The Fundamentals of Start-Up Business Success - Part 2

Instead of looking to politicians in DC, business leaders must control their destiny. Part 1 in this series identified matters executives can take into their own hands. Part 2 features NFIB's troubling survey.

In Part 3, I will highlight strategic and tactical initiatives small, start-up and emerging businesses should take to ensure profitable growth.

Leading the Art of Positive Change Outweighs Its Science

I spent the day with an extremely bright IT professional capable of creating the type of needed change his company is depending on him to produce. Throughout the day he kept proclaiming "I don't do politics" with equal doses of superiority, ferociousness and judgmental frustration. Perhaps not coincidentally, yesterday I was with a different equally talented IT leader who spent his day encouraging our mutual client to join him in a crusade against paper, chanting "I hate paper" to open and close every session (I'm convinced he tortures a Dwight Schrute voodoo doll each night before going to bed).

Any day now we will start seeing year-end features from all media outlets, and more than one is bound to pay its annual homage to the billions (or is it trillions?) companies waste each year on strategically sound IT initiatives that fail to produce expected returns.  To help get this ball rolling, I'd like to frame the subject through these two different professionals in two different settings trying to solve two different company problems. Especially because their attitudes are quite similar to most highly competent IT consultants and professionals I've worked with over the years, and I believe the experts represent the biggest hurdles for getting better universal ROI on technology projects.

I've previously debunked certain aspects of the cliched "people hate change" myth in this blog, but when ideas and ensuing transformation is managed by someone who arrogantly campaigns against politics as a critical change component, of course the people effected will resist with real hatred! These resisting masses will enlist managers at all levels because every good business leader recognizes humans are political animals that are best motivated to do the right things when they fully buy in-clinically as well as emotionally.  Equally, when a project leader sets his or her sights on the wrong objective, employees will quickly reject the direction and see it as a threat to their collective and individual security.

Eliminating paper is not a widely applicable business objective is, but creating greater cost efficiencies certainly is.  Every successful IT project I've ever been party to ultimately does eliminate paper, but as a by-product not as the goal.  Even if this consultant didn't mean it literally, it was received that way by the vast majority of the people he met with (I know, I had to undo the damage).  Nobody will get others to follow them if the audience believes the person in charge is attacking the wrong problem.

By way of a contrast, I will cite another IT leader that will also dominate the annual year in review features.  Of course, I'm talking about Apple, but not from the product design or consumer market standpoint.  Look around and you will see Apple products becoming a bigger part of the corporate landscape despite the aversion almost all CIO's, CTO's and their staffs have to bringing Apple into the workplace.  Apple's successful penetration of the corporate market is due to their going over the heads of the IT experts, appealing directly to users who ultimately insist on iPads for sales presentations, iPhones for marketing campaigns and the like.  Apple certainly seems to understand that the science of changing minds starts with the art of owning hearts and guts.  That's why they are a great corporation, not merely a great technology company.

Performance and Competitiveness

Hurricane Sandy's tragedy continues to unfold in ways I can't describe. While the media will rightfully focus on the horrible loss of life, property and commerce, I want to contrast the remarkable work being done by combined public and private forces post-Sandy to those failing.

As Sandy was barreling up the east coast, die hard NY Jets fan and season ticket holder that I am, I went to the Jets-Dolphins game on Sunday. On my way in I was stopped by a gate security supervisor who aggressively told me I could not bring the small bag I was carrying in to the stadium. Despite my showing her the bag contained towels and rain gear, and despite the fact I've been toting the same small bag to MetLife Stadium since it opened, she wouldn't relent. Of course the Jets went on to lose 30-9 as they once again limp their way through a mediocre season. The organization's judgment and execution--on the field, its personnel moves, or the over-officious security supervisor--is consistent, typically resulting in being on the short end of a 30-9 score.

