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Looking at the Employment Numbers

May 13th, 2011

Let’s look at the employment numbers and unemployment numbers and see what they are telling us.  There are lots of numbers, but which ones tell the real employment story?

Since mid 2009 there have been around 14 million Americans unemployed.

Here are some figures that delve a little deeper into the jobs situation. Comparing 2011 weekly first time unemployment claims, we can see that each week around 400,000 Americans lose their jobs. Last week the number was 437,000. We can see that comparing the 19 weekly figures for 2011 to the same weekly figures in 2010, the number is down 12.17%. The continued claims, which counts all individuals receiving unemployment assistance, are down 17.7% for the same weeks this year versus 2010. This is good news.

There is a difficulty which could threaten this favorable trend. States and municipal governments are in difficult financial condition with the expiration of the stimulus which temporarily saved many public sector jobs. Look for states and municipal governments to step up their job cuts.

The most discouraging statistic is the raw number of American workers in the current labor market. As of last week, the US Dept. of Labor’s statistics show that there are 2.12% fewer workers in the workforce than for the same time one year ago.

So, here’s the recap. The number of layoffs is decreasing, but we may see it increasing soon. The number of Americans in the workforce is less than a year ago and not increasing significantly. The new jobs created are in the area of 200,000 to 250,000 each month, which doesn’t cover jobs lost and new workers graduating from school.

Here’s why……New jobs are created by businesses based on new demand. No business will hire new employees unless sales of their products are increasing and they need more employees to serve their customers.

So the bottom line is that if you have a job, you need to keep it. My goal is to become AMERICA’S JOB SAVER with the ideas in my new book….”Never Lose Your Job…Become a More Valuable Player.”

Please join me by helping to get these ideas to someone you care about who may be worrying about losing their job.  www.neverloseyourjobbook.com.  Sure, I want to sell my bi-book, but what I’m really looking to do is to help businesses grow based on increases in effectiveness of their workers.

Before you scoff at this idea, think about this. What would happen in any business if each worker did just a little better at their job?  You bet….the bottom line of that business would improve. So business improvement one worker at a time is the answer to growing demand. And growth in demand is what will create the new jobs that America needs.

Pass this idea on to anyone you know who has a job or runs a business.

The Virtues of Superman

March 9th, 2011

The Virtues of Superman

 I have noticed over the years that most Americans root for the underdog, and I do that as often as anyone. But there’s another phenomenon which is completely different and it bothers me.   

 If you bring up Notre Dame, many avid sports fans express distain for the school and its sports programs. It is actually a very small school of about 8,000 undergraduate students and less than 2,000 graduate students. It has a storied past having won more national football championships than any other school, but all were in the distant past. The student athletes have always been just that with among the very highest graduation rates. So why are there so many “Notre Dame haters” among football fans?

 Since living in the West, I have become familiar with BYU. It’s a fine university also with some impressive sports results. It has a very high proportion of its students carrying a four point average, despite tough standards.  I have firsthand knowledge of the fine intellect, innovative and creative abilities and high character of its graduates having employed hundreds of them. Recently, the school discharged a student from the basketball program because he violated the code of conduct by having sexual relations with his girlfriend. Instead of being hailed as a paragon of virtue, many are scorning the University as being somehow out of touch with the times. I have also noticed that BYU has many who hate the fact that the school produces champions in all fields, some referring to it negatively. Why?   

 I was able to visit the Harvard campus once and I was taken with the traditional beauty and grace of the place. Recently a local football player selected Harvard over many with much better football programs. He reasoned that his education was much more important to the rest of his life than his college football experience. His point, and I believe most academic experts would agree, is that Harvard is one of the very finest Universities in terms of the education it offers. Yet I hear many speaking negatively about the school pronouncing its name with a snotty eastern accent. What causes this reaction?

