Union Demands ‘Repeal or Complete Reform’ of ObamaCare

 

April 25, 2013 - 

It’s huge that a staunch union supporter of President Obama since 2008 has launched an effort to rid the nation of his signature legislation. The union clearly has buyer’s remorse over ObamaCare.

Implying that ObamaCare is not a true “Affordable Care Act,” the United Union of Roofers, Waterproofers and Allied Workers insists on a “repeal or complete reform of President Obama’s Affordable Care Act (ACA).”

The union and its president, Kinsey M. Robinson issued what they label as their “political action” statement.

“Our union and its members have supported President Obama and his administration for both of his terms in office,” acknowledged Mr. Robinson. “But regrettably, our concerns over certain provisions in the ACA have not been addressed, or in some instances, totally ignored.”

Mirroring opponents’ complaints

The unions’ objections mirror that of other ObamaCare opponents.

“In the rush to achieve its passage, many of the act’s provisions were not fully conceived, resulting in unintended consequences that are inconsistent with the promise that those who were satisfied with their employer sponsored coverage could keep it,” he added.

“These provisions jeopardize our multi-employer health plans, have the potential to cause a loss of work for our members, create an unfair bidding advantage for those contractors who do not provide health coverage to their workers, and in the worst case, may cause our members and their families to lose the benefits they currently enjoy as participants in multi-employer health plans,” explained Mr. Robinson.

Employer-partnership success

The union president remembers the past.

“For decades, our multi-employer health and welfare plans have provided the necessary medical coverage for our members and their families to protect them in times of illness and medical needs,” he pointed out. “This collaboration between labor and management has been a model of success that should be emulated rather than ignored.”

So he throws down the gauntlet:

“I refuse to remain silent, or idly watch as the ACA destroys those protections. I am therefore calling for repeal or complete reform of the Affordable Care Act to protect our employers, our industry, and our most important asset: our members and their families.

My sense is that he’s right. Roofers have among the most-dangerous jobs in America. The workers and their families deserve their true, affordable healthcare.

The remaining questions are: Will other unions do the right thing? Will ObamaCare supporters rescind this hugely detrimental law?

From the Coach’s Corner, see these healthcare-policy articles:

• Healthcare Crisis – What the Plight of Doctors Means to You
• Fiscal Fact-Check: Deficit, Social Security, and Medicare
• FDA Inefficiency Costs ‘Thousands of Lives and Billions of Dollars’ in Healthcare – Book
• Why Uncertainty Continues for U.S. Business and Workers, Alike

“Politics is the art of looking for trouble, finding it everywhere, diagnosing it incorrectly, and applying the wrong remedies.”

-Groucho Marx

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

Cutting Costs: 9 Best Practices to Avoid Making Reactionary Decisions

 

In chaotic times, it’s common for businesspeople to be fearful and reactionary when they feel they must cut expenses.

But entrepreneurs need to be unemotional so that they make decisions that will bolster their objectives. They can take the emotion out of their decision-making — by eliminating stress factors – if their priorities are clearly defined with values.

This is facilitated by documenting goals and priorities. In other words, write them down. It’s even more important in an uncertain economy.

Profit margins are squeezed when a business fails to plan. Due diligence in decision-making means looking at all internal and external issues.

For a better return on your decisions, here are nine tips:

1. Know your break-even point (BEP). Best practices in management mean having the right information to alleviate uncertainty in business. A BEP analysis should be an integral part of your financial planning.

2. Analyze your non-income producing activities. Look for cost savings with a caveat – make sure cutting costs won’t encumber short-term and long-term profits. For example, many business owners mistakenly believe it’s advantageous to cut cell phone expenses by telling employees to “bring your own device (BYOD).” To the contrary, BYOD headaches outweigh the initial benefits.

3. Don’t robotically make cuts in your cash cows. Be sure to evaluate any potential negative impacts on income vs. productivity. Admittedly, in my first year as a business-performance consultant, I was zealously tempted to cut my entertainment budget – until I realized it yielded a 500 percent profit. It would have been a different decision if an entertainment budget meant I was just moving money around.

4. Take a sober look at your pricing. To help maximize your profits, review your pricing. Here are the eight simple strategies to give you pricing power.

