The current economic situation sees a lot of people talking about the power of returning to the basics. (Hooo....rayyy!) Get inspired to do it yourself by reading the posts linked below and then set aside a few hours (or a day) and figure out what YOUR basics actually are.

What is at the core of the promise you make to your clients, customers, staff, boss, wife, children,etc...?

What does the perfect execution of each one look, feel and sound like? 

And the usual 3 questions I always ask:

Define the action(s) - What do you (specifically) need to do to get there?
Create accountability - Who will do it?
Set a deadline - When will it be done?

There will be nothing you can count on to always work more than the basics.

But don't believe me...

Tom Peters wrote about it here:

The Basics Are the Basics Are the Basics Are the Basics: The Worse the Times the Better They Work... We get in trouble when we forget the basics. We get out of trouble when we remember the basics. We stay out of trouble when we become perpetually "insane" about the basics.

Douglas Rushkoff returns to it here:

I’d love for businesspeople who feel all is lost to recognize that this is such a perfect moment to return to core competency, to remember what it was about their industries that excited them to begin with, and to reconnect with the processes and attitudes that make work fun and meaningful again.

It’s not too late.

On a Macro level Thomas Friedman quoted Dov Seidman in this op-ed piece:

In a connected world,” Seidman said to me, “countries, governments and companies also have character, and their character — how they do what they do, how they keep promises, how they make decisions, how things really happen inside, how they connect and collaborate, how they engender trust, how they relate to their customers, to the environment and to the communities in which they operate — is now their fate.

Customer touch points. It is a concept that is often mentioned but rarely focused on as an opportunity for persistent innovation and impact.

Trying to consider the big question of "How do I improve our customer service/experience" winds up being too big a problem to solve so it often just gets bandaged or abandoned. Trying to tackle big picture questions triggers fear and anxiety. When that happens, progress comes to a halt leaving you to go back and focus on the ironically comfortable routine of solving customer complaints and fighting off competition.

But how about breaking down the initiative into bite size pieces that allow you to make a consistent series of small steps forward?

I propose that you write down every single customer "touch point" that exists in your business process. From initial phone call to payment of your invoice (Yes, the boring ones that you rarely think about but wind up being the main ways your customer/clients connect with you). If you don't have 10 then add some more until you do. Send a birthday card, call monthly or quarterly to ask how business is doing. Maybe an extra email confirmation or a newsletter. Just keep putting yourself in your customers seat and consider what would make each piece a memorable experience FOR THEM. Think about great experiences you have had and translate them back into your business. Ask your clients what interaction with your company is the most frustrating.

Now, here is the important part where you make a plan of action and make progress. What additional idea can you add to each touch point that would move it closer to perfect? Just a small step (change the way you answer the phone or a thank you note when an invoice is paid). Implement 1 change/innovation to each touch point every month and you will completely transform your customers experience within a year.

Put all those business books down, throw all the textbooks away
and just do the 1 thing that will never let you down.

After many years of listening to businesses, experiencing the service they provide and working with them to get things done I have come up with the one thing that will put your business in the top 3% of whatever industry you are in.   Here it is (Drumroll, etc...):

Do what you said you would do. Do it when you said you would do it.

There it is. Seems so simple and yet, how many interactions/experiences have you had where you can count on it?  How many follow ups do you send to people?  How many are you responding to? How many letters, emails and calls are you making/receiving with apologies for deadlines and promises missed?

When I stick to this rule clients come to me. You may want more magic but there it is.

Businesses, lost in a fog of promises not kept, long to find a company to work with that makes this simple rule real.  When I forget it? I lose credibility, create stress for myself and my clients and fall back into the blur of the crowd.

Your competition is not talking about it and your clients and prospects cannot wait to hear it.  So what are the steps you need to put in place so it becomes the rule your business NEVER breaks?  When?

Put it on your business cards, on the first slide of your presentation and at the top of every mission statement.

Welcome to the top 3% of your industry.

**Extra credit:

Do more than what you said you would do.  Still do it when you said you would.

Welcome to the top 1% of your industry.

When people talk about the lifecycle of a business, they typically draw a simple bell curve. A steady rise that ultimately leads to a moment where it all begins to fall.  But that moment isn't a moment at all. Instead of a descent, the business enters a period of many years that I call “the bumpy plateau.”

