Presentation is loading. Please wait.

Presentation is loading. Please wait.

The Original Seven Deadly Sins First formulated by St. John Cassian (360-435 AD)First formulated by St. John Cassian (360-435 AD) Codified by Pope Gregory.

Similar presentations


Presentation on theme: "The Original Seven Deadly Sins First formulated by St. John Cassian (360-435 AD)First formulated by St. John Cassian (360-435 AD) Codified by Pope Gregory."— Presentation transcript:

1 The Original Seven Deadly Sins First formulated by St. John Cassian ( AD)First formulated by St. John Cassian ( AD) Codified by Pope Gregory I (“The Great”) ADCodified by Pope Gregory I (“The Great”) AD Made Famous by Dante Alighieri in The Divine Comedy (cir. 1315)Made Famous by Dante Alighieri in The Divine Comedy (cir. 1315) Still practiced today by millions of business owners!Still practiced today by millions of business owners! First formulated by St. John Cassian ( AD)First formulated by St. John Cassian ( AD) Codified by Pope Gregory I (“The Great”) ADCodified by Pope Gregory I (“The Great”) AD Made Famous by Dante Alighieri in The Divine Comedy (cir. 1315)Made Famous by Dante Alighieri in The Divine Comedy (cir. 1315) Still practiced today by millions of business owners!Still practiced today by millions of business owners!

2 The Original Seven Deadly Sins LustLust GluttonyGluttony SlothSloth GreedGreed WrathWrath PridePride EnvyEnvy LustLust GluttonyGluttony SlothSloth GreedGreed WrathWrath PridePride EnvyEnvy

3 Not ME! You Say… I work hardI work hard I only want a fair profitI only want a fair profit I treat my people wellI treat my people well I know that I don’t know everythingI know that I don’t know everything I put my customers ahead of myselfI put my customers ahead of myself I run a clean, ethical business that does the job rightI run a clean, ethical business that does the job right I work hardI work hard I only want a fair profitI only want a fair profit I treat my people wellI treat my people well I know that I don’t know everythingI know that I don’t know everything I put my customers ahead of myselfI put my customers ahead of myself I run a clean, ethical business that does the job rightI run a clean, ethical business that does the job right

4 The 7 Sins Aren’t About Your Ethics They are the things you doThey are the things you do That make you a lesser vendor for your customersThat make you a lesser vendor for your customers That make you a lesser Boss to your employeesThat make you a lesser Boss to your employees That make you a lesser provider for your familyThat make you a lesser provider for your family That deprive you of the appropriate benefits of being a business ownerThat deprive you of the appropriate benefits of being a business owner They are the things you doThey are the things you do That make you a lesser vendor for your customersThat make you a lesser vendor for your customers That make you a lesser Boss to your employeesThat make you a lesser Boss to your employees That make you a lesser provider for your familyThat make you a lesser provider for your family That deprive you of the appropriate benefits of being a business ownerThat deprive you of the appropriate benefits of being a business owner

5 The Seven Sins of Business Owners Lust:Lust: Pointing your organization in any direction that appeals to you Pointing your organization in any direction that appeals to you Gluttony:Gluttony: Taking on all the challenges yourselfTaking on all the challenges yourself Sloth:Sloth: Settling for “good enough”Settling for “good enough” Greed:Greed: Squeezing out a profitSqueezing out a profit Lust:Lust: Pointing your organization in any direction that appeals to you Pointing your organization in any direction that appeals to you Gluttony:Gluttony: Taking on all the challenges yourselfTaking on all the challenges yourself Sloth:Sloth: Settling for “good enough”Settling for “good enough” Greed:Greed: Squeezing out a profitSqueezing out a profit

6 The Seven Sins of Business Owners WrathWrath Driving employeesDriving employees PridePride Thinking that you should have all the answersThinking that you should have all the answers EnvyEnvy Believing that no one else has your problemsBelieving that no one else has your problems WrathWrath Driving employeesDriving employees PridePride Thinking that you should have all the answersThinking that you should have all the answers EnvyEnvy Believing that no one else has your problemsBelieving that no one else has your problems

7 The Original Seven Deadly Sins had counteracting “Virtues” Lust : ChastityLust : Chastity Gluttony: TemperanceGluttony: Temperance Sloth: ZealSloth: Zeal Greed: GenerosityGreed: Generosity Wrath: KindnessWrath: Kindness Pride: HumilityPride: Humility Envy: LoveEnvy: Love Lust : ChastityLust : Chastity Gluttony: TemperanceGluttony: Temperance Sloth: ZealSloth: Zeal Greed: GenerosityGreed: Generosity Wrath: KindnessWrath: Kindness Pride: HumilityPride: Humility Envy: LoveEnvy: Love

8 The “Business Virtues” that Counteract the Entrepreneur’s Seven Deadly Sins Lust : PlanningLust : Planning Gluttony: DelegationGluttony: Delegation Sloth: BenchmarkingSloth: Benchmarking Greed: BudgetingGreed: Budgeting Wrath: EmpowermentWrath: Empowerment Pride: LeadershipPride: Leadership Envy: AdviceEnvy: Advice Lust : PlanningLust : Planning Gluttony: DelegationGluttony: Delegation Sloth: BenchmarkingSloth: Benchmarking Greed: BudgetingGreed: Budgeting Wrath: EmpowermentWrath: Empowerment Pride: LeadershipPride: Leadership Envy: AdviceEnvy: Advice

9 The First Deadly Sin: Lust A passionate or overmastering desire or cravingA passionate or overmastering desire or craving Ardent enthusiasm; zest; relishArdent enthusiasm; zest; relish To have a yearning or desireTo have a yearning or desire Usage:Usage: Lust for lifeLust for life A passionate or overmastering desire or cravingA passionate or overmastering desire or craving Ardent enthusiasm; zest; relishArdent enthusiasm; zest; relish To have a yearning or desireTo have a yearning or desire Usage:Usage: Lust for lifeLust for life

