I'm a fan of Servant Leadership.  If you are not aware of the concept, check out this video of Colleen Barrett, CEO of Southwest Airlines or The Greenleaf Center for Servant Leadership to learn more.  The basic premise is that when company leadership serves their employees as their number 1 priority, the employees will be more engaged and motivated and better able to serve their customers and markets.  I love the concept because it assumes we are part of something greater than ourselves, that the whole is greater than the sum of its part when this care taking is the fabric of an organization.  This also feeds my (and others') spirtual and emotional self, in that by giving we become better beings. And there is an added bonus.  Companies that embrace a long term strategy of servant leadership are more profitable than their peers.  In turn "profits are the applause for the employees doing well."  It's a win-win for all.   

My analytical side loves to analyze the tangible implications of Servant Leadership. And that's where the term Triple Bottom Line (People Profits & Planet - or Triple P) comes in.  Triple Bottom Line management can be used to find the balance between People, Profits and Planet to create sustainable businesses that serve.  All companies have components of each element but without the right balance, one or more of the other factors may become skewed. 

Consider the 3 components as sides of a triangle, where sustainability is a board that balances at the tip of the triangle foundation  - too much emphasis on one or two will cause an imbalance - eventually resulting in a breakdown of the foundation.  Too much emphasis on profit, and employees and/or planet will suffer.  Too much emphasis on employees, and profits and/or planet will suffer.  You get the point.  Triple P allows for a measureable way to manage and grow a company based on the company and owner's unique value system with our real world business, social and environmental ecosystem.  

Want to learn more about People Profit & Planet, Triple Bottom Line?  I encourage you to join a group on linked in, or check out CNBC's series on the subject

 
When I was a student in college learning music theory & composition, one of the techniques our professors used was to teach us all the rules of composition & music theory before we could break them.  We would then better understand the full palette of musical techniques to combine.   One of the courses that was especially interesting to me was "Counterpoint & Fugue."  During this course we would be given part of a music line, around which we would build a short 4 -piece harmony.  We were specifically told to not play the tune we were writing, and would instead listen to it for the first time when we submitted it to our professor.  Following the basic rules gave great results,  and ignoring all the rules was a fast track to failure.  By following this technique we had another building block under our belts which formed the foundation for developing our own unique styles.

This technique applies to business - know the rules of business, the lessons learned through the efforts of others is tremendously beneficial.  But learning from the mistakes of others is also valuable - sometimes failures prove to be even greater lessons.  So for this post, I'd like to share two references around the topic of failure in business - How the Mighty Fall, by Jim Collins (author of the more famously referred to Good to Great), and The Seven Habits of Spectacularly Unsuccessful Executives (by Forbes.com contributor Eric Jackson)

Both articles provide wonderful examples of how not to run your company, and just like my old professor, Leonard Klein taught me - learn from the good & the bad, and along the way, you'll develop your own unique and winning style!

New Jersey Business owners - want to learn more about creating great companies?  Join us, along with other business owners January 16th at our annual Business Summit "Turbo Charge Your 2012." 

Small business has historically been one of the greatest enablers of community & societal growth.   When a company is small there is often a direct link between the personality of the CEO & the culture of the company.  Communicating the values of a company are told through a variety of mechanisms – from how an employee answers the phone, to how your salespeople represent you, to how you advertise and market your goods and services.

Things to think about:

• Through communication, leaders influence and transform.  Want to see how transformational your leadership style is?  Take the test.
• Marketing at its simplest is communication representing a message about your company.   Marrying the science of wants and needs to traditional marketing gives Neuromarketing.  To what extent do your dialogs make use of neuromarketing techniques? 
• Given the degree of talk about the good works companies do, is there a place for credentialing oneself as being a responsible company, or  is this Neuromarketing at its worst? Read about B-Corp Companies.

What do your communications say about you?

We're happy to present you with the seventh installment in our Next Level Leadership Series, where we speak with TAB members about the challenges small business owners face in today's world. Through this series of interviews, we discover how various small business owners have risen above and beyond to become our Next Level Leaders.

