Greater Baltimore Black Chamber of Commerce Tips of the Week

What's in a leader?

Karyne Henry — Tue, 01 Nov 2011 05:18:41 GMT

What's in a leader?
Gerri King, Ph.D.

The dictionary says that "to lead means to show the way." If that's the case, every one of us is a leader.

Take, for example, a parent showing his or her child how to ride a bike, a factory worker showing a new employee how to do a job, a teacher helping students understand math, a child pulling another child by the hand to a secret spot on the beach, or your attempt to convince a friend to go to your favorite restaurant.

As we all have so much practical experience, leading ought to be easy.

But we are finding that it isn't. At least that's the word we get from our consultants in the field. Training leaders is big business these days; as a matter of fact, weÕve set up leadership courses in some the newer corporate universities. "Leadership for the New Century" has always been a hot topic in my speaking engagements, and I see leadership discussed on the internet and in business magazines several times a day.

I believe that being a leader requires having a vision (the ability to anticipate or have foresight). The parent wants her or his child to know how to ride that bike because it means freedom and an ability to go places and see new things. It gives the child a way to socialize and to feel part of a mobile society. It means building confidence and experiencing a sense of accomplishment.

If s/he feels strongly enough about the vision, and is able to clearly articulate it, the child will not only learn how to ride the bike, but will also know what it is to work hard and reach a goal.

What's so different about having a vision regarding your work environment, or about where your team is headed, or about the way your company or organization provides its products or services?

Being a leader doesn't necessarily mean you're "in charge" of a group. But I do think it means that you’re willing to work hard to clearly articulate a vision for yourself that gives you purpose within that group, that motivates you to work toward that vision, and that helps create conditions that energize and inspire those around you.

Chances are, if your vision is clear and appealing, you may find others willingly following your lead.

As a Consultant, how do I help my clients employees to take action?

Karyne Henry — Tue, 01 Nov 2011 05:13:07 GMT

Here's a way to help clients and their employees take action... and it's
based on a simple set of principles.

Create the "form" or the template for your clients staff
to use. Here are a couple of examples:

1. Say you want to reduce rejects in a plant. Create a model
form for managers and employees that in its simplest form
would say "I recommend the following three approaches to
reducing rejects. 1,2,3." You could modify it and add some
columns, e.g. Cost Estimated; Reduction Anticipated; Savings
Resulting.

2. Say you want to increase profitability. Create a model
form for managers saying "My department can reduce expenses
as follows (provide a listing) and can increase revenues as
follows (allow for increasing expenditures to increase sales).

Tip: By taking the initiative for stimulating the action in the form of a template that managers and staff
can use, you a) shorten the time and providing the vehicle for action, and b) create an environment of either contributing
or competing to help the organization or department.

Part Two: How can I tell my client that I disagree with their idea?

Karyne Henry — Fri, 08 Apr 2011 15:29:25 GMT

Your client responds to your critique of her/his idea with
yet another logical, but in your mind incorrect explanation.

You want to straighten things out ... still without creating
hard feelings. What do you do?

Try this. "Oh... I see where you are coming from." What this does is acknowledge the logic coming from the other
person and then allows you to further explain why there is a higher or over-riding logic.

Tip: Goodwill is critical to ongoing relations. And so easy to lose with seemingly (unintentional) harsh criticism.

Be sensitive.

Recognize:

a) the other party may be right, and

b) no one likes to be criticized in a way that might feel personal.

Tough. But the thinking consultant knows and understands that above all tact and constructive analysis of the FACTs is was will convey your overall point. Do whatever is necessary to keep personal attacts or harsh critiques out of any business conversation.

Learn how to approach personal issues with clients that may be an issue to client success by scheduling to attend an Entrepenuers Training course sponsored by the GBBCC.

Part One: How can I tell my client that I disagree with their idea?

Karyne Henry — Fri, 08 Apr 2011 15:20:07 GMT

This phrase... "I may be missing something," can save you
from creating ill will with a client or prospect.

Here's how it works. Your client makes a recommendation you disagree with. You explain why you disagree. Now that's
likely (depending on your client's personality) to cause more disagreement, and possibly ill will.

Tip: Simply end your explanation with "I may be missing something." and you will find your client will either:

a) rethink their position and gives a new recommendation, or

b) help you understand their way of thinking or

c) engage you in helping to create a new idea and recommendation

and with no hard feelings.

