Diverse Age Differences at Work Mean Return to Status Quo in Attitudes – Robert Half Study

 

Despite the 21st century’s widespread age differences in the workplace, at least one thing hasn’t changed – many attitudes of workers are similar. For example, employees are often most-interested in company stability, according to a study by Robert Half.

Sadly, for many companies, that might also be why 40 percent of respondents are apt to shop around in seeking a new job.

“There has been considerable focus on the differences among various generations, but our research confirms many similarities,” said Max Messmer, chairman and CEO of Robert Half International. “Understanding the values shared by nearly all employees, particularly in light of changing economic conditions, can help companies enhance their recruitment and retention efforts.”

The study involves more than 1,400 people working fulltime in North America. The respondents are either college graduates or are in school. Just over 500 are hiring managers. The demographics include baby boomers, aged 46 to 64; Generation X, 32 to 45; and Generation Y, 21 to 31.

Among the three generations, the study reveals five similarities:

• Job security are preferred over working for a community-minded firm or even a shorter commute
• Salary, company stability and benefits were the most salient
• Most-prized benefits – Healthcare and dental coverage, vacation time and matching 401 (k) plans
• The recession is the main reason for those planning to work past 65
• Diversity in work experience is believed to be beneficial

Here are the generational differences:

• Following the downturn, many plan to job hunt. The breakdown includes 36 percent of Generation Ys, 30 percent of Generation Xs, and 24 percent of baby boomers.
• Among the Generation X, 38 percent plan to upgrade skills and 33 percent percent plan to stay with their employers.
• For the respondents planning to work past 65, 54 percent are baby boomers, 46 percent are Generation X, and 39 percent are Generation Y.
• 34 percent of Generation X and 27 percent of baby boomers managed to add to their retirement nest eggs since the beginning of the downturn.
• Many are concerned about differences in coworker work ethics and balancing career with their lives. That’s 54 percent of baby boomers, 45 percent of Generation X, and 35 percent of Generation Y.

“Many employees, particularly Gen Y professionals, are biding their time in their current employment situations and plan to make a move when they feel the economy is on firmer footing,” said Brett Good, a Robert Half International district president. “Now is the time for employers to take action and outline career paths within their company for strong performers. Compensation reviews also should be conducted to ensure that pay is competitive.”

Well said.

If you want, you can get a copy of the study.

From the Coach’s Corner, if you want 18 strategies for better employee relations, see Leadership Strategies to Profit from Employee Respect.

HR Management: Which Employees Are Most-Likely to Quit?

 

If you need help in retaining talent, an HR study contends there is a way to determine how to anticipate which employees are likely to leave, according to an article in CFODailyNews.com.

The study by eePulse, Inc, the HR software company, contends there are four criteria of employees who are most likely to quit.

The four are:

• Workers aged 41 to 45
• IT and marketing professionals
• Directors and supervisor/managers
• Employees working at companies at average or below average pay

The article suggests monitoring more-closely workers who took on added responsibilities during the downturn. Those employees are more inclined to feel taken for granted. You know what that means. They’ll look for work with your with your competitors.

For possible solutions, here are some key questions for you to consider:

1. Have you gauged the attitudes of your employees?
2. Have you conducted a wage and compensation study?
3. What does your employee-recognition program look like?
4. Do you make education and training programs available?
5. What training do you provide to upgrade the skills of your managers?
6. What have you accomplished to increase sales for better cash flow to reward deserving workers?

Once you have positive answers to these questions, you’ll lessen the likelihood of having to suffer from employee turnover. Notice that most of the challenges to retaining workers is solved by skilled management. It’s important to have great relationships with your workers and to be empathetic with them. Within reason, they need to know that you care about them.

Who wants to lose valuable employees? Especially, losing valuable employees to competitors is not only a human-capital loss, it means a loss in profit. Plus, it results in a marketplace stigma. You want to be known as one of the best places to work.

From the Coach’s Corner, this sites’ HR section has 25 HR-coaching topics.

Here’s a sample:

• How to avoid EEOC Discrimination Suits
• Management and HR for higher performance
• Human Resources: 12 Errors to Avoid in Evaluations

Management and HR for higher performance

Part three: How to grow your small business

In analyzing the growth rates of small businesses – every great entrepreneur has one salient quality – the ability to be an effective manager.

An effective manager efficiently allocates resources for achieving goals. Quality management usually results from an independent SWOT analysis – assessing internal strengths and weaknesses along with evaluating external opportunities and threats.

Self-employed people need to carefully inventory their own strengths and weaknesses as business personalities. They should also assess how to maintain their good health because they’ll suffer if they don’t. Larger companies should focus on several factors in a strength-weakness analysis of their human resources, such as recruitment, training and development, compensation, culture, leadership, reliability, and salespeople.

Once a business owner looks in the mirror to assess management strengths and weaknesses, then he or she is ready to analyze opportunities and threats for a strategic plan.

Even if a strategic plan is well-written, beware: Management practices that work well in the early growth of a small firm often cause problems later, according to a series of articles in the Harvard Business Review (HBR) by Dr. Larry E. Greiner. He believes such managers fail to take into account “present events or market dynamics.”

“Creative activities are essential for a company to get off the ground. But as the company grows, those very activities become the problem,” Dr. Greiner wrote in a 1998 HBR article, “Evolution and revolution as organizations grow.” His thesis is still accurate.

