Nugget Insights

How Swaps and a Little Preparation Can Improve Your Project's Bottom Line

noreply@blogger.com (Mike McRitchie) — Mon, 29 Aug 2011 05:19:00 +0000

Times are tough on companies.

Your services are being commoditized every day.

Margins are being squeezed.

Scope creep is killing you.

If you've done any significant project work (either with clients or coworkers), you've probably experienced one of these.

They request you start the project without a purchase order.
They don't have the information you need to proceed but they ask you to start anyway.
They request your attendance at a new weekly or daily meeting that was not anticipated in the original scope.
They request an in person meeting with your whole team when they should be out producing.
They need you to prepare a special report by the end of the day (and it already 5pm) - this is the fourth new report this month.
They put your project on hold.

So what typically happens?

You might have the following conversation inside your head...

"No, it isn't in the scope, I'm not going to do it."
"I don't want to be the one holding up the project so I'll figure out a way to do it."
"I just have to accept that. Don't want to have the project pulled."

And then what happens?

Your project is now...

Behind schedule and
Over budget

What if you took a different approach?

What if you took a page out of "Negotiations 101" and proposed a swap?

What is a swap?

It is proposing a counter-offer to their offer.

What it does is put you on the same level in the negotiations.

Too often we think of the BIG CLIENT little us .

This leads to accepting whatever they offer/request rather than proposing something that levels the playing field.

So what do you need to make this happen?

Prepare a Swap List.

What are the things that you could use to improve the success of your project?

What are some things that you could use to improve your client relationship?

What are some things that you do request to improve the success of another active project or a future project?

Now that you have these swaps ready to go, bring them up in your negotiations when a client says,

"I need you to..."

"Nichefy or Die" Your 10 Steps to Joining the Top 5%

noreply@blogger.com (Mike McRitchie) — Sun, 31 Oct 2010 05:47:00 +0000

Are you cutting your prices when you could be doing this instead? And making a whole lot more money…

You may have noticed this.

You’re losing out to competitors who are cutting their prices to get work.

And your clients appear to not value your high quality products/services…at least not enough to pay the prices you feel you deserve.

What’s going on?

Well as Jim Collins of “Good to Great” fame said,

“Good is the enemy of great.”

And I’d add that if you are great but no one knows about it, you might as well just be good.

And if you’re just good, you’ll become a commodity just like everyone else.

And you’ll soon be out of business (or wish you were).

So what do you need to do?

Don’t be a commodity

You need to get crystal clear as to what you do, or could do, to become better than everyone else in the world in your niche.

That’s the “Hedgehog” concept in the book “Good to Great.”

And since it is really difficult to be the best in the world in a very large market,

You must: Nichefy or Die.

Here’s a scary fact.

Jaynie Smith, author of “Creating Competitive Advantage” reports that 95 percent of all companies don’t even know their competitive advantages, much less how to communicate a compelling reason to choose their product or service.

And it is also a very exciting one…for those like you who see the opportunity to differentiate themselves from their competitors and take the pole position in their market.

So here’s your challenge.

By the time you’re done with this exercise you need to be able to clearly answer your client’s question,

“Why should I choose to do business with you??"

Here are 10 questions to move you in the right direction.

What are you most proud of?
What do your numbers say?

Best services
Best clients
Best markets
Revenues, margins, ease to work with

What does your competition tell you?

Who are your top competitors?
What do they do better than you?
What do you do better than them?
Why do your clients choose them over you?
Why do they choose you over them?

What do your clients say?

Read your testimonials
What are your clients’ biggest pains? How do you solve them? How could you solve them?

What are the unique features and benefits of your products/services?

Performance
Construction
Process

What do those unique features and benefits bring to your clients?

Results
Advantages
Benefits
Protections
Enhancements
Prestige

Quantify those benefits.
What should you stop doing?
What are you not offering that you should be?
What areas of your marketing and sales process can you use your newfound advantages to blow away the competition?

Did these questions jump start your creative juices?

Will you choose to join the top 5% of companies who take their business' reins and lead the pack instead of follow your competitors off a cliff?

Nichefy or Die

What Can Today’s Masters Golf Opening Round Teach You About Persistence and Perseverance?

noreply@blogger.com (Mike McRitchie) — Fri, 09 Apr 2010 00:13:00 +0000

Wow!

Fred Couples with the outright lead.

Tom Watson and Phil Mickelson one shot back.

And Tiger one behind them.

Could you ask for a more exciting opening round to a Masters Golf Tournament?

So many story lines…so little time.

Fred Couples – lighting up the Champions Tour with three wins…carrying it out to the Masters with his best round ever (great for us Washingtonians).

Tom Watson – after his great British Open runner-up finish, showing that wasn’t a fluke.

Phil Mickelson – showing he’s back on form after off-the-course challenges that made focusing on golf difficult the past few years.

And Tiger Woods – after a complete meltdown over the last several months, comes back to have his best opening round at the Masters ever and very much in contention.

That is one of the great things about sport.

No matter what is swirling around in the background.

The drama of the game takes over once the first ball is put in play.

Your life and your business are no different.

Business and life is no different.

