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Friday, September 26, 2014

The Bad Habits You Learn in School




It can be tough to help new college graduates adjust to the real world. Joey, a 22-year-old, Ivy League graduate who joined one of my consulting teams, was a great example. He was bright, hardworking, and motivated. But he had bad habits that were hard to break. Joey would become so focused on the perfect answer to a problem, he wouldn’t consider implementation. He feared failure so much that he would hide his mistakes until they grew worse. He was only interested in getting his own work right — rarely helping the rest of the team proactively. And he saw the world in terms of hierarchy: I was his “boss,” and no one else’s opinion really mattered.
Joey isn’t real — more of a composite of many young people I’ve worked with. But his flaws are undeniable. The traits above are ones I’ve seen time and again out of many recent graduates ill-prepared to handle true leadership in an organization.
There is an ongoing debate about whether leadership can be taught, and whether business schools,in particular, are teaching it. There are fair arguments on both sides, but I would broaden the discussion. Our entire education system, from elementary school to graduate school, is poorly constructed to teach young people leadership. Schools do many things well, but they often cultivate habits that can be detrimental to future leaders. Given that most of us spend 13-20 years in educational institutions, those habits can be hard to break.
Consider first the emphasis schools have on authority. Schools are hierarchical: The teacher is the authority in the classroom. Principals or deans preside over teachers and professors. Seniors “rank” higher than juniors, and so on. In our years in the educational system, many of us become obsessed with hierarchy. We think we’re leaders if we’re the “boss,” and if we’re not the boss, we should simply do as we’re told. In reality, even the most senior people in organizations can’t rely solely on hierarchy, particularly given the much needed talents, experiences, and intelligence of the others who surround them. Leadership is an activity, not a position, a distinction explored deeply by Ron Heifetz in Leadership Without Easy Answers. Many great leaders like Gandhi and Nelson Mandela have led others, despite having little to no formal authority, and writers are now exploring methods for leading without formal authority. While some hierarchy may be needed, leaders who learn to lean too hard on formal authority often find themselves and their organizations frustrated, stunted, and stagnant.
Schools also teach us to deal with information as if it is certain and unchanging, when there’s rarely a stable “right answer.” In my first job, I was constantly frustrated by the lack of guidance I received. If you gave me a textbook, I could learn almost anything. But in the workplace, there were no textbooks. Real world problems are complex. They evolve. They’re organizational and analytical. And success is often driven as much (or more) by successful and rapid implementation as by developing the “correct” approach. Understanding that there’s rarely one right answer can make a person more adaptive, agile, and open to the thoughts of their peers. But that understanding is rarely cultivated through textbooks and multiple choice tests.
Given this dependency on the “right” answer, we’re also ingrained to have a misconception about making mistakes. Students most fear the dreaded “F,” but for most leaders, failure is an essential precursor to success. Steve Jobs found that being fired from Apple in the 1980s freed him to be more imaginative. He once said,
I didn’t see it then, but it turned out that getting fired from Apple was the best thing that could have ever happened to me. The heaviness of being successful was replaced by the lightness of being a beginner again, less sure about everything. It freed me to enter into one of the most creative periods of my life.
Critically, these failures teach us to reflect and to ask questions — of ourselves and of others — so that we can learn and grow (one of life’s worst failures can be wasting a failure). And failure itself indicates that we are taking on challenging tasks and stretching the limits of our current capabilities.
Finally, while many schools tell us to serve others, they are rarely structured to actively show us that leadership is serving others. In most educational environments, our primary goal is to serve ourselves — to improve our individual grades, to compete for individual positions, and to maximize our own employment, college, or grad school placements. But as Bill George once said in a panel discussion on next generation leadership, “We are not heroes of our own journey.” People follow leaders who care for them, who share their vision, and who are dedicated to serving a cause greater than one’s self.
A lot of people are raising questions about the way business schools and corporations teach leadership, but we need to dramatically broaden the scope of that question. In a world that’s growing ever flatter and more complex, we need societies full of capable leaders. But the only way to raise those leaders properly is to structure our educational system — from elementary school through graduate school — to train them.
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More on: EducationLeadership
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John Coleman is a coauthor of the book, Passion & Purpose: Stories from the Best and Brightest Young Business Leaders. Follow him on Twitter at @johnwcoleman.