Red Flags

Business expert Neil Delisanti agrees that managers often fail to solve red flags: “There are forces inside the organization that they control; forces outside the organization over which they have little, if any, control; and probably most important, red flags in themselves, about which they may or may not be aware. A good manager must be constantly aware of the impact of all these forces. One of the common failings in managers is that they blame all sorts of things for their failures, rather than admitting they didn’t have a good handle on what’s happening.”

Mr. Delisanti has gifted insights because he speaks from both an academic and solid mentoring perspective. He was a faculty member at both the University of Puget Sound and The Evergreen State College. As the guru for the Small Business Development Center in Tacoma, he counseled more than 2,000 companies.

Mr. Deslisanti believes too many small business owners micro-manage: “Many folks start a business and believe it is their inspiration that made it a success. Although this is sometimes true, what we find on closer inspection is that it was their perspiration and natural management ability that was more responsible. They have invested a lot, money, time, and sanity, in their enterprise and find it hard turning it over, often even small parts, to someone else to possibly blow it. Any business can grow to where the owner just cannot physically, mentally or emotionally, do it all.”

Does he believe managers limit their business growth by poor human-resource management techniques? “Often, yes. This is particularly true of a company that starts with an owner and spouse sitting at the dining room table. Not only are there innumerable government restrictions on what is legal, we have to look at what the workforce expects from employers today. The management of people isn’t as simple as the old my way or the highway anymore. Diversity in all areas requires that SBOs have to look at differences in age, gender, race, ethnicity, education, background and experience – just to mention a few facets that have to be considered.”

When to start HR function

“I strongly recommend that as a business gets above the 15-20 employee range, the owner set up some sort of human resource function, and get some assistance in designing job descriptions, recruitment policies, pre-tests, application forms and very importantly – interview policies and procedures,” he suggested.

To underscore his concerns about HR precautions, I agree. I’ve been called upon to help two businesses:

1. A cable TV company was fined $15,000 by U.S. District Court for sexual discrimination of an applicant. The company’s law firm asked me to provide a three-hour seminar on Equal Employment Opportunity laws as part of the sentencing to close the case.

2. An interstate trucking firm was fined $100,000 and required to design a new wage and compensation plan (Note: the company’s pay system worked fine when it was smaller).

In both cases, the bosses were nice people unaware of the dangers in a litigious society.

Because small businesspeople often seem to feel they’re under siege, Mr. Delisanti suggests: “Have a vision or goal and incorporate it into a strategic plan, which is different than a business plan. This can come in many forms, but it should be organized and written. Identify your vision and then develop a list of goals that will let you succeed, quantify them, put some time frames on completing them. Most important – assign some responsibility to someone to get it done. This will have you on a course of your choosing and let you become proactive instead of reactive.” 

Premature growth

He says some companies grow too fast: “This happens when growth gets out of control when you can’t fill the orders, due to a lack of materials, equipment, people or cash. This can also happen when the company gets too big for the owner to handle.”  

Others grow too slow to cover added costs and expenses: “Usually, this is a result of overly optimistic forecasts that bring about expenditures that far exceed revenues. Many reasons cause this, such as an SBO’s enthusiasm; level of success with business on a smaller scale; and non-credible or insufficient marketing research,” he said.

Mr. Delisanti warns about unforeseen situations in the external environment: “Even the best forecasting can’t predict a tsunamis, earthquake and the level of destruction that natural disasters can wreak upon an industry. Consider skiing in the Pacific Northwest some seasons – there can be a bad time to open a new ski shop.”

He says challenges result from miscalculating factors in what he calls an “uncontrollable” industry environment: “When a business conducts an opportunity-threat analysis, it should look closely at a number of factors and make its decision, based on what it thinks will happen and how the chain of events will impact its goal attainment. If the business thinks incorrectly, it might lose the competitive advantage over somebody thinking correctly. Remember: Everybody can’t win. If you look at all the data and think that interest rates will go up 9 percent and take the actions that will best help you achieve your goals under those conditions, but if they only go up 2 percent, other companies will probably have an advantage over you.”

So, there you have an overview – how to grow your small business – in a three-part series.

The two previous columns:

Marketing Essentials on a Shoestring Budget

10 Scholarly Solutions for Selling More Products

From the Coach’s Corner, for more free counsel, he suggests that you contact the nearest SBDC office.

Leadership Strategies to Profit from Employee Respect

 

Even though Wall Street is ecstatic over productivity growth, merely slashing costs and jobs to create profit is not sustainable for profits. I know investors mistakenly believe the earnings for such publicly held companies are good, but it will not last.

Workers are realizing they’re not sharing in the wealth. Poor morale will cause profits to plummet, and consumer demand will continue to plunge. What will investors and CEOs do when it gets much worse?

So try a new strategy with a vision for growth.

The key to long-term profits is organizational cohesion. Some businesses are profitable simply because employees trust and implement management’s vision. Let’s consider how to increase worker productivity and reduce labor costs.

If you want to increase worker productivity and reduce labor costs, here’s a question: Are your employees buying into your vision for growth?

Leadership style is important. Earning respect is paramount.

