Chart Your Course to Business Success May 29, 2012 Chart Your Course to Business Success Advisors On Target On Target Business Intensive: Session 10

Implementation Steps Session 1 Session 2 Session 3 Create a working draft of your Mission Statement Create a working draft of your 1 and 5 year Vision Answer the 10 questions on the handout Session 2 Review your own financial statements and chart of accounts with what you learned in Session 2 Session 3 Create a budget for 2012 If you already have a budget, review and revise as needed Use the cashflow projection model (at the bottom of the budget tool) 2

Implementation Steps (cont.) Session 4 Determine your breakeven point for your 2012 budget Annual For the month of May 2012 Define your target markets (Fill in Marketing Plan – Part 1) Do a competition analysis (Fill in Marketing Plan – Part 2) Session 5 Define Marketing Strategies (Fill in Marketing Plan – Part 3) Create a Marketing Budget using the template Session 6 Start Job Costing every job if you aren’t already Implement a system to track job profitability over time to measure progress Coach foremen to improve 3

Implementation Steps (cont.) Session 7 Review Job Process Outline and Job Process Checklist Customize Checklist for your company Start to implement a more organized approach to your job process – add structure a piece at a time Session 8 Schedule a recurring company meeting Create an agenda Hold your first meeting Session 9 Review PCSI Material Practice awareness and using your communication style Try using coaching conversations using the 5 step model Start Job Costing every job if you aren’t already Implement a system to track job profitability over time to measure progress Coach foremen to improve 4

Implementation Steps (cont.) Session 10 Additional activities Values Exercise Business Diagnostic Assessment

Agenda for today Finish Coaching Conversations Topic Recap last week – Questions about communication styles and coaching conversations Bringing it all back to your plan Specific Q & A Requests?

Discovery Questioning® Skill A systematic process of asking sharply focused questions To help individuals discover for themselves Coach Approach Listen for contextual clues Ask questions to promote self-discovery Continue to listen and use silence effectively Make questions relevant to move the conversation forward 7

Coaching Tip Deliver words, questions or statements using neutral language Neutral Language: is without judgment or blame does not evaluate is not about your ego avoids directing or leading the person to your solution is centered on facts supports the person to discover, move forward or re-evaluate S28 (3-10) 8

Messaging Skill Coach Approach Converting what you want to say to a language that is succinct, neutral and timely To share your thoughts in a way that opens the possibility for a shift to occur Coach Approach With trust established, convert what you want to say into: a concise question or statement using neutral language a message free of personal agenda Have an intention to move the person forward. Let the message sink in. Use silence effectively. 9

Messaging Make a request – get people to try something they may think is beyond them Identify gaps between the person’s intentions and their actual behavior By providing timely information creates the opportunity for a shift in thinking S30 (3-13) 10

Acknowledging and Celebrating Skill Focused feedback to acknowledge, celebrate or endorse positive contributions, learning and behaviors To create an environment of being valued Coach Approach Be genuine and timely Pinpoint specific contributions, learning or behaviors Identify the personal attributes or strengths displayed Use to lighten the intensity of a conversation 11

Coaching Conversation Model® U R E N T A L I Y O G Establish Focus Step 1 Step 2 Plan the Action Step 3 Remove Barriers Step 4 Recap Step 5 Discover Possibilities Coaching Through the Gap Coaching Skills Contextual Listening® Discovery Questioning® Messaging Acknowledging & Celebrating The Coaching Conversation Model® is a registered copyright of CoachWorks International, Dallas, TX USA and is used by CCUI with permission.

The Coaching Conversation Establish Focus Discover Possibilities Plan the Action Remove Barriers Recap S7 (2-2)

Step 1 - Establish Focus For the meeting For the task For the gap

Step 2 – Discover Possibilities Ask powerful questions Quiet your mind Listen non-judgmentally Paraphrase Draw out consequences Share personal experiences S9 (2-4)

Step 3 – Plan the Action Guide development of an action plan Focus on the desired outcome Divide into “byte size” chunks Set target dates for completion Define parameters to guide actions Identify role overlap Discuss how this project fits within the organization S10 (2-5)

Step 4 – Remove Barriers Ask questions to explore resource needs Clarify actions needed to clear barriers Support by ensuring cooperation S11 (2-6)

Step 5 - Recap Ask the individual to review the meeting Gain commitment to take action Re-emphasize your support and what you will do Establish accountability S12 (2-7)

Live Coaching Practice 2 Rounds (7 minutes each) Timing Scenario A coaches B B coaches A Timing 5 minutes coaching session 2 minutes feedback (coach then coachee) Scenario 1 person plays business owner, 1 plays foreman/team leader Foreman is not adequately leading/monitoring the job & his team’s performance S32 (3-18)

The power of an idea is only in its implementation…

What we have talked about Week 1 - Vision, Mission, Big Picture Strategy Week 2 – Effective Financial Management Week 3 – Creating a Budget/Profit Plan for 2012 Week 4 – Marketing Strategy Week 5 – Marketing Tactics Week 6 – Job Profitability and Production Week 7 – Client Process System Week 8 – Company Meetings Week 9 – Leadership, Delegation & Culture Week 10 – Business Planning/Strategy

Company Values Provide guidelines on how to proceed as one pursues organizational purpose. Answer the questions “What do I want to live by?” and “How?” Describe behaviors that demonstrate that the value is being lived. Review company or organizational values. (5 min.) Presented by Tony Ande, MBA, CPA

What is our Mission? What is our reason for being? What are our guiding principles?

