Decision Making

Hire for Profit

Did you know the average cost to a business to go through the hiring process and then have the person leave in three months is around $4200? I don’t know about you, but I can’t afford to take too many of those hits to my balance sheet.

In his book, Winning, Jack Welch reminds us that when hiring we need to do the “acid test,” which is to first check for integrity, second for intelligence and third for maturity.

When it comes to integrity, I believe you start by looking at character. I have dedicated the last two years focusing on identifying true character, and I’ve found that character is developed in the first 13 years of life. It recently dawned on me that businesses only ask interviewees about their adult life and their work experience—and rarely, if ever, about character.

Could it be that your character is developed that young? It’s a programming thing. For example, we were taught to believe cheating or lying to be right or wrong based on how our parents and role models behaved.

Winning also instructs us to look for the four E’s: Positive ENERGY, the ability to ENERGIZE others; the EDGE, which refers to the courage to make tough decisions; and finally the ability to EXECUTE and get the job done. If the candidate possesses the four E’s, the next thing you look for is passion.

Hiring the right people is core to accomplishing great things.

Joe Kiedinger

ACTION PLAN: Practice the four E’s in your future interviews, but make sure candidates pass the acid test first.

Advertising in a Recession

There’s a car dealer on the west side of the state. Yes, I said a car dealer. Ya know, that industry that has been slammed by this downturn in the economy. They have seven lines of new vehicles as well as used. They have the typical service and body shop you would see at any other dealership. Yet this dealership is special.

It’s special because the people who run this dealership have a drive and commitment that is rare in these turbulent times. Their commitment to service is top notch. I heard it myself when the president stood up in front of his leadership team in the beginning of 2009 and said, “We’re in for a rough road. We’re going to run leaner and better than ever before. I need you all to find ways to work leaner without sacrificing service. And though we’re looking for areas to cut, advertising will not be one of them.”

You see this company made a commitment to continue to tell customers about the savings they can expect with their tire program, the service they can expect from their technicians and the overall benefits of doing business with them. It’s true, sales were very tight the first half of the year. However, after three years of being 100% consistent with their message and media coverage, the bottom line began to rise and continues today.

If you’re ever in the La Crosse/Onalaska area, stop in at Dahl Automotive. They get it when it comes to focusing on the customer and their brand. By the way, they’ve recently added Mazda to their lineup and have expanded their downtown location. Perhaps nobody told them we’re in a recession!

Joe Kiedinger

ACTION PLAN: Do you have vision and perseverance? Now is the perfect time to gain market share. Contact me and I’ll help you.

Shortcuts Can Lead to a Longer Road

I’m a true believer in efficiencies. I’ve seen comparable businesses operate with similar success but one made much more profit than the other. The only difference was efficiency. I don’t want you to confuse shortcuts with efficiency. They are two totally different things. We often look at shortcuts as “cheapening” a product. The shortcut is usually followed by, “the customer won’t notice the difference anyway.”

How many of you have stubborn drivers in the family? I know I can be one sometimes. “Forget the map, I know a shortcut.” Meanwhile I’ve just sent my family on a wild goose chase through backcountry trying to guess at a shorter path. And, yes, sometimes (ok, most of the time) the shortcut leads me to a road that went out of my way or delayed our arrival.

Impatience is the contributor to shortcuts. Entrepreneurs are so driven and passionate about what they do that sometimes we fall into the trap of thinking that things aren’t moving fast enough. So we pull out our duct tape and patching tools and try to get our ideas to stick before they’re ready. You know, a good plan with a good strategy works like Elmer’s glue.

Remember in school? Using this white goopy glue would get frustrating. If you opted for taking your project home the art fell apart. However, those that left it to dry on the heat vents overnight returned to school the next day with a solid masterpiece!

Allow your ideas to take form. Allow your plan to be worked in a consistent venue. As you introduce your ideas to others you’re adding more pieces to the artwork. You’re feeding your prospects glue – meaning they’re interested but not fully committed. By being patient and staying consistent your prospects begin to see your benefits and slowly dry into your framework. Be patient. Keep using the glue, but give it a chance to dry!

