Have You Heard the Story about the Business Owner Who went Home to Visit his/her Mother?

Have you heard story about the business owner who went home to visit her mother?

She wanted to tell her mother how things had become so difficult with the economy, how the business was suffering and becoming more challenging every day. Although she was once filled with hopes and dreams, she did not know how the business was going to make it.

She was thinking seriously about closing the business. She was tired of struggling; it seemed as one problem was solved, a new one arose.

Her mother took her into the kitchen and told her to sit at the kitchen table, relax and to watch without asking questions or making any comments.

The mother filled three pots with water. In the first, she placed carrots. In the second, she placed eggs and in the last, she placed coffee beans that had been finely ground.

She let them sit and boil in the water, as softly hummed without saying anything out loud.

Twenty minutes later she turned off the burners. The mother fished out the carrots and placed them in a bowl.

She scooped out the eggs and placed them in a bowl. Then she ladled the hot coffee into a bowl. She carried the three bowls to the kitchen table.

Turning to her daughter she asked, “Tell me what do you see?” “I see carrots, eggs and coffee,” was the reply.

The mother asked her to feel the warm carrots. She did and the daughter noted that they were soft. The mother than asked her daughter to take an egg and break the shell. And, pulling off the shell, she touched the hard-boiled egg.

Finally the mother asked her daughter to sip the steaming coffee. The daughter smiled as she smelled the flavor and tasted the rich aroma. The daughter asked “What’s the point of all this?”

Her mother explained that each of these objects had faced the same adversity, boiling water. But, each reacted differently.

The carrot went in strong, hard and unrelenting. However after being subjected to the hot water, it softened and became weak.

Given enough time in the hot water, it would have disintegrated.

The egg had been fragile; yet its thin outer shell had protected the liquid interior. But after sitting in the boiling water, the inside became hardened. Over time it would have become hard as a rock.

The ground coffee beans were unique, however. After they were in the boiling water they had transformed the water. It not only had a wonderful taste but also an enticing aroma.

“Which are you?” the mother asked her daughter. “When adversity appears, how do you respond? Are you a carrot, an egg or a coffee bean?” The mother held up her hand, motioning her daughter not to answer the question.

“Are you the carrot that seems strong, but with pain and adversity, wilts, becomes soft and loses strength? Are you the egg that starts with a malleable heart, but changes with the heat? Do you have a fluid spirit, but after some trial or difficulty become hardened and stiff? Does your shell look the same but on the inside are you bitter and tough with a stiff spirit and a hardened heart?”

“Or are you like the coffee bean, the one that changes the hot water, the very circumstance and source of the adversity? When the water gets hot, it releases the fragrance and the flavor of the bean. If you are like the bean, when things are at their worst, you get better and change the situation around you. When the hour is the darkest and trials are the greatest, do you elevate to another level?”

“There is no escaping the hot water, the trials of life and those of owning a business. They will come, whether you are prepared or not. I don’t think anyone is ever ready to start, run and build a business just as your father and I were not prepared to be parents when you were born. We told ourselves we were ready, but in reality we learned as we went along, taking some advice and ignoring a lot more. We had difficulties and disagreements along the way, but we kept working at it, and you grew up to be someone we are very proud of.”

“I am sure that you weren’t fully ready to run a business even though you had an idea and a plan. Along the way reality intervened, unexpectedly. I know that you are having a tough time right now, but as I look back on your life, you have always been more like the coffee bean than the carrot or the egg.

I believe that the answers are in your head but you have been so busy with worry and work that you can’t think clearly. What you need is quiet time to reflect and to think through to a solution.”

Super Job Information gives information on how to get a job and how to hire good people. If you are looking for Zinc Die Casting Jobs look at this website. This Zinc Die Casting Blog will give you more information you can use for zinc castings.

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Have You Passed Accounting 101?

Those who have passed Accounting 101 (www.Harvard.edu) understand that business owners should focus on building the net worth of their business by adding to their asset base while reducing liabilities. The difference is owner’s equity, the value of the business.

When U.S. society was an industrial one, it was easy to see machines, equipment and inventory in a facility and get a quick answer to the question, “What is this business worth?”

Times change, manufacturing is declining and most businesses operating today are service businesses. The balance sheet for many is lighter because there simply are not enough hard assets on the books to build a large and positive balance sheet.

