Formula One for High Performance Companies
Presented by Jane Goldner, The Goldner Group
Buckhead Business Association
December 13, 2007
Dr. Goldner’s 10-point checklist is a concise but insightful roadmap for how to buff up the chrome, re-tool the engine and drive your business to the next level.
Most people select a high performance car for looks and engineering. They wouldn’t make the investment without knowing what’s under the hood. Just like a car, there are two parts to a company’s success, the products, services and exterior “look” of the company to its customers and prospects; and the infrastructure, the internal systems and interior functioning of the company. For high performance, all these systems must be connected and functioning well.
Join us for a lively and engaging presentation, as Dr. Goldner points out how to avoid some serious potholes, and start your engines for greater competitiveness and profitability in 2008.
Good morning!
Most of you are in small to mid-sized businesses, which are the essential vehicle of the US economy. (You might want to ask first -- how many of you are executives in small to mid sized businesses?) You make up more than 99.7% of all employers and provide a paycheck for about 50 percent of all private sector workers.
When I worked in marketing at Coca-Cola in the 1990’s we were #__ largest company in the world. But when you look at the numbers you see that it is not the big corporations, but small to mid-sized businesses that create 75 percent of net new jobs in our economy.
Business leaders are where the Rubber Meets the Road.
In a fairly new venture, the Executive’s skill is not always the decisive factor in the success of the business -- mainly what is required in the early stages is a winning product or service.
As the company grows, success requires more planning, organization, systems and, in essence, a different way of operating. You don’t have to throw out the executive team and hire a new one, but the transition does require a new approach to planning and operations.
But the good news is, if you are an executive in a small to mid-size business, you are in an unprecedented position to shift your company into high gear -- why? Because small is the New Big.
Small business has so many advantages in today’s fast-paced economy that you can throw out the term small business -- the big differentiation today is not between Big Business and Small Business, but between Slow Business and Fast Business
You are in a unique position today, unlike any other time in history, to accelerate your business success and now I’m going to tell you how.
Let’s go back to that question I asked you at the beginning about looks and engineering --
When auto junkies are putting together a high performance car they want both engineering and looks -- and both are also key in the business world.
You take over as CEO of a company and your shed contains a masterpiece in the making.
Maybe you are going to revitalize the body with a new branding campaign -- microscopic dings carefully removed and six coats of Porsche paint for an amazing finish.
You add more appeal with a new product -- that’s like re-chromed wheels or airbrush lightning
And you overhaul the warehouse operation, so your interior is immaculate.
Wow! Your company looks good. But there’s much more to it.
To get the best performance out of your company, you want a potent driveline -- maybe a twin-cam 1600 motor, for its extreme strength with an induction boost to get real power and
maximum torque at all revs, a super-charger with four high-flow Bosh injectors in the custom intake manifold.
In other words -- you’ve got to get under the hood.
The key to being fast in business and maintaining high performance is paying attention to the engineering, or what’s under the hood
Today’s winners in business are those who have a solid infrastructure that allows them to set the pace, not just respond to the competition. Let me warn you that these conditions involve a great deal of off-road driving, often without a roadmap, so buckle up!
A High performance company has two parts to its success:
•“looks” or products and services the public sees and
•engineering -- the internal functions of the company
This is where we’re going today -- under the hood.
Are you ready? Here is your 10-Point Check-up for Driving High Performance
Checkpoint 1: Periodic Maintenance
How well is your company doing and how do you know? Are you using useful assessments?
•There is an inherent flaw in people in the company observing and critiquing themselves, regardless how experienced, successful or expert they are in their particular industry.
•Those responsible for an issue are not likely to see the real problem and/or are unwilling to admit there is one!
•Example: Moving boxes on org chart vs. actually changing internal processes.
•Use unbiased assessments as an on-going process to get objective feedback to go beyond symptoms and get to the root causes of issues
Checkpoint 2: Chassis
Have you clearly defined and articulated The Core, which connects all parts of your company?
•The Core is made up of three parts: the mission, vision and values.
othe company Mission is the purpose -- why it exists;
othe Vision -- if everyone were working on all cylinders, what the company could be at its best;
oand Values -- how people behave with each other and with customers.
•Defining the Core lets everyone know where the company is going and gets them working together in the same direction. As simple as it seems this is quite energizing.