Every business starts off with passion and purpose.  Deals are made on the fly, systems are cobbled together as needed, and there is a limitless can-do attitude. As the business scales, it keeps structures loose and grows by simply adding bodies to keep up with new business (add a client, add an employee, etc.).  After a certain time, the structure that has worked for so long of can now only sustain a certain volume of business and so it levels out to a plateau.  And here is where so much of the frustration business owners deal with begins.  This is when the passion starts to bleed away because this is when you begin to spend most of your time in your business instead of on it. This is when you are dealing with increasing customer complaints, staffing issues, cash flow hiccups, and so on. What is tricky about the plateau is it never feels flat because you push ahead with a new sales focus and start to land a few new clients, but then you lose a few because the structure of the business cannot support the growth. Business grows organically in good economic times and then falls as the economy naturally dips.  So you ride and fight along that plateau for months and years, growing a little and slipping back. Bouncing along until this existence becomes all you can remember about what it is like to run your business. Each day a new battle. Some days some good news, and some days some bad news. The fun is gone and grind is all that your business becomes for you. 

Most business owners are blind to the problem.  It is like the frog, coming gently to boil, that never jumps out of the pot. The bumpy plateau does not feel painful.  But it is frustrating. You feel close to growing again and yet you never do.  Like a big tease, opportunity for the next level of your business seems just a few steps away. So you keep at it.  You bring in a marketing company, you change your branding, and you hire the sales person that is going to change your future.  They all fail.  

“So,” you think as you drive home after another stressful day, “I must not know what I am doing anymore.  I have lost my touch. This doesn't feel like it used to.  Why do I feel like we are not getting anywhere when I am working so hard?”

What to do? Let's get tactical:

1. Get back to basics: Figure out what your business does better than anyone else. Cut away all of the bloat and complexity that has piled up over the years. Of course it is overwhelming - akin to battling a 10-headed dragon! You did not add it all to the business in a day. Don't expect it to all get resolved quickly. Map out everything that needs to get done, prioritize it, and then start with the first effort and get it done. I wrote an entire book on the need to get back to basics for the sole purpose of making your business fun to run. What I am describing here is the phenomenon that takes place for so many businesses.  (If you sign up for my newsletter, you will get the entire book as a PDF absolutely free – end of commercial).

2. See your business from the outside in:  My favorite saying from my book, “it is hard to read the label from inside the bottle,” is what is partly to blame here.  You simply lack perspective. You are not only stuck inside of a hurricane, you do not even know you are there. That is a human frailty and not an organizational one. When I begin to work with a client, I often feel that most of my job is to simply be a mirror.  To listen carefully to everything that is going on and then show them the picture they just painted for me. They are shocked every time. They know the dysfunctional picture to be true and yet they never saw it themselves. The same happens to me with my business. Often. Congrats, you are human.

3. Be determined to re-ignite the flame: How you feel about your business when you are stuck is not correct or true. Most people do not realize when they are depressed (not that you are, just stay with me).  The progression to depression is so slow and it lasts so long that it just becomes how a person feels. How they feel is all they know how to feel.  Unless someone comes along and tells them that they never smile like they used to, they would never realize they stopped smiling. Those adrenaline filled days when you were charging up the hill to conquer the world have been replaced and/or buried. Like that was someone else's business. Recognize it.

“Ok, I got some perspective about my business, I am getting back to the basics, and I understand now that I am not having fun anymore.  Now what?”

1. Re-imagine: You need to redesign your business based on what you want it to be instead of where it is now.  For a simple example, let's say you want to grow your business from 50 million in sales to 100 million in the next 5 years.  The company structure that properly manages 50 million simply cannot support a company that is properly managing 100 million.  But there is a structure that can and you have to design it.  You have to architect, in as much detail as possible, what your company looks like when it is managing 100 million in sales. Don’t just plan what it looks like at twice the size, because that just has you adding people to do more of the same. That is the process that keeps you on the plateau. So envision, vividly, what businesses are you in?  How many clients do you have?  How many people do you need to keep them happy, and what type of people did you need to bring in to get you there?  What technology is powering it all? What infrastructure will you need? 

Notice how different this structure, created from a blank canvas, differs from the business you are running today. Once you have painted that picture, then your work becomes clear on how to create the path from where you are today to that clear vision of where you want to be.  Now you can tell that marketing/PR/design firm exactly what you need them to do.  You can inspire your entire company with the new hill you want to conquer with them together.  You are no longer thinking about the type of company you wish you had.  You now have a road map on how to build the type of company you want. 

2. Get back to start-up mode: All the things we think about a start-up cause us to picture three people in a small room or garage getting ready to take the world by storm. But who says that is what a start-up needs to be?  Apple received a lot of press for claiming they act like a start-up. They have chosen to structure the company to stay that way. Some business owners may chuckle because they think a big company cannot possibly act like a start-up. Why not?  Being a start-up is as much a mindset as anything else. It is a mindset where you make decisions without endless meetings and deliberations.  Where you execute relentlessly because you want to win each and every new client.  Reconnect to what it felt like when you were starting out and bring everyone along with you since they will have forgotten as well. Figure out what parts of your day must be automated or delegated so you can spend more and more of your days like you used to.

Again, there is a lot of hard work to do and there is no guarantee of success. Sure the economy, your competition, or the gods may work against you, but all of that would be true bouncing along that plateau as well. 

