the centuries and across cultures:

• Work is the process of providing goods or services that others want or need and are willing to pay for.  Trying to make money fast on some scheme that is not grounded in providing goods or services ultimately will not work over the long-term.
• Spending less than what you earn, saving for purchases ahead of time, and “saving for a rainy day” (i.e. when you are not able to work) seems to be a wise strategy.  True, you won’t be able to maximize your opportunity for gain by leveraging your resources, but you also minimize your risk if everything does not turn out as planned.
• Often circumstances bring change that was not expected, and to survive (and thrive) we must adapt to the new circumstances, adjust our expectations, and not focus on the “good ‘ol days”.  Reminiscing about the past, and grumbling about how things aren’t like they used to be, doesn’t do much to help deal with the present.  And you can either accept the new aspects of the current reality, and learn to deal with them, or you can try to continue to live according to the rules of the past and probably fail.

I am sure there are other foundational rules that will become evident over time.  I would just encourage each of us to begin to re-evaluate our expectations, our beliefs about the way things “should” be, see if they match reality as we know it today, and determine if adjustments in our beliefs, habits and expectations need to be made.

Almost all of us in the United States are now starting to personally experience some aspect of the global and national economic crisis.  Whether it is through a personal or family job loss, friends and extended family members who have been laid off, a slow down in your business, or projected reduced sales for next year — the impact is now personal.  This is different than hearing it on the news or reading statistics in a publication.

I resent the frenzy and panic the media seems to want to whip up, because this type of communication doesn’t help anyone.  We need to deal with the realities of life (like Jim Collins encourages businesses to do in Good to Great), but let’s do so in a healthy manner.

So let’s talk about the thought patterns that will help us cope with the challenges and stressors we are (or will be) facing — and how to keep our mental health and hope.

• Shorten your time frame.  Regardless of the challenging issue a family, individual or business faces, one of the key aspects for managing the crisis is to keep a short time frame in mind.  Deal with what you have to today or this week.  Do not spend a lot of time thinking about (or worrying about) six months from now, or next year — largely because there are so many factors that can change between now and then, you really can’t plan that far in advance.
• Manage your cash flow.  Almost every business or family I know that has gone under financially later reports that they wish they would have made changes (e.g. “cut back”) sooner.  So it would be wise to complete an budget review, especially of unnecessary expenses, and make appropriate adjustments — this should probably include projections for income over the coming months, as this might change as well.
• Adjust your expectations.  Life’s circumstances throws us changes.  What was true six months ago for us as a country, in your business, or your family is different now.  Therefore, the goals, desires or plans you had then for the future may not fit now.  Rigidly holding onto beliefs and expectations from the past will probably create undue stress.  What is going on now may not be “fair”, but it is what it is.
• Explore options you have previously ruled out.  Many times we exclude certain options because they aren’t acceptable given the current circumstances.    But when circumstances change, previously unacceptable options may need to be reconsidered (e.g. a teenager being willing to work at part-time at a restaurant; doing tasks yourself and working later in the evening or on weekends).
• Maintain an attitude of appreciation.   We all can probably find something to complain about.  And there are lots of people and decisions who are prime targets for criticism.  But what does that really gain (except for a brief time of tension release)?  So instead of adding to the negative conversations out there, first start with remembering the things that are good in your life — and then add these to conversations.  [We had a beautiful sunrise this morning.  I appreciate having a warm house when it is cold outside.  I am thankful I have reliable transportation to get to work — and that I don’t have to commute 60+ minutes one way.]
• Keep connected socially. When people go through difficult times, one means of coping with the stress is to withdraw socially.  Generally, this is not a good long-term strategy.  Yes, we need time to ourselves and time to think things through.  But to pull back from positive, supportive relationships puts us at risk for becoming isolated, cuts us off from available resources, and we can start to get weird (we need the reality check of conversations with friends to keep our thinking straight).

I appreciate the comments of Jack DeBoer, a local successful businessman who spoke recently and said:  “You can go out and talk to people today and tell them how tough things are, how it’s tougher now, and how much tougher it’s going to get. . . Or you can go out and figure out what to do in this environment.”