•Example: General Engineering Labs, environmental testing firm. Core focused them on the “right” customers
•When you are considering a decision -- if the strategy, action or decision is not in line with the Core, then you have a way to eliminate distractions.
Checkpoint 3: Steering wheel
What are you doing to develop the current and next generation of leaders?
•Effective business and effective leadership are tied to one another.
•As a leader, if you haven’t defined the core -- bring someone in to work with your management team to do that.
•If you died tomorrow, who would take over your company? How will the company remain viable after you retire?
•Example: city of Boca Raton. Massive retirements of baby boomers required them to develop a pool of leaders, but they also wanted everyone to develop as a leader. Solution: Finding the Leader Within
•Turn the power of one into the power of many -- through developing current and potential leaders.
Checkpoint 4: Engine
How are you building customer loyalty?
•Whether you are a small business, non-profit or government agency, you are in business only as long as you have customers.
•The kind of customers you attract and keep determines whether you take the autobahn or merely chug along.
•Your success begins and ends with satisfying your customer’s needs and wants.
•Example: Care Keeper - healthcare software producer
oCustomer advisory council
oCustomers review a new process and sign off on it
•Use on-going communication so that you and everyone in your company know who your customers are and what they expect.
Checkpoint 5: GPS System
How are you ensuring that everyone in your company is a strategic thinker?
•The way to be really fast is have everyone -- not just key leaders -- thinking about how his/her decisions will affect the future of the business.
•Without a clearly defined path, people in your company could spend a lot of time wandering around trying to second guess where you want them to direct their energy.
•example
•Create a strategic framework that clearly defines your strategies and goals for the company and share it with your employees
Checkpoint 6: Dashboard
Are you using more than just a rear-view mirror to measure success?
•Financial reporting provides a look backwards at your past accomplishments, but no view into the future so corrections can be made, if necessary.
•Did you know that employee satisfaction is a six-month precursor of customer satisfaction?
•example
•Develop a balanced dashboard of leading and lagging indicators -- these are critical to a forward view and obtaining better results.
Checkpoint 7: Car Manual
How are you continually improving your processes to keep pace with your customers’ demands?
•Continuous improvement plus documentation of processes is required to meet customer needs, and so employees can do their best work.
•Even if you’re good, ongoing improvement is important. You’ll get run over by customers and employees leaving to go elsewhere if you stand still.
•Example: NGBJ3 quickly organized in ways processes did not work
•Ask your customers and the employees who work in the process how it can improve -- they often have the best ideas.
Checkpoint 8: Fuel
What are you doing to attract, develop and retain top-notch employees?
•Attracting, developing and retaining valued employees are some of the biggest concerns of leadership today.
oHow different generations work together -- each have their own hot buttons
oHow to utilize veteran employees as mentors
•If you are stuck at: “If I want it done right I’ll have to do it myself” you won’t be able to grow -- you’ll stay self-employed. But giving someone a paycheck only guarantees they’ll do the minimum.
•Understand the work styles of 4 generations if you want people to go the extra mile.
•Example: Textile Company that made knitting needles. Used technology to make 1st smallpox needles. Executive sent gifts home to spouse before training conferences.
•Learn the leadership practices that pull high performance from the people who work for you.
Checkpoint 9: Car pooling
How small and big is your corporate footprint?
•A small environmental footprint and a large social footprint in the community are the marks of a responsible business.
•Focus on ways to minimize your company’s impact on the earth’s resources
•Choose philanthropic and volunteer activities to associate with your company and leave the legacy you desire.
•Example: Innerface, HomeForge
•How will people remember your leadership now and in the future? What kind of tire tracks will you leave?
If you do just these nine steps, you will have created a high performance company where people want to work, stay and thrive.
Checkpoint 10: A Great Ride!
Do #1-9 and you will have a great BLC Culture to sustain your company and insure its longevity and continuing success.
•The culmination of everything you’ve done right is a Belonging, Learning and Contributing culture, the signs of a healthy, cohesive and successful company.
•Begin the process of belonging in the interview and new hire process. Make opportunities to contribute and continuous learning available to all employees.
•Contributing is the key component of a high performance, results-oriented company. Recognize and reward employees for their contributions.
•Example: GA DOD
Q&A
Pull a business card -- raffle off remote control car.