  There are many universities where winning doesn’t come from doing things right, but by gaming the system.  I believe the reason these three winning schools are sometimes the target of distain is simply old fashioned jealousy. All three of these institutions have figured out how to succeed without compromising or cheating.

 The goal to get America back on a winning track is to prepare those who will lead us in the future to be successful, and to do so with character and integrity.  Recently I wrote a book about developing MVPs….More Valuable Players in business. Many Americans are tired of those who put winning ahead of winning ethically.  Let’s celebrate those who do the right things and do them well, and let’s throw our respect behind the institutions who teach the virtues of Superman…………….Truth, Justice and the American way.  How old fashioned is that?

Keeping the Job You Have…Part 4

February 4th, 2011

Keeping the Job You Have……….Part Four

 This is part four of what will be a weekly posting concerning the idea of dramatically increasing your job security. I hope you will read our thoughts about this subject over the next few weeks…………It can make 2011 the year you stop worrying about your job and start enjoying it. 

Remember that our young man whose company had just completed a massive layoff has begun to increase his contribution to his company to improve his personal job security. He is finalizing the plan to begin successfully selling his new product line.

Usually when a product is not selling as well as we think it should we look at the way it’ s being presented and sold to the target or prospects. Usually we conclude that the selling isn’t working.  Maybe the price is wrong or the presentation needs to be stronger.

 In my consulting with lots of companies, almost all were having a “sales” problem which were causing them to be less successful than they needed to be. Almost every time, the problem turned out to be more with the product than the sales process.

It shouldn’t take a super salesperson to sell the product, but if the product doesn’t stand out in terms of offering clear benefits, it won’t sell very well.  Today there are so many products on the market that you must clearly offer a distinct advantage over your competition.

 So our young man must roll up his sleeves and make sure his product delivers solid benefits and those benefits must be what potential customers need.  His product is a service offered to business clients.  Customizing the specific offering would require the following analysis:

 Are they seeking the lowest price regardless of the quality of the service?  

Are they seeking premium service which also carries a premium price?

Are the seeking a cultural fit with their company?

Are they risk adverse therefore requiring lots of performance assurances?

Are they looking for the latest and greatest in terms of approach and technology?

Do they value a close personal relationship with suppliers?

Would they be drawn to a pay for performance approach?

Do they want a turnkey approach which emphasizes a “We’ll take care of everything” approach?

Asking the decision maker “what attributes would an ideal product have”  is an excellent way to start to do this analysis.  In this case, our young man got his boss to ask this of the President of each potential client. Since the question was coming from a very high level official, it sent that signal that the company was seriously interested in providing just the right service.

 Next week….The young man begins to work his plan

Keeping the Job You Have…Part 3

January 17th, 2011

January 17th, 2011

Keeping the Job You Have……….Part Three

 This is part three of what will be a weekly posting concerning the idea of dramatically increasing your job security. I hope you will read our thoughts about this subject over the next few weeks…………It can make 2011 the year you stop worrying about your job and start enjoying it. 

Remember that our young man whose company had just completed a massive layoff has begun to increase his contribution to his company to improve his personal job security.

He now understands that getting others to commit to his new product line also means getting others to commit to change. We all feel comfortable with things the way they are. No one opposes change unless they feel the change is bad, but we all tend to continue doing and believing in the same things unless we are forced to change.

The new line was a significant change in the way the company would do its business. It will have an effect on people so the human resources folks would have an opinion. It has to be sold so the sales department certainly needs to be involved. Almost every facet of the company will see some change as this new line becomes part of the way the company does business so each has to be part of the change.  

So the question the young man faces is how can he get others in his business to embrace the change his new line will bring?  We all have a tendency to sell the benefits of something new hoping that others will see these benefits, have an enlightening moment, and endorse the new way.

This may work over time, but it is not easy sledding. There must be a better way.  In this case our young man decided to approach each department of his business. He is able to get each to see some benefit for the company if his new line becomes successful. His selling stops there. Next, he asked each if they would help him determine what, if anything, would have to change, to allow for his new line to roll our successfully.