This week we present Rich Rossiello Sr., founder and owner of The Perfect Shift in Henryville, PA. For the Rossiellos, home is truly where the heart (of the business) is: the business began in the family's garage back in 1990, before growing to a separate shop that sells transmission parts, torque converters, overhaul kits and much more, both storefront and online. Rich Jr. would come home and help out at the shop after school, and more than 20 years later, continues his passion for the family business, working side by side with his father at The Perfect Shift.

When was The Perfect Shift founded? Did you start the business, or was it someone in your family?

1990. It was me that started it. I actually started it out of my garage, started buying torque converters from other manufacturers, and eventually we bought the equipment and started manufacturing our own.

Who in your family is involved at the shop? How long have they been part of your work team?

We’re a family business. My son works here, [laughs] since about 1990 also. He would work after school. He’s been with me the whole time.

What roles does he play?

My son [Rich Jr.] answers the telephones. People get us confused [on the phone]; they say we sound alike. We basically do everything. He works in the back with the guys, welds, and works in the rebuilding process. He’s hands-on with most of the things in the back.

What is one of the biggest challenges that you face when your family is working with you in your business?

Because you’re with each other all day, you tend to have less time together for family functions.

And he’s a good kid. If I need work done around the house, he’ll always help.

What are some of [is one] of the greatest benefits?

Just the fact that [Rich Jr. is] so hands-on, and so conscientious. When the phone rings, people want to talk to him because he’s so knowledgeable, so involved in the business. His concern is in the business: he’s always looking for something to improve, to make better.

Will you keep the business in the family when you retire?

I’m hoping that he takes it over, when the time comes. Right now, it seems that way but you never know what’s going to happen.

Does work come up at the kitchen table?

In some degree, it does come up. We do try to leave it out. I have a brother who is also in the automotive business, so in some way or another we wind up talking about cars.

What is your favorite part of being a member of The Alternative Board?

I like getting with other owners and discussing the problems together. Even though we may not be in the same field, we can still get ideas for our different problems.

As the Northeast continues its struggles in keeping our heads and hearts above water, inspiration comes from an unlikely place: the Horn of Africa, where countries are also faced with disastrous weather crises. In this case, the worst drought in 60 years has racked Somalia, Ethiopia and Kenya – and others beyond – with severe famine.

In times when it seems we cannot see beyond the mud and the dust, there come gifts that lend rays of hope. Today we salute a young leader named Andrew Adansi Bonnah, an 11-year-old boy from Ghana, who has pledged to raise money for his fellow Africans affected by the famine.

Andrew began his campaign, Save Somali Children from Hunger, in the beginning of August. He has pledged to spend his summer school break raising funds to help alleviate the rising numbers of people hurt by hunger. After setting up a special bank account for donations at the headquarters of Ecobank Ghana in Accra, young Andrew has appeared as a guest on TV shows, radio programs, and even addressed representatives of the African Union, United Nations and other donor partners.

Andrew’s energetic determination is important, so important, in the specific: in generating money to buy food desperately needed by struggling victims, in African youth committed to a better future for everyone on the continent, in understanding the factors crucial to a healthy long-term development as well as those to a short-term solution.

For those of us so far removed (if not in heart, than by physical distance), Andrew Adansi Bonnah is an inspirational leader in the general. There are lessons to be learned in working within our community, no matter how small or large we consider our community to be. To be learned in implementing not only quick fixes for our causes, but developing strategic long-term plans by understanding the many layered facets. To be learned in that hope, not matter what our world may throw us – no matter how much rain, or how little – will rise and make the sun shine.

Welcome to the sixth installment of our Next Level Leadership series! Here, we interview TAB members about issues facing industry leaders in today's business world. The members with whom we speak have risen to various challenges, proving themselves to be true Next Level Leaders.

Today we share our interview with Chuck Roberts, President and CEO of Ames, a leading supplier of elastomeric design solutions to international, high-tech customers who require molded components, protective coatings and dispensed gaskets that meet high-quality standards. After taking over as President/CEO in 2004, Chuck has helped implement team building strategies to develop a stronger culture of workers dedicated to common goals. Since its inception in 1949, Ames has committed itself to the importance of teaming, from leadership to language: employees have been called "Teammates" since 1986, and as Chuck says, "We always consider ourselves 'the Ames family'."

When was Ames founded? When did you take over as President/CEO?

Ames was founded in 1949.