I am not a major history buff, but it seems to me that a lot of people survived the Great Depression, and almost always there are opportunities to be successful in difficult times.

This weekend I had the opportunity to speak at a conference for major donors of a charitable organization. It was a beautiful setting in Southern California, and my wife accompanied me, which was a treat.

The other keynote presenter was Carlos Sepulveda, who is the CEO of Interstate Batteries, and a dynamic presenter. In addition to his presentation, Mr. Sepulveda had a follow-up question and answer session in which he expanded upon the concepts he shared. I thought I would share some of his thoughts which were thought provoking to me:

• “There is no such thing as business ethics.” He did not mean this in terms of an oxymoron. Rather, Mr. Sepulveda’s point was that there really is no division between public and private behavior – choices and decisions are made by individuals, whether or not the context is in the home, community or workplace. As Carlos stated directly, “Truth cannot be compartmentalized.” Unfortunately, we have seen this issue (behavior and choices matter, regardless of the context) impact our lives and news repeatedly (Enron, sexual misconduct by business and government leaders, business policies driven by greed).
• “Successful people absorb in early in life what reality is, and they spend the rest of their lives making and managing decisions made in reality.” Mr. Sepulveda shared some about his early life’s history, which was rocky, and the resulting lessons he learned. He affirmed straightforwardly, “You will never be any more successful than your understanding of reality” and that this is true in one’s personal life as well as in business.
• Regarding businesses delivering value, he stated that “competence delivers value.” He stated that the way to increase competence is through a combination of “ability + technique + effort”. He reported that our culture is always trying to “get around” work, but that ultimately work is good, brings value to our lives, and the means by which goals are reached.
• The definition of the role of a CEO, according to Mr. Sepulveda, is encapsulated in the initials “CEO”. The primary responsibilities of a CEO are to: 1. Organize (goals and resources); 2. Encourage others – to always be coaching those around you; and 3. Confront – to confront actions, beliefs and policies that don’t match reality, and to confront the gap between promised results and what is actually delivered. In a follow-up discussion, he indicated he tries to accept bad news well (that is, not “blow up”) but he asks the question: “How did it happen?”
• There are two primary activities that make up life – resource allocation (time, our “brain”, talents, financial resources) and conflict resolution. We are constantly making choices about how to use our time, talents, money, etc. and this is the daily activities of our lives. But because we live in relationship with others, and we all have our unique perspectives, values and priorities, this leads to conflicts over how resources should be allocated. And so the second most frequent activity we engaged in is managing these conflicts over the use of our resources.

I found Mr. Sepulveda an extremely engaging speaker, a thoughtful leader, and one who clearly caused me to repeatedly ask myself: “Really?” “Is that true?” He brings a unique perspective to leadership and daily life. If you ever have the chance to hear him speak, I would encourage you to choose to do so.

Business Success, Conflict, Conflict resolution, Executive performance, Leadership, Management, work

This past week the business editor of my local newspaper called and asked me to write a column for business leaders regarding the current financial turmoil.  The following is the article I wrote, and which can also be viewed at the newspaper’s website.

*       *       *       *       *       *       *       *       *       *       *       *       *       *       *       *

Few current business leaders have had to navigate the turbulent waters of economic difficulties that we find ourselves in today. But we can learn from those who have studied accomplished leaders and identified characteristics of successful companies that have weathered difficult times.

Richard Peterson, who researches the neurological responses associated with financial decisions, says there is a difference between fear and panic. Fear is largely anticipatory — assessing potential risks. Panic is characterized by an urgent pressure to act immediately. In fact, Peterson clearly reports: “It takes tremendous effort and fortitude to ‘keep one’s cool’ when frightened.” Panic then can lead to poor decision-making.

Jim Collins, in his classic study “Good to Great,” proposes that one key characteristic of leaders of successful companies is the ability to confront the brutal facts yet never lose faith. He states, “You must maintain unwavering faith that you can and will prevail in the end, regardless of the difficulties, and at the same time have the discipline to confront the most brutal facts of your current reality, whatever they might be.”