We all like to be asked to assist a lot better than we like to be asked to change. With this approach, he is able to enroll each in the change as a change agent, not a changee. This is a significant difference. We are almost all for positive change if we are part of the changing, not if we are asked to change. 

It’s hard work, but one by one, the young man is gaining support for his new line. Each department is agreeing to assist with the necessary change in their area.  Success is starting to look more possible to the young man with others helping him instead of opposing him.  

Next week…….Next week the young man puts the final touches on the plan

For a comprehensive discussion of this subject check out my book www.neverloseyourjobbook.com

 

Keeping the Job You Have…Part 2

January 11th, 2011

Keeping the Job You Have……….Part Two

 This is part two of what will be a weekly posting concerning the idea of dramatically increasing your job security. I hope you will read our thoughts about this subject over the next few   weeks…………It can make 2011 the year you stop worrying about your job and start enjoying it. 

Remember last week that our young man whose company had just completed a massive layoff decided to increase his contribution to his company to improve his personal job security.

We all work for our employer because what we contribute is greater than what they are paying us to work there. So selecting an area where we can improve our contribution is very important. Ultimately whatever we select must contribute to the bottom line of the company. We may not like that reality, but it is indeed a reality. No company can stay in business if it doesn’t succeed financially.  Whether it’s a public or private company, the financial investors expect a return on their investment.  So whatever you select, it has to somehow make the company more money either by adding customers, solidifying the ones they already have or by somehow improving the product the company sells.

In the case of the young man, he is responsible for a new business line, so getting that line off the ground and contributing a significant amount of sales was an easy selection.

What was difficult was to decide that he owned the success or failure of this line. At first, he pointed to the sales department who had not sold the product well as a problem. After more thought he decided that the sales wouldn’t ever come until the sales department saw and understood at a gut level the superior value the new product line offered to customers. 

After giving the product line some more analysis, he was able to figure out some ways to make the benefits of the product line much more obvious to everyone. As this thought process continued, he now owned the product line and its results.   “Of course they’ll sell it when they see how terrific the results are,” he thought.

Next came the goal in terms of product sales. He wanted to set a modest goal that he would surely make. But would a modest success actually add value to what he contributed to the company?  As he thought more about the goal setting process, he decided to involve his boss. He wanted to make sure that the goal would excite his boss enough to enlist the boss’s assistance.  As he and the boss set the target for the year, it was clear to the young man that he had his boss’s attention.

Now, he thought, all I have to do is make it happen. It will not be easy, but by owning the product, its success and the goal, he was feeling better about his situation at the company.

 Next week:…….The young man begins to enroll others to make the positive change happen

For a comprehensive discussion of this subject check out my book www.neverloseyourjobbook.com

Keeping the Job You Have…Part One

January 2nd, 2011

Keeping the Job You Have……….Part One

 This is part one of what will be a weekly posting concerning the idea of dramatically increasing your job security. I hope you will read our thoughts about this subject over the next few   weeks…………It can make 2011 the year you stop worrying about your job and start enjoying it. 

 

 The economy is such that new job creation is just not happening.  If you are one of the 90% of us who has a job, it’s imperative that you keep it. “That’s not so easy,” you might say and you would be correct. Payroll is the number one expense at most businesses, so it’s a natural target for cost reduction.

Last week I was working with a young man whose company had just gone through a substantial layoff. The young man survived, but the event didn’t leave him with a lot of confidence concerning his long term job security.

I asked him what, if anything, those now gone middle and upper managers had in common. After giving that question some considerable thought, he decided that they did have something in common. The area they were working on was not doing very well at all. None of these layoff victims were contributing important success for the company.

We learn from the world of sports that a team’s MVPs don’t get cut. In fact, the organization seems to revolve around them. MVPs are often among the highest paid players, but they don’t get cut because the contributions they make exceed the pay they receive. So here is the important lesson our discussion uncovered. “To become safe from layoffs, you must be contributing more to your company than you are costing them.” It’s that simple.