I’ve been with Ames since 1976, so I have more than 35 years with the company holding positions in areas of the company over that time.  I became President and CEO in July 2004.

Did you have any prior training in team building?

Yes.  Ames has approximately 200 employees.  We always consider ourselves “the Ames family”.  We’ve considered ourselves a team since 1949.

In 1986 we entered into a new era of Quality at Ames, beginning our Total Quality journey.  In preparing for this journey we delivered much more training to the Ames Team.  Part of the training was focused on team building.

While we did a lot of teaming prior to embarking on our Total Quality journey, the Total Quality Process forced us to look at the need for more and deeper training.  We needed to help our Teammates learn how to be better team members and Teammates by showing them how to interact in a team setting, helping them improve their inter-personal skills. [For example], how to ask good questions, or if a team member is dominating a meeting how to shut that Teammate down. On the flip side of that coin, if a teammate is quiet and not contributing, how to draw them into the meeting by asking them questions.

How did you come to develop your style of coaching and motivating employees?

All of us who are part of the teaming process go through the same training and for those of us who were more involved in the training process, we became good at the techniques and become good at facilitation.  You learn those teaming skills through practice and facilitation.

Coaching and mentoring are different from teaming, but are core to building a team at any level. The more coaching I do with my direct reports, the better they understand the company vision and mission and what is required of them.  They in turn are better prepared meet with and coach and mentor their subordinates, build continuity of our vision and mission throughout the company.

At Ames, you use the term “teammates” instead of “coworkers”, “associates”, or “employees”. Why is that?

Common today are the words “associates” or “partners” when referring to a company’s employees.

We adopted the use of Teammates in 1986.  Our president at that time was a graduate of Northwestern [University], and played football for them.  He understood the importance of teams and working together for a common goal.  He wasn’t comfortable with employee or associate that were in common use at that time.  He really felt we were a family and with his likening what we do to that of a football team, he believed we were truly Teammates and that has stuck for 25 years.

We have been and are the Ames family and as I see it the Ames Team and Teammates fits very nicely together with the unity of the Ames family.  When I’m communicating with the team, I always refer to them as the Ames Team, or Teammates.  It’s an important part of the past, present and future language and culture.

The “Teammate Pledge Card”

Each year we give all Ames Teammate an Ames Pledge Card.  The Pledge Card contains key pieces of information about the company such as our Vision, Mission, and Quality Policy.  Teammates can use the information used on the card to assist in answering questions during an audit or in referring to goals and objectives. 

The card also contains a Teammate Pledge which begins:  “As an Ames Teammate I recognize that I am committed to the Vision, Mission, and Goals and Objectives of the company, I share in and constantly practice the company’s values, I strive for customer satisfaction in everything I do, I have a stake in the company success, I believe the company’s success is my success. …”

At the end of each year, I go around and ask all Teammates to sign the Pledge Card which I sign also.  The Pledge Cards are collected and entered into a drawing where the winners (15 or so Teammates) receive a $100 gift card.

Ames follows Lean Manufacturing and Six Sigma practices – does this affect your approach to Teammate motivation and/or team building?

We are reinventing Ames and in support of the new Ames creating a new culture based on execution, urgency, and accountability, the elements that will be key to our  future success in this ever-changing international business environment..

To create a new culture we need to better educate and engage our entire Team.  Today, our training has some elements of Lean and Six Sigma.  However, what is included today in these areas and others is not sufficient and why we are actively revising all our training materials.

Does Ames recognize it Teammates for their contribution to the company’s success?

Yes, we offer both individual and team awards.  These awards range from a simple written acknowledge of a Teammates effort - an “attaboy” to various levels of financial reward.

What do you like most about being a member of The Alternative Board and/or personal coaching?

It’s the input, the thoughts and perspectives of fellow TAB members, of how they see my business.  Sometime I’m too deep in the trees, not able to see the forest, and my fellow TAB members quickly see that and are able to offer an outside perspective, helping me regain the right level of focus and making all the difference.

I am a big fan of reading and education.  I enjoy reading books and then passing the education onto my Teammates and fellow TAB members.  Helping and receiving help from fellow TAB members is very rewarding and reinforces the concept of peer groups.