In fact, mutual respect is the first step in getting employees to share your vision. That results from implementing strategies for healthy worker satisfaction, which might seem like an impossible dream for some employers in this economy.

When a company underperforms, do employees blame managers? In all probability, the answer is yes. At a lot of businesses, the workforces are unhappy with management. And the majority of employees want their bosses to invest in them.

Is your business suffering from poor morale? If so, take steps to increase your profits by communicating better with your employees. Generally speaking, employees who are satisfied with their jobs perform at higher levels, which is really a result of their satisfaction with their employers.

A study from a 2006 Biz Coach column confirmed this supposition. That’s when I reported Deloitte Consulting concluded that the 56 public companies included in Fortune’s list of “Best Companies to work for” had a 78-percent higher stock performance than the S&P 500. And I’m betting a similar study about profitability would have the same result today – in either big or small companies.

So what do workers want monetarily? They want what is probably impossible for cash-poor firms.

The top worker preferences:

• Competitive wages
• 100 percent paid health-care
• 100 percent company-funded 401(k) plans
• A compressed work week
• Flexible schedules
• Bonuses

Great profits or not, you can tap into other worker emotions that satiate them. Do your workers respect you? Do they feel treated with respect? Companies failing to take the necessary employee-motivation measures can expect employee turnover – whether or not the economy improves.

Here’s a leadership checklist for success with employees:

1. If you’re new to the job, earn your stripes and demonstrate humility. Unless it’s a crisis turnaround situation, take several months before implementing changes. New bosses inherently intimidate workers – give them a chance to like you or least feel they know you.
2. New or not, be accessible. Walk the floor twice a day. Spend five minutes a week with each employee whenever feasible. Show interest in them. Ask open-ended questions to get them to talk with you. If you do, they’ll conclude you’re a brilliant conversationalist.
3. Actively listen to your employees. When you’re approached put down the pen or turn away from your computer. Employees rave about bosses who give their full attention.
4. Encourage workers to suggest ideas for business success. If an employee makes a suggestion – even if you’re not in full agreement – look for reasons to be accepting of the idea. The worker will give 1000% to make an idea work, and the person’s morale will skyrocket. If it doesn’t work, the employee will endeavor extra hard to fix it in order to save face.
5. If you’re not the top person in the company, use your influence to help employees to achieve their career goals. If you are the top manager, do whatever you can.
6. Recognize top performance publicly. Praise immediately.
7. If you must criticize an employee, try to use the layered-sandwich approach – two positives, the negative and a positive.
8. Avoid criticizing an employee publicly.
9. Ask questions before you start reprimanding. Sometimes there are good reasons for negative surprises. So avoid unnecessary embarrassment for your employee and you.
10. Consider the Pareto principle when you honor workers – the top 20 percent deliver 80 percent of top performance.
11. Maintain a steady disposition. Otherwise, when you’re under duress about a business matter, many employees will take it personally and mistakenly think you’re unhappy with them.
12. Try to get key employees to buy-in to your new initiatives before implementation.
13. Use good technique when implementing instructions. That means being direct, low-key but firm and maintaining strong eye contact. Explain the reasons whenever possible, but don’t be tentative or apologetic.
14. For complex projects, be careful in how you give instructions. Take adequate time to list and document your wishes and deadlines. Recap in memos or emails. Like good meetings, everyone should know who will do what and when they’ll do it.
15. Follow up and inspect your employees’ work or deliverables. Show your interest.
16. Be courageous, especially in unpopular positions, but be cool under fire.
17. Give your employees freedom – don’t micromanage. Make certain your subordinate supervisors do the same.
18. Assess your strengths and weaknesses as a leader. Take appropriate steps to alleviate weaknesses and hone your strengths.

If you execute these ideas, you will profit from good labor relations and you will be in a position to leverage the perspective of your company’s human capital.

From the Coach’s Corner, here’s a question from a reader about proper etiquette:

Q: Lately I’ve attended several business meetings where I have already met the other attendees, but my bosses have not. When introducing the vice-president or president of our company, (I am a manager), should I use his title, “John Doe, President of ABC Company,” or simply say “John Doe, also with ABC Company?” 

A: That’s an excellent question. It’s refreshing that your company employs such a conscientious person. It’s proper protocol to introduce guests to your boss first, such as: “This is John Doe, president of ABC Company.” Then, introduce your boss to the other person.

How to avoid EEOC Discrimination Suits

 

Updated May 20, 2010 9:30 a.m.

If you’re an out-of-work attorney, the good news is that the Equal Employment Opportunity Commission (EEOC) is on a hiring binge. The EEOC’s Web site also indicates the agency is recruiting for investigators to handle employment discrimination complaints. Of course, mediators, administrative support, managers, and IT personnel are also in demand.

That means employment discrimination complaints are sky-high. For example, in 2010, Boeing’s Mesa, Arizona operation settled two sexual harassment cases for $380,000. A KFC franchisee was forced to pay $1.1 million in a sexual harassment case involving 19 female employees.

Here’s a look at years 2007 through 2009:

In late 2007, I wrote about several respected companies caught in the crosshairs of the EEOC for alleged violation of federal law. It was hard to believe they included Nordstrom, the American Ballet Theatre, Delphi and Bloomberg.

That year’s EEOC-related cases resulted in massive monetary damages: An aggregate $54.8 million.