10 Signs that you may be guilty of Lust Projects that never get finishedProjects that never get finished Employees complaining that they are juggling too muchEmployees complaining that they are juggling too much Customers “Slip through the cracks”Customers “Slip through the cracks” Bad surprises (you were looking the other way)Bad surprises (you were looking the other way) YOU feel that you are juggling too muchYOU feel that you are juggling too much Projects that never get finishedProjects that never get finished Employees complaining that they are juggling too muchEmployees complaining that they are juggling too much Customers “Slip through the cracks”Customers “Slip through the cracks” Bad surprises (you were looking the other way)Bad surprises (you were looking the other way) YOU feel that you are juggling too muchYOU feel that you are juggling too much

11 Lust in Your Business A strategy driven by “Whim de Jour”A strategy driven by “Whim de Jour” We have customers that want us to offer thisWe have customers that want us to offer this I heard a guy in our industry in Seattle is doing thisI heard a guy in our industry in Seattle is doing this That doesn’t look too hardThat doesn’t look too hard No Personal VisionNo Personal Vision I just want to make a decent livingI just want to make a decent living I just know that I don’t want to work this hardI just know that I don’t want to work this hard I just want to be successfulI just want to be successful A strategy driven by “Whim de Jour”A strategy driven by “Whim de Jour” We have customers that want us to offer thisWe have customers that want us to offer this I heard a guy in our industry in Seattle is doing thisI heard a guy in our industry in Seattle is doing this That doesn’t look too hardThat doesn’t look too hard No Personal VisionNo Personal Vision I just want to make a decent livingI just want to make a decent living I just know that I don’t want to work this hardI just know that I don’t want to work this hard I just want to be successfulI just want to be successful

12 Lust in Your Business Planning to failPlanning to fail Let’s see what happensLet’s see what happens Those numbers sound about rightThose numbers sound about right There’s no reason why we shouldn’t just give it a tryThere’s no reason why we shouldn’t just give it a try Focus on problem employees or positionFocus on problem employees or position We always seem to be shorthandedWe always seem to be shorthanded Who was supposed to be responsible for that?Who was supposed to be responsible for that? Planning to failPlanning to fail Let’s see what happensLet’s see what happens Those numbers sound about rightThose numbers sound about right There’s no reason why we shouldn’t just give it a tryThere’s no reason why we shouldn’t just give it a try Focus on problem employees or positionFocus on problem employees or position We always seem to be shorthandedWe always seem to be shorthanded Who was supposed to be responsible for that?Who was supposed to be responsible for that?

13 Lust in Your Business Focusing on problemsFocusing on problems I don’t have the timeI don’t have the time I don’t have the resources to do thatI don’t have the resources to do that I need to fight fires!I need to fight fires! Focusing on problemsFocusing on problems I don’t have the timeI don’t have the time I don’t have the resources to do thatI don’t have the resources to do that I need to fight fires!I need to fight fires!

14 The “Business Virtue” that counteracts Lust: Planning Know what you want from your businessKnow what you want from your business Have criteria for assessing opportunitiesHave criteria for assessing opportunities Prioritize projects and tasksPrioritize projects and tasks Provide employees with concrete action items, goals and deadlinesProvide employees with concrete action items, goals and deadlines Manage what you measureManage what you measure Start from TODAY- not 5 years from now!Start from TODAY- not 5 years from now! Know what you want from your businessKnow what you want from your business Have criteria for assessing opportunitiesHave criteria for assessing opportunities Prioritize projects and tasksPrioritize projects and tasks Provide employees with concrete action items, goals and deadlinesProvide employees with concrete action items, goals and deadlines Manage what you measureManage what you measure Start from TODAY- not 5 years from now!Start from TODAY- not 5 years from now!

15 Planning: Step by Step Start with your Personal VisionStart with your Personal Vision What do you want from your company?What do you want from your company? Be specific:Be specific: A 32 hour work weekA 32 hour work week A house at the lake costing $350,000A house at the lake costing $350,000 Travel to Europe at least every two yearsTravel to Europe at least every two years Put my daughter through medical schoolPut my daughter through medical school Start with your Personal VisionStart with your Personal Vision What do you want from your company?What do you want from your company? Be specific:Be specific: A 32 hour work weekA 32 hour work week A house at the lake costing $350,000A house at the lake costing $350,000 Travel to Europe at least every two yearsTravel to Europe at least every two years Put my daughter through medical schoolPut my daughter through medical school

16 Planning: Step by Step Your Personal Vision grows into a Shared Vision for the companyYour Personal Vision grows into a Shared Vision for the company How much business is needed to generate your target income?How much business is needed to generate your target income? How many employees are needed to do the jobs you are doing?How many employees are needed to do the jobs you are doing? Your Personal Vision grows into a Shared Vision for the companyYour Personal Vision grows into a Shared Vision for the company How much business is needed to generate your target income?How much business is needed to generate your target income? How many employees are needed to do the jobs you are doing?How many employees are needed to do the jobs you are doing?

17 Planning: Step by Step Goals, Strategies and Action PlansGoals, Strategies and Action Plans Goal #1: Grow revenues by 17% next year while maintaining profitability.Goal #1: Grow revenues by 17% next year while maintaining profitability. Strategy #1: Identify areas where current customers could purchase additional lines from our company.Strategy #1: Identify areas where current customers could purchase additional lines from our company. Action Plan #1: Bob Jones, Controller, to provide sales department with customer purchasing analysis by line no later than 2/15/08Action Plan #1: Bob Jones, Controller, to provide sales department with customer purchasing analysis by line no later than 2/15/08 Action Plan #2: Mary Smith, Sales Manager, to present spreadsheet showing opportunities by customer no later than 4/1/08Action Plan #2: Mary Smith, Sales Manager, to present spreadsheet showing opportunities by customer no later than 4/1/08 Action Plan #3: Salespeople to deliver projections of new business by customer art sales meeting of 4/15/08Action Plan #3: Salespeople to deliver projections of new business by customer art sales meeting of 4/15/08 Goals, Strategies and Action PlansGoals, Strategies and Action Plans Goal #1: Grow revenues by 17% next year while maintaining profitability.Goal #1: Grow revenues by 17% next year while maintaining profitability. Strategy #1: Identify areas where current customers could purchase additional lines from our company.Strategy #1: Identify areas where current customers could purchase additional lines from our company. Action Plan #1: Bob Jones, Controller, to provide sales department with customer purchasing analysis by line no later than 2/15/08Action Plan #1: Bob Jones, Controller, to provide sales department with customer purchasing analysis by line no later than 2/15/08 Action Plan #2: Mary Smith, Sales Manager, to present spreadsheet showing opportunities by customer no later than 4/1/08Action Plan #2: Mary Smith, Sales Manager, to present spreadsheet showing opportunities by customer no later than 4/1/08 Action Plan #3: Salespeople to deliver projections of new business by customer art sales meeting of 4/15/08Action Plan #3: Salespeople to deliver projections of new business by customer art sales meeting of 4/15/08