We're happy to bring you the fifth interview in our Next Level Leadership Series, where we speak with industry leaders about different issues small businesses face. Here, we explore the ways various TAB members have risen to challenges to prove themselves as Next Level Leaders.

This week we present Ron Fischer, President of Redemption Processing Representatives, Inc. RPR uses its extensive knowledge of the coupon industry to enhance the effectiveness of the coupon process for its clients, providing manufacturing, retailer and consulting services. Ron generously shared his story, from how he came to serve such a niche market to how RPR has weathered changes and challenges over the last 17 years.

When was RPR (Redemption Processing Representatives, Inc.) founded?

June 1994.

Did you set out with a clear definition of what your market would be?

Well, I came from a manufacturing background, working for Unilever. [Unilever] went through a reorganization. . . While I had a new management position, I really enjoyed managing the coupon operations, and I thought, “I could do this myself.” I was saving them millions of dollars.

When I walked away, I had a few things in my pocket. A few of my colleagues knew I was leaving. But I had never been an entrepreneur before. I was 48 when I walked away.

I rolled with the punches – I knew I could do this in the industry, and carved out the business as I went along.

You provide manufacturer, retailer and consulting services. Did you begin serving all of these markets, or did you begin with just one?

I started with the manufacturers. One of the things I was very successful with at Unilever was coupon deduction. (Large retailers will deduct non payment back from  the retailer invoice). So I introduced that Coupon Deduction Mangagement services. My plan was to build my clientele, then sell the business to a collection company.

One of the major manufacturer vendors didn’t like my approach and I got black balled. They revised their third party agreement which would not allow me compete with the industry.

I started this service with Ocean Spray in 1996. They left in 2000 to try another vendor and came back to RPR in 2004. We picked up Kimberley Clark in 2000 and worked with them for seven years. Once Kimberley Clark changed management, we lost the agreement.

Then we started in consulting primarily to introduce electronic processing. In 1999 I started with Cunningham Electronics which ended in early 2001. In 2002 with a start up company that didn’t make it, then in 2004 with First Data Corp. The coupon industry is regulated by voluntary recommended guidelines. Long-standing vendors would lose business if electronic processing were put in place. While the First Data test successful and approved by several major CPG companies, they were not able to introduce it as a revenue producing department. In 2006, we got into the retail industry by provide coupon processing.

Where does RPR focus the majority of its services?

Majority is in the retailers. We have thousands of retailers, from Mom and Pop places to chains with up to 300 stores. Sometimes a chain will submit under the corporate chain, sometimes under the store.

I was very proud to set up a very ethical process. [We’re] not trying to milk the industry, not passing any  fees back to retailers. Just be straightforward. [We’re] trying to grow, to be successful, but it’s a very small revenue stream we work off of.

How have you developed your clientele in this rather niche market? (Networking, advertising, marketing, etc.)

I guess it’s mostly through networking. We belong to state associations. Three states recommend their retailers use our program. We work nation-wide.

I do selling. [Some of our business] is based on the Web site. It’s been slow growth. We’re working on bringing in larger retailers.

Anything else special you would like to share on working in a niche market?

Because I started when I was so young [laughs], when I worked with Unilever, the manufacturers really controlled the industry.

I’m a sole survivor, I really have extensive knowledge of the industry. I was an expert witness in a lawsuit case. I really enjoy what I do; really enjoy the process. I’d like to shake up the industry. I think the industry really needs some rules and regulations. I’m Chairman of the Guidelines Committee [of the Association of Coupon Professionals].

I was a dyslexic child, went to five high schools in four years, and learned to overcome failure. I have good common sense. I enjoy what I do; it’s so important – you spend so much of your time at work. I have a small, nice group of people working for me. We’re trying to improve the mousetrap so that everybody is successful.

What do you like most about The Alternative Board and/or personal coaching you get?

They’re a great way to get some guidance. Sometimes there are things that you should be doing, but you forget to do them.

[I like] the overall structure: sharing your ideas with others, getting guidance from non-competitors. I get overwhelmed with personal life and business . . . [TAB is] a good way to set goals, move along and carve out areas you’d like to work on.

Welcome to the fourth installment of our Next Level Leadership Series, wherein we speak with TAB members about the challenges each small business owner faces in the contemporary business world. Through this series of interviews, we find how business owners have risen above and beyond to become Next Level Leaders.

