001

Table of Contents
 
Title Page
Copyright Page
Foreword
Preface
Author’s Note
Introduction
 
CHAPTER 1 - Always Remember, “It’s the People, Stupid!”
 
FIRST THINGS FIRST
GET PROACTIVE: GO FROM HUNTED TO HUNTER
EMPLOY GUERILLA INTERVIEW TACTICS
DECLARE WAR ON POOR PERFORMANCE
DON’T SCREW UP A GOOD THING
ACCEPT YOUR RESPONSIBILITY
FURTHER UP YOUR BUSINESS
 
CHAPTER 2 - Abolish Corporate Welfare
 
DEFINING A CULTURE OF ENTITLEMENT AND A CULTURE OF MERIT
THE ROOTS OF ENTITLEMENT IN THE WORKPLACE
KEEP SOCIETY AND BUSINESS MIND-SETS IN THEIR PROPER PLACES
FIVE STEPS TO MOVE FROM ENTITLEMENT TO MERIT
THE MANDATE OF PRESSURE TO PERFORM
ENTITLEMENT AND THE QUESTION OF SUCCESSION
FURTHER UP YOUR BUSINESS
 
CHAPTER 3 - Develop Your Human Capital
 
HOW TO TRAIN EFFECTIVELY
THE GOOD, THE BAD, AND THE UGLY: COACHING YOUR PEOPLE WITH FAST, FREQUENT, ...
THE KEY TO ONE-ON-ONE COACHING AND TRAINING
THE MAGIC OF MENTORING
DON’T TREAT UNEQUALS EQUALLY
ENCOURAGE CONFLICT AND DISSENT
FURTHER UP YOUR BUSINESS
 
CHAPTER 4 - It’s All Right to Aim High if You Have Plenty of Ammo
 
THE “BUNT”: THE DNA OF LEADERSHIP WIMPS
SETTING STRETCH GOALS
THE ROLE OF STRATEGY AND TACTICS
CREATE AN UNLEVEL PLAYING FIELD
FOCUS ON YOUR STRENGTHS
PLAN FOR SEISMIC SHIFTS
PITFALLS THAT DERAIL VISION, STRATEGY, AND TACTICS
FURTHER UP YOUR BUSINESS
 
CHAPTER 5 - Look in the Mirror
 
UNDERSTAND YOUR LEADERSHIP ROLE
THE FIRST SIX-PACK
THE SECOND SIX-PACK
FURTHER UP YOUR BUSINESS
 
CHAPTER 6 - Survive Success
 
THE ENEMY OF GREAT IS GOOD
TEMPTATION 1: LEADERS OF SUCCESSFUL ORGANIZATIONS STOP WORKING ON THEMSELVES
TEMPTATION 2: LEADERS OF SUCCESSFUL ORGANIZATIONS STOP THINKING BIG
TEMPTATION 3: LEADERS OF SUCCESSFUL ORGANIZATIONS STOP LEADING FROM THE FRONT
TEMPTATION 4: LEADERS OF SUCCESSFUL ORGANIZATIONS STOP DEVELOPING OTHERS
TEMPTATION 5: LEADERS OF SUCCESSFUL ORGANIZATIONS STOP HOLDING OTHERS ACCOUNTABLE
TEMPTATION 6: EVERYONE IN SUCCESSFUL ORGANIZATIONS BEGINS TO ABANDON THE BASICS
FURTHER UP YOUR BUSINESS
 
CHAPTER 7 - Build Long-Term Vitality
 
GET OFF YOUR DEAD HORSE
FOUR REASONS CHANGE FAILS
THIRTEEN STEPS TO OVERCOME “FLAVOR-OF-THE-MONTH” SYNDROME
FURTHER UP YOUR BUSINESS
 
CHAPTER 8 - Close the Gap between Knowing and Doing
 
ARE YOU INTERESTED IN OR TRULY COMMITTED TO TAKING YOUR BUSINESS TO THE NEXT LEVEL?
 
Notes
Bibliography
Index
Acknowledgments
About the Author

001

Foreword
I realized Dave Anderson was a communicator the first time I heard him speak at a meeting for my nonprofit organization, EQUIP. He immediately connected with the audience as he talked about his experience leading a $300 million retail organization. Dave has a down-to-earth, no-nonsense approach to getting the job done, which made the ideas he shared that day refreshing and effective. In fact, it was my confidence in Dave’s abilities that prompted me to produce a video series with him to adapt my book The 17 Indisputable Laws of Teamwork to a specific corporate sector.
Dave now brings that same talent for communicating real-world, “walk-the-talk” strategies to Up Your Business! He presents his ideas and principles in a clear and to-the-point way, and provides hundreds of easy-to-adapt strategies you can use to fix, build, or stretch your organization. It doesn’t matter if your organization is large or small; these principles can help a leader at any organizational level.
As the head of three organizations, I can relate to the emphasis Up Your Business! places on getting the right people on your team. Without the right people to implement vision and strategy, vision and strategy become useless. In this book, Dave not only shows the importance of people, he spells out specifically what you must do to find them, develop them, and retain them. He’ll also sell you on the necessity of ridding yourself of the wrong people quickly, professionally, and humanely.
Perhaps the most significant aspect of Up Your Business! is that it ignores fads and quick fixes, opting instead to provide timeless leadership and management principles that work when they are applied. As you join Dave in the quest to fix, build, or stretch your organization, I can assure you that you’re in good hands. Open your mind, get out your legal pad, and prepare to take action. My best wishes are with you as you begin to set the stage for your best year ever.
— John C. Maxwell
Founder
The INJOY Group