18 The Second Deadly Sin: Gluttony Glutton: A person with a remarkably great desire or capacity for something.Glutton: A person with a remarkably great desire or capacity for something. Usage:Usage: A glutton for workA glutton for work A glutton for punishmentA glutton for punishment Glutton: A person with a remarkably great desire or capacity for something.Glutton: A person with a remarkably great desire or capacity for something. Usage:Usage: A glutton for workA glutton for work A glutton for punishmentA glutton for punishment

19 Signs of Gluttony in Your Business You are the first one in each morningYou are the first one in each morning You are the last to go home each nightYou are the last to go home each night You work weekends, the employees don’tYou work weekends, the employees don’t Your “to do” list can’t fit on one sheet of paper, even with columnsYour “to do” list can’t fit on one sheet of paper, even with columns You work only on the next most pressing deadlineYou work only on the next most pressing deadline All of the aboveAll of the above You are the first one in each morningYou are the first one in each morning You are the last to go home each nightYou are the last to go home each night You work weekends, the employees don’tYou work weekends, the employees don’t Your “to do” list can’t fit on one sheet of paper, even with columnsYour “to do” list can’t fit on one sheet of paper, even with columns You work only on the next most pressing deadlineYou work only on the next most pressing deadline All of the aboveAll of the above

20 Characteristics of Gluttony “I know each job in this company”“I know each job in this company” “Never mind- I’ll just do it myself”“Never mind- I’ll just do it myself” You cringe at a big new customer, because it means more work for you.You cringe at a big new customer, because it means more work for you. The ‘Entrepreneur’s Catch 22”The ‘Entrepreneur’s Catch 22” “I could really make this company take off, if only I had one more really good person, but good people cost money, so I can’t hire one until we grow a little more, but I can’t see how we can grow, because I’m working as hard as I can right now, and I can’t do any more until I have one more good person.”“I could really make this company take off, if only I had one more really good person, but good people cost money, so I can’t hire one until we grow a little more, but I can’t see how we can grow, because I’m working as hard as I can right now, and I can’t do any more until I have one more good person.” “I know each job in this company”“I know each job in this company” “Never mind- I’ll just do it myself”“Never mind- I’ll just do it myself” You cringe at a big new customer, because it means more work for you.You cringe at a big new customer, because it means more work for you. The ‘Entrepreneur’s Catch 22”The ‘Entrepreneur’s Catch 22” “I could really make this company take off, if only I had one more really good person, but good people cost money, so I can’t hire one until we grow a little more, but I can’t see how we can grow, because I’m working as hard as I can right now, and I can’t do any more until I have one more good person.”“I could really make this company take off, if only I had one more really good person, but good people cost money, so I can’t hire one until we grow a little more, but I can’t see how we can grow, because I’m working as hard as I can right now, and I can’t do any more until I have one more good person.”

21 Characteristics of Gluttony Monkey Management!Monkey Management! The employees are delegating to you!The employees are delegating to you! “Hey Boss, we have a problem on the Sanderson deal.”“Hey Boss, we have a problem on the Sanderson deal.” “I talked to production, but they never got back to me.”“I talked to production, but they never got back to me.” “I’m not sure what to do next, can you review my project for me?”“I’m not sure what to do next, can you review my project for me?” “You know more about that customer than I do.“You know more about that customer than I do. Monkey Management!Monkey Management! The employees are delegating to you!The employees are delegating to you! “Hey Boss, we have a problem on the Sanderson deal.”“Hey Boss, we have a problem on the Sanderson deal.” “I talked to production, but they never got back to me.”“I talked to production, but they never got back to me.” “I’m not sure what to do next, can you review my project for me?”“I’m not sure what to do next, can you review my project for me?” “You know more about that customer than I do.“You know more about that customer than I do.

22 The “Business Virtue” that counteracts Gluttony: Delegation Stop accepting assignments from your employeesStop accepting assignments from your employees Start teaching them how to solve their own problemsStart teaching them how to solve their own problems Develop a system for assigning tasks, following up, and both ensuring and insuring resultsDevelop a system for assigning tasks, following up, and both ensuring and insuring results Stop accepting assignments from your employeesStop accepting assignments from your employees Start teaching them how to solve their own problemsStart teaching them how to solve their own problems Develop a system for assigning tasks, following up, and both ensuring and insuring resultsDevelop a system for assigning tasks, following up, and both ensuring and insuring results

23 Delegation: Step by Step Develop Your “Straddle Reflex”Develop Your “Straddle Reflex” “Since I didn’t have a problem a minute ago, I assume that by ‘we’ you mean that you have a problem.”“Since I didn’t have a problem a minute ago, I assume that by ‘we’ you mean that you have a problem.” “You aren’t asking me to go to production to get your answer for you, are you?”“You aren’t asking me to go to production to get your answer for you, are you?” “What is the next step that you were planning to take?”“What is the next step that you were planning to take?” What have you done to get up to speed on this customer, so that you don’t need me to be your reference point?”What have you done to get up to speed on this customer, so that you don’t need me to be your reference point?” Develop Your “Straddle Reflex”Develop Your “Straddle Reflex” “Since I didn’t have a problem a minute ago, I assume that by ‘we’ you mean that you have a problem.”“Since I didn’t have a problem a minute ago, I assume that by ‘we’ you mean that you have a problem.” “You aren’t asking me to go to production to get your answer for you, are you?”“You aren’t asking me to go to production to get your answer for you, are you?” “What is the next step that you were planning to take?”“What is the next step that you were planning to take?” What have you done to get up to speed on this customer, so that you don’t need me to be your reference point?”What have you done to get up to speed on this customer, so that you don’t need me to be your reference point?”