For service businesses, “goodwill” is the catch-all category where the true value of the entity is found. No one who actually owns a business is exactly sure what the concept of goodwill is or what it means from a practical standpoint. For the sake of argument, here is the definition from Wikipedia (www.Wikipendia.com)

“Goodwill is an accounting term used to reflect the portion of the book value of a business entity not directly attributable to its assets and liabilities; it normally arises only in case of an acquisition. It reflects the ability of the entity to make a higher profit than would be derived from selling the tangible assets. Goodwill is considered an intangible asset.”

There are ways to build a balance sheet in a service business and increase revenue and sales (reported on the income statement) and witnessed by improved cash flow.

One important component of goodwill that could be used more often is that of creativity. More business opportunities would surface and nagging problems would be addressed, if brainpower was brought to bear. Too many owners are so busy being firefighters (an honorable profession but not the same as being the owner of a business) instead of being architects (planners and builders of businesses, not buildings).

Instead of tapping into the unused portion of the brain to answer the question, “How can I (fill in the blank),” the sight all too often seen is an owner-as-victim sobbing, “Why me?”

Can a value be put on creativity? What is the value of one good idea? In a world focused on the creation and implementation of ideas, a single idea could be worth millions of dollars. Spending time thinking, instead of crying, has the potential of an outstanding return on investment. Just ask those two young men who founded Google (www.Google.com) not so long ago.

A second component to enhancing goodwill will gain more revenue and improve cash flow. It is the building of new relationships.

Owners keep going back to the same clients, instead of finding new clients to replenish those that no longer buy. While it is true that the easiest sell is to a satisfied client, at some point most clients will end the relationship.

Harvey MacKay wrote a terrific book entitled, “Dig Your Well Before You’re Thirsty,” (www.Amazon.com)  which discusses something every owner should be focused on all the time but isn’t. Why is that? The owner is too comfortable and mesmerized watching the current well going dry.

The existing well goes dry because clients no longer have the need. They have moved on physically or they have found some other way to have their wants and needs satisfied. But it is easier, cheaper and more comfortable to watch and complain about the well going dry than it is to dig a new one.

The third component that could build goodwill is the improving the business model. The question that must be asked is a simple one, “How can I make money when I am sleeping?” (www.HBR.com)

Research suggests successful owners think about this question constantly. They obsess over it. They look at competitors and other industries to learn and leverage from what is already being done. Then they tweak it to fit their own needs.

These are challenging times for many owners and the natural tendency is to hunker down and ride out these tough times and wait for the good times to return.

In the end, the owner is solely responsible for the creation of good times for his or her own company, regardless of what is taking place in the economy.

Super Jobs For You gives information on how to get a job and how to hire good people. If you are looking for a Die Casting Job look at this website. This Die Casting Blog will give you more information you can use for manufacturing.

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Are You Ready to Answer these Questions?

As the owner of a business, are you ready to be asked and truthfully answer these questions when asked by an employee?

“How are we doing?”When this question is asked, it raises some serious red flags.

The first is that there is not enough communication from the top of the company to the bottom. The second is that people do not understand how the company scores points in the game of business and worse, what it takes for the company to win the game. They are asking you, “What is the score?” Third, the person might be asking a different question which they don’t have the courage to ask out loud, which is, “How am I doing?”

  • “Where are we going?”

Someone who asks this question is seeking some assurance that the company is going to survive whatever it is currently facing, real or imagined. They are also asking if there is room for advancement, which could mean a promotion, a transfer to a new department to learn new skills or if there is money available for a raise.

  • “What business are we in?”

This is usually asked by an employee confused about what they are doing and how what they do contributes to the company. It could also be asked by someone who is wondering what the core business of the organization is because they see the company straying from that foundation. The person asking the question could also be seeking reassurance that the company is not changing.

  • “Who do we serve?”

A person asking this question is seeking clarification as to who the company’s customer really is. It’s an interesting question and depending on the perspective of the person asking for the answer can be an internal customer or an external one.

  • “How do we make money?”

The initial response from an owner is likely to be “None of your business.” But being asked this question raises a terrific issue: if your employees do not know how your company makes money, how can you expect them to help you make it?

  • “What are my priorities?”

This is coming from a confused person. They have likely been given conflicting projects or assignments from two or more managers, from you, or maybe received some input from a peer who works shoulder to shoulder with them. They seek clarity.