We, as consultants, should most often be right... but certainly not always. By showing others our willingness to accept being wrong, we open up clients to accepting (or realizing) that they may be wrong or not well informed. More importantly, we must always create a forum for open, knowledgable, respectful and clear dialog with our clients.

More on right and wrong (the perception, that is) in future tips.

MY MEETINGS ARE NOT PRODUCTIVE...WHAT SHOULD I DO?

Karyne Henry — Tue, 01 Feb 2011 17:09:19 GMT

Five Tips for Running Effective Meetings

Long, unproductive meetings can result in lost revenue for your business, setbacks in project schedules, or can simply ruin your day by putting you off your schedule.

If you are responsible for facilitating a meeting, whether it be a small staff meeting, a committee meeting, or a meeting of a very large group, there are several strategies you can use to ensure your meeting will be productive and run smoothly.

1. Have a set agenda: The most important component of running an effective meeting is having a set agenda. “A set agenda allows attendees to stay focused and stay on purpose. “In order for the meeting to be productive, you have to start on time, play by the structured guidelines and end on time”

An agenda sets the goals of the meeting and can also be used to set the pace of the meeting and how much time is allotted for each item. It can be used as a tool to cut off discussion when it is time to move on to a new topic. Request agenda items and prioritize the agenda items prior to the meeting.

Most importantly, though, an agenda forces you to think about and prepare for the meeting in advance. “Don’t just wing it. “Your attendees can tell when you’ve come in unprepared, and being unprepared and disorganized fuels the potential for having an unproductive meeting.”

2. Know who is attending the meeting: The more familiar you are with who is attending the meeting and why they are attending, the better prepared you will be to facilitate the meeting and keep it moving forward. “Knowing their names can help you address them directly, either to involve them in conversation or to keep the conversation moving along. “Knowing why they are attending can alert you to what their concerns are and what items they are likely to be most interested in or passionate about.”

Encouraging your attendees to state why they are present at the start of a meeting is a good way to make introductions and to involve all attendees from the beginning. It should also be made clear that all attendees have the opportunity to participate.

3. Keep the conversation moving forward: In addition to adhering to a schedule set by an agenda, there are techniques that can be used to keep a conversation moving forward.

Whoever introduced the agenda item should speak first. “Starting clockwise left of the speaker each attendee can speak on the item or ‘pass.’ Opportunity for response, rebuttal or questions could happen on the next turn around the table.”

4. Prevent one person from dominating the conversation and involve those who are not contributing: There are several strategies that can be used* to keep the conversation from being dominated by one person. How you handle the situation will depend on your own style and comfort level.

You can be very direct and informal if you’re comfortable with that. Using people’s names and making eye contact can help hint to them that it’s time to move on, is one way. You can also use several techniques that involve just moving around the room. If someone is dominating the conversation and seems to have made their point, you can simply place a hand on their shoulder to indicate that it’s time for someone else to talk.

Other strategies include putting a time limit on participants’ comments or having attendees agree to abide to guidelines before the meeting.

“Introduce the written structured guidelines of DIM-WYT, Don’t Interrupt Me – Wait Your Turn”. “People interrupt for a variety of reasons. Whether they are impolite, disrespectful or merely enthusiastic, the results are the same: frustration abounds and the purpose of the meeting is sidetracked if not entirely derailed. Wait Your Turn indicates that everyone will have a chance to speak – in fact, everyone at the meeting is encouraged to participate. People who are normally reticent can have their say and everyone will stay focused on the issue under discussion.”

5. Make your enthusiasm contagious: Employees are often required to attend meetings they are not necessarily enthusiastic about. “The easiest way to get enthusiasm from your attendees, is to show your enthusiasm as the facilitator. You have to make your own excitement contagious. Getting your participants excited about the meeting topic can help generate more ideas and results from your meeting.

* Call a Greater Baltimore Chamber of Commerce Executive Member today to learn more.

I'M NOT REALLY SUCCESSFULL AT NETWORKING....I NEED HELP

Karyne Henry — Tue, 01 Feb 2011 16:56:03 GMT

Tips for More Successful Networking

Building relationships can be the key to boosting your company’s success to a new level. A strong networking strategy can maximize the value of your relationships and lead to new opportunities.

Professional business coach Karyne Henry said networking and forming connections is essential to a business’ success and should be approached strategically.

“Networking events are not about going and getting 30 business cards and putting them in your database. You should be strategic about your networking, aim to form lasting relationships, find out how you can help others achieve their goals, its not always just about the sale.”