Preface
Up Your Business! is written for leaders or aspiring leaders at all levels in an organization. Regardless of whether your goal is to fix, build, or stretch your organization, the principles herein will help you. They apply equally to the CEO of a Fortune 500 company and to the home-based-business owner wanting to take his or her enterprise to a higher level. The strategies are presented in a step-by-step sequence and in easy-to-understand terms, and are ready for immediate application. You will be able to use the book as a blueprint to fix, build, or stretch your business. I’ve included numerous real-life examples that support the book’s key points. You’ll find the style nonacademic and politically incorrect. In fact, I’d rather offend you by being direct than affront you with fluff. I believe you’ll find the lack of sugarcoating and rationalizing refreshing.
Up Your Business! eschews fads and the latest business buzz-words. It offers sound, tried-in-the-trenches leadership and management principles that work if you work them. The chapters proceed in blueprint fashion.
Chapter 1, “Always Remember, ‘It’s the People, Stupid!’” leaves no doubt that without the right people your vision and strategy are worthless. But it doesn’t leave you there. It provides numerous tips on recruiting and interviewing the right people as well as strategies for removing the wrong ones.
Chapter 2, “Abolish Corporate Welfare: Create a Culture of Merit,” defines the difference between a culture of entitlement and one of merit and teaches you how to develop the latter. It explains how to produce a positive pressure to perform and how to differentiate your best people so you leverage the organization’s strengths.
Chapter 3, “Develop Your Human Capital: How to Train, Coach, Mentor, and Retain Eagles,” provides step-by-step instructions on how to develop the right people once you get them. Training, coaching, and mentoring are covered extensively, and after reading this chapter you’ll have the tools you need to retain and develop the eagles you bring on board.
Chapter 4, “It’s All Right to Aim High if You Have Plenty of Ammo,” presents a case for thinking bigger and going for unreasonable gains. After all, if you’ve brought the right people on board, removed the wrong ones, created the right environment, and are training the great people you’ve assembled you’ve earned the right to swing for the fences rather than bunting your way through business.
Chapter 5, “Look in the Mirror: Executing Your Leadership Twelve-Pack,” explains why you, as a leader, must look in the mirror and take responsibility for your organization’s vitality. It provides a Leadership Twelve-Pack: a list of nonnegotiable tasks you are responsible for executing day in and day out in order to fix, build, or stretch your organization.
Chapter 6, “Survive Success: How to Overcome the Six Temptations of Successful Organizations,” explains how to survive success. There are six temptations of successful organizations that cause you to plateau or lose ground. This section creates great awareness of these temptations and offers remedies to overcome them.
Chapter 7, “Build Long-Term Vitality: Steps for Execution and Follow-Through,” is the most important in the book because it lays out how you must take what you’ve learned and implement it. Knowing what to do is not enough — you have to do it. This chapter provides step-by-step change principles that guide you to get the job done.
Chapter 8, “Close the Gap between Knowing and Doing!” is a new chapter that reinforces and expands on the principles in Chapter 7 and provides new strategies and inspiration to help you to become more committed to changing your organization and leading it to a higher level by taking the right and consistent action necessary to optimize your results.
At the conclusion of each of the first seven chapters I have added a “Further Up Your Business” section that will isolate a key strategy in the chapter and provide you more insight and support in your efforts to implement the information presented. Throughout the book I intersperse the text with “Up Your Business! Bullets.” These short strategies will help refine your thinking on the points being made in a chapter and provide motivation for action.
I believe we are living in unforgiving times for business and its leaders. There is less margin for error than in the past. This should excite you, because I am confident that Up Your Business! will lead you to create an unlevel playing field, angled substantially to your advantage. As you compete in times that are both challenging and pregnant with possibility, my belief is that as you execute the strategies in these eight chapters you will earn more than your fair share of the market — and that you will, in fact, dominate it.