In 2008, the EEOC charged 95,402 companies with employment violations. The monetary damages totaled $102.2 million.

In 2009, there was a slight drop in EEOC charge statistics – 93,277 cases, but the early indication is that the aggregate amount will prove to be higher when the cases are finally settled.

Among all the categories in 2009, retaliation cases comprised 36 percent of the total – a slight increase from 2008 when retaliation cases were 34.3 percent.

That’s a sad commentary for businesses and public agencies that are large enough for a human resources department. Increasingly, HR departments appear to be supporting and implementing such retaliation. As a Biz Coach, I’ve heard from employees seeking tips from abusive employers in both the private and public sectors.

And that’s just the federal cases. State courts across the nation are filled with discrimination cases, too, because complainants want to avoid the federal caps on monetary damages.

Historically, high-profile harassment cases are a catalyst for additional complaints by other workers. EEOC cases also lead to declining morale, retention problems and poor productivity, which are also costly.

While a federal-agency investigation doesn’t indicate a company is guilty of discrimination, there are several measures that will insure success.

The six basics for micro-companies:

1. Get a mentor and join your local chamber of commerce.
2. Consider outsourcing your payroll.
3. Implement benefits and retirement plans.
4. Create a policy and procedures handbook (job descriptions, hiring, appraisals, compensation, firing and operations).
5. Stay aware of all employment laws.
6. Document everything.

For larger companies, every company’s situation is different, but in general there are 13 basics to avoid EEOC headaches. In my experience, it’s important to learn how and why complaints are filed, and to treat employees with respect and confidentiality.

Law firms have asked my company to help their clients after U.S. District Court actions. In one case, I was asked to implement a wage and compensation plan after a trucking firm inadvertently violated federal laws. A well-meaning technology employer was fined for comments in an inappropriate interview-process and I was asked to conduct sexual harassment training.

Both companies were heavily fined and their lawyers cost even more. One company is no longer in business. So, it’s vital to know the proactive steps to eliminate workplace discrimination and harassment, and the practical benefits to you of equal opportunities for employees.

The key is to start where the proverbial tire meets the road – when employees are hired.

Here are 13 strategies:

Fully understand the required skillsets. Naturally, first decide what each job requires. When a person leaves, decide what additional qualities you want in the job description. While experience and skills are an important consideration for meeting your requirements, there are several other considerations, so take your time.

Keep in mind the three A’s of hiring: Attitude, appearance, and ability – in that order – to fit both your culture and customer service initiatives.

Review your application process. The appearance of discrimination can be unfortunate opportunities for applicants or the EEOC to file complaints regarding your hiring decisions. Review your interview checklist questions and employment applications so that you only inquire about applicants’ talent for the job and availability for attendance according to your required work hours.

When anyone requests an application stay safe by providing it, but don’t do it selectively to avoid the appearance of discrimination. Don’t set deadlines for applicants to apply unless you strictly adhere to them.

Interviewing. When you interview, ask open-ended questions to get the applicant to talk about any issues related to the job. Closed-ended answers in which an applicant answers with a “yes” or “no” won’t be productive. You’ll want to know about the person’s attitudes, expectations and values. A skilled interviewer is careful about commenting on an applicant’s answers.

Background checks. A background check is critical. If you ask questions of a reference or former employer, make certain to take the same precautions as you do with the applicant. If you utilize credit reports, adhere to the provisos in the Fair Credit Reporting Act.

Making an offer. Put your offer in writing to successful applicants, but stipulate that you’re an at-will employer. State the salary in weekly or monthly amounts – so that longtime employment tenure is not implied – and whether there are any contingencies, such pre-employment medical exams. Hopefully, you have highly trained interviewers, but make clear that the letter is your company’s last word in employment and that it supersedes any other representations by interviewers.

Drug testing is often valuable for screening purposes. Applicants with a drug history will sometimes withdraw their applications, but the test is effective for those who don’t. In my experience, drug users are the most dishonest employees – at a much higher rate than even alcoholics.

Insuring success. Make full use of your probationary period. Assuming an employee adequately demonstrates technical skills, remember the No. 1 employer-complaint about new hires is their lack of soft skills – a poor attitude and inability to communicate effectively with coworkers and customers. Appraise them accordingly.

Employee handbook. For legal and productivity reasons, the employee handbook should be utilized to inform employees of your expectations. But clearly state a disclaimer – it’s not an employment contract – employment is conditional. Either party may terminate without cause or notice. Preferably, employees will be given an acknowledgment form regarding their at-will employment status.

The handbook should include policies such as attendance, benefits, vacation, employee-monitoring systems, probationary periods, sick leave, and FMLA (family and medical leave, if you employ 50 or more workers).

Make clear the company will not tolerate harassment and the procedures for reporting it. Remember, employers are liable for behavior of their employees. Should harassment allegations be raised by an employee, be sure to follow through with an immediate investigation and discipline, if proven, and don’t tolerate retaliation. Sexual harassment training, in particular, should be regularly given.

Avoid favoritism. Be consistent make sure of adherence to policies.

Be proactive about workplace complaints. Do not avoid taking action. Make sure you are actively listening.

Safety counts. Be empathetic and show respect. Be safety conscious.

