Category Archives: Values

The Value of Goodwill

How much is your goodwill worth?

The accounting definition of goodwill describes it as the established reputation of a business, quantifiable by taking the fair market value of the tangible assets of a company, subtracting that amount from the full purchase price, blah, blah, blah.

The accounting definition is important, but the goodwill I’m interested in is your personal goodwill, which is measured with the answers to these questions (in no particular order):

  • Do you have a personal reputation as a good person?
  • Are you a person who can be trusted?
  • Are you reliable?
  • Do you work with others based on honesty and integrity first, above all else?
  • When people describe you to others, do they do so fondly or derisively?
  • Are you a person who people want to be around?
  • Do you repel people, or gather people?
  • Do you have a track record of acting fairly in all situations?
  • Do you serve others first?
  • When the proverbial chips are down and everything is going wrong, can others rely on you to rise above the chaos, identify root causes, and get to work solving the problems?
  • Are you known as the person who runs from trouble?
  • Are you the one who looks to blame rather than solve?

The answers to these questions will matter more to your long-term success than any college degree or career accomplishment you may achieve.

Your actions and attitudes will show people your answers more vividly than anything you say.

It’s easy to say words like honesty, integrity, trustworthiness, or empathy.  The real test is how you act and what you choose to do, whether or not other people are watching.

Show me a team of people who don’t value their own personal goodwill or that of their teammates, and I’ll show you a team that fails 99 times out of 100.

The most important choices you’ll make in life are the ones that either add value to, or take value away from your personal goodwill.

Choose wisely.  Your happiness and success depend on it.

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Blame and Our Ego

“If you get your ego in your way, you will only look to other people and circumstances to blame.” –Jocko Willink

Here’s a thought experiment…

Looking back over the past few weeks (or months, or years), how many times did you blame:

  • someone
  • some thing
  • traffic
  • an injury
  • a disability
  • the weather
  • the economy
  • the government
  • your boss
  • your employee
  • social media
  • a company
  • a bad memory
  • anything but yourself?

No matter the subject, there are plenty of candidates for our blame…as long as we can aim it outward.

Our ego prefers blaming “the other” rather than accepting responsibility.  Life’s easier that way.

Blame doesn’t just apply to things that happened in the past.  Blame is most powerful (and crippling) when it prevents something from happening in the future:

  • I won’t be able to make it out there tomorrow. The traffic is just too crazy at that time.
  • I hate this job, but I don’t have time to learn a new trade.
  • I’d love to help you move, but with my bad back, I wouldn’t be very helpful.
  • There’s no way I’d ever start my own business in this economy. Besides, who needs all the government regulations and hassle?
  • It’s way too cold out there to go for a walk today.
  • I’d love to travel more, but there’s no way my boss would ever give me the time off.

How many times have you used blame to avoid doing something new, or something that could fail?

Blame is useful when it establishes a foundation for improvement.  When it represents a first step toward identifying root causes that can be solved.

Beyond that, blame has very little value, except stroking our ego (and keeping us nice and warm in our cacoon of status quo).

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That’s all great. But, what does your customer think?

  • “We had an awesome meeting yesterday. We finalized our growth plans for next year.  We’ll be presenting them to the CFO next week.”
  • “That conference was amazing. The speakers really hit the nail on the head about what’s coming in our industry.”
  • “We finished all the employee reviews before the deadline. We start every year with this fire drill!  I’m glad that’s behind us!”
  • “This new software update will finally fix our scheduling problems.”
  • “The year-end financials are done, and our tax filing is happening on time this year.”
  • “Our new branding colors are excellent. They really pop on our mobile app!”
  • “The holiday party committee met, and we’ve got our recommendations for the venue and party theme this year. When can we meet to finalize the plans so we can put money down on the venue?”

What do all of these have in common?

They’re all statements I’ve heard, or said, during my professional career.  I could’ve rattled off 30 more sentences just like these.  All would have represented important activities, milestones, discoveries, inventions, process improvements, or events within the companies I’ve managed (or owned).

But, none of them represented what our customers think.  The customer, in this case, is the person or company that’s paying us for our products and services.

None of the sentences describe us communicating directly with our customers or our prospective customers.

None of them focus on why our customers use our products and services.