The Wall Street Book Everyone Should Read




In 1997, though, such arguments were pretty close to unheard of. Which is what makes Doug Henwood’s book Wall Street, published that year, such an amazing document. Along with explaining in clear if caustic terms how financial markets work, the book prefigures almost every criticism of the financial system that’s been levied since the crisis of 2008. An overleveraged housing market?Check. A link between financial sector growth and income inequality? Check. A natural tendency toward instability in financial markets? Check.
I don’t want to paint Henwood, who edits a newsletter called the Left Business Observer, hosts aweekly radio show, and knows more about economic indicators than anyone has a right to, as some kind of Nostradamus. In Wall Street he doesn’t so much make predictions as expose, in his crotchety, almost absurdly erudite way, the inconsistencies and contradictions in conventional views of how the financial world is supposed to work.
I’ve just read the book from cover-to-cover for the first time, prompted by Henwood’s complaint that the article Jay Lorsch and I wrote for the July/August HBR, “What Good Are Shareholders?,” bears an “uncanny resemblance” to his work. I had read about half of Wall Street five or six years ago as research for a book, and hadn’t looked at it since. Jay has never read it. So I thought it was pretty unlikely that we had directly pilfered from it, but figured I ought to read the book to be sure.
The most important things I learned from this exercise were that
1) I wish I had read Wall Street from cover to cover years ago. It’s brilliant.
2) I wish I had remembered the book and consulted it while working on the article with Lorsch, because that would have made the article better.
I also started thinking that, with a little updating, Wall Street would make for a great introductory finance textbook. It covers all the basic concepts with wonderful clarity, then adds layers of observation and critical thinking usually absent from textbooks. Yeah, all those quotes from Marx might scare some people away. But the fact that Henwood approaches his topic from a distinct perspective shouldn’t keep anyone, whatever their political bent, from appreciating and learning from his work. Any account of how the financial system or the economy works is going to be informed by some sort of ideology; it’s to Henwood’s credit that he acknowledges his own leanings and — for the most part — takes others’ arguments seriously even as he attempts to tear them apart.
As for the “uncanny resemblance” between the article Lorsch and I wrote and Henwood’s book, you can go read Wall Street (it’s out of print, but you can still buy it on Amazon or download it directly from Henwood) and decide for yourself. I think it was probably from Henwood that I first learned that shareholders, on aggregate, take much more money out of U.S. corporations (in dividends and buybacks) than they put in, a point Lorsch and I make in the article using recent statistics from the Federal Reserve. Beyond that our article builds on a plethora of recent writing on markets and corporate governance by professors and policy makers, and uses a terminology and framework that’s quite different from Henwood’s. Its recommendations are also different: Henwood wants corporations to be handed over to their workers; Lorsch and I bank mainly on shifting the balance of power from short-term shareholders to long-termers. But it is undeniable that Henwood was asking, 15 years before we did, what shareholders were good for — and came up with an answer that was at least directionally similar to ours. He deserves credit for that — and for a lot of other prescient things he wrote in Wall Street.
There’s a saying in investing that “being early is the same as being wrong.” It’s not quite like that in intellectual endeavors, but Henwood clearly hasn’t gotten his due. That’s partly because he was early, partly because he operates in an ill-defined border zone between journalism and academia, partly because, well, he’s a crotchety leftist. But he was describing a lot of important problems with the workings of our capitalist system at a time when practically everyone else was proclaiming the brilliance of the shareholder-dominated Wall Street way. We should have been listening to him then, and we should be rereading him (or reading him for the first time) now.
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More on: BoardsEconomyFinance
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Justin Fox is Executive Editor, New York, of the Harvard Business Review Group and author of The Myth of the Rational Market. Follow him on Twitter @foxjust.