We all have issues. Whether it’s family challenges or character weakness or advancing age.

You still must get up every day. Do what is required. And hopefully achieve as much of your God-given potential as you can.

Everyone wins.

And ultimately we all benefit when you suck it up and forge ahead.

You build character.

And we benefit as a society.

Applaud excellence.

One thing I absolutely admire is people giving their all and achieving great results…day in and day out.

Whether it is top golfers at The Masters.

Or me or you.

People persevering and persisting against the odds is what makes America great.

And is what makes watching The Masters enjoyable too.

Your challenge.

When you get up tomorrow.

Remember this challenge.

You can compete with the best. You can make a difference.

Go out and make your contribution count.

Life Is Short...Are You Being True To Yourself?

noreply@blogger.com (Mike McRitchie) — Tue, 06 Apr 2010 05:14:00 +0000

Many times we get to points in our life where things pop up out of nowhere.

They knock us back.

They make us re-examine our life and what we're about.

It is those times...

Those crossroads, those choices...

That define who you are and what you're about.

What do you do when crises hit you?

Do you let it derail you?

Do you let it bury you?

Or do you get mad, fight back, and use it to create new meaning in your life?

Whether in your personal life or business life,

the challenges always come.

Your challenges define you.

Don't let them take you over.

Use them.

Bend them to your will.

Become stronger.

Be true to yourself.

Check out this song that brings it home...

Audioslave - Be Yourself

Proceed Like Pelosi

noreply@blogger.com (Mike McRitchie) — Wed, 24 Mar 2010 05:08:00 +0000

As many of you know I'm very much a conservative at heart, not necessarily a Republican though.

As I've watched the recent healthcare bill progress through the house, senate, and back to the house again, the one thing I've been impressed about...and sometimes a little scared too...is...

Nancy Pelosi

From a conservative's perspective she is what Bush was to liberals...the embodiment of the enemy.

But that's not the whole story.

One thing I am very impressed with.

That we all can learn from is...

Never say die.

She does not give up and keeps working and working until she achieves success.

Many may not agree with her tactics.

But I think everyone can agree she is EFFECTIVE at realizing her goals.

As you're thinking about your next job task.

Or a family problem.

Or a personal issue.

Remember to Proceed Like Pelosi...

Just keep moving forward until you reach your goal.

Nothing is impossible...

Just ask the Republicans who are licking their wounds...

Hopefully they'll learn this lesson too.

RealCom 10 Year Anniversary Celebration

noreply@blogger.com (Mike McRitchie) — Fri, 12 Mar 2010 06:36:00 +0000

Tonight I attended RealCom's 10 year anniversary party.

All I can say is I'm humbled by what has been created by great people following an exciting, compelling vision.

Eight years ago when I joined RealCom I never imagined we'd go from:

seven people
one office
one client
a couple projects

to:

over 100 employees and 50+ independent contractors
five offices in three states
working for all the major wireless carriers
over 40 active projects

I am truly blessed to be able to do something I love, with a great group of people, in an industry (wireless) that truly improves people's lives.

I look forward to the next decade.

Thank you all!

Mike

What “Rock Band” Can Teach You About People That Will Improve Your Marketing and Business Results

noreply@blogger.com (Mike McRitchie) — Thu, 04 Feb 2010 05:11:00 +0000

And I thought I was just going to play guitar on Rock Band to unwind at the end of a hard day.

Little did I know what Rock Band would teach me about business…

It’s deceptive…and addictive.

You start out playing the easy mode and can barely survive.

Then you start to get the hang of it and move up to the medium level.

Then the addiction kicks in and you’re getting 90%+ on the hard levels and checking out the expert level.

You let the kids play the drums…but you don’t connect the drum controller so the kids won’t ruin your high scores.

You want more.

You get through the series of songs…and want more.

So you buy another song CD.

Then you download from “Live” through the internet connection (they make it easy to feed your habit).

You now want to have the full band experience so you buy the stage effects and turn your house into a rock amphitheater.

So how did this start???

It doesn’t really matter at this point, does it?

I gotta give these guys some credit though.

They’re marketing geniuses.

How?

Let’s list the ways…

1) COOL: The Rock Band guitar looks like a real Fender Stratocaster – you look cool right off the bat.

2) INTERACTIVE: You can play with others – either in the same room or online – so it’s a social thing.

3) INVITING: Each person can choose an instrument and a level of play – so you can play with different levels of experience at the same time.

4) COMPETITIVE: You can challenge another person – competition is cool!

5) INTERMITTENT REINFORCEMENT: You can unlock more songs and venues as you get better – so there’s a reward for continuing to play.

6) COMMON ENEMY: You can download unlock codes to cheat the system and get all the songs…but that also means you end up buying more songs sooner – pretty sneaky, huh!

7) VARIETY: You play some awesome rock songs of many different genres – variety is the spice of life, right?

8) FANTASY/COMMITMENT: Your avatar can upgrade his wardrobe thorough his performances …the better he does, the more swag he gets.

9) EVOLVE: You get to upgrade your transportation, support staff, etc. as you progress – hey, you want to go out in style, right?

