Why small business owners should just say no to gurus

When you own a small business, people (clients, employees, accountants, relatives and neighbours) are quick to tell you what you can do better. Some of these ideas have merit but most of them don’t. This doesn’t mean that the people sharing them are not bright or capable; it simply means that they don’t have enough context or perspective on your situation to present viable solutions for your business. They are familiar with the part of the business that they touch, but they don’t know your monthly overhead, the reason you’re keeping that problematic employee, why you walked away from a lucrative client, or the major development you’re working on behind closed doors but can’t yet disclose.

Many of the advice-givers are not small business owners themselves, never have been and likely never will be. They don’t know what it’s like to walk away from relative job security to start something fresh. It’s inconceivable to them that for the first few years, you will not take home the same salary you made as an employee because all of your profits will be reinvested in the company. They can’t imagine the agony of staying awake all night the first time you have to fire an employee or how many hoops you had to jump through to keep paycheques flowing in a recession.

While their advice is unsolicited and maybe annoying, all of these would-be sages can be shrugged off. Their intentions are good and, even if they’re not, they’re harmless.

Less harmless are professional “business gurus”, highly paid experts who rake in a lot of money telling others how to succeed. Their bestselling books promise to take your business to new heights, teach you how to swim with piranhas and show you how to get rich working only a few hours a week. They also take their winning formulas on tour, keynoting conferences and adding their voice to business columns. For the most part, they are well-educated, intelligent, articulate and authoritative and have achieved success in their field. I’m just not sure that qualifies them to give advice to small business owners.

Take Jack Welch for example. He joined GE, already a huge corporation, when he was 25 and worked his way up the ranks till he retired at 65. He was Chairman and CEO for 20 years, during which time, the company’s value rose 4,000 per cent. His personal net worth is estimated at $720 million. He has written countless bestsellers on his management style and is an inspiration to many.

Obviously, he is accomplished.  I’m not disputing his abilities but I do wonder what a small business owner can learn from a person who spent his entire career at one company.  Is a corporate hero qualified to give advice to someone running a small ad agency in Toronto or a metal fabrication shop in Dallas?

Guru is a Sanskrit word meaning teacher or imparter of knowledge. In ancient times, a guru was someone who ‘dispelled the darkness of ignorance’. But what if you’re not ignorant? What if you know what’s best for you and your business? What if you can trust your instincts?

A familiar suggestion from the business gurus is to “get out of your comfort zone”. The underlying premise is that your complacency and resistance to change is holding back your business. This is sound advice for corporate dinosaurs clinging to their glory days but I think it’s flawed advice for small businesses. What’s wrong with your comfort zone? It gave you the courage to strike out on your own, guided you into the right business niche and helped you assemble a team that works well together. The one time I followed this advice and ignored my instincts, the results were disastrous.

I’m not saying that no one has useful advice or that you can’t benefit from discussing business problems with a mentor. I just think you'll learn more from a retired restaurant owner than from someone who rode a corporate wave to fame.

In closing I’ll leave you with this wonderful quote about social media gurus from Olivier Blanchard, chief economist at the International Monetary Fund and one of the most cited economists in the world: “A social media guru is a term used to assign imaginary expertise in a nascent communications field to an individual with little to no real world business experience”.

You're never too senior to carry boxes in PR

 Your first job promotion is a mixed blessing.  When you hear the news that you're moving up the ladder, you feel great.  You've proven yourself worthy of more responsibility, you have a more important-sounding title and hopefully, a pay increase. But the initial elation wears off when you realize that colleagues who were friends last week now report to you, HR has been added to your job description and you don't actually get to ditch all the things you disliked about your former role.  In fact, a promotion often means you will do your former job, as well as a new one.

In 20 years experiencing my own, often stumbling, movements through the management ranks and witnessing the behaviour of my own team members once they've been promoted, I've noticed one constant - delegation is not what it's cracked up to be.  In fact, it's much less fun than anyone ever imagines.

While a junior role requires you to draft a news release and submit it for review, your shiny new senior role has a lot more steps.  You have to receive the assignment from your manager, choose a team member to handle it, meet with them to discuss it, set expectations and deadlines, follow up if the deadline is looming and you haven't seen anything, review the draft, meet with the staff member to share your feedback and provide suggestions for improvement, set another deadline for the revised draft, and then go through the process all over again.  And when you do finally have a workable document, you must resist the urge to rewrite the whole thing and accept that just because it's not "the way you would do it" doesn't mean it isn't good quality.  