5. When tempted to cut costs by changing vendor products or services, make sure you don’t rob Peter to pay Paul. Do your due diligence to make certain you get equal or better value. If your current vendors are giving you bad service, sometimes it’s worth keeping them and not changing to others. In that case, try teaching. It’s better to train dysfunctional vendors in what you want them to do.

6. Continuously test your needs vis-à-vis your emotional wants and desires. You have to ascertain whether your ideas will align well with your business objectives.  Test…test…and test. Ask yourself: “Will this be a productive decision.” When contemplating purchases, small and large, I like the adage: “When in doubt, don’t.” Sleep on the issue before acting. Consider the 9 Dos and Don’ts for best decision-making.

7. Maintain the health of your information technology and other equipment. Breakdowns always seem to happen at crucial times and deadlines, which means they’re huge money and time wasters. Bite the bullet and perform timely repairs and maintenance of all equipment, as well as security for your computer system and important records to avert system failures. Cyber security is a major headache. Make certain your business is prepared with the right precautions and response philosophy.

8. Evaluate your human capital — your staff. Avoid the 12 errors in employee evaluations. Make the necessary changes. Additionally, try partnering with your employees. It’s a major profit-driver.

9. Analyze your marketing. What’s working for you and what isn’t? For best results, implement the marketing-plan essentials.

Remember, cost-cutting isn’t always a great bargain for your business, if you lose sight of your objectives. So, write them down and use best practices to eliminate your stress factors for the right decisions.

From the Coach’s Corner, additional reading:

• Strategies: If a Valued Employee Wants a Raise, and Money’s Tight 
• Business Success Checklist to Work Smarter, Not Harder 
• 4 Often Overlooked Options to Generate Soaring Profits 
• Overcoming Obstacles for Business Turnaround — 13 Steps 

“It’s not hard to make decisions when you know what your values are.”

-Roy Disney 

 

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

Finance: The Intrigue of Sovereign Wealth Funds

 

Some eyebrows were raised during the last week of the 2012 presidential campaign when the second-oldest son of Republican presidential nominee Mitt Romney journeyed to Moscow. Matt Romney was there to sound out potential Russian investors for his firm, Excel Trust, a U.S. shopping center developer. 

Mr. Romney is a senior vice president for the real estate investment trust with $820 million in assets. It distributes 90 percent or more in dividends. That allows investors to avoid double taxation.  

His Russian trip was surprising for two reasons:  

Firstly, it was just before the epic event in his father’s career, and perhaps our debt-ridden nation.  

Secondly, his father had criticized the Obama Administration for a soft-yogurt stance with President Vladimir V. Putin’s government. You might recall the missile-defense controversy when Mr. Obama was caught on videotape telling Russia’s Dmitri A. Medvedev “…after my election, I have more flexibility.”

During a presidential debate, Mr. Romney asserted: “I’m not going to wear rose-colored glasses when it comes to Russia or Mr. Putin. And I’m certainly not going to say to him, ‘I’ll give you more flexibility after the election.’ ”

Despite the politics, there was a potential prize for the younger Romney’s company – a massive amount of money – part of Russia’s sovereign wealth fund (SWF). 

Origin of SWF concept 

Not to over simplify, an SWF is a government-owned investment fund that a country invests globally in a variety of ways. SWFs funds are often managed in nations’ banking systems or are invested by government agencies for a financial return. 

Governments generally generate SWFs out of budgetary surpluses. Budget surpluses? Hmm. That’s why a member of the Romney clan would go abroad for funds, and why the company that runs Heathrow Airport sold a 10 percent stake to the China Investment Corporation.

Now, even tiny Angola has entrepreneurs salivating – it created a $5 billion sovereign wealth fund in October 2012. 

In 1953, oil revenue prompted Kuwait to form its investment vehicle even before the country left the United Kingdom. The Kuwait Investment Authority is now believed to be worth at least $300 billion. 

So, the concept has been around for decades, but the term was coined in 2005 by Andrew Rozanov when he wrote “Who holds the wealth of nations?” in the Central Banking Journal. 

Before you ask, yes, several SWFs were invested on Wall Street in Citigroup, Merrill Lynch and Morgan Stanley amid the financial crash. 