24 Delegation: Step by Step Define the ‘next move’Define the ‘next move’ The issue and action are clarifiedThe issue and action are clarified The first step is clearly definedThe first step is clearly defined The task is reduced to a “bite-sized” pieceThe task is reduced to a “bite-sized” piece Focus is shifted to short-term action.Focus is shifted to short-term action. Assign ResponsibilityAssign Responsibility (Sometimes (not often) it is really your problem(Sometimes (not often) it is really your problem Make sure the employee affirms that he/she is the one who will actMake sure the employee affirms that he/she is the one who will act Define the ‘next move’Define the ‘next move’ The issue and action are clarifiedThe issue and action are clarified The first step is clearly definedThe first step is clearly defined The task is reduced to a “bite-sized” pieceThe task is reduced to a “bite-sized” piece Focus is shifted to short-term action.Focus is shifted to short-term action. Assign ResponsibilityAssign Responsibility (Sometimes (not often) it is really your problem(Sometimes (not often) it is really your problem Make sure the employee affirms that he/she is the one who will actMake sure the employee affirms that he/she is the one who will act

25 Delegation: Step by Step Insure the riskInsure the risk Small downside: “Act, then inform me of what you have done.”Small downside: “Act, then inform me of what you have done.” Big downside: “Decide what you are going to do, but check with me before acting.Big downside: “Decide what you are going to do, but check with me before acting. Schedule the follow upSchedule the follow up Calendar a specific date and time for a report on the outcomeCalendar a specific date and time for a report on the outcome Insure the riskInsure the risk Small downside: “Act, then inform me of what you have done.”Small downside: “Act, then inform me of what you have done.” Big downside: “Decide what you are going to do, but check with me before acting.Big downside: “Decide what you are going to do, but check with me before acting. Schedule the follow upSchedule the follow up Calendar a specific date and time for a report on the outcomeCalendar a specific date and time for a report on the outcome

26 The Third Deadly Sin: Sloth A disinclination to work or exert yourselfA disinclination to work or exert yourself Apathy and inactivity in the practice of virtueApathy and inactivity in the practice of virtue In business: settling for “good enough”In business: settling for “good enough” A disinclination to work or exert yourselfA disinclination to work or exert yourself Apathy and inactivity in the practice of virtueApathy and inactivity in the practice of virtue In business: settling for “good enough”In business: settling for “good enough”

27 Signs of Sloth in Your Business Lackluster salesLackluster sales Financial reports are late or inaccurateFinancial reports are late or inaccurate No employee turnoverNo employee turnover Eroding marginsEroding margins No exit, succession or disaster planNo exit, succession or disaster plan Lackluster salesLackluster sales Financial reports are late or inaccurateFinancial reports are late or inaccurate No employee turnoverNo employee turnover Eroding marginsEroding margins No exit, succession or disaster planNo exit, succession or disaster plan

28 Characteristics of Sloth “That’s good enough to ship, we are behind as it is.”“That’s good enough to ship, we are behind as it is.” I know that it’s supposed to be Bob’s responsibility, but I’d rather you handled it.”I know that it’s supposed to be Bob’s responsibility, but I’d rather you handled it.” “That bank wants to see our financials again.”“That bank wants to see our financials again.” “We’re making a good profit, I think.”“We’re making a good profit, I think.” “That’s good enough to ship, we are behind as it is.”“That’s good enough to ship, we are behind as it is.” I know that it’s supposed to be Bob’s responsibility, but I’d rather you handled it.”I know that it’s supposed to be Bob’s responsibility, but I’d rather you handled it.” “That bank wants to see our financials again.”“That bank wants to see our financials again.” “We’re making a good profit, I think.”“We’re making a good profit, I think.”

29 The “Business Virtue” that counteracts Sloth: Benchmarking Measure how your company stands upMeasure how your company stands up Against others in your marketAgainst others in your market Against others in your industryAgainst others in your industry Against itselfAgainst itself Measure how your employees stand upMeasure how your employees stand up Make expectations clearMake expectations clear Track growth and developmentTrack growth and development Identify performersIdentify performers Eliminate losersEliminate losers KNOW whether you measure up!KNOW whether you measure up! Measure how your company stands upMeasure how your company stands up Against others in your marketAgainst others in your market Against others in your industryAgainst others in your industry Against itselfAgainst itself Measure how your employees stand upMeasure how your employees stand up Make expectations clearMake expectations clear Track growth and developmentTrack growth and development Identify performersIdentify performers Eliminate losersEliminate losers KNOW whether you measure up!KNOW whether you measure up!

30 Benchmarking: Your Company “Common Size” financial statements“Common Size” financial statements All expense items calculated as a percentage of salesAll expense items calculated as a percentage of sales Minimum three years history to startMinimum three years history to start Review all items that are a higher percentage than 3 years ago. Why?Review all items that are a higher percentage than 3 years ago. Why? “Common Size” financial statements“Common Size” financial statements All expense items calculated as a percentage of salesAll expense items calculated as a percentage of sales Minimum three years history to startMinimum three years history to start Review all items that are a higher percentage than 3 years ago. Why?Review all items that are a higher percentage than 3 years ago. Why?