In a management role, even if you only have one direct report, this scenario repeats itself all day everyday and due to the frantic, often last-minute nature of public relations, many assignments don't have the luxury of time for training and mentorship so you do them yourself anyway and at events, you'll often find yourself carrying boxes, fetching water for speakers, tracking down A/V people and other tasks you thought you had left behind when you were promoted. No such luck.

When I finally became a vice president at a PR agency, I thought, "This is it.  I've arrived.  No more schlepping boxes for me."  Only, it didn't work out that way.  While there was certainly a delineation between my role, the most junior person in the office, and everyone in between, I still found myself carrying boxes of press kits, straightening signage, picking up lunch for demanding celebrity spokespersons and, on one occasion, doing a midnight Wal-Mart run because, after setting up for an early morning event, a client was unsatisfied with the particular shade of purple on the tablecloths. I could have delegated the task but I was the only person who owned a car, I lived closest to the store and my staff, who had been on their feet for 18 hours, were exhausted.  It was not the time for a power play.

When I kvetched about this to a mentor of mine who is president of a large global agency based in Atlanta, he said, "You have to realize that, in PR, no matter how high up the chain you are, you will never stop carrying boxes."  While I was immediately gratified to find out I wasn't alone, I was distressed to realize that if even he was admitting this, then it must be true.

He went on to explain that while everyone in an agency has a different role and each step involves the shedding of old duties and the responsibility for new ones, everyone on a team is responsible for the final product whether it's a perfectly executed communications plan, a spectacular launch event or successfully shepherding the organization through a crisis.  He also reminded me that event management is a big part of PR agency life and no matter how far ahead you plan and how many times you confirm the details, things will go wrong.  Speakers cancel, planes are delayed, product is stopped at the border, A/V systems malfunction, taxi drivers get lost, flowers wilt, employees get ill, there aren't enough coat hangers, client approval is late, and so on.  But the show must go on and at that point, it's all hands on deck to make it happen. While someone has to take charge and direct traffic, there's no reason that person can't also carry boxes, if that's what's required to make it happen.  

In his book, The 48 Laws of Power, which I recommend as a fascinating insight into how people operate, author Robert Greene suggests that to attain true power, you must "Keep Your Hands Clean" and avoid doing the dirty work.  He would suggest that, at a big business event, the true leader arrives at the last minute looking fresh and professional wearing a clean suit and carrying nothing.  This will set him or her apart from the "workers" who have only a few minutes to wipe the dust off their clothes, throw on their event shoes, slick on some lip gloss and squirt Visine into tired eyes before the lights go up.  

I'm sure Greene would disagree with my mentor's assertion that you'll always carry boxes in PR, at least in the sense of establishing your credibility as a powerful leader.  Others leadership gurus would say you need to roll up your sleeves to gain the support of your team. 

What do you think about carrying boxes?  Good or bad leadership strategy?

She'd be great, if only I could motivate her

If only I could have more autonomy...

When I ran a business, the realization that it was my job to motivate staff hit me like a ton of bricks.  I had just assumed that everyone was motivated by the same things and at first, took a fairly formulaic approach to motivation.  When this didn't work, a mentor suggested that you can't actually motivate another human but you can find out what motivates them and use that to your advantage.  So, how do you find out what motivates someone?  You can ask them outright but you won't always get an entirely truthful answer.  For example, some younger workers claim to be motivated only by meaningful opportunities but my negotiations with them usually revolved around higher salaries and fancier titles.

So, in my lifelong quest to understand how to bring out the best in people (myself included), I was excited to read DRIVE: The Surprising Truth About What Motivates Us, a New York Times bestseller from author Daniel Pink.  According to Pink, the old carrot and stick approach to motivating employees with external rewards like money is a relic of the 20th century that needs to be scrapped.  He asserts that the secret to high performance and satisfaction is the "deeply human need to direct our own lives, to learn and create new things and to do better by ourselves and our world" and to implement this, we need to let people experience autonomy, mastery and purpose at work.  Pink encourages modern workplaces to abandon motivation 2.0 (assume that if you give employees total autonomy they will shirk their duties) and embrace motivation 3.0 (assume that everyone is ready to work hard and do a good job in the right setting).