Author’s Note
I’m excited about the revised edition of Up Your Business! Much has changed since I wrote the first edition of this book. At that time, I sounded an alarm that political correctness in society and complacency in business were diminishing corporate cultures at an accelerated rate of destruction and planting the seeds for the rapid descent of many enterprises. I also provided hands-on tools to fix, build, or stretch your organization and rise above the demise that would affect so many. Some listened the first time around. Many more did not. For the readers who perused the first edition and have chosen to invest your time and dollars in the revised work, you won’t be disappointed. First, I think you’ll be surprised how much you missed the first time through the book and will be delighted with the “Further Up Your Business” sections I’ve placed at the conclusion of each chapter that expand on the original strategies. You’ll also enjoy the new closing chapter and will probably wish it had been there for you the first time you went through Up Your Business! Oh well, better late than never.
First-time readers will get the benefit of a full dosage of Up Your Business! strategies the first time through. Although the first group will have a head start on you in implementing many of the ideas in this book, with commitment and discipline you can be up to speed in no time. And make no mistake about it: Moving fast with these strategies will be essential to your very business survival. I’m trying to be an alarmist, so please stay with me here and consider the following:
The clock is ticking but many business leaders can’t hear it. The sound of their own boasts, slaps on the back, and soliloquies of celebration have drowned it out. Business has been good for a while now. Yes, people still whine about a weak economy, but they need to get a grip, gain some perspective, and understand the difference between a down economy and a bad one. Many of us have gotten so spoiled we can’t remember what a truly bad economy is: 21 percent interest rates, 13.5 percent inflation, 7 percent unemployment, and the like. Some of you remember those numbers, but many leaders today can’t imagine them because they never led through such times. In fact, anyone who has been in a leadership position for under a dozen years has never had to lead through sustained down economic times, and if you’ve been in leadership for less than twenty-five years you’ve never had to function through the economic disaster on a national scale found during the Carter presidency or its immediate aftermath.
You may think the good times will last forever. Perhaps with the success you’ve enjoyed you’ve even made the error of mistaking a bull market for brains. You may be tempted to use the great years you’ve had as a license to stay the same — write it down, build the manual, and document the formula. If so, you’ll also be authoring your own business obituary.
Just as it did on Cinderella’s enchanted night, the clock will strike midnight for many of you. Business still travels in cycles, and so do economies. A day of reckoning will come — probably not suddenly but gradually, so as to catch many of the unaware napping. The time to prepare for “midnight” is before the bottom falls out.
You have two choices after reading the strategies in this book: You can dismiss them as being too dramatic, negative, or irrelevant. Or you can decide to return to the basic disciplines they espouse that will fuel your business to greater success in good or bad times. To help you make the right choice, I should remind you that choosing to live in denial concerning business cycles and embracing the “we’ll never see another poor day” mantra of manure is a catalyst to a future of longing for yesteryear and boring your friends with pathetic reminiscences about the good old days and the big one that got away.
Few people would deny that the points presented in the upcoming pages would improve one’s enterprise substantially and quickly. Thus, the only question is when you should get serious about putting them to work. You can either fix the roof while the sun is shining or wait for it to leak and cave in. Choose well.

Introduction
The world has become too politically correct, and quite frankly, it’s sickening. The “rationalize, sugarcoat, and don’t offend” mind-set of society has carried over into business and is perverting the performance-based psyche you must have to fix, build, or stretch your organization. Business leaders are not facing the tough issues. They’re seeking harmony over truth, and it’s creating a morass of mediocrity. Everywhere you look you see that marginal and moronic business leaders and philosophies have reached critical mass.
Business is simple. Not easy; simple. (Intellectuals try to complicate it.) It still boils down to having the right people in the right places doing the right things. You can read books on strategy and attend courses on corporate vision, but the fact is that without getting the right people on your team, nothing else you do will matter. Your vision is worthless, strategy impotent, and values corrupt without the right people to execute them. And just as important as getting the right people is getting rid of the wrong ones. Keep these losers around and they’ll dilute the effectiveness of your great players and pollute your culture. Too many managers are leadership wimps. They won’t make the tough calls on poor performers and allow these slugs to continually break momentum, sap morale, and diminish the managers as leaders.
Once you have the right people and get rid of the wrong ones, your job is just beginning, because you must develop the talented people in your charge. If you don’t, you’ll lose them — and you’ll be getting what you deserve.
The good news is that once you have the right people and are continually upgrading their capacities, you can stop thinking incrementally and begin swinging for the fences. The foundation you build gives you the right to be unrealistic and go for more than you would ordinarily think is reasonable.
This book is written from real-world experience in the business trenches and not from the viewpoint of an academic or a researcher. I’ve had my nose bloodied at the front lines of one of the most competitive businesses in the world — the automotive retail industry — and have made every mistake a leader can commit: hired the wrong people, kept them too long, let the potential of my best people rot on the vine, failed at developing vision, created impotent strategies . . . the list goes on. In my first management jobs I was arrogant, acted more like a cop than coach, and didn’t know the first thing about leadership even though I was in a leadership position. In fact, if I could find the first group of people I ever managed, I’d apologize and beg forgiveness. I suspect many of these people were in therapy for years after their stint as my subordinates. The good news is that my mistakes turned out to be great investments because I learned from them and developed strategies that helped me lead some of the most successful businesses in my field and today help clients around the world apply those same ideals. The catalyst for turning around my business career was when I stopped looking out the window for answers and started looking in the mirror. Once I realized that it was my inside decisions and not outside conditions that determined my success, I started focusing ferociously on what I could control. I’m grateful for the opportunity to share these strategies with you in Up Your Business! I know how hard you work, the challenges you face, and the decisions you agonize over. I understand what it’s like to feel overwhelmed with problems — the challenge of finding and developing great people, and the consternation at having fired the wrong ones, especially if they’ve been loyal or are your friends.
I’m pulling for you. But I’m not going to let you off the hook with a bunch of Pollyanna happy hot-tub talk. I’ll give you effective strategies, presented in simple and direct talk, that you can apply immediately. The only catch is that while they’re simple, they’re still hard work. But it’s even harder work to do things the wrong way, to push the wrong people to do the right things, or to do more of the work yourself because you have the wrong people on board. Don’t even think about reading this book without a highlighter, because there is help on every page. Turn Up Your Business! into your personal textbook for fixing, building, or stretching your organization. You will find three themes in this book:
1. I focus on the rule, not the exception. Too many leaders exhaust themselves looking for the latter.
2. There are nonnegotiable recurring themes throughout the book: looking in the mirror, leading from the front, dealing quickly with poor performers, pursuing personal growth, and developing a team. I don’t mind saying things twelve different ways if one of them gets through and helps you.
3. I don’t expect you to agree with all the strategies presented in Up Your Business! However, I do expect you to keep an open mind and give them a chance.
Enough talk. Let’s get to work.