I will be blogging more about these concepts in the future, as there is a lot to think about and explore. The blocks we face because we are complex beings impact the business we run. There is simply no escaping that fact. We have traits that have created great success and we have traits that hold us back. Welcome to the club.  But you always get to decide where you go from here. 

I challenge you to go find your smile again. Start by recognizing what your businesss actually feels like to you every day. Today.

Complaining is easy. In the end, it only provides some temporary relief from frustration. Figuring out and executing a smart solution is the hard part.

One shouldn't come without the other.

I worked with a company a few years back whose President brought along a Super Soaker water gun to every staff meeting.

All meetings had 1 simple rule: Nobody is allowed to whine/complain about something unless they also propose a solution that fixes that problem. Failure to do the hard part resulted in a soaking blast of water.

Blogs (this one included) have made it even easier to throw out a rant about bad and bungled customer service, etc...

Complaining doesn't change things for the better. Putting smart solutions into action does.

Ironically, in the long run, doing the hard part is far more fulfilling.

David Garland understands the basics of doing an interview.

After you watch this, do yourself a favor and go check out David's site for more of his RISE interviews.

Thanks David!

We have been here before. Economic downturns are not new, or, for this one, even that old. And while what we now face may be more severe, the reactions and behaviors of businesses feel all too familiar. One of the most insidious by-products of times like these, after the waves of belt tightening and budget/staff cutting, are the long and painful late payments. When business slows, payments to vendors get stretched.  If this has not started happening to you yet, it soon will if you do not make it part of your focus to avoid it. Your clients/customers are under financial pressure.  They are at their limits with their banks.  Less money is coming in but the bills are still there to be paid.  You could be in danger of becoming your clients’ bank.  This is a big topic and is impacted by many areas of The Business Brickyard concepts (building relationships, saying no to clients, etc.). You can do everything else right but get this wrong and your business will grind to a halt.  So, let's focus on getting you paid faster. (As a primer, you may want to read this post "Pay Fast. Get Paid Faster." from my book).

Let's start with this truth: Sending your invoice and getting paid is as much a part of what you do as your product or service. And yet people pay almost no attention to the importance of invoicing and collecting payment. You work so hard to deliver your product or provide service(s) to your clients and in return for that you get paid. That last part is as much a part of the arrangement as any other. So why do your invoices go out late? (I cannot tell you how many times I have to request an invoice from a vendor)  Why do they look so awful?  Why do you make it hard for me to remember I got them? Why do you never follow up about payments until they are really old?

Let's change that. Here are 5 ways to get paid faster:

1. Forget regular mail.
When you mail an invoice you lose control over it.  You have no idea when it was received or if it was lost in a pile of papers somewhere.  All bad. I don't care if you send a PDF or a Word document, or use one of the many inexpensive online invoicing tools out there (Freshbooks or Blinksale are 2 online options that I know people are using and that will work well. Billings is a fantastic option for Mac users.), but send the invoice via email and ask your client/customer to confirm receipt. If you do not hear back in a day or two, follow up!

2. Make sure you understand their payment process.
Always remember that the payment process is as much about your client as it is about you. When we worked with GE, our invoices had to have 2 people sign off on them before being sent down to a national payment center in Florida.  If a number was missing on the invoice it was sent back and had to start over. You need to make sure you know where your invoice is going from the point at which it leaves your office to when you receive the check. Do you need to have a PO# on it?  Do you need to reference a quote number?  Who do you call when payment is late?  Often, if you do more of the work on the invoice then you can skip a few steps.  Years ago I visited a client to whom we used to send 30-40 invoices a week.  I saw a huge basket on a desk filled with our invoices. When I asked what they were all doing there my client said that when it fills up she sits down to log and pay them. I could see this wasn’t the most efficient process for her or for me. As a solution, my company programmed a summary invoice to look like the worksheet our client prepared by hand, then we delivered all of our invoices via FedEx once a week with the summary invoice on top. Our client paid the one summary invoice and we got paid 2-3 weeks faster than before.

3. Talk about the payment terms up front.
We get so excited about closing a sale or winning a client that we rarely if ever discuss the payment terms. If you try to take it on later you are already fighting a losing battle.  If they have a corporate rule for payment in 30 or 60 days then you need to know that.  You need to be able to explain to your client why payment on your terms is so important.  Why it lets you deliver X,Y and Z of what they want from you.  These tough times will push you to take on business regardless of the payment terms, but be warned that over time a client becomes less valuable if you are financing them.  Years ago, we created a simple spreadsheet that showed how much we earned from each client in the past year, how much time they took to pay us and what that cost us using the current interest rate.  Some of those spreadsheets were an eye opener to say the least. We had clients that were costing us 30% of our profit in interest.  We brought the spreadsheets to our clients and had a fair and honest business conversation.  It provoked discussions about why they paid slowly and we learned about things we could do that made our invoices easier to process.  It never turned into a negative.  Do you know how much each client costs you?  Said a different way, do you know what your cash flow would be if every client paid you promptly?