None provide a greater understanding of how our customers relate to us.

None help us understand how important we are (or aren’t) in their life.

Are we just a faceless machine that delivers something our customer needs at this moment?  Are we merely a utility to them?

If we disappeared tomorrow, would they miss us?

Do they know who we are as a company?  Do they know anything about our values?  Do we know what our values are at this company?

Do they care about our branding colors, or that we’re having a nice holiday party this year?  Probably not.

Even when we fail to ask, our customers have powerful ways to tell us how we’re doing:

  • When they continue paying us, we know that they value what we’re doing today. They haven’t found anyone else who does it better, cheaper, or both.  They haven’t found anyone that they think cares more about them than we do.  We’ve won today.
  • When they call or write to complain or ask for something new and improved, we can infer that they care enough to ask. They trust that we’ll listen.  Our response lets them know whether their trust is well-placed, or not.

Winning today is nice.  Winning tomorrow, next week, next month, and next year is far more important when it comes to customers.

While we take care of all the tasks associated with keeping our organization afloat, it’s easy to forget why our organization exists in the first place:  to serve our customers and attract new ones.

The customer is the only reason we exist.

Something to keep in mind the next time you put off calling your customer back until after you’ve finalized your company’s holiday party plans.

P.S.  This riff about customers applies to our internal customers as well.  After all, our internal customers are often the ones who deliver service to our external customers.  If we fail to serve our internal customers, you can easily guess what’s going to happen to our external customers.

 

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Letting Go

“If there are pieces of your past that are weighing you down, it’s time to leave them behind.  You are not what has happened to you.  You are someone unimaginably greater than you have ever considered, and maybe it’s time to consider all the possibilities that are within you.”  –Matthew Kelly

How much baggage are you carrying from your past?

The mistakes you’ve made.  The opportunities you missed.  The disappointments.  The tragedies.  The could’ve beens and the should’ve beens.  The people you still won’t forgive.

Letting go doesn’t mean forgetting your past.  It doesn’t mean ignoring the lessons you’ve learned.

It means forgiving yourself and forgiving others.  It means loving the amazing person you’ve become and letting go of the person you or anyone else thought you should have become.

Each of us is a work-in-progress.  We have an opportunity every day to define our future.  But, it’s impossible to choose our future while burdened with all the weight of our past.

It’s time to let go.  Drop the weight.  Drop the guilt.  Drop the anger.  Drop the regrets that quietly gnaw at your core.

Let go and prepare yourself for the awesome future that you choose.

As Matthew Kelly says, “You are someone unimaginably greater than you have ever considered.”

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Iteration is Everything

Iteration knows none of us know.

Iteration recognizes our first try isn’t our only try.

Iteration feeds innovation.

Iteration is fueled by our commitment.

Iteration is the only path to knowing.

Iteration overcomes our Resistance.

Iteration makes the mysterious familiar.

Iteration makes the impossible possible.

Iteration makes mistakes.

Iteration requires failure to find success.

Iteration sheds light on the darkness we fear.

Iteration is the journey to greater understanding.

Iteration always gives us another try.  The question is:  Do we have the courage to try again?

 

Photo by Tommy Lisbin on Unsplash

 

 

My Leadership Prayer

God, please grant me,

The faith and judgment to make sound decisions, and

The courage to change those decisions when they’re wrong.

The everlasting hope that, together, our organization can and will be successful.

The fortitude to seek continuous improvement in everything we do.

 

Integrity and a just heart to do the right thing, even when no one is looking.

A charitable approach to my employees, my customers and my competitors.

The ability to focus on the vital few while ignoring the distracting many, and

The prudence to deploy our limited capital wisely.

 

Oh, loving God,

Allow me to work from a place of humility, forsaking my prideful thoughts.

Help me look to others for motivation, not as a source of jealous envy.

Give me the self-control to reject greed, striving for what is needed and nothing more.

Show me that the trappings and status of my position are temporary and undeserved.

 

Always remind me that my life’s mission is to serve others before myself,

Helping my organization grow by focusing on the growth of every team member.

Remind me to provide life-giving feedback and questions that encourage rather than belittle,

To view mistakes and failures as opportunities for learning and improvement.

Help me understand that all of us are smarter and more creative than one of us.

 

Give me the strength and endurance to persevere through times of trouble.