CHAPTER 1
Always Remember, “It’s the People, Stupid!”
During the 1992 presidential election campaign, Bill Clinton’s inner circle decided that the troubled economy was the theme their candidate would hammer to win the White House. Whenever a Clinton staffer invested time, energy, or resources strategizing or articulating foreign policy, world trade, or environmental issues, a cohort would bluntly chastise him with the words, “It’s the economy, stupid.” This not-so-gentle reminder became a mantra that created laserlike focus and steered the campaign to victory.

FIRST THINGS FIRST

Leaders wanting to fix, build, or stretch their organizations must employ the same tenacious resolve and embrace the business version of this mantra — “It’s the people, stupid” — as the catalyst of measurable and sustainable growth. All organizations have goals, and most have strategies. Both, however, are irrelevant if the right people aren’t in place to execute them. In fact, a great dream with the wrong team is a nightmare because bold goals pursued by mediocre people still result in mediocre results. Grand plans designed at off-site meetings and facilitated by costly experts are rendered impotent when employed by the marginal, mediocre, or moronic. Most organizations suffer from a reality gap. The chasm between the leader’s forecast and the realities of his people’s abilities renders their goals unrealistic from day one.
Up Your Business! Bullet
If your dream is bigger than your team, you’ve got to give up the dream or grow up the team.
Business leaders have no control over weather, the economy, interest rates, or competitors’ actions; yet pondering or worrying about these issues often consumes much of their day. What a leader can control is who joins or leaves the team and how to develop those on board. Unfortunately, most leaders make poor use of this liberty. To fix, build, or stretch an organization, a leader must exercise one of leadership’s greatest privileges proactively and aggressively: deciding whom to keep and whom to lose.
Dave Maxwell, after being hired to turn around Fannie Mae in 1981, related how the mortgage giant was losing $1 million per day and had nearly $60 billion in mortgage loans underwater.1 Naturally, the board was anxious and, when they met with Maxwell, they asked him about his vision and strategy for the company. Maxwell replied that asking where the company was going and how it would get there was the wrong first question; that before he made the journey his first order of business was to get the wrong people off the bus and the right people on the bus and to make sure the right people were sitting in the right seats. Then, he replied, they could focus all their energy on taking the bus somewhere great.
Soon after the board meeting, Maxwell met with his twenty-six key executives and laid it on the line.2 He told them the trip ahead was going to be difficult, that there would be major changes and tough decisions to make, and that people would be stretched and held accountable — but that for those who endeavored, the rewards would be great. He also told them that if they didn’t think they could stomach the ride nobody would hate them if they left.3 Confronted with this challenge, fourteen of the twenty-six executives voluntarily exited the bus.4 The good news was that those who remained were totally committed, and Maxwell filled the vacant slots with some of the brightest minds in the finance business. Now he and his team were ready to take the bus on a ride to unprecedented heights. And what a ride it was. During Maxwell’s reign, the same company that had lost $1 million per day was making $4 million per day and beating the general stock market returns 3.8 to 1 between 1984 and 1999.5 Maxwell retired while still at the top of his game, and the dream team he had attracted and developed drove the bus to equally impressive peaks. With focused discipline, Maxwell corrected the board’s errant focus on vision and strategy, fixed his organization, and showed the world, “It’s the people, stupid.”