10) FEEDBACK: If you play well the crowd shows its love by cheering and singing along – always love the positive feedback.

11) RISK/NO RISK: If you suck they throw you off stage and you have to start over…but there is a “no fail” option so you can still play with your pathetic friends and not get too upset.

12) FANTASY/ESCAPE: The sound quality is excellent so you can crank up the music and really feel like a rock star!

The end result is you get to experience the fun of being a rock star, without the years of hard practice, blood, sweat and tears…it’s a fantasy life, a great escape, and a fun way to end the day.

So how can you generate the same level of commitment?

What could you do in your business to make it so your employees and customers were as committed and excited as you get playing Rock Band?

Give ‘em an escape!

People like fun and fantasy – if you can give it to them, whether it’s a noble cause, an inspirational work environment, friendly competition or recognition - you’ll get more committed employees and clients and enjoy your business a whole lot more.

Brainstorm away!

From the Mouths of Babes…What Can You Learn From Kids About Leadership?

noreply@blogger.com (Mike McRitchie) — Sun, 27 Dec 2009 06:23:00 +0000

Do You Micromanage?

I don’t know about you, but I’ve been accused of micromanaging on an occasion or two.

You think you’re just being helpful. You just want them to get it “right”…as in doing it your way.

Working with adults, this approach works eight out of 10 times. Other times it’s a disaster.

Oh, the Joy of Kids!

Dealing with kids, you learn (through banging your head against a brick wall enough times) that just telling them what to do and expecting them to do it isn’t always the best approach.

Think tantrum’s, smashing things, just ignoring you, talking back, or doing the opposite just to test you.

Training Days

Today I went fishing with my Dad, brother and son.

It was my son’s second time fishing ever. So you could say he’s like your baby-faced new recruit with lots of energy and little experience.

My brother baited up the line and casted it out.

When a fish bit, he set the hook and then handed the pole to my son to reel in.

My son eagerly reeled it in and landed the fish.

Step Back for Better Results

What happened next was more interesting.

After watching several fish being caught, my brother and I were chatting briefly.

During our conversation we heard my son say, “I’ve got a fish!”

We turned and see him setting the hook and cranking the reel’s handle like a pro.

…I never showed him how to set the hook.

…I never told him to reel in the fish.

He just did it.

How Do You Manage?

Now think about the people you manage.

Isn’t it great when they just get the picture and figure it out from your brief instructions?

Don’t you like it when they take initiative to get things done without your prompting?

Wouldn’t it be great if all your direct reports were as full of initiative and creativity?

It CAN be that way.

Sometimes it just requires you to step back and give them some space to figure it out on their own.

Sometimes giving them the big picture and walking away, instead of micromanaging, will get better results.

Hire the Best and Get Out of the Way

That’s why you hire good people with initiative and potential.

Don’t squash it before it can bloom.

10 Things I Learned In 2009...That Could Make Your 2010 The Best Ever

noreply@blogger.com (Mike McRitchie) — Thu, 24 Dec 2009 08:02:00 +0000

1) Persistence pays off…sometimes just showing up makes all the difference.

2) Be transparent and develop relationships…people can’t trust someone they don’t know.

3) Hire people who are better than you…you’ll be glad you did.

4) Track Results…you’ll be surprised at what you can accomplish in a year.

5) People crave acknowledgement…you can’t give too much.

6) Great people have options…make your option their best option.

7) People buy based on emotion and justify with facts.

8) Pictures are better than words.

9) Stories overcome objections.

10) Great creation comes from collaboration.

To a fantastic 2010!

Mocha, please. Whip? Christmas Blend Coffee (50% Off Today Only)? Free Song Download?

noreply@blogger.com (Mike McRitchie) — Sun, 13 Dec 2009 08:31:00 +0000

My daughter and I ran into the Snoqualmie Starbucks to pick up a mocha for my wife, before heading to a birthday party in Seattle.

Waiting in line to place my order, I take in the ambiance (say marketing masterpiece) that is Starbucks.

Sweet rolls dripping with frosting call to me through the glass.

Fresh brewed coffee wafts towards me.

Soft holiday music soothes the soul …

I feel I’m in a hypnotic trance as I move towards the counter.

Mocha Please

I place my order – Grande mocha, no whip, extra hot.

Upsell #1

“Would you like our Holiday Blend Coffee with that? It’s 50% off today only.”

It just rolled off her tongue so pleasantly (Great use of Commitment and Scarcity persuasion elements).

I decline the offer and stroll over to the pick-up counter and wait.

Deferred Upsell #2

What’s that thing? Looks like a business card.

I check it out.

Low and behold, it’s a free Andrea Bocelli singing Silent Night, iTunes download.

I read the card and find out that a new card comes out each week with a new song/artist for free download.

So Irresistible

Now I know my wife loves Andrea Bocelli and has one of his CD’s.

And she just got an iPod that still needs some songs loaded.

So of course I pick it up.

What Just Happened?

Now let’s think about this for a moment.

Do you think when my wife or I get on iTunes to download this one song we’re going to only download the free one?

Do you think iTunes will make it that easy?

Reciprocity In Action (Upsell #3)

Or do you think they’ll politely suggest another holiday tune from Andrea? Or another artist?