Wage and hour practices. Stay current with all state and federal wage and hour laws and regulations. Some companies have run into trouble because their hourly employees are working longer hours as exempt managers and not paid for overtime. Carefully document your records.

Of course, try to be competitive in pay and benefits.

Continuous policy training. To insure success, make certain managers, human resource interviewers and workers are knowledgeable about your business policies. You’ll be in a better position to prevent harassment, hire correctly and appraise employees accurately. You’ll also be in a stronger position, if you do encounter the threat of litigation. Stay on top of all details, but also be mindful of the protected classes of workers to avoid federal intervention.

Evaluations and terminations. Supervisors and managers must be schooled in worker behavior, performance and if necessary, terminations. Not to oversimplify, but remember every employee is entitled to know three things: What’s expected; what’s in it for them; and how they’re doing.

Make certain that terminated employees can’t conclude they’re being let go for reasons of discrimination. Again, that means documentation and thorough footwork.

These minimal reminders will help you to avoid employment and EEOC traps. However, if you do find yourself in the EEOC crosshairs, be careful how you respond in crafting your position.

From the Coach’s Corner, here are informative federal-government Web sites:

- U.S. Department of Labor, www.dol.gov

- U.S. Equal Employment Opportunity Commission, www.eeoc.gov

30 Time Management, Stress Reducing Skills

 

Updated May 10, 2010

OK, so you didn’t get a bailout, but Goldman Sachs faces a fraud investigation and paid $20 billion in bonuses just one year after taxpayers rescued the firm with a massive cash transfusion. If you’re a Main Street businessperson, the firm’s behavior is likely to contribute to your stress factors.

Moreover, published reports indicate the firm now disingenuously tries to justify its bonus program by claiming it didn’t need the taxpayer bailout. You might recall it was engineered by former Treasury Secretary Henry Paulson, a Goldman Sachs alum. Where is their moral compass you wonder?

And you might not be convinced the U.S. is embarking on an economic recovery. Many economists are calling it a jobless recovery, but with respect for their opinions, the phrase is actually an oxymoron.

The economy will continue to be difficult with many economic stress factors.

They include:

• Tight credit
• Layoffs
• Rapacious behavior by many credit card companies
• Natural disasters
• Home foreclosures
• Bankruptcies
• Health care costs
• Declining profit
• College tuition

And such factors make businesses reluctant to take bold measures to invest in their future with needed equipment, marketing and training their workers. It’s time for performance solutions.

Start by reducing stress and saving time. Why?

Executives and workers, alike, feel powerless over most of stress factors. Indeed, the 2007 American Psychological Association study, “Stress in America,” had some startling conclusions (www.apa.org). The study is relevant years later.

For example, 74 percent cited work stress, 73 percent had money worries and 66 percent complained about their workloads.

Pressure turns into stress for many.

Trauma in your personal life can affect your business and career. Short of psychotherapy or meditation, time-management skills are a solution.

Here are 30 ways to reduce stress:

1. Identify your stress factors and take steps to eliminate them. Whether it is nasty surprise letter from the IRS, credit-card company predatory behavior, or a complaint from your best customer, do what you can to solve the problem quickly so you can move forward.  Paraphrasing a philosophy of former President Gerald Ford, clear the table and move forward.
2. Know your capabilities and limitations. Don’t take on too much.
3. Find a trustworthy person with whom you can vent and give you empathetic feedback when asked.
4. Understand when you need to say “no.”
5. Get refreshed by taking regular breaks, vacations, recreation and exercise. And when you can, a simple walk will work wonders.
6. Set time limits and goals for meetings.
7. Review your long range goals. Frequently during your work day, ask yourself: “Is this helping me to reach my goals?”
8. Record and analyze how you spend your time.
9. Make sure the first hour of every day is the most productive. Tackle the hardest task first. The rest of the day will seem like a walk in the park.
10. Practice excellence in every responsibility. Do the very best you can and you will prevent regrets.
11. Do everything gently. As famed entertainer Hoagy Carmichael once said, “Slower motion gets you there faster.”
12. Remember:  If you don’t take the time to do it right, when will you have time to do it over?
13. Instead of “post-it notes”, put all the necessary folders away in the appropriate file drawers. Once the clutter is off your desk, the “to do” list serves as the master organizer.
14. Look for progress – not perfection.
15. Plan your time. Make your “to do” list by Friday for the following week. If you’re in sales, have your list ready by Thursday.
16. Review the next day’s schedule before going home each night.
17. Prioritize your work: A, B, or C. Your A duties get done first – immediately.
18. Learn how to structure your e-mail system for maximum efficiency.
19. Eat the right foods for sustained energy.
20. Get enough sleep. If you feel tired by mid-day, ask your doctor for a sleep study. Insomnia and sleep apnea routinely lead to high blood pressure and even strokes.
21. Make your work fun.
22. Learn from baseball player Ichiro and do stretching exercises.
23. Listen to the right music. For many successful people that means classical music.
24. Look around to help someone who is less fortunate. Volunteerism is gratifying.
25. Learn breathing techniques.
26. If you commute to work, consider mass transit and take a good book to read.
27. Review inspiring thoughts, such as “No matter what, there are no big deals.” Taking the emotional sting out of your reactions to events will help. Learn to respond, not react.
28. Develop positive affirmations about yourself, keep your notes handy, frequently review them and rehearse them in front of the mirror.
29. Remember, the remedy for depression is action.
30. Become more active socially. Yes, that’s a time management skill. If you are not alone, you are not lonely. Loneliness contributes to stress.