GET PROACTIVE: GO FROM HUNTED TO HUNTER

I sometimes wish I could find the man who gave me my first shot at management and apologize. I’d beg forgiveness for all the wrong people I hired who abused our resources, lowered team morale, and consistently broke our momentum. Don’t get me wrong; I did have a recruiting, interviewing, and hiring strategy. In fact, I can describe it in one word: reactive. My strategy was to wait until we were shorthanded, run a worthless ad, and hire someone I liked with little regard to whether the person could do the job required.
Fortunately, I’ve learned a thing or two about building a team since then. In fact, I can sum up my current team-building strategy in four words: hire slow, fire fast. Leaders must be more proactive and deliberate in selecting employees. If you want great people you’d better be prepared to go find them yourself. You must go from waiting to be hunted to being a hunter. At the same time, you must remove poor performers more quickly. Both these concepts will be presented in detail throughout this chapter.
Unfortunately, much as I used to do, most managers don’t recruit, interview, or hire until they’re desperate. Soon, pressured by time and the need for coverage, they begin settling too early, too cheaply. Before long, however, they realize that a bird in the hand is not better than two in the bush if it’s the wrong bird. (If you haven’t read the book Hire with Your Head, by Lou Adler [Wiley, 1998], get it. In addition, go to Lou’s web site, www.powerhiring.com, where you’ll find one of the most valuable resources available to reinforce and coach you in the strategies for building a team.) Then, when managers realize they do have the wrong person, they cross their fingers, give a half-dozen second chances, and fail while trying to fix the unfixable for far too long.
Up Your Business! Bullet
As desperation rises, standards fall.
Personally, I can’t think of a better way for a leader to invest his or her time than in finding great people for the team. In fact, you have a choice of either investing time doing this or spending your time pushing the wrong people to do the right thing. Or, even worse, doing more of the work yourself because you have the wrong people. Since it’s going to take plenty of work regardless of which path you choose, it’s advisable to work in a manner that makes your future less frustrating and more productive. To build a team of eagles, you’ll have to get past one of the most pervasive cop-outs in business: “There’s a shortage of talented people where I live.” I deliver approximately 150 speeches or training presentations annually, and it doesn’t matter whether I’m in Manhattan, in Brunswick, Georgia, or in Devils Lake, North Dakota; every time I speak to managers I hear this whimper. Everyone likes to think their situation is unique, that finding good people is an impossible task reserved especially for them. I hate to be the one to kick the crutch out from under you but here is the fact: There is no shortage of talented people in any market area. The Creator didn’t suddenly stop churning out talented people. It’s just that the most talented people already have jobs! They’re not perusing the want ads or knocking on your door with hat in hand. I don’t say these next couple of sentences to be condescending or sarcastic, but your best job candidates are not the unemployed. I understand there are exceptions — focus on the rule. Some of these people have waited for their thirty-nine weeks of unemployment benefits to expire and are reentering the marketplace reluctantly and with a chip on their shoulders.
This begs the question: What is your strategy for attracting passive job candidates into your workplace? You know, the happy, productive people getting the job done for someone else. In the following pages, I describe six strategies to up your people and your business.

CREATE AN EAGLE ENVIRONMENT

The best performers expect differentiation. They won’t work where they are treated like average or bottom performers. They want to have more input, schedule flexibility, stretch assignments, fewer rules, increased discretion, and pay based on performance (not tenure, experience, or credentials) — and, most important, a great leader to work with.
What is your Eagle Value Proposition (EVP) to attract top performers? If a 9 on a scale of 1 to 10 walked in to apply today, what is your compelling EVP that sets you apart from the competition? If you can’t be specific or impressive here, you have work to do, because eagles are attracted to mountaintops, not to landfills. Landfill environments are those with marginal expectations, equal rewards and support for top and bottom performers alike, burdensome rules, abusive schedules, and poor leadership. Landfills don’t attract eagles. They attract rats, roaches, pigeons, and buzzards. We’ll delve deeper into differentiation in Chapter 3. For now, suffice it to say that if you expect to attract more eagles or develop and retain the ones you have, you’ll need to build an environment where they can flourish. This also means you’ll need to eliminate from your workplace environment demotivators that break the spirit and momentum of your best people. Here’s a partial list of the offenders — what we’ll call “Landfill Symptoms”:
• Too many rules
• Poor training procedures
• Lack of feedback on performance
• Lack of differentiation for rewards between top and bottom performers
• Lack of stretch assignments and meaningful work
• Promotions based on tenure and experience rather than results
• Weak leaders
• Tolerance of poor performers
• Too many or unproductive meetings
• Nepotism
• No room to grow
• Rigid scheduling
• Unclear vision, mission, and core values
You must pay constant attention to this list. Keep weeding out these motivational land mines because just about the time you get things the way you want, one of them resurfaces. Unless and until you make the workplace environment your number one recruiting tool, eagles will keep flying over your landfill. On the other hand, life gets good when eagles come looking for you. It takes awhile for word to get around, but if you build it — an eagle environment — they will come.
Up Your Business! Bullet
Eagles and turkeys don’t eat the same food.

