Leadership

Leadership is often about asking the tough questions and staying focused on finding the right answers. Jim Womack, a noted writer on Lean, has this to say about what questions to ask:



“Next time you are in a management team meeting, whether you are a senior manager or working at a lower level of the organization, I hope you will keep a few simple questions in mind.

• Are we all clear on what is really important for our organization in order to solve customer problems and succeed in the long term? (Or, stated another way, can we get past the merely urgent.)
  
• Are we agreed on what big problems we need to solve as a team?
  
• Are we sure what obstacles are in our way and their root causes?
  
• Have we – or will we now – assign responsibility for determining the best countermeasures and removing the obstacles?
  
• Critically important, do we have a way of surfacing and resolving all of the cross-function, cross-department conflicts that stand in the way of resolving all major problems in any multi-functional organization including ours?

“If you can answer these simple questions -- blowing away the clouds that obscure your North Star -- you’ll be on your way to sustainable success as the world economy recovers in the coming years.“



HOW DO YOU ANSWER THESE QUESTIONS? HOW SHOULD YOU ANSWER THEM?

Source: “Sailing a Straight Course in a Time of Variances” by Jim Womack, June 30, 2009

Customer Focused

While last year was the big election year for the USA, every day is election time and your customers are voting. Service and construction work both depend on how the customer votes. Jeffrey Getomer explains it this way:



“Every time your customers buy from you, they’re telling you, “You win. We elected you vendor and we’re voting with our dollars, our money.” Is that sweet or what? Real sweet. Unless you don’t win.



“It’s a double loss. You lose, and the competition is celebrating. Reality bites.



“Most of your customers have more than one vendor selling them the same product. Some have several. So you may have a customer, but not all their business. All their wallet. It’s even referred to as “wallet share.”



[WHAT IS YOUR WALLET SHARE OF YOUR CUSTOMERS?]

“Voting decisions are based on either history or trust or both.



“Those decisions are formulated from the following criteria:

• Ease of doing business
  
• Belief in product
  
• Perceived value of product
• Reliability of product (quality x use)
  
• Durability of product
  
• Reputation of product
  
• On-time delivery exactly when I need it, where I need it
  
• Correctness of order
  
• Correctness of billing
  
• Ease of return [read warranty in construction]
  
• Ease of order add on
  
• Ease of order change
  
• Friendliness of people
  
• Performance comparison of product
  
• Customer’s belief in company
  
• Customer’s belief in salesperson
  
• Response to service needs
  
• Response of salesperson
  
• Trustworthiness of total package

“And you thought it was price.



“No, price is only the issue in the absence of value.



FIND THE VOTING ISSUES: Those are issues that cause decisions to be made. And if those voting issues are more important than the decision not to buy the item, the vote will be made to purchase the item. And money will follow.



“From the time of your first sale, your report card begins. The next order will depend on the following key elements:

1. Was your product or service delivered on time?
   
2. Were all of your promises kept?
   
3. Were service or accounting issues resolved favorably?
   
4. Did you follow up after the service?
   
5. Is it easy to find anyone in your company (at any time)?
   
6. Did you stay in contact with the customer on a regular basis in between sales with some kind of value message?
   
7. How accessible and responsive were you?

“I have just barraged you with facts and questions. Many are uncomfortable. But none are so challenging that they can’t be answered in a belief building way.



“When a customer decides to buy from you. When they decide that for whatever reason, you are chosen, they vote with their money. And there is only one way to count that vote – tally up your bank account.

What about your customers are they electing you in this challenging economy or your competition? How do you know? What are you planning to do about it?

Jeffrey Gitomer's Sales Caffeine issue 383

Muda Walk for a Month is On for September 2009

The third annual Muda Walk for a Month is coming in September. If you haven’t heard or participated in this – do consider it now. During the month of September I will email participants a weekly theme to use while doing a Muda (waste) walk in their company. The walk may be at a job site, in the shop, office or even a service call. During the walk you will look for ways to eliminate the seven basic types of waste and improve operations. The challenge is to do a walk at least one hour a week and best if done one hour each day. That may sound like a hard commitment to make but those who invest the time have reaped the rewards. I do ask that participants log their observations and improvements and share them with me at the end of the month. Read more about it. The Muda Walk for a Month is a free service but you must sign up by August 31st. The first week of the Muda walk will start on Sept. 7th. To register - just email your request to me.

Learning Opportunities

You may be interested in attending one of these training seminars by Dennis Sowards:

• Sept. 17, 2009 - Customer Loyalty by Design, – Phoenix, AZ – Sponsor: PIPE & 469 JAC, contact Cathy at pipetrust@qwest.net
  
• Oct. 6, 2009 - Lean Works in Construction – Milwaukee, WI – Sponsor: Plumbing Mechanical Sheet Metal Contractors Alliance, Contact: Dajen Bohacek at 414/543-7622 or dajen@pmsmca.com Must be a SMACNA member company, associate or sponsored by one to participate.
  
• Oct. 15. 2009 - Introduction to Lean in Service, – Phoenix, AZ – Sponsor: PIPE & 469 JAC, contact Cathy at pipetrust@qwest.net
  

Contact Dennis Sowards if you want a customized workshop exclusively for your company.

Thought for the day

A firm that has no customer satisfaction program and no interest in starting one should be the delight of the firm’s competitors.

- Earl Naumann (Author of several popular business books on creating customer value)

For more information about the High-Performing Contractor assessment process contact Dennis Sowards at 480-835-1185 or at dennis@YourQSS.com

PRIVACY STATEMENT: I respect you and your privacy. Your name or e-mail address will never be sold, traded, rented or bartered, or given away - nor will it be used for any other purpose than to communicate with you. Period.



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