Espionage potential 

But SWFs can be a mixed bag. For example, such foreign investments can cause national security concerns.  

Incredibly, a Chinese company, Sany Group Ltd. is suing President Obama in U.S. District Court because he issued an order preventing the firm from consummating a deal for four Oregon wind farms. Sany’s subsidiary, Ralls Corp., bought the wind farms this year.  

The problem: The wind farms are situated near a naval training site where unmanned drones are tested for the U.S. military.If the district court upholds the presidential order, China threatens to appeal all the way to the U.S. Supreme Court.Other concerns SWFs have an unpredictable potential to affect other asset markets. While the International Monetary Fund has established governance and transparency standards, there’s still a concern that SWFs aren’t as uniformly predictable as central banks. As a result of such politics, the feared U.S. Fiscal Cliff and the euro-zone crisis, China plans to invest $482 billion of its sovereign wealth in adjacent Asia countries.

“Our job is to support neighboring countries to develop industries that are complementary to China’s growth,” published reports quoted Mr. Lou Jiwei, chairman of the China Investment Corp. “We hope a stronger Chinese economy can benefit our neighbors.”

The younger Romney hasn’t been the only one on a hunting trip for funds. U.K. Prime Minister David Cameron toured the Middle East seeking sovereign wealth to fund job creation. Seeking funds for Britain’s wind farms and other sectors, he met with the managers of the region’s largest sovereign wealth funds.

With all the sovereign wealth worldwide, it’s ironic that the most-prosperous nation in the world is so debt-ridden, and 23 million Americans can’t find family wage jobs. Wouldn’t be nice if the U.S. would rack up budget surpluses instead of $16+ trillion in debt and greatly reduced the unemployment rate?

Now that’s an intriguing thought.

P.S. Here’s a hint: Perhaps you’ve caught on — if you have investment skills, these developments would appear to be career-enhancing opportunities.

From the Coach’s Corner, here are articles on financial matters:

• To Finance Your Startup, How Bloggers Can Impact Your Quest for Venture Capital
• Tips on Understanding the Mindset of IRS Auditors
• 4 Strategies if You Fear Missing Year-End Forecasts
• Even Ordinary Folks Need 10 Best Strategies for Estate Planning

“The Obama administration’s large and sustained increases in debt raise the specter of another financial crisis and large future tax increases, further chilling business investment and job creation.”

-Glenn Hubbard

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

Will 5th Time Around be the Charm for Washington State Voters?

We’ll soon know if lawmakers will listen to voters on taxes as the Legislature convenes Jan. 14

 

Updated Jan. 12, 2013

In terms of time management and aggravation, people in Seattle and throughout Washington dislike having to perform the same chore twice. Especially, when the chore is necessitated by politicians’ disingenuous behavior. 

But when it comes to taxes, many lawmakers in the Washington State Legislature mistakenly think it’s OK to annoy voters on the same issue over and over again.  

Five times in the past two decades, voters have passed initiatives directing the Legislature not to raise taxes without a two-thirds majority or voter approval. The initiatives require that lawmakers wait two years before voting to circumvent the will of the people.  

So, just like clockwork — as soon as the two-year period expires – guess what? The merry-go-round ride starts again, as lawmakers proceed to violate the will of the people. Repeatedly, voters complain they don’t enjoy the rides and have passed tax initiatives.  

Voters most-recently spoke on Election Day in 2012 when they easily passed I-1185. In approving the initiative, voters also told the legislators to rescind their two tax hikes passed in the 2012 session. 

On many occasions over the years, lawmakers haven’t been transparent in their behavior. Fortunately, the state’s leading think tank – the Washington Policy Center (WPC) – uses terrific investigative techniques to inform the electorate with excellent analyses about lawmakers’ chicanery. 

“Just in case a translation for these votes is really needed, lawmakers should focus their attention on balancing the 2013-15 without tax increases,” blogged Jason Mercier, WPC’s director, Center for Government Reform. His piece was entitled, “Olympia: Can you hear taxpayers now?” 