Karyne says there are some key points to having a successful networking experience:

Form a strategy: Think ahead about your strategy before attending a networking event. If it is group networking, identify your target audience and determine how many people you would like to meet. Find out if there are any attendees you’d like to meet and identify people you know who could make an introduction. Karyne says aiming to meet five to six quality contacts/people at an event is a good goal, or possibly more, depending on the event, time and your personal business goals.

Build relationships: Utilize the networking event to try to get to know other people and understand if they are a good contact for you. Establish a relationship and ask permission to set up a follow-up appointment. “Be sure that you have a strong and succinct USP (unique selling proposition). When someone asks, ‘What do you do?’ keep your answer brief and to the point and then ask them questions. Go to networking events to build relationships not to sell.

Listen: The most important thing you can do while networking is to listen to the other person. “That’s the biggest gift you can give someone, to listen to them. I have an acronym that I give people: WAIT-Why Am I Talking. Way too often, people think networking events are sales situations and they really aren’t. “If people would see that it’s more about listening to the other person rather than worrying about themselves so much, they would see opportunities to help each other. When you’re networking, sometimes the people you meet become your clients and sometimes they become links to other people. The more you take the time to understand how you can help somebody else, the more they’re going to want to help you as well.”

Help Others: Karyne says being genuinely interested in helping others when attending a networking event will present more opportunities for you. “My strategy is to clear my mind before I go in the room and tell myself that I am there to help other people, not to serve myself. I never have as good of results when I go in with the mindset of advancing my own business rather than the mindset of helping others”. “Everything that happens in your business is related to your mindset. If you go in with the idea that you’re out there to meet people, listen to them, learn about them and figure out whom to follow up with, it will serve you well.”

Call the Chamber today to find out about Greater Baltimore Chamber of Commerce Business Building sessions available to Members!

Guide to Managing Cash Flow

Karyne Henry — Thu, 04 Nov 2010 22:03:59 GMT

60-Second Guide to Managing Cash Flow

A common problem for small business owners is the struggle to maintain adequate cash flow levels. Without cash, a business must eventually close its doors. Understanding and managing your company’s cash flow will help you measure the amount of cash on hand and prepare for cash flow shortfalls in the future.

In just 60-seconds, we’ll show you how to be vigilant about cash flow.

0:60 Do the Math

Cash flow is the movement of money in and out of a business. Cash inflow is the movement of money into your business, and most likely comes from the sale of goods or services to your customers. Cash outflow is the movement of money out of your business, and is generally the result of paying expenses. By projecting the inflow and outflow of your businesses cash, you can determine the amount of cash that will be available during a designated period of time.

0:48 Prepare Your Profit and Loss Statement

Your business plan should contain several financial statements. If you’re a start-up business, base your estimates of cash inflow and outflow on the revenues and expenses listed in your profit and loss statements. Complete your profit and loss statement before completing your cash flow statement. Over time, you will be able to base cash inflows and outflows on actual historical data.

0:30 Develop a Cash Flow Statement

A cash flow statement measures cash flow over time. During your first year in business, you should include a month-by-month cash flow statement in your business plan. If you’re seeking a loan, an important feature of your cash flow statement is that it will show the lender exactly how you’re going to afford loan payments.

0:16 Get Help from the GBBCC

Learning to produce and analyze cash flow is essential for business success. If you need help computing your cash flow, or if you’d like to learn more about financial management, connect with a financial expert within GBBCC membership today.

UNDERSTANDING YOUR BUSINESS FINANCES

Karyne Henry — Thu, 04 Nov 2010 20:41:34 GMT

Cash Flow

Cash flow is the lifeblood of any business. Like it or not, cash is how business keeps score. If you don't have enough cash on hand, you can't pay your suppliers, your employees, or your financers. Without sufficient cash, you'll go out of business soon enough.

Cash flow is the flow of spendable money into your business and back out again. You may have sold tons of goods and have a fistful of invoices to show for it, but you can't spend those invoices, paying employees and suppliers with them. You need the cash.

Cash Flow Tools

Managing your cash flow can be a tricky business, and your business policies regarding how you extend credit to your customers, how many customers you have, and how quickly they pay, for example, all can combine to make it too complex to track in your head. When it gets this complicated, smart business managers turn to computerized tools to help them get a handle on the process, the risks, and the opportunities.