The Disciplined Pursuit of Less


Why don’t successful people and organizations automatically become very successful? One important explanation is due to what I call “the clarity paradox,” which can be summed up in four predictable phases:
Phase 1: When we really have clarity of purpose, it leads to success.
Phase 2: When we have success, it leads to more options and opportunities.
Phase 3: When we have increased options and opportunities, it leads to diffused efforts.
Phase 4: Diffused efforts undermine the very clarity that led to our success in the first place.
Curiously, and overstating the point in order to make it, success is a catalyst for failure.
We can see this in companies that were once darlings of Wall Street, but later collapsed. In his bookHow the Mighty Fall, Jim Collins explored this phenomenon and found that one of the key reasons for these failures was that companies fell into “the undisciplined pursuit of more.” It is true for companies and it is true for careers.
Here’s a more personal example: For years, Enric Sala was a professor at the prestigious Scripps Institution of Oceanography in La Jolla, California. But he couldn’t kick the feeling that the career path he was on was just a close counterfeit for the path he should really be on. So, he left academia and went to work for National Geographic. With that success came new and intriguing opportunities in Washington D.C. that again left him feeling he was close to the right career path, but not quite there yet. His success had distracted him. After a couple of years, he changed gears again in order to be what he really wanted: an explorer-in-residence with National Geographic, spending a significant portion of his time diving in the most remote locations, using his strengths in science and communications to influence policy on a global scale. (Watch Enric Sala speak about his important work at TED). The price of his dream job was saying no to the many good, parallel paths he encountered.
What can we do to avoid the clarity paradox and continue our upward momentum? Here are three suggestions:
First, use more extreme criteria. Think of what happens to our closets when we use the broad criteria: “Is there a chance that I will wear this someday in the future?” The closet becomes cluttered with clothes we rarely wear. If we ask, “Do I absolutely love this?” then we will be able to eliminate the clutter and have space for something better. We can do the same with our career choices.
By applying tougher criteria we can tap into our brain’s sophisticated search engine. If we search for “a good opportunity,” then we will find scores of pages for us to think about and work through. Instead, we can conduct an advanced search and ask three questions: “What am I deeply passionate about?” and “What taps my talent?” and “What meets a significant need in the world?” Naturally there won’t be as many pages to view, but that is the point of the exercise. We aren’t looking for a plethora of good things to do. We are looking for our absolute highest point of contribution.
Enric is one of those relatively rare examples of someone who is doing work that he loves, that taps his talent, and that serves an important need in the world. His main objective is to help create the equivalent of National Parks to protect the last pristine places in the ocean — a significant contribution.
Second, ask “What is essential?” and eliminate the rest. Everything changes when we give ourselves permission to eliminate the nonessentials. At once, we have the key to unlock the next level of our lives. Get started by:
  • Conducting a life audit. All human systems tilt towards messiness. In the same way that our desks get cluttered without us ever trying to make them cluttered, so our lives get cluttered as well-intended ideas from the past pile up. Most of these efforts didn’t come with an expiration date. Once adopted, they live on in perpetuity. Figure out which ideas from the past are important and pursue those. Throw out the rest.
  • Eliminating an old activity before you add a new one. This simple rule ensures that you don’t add an activity that is less valuable than something you are already doing.
Third, beware of the endowment effect. Also known as the divestiture aversion, the endowment effect refers to our tendency to value an item more once we own it. One particularly interesting study was conducted by Kahneman, Knetsch and Thaler (published here) where consumption objects (e.g. coffee mugs) were randomly given to half the subjects in an experiment, while the other half were given pens of equal value. According to traditional economic theory (the Coase Theorem), about half of the people with mugs and half of the people with pens will trade. But they found that significantly fewer than this actually traded. The mere fact of ownership made them less willing to part with their own objects. As a simple illustration in your own life, think of how a book on your shelf that you haven’t used in years seems to increase in value the moment you think about giving it away.
Tom Stafford describes a cure for this that we can apply to career clarity: Instead of asking, “How much do I value this item?” we should ask “If I did not own this item, how much would I pay to obtain it?” And the same goes for career opportunities. We shouldn’t ask, “How much do I value this opportunity?” but “If I did not have this opportunity, how much would I be willing to sacrifice in order to obtain it?”
If success is a catalyst for failure because it leads to the “undisciplined pursuit of more,” then one simple antidote is the disciplined pursuit of less. Not just haphazardly saying no, but purposefully, deliberately, and strategically eliminating the nonessentials. Not just once a year as part of a planning meeting, but constantly reducing, focusing and simplifying. Not just getting rid of the obvious time wasters, but being willing to cut out really terrific opportunities as well. Few appear to have the courage to live this principle, which may be why it differentiates successful people and organizations from the very successful ones.
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Greg McKeown is the author of the New York Times bestseller Essentialism: The Disciplined Pursuit of Less. He speaks at conferences and companies including Apple, Google and LinkedIn. He is a Young Global Leader for the World Economic Forum and did his graduate work at Stanford. Connect with him @GregoryMcKeown.

When Failure is a Good Option


You may remember the line uttered by Ed Harris in the movie Apollo 13: “We’ve never lost an American in space and we’re sure as hell not gonna lose one on my watch! Failure is not an option.”
Many managers use this same expression with their teams, and in most cases it’s appropriate. Organizations are in business to win — to serve customers better than the competition. And, of course, none of us wants to fail.
However, there are some occasions where failure is not only appropriate but absolutely necessary, most times to generate learning and improvement. It’s important to recognize those situations and manage them intentionally and explicitly, rather than avoiding them. In fact, the most effective managers are those who not only welcome failure at the right times, but seek it out and leverage it.
For example, true organizational innovation is impossible without failure. At its heart, innovation is based on the scientific method: Develop a hypothesis, test it, and find out if it’s valid. Doing this well requires repeated failures. But each one helps you cross out one more invalid hypothesis and gets you closer to figuring out what will really work, whether you are at an early stage of development or trying to determine the best way to commercialize and scale.
Therefore, the key to leveraging failure with innovation is to fail fast (and frugally), conducting rapid tests with low risk. For example, if you’ve ever tried to order a new product online and found that it was unavailable, it may have been a test to find out whether customers would actually buy the product, even before the product was produced. If no one expresses interest, then the company doesn’t invest further, which saves time and money — and frees up space for testing the next hypothesis.
Failure is also an essential player in performance improvement. One of the best ways to develop people is to push them beyond their comfort zones, to learn new content areas and practice new skills. With few exceptions, this type of learning inevitably comes with some amount of failure because it takes practice to learn — whether it’s music or management.
However, leveraging this type of failure requires managers to provide a safety net so that doing something wrong doesn’t turn into a disaster for the company. For example, a CEO wanted some of his direct reports to learn how to work more effectively at the board level. To do so he began to give them the responsibility for crafting board presentations and facilitating board discussions — but also gave them personal support and access to a consultant. Having this safety net allowed them to build competency without undue risk that their inexperience, and initially flawed attempts, would cause problems.
While it’s easy to say that failure is not an option, the reality is that sometimes failure is not just an option but the preferred one. Effective managers leverage both innovation and performance failure to accelerate learning and create a stronger organization in the long term.
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Ron Ashkenas HBR

Ron Ashkenas is a managing partner of Schaffer Consulting. He is a co-author of The GE Work-Out and The Boundaryless Organization. His latest book is Simply Effective.