He also wrote:

“Since I-1185 was anything but new policy (most recently passed by 64% of the voters in 2010) our policy analysis advised voters to treat the decision as an opportunity to clearly frame the budget debate and send a message to Olympia that voters weren’t kidding the last four times they adopted this requirement with the hope that our elected officials will feel some obligation to their constituents to end this debate once and for all by referring the question to voters in the form of a constitutional amendment.”

Prior to the 2012 election, WPC queried 128 candidates and lawmakers:

“If Initiative 1185 is adopted, would you vote to allow the people of Washington to have the opportunity to vote on a state constitution amendment to require a supermajority vote in the legislature to raise taxes?”

Unfortunately, only 109 of them – 52 percent – responded. See their replies here. (WPC will update the survey to show which of them were elected.)

Recently, in a Tacoma News Tribune op-ed, Mr. Mercier also called for even-more legislative action:

“A constitutional amendment would provide the public and businesses with predictability about whether this tax protection will exist from year to year and whether or not the four-time (pending fifth) approval of the voters for this policy was a fluke or actually reflects their consistent and ongoing desire for lawmakers to build a strong public consensus on the need for any proposed tax increase.

“With voters and lawmakers repeatedly enacting the supermajority vote for taxes requirement over the past 20 years, what could be more representative of the public will than allowing a vote of the people on a constitutional amendment to help end this debate once and for all?” he asked.

Good question.

From the Coach’s Corner, WPC has often been a great source of information for this portal – here’s a handful of articles:

• Do Survey Results Mean More Dysfunction by Washington State Politicians?
• Why Small Business Vows to Continue the Healthcare Fight
• WPC Hits Target, but Will Washington State Legislature?
• What Do Small Business Owners Need from Washington State Policymakers?

“The people are hungry: It is because those in authority eat up too much in taxes.” 

-Lao Tzu

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

Co-workers Play Negative Roles in Whistleblower Retaliations

 

No one likes a snitch. But there is a need for protection of conscientious employees when they blow the whistle on discrimination, sexual harassment, mishandling of hazardous waste or disloyal employees who cook the books.

A study by the Ethics Resource Center found whistleblower retaliation increased 83 percent from 2007 to 2012. Almost 33 percent of whistleblowers were victims of retaliation. After blowing the whistle on wrongful acts in 2011, they were attacked physically or suffered damage to their homes or cars.  

Retaliation is one of the six reasons why companies fall into the costly management lawsuit trap.

Whistleblower retaliation issues are prevalent – not only because of management but the behavior of co-workers, too. That’s according to another 2012 study by the global ethics and consulting firm, NAVEX Global. The survey included Fortune 500 companies and multinational firms.

The goal was to develop information to “cultivate trust and engagement between workers and management.” But only 15 percent of respondents said their companies had transparency in whistleblower retaliation.

“Providing a hotline number for raising concerns is not enough,” said Shanti Atkins, president and chief strategy officer of NAVEX Global. “To maintain a positive corporate culture that is rooted in trust, organizations need to share sanitized information on how management actually handles claims.”

“It is time to take away the mystery of what happens after an employee reports an issue,” he added.

The study’s results:

• Employees increasingly view retaliation as coming from peers and not just management. When asked how front line employees define retaliation, the definition typically included negative comments from their peers. Being “socially shut out by co-workers and managers” was also cited.
• Seventy-four percent of respondents view training and awareness programs as most effective in minimizing retaliation claims. The next two most effective methods identified were more open communications between management and line workers (45 percent), and an enhanced corporate culture (41 percent). Stronger disciplinary measures ranked as among the least effective methods.
• A “significant” number of respondents (35 percent) said executives or high performers are merely “coached” after they engage in retaliation, as opposed to “fired,” “penalized” or subjected to other disciplinary action.
• Thirty-nine percent of respondents said their organization uses whistleblower reporting data to inform reports to the Board of Directors.

Obviously, stronger ethics are needed to put a halt to this epidemic. Productive footwork is needed by management and human resources professionals.

From the Coach’s Corner, recommended reading:

• Workplace Bullies May Hurt Retention of All Employees, Not Just Victims
• How You Can Eliminate Destructive Conflict for Better Teamwork
• First Step in Fighting Lawsuit Abuse – Risk Management
• 6 Steps to Implement a Cultural Change for Profits
• 18 Tips for Productive Behavior to Win in Office Politics

“To see a wrong and not to expose it, is to become a silent partner to its continuance.”