So the young man set out to become one of those who is making important things happen for his company. We all make New Year’s resolutions, so why not make yours to increase your contribution for your company in an area that will make a significant difference for them.

 Next week:…….The young man begins the plan to make something important happen

For a comprehensive discussion of this subject check out my book www.neverloseyourjobbook.com

Dentists who create MVPs

September 23rd, 2010

Hate to go to the dentist?… Not me!

I inherited a pretty good set of genes, but one area where I came up short is my teeth. Both my parents had poor teeth, and I got their bad teeth genes.  As such I have had to make far more trips to the dentist than most folks do. Since I have moved a lot, I’ve had many dentists.

Two stand out… My first dentist I had as an adult and my current dentist. My first dentist is a life-long friend and someone I greatly admire.  My current dentist is also a terrific person with many wonderful characteristics.

My purpose in writing here is not to talk about their many admirable characteristics, but to speak about the way they run their dental practices.  All dentists must know that a trip to the dentist is not something to which we look forward.  So the question is, what can you do as a dental practitioner to reduce the stress and make us sign up for the dental care we need. 

Here’s what these too do:

  1. They hire friendly and outgoing individuals to work in their office
  2. They promote a family atmosphere and make a point of getting to know you personally
  3. They sincerely care about you and put your interest above any other consideration
  4. They make a follow up call when difficult work is done to insure that you are ok
  5. They clearly explain what they are doing and why and allow you into the treatment decision
  6. They run the office focusing on the needs of employees so they have minimal turnover
  7. They present themselves as medical professionals, but also as everyday people
  8. They reward and encourage outstanding patient focused service delivered by their people creating MVP’s

So what’s so special about all this? How much more successful would most businesses be if they followed these examples? Go back through the list above and apply it to those who supply you with telephone service, your local mechanic or auto dealer, or almost anyone who has an 800 number.

The people businesses hire, the culture they create and the personal service they deliver will define their success. Frankly, I would rather go to the dentist than deal with the Department of Motor Vehicles….less painful.

Growing Jobs

July 5th, 2010

Reprinted with permission of Evergreen Newspapers
 
Tomorrow the Sunshine…and Jobs Will Follow

We hear a great deal of conversation about jobs, or the lack thereof. Our current economic situation won’t be improved until jobs are created and millions of workers who are seeking employment begin to bring home paychecks again.

We are expecting some politician to come up with a magic formula to oversee the creation of jobs. It’s like believing that we can command the grass to grow. We can put the grass seeds into the ground and water them, but without sunshine the grass won’t grow no matter how much we need or want it.

The sunshine which will cause jobs to increase is the belief by business owners or managers that demand for their product will be increasing and that it will take additional manpower to capitalize on the increased demand. Whether you are General Motors or a local restaurant you must clearly see that there are more people who want to buy your product before you decide to expand your capacity to supply more of what you sell.  If you were the owner of a restaurant and you were serving 100 meals a day, would you hire more cooks servers or dishwashers without the prospect of being able to serve enough more meals to more than pay the wagers of the new employee? So it’s the sunshine of increased sales that will cause jobs to grow. Nothing else can do it.          

Consider these clouds which may be blocking the sunshine. First the cloud of personal debt is causing American consumers to watch spending and their debt. The cloud of government spending leaves us wondering when our taxes will go up to pay for the government’s spending spree.  The cloud of healthcare costs which we see increasing to pay for the millions who are being added   The long term forecast sees future clouds of higher gasoline prices because we have stopped drilling.

So don’t look for jobs to be coming back today. We must clear up the clouds before businesses owners see the sun shining through in the form of increased demand. Take heart…. as Annie sang,

“The sun will come up tomorrow……So you gotta hang on till tomorrow….Come what may.

Tomorrow….Tomorrow….I love you tomorrow…..You’re only a day away.”