How to Be Assertive (Without Losing Yourself)




Conventional wisdom says that assertive people get ahead. They tell people what they think, request the resources they need, ask for raises, and don’t take no for an answer. So what are non-assertive people supposed to do if their company’s culture rewards these actions? If you’re shy or reserved, don’t fret. You can ask for what you need and get what you want, while still being yourself.
What the Experts Say
Managers need some degree of self-confidence to be effective. “The right amount of assertiveness, respect for others, and intelligence is what makes a great leader,” says Lauren Zander, co-founder and chairman of the Handel Group, an executive coaching firm in New York City, and author of “Designing Your Life,” a course taught through MIT. Yet, there needs to be a balance. “There’s a sweet spot for assertiveness. If you’re below the range, you’re not going to get your way. If you’re above it, you’re not getting along with others,” says Daniel Ames, a professor of management at Columbia Business School and author of “Pushing Up to a Point: Assertiveness and Effectiveness in Leadership and Interpersonal Dynamics.” The good news is, “Being shy is not a permanent condition. Assertiveness can be learned,” says Zander. The key is to understand the context, assess your behavior, and then make the appropriate adjustments.
Understand the context 
Assertiveness is not universally understood to be a positive trait. Before you make changes to your behavior, know the context you are working in. Does the culture — national, regional, or organizational — truly value forcefulness? Or do you work in a situation where a persuasive, quiet approach is sometimes more esteemed? Whether your assertiveness will be rewarded also depends on your gender. Avivah Wittenberg-Cox, CEO of 20-first, one of the world’s leading gender consulting firms, and author of How Women Mean Business warns that women who ask for what they want are often described as “bitchy and aggressive.” Ames agrees: “The range of latitude for women is smaller for what they can get away with,” he says. Consider the implications of your behavior before you alter it.
Evaluate your level of assertiveness
You can do this by either assessing your own behavior or asking others for input. Zander suggests you ask yourself: “Are you willing to talk to anyone about what you want?” Most people will answer this question with some qualifications, which indicates the need to overcome fear and express your opinion more often. Ames also suggests you complete “a success inventory” to understand whether your style is effective. Over a defined period of time — a few weeks or a month — before entering a discussion or meeting, ask yourself, “What do I want from this situation?” Then, afterwards, evaluate the results: “Did I get what I wanted?” This will create a track record of your success and indicate whether you need to adjust your style.
Objectively rating your own behavior can be difficult. “The connection between what we think we’re doing and what others see is very weak. Often it’s not greater than chance,” says Ames. Therefore, it might help to get feedback from trusted colleagues or to conduct a 360-degree review.

Set goals and stick to them

If you find in your assessment that you are holding back in situations where you shouldn’t, ask yourself what you aren’t saying and why you’re keeping quiet. Next time you enter a similar situation, rehearse what you are going to say and how you will say it beforehand. Ames and Zander both suggest you challenge yourself with a specific time-bounded behavioral goal. For example, give yourself a week to initiate three difficult conversations with colleagues. Or tell yourself that for the next two weeks, whenever you’re in a group discussion, you’ll speak up within the first two minutes. “Focused incremental changes add up to real change,” Ames says. If you’re successful, set another goal and stick to it. If it doesn’t work, don’t beat yourself up. Try a different one. “Approach it with an attitude of playfulness,” he says.
Build relationships
Often times people hold back because they are uncomfortable in a situation, either because they don’t know people or they’re afraid of what others might think. “My experience with reserved, shy people is that the relational context matters to them,” says Ames. Therefore, it can help to get to know people outside of work. “Connect with work colleagues who are only casual acquaintances. Socialize with colleagues in a way that breaks down barriers,” Ames recommends. You may be less cautious about speaking up if you’re at ease socially.