-Dr. John Raymond Baker

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

The Connection: 7.8% Unemployment and Obama’s Failure to Convene His Jobs Council

 

Updated Jan. 8, 2013

Sadly, the news media has largely failed to report two economic developments:

1. There’s a connection between the president ignoring his own Council on Jobs and Competitiveness a year, and the stubbornly high unemployment rate.

That’s right. The 7.8 percent unemployment rate, which is higher than when Mr. Obama first entered the White House, has been largely ignored by his administration.

Why this conclusion? Let’s connect the dots.

Mr. Obama recruited business leaders to join his jobs council in January 2011. This was to demonstrate leadership in solving the nation’s anemic jobs situation, and to fix his impaired relationships with employers.

But not since Jan. 17, 2012, has Mr. Obama convened his own jobs council, which is chaired by General Electric CEO Jeffrey Immelt.

It’s been heavily reported that 23 million Americans are out-of-work or are under-employed because they can only find part-time work. And the president has not bothered to convene his jobs council for a year?

So neither of Mr. Obama’s jobs-council goals has been attained — by default. That’s unacceptable for the nation’s economy and workers.

2. Outgoing Intel CEO Paul Otellini, a member of the Obama jobs council, joined the ranks of high-profile business leaders who opposed Mr. Obama’s re-election.

Mr. Otellini is ostensibly disappointed by Mr. Obama’s lack of commitment to creating private-sector jobs.

He has good reason. Mr. Otellini joined the president’s jobs council to lend his expertise even after voicing his concerns about ineffective administration policies for job creation. (See: Job Creation: Will Public Officials Listen to Intel’s CEO?)

Other business leaders who actively campaigned for Mr. Romney: Charles Schwab, Cisco CEO John Chambers, and Bernie Marcus, the co-founder of Home Depot.

The results speak for themselves. Mr. Obama has not kept his promises – from his commitment to reduce the unemployment rate to 5.2 percent – to his pledge to balance the federal budget.

You might recall in 2008 he called President Bush “unpatriotic” for his handling of the economy and heavy spending, but the national debt increased 52 percent in the last four years under President Obama.

Here we have a president who campaigned on “hope and change.” But he hasn’t delivered — understandably because he doesn’t have any job-creation credentials — his experience as a community activist explain his economic failures. There’s been no hope under Mr. Obama – only harm to the nation’s economy.

Even Steve Jobs criticized the ineffective Obama approach. (See: Biography: Will President Obama Listen to Steve Jobs on the Economy?)

Business leaders understandably chortled at Mr. Obama’s announcement that he wants to add a new cabinet position, a “secretary of business.” I concur.

“I don’t think adding a new chair in his Cabinet will help add millions of jobs on Main Street,” said Mitt Romney. “We don’t need a secretary of business to understand business. We need a president who understands business.”

Agreed. It’s time for realistic hope and positive change.

From the Coach’s Corner, the media also failed to report another noteworthy development, about which I wrote: 6 Nobel Laureates Among 673 Economists Back Romney’s Economic and Jobs Plan. The economists signed a statement — the benefits of Mr. Romney’s plan — and multiple reasons why Mr. Obama’s economic approach is a failure.

“There are three kinds of men. The one that learns by reading. The few who learn by observation. The rest of them have to pee on the electric fence for themselves.”

-Will Rogers

 

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

To Finance Your Startup, How Bloggers Can Impact Your Quest for Venture Capital

 

Multi-million dollar venture-capital financing decisions are affected by bloggers and social media.

That’s the conclusion from a 2012 academic study, “Putting Money Where The Mouths Are: The Relation Between Venture Financing and Electronic Word-of-Mouth.”

But blog coverage can be tricky. The research shows VC applicants should be strategic in soliciting publicity. The right strategy yields a higher funding amount and valuation.

Published in Information Systems Research,  the study was led by Rohit Aggarwal, an Operations and Information Systems professor at the University of Utah.

“I talked to VCs from many top VC groups, and VCs in general rely on few popular blogs such as TechCrunch, GigaOm, and Venturebeat,” said Professor Aggarwal. “Given their reading behavior, these findings totally make sense.”