Give me the vision to see beyond today,

To always strive for a better tomorrow.

Help me to become a positive example for others in my thoughts, in my words, and in my actions.

I invite You into each and every minute of my life.

Grant me the peace that comes from Your eternal and infinite love, now and forever.

Amen

 

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Never Hit on 13!

“Son, I’d just stay on that if I were you.  Your job is to make the dealer bust.  We’re countin’ on you to get this right.”

My new “mentor” spoke with a confidence borne of the many decades of experience showing on his weathered face.

I didn’t realize it, but the open seat I filled at the Blackjack table was the third-base seat.  That meant I was the last player to get cards before the dealer.

He continued, since he must have figured this young fella sitting next to him could use some more of his wisdom.  He could tell this was my first time playing Blackjack in Vegas.  “If the dealer has a six or less, you make sure she gets the 10 card that’s sittin’ in that shoe.  Do you realize how many 10 cards there are in that thing?  Each one is a bust card for her.”

I hadn’t thought of it that way until he mentioned it.  There are a ton of 10 cards in each deck…16 to be exact.  And, if you add in the 8’s and 9’s, which are also bust cards for the dealer if she has a 14 or higher, that’s 24 cards out of 52 that are bust cards (nearly half).

I couldn’t believe I should stay on 13.  The dealer was showing a 2 of clubs.

Two people had already hit and busted.  My mentor’s wife stayed with her 18.  My mentor stayed with his 20.  Now all eyes were on me and my 13.

My $5 chip wasn’t the only money at risk.  My mentor and his wife each had $25 chips up and they were counting on me to make the right choice.

Sure, there’s a bunch of 10 cards in there, but there’s also a bunch of non-10 cards.  And, the dealer may have a 9 facing down, so that’s 11.  A sure path to 21 and a rousing defeat for everyone at the table.

13 seemed a long way from 21 and not a very powerful way to win.  It sure would be great if I drew a 7 or an 8 and could defend against the dealer’s next hit card.

What to do?

My new mentor could sense my quandary.  He could see that this newbie had no idea how this game was played.  “Son, remember your job. Make her bust.”

I decided to stay on my 13.  The dealer turned over her down card.  It was a King.  She had 12.  She hit and pulled a 10.  Bust!

“Are you gonna let that $10 ride?  Seems like you have the hang of that seat.  Time to see what it can do for ya.”

Another decision.  I looked at the other players and saw them putting up their new chips.  My mentor and his wife were letting their $50 ride.

I left my chips up and waited for my cards.  This time, the cards were in my favor and I had 20.  My mentor had 12, and his wife had 17.  The dealer was showing a 6.

“Looks like I’m in the third-base seat for this hand, since you’ve got a 20,” he said as he motioned that he’d be staying.  I followed suit and stayed with my 20.

The dealer turned over her down card to reveal a Queen.  She had 16 and was required to hit.  Another Queen showed up.  Dealer bust, again!

This “13 strategy” was showing some strength.

“Are you gonna let that ride again?”

Feeling a bit more comfortable with my situation, it was an easy decision to let my $20 ride for the next hand.  Mr. Mentor and his wife let their $100 ride.  They were on a roll!

This was more than I’d ever bet in Vegas.  A whole $20!  And my new friends each had $100 on the line!  I could feel my heartbeat racing as the cards were dealt.

My mentor’s wife received a pair of Aces. My mentor had 17.  I had 12.  The dealer was showing a 4.  This was a perfect setup for my new-found strategy.

The first two players each hit on their hands and received low cards.  Both were still in and stayed.  My mentor’s wife split her Aces and placed a new $100 chip on the table.  The next card was an 8.  She stayed with that hand.  Her other Ace received a 10.  Blackjack!  The dealer paid her $150 in chips for that hand and moved on to Mr. Mentor.  He stayed with his 17.

It was all up to me.  That’s when things went sideways.

I started obsessing on the number 7.  What if I stay and the dealer pulls a 7 out of the shoe?  That would give her 21 (this all assumes that her down card is a 10, of course).  If she gets a 21, she’d beat me and everyone else at the table.

But, if I got that 7, I’d have 19 and be sitting pretty against whatever she had.