Now maybe the first time we will. But as you know, the law of Reciprocity says that there will be a burning desire to make things right. To buy something, just because.

And how about the other side of the equation?

Easy Upsell #4 (and the Power of Consistency/Commitment)

Do you think there is any likelihood that if you like to get new music from time to time for your iPod that you won’t somehow make it into Starbucks at least once a week (a little something on the weekend wouldn’t hurt…just treating myself…I deserve it) to pick up your next week’s free tune?

And if you’re going in to Starbucks to pick up the card, of course you’ll buy some coffee…and maybe a scone or…

And of course, the law of Consistency/Commitment indicates that once you start picking up these free weekly downloads you’ll keep going each week. And because of the law of Scarcity, you’ll be motivated to make your weekly pilgrimage to avoid missing any of your weekly downloads.

What Does This Show?

This is a great example of a win-win host (Starbucks)-beneficiary (iTunes) relationship.

Starbucks provides the distribution.

iTunes provides the product.

Both win.

How Does This Translate To You?

Do you have distribution? Could you find someone else’s product or service to run through your distribution pipeline?

Or do you have a great product without the distribution? Could you license your product or sell it through their network for a share of the profits?

In this recession, tactics like these can easily drop big dollars to your bottom line.

Get to work!

Must Republican Candidates Appeal to Moderates or Conservatives to Win?

noreply@blogger.com (Mike McRitchie) — Wed, 04 Nov 2009 22:41:00 +0000

Listening to the a talk radio show today there was an interesting discussion about John McCain versus Ronald Reagan and whether Republicans need to get more moderates on board or conservatives.

This misses the point.

I think there is a different distinction that is more powerfully at play that CAN win elections for Republicans.

Conservative Credentials are Critical.

Conservative (not radical right) credentials means less time and marketing dollars spent trying to shore up a conservative base.

It means the message can be lasered in on CONSERVATIVE PRINCIPLES that are likely to sway the moderate undecided voter.

Moderates who tend to decide elections fit one of these profiles:

· Will vote but aren’t into politics
· Free thinkers who buck the party establishment on both sides
· Vote based on individual characteristics and charisma than the party platform

So what appeals to moderates?

1) A leader – they look good on TV, they sound like a leader, and they seem to know what they’re talking about. They’re above the fray.

2) A message tied to current news and key pain points - and positions their opponent as the bad status quo.

3) Someone who understands them and can still win - someone people can identify with who is on their side and against the system that beats them down.

How do Reagan, Obama, and McCain stack up?

1) Leadership – Reagan (yes – great presence and solid principles that resonate), Obama (yes – great presence and solid message, even though he tends to downplay his core principles), McCain (no – great at cutting deals but that doesn’t breed confidence and people don’t know what he stands for)

2) Timely Message that Hits Home – Reagan (yes – resurrect American pride and kick some commie butt), Obama (yes – no more of the same old George Bush stuff and “change”), McCain (no – more of the same - his vision was not dramatic enough to separate himself from George Bush’s bad press and his base felt he was too liberal for them so his message was too fragmented)

3) Your Advocate – Reagan (yes – anti-establishment, cowboy), Obama (yes – let’s make sure the rich pay their fair share – us versus them works great), McCain (no – how many houses does he own? – inside the beltway status quo)

Change You Can Believe In

With an economy beaten down and big government solutions being proposed, now is the time for the underdog to break through and tell the beltway bunch that the American people want change they can believe in.

And that doesn’t mean taking more money out of your pocket to feed special interest groups and government bureaucracies.

So who will be those candidates in 2010? Time will tell…

Mad As Hell? Your Tipping Point Has Arrived…

noreply@blogger.com (Mike McRitchie) — Wed, 04 Nov 2009 06:59:00 +0000

Let's Talk About You

This is about you.
The little guy.

You work your ass off.
You build your business conservatively.
You watch your cash flow. Keep your debt low. Try your best to keep your business afloat.

You care about your customers. You care about your employees and their families.

You sweat and toil to create a thriving business that can last and contribute to your community and to your country.

Washington Isn't Your Friend

And then you walk in the door at the end of a long day. And turn on the news. And get pissed off as you see another story about how Washington is mucking up the works and making you pay for the misdeeds of politicians, regulators, and overpaid wall-street types. And yes, they call it “remaking the country.”

Why should you bail out the auto companies that were going to go bankrupt anyway?

Why should you bail out the banks and the insurance companies?

Why should you bail out people who made bad loans or took on more debt than they could afford?

Enough's Enough

You’ve heard about it. The backlash against the public healthcare option (say government takeover). The Tea Parties (frustration with high taxes and government overregulation their lives). The groundswell against amnesty for illegal aliens, cap and trade, and the Global Warming Conspiracy (say world government control).

Today’s elections were NOT a Republican revival…but a conservative comeback.

You, and others like you, are fed up with paying for the excesses and back-room-dealings of the beltway boys club.

You want change.

Change you can believe in.

But not the change that shackles you and your great grandchildren to a life of poverty and indentured servitude.