MAKE RECRUITING EVERYONE’S RESPONSIBILITY

Think about the last time a great salesperson blew you away with polish and professionalism. Or how about that special occasion when a dynamic waitperson made your night out memorable with personality and service. You can probably still picture these people, and chances are you’ve told others about the experience. Did you try to recruit these people? If not, why? Normally, the managers who would never think of adding these people to their talent pipelines are the first to lament that there are no talented people where they live. To take this a step further, think of how many people currently working in your company have had similar experiences and missed the opportunity to recruit. The prime reason no one recruits star performers like these is lack of awareness. Recruiting is never talked about, valued, rewarded, or encouraged. And until it is, you’ll continue to let golden opportunities slip away. If you’re going to up your business, you’ve got to make recruiting everyone’s responsibility. To go from hunted to hunter, give your best people Eagle Calling Cards they can put in the hands of superior performers everywhere they find them. An Eagle Calling Card is the size of a business card. Use the following example as a template to adapt to your own organization.
Front of card:
Congratulations!
I noticed your great service today! We’re always looking for eagles to join our team. Call me, Dave Anderson, at 650-867-9000 to discuss the opportunity in total confidence!
Reverse side of card:
Flexible scheduling! Top Gun Club for top performers! Our average employee made $60,000 last year! Full health and life insurance! Generous 401K! Paid vacations! Sign-on bonuses! Great initial and ongoing training! Promotions based on performance, not tenure! You’ll be surrounded with winners driven by a vision to be the best!
Another strategy that creates awareness of the importance of building a talent pipeline is to pay recruitment bonuses. Pay a meaningful bonus — at least $500 to any employee who refers an employee you hire. Pay it on the spot. Don’t wait six months to make sure the person works out. If you don’t think they’re going to be there in six months you shouldn’t be hiring them in the first place. Besides, the idea is to find reasons to pay the bonus so employees are encouraged to bring in referrals, not to attach strings to make it tougher for them to collect. Even if you pay some bonuses where the people hired don’t work out, the long-term benefits of higher morale within the person referring the candidate, increased awareness of recruitment overall, and the occasional breakthrough hire you’ll reap are well worth the dollars invested. Anyway, when you calculate how much you waste with conventional hiring methods through want ads or otherwise, the bonus you pay is a bargain.
Up Your Business! Bullet
The only way you can hire eagles is if you talk to eagles.

TURN YOUR WEB SITE INTO A RECRUITMENT POST

If your web site isn’t already a compelling recruitment post you’re blowing it! Every day you have passive job candidates using your site. They’re not looking for work; they’re looking into your goods and services. Many of these people are successful and productive for another employer. This is your chance to plant a seed, intrigue them, and recruit them — and once the initial web design is complete, it won’t cost you a dime! The majority of web sites waste this recruitment occasion with a mundane “Employment Opportunities” icon. Once you click on it you are greeted with a laundry list of job openings and are invited to call or e-mail for more information. To say this approach is weak and uninspiring would be kind. If you’re going to attract eagles in this decade you had better kick your online hiring campaign into high gear. Here are five strategies to up your chances of snagging a passive eagle candidate.
1. Use an oversized “Join Our Team of Eagles!” icon and ditch the formal and boring “Employment Opportunities.”
2. Once candidates enter the “Join Our Team of Eagles” area of your site they should be met with employee testimonials from your happiest workers:
“I’ve worked at Saga Communications for ten years and absolutely love it! We have ongoing training, special rewards for top performers, great core values, a dynamic leadership team, generous pay and benefits, and I belong to a supercharged team of winners!”
— Dave Anderson
Sales Manager
danderson@saga.com
3. List compelling job descriptions. Try this one on for size:
“Sales Opportunity: We’re looking for high-octane winners to join our team of sales eagles. You’ll get the best training in the business and the support of a super team. The ideal candidate will be able to manage his or her own business-within-a-business, hit our high standards, and grow fast with our company. We understand that a compensation package needs to be very aggressive to continue to build our team of eagles. Apply online on this page and we’ll be in touch soon to arrange a meeting of our minds. All replies held in strict confidence.”
4. Allow candidates to submit a short (five-line) online application. The shorter it is, the more likely they are to fill it out. Primarily, you want to gather contact information to follow up with and conduct a phone interview. A choice of brackets for desired income is also useful for determining candidates’ state of mind. The application should go straight to the general manager or head of Human Resources. Once you receive the application, respond immediately!
5. Use your advertising media to drive candidates to your web site to apply. For instance, your billboards, newspaper ads, radio spots, and other avenues should include the phrase “Join Our Team of Eagles! Apply online at www.saga.com.” You should also have signs on your premises encouraging people to inquire about “Eagle Opportunities” or apply online. Giving the online-application option will increase the number of candidates you get to consider because many who are currently employed are uncomfortable with an initial face-to-face conversation.