Get busy and you’ll soon feel ready to take on the world and head toward to profits. Start investing in your future with needed equipment, marketing and training of workers. And talk with your public officials about policies that will improve the nation’s economic health and create jobs.

From the Coach’s Corner, for related career tips, here is another Biz Column:

10 Strategies to Overcome Stress and Energize Your Career

How to Profit: Word-of-Mouth Advertising, Customer Service

 

When was the last time you explored options for improving your word-of-mouth opportunities? Customer service is the No. 1 key to good word-of-mouth advertising and repeat business.

My firm’s research shows that consumers usually respond favorably to marketing after receiving five positive messages. Conversely, they will divorce your company if they have five or fewer unfavorable experiences.

So we’re talking about performance and delivery. If your company fails to meet a customer’s expectations, it’s important to respond instantly with empathy and problem-solving skills.

If customer-retention is an issue, it’s worth noting why: Customers start patronizing your competitors 70 percent of the time because they feel taken for granted. Most won’t warn you. And if customers feel your service is horrible, they’ll vehemently complain and tell acquaintances about their unhappiness for years.                                                                                                 

In the eyes of many consumers, customer service has developed a split personality. A boss is usually adamant about customer service being paramount. But the employees don’t seem to get the message. It appears companies place too much importance on sales as a profit center while treating customer service as a cost center.

Naturally, it’s important to look at business processes and understand the emerging dynamic in consumerism. Thanks to the Internet, consumers are in charge. They can easily obtain competing information about products and services, and they blog about their experiences. Your employees need to realize that consumers are serious about demanding service. Only then, will you be ready to develop and implement customer-service strategies for higher profits.

For your business to stand out to earn more word-of-mouth opportunies, here are ten reminders:

First impressions. Value perceptions about your customer service start within seconds of the first contact. In order of priority: Consumers psychologically evaluate your company by the quality of your people, your company image, product or service utility, convenience factors and price.

Last impressions count, too.

Dialogue techniques. Develop unique, value-selling propositions. You’ll want to establish a dialogue, but never start by asking a closed-ended question, such as: “Can I help you?” Great salespeople know an 80 /20 ratio of listening vs. speaking yields the best results. Use an open-ended question to entice the customer into talking.

When the customer leaves – whether making a purchase or not – it’s vital to thank the customer and close with a statement to prevent buyer’s remorse. But never close with this trite, over-used phrase: “Have a nice day.” Upon hearing that phrase 15 times a day, I’m tempted to respond: “Thanks, but I’ve made other plans.”

My questions are:

1. How boring do you want your company to be in the eyes of your customers?
2. Why would you want diminish your chances by 50 percent to make a sale?

Attitude gratitude and service. Look for opportunities to show a positive attitude. Never end meetings with customers or employees until you consider saying the magic words, “thank you.” In 98 percent of conversations, if you think about it, these events translate into golden opportunities to bond with others. That goes for emails, letters and faxes, too.

Centers of Influence. Some customers are Centers of Influence – their emphatic word-of-mouth advertising provides the prospect for a competitive edge. It’s then possible to kick sales to the next level with new cross-sell and up-sell opportunities.

Event factor. In the mind of a consumers, even the smallest of purchases represent an event  their lives – sometimes a celebration. That means the bigger the purchase a customer makes, the bigger the event. So be attentive before, during and after the sale.

Surprises. Consumers don’t appreciate negative surprises. They expect seamless service. When several steps are needed in the sale process, proactively keep the customer apprised with status reports with e-mails or telephone calls.

Commitments. Keep all promises. And you’ve heard the adage: “Under promise and over deliver.”

Common courtesies. Never miss an opportunity to say please, thank you, and the person’s name. If you’re talking to someone older than you, use the person’s last name, preceded by Mr., Ms. or Mrs. And in your e-mails and notes, use a 19th century salutation, “Dear…”

Candidly, I make it a practice to use formal greetings the first five times I meet a prospect or customer. I have two clients I’ve known since 1993 and I still greet them or refer to them in front of their employees as “Mr.” 50 percent of the time. And guess what, they still appreciate it. It also reminds them how I value them and it is an for me when I interact with them.

Referrals. The most-opportune time to ask for referrals is when a customer compliments you or your business.

Never ask: “Can you refer me to anyone?”

Instead, ask an open-ended question, such as: “What are the names of people just like you…?”

Remember good salespersons never let a customer do what the salespersons should be doing – by themselves.

Complaints. True, customers are not always right. But when they are, many companies forget it costs more to attract new business than it does to keep customers happy. If you get a complaint, the first response should be empathy.

The second should be appreciation. Encourage your employees to be resourceful in solving the problem. Give them adequate authority to act. Some calls from unhappy customers shouldn’t end with this annoying question: “If there anything else I can help you with?” Besides it’s poor grammar.

From the Coach’s Corner: An on-demand customer service software company, Parature, has a series of white papers for being successful in customer service. Here’s the link: www.parature.com.

You might want to check out this: “60 Ground Rules for Effective Client Service.”