You want change that hands you back the reins. You want a world where you can make a difference. Where the American Dream – of a life lived on your terms is possible. Where true freedom and independence exists. Where if you work your butt off and have a dream, you can achieve ultimate success without government handouts.

Today’s elections show a crack in the foundation of the cradle-to-grave government model.

The Tipping Point Has Arrived!

…Your Future Begins Today.

Your News Media, Legislators and President all Thinks You’re Too Stupid to Understand

noreply@blogger.com (Mike McRitchie) — Sun, 18 Oct 2009 07:05:00 +0000

These days we hear from Big Government, Big Media, and Big Corporations that we’re too dumb to handle the big decisions facing our country. Whether it is healthcare reform, the economy, or foreign policy.

They continually violate the constitution, erode our rights, and undermine our economy. They put good people out of work and make responsible citizens pay for the misdeeds of others at the top of the food chain.

So tonight I was watching the movie, “With Honors” co-starring Joe Pesci, as Simon Wilder, a homeless man (bum) who, by holding a Harvard student’s (Monty) thesis paper hostage, teaches Monty some things about life.

In one scene, where Simon is sitting in on a class taught by this Monty’s thesis professor, the professor asks if anyone can tell him if the U. S. Constitution prevents the President from becoming like a king. Here was Simon’s response.

Simon Wilder: You asked the question, sir, now let me answer it. The beauty of the Constitution is that it can always be changed. The beauty of the Constitution is that it makes no set law other than faith in the wisdom of ordinary people to govern themselves.

Professor Pitkannan: Faith in the wisdom of the people is exactly what makes the Constitution incomplete and crude.

Simon Wilder: Crude? No, sir. Our "founding parents" were pompous, white, middle-aged farmers, but they were also great men. Because they knew one thing that all great men should know: that they didn't know everything. Sure, they'd make mistakes, but they made sure to leave a way to correct them. The president is not an "elected king," no matter how many bombs he can drop. Because the "crude" Constitution doesn't trust him. He's just a bum, okay Mr. Pitkannan? He's just a bum.

As Congress, the President, Big Media, and Big Corporations all get together to plan our futures for us, remember that we wave the “wisdom of ordinary people to govern themselves” that Simon talked about. We can make a difference.

We can throw the bums out of office. We can let them know what will happen if they pass a bill that mortgages our great grandchildren’s future. We can have an effect. Whether it is the “tea parties” or talk radio or side conversations in the hallways, those in power want to stay there.
And we can use that Achilles heel against them.

The President is not an “elected king” and if he acts like a bum, we can throw the bum out of office when his term expires.

Don’t give up hope, our voices are being heard. Good “change” is imminent. And it isn’t what Big Government, Big Media, and Big Corporations are pushing down our throats.

What does Nobel Peace Prize winner Barack Obama have in common with many business gurus?

noreply@blogger.com (Mike McRitchie) — Fri, 09 Oct 2009 15:55:00 +0000

What does Nobel Peace Prize winner Barack Obama have in common with many business gurus?

He knows about marketing and selling a vision.
He may not be the most accomplished (in a recent MSN poll 62.6% said he has no significant accomplishments).
He may not be the most loved (Reuters reports “Taliban mocked the award, saying Obama should get a Nobel prize for violence instead”).
He not be the best president (only time will tell).
But…

Many of the top gurus aren’t either.
Yet they are able to command high fees and more respect than their equally talented peers.
Selling people on a vision that is compelling is the key.
And reinforcing it with daily repetition.

Obama understands that.
Reagan did too.
George Bush did not.

So when you’re thinking about your career, your business…

Are you doing the most to remain top-of-mind with your boss and clients?
Are you building a name for yourself and your company?
How do you compare to your peers?

Give them what they want.
Make your contribution noteworthy.
Get the word out.

And be the visionary.
Be the guru.
Follow Obama’s lead.

Are You Listening?

noreply@blogger.com (Mike McRitchie) — Fri, 09 Oct 2009 05:13:00 +0000

Tonight I watched “Grey’s Anatomy.”
Normally this show is about self-involved surgeons.
Tonight was different.
Tonight was about putting others first.
Listening to their needs.
Doing for others…instead of yourself.

When was the last time you just sat down and listened?
To a loved one.
To a friend.
To a coworker.
Listened completely and fully.
So hard that it hurt.

As I get past the halfway point in my life I realize how lucky I’ve been.
How many gifts I’ve been given.
Whether I deserve them or not.

And it reminds me that I need to get out of my head.
And give of my heart.
Listen.
Truly listen.

And just be there for those who are important to me.
I commit to that today.

Will you?

What “The Closer” Can Teach You About Negotiating?

noreply@blogger.com (Mike McRitchie) — Sun, 30 Aug 2009 07:04:00 +0000

No, I’m not talking about closing deals like in the movie, Glengarry Glen Ross, or hanging out in timeshare boiler rooms. Maybe a future topic…

I’m talking about the TV show, “The Closer.”

The show is about Deputy Chief (Brenda) Johnson, an expert interrogator who closes nearly every case with a confession.

At some point in the show Brenda interviews a suspect in the interrogation room.

There’s a table, a few chairs. Nothing fancy.