But there’s a downside. Beware of the possibility of negative blogger reviews.

“After all it is more of a rejection process than a selection process,” explained the professor. “VCs want to sift through the pile of startup plans on their desks quickly, and are essentially looking for a reason to reject a plan and move on.” Early funding rounds He indicates blog coverage has a strong effect in the early funding rounds. But the impact of the publicity diminishes in later rounds. “This makes sense, because in the early stages, all they may have is a dream of what they could be,” explained Professor Aggarwal. “As time passes, users, usage, and other accounting measures start to give a better signal about their actual potential.” To be sure, private equity funding has been a successful approach for the world’s biggest technology companies, such as Amazon, Apple, Google and Microsoft. Startups need the funding to develop products, recruit employees, pay vendors, and for marketing. In the dot.com heyday, an aggregate $135 billion was raised from VCs in one year. Since 2000, the total annual VC funding has been more than $25 billion annually. The beneficiaries typically have been IT entrepreneurs. The study’s co-authors are Harpreet Singh of the University of Texas-Dallas, Ram Gopal of the University of Connecticut and Alok Gupta of the University of Minnesota. This was also an interesting read, as I learned that the University of Utah’s David Eccles School of Business has programs in entrepreneurship, technology innovation and venture capital management. It launched the country’s largest student-run venture capital fund with $18.3 million. See the report here. From the Coach’s Corner, here’s additional recommended reading: Eight Strategies to Consider Before Starting A Tech Business What No One Tells You about Raising Investment Capital What Should You Divulge When Asking for Investment Capital? How to Attract an Angel Investor Why Women Receive Less Angel Funding Than Men “Persistence, persistence, persistence. I’m surprised how few entrepreneurs follow up.” -Mark Suster   __________ Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

Why Manufacturing Jobs Are Beginning to Come Back to U.S.

 

Reshoring is underway. Forty percent of manufacturers have moved their operations back to America from China and India, according to an academic study sponsored by the Council of Supply Chain Management Professionals.

“Going overseas is not the panacea that it was thought of just a decade or so ago,” said Tobias Schoenherr, assistant professor in MSU’s top-ranked Department of Supply Chain Management.

“Companies have realized the challenges and thus are moving back to the United States,” the study co-author said.

Why? He said the respondents – involving 319 manufacturers – cited labor costs, oil prices, transportation costs, political instability and other reasons.

Other factors included the attrition of intellectual property as well as poor product quality. Those are challenging problems exacerbated by differences in time zones, languages and cultures.

The reshoring trend includes these industries:

• aerospace and defense
• industrial parts and equipment
• electronics
• medical and surgical supplies

“We were surprised by the large percentage of firms indicating that they are considering reshoring,” said the researcher.

Thirty-eight percent of respondents explained that their competitors have also brought back jobs.

More good news:

“From my communication with some firms, I also sense a genuine desire to help the U.S. economy and to bring back jobs,” he added.

Other study co-authors: Wendy Tate and Kenneth Petersen of the University of Tennessee and Lisa Ellram of Miami University (Ohio).

See all of the organization’s case studies.

From the Coach’s Corner, related reading:

• Your Supply Chain Can Meet the Expected Standards of Customers, If…
• Why Kaizen Philosophy Works in Lean Principles for Business and Public Sector
• Developing Trends, and Solutions for Manufacturing Success
• Study: Why Lean Manufacturing Principles Often Don’t Work

“The American consumer is also the American worker, and if we don’t do something to protect our manufacturing base here at home, it is going to be hard to buy any retail goods.”

-Lindsey Graham

 

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

Insights for Exhibiting Success at Trade Shows

 

Attendees at trade shows would rather chat with marketing and sales staff as opposed to managers, according to a study published in an Oct. 2012 Exhibition World article.

The study released by the Center for Exhibition Industry Research (CEIR) says 56 percent of trade-show visitors prefers meeting with salespeople.

It indicates 30 percent of exhibitors assign marketing and sales personnel compared to 27 percent that show up with management.

A key trait preferred by 94 percent of attendees: Product knowledge.