31 Benchmarking: Your Company Industry ComparisonsIndustry Comparisons Side by side with other distributors, contractors or professional servicesSide by side with other distributors, contractors or professional services Risk Management Associates (RMA) available through many banksRisk Management Associates (RMA) available through many banks ProfitCents® available through many CPA firmsProfitCents® available through many CPA firms Industry ComparisonsIndustry Comparisons Side by side with other distributors, contractors or professional servicesSide by side with other distributors, contractors or professional services Risk Management Associates (RMA) available through many banksRisk Management Associates (RMA) available through many banks ProfitCents® available through many CPA firmsProfitCents® available through many CPA firms

32 Benchmarking: Your Company Market comparisons:Market comparisons: Side by side with others in your specific industry, or geographic marketplaceSide by side with others in your specific industry, or geographic marketplace Association surveysAssociation surveys Trade group dataTrade group data Government agenciesGovernment agencies Salary surveysSalary surveys Market comparisons:Market comparisons: Side by side with others in your specific industry, or geographic marketplaceSide by side with others in your specific industry, or geographic marketplace Association surveysAssociation surveys Trade group dataTrade group data Government agenciesGovernment agencies Salary surveysSalary surveys

33 Benchmarking: Your employees Detailed job descriptionsDetailed job descriptions Pay for performance based on job description measurementsPay for performance based on job description measurements Merit and incentive compensationMerit and incentive compensation Clear advancement paths and criteriaClear advancement paths and criteria Topgrading: elimination of poor performersTopgrading: elimination of poor performers Detailed job descriptionsDetailed job descriptions Pay for performance based on job description measurementsPay for performance based on job description measurements Merit and incentive compensationMerit and incentive compensation Clear advancement paths and criteriaClear advancement paths and criteria Topgrading: elimination of poor performersTopgrading: elimination of poor performers When asked to name the biggest mistake they had made in their business, 61% of TAB members in North America answered “Not firing someone long before I actually did it.”

34 The Fourth Deadly Sin: Greed Excessive or rapacious desireExcessive or rapacious desire Dictionary Note: may be applied to all avid desires, and is not necessarily uncomplimentary.Dictionary Note: may be applied to all avid desires, and is not necessarily uncomplimentary. Usage: “He devoured each book greedily, as if every bit of knowledge were precious.”Usage: “He devoured each book greedily, as if every bit of knowledge were precious.” Excessive or rapacious desireExcessive or rapacious desire Dictionary Note: may be applied to all avid desires, and is not necessarily uncomplimentary.Dictionary Note: may be applied to all avid desires, and is not necessarily uncomplimentary. Usage: “He devoured each book greedily, as if every bit of knowledge were precious.”Usage: “He devoured each book greedily, as if every bit of knowledge were precious.”

35 Signs of Greed in Your Business Not for personal gain- it isn’t personal greedNot for personal gain- it isn’t personal greed Profits come as an accidental result of squeezing every expenseProfits come as an accidental result of squeezing every expense Every major expenditure is an unpleasant surpriseEvery major expenditure is an unpleasant surprise Not for personal gain- it isn’t personal greedNot for personal gain- it isn’t personal greed Profits come as an accidental result of squeezing every expenseProfits come as an accidental result of squeezing every expense Every major expenditure is an unpleasant surpriseEvery major expenditure is an unpleasant surprise

36 Characteristics of Greed No one gets a raise unless they ask for itNo one gets a raise unless they ask for it Computers and technology are datedComputers and technology are dated Your Website looks like it was done by a 14 year oldYour Website looks like it was done by a 14 year old Your office is a tribute to the durability of faux-wood panelingYour office is a tribute to the durability of faux-wood paneling Maintenance and Repair expenses increase every yearMaintenance and Repair expenses increase every year No one gets a raise unless they ask for itNo one gets a raise unless they ask for it Computers and technology are datedComputers and technology are dated Your Website looks like it was done by a 14 year oldYour Website looks like it was done by a 14 year old Your office is a tribute to the durability of faux-wood panelingYour office is a tribute to the durability of faux-wood paneling Maintenance and Repair expenses increase every yearMaintenance and Repair expenses increase every year

37 The “Business Virtue” that counteracts Greed: Budgeting Schedule profit as a normal result of business activitiesSchedule profit as a normal result of business activities Requires 2 other virtues: Planning and BenchmarkingRequires 2 other virtues: Planning and Benchmarking Build in efficiencies from new equipment and technologyBuild in efficiencies from new equipment and technology Present a more attractive face to customers, vendors and prospective employees.Present a more attractive face to customers, vendors and prospective employees. Schedule profit as a normal result of business activitiesSchedule profit as a normal result of business activities Requires 2 other virtues: Planning and BenchmarkingRequires 2 other virtues: Planning and Benchmarking Build in efficiencies from new equipment and technologyBuild in efficiencies from new equipment and technology Present a more attractive face to customers, vendors and prospective employees.Present a more attractive face to customers, vendors and prospective employees.

38 Budgeting: Step by Step RevenuesRevenues Which lines or services are most profitable?Which lines or services are most profitable? Which customers are most profitable?Which customers are most profitable? Where do you have unused capacity?Where do you have unused capacity? Where are there available economies of scale?Where are there available economies of scale? Where are your competitors weakest?Where are your competitors weakest? RevenuesRevenues Which lines or services are most profitable?Which lines or services are most profitable? Which customers are most profitable?Which customers are most profitable? Where do you have unused capacity?Where do you have unused capacity? Where are there available economies of scale?Where are there available economies of scale? Where are your competitors weakest?Where are your competitors weakest?

39 Budgeting: Step by Step ExpensesExpenses What will have to increase? (e.g. fuel)What will have to increase? (e.g. fuel) What will not increase? (rent)What will not increase? (rent) What increases with sales? (COGS, commissions)What increases with sales? (COGS, commissions) What needs to be held in check?What needs to be held in check? ExpensesExpenses What will have to increase? (e.g. fuel)What will have to increase? (e.g. fuel) What will not increase? (rent)What will not increase? (rent) What increases with sales? (COGS, commissions)What increases with sales? (COGS, commissions) What needs to be held in check?What needs to be held in check?