And although she’s very capable at interviewing the suspect by herself, does she?

Or does she have another cop in the room, and several more behind the glass watching the interrogation take place?

More is Better!

You better believe it. She wouldn’t go anywhere without her team.

Why?

Because she can be so much more effective with her team at her side.

Whether it is feeding her new information about the case.
Or telling her something about the suspect based on the direction the interview is taking.
Or playing bad cop to her good cop.

Make it an Unfair Fight…In Your Favor!

Whatever it is, her game improves by stacking the odds in her favor. Having the information, the live feedback, the timely interruption (to go outside the room and have a brainstorming session); they help Brenda get more confessions

So What Does This Mean To Me And My Business?

Now let’s translate this into a business negotiation.

Imagine you’re in a negotiation that is emotionally charged (like buying your home). In the negotiation you bring a lot to the table, namely a personal stake (and passion) in ensuring you get a favorable result (that you buy the house at a good price).

Now let’s say you’re buying this house from an owner directly. He loves his house and wants a premium price. You like the house but don’t value it as highly as the owner. You’re both emotionally tied to the negotiation and it shows as the negotiation proceeds. At a certain point you’re both at a point where the deal is not going to be completed.

Now compare this to a negotiation where you each have a real estate agent representing your interests. They don’t get emotionally involved. They deal with facts and attempt to persuade the other agent as to where the deal should close. In the end the deal gets done more often than not.

The third situation is the owner’s agent is negotiating on the owner’s behalf and you and your agent meet with the owner’s agent. In this situation if you and your agent work together, you could get a better result.

Why?

Why Two Is Better Than One

Because you supply the passion (and the, “let’s walk” stance, if you don't get what you need) and your agent supplies the calm perspective (“let’s just see what they’re proposing before we pass on this deal.”)

I saw this work well for me several times in the last week where the result was better than I would have gotten on my own.

Try it for yourself and see the results. I think you’ll be happily surprised.

Mike

P.S. You might try involving others in other areas of your life and see similar gains.

How Much Money Are You Leaving On The Table? – Part II

noreply@blogger.com (Mike McRitchie) — Sun, 23 Aug 2009 06:39:00 +0000

Last time we looked at the effect of Joshua Bell, a virtuoso violinist, playing a subway street performer.

Out of context, a performance that would normally have paid him $60,000 netted him $40.

Why only $40?

The interesting thing is his skills didn’t change and his performance didn’t change. The only thing that changed was the venue and people’s expectations.

Or is that true?

I think there’s a lot more to it than just those things…and many of these things can be applied to your business.

The Six Laws of Persuasion

In the last article we examined Cialdini’s six laws of persuasion:

Reciprocity
Commitment/Consistency
Liking
Scarcity
Authority
Social Proof

And we scratched the surface of how those factors played out in this situation.

Now let’s dig a little deeper.

RECIPROCITY

Reciprocity is interesting because it tends to take a bit more time to convert goodwill into dollars. When it does (especially when combined with the other laws), it can have a huge effect.

What are some ways we could supercharge the reciprocity in this situation and work to get Joshua’s pay increased dramatically?

How about…

Have a cardboard sign that says, “I apologize for the bad acoustics.”
Play with an up and coming violin student from the Washington D.C. public school system. Then introduce him, “As a violinist who’s played for many of the world’s greatest symphony orchestras, Washington D.C. schools has many talented musicians…this is one. Give him a big Washington D. C. welcome!”
Begin with a duet with another street performer in that performer’s musical genre and then transition into a related classical song for extra effect.
Have his performance recorded and sell the video on public television and the audio CD on National Public Radio with the proceeds donated to Washington D. C. public school music programs and/or other worthy causes.

Next time…Commitment/Consistency will be in our crosshairs.

Until then.

How Much Money Are You Leaving On The Table? – Part I

noreply@blogger.com (Mike McRitchie) — Fri, 14 Aug 2009 22:05:00 +0000

Imagine you’re walking through a crowded Washington D.C. subway station at rush hour, on your way to work.

You come upon a man playing classical music on a violin. He is dressed like any other street performer. People walk by. Some toss some money his way. A few stop for a few minutes then continue on. Nothing out of the ordinary.

What do you do?
· Avert your glance and walk faster?
· Just keep walking?
· Stop and listen for a minute?
· Toss some loose change in and keep walking?
· Listen for a while and tip well?

Would you change your mind if…
· He was really good?
· You knew he had a $3 million dollar violin?
· You knew this man is usually paid over $1,000 a minute?
· Other people stopped and listened too?

Washington Post Experiment

This was, in reality, a Washington Post experiment.

The Post asked Leonard Slatkin, music director for the National Symphony Orchestra,

“What do you think would occur, hypothetically, if one of the world’s great violinists had performed incognito before a traveling rush-hour audience of 1,000 odd people?”

Slatkin said,

“Let’s assume that he is not recognized and just taken for granted as a street musician…Still, I don’t think if he’s really good, he’s going to go unnoticed. He’d get a larger in Europe…but, okay, out of 1,000 people, my guess is there might be 35 or 40 who will recognize the quality for what it is. Maybe 75 to 100 will stop and spend some time listening.”