This week we spoke with Will Truex, manager of Marketing, Advertising and Sales at Budget Home and Office Cleaning. Will kindly shared his experiences with social media work: from introducing Budget Home and Office Cleaning to outlets like LinkedIn and Flickr to running promotional campaigns on Twitter.

When was Budget Home and Office Cleaning founded?

We were founded in 1995. [My parents] started it, just the two of them, and then it exploded from there.

When did you start delving into social media? (I.e., how long have you been participating in social media?)

We weren’t doing anything with social media [before I took over the role]. We were doing a Facebook page that was basically a graveyard, wasn’t updated at all.

I started social media work when I started [full-time] with the company, last August. Social media was my only role, and as I advanced in the company and learned more from day to day, I got more responsibilities.

I started a Twitter account, looking into Google.

What social media outlets does Budget Home and Office Cleaning participate in? (E.g., Facebook, Twitter, LinkedIn, blog, etc.)

Presently we have two Twitter accounts (residential and commercial); LinkedIn (my personal account); a Facebook fan page; a YouTube account; a Flickr account; and we have a blog (Google blogger).

I noticed you have Twitter updates on the Budget Home and Office Cleaning blog. How does that work?

By experimenting with blog layouts, I could incorporate Twitter feed, and the blog updates itself whenever I do a tweet. [The blog is updated] almost every single day.

How has Budget Home and Office Cleaning founds its voice online? That is, do you have corporate guidelines to follow while participating in social media, or do you trust your personal judgment?

Typically with Twitter accounts, if there’s an issue I am personally one way about, I do not include that in Budget Residential and Office account. I do my tweets impartially. If there’s an issue I care about, I generate a general statement but I won’t go either way. I’ll try and give both sides of the issue.

Never use profanity. I try to lighten the heavy subjects, et cetera.

Have you run any special promotions or marketing campaigns through social media?

I did run a contest that we ran on Twitter. I got the idea from another business. I would provide a code on Twitter at random time of the day. A customer could come across the code and get a discount off cleaning. I did [that promotion] early on in our social media campaign.

From 9 am to 2 pm, I like to schedule Tweets every hour. I use a platform where I can send it to multiple accounts (HootSuite). I do an article, and then an advertisement. I constantly give news and advertisements. Advertisements are usually links towards directly ways you can save money: coupons, et cetera.

I’ve gotten a good response. People find you on Twitter. I do a lot on green cleaning tips. One site, paper.li, featured one of my coupons.

Do you consider the promotions successful? How do you gauge success in social media?

Specifically with HootSuite, I can monitor who is looking at what. HootSuite has Google Analytics with Twitter. [There’s a] click summary – it gives you a report: who’s clicking what, in what region, what’s popular. Recently, we got a lot of clicks directly on Facebook and Twitter.

The way I gauge Twitter and other social media is traffic to our website, via Google Analytics. I also look at mentions, like mentions on Twitter. There’s a group of people, you develop relationships with people with similar interests. [There are] retweets on all the feeds I follow, that I find pertinent. You may not see a huge return, or lots of referrals, but the more people talk about you, the more you get known, the more it helps. You become so ubiquitous, you can’t be ignored – but you’re not in everyone’s face.

We were trying other methods – cold calls, door knockers, mass emails – none of them work like they used to. People want to see what a company has to offer on their own time.

[Our marketing] is all online and word of mouth. It works really, really well. The only cost is time. You need the time to update. If you don’t update, no one cares and your name disintegrates.

Businesses often cite social media outlets like Facebook and Twitter as a great place to hear, and respond timely to, customer complaints. Has participating in social media enabled you to engage more with customers? If so, how?

We’re very small, so it doesn’t happen very often. Typically it’s direct responses via email.

Our demographic is a different generation. Occasionally you’ll get a younger person [who is] more tech savvy.

Any interesting social media stories you can share with us?

When I started doing [our social media work], I got a little gun shy. I had correspondence with one woman who thought I was a spammer. I used to search for cleaning questions on Twitter, and I’d answer them. I wasn’t trying to sell anything, just offer advice.

One woman didn’t know who I was and thought I was trying to spam her. I told her I wasn’t trying to spam her, just help. If you don’t like free help, I don’t know what to do for you.