Stay true to yourself 

Altering your style to be more assertive can feel inauthentic, but it doesn’t have to be. You’re not changing your character; you are making deliberate choices about how you behave. “Don’t feel you have to muster interpersonal coldness to accompany your assertion. Feel free to be friendly and empathic while asking for your needs to be met,” says Ames. Find your own style instead of trying to imitate others. This is especially true for women. “Women need to be aware that becoming more like men is not sustainable,” says Cox. Nor do you need to be more assertive in every context every day. “You can bring out your competitive side when it’s useful and you can dial back and be accommodating when it’s helpful,” says Ames.
There’s a line — know when you’ve crossed it
Be careful that in your quest, you don’t become a bully or a nuisance. Zander warns that being overly assertive is often interpreted as self-promotional or arrogant. Monitor the impact you have on others. “The costs of being overly assertive are not immediately apparent to us. If you yell at a subordinate, she may do what you asked but she may also go home and update her resume,” says Ames. Be sure your efforts to push more are well intended. “Assertiveness is most appreciated when it’s in the service of the team,” says Zander.
Principles to Remember
Do:
  • Assess your own degree of assertiveness and ask others for feedback
  • Set realistic goals to make small changes in your behavior and stick to them
  • Forge relationships with colleagues outside of work so that you feel more comfortable speaking up
Don’t:
  • Assume that assertiveness is always a good thing — the context you work in and your gender both matter
  • Try to imitate someone else’s behavior — you can change while still being true to who you are
  • Overcompensate and become aggressive — balance assertiveness with consideration of others
Case Study #1: Make promises and keep them
Katie Torpey is a filmmaker and screenwriter. Assertive executives and insistent dealmakers dominate the industry she works in. Katie was successful, making several movies and television episodes, but she often held back in meetings, rarely saying what was on her mind. Instead she said what she thought others wanted to hear. “I was a people pleaser. I didn’t want to piss anyone off or hurt anyone’s feelings,” she says.
When Katie pitched work to producers they often lowballed her. “I was getting work, but I was not getting what I was worth.” She blames no one but herself. “I would take what they offered because I was afraid to demand my asking price,” she says. She was worried the project would fall through or they’d find another director. It became clear to Katie that this was hindering her career.
To change, she made a promise to herself: if she left a situation without saying what she really wanted, she would have to remedy it within 24 hours. For example, when she walked away from a meeting without telling her boss that a product wasn’t actually ready, she forced herself to contact him within 24 hours to fess up. This practice paid off. After cleaning up several of her messes, she realized it was much easier to be assertive from the outset. “Living a life where you speak what you think and feel is so much more freeing than holding everything in,” she says.
This has changed her career for the better. “People respect me. I still have the same abilities but I now have more confidence. People know that I won’t take a job unless my heart’s in it and I’m paid well,” she says. And if producers ask her to take a lower price, she stands up for herself, saying, “I will do an excellent job for you, but you have to pay me my asking price.”
Case Study #2: Put yourself out there
Jigar Parikh was working as an attorney at a New York law firm, and hated his job so he hired a personal coach to help him find a new profession. He soon, however, realized that the problem wasn’t his field; it was his firm. His coach encouraged him to build his network and secure enough clients to quit his job and start his own law practice. But Jigar was shy and uncomfortable reaching out to people he didn’t know. “I was someone who really held back,” he says.
So Jigar started small. He made a commitment to talk about his budding law practice with one or two people each day. This proved to be harder than he thought. “I didn’t want my current employer to find out, so I had to be especially careful,” he says. And he struggled at the networking events he attended three or four times a week. But he didn’t want to fall down on his pledge so he soon found himself talking to strangers on the subway or in a restaurant. “I once talked to a doctor who was an entrepreneur himself and he gave me some great advice,” he says. “I had some amazing conversations.”
This all gave him the confidence he needed to leave the firm. “When you’re not assertive, you settle for things and I had a high tolerance for being in places where I was unhappy,” he says. Now he feels like a very different person. “Anyone who knows me now is shocked to find out that I was shy. But it’s not always easy. I still have to remind myself to get out there,” he says.
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Amy Gallo is a contributing editor at Harvard Business Review. Follow her on Twitter at@amyegallo.