How to Increase Your Job Security by Becoming an MVP at Work

April 16th, 2010

I’m working on a book; here’s why.  If you have a job, you can be very secure if you are valuable enough to your employer. My book will give readers real life ways to become “layoff proof”. The other half of the book is directed to employers suggesting to them some simple ways they can develop the MVP’s who will improve the profitability of their business.  If I can help even in a small way to reduce layoffs and improve some businesses’ viability, it’s worth the effort.   

The economic crisis we have been enduring for over a year now has brought us to a crossroads. Businesses need to be more creative than ever before to succeed. They need to rethink much of what they “have always done.” At the same time, employees are seeing unprecedented numbers of job losses. Those who have a job, are asking themselves, “Will I be the next employee to lose my job?”  The most valuable asset any business has is its people. Workers largely determine the success of any business, yet many may not be feeling so valuable in these turbulent days.

The book and its format addresses employers under one cover, and employees under the other. It’s an attempt to get both to exchange points of view. I believe that exchanging perspectives is the most powerful way under the sun to facilitate progress in anything. If you want to make giant progress we must change our frame of reference.

Bosses want top performing employees, yet he or she   may not have taken the time to try to understand what their workers are most seeking in their job beyond the paycheck.  We know that like air, a paycheck is necessary for life, but once you have air or the paycheck, there are many other things which effect how you feel.

Anyone can virtually insure their own job security by becoming very valuable to their company. This is done by increasing the contribution the worker makes to the long term success of the company. If you could walk in your bosses shoes and he or she could walk in yours, both of you would greatly increase the probability of getting what’s really important each of you.

We all live in our own frame of references and our personal perspectives largely define how we see the world.  It’s no surprise that our astronauts come back from outer space changed individuals.  They see the world in a way that’s impossible to see while their feet are on the ground. Anyone who has travelled abroad learns that the world does not revolve around the USA as most Americans assume it does.

As I was about to graduate from Officer Training School in the Air Force to become a Second Lieutenant  otherwise known as a “ninety day wonder” the last stop was a visit with a tough old Sergeant who gave us the very best training we had received during the entire course.

Sarge pointed out that today we were trainees, but tomorrow we would be junior officers and as was the tradition, if we passed he would be saluting us. He further pointed out that the salute was out of respect for the gold bars we wore, not necessarily for the wearer. He further explained that non-commissioned officers like himself who earned their rank by experience, actually ran the Air Force. They largely determined the success or failure of each day’s mission.  

The old sergeant went on to tell us that our individual effectiveness as officers would be determined by our ability to work with those who had the experience. If we insisted on believing and acting as if we knew everything, we would fail, and we would never earn the respect of those who we outranked.  If, on the other hand, we were able to respect the experience represented by those who had been there and actually done the work, we would become successful leaders, and our careers and the Air Force would benefit from that leadership.

On graduation day, as we filed past the reviewing stand, there was the old sergeant saluting every one of us. I never forgot his message and his salute, and have tried to earn that salute by honoring the lesson he taught me about exchanging perspectives.      

Trying harder won’t improve results nearly as much as exchanging perspectives between the workers and the boss. Truly, you have to walk in each other’s shoes to understand how working for mutual goals can insure that the company will survive to provide good jobs, and workers will have a much better chance of staying employed.     

The current economy may have you scared to death. If you are like many Americans, you couldn’t survive long without your monthly paycheck.  I know exactly how you feel. I once had a job which I needed badly. I knew that it was important to my financial well-being that I keep the job. I also knew that I was overpaid for the job I had been given. Due to a complicated set of circumstances, the job responsibilities had been lessened after the pay level was set. In other words, I was being paid more than my contributions were worth to the organization. It gets worse. Because of the job loss fear, I became less aggressive about doing the job I had been given. For the first time in my career, I was timid and unwilling to give the tasks at hand all I had. I’m not saying that I didn’t work hard and put in the time, but I just didn’t give it the benefit of my many years of experience. I could have performed better, but fear of losing the job was causing me to underperform. As soon as the first opportunity for a downsizing occurred, I was part of the downsizing. I feel particularly bad about the result of my less than stellar performance because others who worked for me were also downsized.