Profit and Loss

Cash flow isn't the same as profit and loss. Believe it or not, a company can be profitable while experiencing cash flow problems that drive it to bankruptcy. Profit is an accounting term, which includes noncash items and estimates. Cash flow is a less forgiving number with a harder edge that factors in payments and expenditures. If your sales are profitable but you need to invest millions in a new plant and equipment to make the products you sell, cash flow may not be a pretty sight.

Cash flow can be more difficult to predict than profit and loss, particularly for smaller businesses that are dependant on a few large customers. You may be able to estimate when you will close a sale and earn the profit. But you may have little control over when your customers pay you and the cash comes in.

Payments and Receipts

Cash is not the balance in your business bank account. Your cash balance in your accounting books needs to cover checks you have issued that have not yet been paid by your bank. You may have customer payments in hand that have not yet been deposited in your bank. That's cash, too.

Where does cash come from? For most businesses, a major source of cash comes from sales to customers. It's not necessarily a direct path, though. Many businesses extend credit to customers, so the sale hangs around as an account receivable, preferably for as short a time as possible, before the customer sends payment for the purchase and the receivable converts to cash. Cash can also come from financing activities, such as a bank loan or an investment by the business owners.

Where does cash go? Just about where you would expect: to pay suppliers and employees and investments in the business. It may also be used to repay debt or provide an investment return to owners.

Typically, a business has more control over its cash payments than its cash receipts. Granted, your employees expect to receive their pay on payday. However, you may be able to stretch the time you take to pay your trade suppliers, within reason, of course.

CONSULTATION FEES

Karyne Henry — Wed, 12 May 2010 01:46:56 GMT

MEMBER QUESTION: I charge $3000 for a first time diagnostic one-day consultation visit to a client but I don't seem to get enough assignments and I get a lot of resistance when I say I charge $3000/day. Any advice?

Sure. Let's "reposition" this completely.

First, don't quote these kinds of assignments, i.e. first-time visits to the client by the day. Look at what you most likely do (or should) for this "one-day" visit:

1. Talk to the client over the phone in advance to determine what the problems/issues are.

2. Then have the client send you information a couple of days/weeks in advance which you review and likely pose questions and request additional information.

3. Digest the acquired information and prepare some preliminary thoughts, recommendations and additional questions to present to the client (and possibly key staff).

4. As a result of your first visit and discussion you may need additional information, pose some new questions, re-prioritize, sort out client/staff reactions, come away with a wealth of new material, have ongoing e-mail phone contact and within a week or so present a formal report with recommendations.

5. Then make yourself available by e-mail/phone for follow-up questions for clarification.

6. Then you and the client can discuss whether you should go on monthly retainer... now that the client has seen the depth of your knowledge, your ability to deal with people and problems, and the likely results for the organization. It's the same "one-day assignment" with just a little on each side and probably what you were planning on doing anyway.

Note: Try packaging/including the expenses in your pricing vs. saying PLUS expenses (which is kind of scary to a first-time client... too open ended). Just say "There will be no charge for expenses for travel, materials, phone calls, or anything else."

Note: This is just one way to go on pricing services and we hope it will stimulate you.

Who are you? What is it that you do? These seem like simple questions, but....

Karyne Henry — Tue, 09 Mar 2010 02:13:27 GMT

Who are you? What is it that you do? These seem like simple questions, but....

If your parents were to describe you vs. your spouse, vs. your children, vs. your best friend, vs. your first or last boss... it is likely you would have many different descriptions. And so it is for your many audiences, clients and constituencies. Standard bios, and C.V.'s, just won't do the job if you want to separate yourself from the crowd. You are, and want to be, perceived as stable and consistent to your primary objectives as a consultant or business owner, yet versatile enough to maneuver any circumstance that may occur within your assignment.

If you wear many different hats – as we all do and have from time to time, tailor your communications (even your pictures) for the audience you are serving. You can shortcut this a bit with "versions" and "cut and pasting"... with the key points, goals, education and strengths left in place while our coaching, training, speaking highlight, etc., paragraphs are inserted accordingly. This indicates Consistency with a catalog of Versatility.

And above all…KNOW YOUR BUSINESS!!! I coach so many new clients and businesses that can not (when informally or formally asked) concisely summarize and project the purpose of their business (within 20 – 35 words). Then they wonder why people don’t have confidence in their abilities as a consultant or business owner. Memorize, digest and mantra your life and business mission, goals and result standards so when asked they are second nature. You will project with confidence and people will believe in you and the business that you stand for.