When asked how much he would make, Slatkin said,

“About $150.”

What’s Your Guess?
· Out of 1,000 people, how many people stopped to listen?
· How much money did the violinist receive?

Here’s what happened. 39 year old prodigy, Joshua Bell, who played to packed houses where the cheapest seats are $100 a head, took his $3.5 million violin, and played classic violin pieces that have stood the test of time but would not stand out as pieces everyone would know and so stop to listen to.

In about 45 minutes,
· 1,070 people passed by
· 7 people stopped for at least a minute
· 27 gave money
· Total collected? $32 and change

What makes a performance worth $40 versus $60,000?

It’s interesting to see how people decide what is valuable and what is not. What to ignore, and what to pay attention to. In “Influence: The Psychology of Persuasion,” Robert Cialdini outlines six laws of persuasion.

Six Laws of Persuasion
These laws are:
1. Reciprocity
2. Commitment/Consistency
3. Liking
4. Scarcity
5. Authority
6. Social Proof

So how do these factors that came into play in this situation?

1. Reciprocity

Reciprocity gets you to the $40/hour. You play and people feel guilt or enjoyment and pay.

2. Commitment/Consistency
If they typically give money to street performers they might do that here. If not, they won’t.

3. Liking
Is the performer attractive or performing in an attractive way? Not really in this situation so easy to ignore.

4. Scarcity
Looks like another street performer. These guys are everywhere. Nothing special. Not valuable.

5. Authority
No one I respect or who is knowledgeable about music is saying I should listen to this person perform.

6. Social Proof
Is there a crowd gathering? No? Then he must be nothing special.

What does the concert hall performance have that the street performer option does not?

I believe a lot of it has to do with the frame that is created and using the six persuasion levers more effectively.

What can you learn from this test to improve your company’s profits?

Find out in the next installment…

Rickey, Baseball, Life...A Humbling Experience

noreply@blogger.com (Mike McRitchie) — Tue, 28 Jul 2009 07:10:00 +0000

Rickey Henderson baseball hall of fame induction...

Yesterday Rickey Henderson was inducted into Major League Baseball's Hall of Fame.

As a boy I remember watching Rickey set his records. I remember his flamboyant style, his trademark stance at the plate that always reduced the strike zone on him to about half the area everyone else had.

He was the penultimate leadoff hitter...he got on base!

He could hit home runs, singles, doubles, triples...

He could walk to get on...

He stole bases unlike any other...

He was a great fielder...

He brought the fans to the ballpark...

And yesterday, he was also humbled by the completion of his baseball journey into the Hall of Fame.

Check out the video of his speech.

http://mlb.mlb.com/news/article.jsp?ymd=20090726&content_id=6067946&vkey=news_mlb&fext=.jsp&c_id=mlb

As you go through life, are you giving it your all? Are you showing to the best of your abilities? Are you contributing a great legacy?

You have something great to show the world. You know what it is.

Live your potential!

Hopping Down the Idea Trail...Are You Making These Mistakes?

noreply@blogger.com (Mike McRitchie) — Sat, 25 Jul 2009 05:34:00 +0000

Ideas are fascinating. But do they make you money?

You’ve been there. You get a great idea. You can’t sleep because you’re so excited. You polish and shine that idea. You build it up in your mind until it’s larger than life.

Maybe you implement it and it doesn’t do quite what you thought.

Or maybe before you kick it off you find another idea that also seems great and you run off in a new direction.

STOP!

Ideas are important aren’t they?

Don’t they help you drive your business to new levels?

Isn’t that what helps companies go from ok to great?

Before I answer that question let’s look at a few interesting quotes on the subject…
(From “99 Inspirational & Motivational Quotes on Entrepreneurship by Minterest” http://tinyurl.com/ny4m9a)

Ideas can be life-changing. Sometimes all you need to open the door is just one more good idea. – Jim Rohn

Okay. So I just need one more good idea, right? Not so fast pardner…

Many great ideas go unexecuted, and many great executioners are without ideas. One without the other is worthless. – Tim Blixseth

Now you’re getting closer. Pairing up ideas with execution is critical. Let’s see more…

Make your product easier to buy than your competition, or you will find your customers buying from them, not you. – Mark Cuban

You’re homing in now…

If you don’t have a competitive advantage, don’t compete. – Jack Welch

Are you making these mistakes?

1) Are you so buried in your day-to-day operations so that you aren’t looking for new ideas?

2) Are you idea jumping? Always going to the next great idea and never fully implementing the previous one?

3) Are you making it painful for your customer to do business with you?

4) Is your company a “me too” competitor that gives your customer no good reason for them to buy from you instead of your competitors?

Don’t do it! Do the opposite.

1) Be open and looking for ideas.

2) Make sure to execute before moving on to a new idea.

3) Make it easy for your customer to buy. Ideas should be focused in this area.

4) Stack the cards in your favor or don’t compete.

So how can you use this?

1) Look for ideas everywhere. Often your best ideas come from the most unexpected places. In particular, look outside your industry. In general, everyone inside your industry is doing things the same way, plus or minus 10%. Why? Because they all learned from the same people who learned from other people, who all did it the same way. By going outside your industry or to sources your competitors aren’t looking, you can find game-changing competitive advantages.