What the person really wants to know is “who is my boss?” suggesting that the org. chart is MIA (missing in action).

  • “How do I get a raise?”

Laugh if you like, be angry is you want to, but in a period of rising inflation, this is a question from someone who wants to know what it takes to earn more money. This shows initiative, courage and drive and while you may not like to be asked this question, every business owner should look forward to hearing it. Have an answer ready and it shouldn’t be, “You’re lucky to have a job in this economy.”

Being asked this question means that the company is lacking some very basic human resources policies and procedures and even if   those policies and procedures exist, they have not been well communicated.

When asked these seven questions, the first response from the owner is going to tell the employee how the owner feels about being asked questions like these. Most owners won’t welcome the intrusion into an already busy day and even more won’t like the rather intimate nature of the questions.

These are building block questions that intelligent people seek answers to for the simple reasons of security, understanding and advancement. They want assurance the company where they put in at least forty hours a week is strong, secure and able to meet payroll. They want a place where they will receive raises and have the opportunity for a promotion and change in title.

People who ask these questions are not seeking to pry trade secrets out of the owner or use confidential information to set up a competitive business.

These questions should cause concern in a positive way. These questions reflect a lack of needed education and communication within the organization. And, if managers have questions of this nature, you can bet lower-level employees have the very same issues but are afraid to talk about them.

Super Jobs For You gives information on how to get a job and how to hire good people. If you are looking for a Die Casting Job look at this website. This Die Casting Blog will give you more information you can use for manufacturing.

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Tired of Looking For A Job?

During a focus group which was conducted for the book The Millionaire Mind, one of the participants took a long time to introduce himself to the other ten people around the room.

Dan’s first job was selling calculators and electronic watches with a corporation selling to large retailers. He took this job right after graduating from a top business school with a degree in marketing. He said, “I never seemed to get the knack of it …” and after two years he was asked to resign.

Dan’s second job was with a large producer of electronic games, and he departed after 18 months, still not getting his head around the concepts of selling.

His third job was with a start-up computer company but he left after nine months never having sold a single computer.

In his fourth post college job, Dan was hired by a small computer company. He told those in the focus group, “I didn’t sell much of their product either” and he quit after just a few months on the job.

The fifth position was with his third computer company. When he did not meet his sales quota, he was let go.

When Dan started work at his sixth position, his career gained some traction. This position was not in sales; it was in marketing. Unfortunately, the company ran out of money and went out of business, leaving him without a job.

Taking a seventh job, he went back into sales with another start-up computer company, making $45,000 a year until the final year, when he made $200,000. But when the market slowed, Dan’s company went out of business.

The eighth position was another sales job. But the company fired him because of low sales volume; he wasn’t selling enough.

Position nine after leaving college was with a company that produced scanners for cash registers. Dan told the group, “They let me go.”

During these dark days, Dan tried very hard to be successful. He told those in the focus group that “I would sit in my car and drive all around … I would get so depressed because I had all this drive and was really a hard worker … I was letting myself down and my parents down.”

In his tenth job after leaving college, Dan found a company that sought his abilities and aptitude. This was a sales job, requiring him to close deals, but also mandated that he do considerable market research, develop an understanding of each customer’s unique needs, prepare detailed proposals, and focus only on major accounts.

His previous employers preferred sales personnel who “knocked doors down” to gain immediate revenue. Dan was too creative, too analytical, too deliberate and too intelligent to give up his talents, skills and abilities for a “don’t think, just sell” situation. He was often teased by his fellow sales professionals as someone with many plans, yet few clients.

After five years of planning, thinking, strategizing and executing, Dan received a $35 million dollar contract from The Home Depot. He sold 6000 computers in a single order. His W-2 for that one account was a commission of $1,033,000.

One of the key findings from the research for The Millionaire Mind is that stress is a direct result of devoting a lot of effort to a task that is not in line with one’s abilities. It’s even more difficult, more demanding mentally and physically, to work in a vocation that’s unsuitable to your aptitude.

What can you take away from this fascinating story of failure and success? Dan knew that somewhere, if he could find the right combination of product and opportunity, he could do well.

So can you.

Super Job For You gives information on how to get a job and how to hire good people. If you are looking for Cast Parts Jobs look at this website. This Castings Blog will give you more information you can use for manufacturing.

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