Fifty percent of visitors would like to meet with exhibitors’ researchers and developers. But only 3 percent of exhibitors do so.

So are companies missing a chance to garner customer feedback for new product ideas? Yes, says the study.

“Attendees regard exhibit staff as the face of the company,” Exhibition World quoted CEIR research director Nancy Drapeau. “It is their chance to engage face-to-face with the people behind an organization and brand.”

She reiterated the necessity to respond to attendee preferences.

“This human interaction gives exhibitors the unique chance to make a powerful connection that can translate into new business for their long-term success; therefore, having staff with the right job functions, level of experience and demeanor is key to positioning an exhibiting organization for success,” she added.

For the most part, the study’s conclusions make sense. But I’d be careful about allowing interaction of attendees with your researchers and developers. You don’t want employees who are not used to dealing with customers to inadvertently share trade secrets.

From the Coach’s Corner, recommended reading:

• Want More Business? Build Trust with Consumers…Here’s How
• Strategies, Precautions When Expanding into a New Market
• 7 Precautions for a Profitable Layaway Program

“Every great business is built on friendship.”
-JC Penney

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

In Q4, Businesses Should Plan to Use at Least 5 Strategies for 2012 Tax Returns

 

Oct. 17, 2012

Where has the year gone?

Know your rights with the Internal Revenue Service. Businesses should start planning their 2012 tax returns – ASAP. Some IRS changes are expected to expire or be reduced after this year.

So, it’s best to take advantage of opportunities, especially if you’ve made certain investments to benefit your company. But every business situation can be unique.

For the most benefit, you should see your qualified tax advisor to at least discuss these five tax topics:

1. Section 179

Businesses can expense or deduct 100 percent of the cost of specific property this year for as much as $139,000. That can include certain personal property and off-the-shelf software –new or used – if it’s used by your company this year. Of course, you’ll be limited by the cost of your Section 179 property, and by your taxable income.

Note: The expensing allowance is scheduled to decrease to $25,000 next year.

2. Fifty Percent bonus depreciation

Under Code Section 168(k), it’s possible to take half of certain assets’ costs that acquire and use in 2012. You’d benefit because depreciation is increased to permit 50 percent cost deductions in their first 12 months of depreciation. That’s for depreciable property with less than a 20-year recovery period, interior improvements in your leased property, and off-the-shelf software.

Note: This is scheduled to expire.

3. Bad debts

Code Section 166 allows for bad debts to be deducted in the year they’re incurred. Yes, it’s universally acknowledged – even by the IRS – that the economy is soft, and businesses are suffering from uncollectable receivables. But they must be documented.

So, you must prove the debt is valid and worthless whether it’s a partial or whole amount. Make certain you have documentation of the bad debt so you can claim it. See this article:  Tips on Understanding the Mindset of IRS Auditors.

4. Retirement plans

Benefits of the right retirement plan for your situation: You can save for your retirement to benefit your tax situation while getting a deduction on your taxes.

You can select from multiple options – a 401(k), profit-sharing, simple IRA, or a simplified employee pension plan.

Again, your goal should be to reduce your taxable income while building your retirement fund.

5. Tax classification

It’s advisable to periodically review your tax classification – whether you’re a sole proprietorship, partnership, C corporation or S corporation. Perhaps your situation has changed. Obviously, each business classification has benefits and downsides.

The IRS will, of course, allow you to change your tax classification.

So, review all your options to prepare for a year from now. If you’ll be better off under a different classification, you really can’t do anything about it for this year. The best time to make changes is at the start of a tax year. In this way, you can take advantage of all opportunities in making transactions, tax filing and structuring.

From the Coach’s Corner, see these resources:

• Even Ordinary Folks Need 10 Best Strategies for Estate Planning
• Nonpartisan Study: Obama’s Tax Plan Hits 53% of Business Earnings
• 11 Strategies to Keep your Small Business Floating above Water

On April 15th you count your blessings . . . and then send them to Washington.

__________

Author Terry Corbell has written innumerable online business-enhancement articles, and is a business-performance consultant and profit professional. Click here to see his management services. For a complimentary chat about your business situation or to schedule him as a speaker, consultant or author, please contact Terry.

 

Next Page »