Somehow, in the heat of that moment, I forgot about holding on 13 (or 12) if the dealer is showing a 6 or less.  I just knew that the next card was a 7.  That 7 was mine to take and I’d be saving the entire table from oblivion.

“Hit me!”

The dealer slid the card from the shoe.  The world started moving in slow-motion.  She slid the card over to my hand and turned it over.  It was a 10!  I busted.  There went my $20!

It gets worse.

The dealer turned over her down card to reveal a King.  She had 14 and was required to hit.  You guessed it.  That 7 card came up for her.  She now had 21.

I had snatched defeat from the jaws of victory for myself and my fellow players.  That 10 that I took should have busted the dealer, but it busted me and then everyone else at the table.

Ashamed, I looked at my fellow players, shaking my head and saying I was sorry for blowing it for them.  Here was a group of strangers I’d only met a few minutes earlier and I’d let each of them down.

My mentor didn’t miss a beat.  He tossed another $25 chip on the table and said, “Those cards don’t care about you.  They don’t get nervous.  They don’t care what happens.  They play by their rules and that’s it.  You knew your rules and ignored them…and that’s how this casino was built.  You’re not the only one who forgets his rules when it matters most.”

I learned the importance of knowing my rules and playing by them.  Every time.  In every situation.

I don’t go to Vegas often.  Whenever I go, I find time to play Blackjack, always from the third-base seat.

 

Note:  The preceding may or may not have happened exactly as described.  Either way, the lesson is clear.  Rules matter…especially your rules.  Know your rules before you play.  Play by your rules when you play.  Don’t lose sight of your rules when things get rough or when things look hopeless.  If you stay true to your rules, you’ll win far more often than you lose.

Photo by Michał Parzuchowski on Unsplash

 

 

 

The Freedom of Humiliation

Consider how much time and energy we devote to avoiding humiliation.  We’re taught early in life to strive for being right.  Quickly understanding, and then knowing the answer…especially to the questions that’ll be on the test.

Think back to your first job, your second job, in fact, every job you’ve ever had.  How was your first day?  What about your first month?  How comfortable were you?  What type of impression did you want to make on your new boss?  Your new co-workers?

I bet your main goal was to avoid screwing up, learn what it takes to be successful, and by all means, don’t embarrass yourself.

It’s the same in just about any new environment.  Meet a new group of people and one of the first things in your mind is how to present the best image of yourself to this group.  Don’t let them see your flaws, your fears, your anxieties.  Don’t let them know you’re completely uncomfortable.  For now, your goal is to fit in, get to know who’s who in the group and, don’t embarrass yourself.

“True humility is not thinking less of yourself; it is thinking of yourself less.”   ― Rick Warren

What if you approached all these situations and nearly every other in your life without fear of humiliation or embarrassment.  In fact, imagine if you sought situations where humiliation was a distinct possibility.

What if you approached that new software tool, or the new sales program with the confidence of knowing that you’ll be learning something new…rather than worrying about arguments against them, or how they’ll push you out of your comfort zone?

We usually think of humiliation in its negative context, since we’ve allowed it to matter.  But, humiliation is closely related to humility, and humility is the first step toward real learning.

Once you approach a subject with the humility of a beginner, regardless of your tenure or experience, only then will you be fully prepared to learn.

The humble learner doesn’t allow themselves or their ego to come between new ideas and their pre-conceived notions of the truth.  They allow these new ideas to penetrate the veneer of pride and self-righteousness where many of us hide.  Then, they can truly assess and make a judgment about the new ideas.

Too often, we don’t even allow the new idea to enter.  We’re too busy coming up with reasons that our own ideas are correct, the only direction, the only way.  The new idea is like a foreign invader to be repelled at the gate.

A new and potentially rewarding relationship is placed behind a well-crafted wall of pride and imagery that hides our fears of humiliation or of letting this new person visit the deepest parts of ourselves.

All these walls and anxieties have their root in our fear of humiliation.  We can’t face the risk of being wrong, of being weak, of being vulnerable.  We are right, and our focus is on ensuring we reinforce this “fact” to anyone or anything we encounter…especially to ourselves.