40 Budgeting: Step by Step “Discretionary” Expenses“Discretionary” Expenses What should be upgraded this year?What should be upgraded this year? What would make the business better, more pleasant, more fun?What would make the business better, more pleasant, more fun? What is one the “wish list?” Pick one or twoWhat is one the “wish list?” Pick one or two “Discretionary” Expenses“Discretionary” Expenses What should be upgraded this year?What should be upgraded this year? What would make the business better, more pleasant, more fun?What would make the business better, more pleasant, more fun? What is one the “wish list?” Pick one or twoWhat is one the “wish list?” Pick one or two

41 Budgeting: Step by Step Profits!Profits! What represents:What represents: A fair return on your investment?A fair return on your investment? Security for the future?Security for the future? Achievement of your Personal Vision?Achievement of your Personal Vision? If it isn’t there, after all expenses, then:If it isn’t there, after all expenses, then: What prices need to be raised?What prices need to be raised? What less profitable lines or customers need to be dropped to free up resources?What less profitable lines or customers need to be dropped to free up resources? What new opportunities need to be realized?What new opportunities need to be realized? Profits!Profits! What represents:What represents: A fair return on your investment?A fair return on your investment? Security for the future?Security for the future? Achievement of your Personal Vision?Achievement of your Personal Vision? If it isn’t there, after all expenses, then:If it isn’t there, after all expenses, then: What prices need to be raised?What prices need to be raised? What less profitable lines or customers need to be dropped to free up resources?What less profitable lines or customers need to be dropped to free up resources? What new opportunities need to be realized?What new opportunities need to be realized?

42 The Fifth Deadly Sin: Wrath Belligerence aroused by a real or supposed wrongBelligerence aroused by a real or supposed wrong

43 Signs of Wrath in Your Business Things don’t get done unless you see to them yourselfThings don’t get done unless you see to them yourself You are afraid to take a long vacationYou are afraid to take a long vacation Employees tread lightly on your bad daysEmployees tread lightly on your bad days Employee complain about each other…to you.Employee complain about each other…to you. Management by exceptionManagement by exception Most of your internal processes are to check for mistakes or omissionsMost of your internal processes are to check for mistakes or omissions Things don’t get done unless you see to them yourselfThings don’t get done unless you see to them yourself You are afraid to take a long vacationYou are afraid to take a long vacation Employees tread lightly on your bad daysEmployees tread lightly on your bad days Employee complain about each other…to you.Employee complain about each other…to you. Management by exceptionManagement by exception Most of your internal processes are to check for mistakes or omissionsMost of your internal processes are to check for mistakes or omissions

44 Characteristics of Wrath “But I pay them to work”“But I pay them to work” “Why can’t they think like me?”“Why can’t they think like me?” “Am I the only one who can solve problems around here?”“Am I the only one who can solve problems around here?” “I’m tired from pushing and pushing to get things done on time.”“I’m tired from pushing and pushing to get things done on time.” “Do you understand the meaning of the word ‘deadline?’”“Do you understand the meaning of the word ‘deadline?’” “But I pay them to work”“But I pay them to work” “Why can’t they think like me?”“Why can’t they think like me?” “Am I the only one who can solve problems around here?”“Am I the only one who can solve problems around here?” “I’m tired from pushing and pushing to get things done on time.”“I’m tired from pushing and pushing to get things done on time.” “Do you understand the meaning of the word ‘deadline?’”“Do you understand the meaning of the word ‘deadline?’”

45 The “Business Virtue” that counteracts Wrath: Empowerment Helping employees think for the business, not for themselvesHelping employees think for the business, not for themselves Much more than delegationMuch more than delegation Delegation is getting them to answer the questionsDelegation is getting them to answer the questions Empowerment is getting them to ask the questionsEmpowerment is getting them to ask the questions Helping employees think for the business, not for themselvesHelping employees think for the business, not for themselves Much more than delegationMuch more than delegation Delegation is getting them to answer the questionsDelegation is getting them to answer the questions Empowerment is getting them to ask the questionsEmpowerment is getting them to ask the questions

46 Empowering your People Learn not to keep an eye on itLearn not to keep an eye on it Demand results, but don’t make them happenDemand results, but don’t make them happen Cut the people who can’t (or won’t) take responsibilityCut the people who can’t (or won’t) take responsibility Accepting failure and (budgeted!) additional expense is part of the learning processAccepting failure and (budgeted!) additional expense is part of the learning process Learn not to keep an eye on itLearn not to keep an eye on it Demand results, but don’t make them happenDemand results, but don’t make them happen Cut the people who can’t (or won’t) take responsibilityCut the people who can’t (or won’t) take responsibility Accepting failure and (budgeted!) additional expense is part of the learning processAccepting failure and (budgeted!) additional expense is part of the learning process

47 The Risks of Empowerment BIGGEST RISK- EGO DAMAGE!: You don’t get to be the Answer Man (or Answer Woman)BIGGEST RISK- EGO DAMAGE!: You don’t get to be the Answer Man (or Answer Woman) You have to find something else to do with your timeYou have to find something else to do with your time Your voice mail, and desk inbox are emptyYour voice mail, and desk inbox are empty You have to find out whether what you have said for years (I could, if only I had the time.”) is really true.You have to find out whether what you have said for years (I could, if only I had the time.”) is really true. BIGGEST RISK- EGO DAMAGE!: You don’t get to be the Answer Man (or Answer Woman)BIGGEST RISK- EGO DAMAGE!: You don’t get to be the Answer Man (or Answer Woman) You have to find something else to do with your timeYou have to find something else to do with your time Your voice mail, and desk inbox are emptyYour voice mail, and desk inbox are empty You have to find out whether what you have said for years (I could, if only I had the time.”) is really true.You have to find out whether what you have said for years (I could, if only I had the time.”) is really true.

48 The Rewards of Empowerment Loyal employees who find working for you to be rewardingLoyal employees who find working for you to be rewarding Flexibility to focus on new things, company improvementsFlexibility to focus on new things, company improvements Business growsBusiness grows Profits growProfits grow Stress shrinksStress shrinks Work week shrinksWork week shrinks Loyal employees who find working for you to be rewardingLoyal employees who find working for you to be rewarding Flexibility to focus on new things, company improvementsFlexibility to focus on new things, company improvements Business growsBusiness grows Profits growProfits grow Stress shrinksStress shrinks Work week shrinksWork week shrinks

49 The Sixth Deadly Sin: Pride A high opinion of one’s own dignity, importance, merit or superiority.A high opinion of one’s own dignity, importance, merit or superiority.