Pink asserts that people are happiest and most productive when they're in "flow", that magical time when we lose ourselves in our work, becoming deeply engaged in achieving our goals, challenging ourselves and learning new things.  I completely understand this concept and I have experienced it often but if I'm perfectly honest, I'm more inclined to experience "flow" when I'm reading a book on a beach or tending to my garden, in other words, things that are not attached to how I pay the bills.  Pink believes this Zen-like state is also achievable in an office setting and provides many ideas and examples of how to make it happen, including:  

Results Only Work Environment (ROWE) - Focus on results and nothing else, let people work whenever and wherever they want and don't waste time judging how people get the job done.  I love this idea and I can see it working with highly-disciplined individuals in certain environments. However, although Pink touches on autonomy versus accountability, he doesn't really offer any solutions for how to deal with employees who are allowed to work from home at midnight and still don't meet their deadlines.

Remove financial incentives and just pay everyone a healthy flat salary - Sounds good, but what's healthy? Is it the going rate in the industry or a few thousand more?  Is it what you think the employee deserves or what they believe they've earned? Pink argues that commissions, bonuses and even billable hours don't work and just force people to get creative when filling out forms and I can't say I disagree.  But human nature suggests that that there will always be people who think they're working harder or contributing more than their peers and who will expect external rewards, whether it's in the form of more money, extra vacation time or public recognition.

Let employees run free for a few hours - Informed by the reality that even the most creative person can get crushed under the weight of a deadline, Pink shares stories of companies which carve out time each month for employees to work on something completely unrelated to the business and not connected to compensation at all.  In this free time, liberated from client demands or management constraints, employees can really get their minds working and come up with their best work.  According to Pink, this is how Google News was conceived and scientists at one organization even won a Nobel Prize for Physics for something they developed in their non-work time. I can get behind this.  Many marketing types would say that the work they do for fun is much more creative than what they're "allowed" to do for clients. But when every single day is packed with new deadlines and fresh crises, how would a consulting firm find the time?

The book is well researched and Pink backs up his claims with reams of scientific data, study results and real-life examples although most of the workplaces he mentions are large tech companies and the scenarios don't always translate to an advertising agency or a retail outlet. I enjoyed the book, would recommend it, and I agree with Pink that the old models of motivation and reward are not working and are no longer applicable.  I would even say that this approach, or a form of it, is worth a try.

But I'm still skeptical about his belief that inside every seemingly lazy, disaffected worker is a hard-working Einstein just waiting to burst out if only the workplace culture is revolutionized.  It doesn't take into account the many personality traits and innate differences that shape humanity.  In my experience as an employer, wife, friend and mother, I know that some people genuinely want to do a good job at everything they touch and will respond to any kind of motivation.  Others can only excel if they're passionate about the subject matter.  Still others are purely transactional, will work for money, do no more than what's required and don't care what you think of them. Some thrive in a structured environment where they're monitored closely and there's little room for distraction and others can be trusted to work at home and not spend the day watching Tom and Jerry reruns.

What do you think?  Are you ready to embrace motivation 3.0?

Ten Surprising Things I Learned While Running My Own Business

For eight years, I co-owned a successful Toronto PR agency.  At its peak, we had 13 employees and a nice portfolio of global brands and local start-ups.  I’m a freelancer now but I often draw upon the lessons I learned at the helm of a “real” enterprise.  Some of them might be interesting for you if you’re running a small business or thinking about it:

1. The business is always with you - A small business is like a child.  It’s just as demanding and it needs you 24-7.  It makes you work on your days off and puts a damper on your vacations.  It wakes you up early and whispers to you when you’re sleeping.  It's unpredictable and just when you think you've got it figured out, it hits you with the office equivalent of teething pain. 

2. Rules are not a bad thing - When you start, it's tempting to eschew boring, restrictive things like time sheets, office hours and signed contracts but eventually you will need them and they are a lot harder to introduce later on.  Take the time to develop processes for your office, your employees and your clients.  You won't alwyas look at them when things are good but you'll rely on them when relationships sour.

3. When you are responsible for someone's livelihood, you make decisions you wouldn't make as an independent - We all know when a client isn't a good fit or when it's time to turn down another low-paying account.  And when it's just you, you can do that.  But when people are relying on you to pay the bills, you will sometimes compromise to keep the cash flowing.