In his best-selling book, “The 7 Habits of Highly Effective People,” Stephen Covey identifies being proactive as the first core principle for successful individuals and business leaders. In difficult circumstances, he encourages leaders to ask: “What is our response? What are we going to do? How can we exercise initiative in this situation?”

Daniel Goleman, one of the foremost researchers of emotional intelligence, proposes that optimism is a core characteristic of successful leaders. Effective leaders “persist in seeking goals despite obstacles and setbacks,” and they “operate from hope of success rather than fear of failure.”

So how do effective leaders respond in times of uncertainty and fear?

• Assess the potential risks.  The critical factor is to try to accurately assess the reality of the risks. It is crucial to differentiate between facts (what do we really know) versus conjecture (what might happen). What are the risks posed to your organization? To the best of your ability, determine how reality-based the risks are.

Consider constructing an “if-then” decision-making tree regarding the risks you see. Arrange the options from “best case scenario” to “worst case scenario” (the likelihood of both extremes is usually small), with the scope of possible outcomes in between. Then try to identify the results that have a higher probability of occurring and what impact they could have on your organization.

• Determine strategies and actions that can manage the risks.   Individuals who focus on fear tend to stop at risk assessment. Leaders who are proactive seek to actively manage the situation and move to determining what steps can be taken to minimize the risk. “What can be done to minimize the probability of ‘x’ happening?” “If ‘x’ does happen, what can we do now to limit its negative impact on our company?”

• Look for potential opportunities.  In addition to assessing potential risks to the organization, successful leaders also scour the marketplace for potential opportunities to capture. Your key competitors may have difficulties because of cash flow issues or not be able to access credit needed to finish projects. There may be assets (property, machinery, inventory) that can be purchased at a steep discount for cash.

• Communicate proactively.  Lack of information increases anxiety. So take initiative to talk with your leadership team; let them know your thoughts and listen to their concerns. Communicate with your customers and your vendors; find out how current circumstances may affect them.

• Model courage and optimism.  A “we will figure this out” attitude is contagious. These are difficult times. But the opportunity exists to step up to the challenges we face by demonstrating courage and resiliency.

I want to write about some things I have been learning about “marketing” but I don’t know how to frame the issue and information in a way that doesn’t turn people off.  That, historically, has been my reaction to “marketing” — makes me think of either high-dollar, high-glitz Madison avenue advertising campaigns or a slick (possibly slimey), fast-talking guy who gives you tips on how to sell people services or goods they don’t need and don’t really want.  (My apologies to my marketing consultants who are wonderful, warm people that don’t come anywhere near close to this description.)

But this weekend I read an article about the intersection of marketing and living in community — a viewpoint  which struck me as quite unique.  Dr. Bruce Howard is a professor of business and economics at Wheaton College (my alma mater) and he shares the following thoughts:

“In graduate school, I was surprised by the first course I ever took in marketing.  Like most people, I thought it would be about sales and advertising and learning how to convince people to buy your products.  I could not have been more wrong.  It turned out to be mostly about the practical arts of building community.  I was expecting a perspetive that was primarily individualistic and self-centered, but learned that true marketing always takes the spotlight off me and focuses it on others.”

Dr. Howard then cites Theodore Leavitt’s article, Marketing Myopia, from the Harvard Business Review in 1960 (yes, that date is correct), where Levitt states that business “is a customer-satisfying process, not a goods-producing process.”

This actually cross-sects with Michael Gerber’s statements on marketing in his best-selling The E Myth Revisited (the “e myth” is that most businesses are started by entrepreneurs; in fact, most businesses are started by technicians and service providers who think they can “do better”).

Gerber emphasizes two key aspects to marketing:  1) know who your customers (or potential customers) are (demographics);  and 2) know why they decide to buy (what he calls psychographics).  He restates the classic line, “Find a need and fill it” to “Find a perceived need and fill it.”  Gerber then argues that, for companies to be successful in marketing their products, companies must gather information about who their customers are and how they think about things.

He gets a bit intense when he states, “[I]t is absolutely imperative that you forget about your dreams, forget about your visions, forget about your interests, forget about what you want –forget about everything but your customer! When it comes to marketing, what you want is unimportant.  It’s what your customer wants that matters.  And what your customer wants is probably significantly different from what you think he wants.”