USE TECHNOLOGY AS YOUR EDGE

Invest an hour of your time surfing the following web sites:
www.careerbuilder.com
www.monstertrak.com
www.monster.com
What you will find on these sites and more like them is precisely where recruiting and hiring are headed. You can post compelling job descriptions, peruse postings by job candidates, and retrieve data based on geographical areas and job classifications in order to customize your hiring and recruiting approach. You can take advantage of services that notify you immediately once a job candidate publishes a resume matching your preset criteria. Monstertrak.com specializes in marketing to more than 600 college campuses, helping you market your offerings to the next generation of the best and brightest. Eagle candidates are using these sites daily as they contemplate industry or career changes or geographic relocations, or once they get the itch to step out and find a greater opportunity than their current circumstances offer. Many local newspapers also offer their own versions of these sites and are worth a look as well. To up your quality of people and your business you must enter this arena. In fact, there’s a good chance your competitor is already there.

RAID TALENT POOLS WHEN AND WHERE UNCERTAINTY REIGNS

If you are serious about getting proactive, you’ll raid the talent pools of other businesses the moment you hear word of a potential buyout, merger, takeover, or downsizing. You can leverage the uncertainty found in these situations by finding out who their best people are (if the company is a competitor, you may already know), taking them to lunch, and beginning a courtship process with your business. At first, their reaction may be to give the new owners or current arrangement a chance. But once pay plans start getting cut, their friends get the axe, and the new sheriffs in town begin micromanaging, they’ll be ready to make the leap. Just make certain they’re in your talent pipeline when they do.
As you make contacts and begin building a talent pool, it’s important that you stay in touch with those in your pipeline. If you have a company newsletter or e-letter you send out, put them on your list. Make an occasional call or forward press releases about your company’s growth or other accolades that let them know you’re still interested and they’re missing out on where the action is.

DON’T MAKE WANT ADS THE CENTRAL PART OF YOUR HIRING STRATEGY

There’s no doubt you’ve hired good people from classified ads in your local paper from time to time. However, it’s estimated that want ads attract the bottom 30 percent of performers. One key reason is that the top people aren’t reading them! While you may snag a diamond every once in a while, you’ll exhaust yourself sifting through the coal mine to get it. These solicitations normally bring in a combination of the frustrated, the terminated, the curious, and the confused and mystified — people barely doing enough somewhere else not to get fired who want to come test their options at your place. Many of these applicants make the Osbournes look Amish. I know there are exceptions, but as I declared in the opening of this book, I don’t believe in looking for the next exception. You can wear yourself out personally and deplete corporate resources sifting through a flock of turkeys to find the eagle. While you should keep some presence in the classifieds for people new to your area and those looking to change careers, these should not be the focal point of your recruiting strategy. Think about it: If they bring in the bottom 30 percent of performers, even if you hire the cream of the crop you’re still just getting the best of the worst!