2) Take a new idea, determine if it has legs. If it does and it has some serious positive leverage behind it, then test it immediately. Do not run off chasing the next sparkly idea. Once you’ve tested it in the real world then you can worry about fine tuning it or rolling it out bigger, or adding another idea.

3) Make sure your idea is focused on an area that improves your customer’s ability to say YES! to your offers. Use the 80/20 rule where 20% of what you do gets 80% of your results. Don’t waste your time in areas that have little upside. Focus on the customer since that’s where your present and future is.

4) Go big or go home. You want everything possible to be slanted your way.

a. That can mean making your offer so irresistible your customer can’t say anything but YES!

b. Or if it means finding that unique competitive advantage that you can promote that no one else can and driving it home in every communication you do.

c. Or sneaking in behind the scenes to help your potential client design the RFP so that only you will win it and your competitors are forced to lick their wounds and go home.

What are you waiting for? Take action NOW…

…so you can move on to the next idea.

It’s easy when things go right. How to handle things in the real world.

noreply@blogger.com (Mike McRitchie) — Wed, 22 Jul 2009 06:21:00 +0000

Imagine your automatic guidance system is leading you into disaster. You cannot communicate with your support team. And you’re thousands of miles from your home office.

Imagine your life is on the line. And you have overridden the automatic systems and run things on manual.

Each day you face similar challenges in your business. Your best-laid plans fall apart. Mr. Murphy’s Law kicks in and everything starts unraveling.

How do you handle it?
Do you know what to do?
Have you trained for this?
Are you committed to action?

Yesterday was the 40th anniversary of Neil Armstrong’s historic step on the moon.

This wasn’t an ordinary job or business.

John F. Kennedy set the bar high,

“I believe that this nation should commit itself to achieving the goal before this decade is out of landing a man on the moon and returning him safely to Earth.”

Many prior rocket flights were unsuccessful (read BOOM!)

The astronauts flew over 950,000 miles on technology less powerful than today’s $10 calculators.

And when they were nearing their goal (completing the landing on the moon), the autopilot started flying them to a boulder strewn area instead of the smooth landing site in the “Sea of Tranquility.”

So what did they do? They did what any red blooded American man in that situation would do.

No, he didn’t put his head between his legs and kiss his a** goodbye.

Armstrong took over the manual controls and coasted the lunar lander to a safe landing with 20 seconds of fuel remaining.

(Sounds like a NASCAR race I watched recently…)

Oh, I digress.

Looking back we see success pulled from disaster. You and your company face these same types of issues, albeit on a smaller scale.

· You make a bold plan; launch on a big idea that you put the resources of your company behind.
· Sh** happens.
· You have to act fast or face disaster.
· You realize that as an entrepreneur, many times it’s up to you and your force of will to save the day. Your butt’s on the line (it’s your bank account, your personal guarantee on the loan, your home that’s mortgaged to the hilt and your credit cards that are maxed out).
· And sometimes luck is on your side.

What did the astronauts do to ensure success when it could have easily turned into a disaster with 530 million people watching?

· The astronauts were awesome human specimens, capable of withstanding the most tortuous stresses.
· They planned for disasters of every kind imaginable and trained on countermeasures.
· They trained in the most stressful situations.
· They refused to let the scientists take out their manual controls (you never know when you’ll need them).
· They knew their mission and failure was not an option.

In your business those same core elements apply:
· Hire the best and put them in the right jobs.
· Determine what can possibly go wrong and plan multiple solutions for each.
· Train so that the real thing seems easy.
· You can delegate but make sure you know what is going on in your business and take over the reins quickly when you need to. It’s your business and no one cares about it more than you.
· Have a grand vision and shove failure into the back shadows of the office storeroom.

Now go out and shoot the moon!

Tom Watson's Near Miss

noreply@blogger.com (Mike McRitchie) — Mon, 20 Jul 2009 06:57:00 +0000

Watching Tom Watson play "The Open" at Turnberry this week, I was caught up in the drama of Tom possibly winning his 6th Open Championship at 59 years old (to become the oldest winner ever).

There were great subplots like Tiger Woods' implosion causing him to miss the cut on Friday. There was the flashbacks to the Watson/Nicholas rivalry that Watson won the last time Watson won at this same golf course.

The crowds hung on every shot and hoped that this would be a glorious example of history unfolding...

...it didn't happen.

But it was amazing to watch just the same and Tom certainly gave it his all in gentlemanly fashion. Even after he totally collapsed in the four hole playoff, he exhibited class.

So what does this mean for business?

In business as well as in sports, momentum means so much.

One minute everything is perfect and the next you could be rolling into bankrupcy. Too big to fail? Just ask the auto companies. How about the banks?

There are examples everywhere where companies seemed to be soaring skyward, doing everything right. Then something went haywire. It could be a little thing. And then the momentum shifted. Then it picked up speed...in the wrong direction.

Where's you business momentum going?

If it's going in the right way, are you nurturing it?

If it's going the wrong way, what are you doing to interrupt the cycle?