Every job, whether it’s sweeping the floor or being the CEO, has two levels of compensation which are appropriate for that job. The first level equals whatever the company would have to pay to get someone else to perform the job at a satisfactory level. The second level is the economic worth the organization gets from outstanding performance by the jobholder. Let’s say you are driving a truck and servicing the company’s customers. If you are making the expected number of service calls and successfully completing the calls, your pay should be at the level the company would have to pay to replace you. If, on the other hand, you are not only making your expected calls, but you are also leaving such a positive experience in the minds of your customers that they have a very favorable view of your company, then you are going above what’s expected, and you have actually raised your value to your company.  Your employer might decide to raise your pay either by some merit pay for performance plan or just by recognizing you with a base increase. In either case, you will need to continue to perform at the current level or higher.

So, if you are following this example, you may say, “what about seniority?” Isn’t there a pay benefit for longevity?  I would tell you that in our current competitive environment, the answer is no unless that extra experience translates into performance that helps your company compete more successfully.  One only has to look at the American automotive companies whose pay practices from the plant floor to the boardroom were not supported by the same level of economic value to the companies.  Companies who overpay their employees will not be able to stay in business. There is no doubt that the one significant factor in the millions of lost jobs is that, like me in the job I lost, the pay was greater than the benefit.

So if you want job security, you should strive to be underpaid; not overpaid.  The book will help workers be able to gain practical ways to increase their value to their employer. Those who become MVP’s (More Valuable Players) will have great job security, and may find that the boss taps them to find out if they want a tougher, higher-paying job.

April is International Customer Service Month

March 29th, 2010

April is the month where you are to make a special effort to create more loyalty among customers. I’m not kidding, there’s a month dedicated to this.  It seems strange that you only have to do this one month a year. Is there a month for being nice to your Mom or telling the truth?  It would seem that what’s important in April would also be correct all year around.

Even Google didn’t seem to know who thought up this approach, but whoever it was probably understood that loyal customers buy more from you even without promotional offerings. They recommend you to others and they even give you a second chance if something goes wrong. 

The question is how you achieve loyalty? Loyalty is a gut level thing rather than the transactional phenomena of satisfaction that many companies seek. You are loyal to your alma mater, your home town or some sports team and of course your dog. This is a long lasting thing that doesn’t go away quickly like the satisfaction you get from a good ice cream cone.  Studies have shown that satisfaction doesn’t motivate people to buy, but loyalty does.

Our significant studies into loyalty show that it is developed through three elements. First, there does have to be a history of satisfactory transactions. If your broker doesn’t return you phone calls, or your store is out of stock on the items you want, or your bank charges you fees that are not justified in your mind there is little hope of loyalty. Businesses have to be good at what they do. 

Secondly, loyalty occurs when the organization is unique in something important that they do. Nordstrom is unique in their focus on service. Wal-Mart is unique in their ability to deliver low prices. Loyalty is developed when some unique part of the company offering attracts you because it is an important differentiator for you.

Thirdly, there must be ongoing and effective communication between the organization and its customers or members.  A conversation, sharing some important information or otherwise adding some value to the relationship all qualify as effective communications. Imagine that the only communication between you and your alumnae association was their request for funds. This would probably not make you want to contribute, but if they effectively reminded you about the wonderful campus days, the story might be different. That communication kindles the loyalty.            

Organizations who focus on developing loyalty thrive even in tough economic times. Perhaps the focus on loyalty is why Southwest Airlines is the most profitable and fastest growing US airline while the others crank out their satisfaction surveys and add ancillary charges for just about everything. Maybe they will change now that it’s International Loyalty Month.


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