Be Careful What You Ask For

Hiring expert Lou Adler recommends that when you do place an ad in the paper, you make sure to word it so that it attracts people looking for challenges and opportunities, not those just looking for a paycheck. The difference in quality between the two candidates is staggering. Here’s an example of each style of ad to help clarify this strategy (material used by permission of John Wiley & Sons, Inc.):6
Type I: Typical ad attracting those just looking for a paycheck:
Sales
Thirty-year old jewelry retailer is looking for motivated individuals to join our professional sales team. Prior sales experience helpful but not necessary. You must possess great attitude and desire to succeed. We provide training, health and dental insurance, and 401k retirement plan. We offer a guaranteed monthly draw against commission. Must have high integrity and maintain a strong team concept.
This ad is typical and attracts anyone with a pulse. And you’ve coached the applicant to talk about what a great team player they are and fake a great attitude during the interview.
Type II: Ad attracting those wanting a challenge and opportunity:
Sales
We’re a mover and shaker in the retail jewelry industry and need a self-starter who can build and manage his or her own business and complement our team of sales eagles. If you’ve got the horsepower to take over this critical position, hit our high standards, and grow fast with our company, send in your resume or apply online at www.eagles.com. Include a separate write-up describing the most significant impact you’ve had in your current job. We realize that a compensation package needs to be very aggressive to continue to build our team of eagles.
One of the key differences between the two ads is that the second one causes the candidates to sell themselves, whereas the first ad does all the selling. When you sell a job too early you cheapen it. The second ad will also scare off the worthless who want to just get by and pick up a paycheck. On the other hand, it will intrigue top performers and get their juices flowing. An old adage declares, “Be careful what you ask for because you’re likely to get it.” The same holds true for your recruiting strategies.
What you’ll notice when you run the ad attracting people looking for challenges and opportunities is that it will bring in far fewer candidates. This is a blessing. In fact, if you’re measuring the effectiveness of your employment ads based on the number of people they attract rather than the quality of the people they attract, you’re using a deficient measurement metric. Would you rather have forty people to sift through looking for a gold nugget, or only four — two of whom you want to hire?
Myles Dolan Jr. is vice president of Millennium Marketing, a New Jersey-based financial services provider to 200 retail automobile dealerships nationwide. Millennium hires finance managers and, in the past, when running a traditional classified ad, would attract twenty to thirty applicants, resulting in fifteen interviews and approximately five placements. According to Myles, when he decided to change his approach and run the sample ad attracting candidates looking for opportunities, only six candidates applied — but four of the six were placed in positions. Dolan explained what happened: “The quality of the candidates was much higher based on the expectation level the ad created. Each of the six candidates actually had resumes, which normally ran below fifty percent when we’d run the old ad. It has always astonished me that these folks think they can interview for a six-figure-income job without a resume. The phone pre-interview was also an excellent tool.”7
Up Your Business! Bullet
People are not your greatest asset; the right people are. The wrong people are your greatest catastrophe. Mediocre people are your greatest drain on resources.
UP YOUR BUSINESS! ACTION THOUGHTS
GET PROACTIVE: GO FROM HUNTED TO HUNTER
1. Lose the mentality that your work roster is “all filled up” and start building your pipeline of talent by marketing to passive job candidates.
2. What will you have to stop or start to make your workplace environment your number one recruiting and retention tool for eagles? Be specific and be bold!
3. Design and print Eagle Calling Cards and give them to your management team to begin distributing.
4. Designate significant recruitment bonuses for employees referring workers to your business. Designate a meaningful amount and pay them on the spot.
5. Enhance your web site to create a compelling recruiting presentation to passive job candidates visiting your site. Post employee testimonials and intriguing job descriptions, and provide a short online application.
6. Use all your ad media to drive traffic to your web site to apply online.
7. Review and incorporate local and national recruitment web sites into your strategy.
8. With your key managers, designate a “raiding party” that descends on vulnerable businesses being acquired, merged, or downsized and recruits their talent pool. Stay in touch with those in your talent pipeline.
9. When you do use newspaper want ads, design them to attract people looking for challenges and opportunities, not just those looking for a paycheck.

EMPLOY GUERILLA INTERVIEW TACTICS

Once you find high-potential candidates your job isn’t finished. In fact, it’s just beginning. You must have an effective interview strategy in place that accurately assesses the people wanting to join your team. In fact, when you take time to contemplate the cost of hiring the wrong person, often because there’s no real interview or hiring strategy in place, it is staggering! Get some Maalox ready before going over the following four penalties for hiring recklessly:
1. Calculate the cost of lost production between the poor candidate and your top-echelon performers. In many job functions this is the easiest cost to figure. And while it may be substantial, it pales when compared to the next three.
2. Try to put a price on the cost of broken momentum poor performers create. While this figure is not possible to quantify, let your imagination go to work here.
3. Attempt to determine the cost of having lower morale throughout your workplace as a result of having the wrong people on board, people who are not carrying their weight or contributing to organizational goals. While you’re at it, factor in what it costs for your good players to have their personal performance compromised because they’re carrying the weakling’s load.
4. Now for the real killer: What is the cost of running your personal credibility as a leader into the ground because you can’t choose capable people — and everyone knows it? To compound this cost, add in the extended penalty to your stature when you don’t remove these people as quickly as you should and your solid players secretly call your standards, leadership, and judgment into question.
Up Your Business! Bullet
The best time to fire people is before you hire them.
Why are so many of the wrong people hired by otherwise intelligent and effective managers? Too many interviews wing the hiring process or have faulty systems in place. Use the following nine interview strategies or adapt them to what you currently do so you can up the quality of candidate you bring on board.

CREATE AND STICK TO PREDETERMINED INTERVIEW QUESTIONS

The time you invest in preparing for an interview will be far less than the time required to rehabilitate the wrong candidate if you make a bad decision. Creating and sticking to predetermined interview questions will help you avoid a fatal flaw of interviewing: talking too much and letting the interview turn into a sales pitch. Your questions should revolve around past behaviors and performance. The key here is to determine what the candidate has actually done to get results in past jobs. Until you determine competence, factors like appearance, personality, education, and experience are mostly irrelevant. Keep in mind that the interview itself should be a fact-finding mission, not a casual conversation. You’re better off asking fewer questions and then going deeper with follow-up questions than you are in presenting a wide array of queries covering general topics. The deeper you dig to follow up on the answers the candidate gives, the more exaggeration you’ll weed out.

DISCIPLINE YOURSELF NOT TO MAKE AN EMOTIONAL HIRING DECISION

doing