50 Signs of Pride in Your Business You should be proud of your business, butYou should be proud of your business, but You weren’t given a magic ability to judge people on sightYou weren’t given a magic ability to judge people on sight You can’t deliver every order by yourselfYou can’t deliver every order by yourself Just because no one can yell at you doesn’t mean you aren’t accountableJust because no one can yell at you doesn’t mean you aren’t accountable You don’t have every answerYou don’t have every answer You should be proud of your business, butYou should be proud of your business, but You weren’t given a magic ability to judge people on sightYou weren’t given a magic ability to judge people on sight You can’t deliver every order by yourselfYou can’t deliver every order by yourself Just because no one can yell at you doesn’t mean you aren’t accountableJust because no one can yell at you doesn’t mean you aren’t accountable You don’t have every answerYou don’t have every answer

51 Characteristics of Pride You are afraid to reveal “weakness” to your employeesYou are afraid to reveal “weakness” to your employees You won’t ask for help, because you are not supposed to need itYou won’t ask for help, because you are not supposed to need it You refuse to commit to personal deadlines in front of employeesYou refuse to commit to personal deadlines in front of employees You resist outside ideas, because “It wasn’t invented here.”You resist outside ideas, because “It wasn’t invented here.” All action sentences use “I,” not “we.”All action sentences use “I,” not “we.” You are afraid to reveal “weakness” to your employeesYou are afraid to reveal “weakness” to your employees You won’t ask for help, because you are not supposed to need itYou won’t ask for help, because you are not supposed to need it You refuse to commit to personal deadlines in front of employeesYou refuse to commit to personal deadlines in front of employees You resist outside ideas, because “It wasn’t invented here.”You resist outside ideas, because “It wasn’t invented here.” All action sentences use “I,” not “we.”All action sentences use “I,” not “we.”

52 The “Business Virtue” that counteracts Pride: Leadership Leadership is…Leadership is… Sharing a visionSharing a vision Choosing a directionChoosing a direction Setting goalsSetting goals Removing roadblocksRemoving roadblocks Allocating resourcesAllocating resources Getting out of the way!Getting out of the way! Leadership is…Leadership is… Sharing a visionSharing a vision Choosing a directionChoosing a direction Setting goalsSetting goals Removing roadblocksRemoving roadblocks Allocating resourcesAllocating resources Getting out of the way!Getting out of the way!

53 Leadership is… Helping people to be their very bestHelping people to be their very best You created the positionYou created the position You wrote the job descriptionYou wrote the job description You set the performance requirementsYou set the performance requirements You made the hireYou made the hire You provided the trainingYou provided the training You determined the resources availableYou determined the resources available Before you decide an employee is failing, did you do the six things above well?Before you decide an employee is failing, did you do the six things above well? Helping people to be their very bestHelping people to be their very best You created the positionYou created the position You wrote the job descriptionYou wrote the job description You set the performance requirementsYou set the performance requirements You made the hireYou made the hire You provided the trainingYou provided the training You determined the resources availableYou determined the resources available Before you decide an employee is failing, did you do the six things above well?Before you decide an employee is failing, did you do the six things above well?

54 Leadership is… Vision and DirectionVision and Direction Knowing where your company is goingKnowing where your company is going Communicating it to othersCommunicating it to others Expecting results from qualified peopleExpecting results from qualified people Recognizing and rewarding performanceRecognizing and rewarding performance Vision and DirectionVision and Direction Knowing where your company is goingKnowing where your company is going Communicating it to othersCommunicating it to others Expecting results from qualified peopleExpecting results from qualified people Recognizing and rewarding performanceRecognizing and rewarding performance “I must go now and catch up to that crowd…I’m their leader!” Eugene Debs

55 The Seventh Deadly Sin: Envy A feeling of discontent or covetousness with regard to another’s advantages, success or possessions.A feeling of discontent or covetousness with regard to another’s advantages, success or possessions.

56 Signs of Envy in Your Company Other people have better employeesOther people have better employees Other people make more moneyOther people make more money Other people have a better personal lifeOther people have a better personal life Other people don’t have these problemsOther people don’t have these problems “There isn’t any other business that is as difficult as mine.”“There isn’t any other business that is as difficult as mine.” Other people have better employeesOther people have better employees Other people make more moneyOther people make more money Other people have a better personal lifeOther people have a better personal life Other people don’t have these problemsOther people don’t have these problems “There isn’t any other business that is as difficult as mine.”“There isn’t any other business that is as difficult as mine.”

57 Characteristics of Envy You reply to questions about your business with a “rosy” picture that avoids detailsYou reply to questions about your business with a “rosy” picture that avoids details You don’t have a relationship with an attorneyYou don’t have a relationship with an attorney You talk to your CPA once a yearYou talk to your CPA once a year You don’t know the name of your bank officerYou don’t know the name of your bank officer You Think you are the only one!You Think you are the only one! You reply to questions about your business with a “rosy” picture that avoids detailsYou reply to questions about your business with a “rosy” picture that avoids details You don’t have a relationship with an attorneyYou don’t have a relationship with an attorney You talk to your CPA once a yearYou talk to your CPA once a year You don’t know the name of your bank officerYou don’t know the name of your bank officer You Think you are the only one!You Think you are the only one!