Win the Business with this Elevator Pitch




Pretend that you are in an elevator at one of your industry’s trade shows. You’re heading down to the lobby when the doors open on the thirtieth floor. You instantly recognize the executive who walks in and quickly glance at his name badge to confirm he is the CEO of the most important account you would like to start working with. You have never met him before nor have you been able to generate any interest from his organization. You have forty-five seconds to introduce yourself, explain what your company does in a way the CEO would find interesting and applicable, and motivate him to take the action you suggest. Ready? Go!
So, how did you do? Even the most experienced professionals find this pressure-packed exercise difficult. When you’re in this situation, avoid the six common mistakes most salespeople make:
They use truisms: They believe their company’s own marketing pitch, which makes claims that are not considered entirely true by the listener. As a result, they instantly lose credibility.
They describe themselves using buzzwords: They repeat industry buzzwords or, worse yet, use technical buzzwords that are known only within their company.
They use fillers: They make too much small talk or ask frivolous questions that reduce their stature to the customer.
They demean themselves or the listener: Their statements turn them into mere salespeople, not business problem solvers. They unintentionally demean the listener by asking impertinent questions or assuming the listener knows exactly what they are talking about.
They present an unreasonable close: They don’t take into account that they are talking to a senior company leader and use a close that is unrealistic or demands too much of the customer.
They are incongruent: Their tone, pitch, and tempo of speech don’t match. They speak too fast and their quivering tone broadcasts that they’re scared and nervous.
Here’s an example of a poor elevator pitch. The problems are identified in brackets. Luke Skywalker, a salesperson for XYZ Technologies, is attending a trade show and happens to be in the elevator with Norman Bates, chief information officer at Wonderful Telecommunications.
Hello, Norman. How are you today [filler]? Do you have a moment to talk [filler]? My name is Luke Skywalker and I’m a sales rep [demeans salesperson] for XYZ Technologies. Have you heard of XYZ Technologies [demeans listener]? Umm…[filler] Well, we are the leading provider [truism] of business transformational outsourcing [industry buzzword]. We have a unique extended-hybrid implementation methodology [technical buzzword]. Do you have time for me to buy you a cup of coffee and hear more about it [unreasonable close]?
My blog post, “Persuasion Tactics of Effective Salespeople,” introduced sales linguistics, the new field of study about how salespeople and customers use language during the decision making process. A successful elevator sales pitch will incorporate the following sales linguistic structures:
Softeners: A softener eases listeners into the next thought or is used to set expectations. When you say, “I’m sorry to bother you,” you are using the pre-apologizing softener technique.
Facts: A fact is the undisputed truth. Facts are recognized instantaneously.
Metaphors: Metaphors are stories, parables, and analogies that communicate ideas by using examples that people can relate to and identify with. Metaphors enable complex concepts and theories to be explained in an understandable, interesting, and persuasive manner.
Suggestions: Foreground suggestions are direct and explicit (“Consumer Reports gave our product the highest rating”). Background suggestions are indirect and their meaning is inferred (“One of their customers recently switched to our product”).
Fallback position: Every customer conversation is actually a verbal negotiation. Instead of giving ultimatums that force the customer to accept or reject your close, provide options from which customers can select from prepared in advance.
Silence: Silence is an important and useful linguistic structure. It indicates you are listening and waiting for a response. Silence can actually be used to gain dominance during conversations.
Here’s an elevator pitch that incorporates these sales linguistic structures:
Norman, hi, I’m Luke Skywalker with XYZ Technologies [fact]. It’s a pleasure to meet you [softener]. I’m not sure if you are familiar with us [softener], but we work with AT&T [fact]. They’ve had to reduce their IT costs during these tough times. I’m here because James Bond, the CIO of AT&T, is presenting a case study on how he cut his IT costs by 20 percent using our outsourcing solution [metaphor, background suggestion]. There’ll be CIOs from some of our other customers, including General Electric and Johnson & Johnson, speaking as well [fact, background suggestion]. The session is tomorrow at 1:00 p.m. if you can make it [foreground suggestion, softener]. [Pause — silence, waiting for response.] That’s too bad [softener]. I’d be delighted to send you his presentation [fallback position, foreground suggestion]. Great. Just to confirm your e-mail address, that’s Norman.bates@wonderful.com. Is there anyone else I should send it to [fallback position]? [Pause — silence]. Okay, that’s Ferris Bueller, your vice president of infrastructure. Thanks, Norman. You’ll be hearing from me shortly.
Your words are your most important competitive weapons. In this regard, your ability to deliver a compelling elevator pitch is crucial to achieve success. There are many sales situations where you have only a minute or two to conduct an entire sales call. You must be able to deliver a compelling and memorable message during this pressure-packed time sensitive encounter.
Write down your elevator pitch and analyze its structure for the use of buzzwords, fillers, and truisms. Use language structures such as softeners, metaphors, and suggestions to improve its persuasiveness. Finally, be sure to practice your pitch aloud so your delivery is smooth and confidant. Remember, a sales call can happen anywhere and at any time. Always have a prepared elevator pitch.
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80-steve-w-martin

Steve W. Martin teaches sales strategy at the University of Southern California Marshall School of Business. His new book is titled Heavy Hitter I.T. Sales Strategy: Competitive Insights from Interviews with 1,000+ Key Information Technology Decision Makers