Now, back to Dr. Howard with his thoughts about marketing and living in community.  He states:

“I … discovered that building the business enterprise is about creating a community that is linked with other communities for the purposes of enhancing mutual welfare.  When people join a business, they don’t just want a job .. they want to be part of something greater than themselves.  They want to be part of a community.”

He then asks a key question:  “If business is supposed to be so community friendly, why does it feel so highly individualistic?”

He then discusses the current values driving much of the Western world’s marketplace — what is best for me (individually)? What costs the least for me (individually)?  Dr. Howard then argues that effective enterprises must also be intentional about the values they bring to the marketplace, including the value of community.
It reminds me of social entreprenuership — developing businesses that also have a positive social impact as part of their mission (for some great information on social entrepreneurship, go to www.socialimpact.com).

Part of my interest in “marketing” is how I see it all around us, in almost every sphere of life.

• The political process and all of the media communication surrounding Obama, McCain, et al.
• The bombardment of advertisements in virtually every “screen” media — the Internet, watching a movie, television, email.
• In people making daily life decisions — about cars, about food to eat, where to eat out, what movie to see, where to go to college, clothes to wear, where to go for professional services.

Secondly, I recently had an article in my community’s newspaper about a service I provide (a non-medication intervention for individuals with ADHD), and I was amazed at the amount of communication that resulted from this one “blip” on the marketing / information scene.  The story about a teenage girl who was significantly helped in her life by this approach seemed to touch people and they responded.

I guess I have a number of threads that are starting to come together in my mind (and don’t seem to be especially well-articulated yet!).  Marketing seems to be largely about the same things relationships are built on:  clear communication, understanding the other person and their point of view, trust in communication, providing accurate information, responding appropriately.  Maybe that is why, as I am coming to understand what marketing is, it intrigues me.

It seems to be appropriate week to write about women and the family business, given the high profile of women in politics this past week (Hillary Rodham Clinton’s eloquent speech at the Democratic National Convention, and the selection of Governor Sarah Palin as the Republican vice presidential candidate).

Six female authors have recently published A Women’s Place . . . The Crucial Roles of Women in Family Business. Five of the authors are directly involved in family-owned businesses and all of them are consultants with The Family Business Consulting Group, Inc. In the introduction, they indicate the book is not only for women in business, but for family businesses in general (many of whom may need to rethink their positions on women in the business), and for family business advisors.

In one of the first chapters of the book, they list a variety of roles women typically embrace in business-related families. The list, in and of itself, is insightful and causes pause for reflection on the variety of roles women hold (like men, many are held simultaneously):

Business Founder. Financier. Owner / Shareholder. Co-president. Emergency leader. Back room support. Innovator. Advisor and confidante. Nurturer of the next generation of leaders. Family business board member. Board Chair. A groomed CEO or senior executive. Family leader. Family foundation leader. Individual philanthropist. Ambassador. Employee. Mentor. Family historian. Steward.

As consultants, the authors share some themes they are seeing among family-owned businesses:

• More and more women are working in their families’ businesses
• Women seem to have more work experience before they have children
• Given increasing longevity, there are more work-related years available after children are raised.
• There are more daughters partnering with their fathers and mothers in business.
• The movement toward more service economy businesses appears to make business more amenable to women.

The authors suggest a number of steps to family businesses for helping young women prepare for significant roles in their family’s business. I found a number of them to be wise words to heed:

a) Start early. Regardless of gender, family members need to be exposed to the real workings of the family business early in life, and in multiple ways across the years.

b) Don’t leave the girls out. Think about it. If a family business disqualifies women from leadership, they may be reducing 50% (or more, depending on the family makeup) of potential future family leaders.

c) Avoid creating an environment where are the role models are male. Great point – if all the mentors are male, it makes visualizing oneself in and identifying with the role model more difficult.

I have been fortunate to work with a number of women in family businesses, and like the list above, they serve in a variety of roles:

*owner and CEO of a manufacturing business
*co-founder and principal researcher in a high tech firm
*VP of marketing and business partner with their spouse
*business owner of a professional services firm
*co-chair and leader of the family foundation
*individual philanthropist and change agent
*Board officer and confidante
*mentor to other women in philanthropy
*family leader.