One time I made a mistake in giving advice. The person told me, I admitted my mistake, and told the truth. Once you put it out there, it’s out there – it will be there till we’re all dead. So you have to be careful what you say.

What do you like most about The Alternative Board and/or personal coaching you get?

TAB – my favorite part with Marcy and TAB is that I get unbiased input and different angles to approaching problems. I have different people from different professions, who think differently, who offer advice and hold you accountable. There’s accountability.

TAB is like a huge ocean where you can pull all these resources. It makes me be more experienced without having to go through all the years of experience. I get both real life experiences on my part, and I can learn from other people’s triumphs and struggles. TAB makes you wise beyond your years.

After a short break last week, we're happy to bring you our third installment of our Next Level Leadership Series. Through interviews with business owners who are also members of The Alternative Board, we explore challenges each small business must face -- and how owners have risen above and beyond to prove themselves as Next Level Leaders.

This week we present Paula Lavorgna, owner of Newton Screen Printing. Paula generously shared her time to explain how Newton Screen Printing has provided alternative benefits, like flexible scheduling and special discounts, to help create a rewarding work environment for its employees. As Paula says, "The bottom line is if we find good people we try to make it easy for them to stay with us. I think happy people work best for everyone."

When was Newton Screen Printing founded? How many employees do you have?

In 1979. my dad and brother were working together [in the screen printing business]. My sister was in nursing school, and needed sweatshirts for the hospital where she was working. I was teaching at the time, but I wasn’t sure if I wanted to stay in teaching. I decided to try selling the products.

I got some stock options in [Newton Screen Printing], and 33 years later I’m still with the company.

We have about 10 employees. We have three [full-time] outside salespeople in addition to myself, two customer service people and the balance is “back office support”.

Do you provide traditional benefits: health, 401k, stock options?

We provide a 401k matching plan, which is dependent on profits. We also provide limited health care coverage, with a cap on coverage on a monthly basis. [For more than the basic coverage], our employees can elect to pay the difference. [For example], if someone wants to include their family, they cover the difference. If you opt out, you receive a small monthly payment. Most people get coverage through their spouses.

What are some of the alternative benefits you offer your employees? How long have you been offering them?

Everyone here is on flextime. We try to accommodate everyone’s schedules. One employee has a husband who works the overnight shift; she comes in early. We had a student employee who worked part-time while in school; now [she’s] full-time.  We had to cut back hours late in 2008 and three people chose to work four days per week instead of five short days.  Whenever an employee has had a family issue we have adjusted schedules and hours to accommodate their need.

If we find good people, we try to be flexible around their schedules. As a small company, we can’t afford to pay people what we would like but we can offer flex scheduling as an alternative benefit.

We offer another alternative benefit twice a year: Some of our suppliers offer deep discounts on new products so we offer a dollar amount to our employees so that everyone can go through the catalog to purchase clothing at our expense.

People can also buy whatever they want throughout the year [from the catalog], buying items at only 10 percent over cost. [For example], a woman got koozies for her husband’s birthday party. It’s a benefit to be used for immediate family members.

How have the responses been to your untraditional employee benefits?

I think that young people are very much motivated by money. There is justifiably less loyalty to any corporation, because they have seen their parents be unfairly treated.  People still want to be appreciated – and Newton Screen Printing tries to say thank you [to our employees] regularly.

We had to cut holiday pay over the past couple of years, and now we’re trying to incorporate paid holidays back. When times got tough, we wanted to keep everyone here – and we did.

Most everyone works 35 hours a week. In the summer, our office closes early on Friday. After October 2008, everyone worked 28 hours a week. We had to reduce wages by 20 percent, and we cut benefits and holidays. Employees could apply for unemployment [to make up for the difference in earnings]. Everyone kept a positive attitude.

Since then, we’ve brought wages back up, brought back a week’s vacation and paid holidays. We’re almost back to where we were before the recession.

In Sussex County, people have an old-fashioned loyalty to local companies which is refreshing.

What is your favorite aspect of being a member of The Alternative Board?

The people. I have really come to enjoy the company of, and respect the feedback of, all of the people on our board. One of the things that keeps me on the board is the people. I personally really like them.