It's More Important to Be Kind than Clever




One of the more heart-warming stories to zoom around the Internet lately involves a young man, his dying grandmother, and a bowl of clam chowder from Panera Bread. It’s a little story that offers big lessons about service, brands, and the human side of business — a story that underscores why efficiency should never come at the expense of humanity.
The story, as told in AdWeek, goes like this: Brandon Cook, from Wilton, New Hampshire, was visiting his grandmother in the hospital. Terribly ill with cancer, she complained to her grandson that she desperately wanted a bowl of soup, and that the hospital’s soup was inedible (she used saltier language). If only she could get a bowl of her favorite clam chowder from Panera Bread! Trouble was, Panera only sells clam chowder on Friday. So Brandon called the nearby Panera and talked to store manager Suzanne Fortier. Not only did Sue make clam chowder specially for Brandon’s grandmother, she included a box of cookies as a gift from the staff.
It was a small act of kindness that would not normally make headlines. Except that Brandon told the story on his Facebook page, and Brandon’s mother, Gail Cook, retold the story on Panera’s fan page. The rest, as they say, is social-media history. Gail’s post generated 500,000 (and counting) “likes” and more than 22,000 comments on Panera’s Facebook page. Panera, meanwhile, got something that no amount of traditional advertising can buy — a genuine sense of affiliation and appreciation from customers around the world.
Marketing types have latched on to this story as an example of the power of social media and “virtual word-of-mouth” to boost a company’s reputation. But I see the reaction to Sue Fortier’s gesture as an example of something else — the hunger among customers, employees, and all of us to engage with companies on more than just dollars-and-cents terms. In a world that is being reshaped by the relentless advance of technology, what stands out are acts of compassion and connection that remind us what it means to be human.
As I read the story of Brandon and his grandmother, I thought back to a lecture delivered two years ago by Jeff Bezos, founder and CEO of Amazon.com, to the graduating seniors of my alma mater, Princeton University. Bezos is nothing if not a master of technology — he has built his company, and his fortune, on the rise of the Internet and his own intellect. But he spoke that day not about computing power or brainpower, but about his grandmother — and what he learned when he made her cry.
Even as a 10-year-old boy, it turns out, Bezos had a steel-trap mind and a passion for crunching numbers. During a summer road trip with his grandparents, young Jeff got fed up with his grandmother’s smoking in the car — and decided to do something about it. From the backseat, he calculated how many cigarettes per day his grandmother smoked, how many puffs she took per cigarette, the health risk of each puff, and announced to her with great fanfare, “You’ve taken nine years off your life!”
Bezos’s calculations may have been accurate — but the reaction was not what he expected. His grandmother burst into tears. His grandfather pulled the car off to the side of the road and asked young Jeff to step out. And then his grandfather taught a lesson that this now-billionaire decided to share the with the Class of 2010: “My grandfather looked at me, and after a bit of silence, he gently and calmly said, ‘Jeff, one day you’ll understand that it’s harder to be kind than clever.'”
That’s a lesson I wish more businesspeople understood — a lesson that is reinforced by the reaction to this simple act of kindness at Panera Bread. Indeed, I experienced something similar not so long ago, and found it striking enough to devote an HBR blog post to the experience. In my post, I told the story of my father, his search for a new car, a health emergency that took place in the middle of that search — and a couple of extraordinary (and truly human) gestures by an auto dealer that put him at ease and won his loyalty.
“What is it about business that makes it so hard to be kind?” I asked at the time. “And what kind of businesspeople have we become when small acts of kindness feel so rare?”
That’s what’s really striking about the Panera Bread story — not that Suzanne Fortier went out of her way to do something nice for a sick grandmother, but that her simple gesture attracted such global attention and acclaim.
So by all means, encourage your people to embrace technology, get great at business analytics, and otherwise ramp up the efficiency of everything they do. But just make sure all their efficiency doesn’t come at the expense of their humanity. Small gestures can send big signals about who we are, what we care about, and why people should want to affiliate with us. It’s harder (and more important) to be kind than clever.
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William C. Taylor is cofounder of Fast Company magazine and author of Practically Radical: Not-So-Crazy Ways to Transform Your Company, Shake Up Your Industry, and Challenge Yourself. Follow him on Twitter at @practicallyrad.