Mission Statement A clear statement of your company’s long-term mission. Try to use words that will help direct the growth of your company, but be as concise as possible.

What is your Business Model? A business model describes the rationale of how an organization creates, delivers and captures value What is your reason for existence? What do you bring to the marketplace? What is the structure of your operations? How are you rewarded for what you do?

What business am I in? What do I do? What do I bring to the market? Value Proposition: The bundle of products and services that create value for a specific customer segment Who are my target markets? Customer Segments: The different groups of people or organizations your business aims to reach and serve

Core Competencies What factors will make the company succeed? What are your major competitive strengths?

Where do I want to go? What is my Vision for the company? Long term Short term

How do we get there from here? What is your current situation - where are you now? How do you see the business some time in the future - where do you want to get to? What are your strategies for how you are going to get there? What are your specific goals to be reached by particular dates so you can track your progress as you go?

Goals One year goals Five-year goals State specific measurable objectives State market share objectives State revenue/profitability objectives What are your plans for the future of the business? Growth? If so, at what rate and how will you achieve it?

Strategies How are you going to go about achieving your goals? What are the actions steps to carry out your strategies? What are your time frames for these?

SWOT analysis SWOT ANALYSIS Internal Assessment Of The Organization External Assessment Of The Environment Internal Assessment Of The Organization SWOT ANALYSIS Strengths Threats Weaknesses Opportunities

Strengths And Weaknesses – Looking Within

Scanning The External Environment Industry Competition Technology Customers Shareholder Circumstances Business Environment The Business

What’s next?

Review Review the tools and ideas you’ve gotten from this 10 week Intensive Review your Values, Mission and Vision Review your 1 year goal and 3-5 year goals Review where you are now (SWOT)

Plan Brainstorm strategies to bridge the gap between where you are now and where you want to be Write out the strategies you plan to use Create an Org chart for your company for year 1 and year 5 Create your Budget/Profit Plan for 2012 to achieve your year 1 goal Write out your Marketing Plan including your Customer Communications Plan for 2012 Create your Marketing Budget by Month Decide what other tools and ideas from the 10 Week Intensive will fit into your strategies

Do Write out an action plan for next steps to achieve your strategies based on your activities in the planning phase Decide who will carry out each action Assign a due date to each action

What do you need to succeed in this process? Set aside planning time Periodic mini-retreats Weekly calendared planning (1 hour) Look for ways to delegate Employees Spouse/Business Partner Outsource Use organizational tools Calendar Smart Phone

On the road to becoming an ON TARGET Contractor…

What is an On Target Contractor? Works ON the business A Leader with a visioN Known for InTegrity Accountable to self and company Applies best business pRactices Growing personally and professionally Committed to Excellence Has an extensive neTwork

Leadership Has a clear vision, purpose and values for self & company Articulates these effectively to team so that team “buys in” to the leader’s vision, purpose and values Has and is implementing an annual strategic plan Has and is implementing a 3-5 year business plan Delegates effectively! Team members are developing along a career path Owner can take time away from the business without negative results

Finance Accounting system is fully & accurately functioning Controls are in place to ensure accuracy On Target Financial Monitoring is up to date and being used effectively as a business tool Key Metrics are up to date and being used to keep your finger on the financial pulse of your business Owner reviews Financial Data and Metrics at least monthly and takes action where indicated An adequate credit line is in place The business has a good accountant and banker who understand and effectively support the business goals Company is profitable, solvent and able to finance its growth and reward stakeholders

Administration Has functioning operating systems HR Systems – hiring & recruiting procedures, job descriptions, performance management system, employee manual Policies/Procedures for all key activities Technology/software are in place and being used effectively including effective network and backup systems Has an effective customer process flow with all employees “buying in” and implementing Has an Employee Training program Offers employee benefits & growth path to encourage long term employment for good employees Has a Performance Review process in place Has an office/shop that is suitable for current & planned growth Has appropriate support personnel to manage present & upcoming growth

Marketing & Sales Has a Marketing Plan with the following components Marketing Strategy – with target markets, and strategy for each Marketing Budget - with breakdown for each strategy Marketing Timeline – when each strategy is to be launched or otherwise acted upon Measures the ROI on each Marketing strategy Has an effective system to stay in contact with customers and potential customers Evaluates periodically, the target markets, niches and marketing strategies to ensure that they are still in line with current growth plans, market changes, and new initiatives Invests in Education & Training for sales team (including mentoring by owners or other sales team) Measures the effectiveness of sales team

Innovation Growing personally and professionally Looking for better ways achieve your business goals and to serve your target markets New products New services New methods of service delivery New marketing opportunities New ways to deliver your marketing message New ways that technology can serve your business New trends that serve your market New ways to differentiate your company

Rewards of being “On Target” Become more profitable Be able to reward shareholders and key employees Achieve your business goals Make timely changes to your strategy Improve quality of life both personally and professionally Develop a great support group and good friends with whom to celebrate your progress

Implementation Steps Set appointment for consultation if you haven’t already Call Linnea Blair at 619-291-3700 or email lblair@advisorsontarget.com Sign up for my newsletter at advisorsontarget.com Sign up to be a free member of advsiorsontarget.com Click on Member Portal Then Click on Free Resources Register Follow me on Social Media www.facebook.com/AdvisorsOnTarget www.linkedIn.com/in/linneablair www.twitter.com/AdvisorOnTarget