4. Make the invoice an experience not a pain.
You work so hard to deliver a great experience to your customers - don't you? Why stop when the product or service is delivered?  How can you make the delivery of your invoice a memorable event to the recipient? It is a chance to ask for feedback.  It is a chance to thank them for their business.

Two suggestions:

a) Make your invoice look great! Your invoice represents your company. Does it do it well? Have the designer that designed your logo, web site or brochure design your invoice.  Make it clear and pleasant to read.  Forms do not have to be ugly.  Make it stand out from the others.

b) Add a message to the invoice that is memorable.  Maybe it is a funny quote or a fun way to present the total due. If you don't send many invoices then take the time to write a personal email with each one. If you send a ton, then this is impractical.  But you can create a cover email that briefly thanks them for entrusting the work to you.  Change your message every month or so.  Even a variety of facts about your company or staff works well. Make it memorable and make it work with the personality of your business. I had one vendor who mentioned in their invoice when staff members had a birthday or had a baby, which drove home their family oriented nature.

5. Have a system to follow up.
So simple and so totally forgotten.  What do most people do?  At best, they send a statement of past due invoices in the mail.  FAIL!  If I am ignoring or stalling on paying your invoice do you think I will pay much attention to a statement? In the past I had many clients that would wait to pay until we called, but when we didn't call fast enough we were essentially allowing that behavior to continue. Shame on us.  It's not a game until you let it become one.

When you agree that payment is due X days from receipt of the invoice (and now you will create that agreement clearly) then you call or email them X days +1.  You made a deal with your client to perform for them and part of that deal is to get paid when agreed.  As long as you kept your part of the deal you should - and must - insist they keep their part.  If you want to deal with clients with integrity, then demand it of them and do not be shy about holding them to their word. Don’t make it more complex than that.  Every accounting system has a way to track past due invoices.  Use it, and, most importantly, act on it!  That is your money out there.  Remember, all truth is in the cash account, so get your money into it.

These are just 5 ideas and there could be 50.  If nothing else, I hope this article gets you thinking about invoicing and collecting payments as an integral part of your business process. Changing your invoicing process can improve the health of your business in good times and bad. Bring some focus to it before your clients force you to.

As always, I welcome and look forward to your thoughts, questions and insights in the comments.

Ever notice How great things happen every time you peel yourself away from your desk and meet with clients, prospects or partners? But how often do you feel able to do it?

Like many business owners, my office has become a place to push paper and, more often than not, get in the way of people doing their jobs and delivering their best results. Unless you personally generate revenue or income from pushing paper (and lets hope you don’t generate any from getting in peoples way), consider for a moment that the bulk of your time is not best spent in the office. More as a goal than a rule, what if you spent half your time out of the office? If that sounds scary, unrealistic or disconnected, then it means it’s a good start.

The biggest excuse we have for being in the office so much is the old “It won’t get done right if I am not here.” Consider that this may be one of those false stories you tell yourself. If it is a true story, then you either need to hire better people or focus on empowering those you trust to do more.

Entrepreneurs are not wired to focus on the details of paperwork and day-to-day tasks, which is only appropriate. Entrepreneurs are big picture, idea people. Fortunately, there are plenty of people who are detail-oriented and derive tremendous satisfaction from that kind of work. If you take the time to learn about how each person in your organization is wired, finding the best role for each of them becomes a lot easier. When you put people into jobs they instinctively are great at and love doing, you unlock fresh reserves of power within your business.

(A great place to start is by having your employees take the Kolbe (A) natural abilities test.)

With your team now in their best places and your one-page scorecard/dashboard (Brick #9) tucked in your pocket, it is time to pull the parachute on that desk. Nobody spots opportunities or make decisions on the fly like a business owner (or a leader in any capacity) does. Nobody else has the edge of being the owner, president or leader at a meeting with a client, prospect or partner other than you. The best way to stay in touch with your business and its purpose is to talk to the customers and prospects in your market.

Working at your desk connects you every moment of every day to that ugly feeling of working in your business instead of working on it. Connecting with customers face-to-face is invaluable - it is what business owners do instinctively at the start until they get pulled to their desks by the gravity of growth and complexity. Want to keep the fire of that startup business alive? Fight desk gravity.

“I have a religious budget on my time,” says Steve Ballmer, CEO of Microsoft. Part of the religion is spending time with customers, about a third of his schedule. “I get energy from seeing our customers,” Mr. Ballmer explains. “It reminds me of the things we’re doing well and it also reminds me of the things where we need to improve.”