4. Management theorists are not always right - There is no shortage of business gurus peddling their books, preaching about swimming with sharks and getting out of your comfort zone.  The thing is, most of them aren't actually running a small business and some have never even worked in a corporate setting.  Read the books, stay abreast of the trends but remember, the concepts are theoretical.

5. You can't lead without a map - When finding clients is your main focus, it's easy to forget about business goals that aren't related to sales.  While you don't need a sophisticated vision/mission statement, you do need a plan for the kind of company you want to create.  If you don't have a roadmap for growing your business, someone else will grow it for you, and not necessarily in the way you envision.

6. You can't do everything - This is one of the toughest lessons for business owners to learn, especially in a consulting business where human capital is the equity.  The only way to expand is to hire other people, train them, trust them and let them sink or swim.  Yes, mistakes will be made but if you micromanage, you will never get out of the office. Note: I'm not sure I ever perfected this.

7. You won't believe the paperwork - Until you are big enough to pay someone to take care of your non-core business, you will be a CEO, HR director, accountant, procurement officer and sales director and you'll be up to your ears in tax forms, leasing agreements, photocopier rentals, paycheques,  invoices, IT upgrades, and, sadly, termination papers. 

8. Never count your chickens before they hatch - Nothing is confirmed until everyone signs on the dotted line.  People will accept job offers and then change their minds.  Potential clients will ask you to spend hours on a proposal only to decide they're going to handle things in-house.  And people will tell you the cheque is in the mail when it's still on their desk.  Be conservative in your projections.

9. Things move much slower than you anticipate - Occasionally you'll get a new client who needs you to start immediately, but more often, the sales cycle is glacially slow and there can be a few months from a first meeting to winning the business to working on the account to seeing that first cheque.

And most importantly...

10. If it doesn't feel right, it probably isn't right - You will know within a couple of months if something isn't working whether it's a project, a new employee or a new office process.  But no one wants to admit they made a mistake so you hold on and hope that things will change.  They rarely do and you end up having a tough conversation two years later than you should have.  Follow your instincts.  They're what got you where you are. 

Ten Old-School Tips for Keeping a Job, Even in Hard Times

When I started my very first job more than 20 years ago, my father gave me one piece of advice – be the first one in the office in the morning and the last one to leave at night.  Although he had spent most of his life working in factories, he knew this to be true and in all of my jobs since then, including managing my own business, I’ve never gone wrong with this mantra.

In addition, here are ten more tips for impressing your bosses:

1. Listen more than you talk – You may know some stuff but you don’t know everything.  If you’re starting out in your career, you have a lot to learn from others who have been doing it longer.  If you don’t understand a particular decision or strategy, ask for the rationale so you can learn.

2. Don’t worry about your co-workers – Unless they are jeopardizing a project, don’t spend a lot of time complaining about your co-workers.  You may think you work harder than they do but you don’t know if they take work home at night or come in on the weekend.

3. Learn how to manage your time – Most offices open at a set time and everyone should be there by then with no excuses. If you find it hard to arrive at the office on time, you will miss out on opportunities and it is unlikely that you will be promoted.  Similarly, arrive at meetings on time and ready to contribute.

4. Don’t be afraid to ask for a raise – but be prepared to explain what you have done to deserve it in documented detail. 

5. Don’t forget where you came from – Promotions usually mean more work, not less.  Yes, you can now delegate tasks to more junior employees but you are still responsible for the final product.

6. Become an expert – although you should have a working knowledge of all the facets of your business, become the ‘go-to’ person on at least one thing.  Devote yourself to becoming the most knowledgeable person in the office in this area and you will always be in demand.

7. Get organized – Keep your office space neat and tidy.  If your boss asks you for something, she will not be impressed by watching you rifle through unruly stacks of paper.

8. Be informed – Read at least one source of news before you arrive at the office but preferably more.  You should never find out important news from a client.

9. You are not above anything – No matter what your qualifications, experience or intelligence, you are there to simplify the lives of your managers.  Perform every task with enthusiasm and impeccability.

10. Don’t be a troublemaker – Nothing is more toxic to a workplace than a person who is trying to stir up dissent.  If you are truly unhappy, take your case to your manager or find another environment that better suits your needs.