- Joe Kiedinger -

ACTION PLAN: Give impatience the boot!

Are You a Poser?

My 13 year-old son, Alex, educated me on the new term for not being authentic—“poser”. He is an extremely talented skateboard dude! He’s only been skateboarding for a couple of years and his skills reflect that of a four year boarder. Early on, he would have me shoot video of him doing tricks—which he wouldn’t always land. So, he would edit two takes together to make it look like he did land them and then shared the video on YouTube. His simple cinematographic edits were obvious.

He would receive YouTube comments accusing him of being a poser (which he admits he was at the time). Now I am happy to report, Alex is no poser. His tricks are authentic and he’s quite good. This example, however, is exactly the essence of marketing. Today with the social media, people have access to authenticity like they never did before. With Twitter we can learn if our favorite celebrity likes fishing or shopping at Macy’s.

People don’t want smoke and mirrors. They want the brands they interact with to be authentic and definitely have no poser qualities. Is your brand authentic? Do you have a social networking strategy to allow you to connect with your customer? Do you see your brand through rose-colored glasses? Do you deliver on your marketing promise?

Authenticity and consistency can build any brand assuming you are delivering on your marketing promise. Now go out and be yourself!

Joe Kiedinger

ACTION PLAN: If you need help with your social networking plan, contact me for a free consultation with our social networking guru. You need to get in the game.

Opportunity or Hassle?

When it comes right down to it do you see customer complaints as an opportunity or a hassle? Most people see them as a hassle. Those who see them as an opportunity really “wow” their customers. I’ve heard that Four Seasons Hotels, one of the finest in customer service, will put the beverage preferences of each customer in their database.

For example, if you were to book a room as a first time customer they will ask you what you would like to have waiting on ice in your room when you arrive. You say, “Diet Coke.” Diet Coke will forever be in their database for future visits. If you show up a year later at any one of their locations, voila, Diet Coke is waiting.

I’ve been told that if you’re a frequent traveler, they will place the wrong product in your room on purpose and then, five minutes after you arrive, will knock on your door holding the proper product with an apology. “Hello Mr. Kiedinger, I apologize we accidentally put Diet Pepsi and not Diet Coke in your room. Enjoy your stay.”

How about when a customer complains? Do you have systems in place to win the customer over for life? It’s only through a sharing of concerns can you uncover what your customers truly want. Sometimes you can’t deliver what they want and that’s ok too, but at least open conversation can begin.

Finally, I would like to talk about passive complaints, the ones you never hear about, but you discover and react upon. I would like to give a local example. My wife discovered a new shoe company called Okobos. She, through their website, inquired about shoes back in September. She never heard a response back until April when she received a message from a very apologetic owner who explained that her email was accidentally overlooked. She then asked Danica her shoe size because she wanted to give her a pair of Okobos. One week later two pairs arrived in her size.

Wow! Danica loved the sandals she received and Okobos won a raving fan. This experience was also launched out across 7 countries and 50 states through Wisdom On Wednesday! See, it pays to be proactive when you make a mistake!

Joe

Action Plan:  Develop systems of handling customer complaints. The first step is to gather the facts and act quickly! Now go do it!

Mel’s Dinner Theater

Ten years ago a couple of guys began something that many thought would never fly. You see the reason for this doubt is based on the two businesses that are the most difficult to sustain: live theater and restaurants. These guys combined them by beginning a dinner theater. Nuts, huh?

 

I wrote about this theater in chapter eight of my book, The Brander-In-Chief. However, what I didn’t tell you is that Mel is really created out from my own experience. Mel is really Frank from Frank’s Dinner Theater which is now Let Me Be Frank Productions.