Adopt an Immigrant Mindset to Advance Your Career


If you want to remain relevant and advance your career in today’s global marketplace, you need to serve as an enabler of business growth and innovation. One of the best ways to do this is to adopt an “immigrant mindset.”
The immigrant mentality has proven time and again to accelerate careers and build enterprise. Astudy in 1996 from the Alexis de Tocqueville Institution (AdTI) used the issuance of new patents to measure immigrants’ inventiveness and spirit of enterprise. Examining 250 recently-issued U.S. patents chosen at random, AdTI found that over 19% of them were issued to immigrants alone, or to immigrants collaborating with U.S.-born co-inventors. These patents generated more than 1,600 jobs. A 2011 study by Partnership for a New American Economy found that 76% of patents awarded to the top 10 patent-producing U.S. universities that year had at least one foreign-born inventor.
According to another study, more than 40% of Fortune 500 companies operating in 2010 were founded by immigrants or their children — including some of the most well-known brands, from Apple and IBM to Disney and McDonalds. The companies noted in this study had combined revenues of $4.2 trillion — more than the GDP of most countries.
You may not think of yourself as an immigrant. But you can still learn to think like one. Based onresearch my organization has conducted (PDF) on the immigrant business population, here’s how to get started:
1. Look for Opportunities Everywhere
Like an immigrant who comes to a new country, managers need to see that opportunities are everywhere, every day, and that they need to make the most of those that cross their paths.
This is exactly what Andrew James Viterbi, an Italian immigrant, did in 1967 when he invented the Viterbi algorithm, an error correcting code which has been used widely in cellular phones. Mr. Viterbi took this immigrant perspective and went on to co-found Qualcomm, Inc. And it’s what Pierre Morad Omidyar, an immigrant from France, did when he revolutionized the selling and purchasing of goods by founding eBay. Their stories are just some of the many examples of immigrants who’ve seized opportunities and brought them to market.
2. Stay on Your Toes
Many immigrant families experienced crisis and change in their mother countries, which can make them more proficient at anticipating crisis and managing change before circumstances force their hand. All managers need to develop this ability to see around the corners up ahead. Filtering career advancement and business opportunities through this lens allows you to put your options into proper perspective with much greater clarity.
Estée Lauder, the child of Hungarian immigrant parents, created a family dynasty by proactively managing change in the cosmetics industry. In the postwar consumer boom, women began to want to sample cosmetic products before buying them. Lauder noticed and responded to this shifting dynamic by pioneering two marketing techniques that are commonly used today: the free gift and the gift-with-purchase. It’s exactly this type of inventiveness that’s born from immigrating to a new country and having to fight for every opportunity.
Born to Greek parents, Peter M. Nicholas co-founded medical device firm Boston Scientific. In areport by the Partnership for a New American Economy (PDF), Nicholas reflected on his immigrant influence when he said, “It was like a gift being raised in a Greek family. All of us kids had embedded in us this ambition to work hard and achieve a better life than what our parents could have ever imagined.” This proved helpful in the early days of Boston Scientific, a company that now employs 25,000 people.
3. Unleash Your Passion
History has shown many immigrants to be potent pioneers, blazing paths few others would go down, and seeing them through to the end. Once unleashed, this passionate sense of purpose — as long as it remains consistent and authentic — opens new doors.
Immigrants represent 18% (90) of the company founders on the Fortune 500 list — including the founders of Pfizer, Intel, AT&T, Dupont and others. This passionate pursuit of pioneering crosses over to the children of immigrants who represent the founders of 23% (114) of the companies on the list; these include Citigroup, Walgreens, UPS, Office Depot, H.J. Heinz and others.
4. Live With an Entrepreneurial Attitude
Seizing opportunities to build relationships, advance commerce, and improve humanity is a survival mechanism for many immigrants. Career advancement must be approached with this same hunger for survival. Like an entrepreneur, you must be able to navigate your career knowing how to sell, market and continuously reinvent yourself — constantly cultivating business growth and new opportunities.
Google is a great example of what an entrepreneurial spirit can do. The hunger and focus of its founders, one of whom — Sergey Brin — was an immigrant, not only enabled Google to survive the competition; it kept other companies from even coming close to competing on the same scale. While their paths have diverged — co-founder Larry Page is now CEO and Brin is reportedly spearheading Google X, a top-secret hardware lab — the company owes at least half of its success to Brin’s immigrant entrepreneurial spirit, which he himself attributes to growing up as a Soviet Jew in Moscow in the 1970s, where he felt alienated as a minority. His sense of whom to trust and whom to ask for help, his vision to see something better, and the conviction to go after his dreams are traits that Brin’s father, Michael Brin, taught him by example. He developed a tenacious, risk-taking mentality, which led him to unique entrepreneurial opportunities.
5. Work With a Generous Purpose
In the immigrant populations that my organization researches, children are often raised to consider others’ needs as much as their own. This begins with giving inside the family when they’re young. When they’re older, they’re taught that they’re part of a larger community. Sharing momentum within this community ensures continuous prosperity for everyone. Being generous enough to share your career goals and aspirations gives you a larger sense of purpose in your own career, fostering a sense of community that lifts and serves everyone. An essential part of career management is nurturing relationships founded on the trust that comes from having each other’s best interests at heart.
While researching immigrants who exemplify the meaning of generous purpose for my book, Earning Serendipity, I came across the story of Ingvar Kamprad, founder of IKEA. Kamprad notably rooted out the exploitation of child labor from his own manufacturers and then worked to eradicate the problem at its source — by fighting poverty, hunger, illness and illiteracy. Long before social responsibility became the buzzword it is today, IKEA was already setting the standard, thanks to its founder’s immigrant mindset of working with a larger purpose in mind, for the greater good of the community.
6. Focus on Leaving a Lasting Legacy
Our research has shown that immigrants’ familial style of relating to their community expands their circle, creating new opportunities that are built to last. Likewise, some of the strongest bonds in business, across the entire value chain, occur when employees, partners and distributors are treated like family. According to a study conducted by Harvard Business School professor Belén Villalonga (PDF), family firms are often able to take a longer-term, more strategic approach, and keep stronger relationships with their customers. In his study, family-controlled firms outperformed their public peers by 6% on company market value. Today, one-third of all companies in the S&P 500 index are run by families.
The immigrant’s cultural promise is that success comes most to those who are surrounded by people who want their success to continue. You’re not just working for yourself, but for your organization, for your family, and for those whom you’re leading and serving. Managers who embrace this attitude, and practice this skill, will find themselves with more opportunities to build a lasting legacy.
Each of these six ideas interconnect. Their impact becomes greater as they build upon one another. Make them a natural part of your identity, and your career will flourish.
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Glenn Llopis is the Chairman of the Glenn Llopis Group and Founder of the Center for Hispanic Leadership (CHL). He is the author of Earning Serendipity, 4 Skills for Creating and Sustaining Good Fortune in Your Work, which introduces the immigrant mentality advantage.