5 Safety Measures to Thwart Mounting Social-Network Attacks

 

Sally, the accounting manager of a medium-sized business, regularly checked her Facebook account while at work. One day she received an e-mail. The e-mail said that a long-lost friend, Bob, had added her as a friend in Facebook.

There was a link in the email for Sally to follow to confirm the friend’s request. Sally clicked the link. Over the next week, cyber-thieves withdrew nearly $1 million from her employer’s bank account.

Welcome to the newest nastiest twist in cybercrime.

You see, the e-mail wasn’t from Bob and the link didn’t go back to Facebook.

Bob is on Facebook just like Sally is. That’s how the cyber-thieves found them and discovered that they might know each other. That’s also where they learned that Sally worked in the accounting department.

After that it was a simple matter to set the trap by sending Sally, a friend’s request from Bob.

“How great.” thought Sally. “An email from Bob. Let me just follow this link and we can be friends again.”

A link followed, and a Trojan Horse installed.

The unrecoverable damage: $1 million stolen.

Sally is a pseudonym for the victim. The story is an actual client-case of Dr. Stan Stahl, an information security expert at Citadel Information Group in Los Angeles.  His credentials are lengthy and he is president of the Los Angeles chapter of the Information Systems Security Association (ISSA-LA), a nonprofit, international organization of information security professionals and practitioners.

Dr. Stahl says the bank will not return the $1 million to Sally’s company.

No Protection for Business Bank Accounts

Regulation E of the Federal Deposit Insurance Corporation (FDIC), stipulates consumers are protected by cyber crime involving their banks. The FDIC regulation protects consumers, if they report such discrepancies in their bank accounts within 60 days.

However, businesses are not insured.

So, Dr. Stahl knows crimes involving hackers who attack social networks, including Facebook and Twitter, are a major threat to business.

Indeed, Breach Security in Carlsbad, CA, reports Internet security-crime jumped 30 percent in the first six months of 2009. Breach reports 19 percent of the attacks involved social networks. Ironically, social networks were not even mentioned in Breach’s 2008 report.

“Making matters worse, many of these attacks succeed by taking advantage of missing patches and using obscure technology like ‘0-day exploits’ that get past traditional antivirus and antispyware defenses,” says Dr. Stahl.

What is a 0-day exploit? Hackers are so cunning they are able to use security vulnerabilities to their advantage immediately – the same day before protection measures can be implemented.

Dr. Stahl advocates five security precautions:

1. Prohibit use of social network sites from the office. These sites can be blocked at the corporate firewall. This can become particularly challenging if employees work remotely as it may not be feasible to block access to social networks from home computers. Making matters worse, Trojan horses are like communicable diseases and Sally’s work-at-home computer can be infected from her son’s.  That’s why the next four recommendations are so important.
2. In addition to antivirus / antispyware defenses, add advanced defenses like intrusion detection and prevention designed to block internet-based attacks like the link in Sally’s email and 0-day exploits.
3. You can block known internet-based attacks by comparing links against a database of known bad links like http://stopbadware.org/home/reportsearch.
4. Keep your systems patched. This means not just Windows patching but all your applications, those you know about — like Office and Adobe Reader — and those you might not even know about — like Flash and Java. This also includes your Macintosh computers as they are every-bit as vulnerability-prone as Windows PCs.
5. Finally, don’t expect to rely on technology alone. Users are often the weakest link so it’s very important to train them to detect the subtle signs of an attack so they can keep from becoming victims. They also need to be given guidance on what information is safe to put on a social networking site.

“There is no one thing you can do to keep from being victimized from a social network attack,” says Dr. Stahl. “Even doing all five of these isn’t a guarantee, just like a flu shot doesn’t guarantee you won’t get the flu. But if you are diligent you can significantly affect the odds and this should be your objective.”

Dr. Stahl’s Web site: www.citadel-information.com.

His new security blog: http://citadelonsecurity.blogspot.com/

For more on ISSA-LA, visit: www.issa-la.org.

To read the Breach report: www.breach.com.

From the Coach’s Corner, visit Dr. Stahl’s Web site to learn his “Eight Steps to Protecting Sensitive Middle-Market Data.”

Here is the direct link: www.citadel-information.com/library/pdfs/133/8-Steps-To-Protecting-Information.htm

15 Gas-Saving Tips as Pump Prices Increase in Many Regions

 

If you want to cut costs, you might want to start with fuel. Now might be a good time to review business and personal gas-saving tips.

Not to pontificate, but you might want to post tips for your employees.

Here are 15 reminders:

1. Start and stop gently. This is the first step in saving gas while driving on arterial roads.

2. Observe the speed limit. In my frequent business travels up-and-down the west coast, it’s rare, very rare, that I see any business vehicles or passenger cars driving the speed limit.

3. Get regularly scheduled tune-ups. A poorly tuned vehicle increases unnecessary use of fuel.

4. Change air filters. You can save 10 percent of your gas costs by regularly changing air filters.

5. Change your oil. You can reduce the engine friction and remove unwanted substances from your engine with clean oil. A smooth-running engine is best.

6. Turn off the engine to shun unnecessary idling. It pollutes the air and wastes fuel.

7. Avoid the typical gas-savings gadgets. A federal agency, Environmental Protection Agency,  www.epa.gov, says only a handful provide any benefit. So refrain from buying the so-called fuel-line magnets and mixture enhancers. In fact, some actually will hurt your truck or car engine.