 

Frank has proven that passion and vision can persevere. His theater is for profit, all the talent is paid and it is Frank’s career. What I also didn’t tell you is I was that other guy who, ten years ago, said, “Yeah, what the heck, let’s do it.” Yes, even when combining the two worst industries (percentage of success wise) together, success can still be found.

 

Today, Let Me Be Frank Productions is a staple at the historical Meyer Theater in downtown Green Bay. We began in an upstairs banquet room of a corner bar. I had to drop out once I started this business and my young family. People would refer to our group as “The Saturday Night Live” of theater. Even guys like to see these shows. It’s that brand that has built Frank’s into what it is today.

 

I’m proud to say I had a role in getting Frank’s started, but I know it would happen anyway based on Frank’s drive and creativity. I’m also proud to announce that I will be in their 10^th anniversary show, The Groovy 70’s; the original show title that Frank and I wrote. Of course this show is a show about how we wrote the first show. Did you follow that?

 

If you like to laugh, love 70’s music, and want to see me in a leisure suit, you’ll love The Groovy 70’s! It opens this weekend and continues through the first three weekends in June. The moral of the story here is to follow your passion and the money will follow. Most people chase the money. Don’t be a chaser, be authentic and do what you were destined to do!

 

Joe Kiedinger

 

ACTION PLAN: Come join us and have some fun!

Who are the number one decision makers?

KIDS! I was reminded earlier in the week how much our children influence the places we patron. If you have small children (or even big ones) you know what I’m talking about. I have three little girls, ages 2, 4, and 6, and one 13 year-old boy (yikes)! The kids ask to go to Festival Foods so they can hang out in the Tot Spot (thankfully they’re a client, whew). Restaurants that are frequented revolve around activities, child-friendly menus, and fun atmospheres: McDonalds, Applebee’s, Nicolet Restaurant, and Perkins. They drive us into making all sorts of buying decisions.

 

A colleague of mine recently shared an experience involving his little boy. His wife is a fan of saltwater fish and has two saltwater tanks at home. I’ve learned that it’s not cheap to set up a saltwater tank from the filtration systems to product… the fish!

 

He explained that there are only two locations in Green Bay to purchase these fish and their specialized products. The first has Mc Donald’s pricing and the second is priced more like Applebee’s. His wife always goes to the higher-priced store. It’s not because saving money isn’t important, it’s because her little boy likes Steve. Steve works at the store and makes Alex feel special and gives him attention. When mom says, “C’mon Alex, we’re going to the fish store!” His response is: “Are we going to see Steve?”

 

You may think your customer is a man or a woman or some certain demographic but I’m here to remind you that children drive a lot of decisions. In the words of Crosby, Stills and Nash: Treat Your Children Well.

 

No matter what the retail business you’re in, make it a point to focus on how you treat the children. Their experience will directly affect your bottom line. Besides, they’re your future customer.

 

Joe Kiedinger

 

ACTION PLAN: Talk to your associates about what you can do to serve your little guests. It will pay dividends!

Investment or Speculation?

I was talking to a business colleague who purchased a property in Florida with the idea of flipping it in a year. Unfortunately, this property was purchased right before the real estate collapse and was also a first-time venture in this type of money-making strategy for my colleague.

 

I said to him, “Well, you made an investment and unfortunately it went sour.” His response was, “I didn’t make an investment, I made a speculation. An investment is something you are comfortable with, in your interest and knowledge-base, that makes money, and you invest in it for long-term gain. I made a speculation.”

 

That simple conversation opened my eyes to my own company. What future ideas are we going to implement? Will they be investments or speculations? I feel it’s important to have the right balance of both.

 

Our publishing company, 9^th Street Publishing, was an investment. I studied the profits of publishing and I had my book, The Brander-In-Chief, to release. The About Me Program, on the other hand, is more of a speculation because it’s cutting-edge in helping managers understand and motivate their employees; I couldn’t find anything to compare it to.