My client made a statement about an action they wanted to take. I said "You Can't do that!" I think I have disengaged my client. HELP!

Wed, 06 Jan 2010 13:47:39 GMT

My client made a statement about an action they wanted to take. I said "You Can't do that!" I think I have disengaged my client. HELP!

First of all you did't really mean "You can't do that." Did you?

A better way...

I think you really meant... "That's not the wisest thing to do right now because...," An even better way is…, "Sure, we can do that, but here's what it will cost us in dollars, time, energies, etc."….

Help your client see the situation in perspective. List two or three other solutions your client can consider that might be more effective and help maximize the situation. Your primary job is to find the best decision/resolution/approach.  

Tip: Don't be too quick to jump to idea rejection. Find out where the client is coming from and where they are trying to go. We should select those things that will get us and our clients the greatest return on investment.

I get up some mornings and don't feel motivated. I am making "Good" money, and making a little more by working harder and longer, shouldn't all that be motivational enough for me.

Wed, 06 Jan 2010 13:58:04 GMT

I get up some mornings and don't feel motivated. I am making "Good" money, and making a little more by working harder and longer, shouldn't all that be motivational enough for me.

How do other consultants stay motivated? Especially in the morning.  

A great question. Here's are some suggestions from GBBCC members:  

Read the latest issue of your industry magazine...or one of the more upbeat general business magazines like Entrepreneur. You'll see what others are doing, accomplishing and where you might find opportunity for yourself or clients and prospects. 
Exercise. For some this helps get the "juices flowing." 
Do overdue admin work. Organizing files, your office, your schedule. 
Write an article for a magazine...see where that takes you and your mind/motivation. 
Go through your "to do" list and see what turns you on. 
Go for a walk.
Listen to Motivational CDs
Compose a letter to the most important/special person in your industry that you have always wanted to meet.

Tip: Motivation comes and goes. More with some than others. Change what you are doing. Get a new perspective. And don't feel guilty. Some days are just better than others.

Whenever I present an idea or make a recommendation I have absolutely no idea of how it is going to be received. I know my recommendations are solid, but my confidence level is pretty low. Any suggestions?

Wed, 06 Jan 2010 13:59:39 GMT

Whenever I present an idea or make a recommendation I have absolutely no idea of how it is going to be received. I know my recommendations are solid, but my confidence level is pretty low. Any suggestions?  

When introducing any idea, recommendation, counter proposal, etc., the "opening line" can set the mood and likelihood of rejection, acceptance, piggy-backing, investigation, testing, implementation, or whatever it is you are trying to accomplish.  

Tip: Here are three different opening lines suggested by GBBCC members. See how these work.

"Here's how we might do it." This is good when you are not sure of the fit and are looking to test the waters without taking a stand. Or when you want the client to "try" vs. "commit."
"I would bet my reputation on this approach." This one takes a strong stand and makes it difficult to shoot down. Use this sparingly and only when you really mean it. 
"Here's what I have seen work elsewhere...what can we learn from this?" This one makes the statement that this is not a wild new idea yet opens the door for communication.  Tip: Next time you are going to suggest, present or recommend something...think about that opening line. Be creative. Have the objective in mind.

My client is very thoughtful and usually makes the right decisions... but it takes them forever. How can I get them to move more quickly?

Wed, 06 Jan 2010 13:56:27 GMT

My client is very thoughtful and usually makes the right decisions... but it takes them forever. How can I get them to move more quickly?

Assuming the client is "on board" with your actions/ recommendations, it is important to show the client either what they will make or lose as a result of a delayed decision. Some managers try to get everyone on board before making a decision. Not bad, maybe essential... but critical to any decision is "when" and there are a variety of techniques to set that time.

Here's one: Start by arbitrarily selecting a time (vs. asking staff to choose one) and see what the reaction is e.g., Do you think we can get this in place by April 1st? If there is no objection, start using that date in all communications and in particular in financialanalyses and projections.  

Note: If you can actually change the decision-making process to one that will be most effective for everyone involved. It is amazing to see how many ideas/ recommendations die an "unnatural death" because of delays, committees, and lack of leadership (support) at the top.

Tip: Send a memo to the top project executive showing how much  money is made or saved per month/week/day by making a timely decision. There’s nothing like bottom-line implications to motivate people to move.