8. Buy the right octane gas. Unless your engines are knocking, stay with regular.

9. Take advantage of cruise control and overdrive. For freeway driving, this is a must to save money.

11. Check tire pressure. You can save 3 to 4 percent on gas with proper tire pressure.

13. Lighten the load. Make sure to clean out the trunk. You’ll save up to 2 percent with the lightest-possible load.

14. Be strategic in your trips. You’ll save twice the gas if you make all your deliveries in one trip than with several short trips on a cold engine.

15. Encourage car pooling. This will save employees’ gas, help unclog the roads and will help the environment.

From the Coach’s Corner, for the latest government tips, here’s a site to consider:

www.fueleconomy.gov/Feg/drive.shtml

Planning an Event? Here are 25 Emergency Preparedness Tips

 

As every entrepreneur knows, profits usually result from effective planning and execution. Luck can play a role, too. But whether you want to win a windfall or avoid a disaster in planning events, preparedness is paramount.

So, to help insure you stage a successful event, it helps to pay attention to a famous quote. Louis Pasteur, the 19th century chemist and microbiologist, astutely wrote: “Chance favors only the prepared mind.”

In planning major events, you should consider taking 25 precautions, courtesy of Robert Grossman of Focus Creative Group, a communications consulting and development company. Mr. Grossman is known for using media to communicate more effectively, including high-end technology-video bells and whistles.

And like Pasteur, Mr. Grossman stays prepared: “If you plan ahead, when the unthinkable happens, it becomes manageable,” said the planner.

His checklist includes: 

1. Think communication. Make signage clear to all attendees. Digital signage may save you money and you will be able to have the appropriate images ready to go if there is an emergency.
2. Create an emergency preparedness plan with a contingency checklist for your site visits and planning process.
3. Make sure your staff has radios and consider separate channels for security and emergency medical services.
4. Always check venue exit plans usually located around the venue and in your sleeping rooms.
5. Instruct your attendees to do the same. It is too late when a crisis strikes. Most people will exit from the door they enter from.
6. During your housekeeping announcements, consider having a slide of a meeting-room exit plan.
7. Know where all the fire exit doors are and confirm they are open, unlocked and clear of obstruction. For double doors, check both.
8. Know where fire extinguishers and fire pull alarms are. Check to see if the fire extinguishers are charged.
9. Have AEDs (automated external defibrillators) or know where they are and how to get one from the venue. Consider having a few staff members trained in using them. Check the web for classes.
10. Check aisles for obstructions such as cables, signs and computer bags.
11. Made sure all wires are tapped down securely on the stage and floors, especially if cables need to cross a doorway.
12. Check all flooring for pits and fissures that can catch a high heel or other types of shoes.
13. Make sure the stage has no gaps and that stairs are securely attached to the stage, and mark the stairs with a bright tape on the edges. Also mark the stairs location on the stage with tape so someone exiting off the stage can find the stairs easily.
14. If you have people entering the stage from behind, make sure your production company has an assistant stage manager helping people on and off the stage.
15. Consider hiring a company that provides emergency medical services.
16. If you are having dignitaries or rock stars, you should coordinate with the local police agency.
17. Think about lighting especially for outdoor events after dark.
18. Look for obvious and not so obvious issues. We did an event at a private residence on their tennis court. There was a narrow path down a hill which every guest had to walk down and backup. I noticed puddles of water with alga. Not only was the event coordinator not aware of the potential safety hazard, she did not even care about it when I pointed it out. They also did not think about lighting on this path when 200 guests would have to ascend it to get their cars.
19. Make sure all decor items, linens and draping are fire-proof or have retardant. If you are renting the materials, make sure their certificates are current.
20. In a post 9/11 world, mass gatherings have become highly desirable terrorist targets according to the police. Collaborate with law enforcement, especially if the media will be present.
21. Law enforcement is very concerned about a random shooter or a pedestrian with a homemade explosive device. Have a plan and training for event personnel to look for suspicious packages and to whom they should report them.
22. Identify staff members who are trained in first aid and CPR. Know how to get in communication with them quickly.
23. Most venues have emergency lighting, but you might want to have flashlights onhand and you might want to recommend to your guests to bring a flashlight to keep by their bedside.
24. Self-evacuation usually does not work. Assign team members or hired staff to direct the attendees with predefined gathering areas. Check with the venue or the fire marshal where these gathering areas should be.
25. You may want to prepare written instructions telling your attendees where to go if a disaster occurs. Write these up and give it to your announcer or VOG so the audience can be instructed where to go and remain calm. (VOG, is an acronym for “voice of God,” and is used by event pros in referring to an unseen event announcer.)

Mr. Grossman’s Web site: www.focuscreative.com.  (Note:  He and I are well-acquainted and he has excellent credentials.  We are both members of Consultants West, www.consultantswest.com, a roundtable of esteemed consultants that regularly meets in Los Angeles.)

From the Coach’s Corner, here’s a question about your Web site: Are your customers happy with your Web site in their online shopping?

Thirty-six percent of online shoppers complained of Web site glitches in a 2008 holiday-shopping survey by research firm, Synovate, and the development company, Guidance.

Complaints included slow Web sites, Web site crashes, down Web sites and failed purchases.

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