One theme I have observed in this collective group of female leaders is the inner strength that each of them has. Having been raised in a more traditional Midwestern family, in which the business side of the family was patriarchal, it has been an interesting experience for me to see how women often lead very differently from the traditional male entrepreneurial stereotype – and how effective their leadership is.

I am looking forward to learning more as I complete A Woman’s Place . . . , (there is an chapter on Work/Life Balance that looks interesting) but even more so, I am eager to learn how to lead (if it is possible for a guy) like many of the woman I see – effectively, decisively, but with more attention and focus on the human side of business.

Endurance. Perseverance. Persistence. Patience. They are words I hear a lot when individuals who are successful in their field describe how or why they succeeded.

And yet perseverance is not a word nor a concept that we are especially drawn to. It is almost one of those characteristics that we look back on and view positively, but not one that leadership speakers frequently preach to us.

The definition is interesting to me.

“Perseverance: Steady persistence in adhering to a course of action, a belief, or a purpose; steadfastness.” Perseverance is not just blind repetitive action — doing the same thing over and over. It is tied directly to a goal, belief or purpose. We persist because we believe it is the right thing to do, or because we hope persevering will help us attain the goal we desire.

As Henry Ward Beecher differentiated, “The difference between perseverance and obstinacy is that one comes from a strong will, and the other from a strong won’t.” In other words, perseverance is goal directed and a positive attempt to achieve.

Another aspect of perseverance is that it is “daily”. Persisting on a task is not flashy nor exciting. It is both the action and result of doing the daily grind — whether that is getting up and exercising; the everyday housework tasks of laundry, dishes, cleaning up, and keeping the house running; or those tasks that make up your “job”. It is doing those daily menial tasks that make the difference between getting the job done and just thinking about it.

Dale Carnegie spoke to this aspect of perseverance:

“Don’t be afraid to give your best to what seemingly are small jobs. Every time you conquer one it makes you that much stronger. If you do the little jobs well, the big ones will tend to take care of themselves.”

Besides being goal-directed and daily, perseverance also relates to challenges and difficulties encountered. We don’t usually recount: “Yea, I persevered through the flat terrain; the cool, dry but sunny weather; and the course that was on a really smooth track.” No, perseverance has to do with persisting and enduring through difficulties. Those difficulties may be external obstacles, they may be unrealized dreams (that is, you did x, y and z and you still haven’t reached your goal), or they may be the result of weaknesses you personally have or in your plan.

Ralph Waldo Emerson proclaimed:

“Our greatest glory is not in never failing, but in rising up every time we fail.”

I think is it is interesting (and important) to look at the opposite side — what does “not persevering” look like? Giving up. Becoming weary. Losing heart. Not continuing. And sometimes — complaining, blaming, and making excuses.

I just read a fascinating book this week, recommended by my father-in-law, The War Journal of Major Damon “Rocky” Gause, about a soldier who escaped from the Japanese in the Philippines and through perseverance, luck, the help of others, and the grace of God sailed with one other companion all the way to Austrailia. What impressed me from his story was he just kept going — problem-solving, waiting when necessary, and never giving up on his goal. Never in his journal did I pick up a tone of fatalism, blaming others or making excuses for the numerous bad circumstances he encountered.

So what does this all mean to us?

First, I think a fact of life that helps us persist through difficulties is to accept that there will be difficulties. Things will go wrong. We will experience obstacles and roadblocks. Some people will be against us. Okay. So … let’s keep going.

Secondly, it seems that persevering is easier when accompanied by others — but the “right” others. Stay away from complainers. Don’t hang out with those who consistently blame others or make excuses for repeatedly not reaching their goals. They will only become weights around your neck. Conversely, find others who are like-minded, who have similar passions and goals, and who already demonstrate the daily discipline of persisting. These are the people you want on your team.

And, maybe there are a couple of other things. Re-evaluate your goals — do you really want to reach them? Re-assess your plan — is it realistic? And read about others who have persevered through great difficulties to reach their goals as an encouragement for you to hang in there.

Have a great week — and hang in there!