58 The “Business Virtue” that counteracts Envy: Advice The three legged stool:The three legged stool: Financial adviceFinancial advice Legal adviceLegal advice Business adviceBusiness advice The three legged stool:The three legged stool: Financial adviceFinancial advice Legal adviceLegal advice Business adviceBusiness advice

59 Financial Advice: Your CPA:Your CPA: Tax planningTax planning Capital structuring (leases and purchases)Capital structuring (leases and purchases) Appropriate use of debtAppropriate use of debt Your Banker:Your Banker: Treasury servicesTreasury services FinancingFinancing Your CPA:Your CPA: Tax planningTax planning Capital structuring (leases and purchases)Capital structuring (leases and purchases) Appropriate use of debtAppropriate use of debt Your Banker:Your Banker: Treasury servicesTreasury services FinancingFinancing

60 Legal Advice: Labor lawLabor law ContractsContracts Intellectual propertyIntellectual property Non-competesNon-competes Regulatory complianceRegulatory compliance Product liabilityProduct liability LitigationLitigation Labor lawLabor law ContractsContracts Intellectual propertyIntellectual property Non-competesNon-competes Regulatory complianceRegulatory compliance Product liabilityProduct liability LitigationLitigation

61 Business Advice 80% of running a business is running the business80% of running a business is running the business Recruiting and selectionRecruiting and selection MarketingMarketing SalesSales Employee motivationEmployee motivation PurchasingPurchasing 80% of running a business is running the business80% of running a business is running the business Recruiting and selectionRecruiting and selection MarketingMarketing SalesSales Employee motivationEmployee motivation PurchasingPurchasing

62 Business Advice 80% of running a business is running the business80% of running a business is running the business Compensation and incentivesCompensation and incentives New technologyNew technology Judging economic conditionsJudging economic conditions Real estate, equipmentReal estate, equipment CollectionsCollections Understanding when it’s just tough to face it alone.Understanding when it’s just tough to face it alone. 80% of running a business is running the business80% of running a business is running the business Compensation and incentivesCompensation and incentives New technologyNew technology Judging economic conditionsJudging economic conditions Real estate, equipmentReal estate, equipment CollectionsCollections Understanding when it’s just tough to face it alone.Understanding when it’s just tough to face it alone.

63 Business Advice- where? CPAs, attorneys and bankers don’t run companies!CPAs, attorneys and bankers don’t run companies! Financial and legal expertise is not business expertise!Financial and legal expertise is not business expertise! ConsultantsConsultants Board of DirectorsBoard of Directors Peer groupsPeer groups Trade or Professional associationsTrade or Professional associations SCORE, SBDCs, UniversitiesSCORE, SBDCs, Universities CPAs, attorneys and bankers don’t run companies!CPAs, attorneys and bankers don’t run companies! Financial and legal expertise is not business expertise!Financial and legal expertise is not business expertise! ConsultantsConsultants Board of DirectorsBoard of Directors Peer groupsPeer groups Trade or Professional associationsTrade or Professional associations SCORE, SBDCs, UniversitiesSCORE, SBDCs, Universities

64 The Two Slide Commercial- Slide 1 TAB Members receive:TAB Members receive: A trained professional, personal coachA trained professional, personal coach An outside Board of Advisors with 200 years of ownership and management experienceAn outside Board of Advisors with 200 years of ownership and management experience An objective look at their businessAn objective look at their business Ideas and opinions other than their ownIdeas and opinions other than their own People who get it “In the lying awake at 2 o’clock in the morning sense of owning a business.”People who get it “In the lying awake at 2 o’clock in the morning sense of owning a business.” TAB Members receive:TAB Members receive: A trained professional, personal coachA trained professional, personal coach An outside Board of Advisors with 200 years of ownership and management experienceAn outside Board of Advisors with 200 years of ownership and management experience An objective look at their businessAn objective look at their business Ideas and opinions other than their ownIdeas and opinions other than their own People who get it “In the lying awake at 2 o’clock in the morning sense of owning a business.”People who get it “In the lying awake at 2 o’clock in the morning sense of owning a business.”

65 The Two Slide Commercial- Slide 2 Strategic Business Leadership® Planning processStrategic Business Leadership® Planning process ProfitCents® financial benchmarkingProfitCents® financial benchmarking TAB Vantage® operational benchmarkingTAB Vantage® operational benchmarking Personal Vision developmentPersonal Vision development Goals and accountability every monthGoals and accountability every month Strategic Business Leadership® Planning processStrategic Business Leadership® Planning process ProfitCents® financial benchmarkingProfitCents® financial benchmarking TAB Vantage® operational benchmarkingTAB Vantage® operational benchmarking Personal Vision developmentPersonal Vision development Goals and accountability every monthGoals and accountability every month All included for less than the cost of a monthly car payment

66 Resource List: Planning: Business Plan Pro, The E-Myth RevisitedPlanning: Business Plan Pro, The E-Myth Revisited Delegation: The One Minute Manager Meets the Monkey,Delegation: The One Minute Manager Meets the Monkey, Benchmarking: Banker, CPA or TAB coach, trade association, SBABenchmarking: Banker, CPA or TAB coach, trade association, SBA Budgeting: Internal Discipline: Just Do It!Budgeting: Internal Discipline: Just Do It! Empowerment: The Question Before the QuestionEmpowerment: The Question Before the Question Leadership: The 7 Habits of Highly Effective People, Good to GreatLeadership: The 7 Habits of Highly Effective People, Good to Great Advice: The three legged stool (CPA, Attorney, Operational Expert) see slidesAdvice: The three legged stool (CPA, Attorney, Operational Expert) see slides Planning: Business Plan Pro, The E-Myth RevisitedPlanning: Business Plan Pro, The E-Myth Revisited Delegation: The One Minute Manager Meets the Monkey,Delegation: The One Minute Manager Meets the Monkey, Benchmarking: Banker, CPA or TAB coach, trade association, SBABenchmarking: Banker, CPA or TAB coach, trade association, SBA Budgeting: Internal Discipline: Just Do It!Budgeting: Internal Discipline: Just Do It! Empowerment: The Question Before the QuestionEmpowerment: The Question Before the Question Leadership: The 7 Habits of Highly Effective People, Good to GreatLeadership: The 7 Habits of Highly Effective People, Good to Great Advice: The three legged stool (CPA, Attorney, Operational Expert) see slidesAdvice: The three legged stool (CPA, Attorney, Operational Expert) see slides

67 Thank You! The 7 Sins of Business Owners is available as a 3 hour presentation for your trade, professional or industry association John F. Dini, CMBA, CBI, BCB MPN Incorporated Radium St. Suite 100 San Antonio, TX (210)


Download ppt "The Original Seven Deadly Sins First formulated by St. John Cassian (360-435 AD)First formulated by St. John Cassian (360-435 AD) Codified by Pope Gregory."

Similar presentations


Ads by Google