 

It’s important to be cutting-edge in today’s business world. In order to do so you will need to invest in speculation–assuming there’s a need and many people are saying, “YES!” When it comes to innovation we tend to be protective thinkers: “Someone will steal my idea and take the money away from me!”

 

I don’t think that way. I say share it with the right people–the people who would be most likely to buy my idea (including strangers who won’t tell you what you want to hear). Allow them to sample the product or service, rather than just hearing an explanation. The goal is to create an awareness that takes off– where strangers are calling you asking for your product! We call these strangers new customers who later become new friends and, eventually, raving fans!

 

I hope this bit of wisdom has you looking at current and future opportunities in a new light. Is it an investment or a speculation? I say have a healthy mix of both.

 

Joe Kiedinger

 

ACTION PLAN: Make a list of all the things you’re involved in or are thinking of being involved in and determine your mix of investments and speculations.

What will your employees say about you around their dinner table?

Are you a Good Boss or a Bad Boss? When an employee in your care goes home for dinner with their family, are they praising your leadership or looking for another job? Remember people quit bosses, not companies. Below is a quick and simple check of your leadership. How do you rate?

 

            BAD BOSS:  I’ll be higher up!

Good Boss:  I have to go lower down to understand and ask questions in order to know what’s going on.

 

            BAD BOSS:  Everyone must tell me when I’m right!

            Good Boss: Tell me when I’m wrong.

 

            BAD BOSS:  I give the orders around here!

            Good Boss: I bring order to what others do.

 

            BAD BOSS: Protection Strategy: I’ll be protected for taking blame.

            Good Boss: I’ll protect others by taking blame.

 

            BAD BOSS:  Problem Solving: I can avoid problems.

            Good Boss:  I must seek out problems every day. I need to understand why!

 

The Good Boss understands their people by asking open-ended questions, not “yes or no” questions. The Good Boss gives clear direction and evaluates performance daily. They welcome negative feedback. The Good Boss is always firm but fair and is sincere when giving praise.

 

So, how are you doing? I’m guessing the majority of you are Good Bosses. Bad Bosses usually don’t take the time to read and further educate themselves. Here’s to Good Bosses who build great teams. We’re depending on you!

 

Joe Kiedinger

 

ACTION PLAN: Share this Wisdom with five of your friends who are in leadership positions.

“The Man Who Sold Hotdogs” (Author unknown)

There was a man who lived by the side of the road and sold hot dogs. He was hard of hearing so he had no radio. He had trouble with his eyes so he read no newspapers. But he sold good hot dogs. He put up signs on the highway telling how good they were. He stood on the side of the road and cried:  ‘Buy a hot dog, mister?’ and people bought.

He increased his meat and bun orders. He bought a bigger stove to take care of his trade. He finally got his son home from college to help him out during break. But then something happened. His son said, ‘Father, haven’t you been listening to the radio? Haven’t you been reading the newspapers? There’s a big recession. The European situation is terrible. The domestic situation is worse.’

 

Whereupon the father thought, ‘Well, my son’s been to college, he reads the papers and he listens to the radio, and he ought to know.’ So the father cut down on his meat and bun orders, took down his advertising signs, and no longer bothered to stand out on the highway to sell his hot dogs as often. And his hot dog sales fell almost overnight. ‘You’re right, son,’ the father said to the boy, ‘we certainly are in the middle of a great recession.’

The above story was sent to me via e-mail and I love it! If you’re like me thinking, ‘I’m not participating in the recession,’ the only way you can truly live recession-free is to focus on what you can control. Don’t open your 401K envelopes, stop reading about it, and stop listening to it. Invest in yourself. When I think stock market vs. Joe’s business, I’m choosing Joe’s business. My return is bound to be far greater than the stock market in a great year.

 

I’m choosing to focus on what I can control. Who’s joining me?

 

Joe Kiedinger

 

ACTION PLAN: Choose to avoid all newspapers and all news programming for one week. Focus only on what you can control and surround yourself with information and people who can help you achieve next week’s goals. Now March Forth and succeed!