After the worst of Sandy cleared my Connecticut neighborhood, I went out for a walk and saw literally dozens of well-coordinated crews working on different streets to clear roads blocked with enormous trees, fix power lines and ultimately restore electricity. Undoubtedly each crew was led by a supervisor, but I couldn't tell because everyone on each work team was furiously working intent on getting the job done. Clearly, they were well trained and inspired to produce results despite many challenges. Both the town and state officials have provided regular updates throughout this ordeal.  Everyone impacted by Sandy will suffer, but for most of us it's a pain of inconvenience. Thank goodness the companies and agencies managing Sandy clean-up operate at the opposite end of the spectrum from the NY Jets!

Shorthand and oversimplification remain two of the biggest problems US businesses face. 

When we think of athletes we automatically assume "competitive" yet the Jets have lost 2 of their 4 home games this year by scores of 34-0 and 30-9...nothing competitive about that.  By contrast, government agencies are routinely ridiculed for not performing and if there is any business sector that gets the same scorn it's the utilities.  My professional and life's experience continues to lead me to one absolute truth: 

Great organizations can be built and are to be found in any field, but it certainly requires great management PLUS leadership.  

Perhaps 49er Coach, Mike Singletary's "Getting-Results-Style" could be an example of how to succeed in business for 2010?

I couldn't have wished for a better end-of-year lengthy discussion than my lengthy session with Chris this week. He's one of the brightest, curious and most committed young professionals I've ever had the privilege to work with. As we get set to bury the truly God-awful 2009 reconnecting with Chris is the best reinforcement that better days are ahead because ambitious emerging talent always leads to a better future.

During our discussion Chris talked about a particular department he had been working with that certainly had issues but he said was thankfully comprised of "many experienced people." He reeled off a rather extensive list of issues, but the headlines were:
1. The department didn't have a true manager;

2. Each of the department employees did things their own way;

3. 2009 was a disappointing year for the company, revenues were off and although they had made great progress, costs were still higher than they should be. As he assessed it, the biggest cause for higher costs was waste due to breakdowns in the order entry-to-production cycle;

4. The department was supported by tools that were decent enough and although they were constantly being upgraded not everyone in the department thought it necessary to use them;

5. The company and its industry was going through radical and perhaps even painful changes but not everyone in the department was sensitive enough to these changes to adopt new methods.
So here I am with a wonderfully gifted individual who represents the future, fascinated by his apparent celebration of the past--one that was no longer working--who valued experience.

Clearly,"experience" can mean a great deal of many positive things, but in an environment that is defined by change, I'm rather certain that captivity to experience --for the sake of it-- is a guaranteed losing strategy. Of course Chris, like all of us, must respect and honor proven experience yet I believe it is just as important to keep in mind that experience is not a synonym for expertise.

Given the five isolated problems (listed above), does this seem like an expert group?

Shortly after speaking with Chris I found the time to finally check out the 2010 NFL Pro Bowl rosters. The first thing I noticed was, although named an alternate, NY Jets' Left Tackle D'Brickashaw Ferguson didn't make the AFC roster. A classic case where voters confused experience with expertise because in his 4th year Ferguson played so expertly he deserved to earn Pro Bowl. But the selection that really leaped off the page was San Francisco 49er Tight End Vernon Davis earning the starting Pro Bowl spot for the NFC. That's the same Vernon Davis who wanted to do things his own way during the 2008-2009 season his coach, Mike Singletary, publicly blasted him, more than once. A year ago it sure looked like Vernon Davis was headed for the scrap heap of "uniquely gifted athletes never to be heard from again, destroyed by a lousy attitude."

Singletary, an NFL Hall of Fame player and a 10-time Pro Bowl selection himself cared enough about excellence, followed his convictions to push Vernon Davis, and one year after Davis was shocked by his head coach's tirades against him, undoubtedly was the catalyst for Vernon Davis becoming an NFL all star.

For Chris and his company and all others, I wish only the best things for you in 2010 and suggest it can be a wish-come-true by applying a bit of Mike Singletary's style of getting results to succeed in business climate more volatile, competitive and exhausting than the NFL.

Happy 2010 Everyone!