“There is nothing noble in being superior to your fellow man; true nobility is being superior to your former self.”   ― Ernest Hemingway    

The freedom of humiliation is a freedom to be open:  to new ideas, new people, new directions, new beliefs, and even new perceptions of truth.  When we’re free from the fear of humiliation, we don’t have to defend ourselves from new situations.  We turn the threat of the new into an opportunity.

This doesn’t mean giving up on our definitions of right and wrong, our definitions of how to live a virtuous life or our core beliefs.

It means dropping that wall of protection we place around ourselves and our ideas and allowing them to roam freely and interact with others.

“A true genius admits that he/she knows nothing.”  ― Albert Einstein

 

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No Surprises…the Secret to Managing Up

“I love spontaneity, as long as it’s well-planned.”  –Says nearly everyone in business

Surprises can be great.

We love surprises when they bring unexpected wealth, unexpected fun, or unexpected comfort.

Sadly, surprises aren’t always good news:

  • Surprise! The IRS just sent you an audit letter.
  • Surprise! That small mole on your cheek is melanoma.
  • Surprise! That neighbor you thought was a nice guy is wanted in another state for armed robbery.
  • Surprise! Microsoft just added a feature to their operating system that makes your profitable utility app obsolete.
  • Surprise! Your private financial and credit information was just hacked at Equifax (well, that type of thing shouldn’t really be a surprise nowadays).
  • Surprise! Your most promising employee is leaving your company…to join your competition!
  • Surprise! The executive that “owns” your company’s contract and projects just got fired.

Surprises in business are rarely the good kind.

In fact, a “good” surprise in business can become a nightmare if you’re not prepared.

Think about that sudden and unexpected increase in demand for your service or product.  Great news!  But, now your staff is feeling overworked and things are starting to break under the pressure of all this new business.

How does all of this connect with managing up?

The number one thing your boss, and your boss’s boss (and so on) need from you is to minimize the surprises that come their way.

Does this mean you should keep information away from them?  Of course not!

It means creating an open and thorough communication path between you and your boss.

It means anticipating surprises before they happen.  Preparing for the unexpected, since you can always expect it.  I’ve seen lots of surprises that shouldn’t have been surprises at all.

Your boss needs to know when something is wrong, or about to go wrong.

Your boss needs you to be honest.  Always. Even if you’re the one causing the surprise.

If you, or someone in your organization, make an expensive mistake, your boss needs to know about it.  Now.  More importantly, your boss needs to know how you plan to learn from that mistake, and avoid a similar mistake like this one in the future.

If you see or hear something in the marketplace that can help (or hurt) your organization, your boss needs to hear from you.  Now.

The last thing you want is for your boss to learn about a problem (or a surprise, which may be the same thing) within your organization from someone else.  This does two things:

  1. Lets your boss know that you may not understand that something is going wrong, and
  2. Makes your boss wonder if you’re hiding bad news and if you can be trusted.

When I was a kid, we lived in a small 3-bedroom house.  We had a hallway that got pitch black when all the doors were shut.  Even when your eyes adjusted, there was almost no light to see where you were going.  I always had this (unfounded) fear that I might run into something, hit my head, or crack my shins on some unseen edge.

Your boss might as well be walking in that same dark hallway, whether he or she realizes it.  It’s tough to see what’s coming, and in the real world, that fear of being hit by something in the darkness is often justified.

Many of the lessons we learn from the “school of hard knocks” begin as surprises.

Lesson One:  expect the unexpected.

Lesson Two:  make sure your boss knows what’s coming.

Lesson Three:  don’t ever forget about Lesson Two, and you’ll be doing a great job of “managing up” in the process.

 

 

Photo by Ben White on Unsplash

 

Be the reason…

someone goes beyond their limits

someone laughs today

someone has a fond memory they cherish

someone learns something new

someone chooses life

someone believes more deeply

someone cares beyond themselves

someone knows they have unlimited potential

your boss can’t imagine delivering results without you

your employees can’t imagine delivering results without you

both can deliver results without you because you’ve taken the time to ensure they can

each person you encounter remembers your positive energy

your children know right from wrong

your children are independent and productive members of society

someone finds clarity

someone uses their imagination

someone thinks first

someone stops using lame excuses

someone steps outside of their habits

someone enjoys their day

someone smiles

someone is forgiven

the world is more beautiful.

 

Photo Credit:  Unsplash.com, Michal Grosicki