Every deal is an exchange of values

June 11, 2007

Dorothy Scullion in 1980.

Years ago, when I was a young hospital vice president, one of the people reporting to me was the volunteer director, Dorothy Scullion. Scully had been on the job 37 years and was frustrating. Brimming with youth and enthusiasm, I had many suggestions to improve the program. But no matter what I suggested, Scully would say: “We tried that in 1957. It doesn’t work.”
Nothing I could do about it. She had the job for life, so I just focused on my other areas of responsibility and hoped that one day she would retire.
Then Scully did something I couldn’t believe. She fired a volunteer! Not just any volunteer, but the one who won the award each year for most hours of service.
Granted, he was a cranky old man who had nothing better to do, but he served an important role, staffing the Surgical Waiting Area each day, making families comfortable while loved ones were in surgery. This is where the doctors could find the families after the operation. His job was to keep the coffee pot going and the magazines stacked neatly and the area reasonably tidy. Although we received an occasional complaint about his attitude, he did a reasonably good job.
He appealed for me to reinstate him, and I summoned Scully to my office to explain.
“He didn’t show up for work today, and he didn’t call to warn me,” she said. “The volunteers have to feel that they do important work. They need to hear the message that we are counting on them. By not coming in and not calling, he let us down, and everyone needs to know we won’t tolerate that.”
I brokered a peace treaty. He apologized and swore he would never do that again. Scully took him back, having made the point to all of the other volunteers that each of them serves an important role in the organization.
This was the first time I realized that Scully actually knew what she was doing, and perhaps could teach me a thing or two. So we began talking.
One of her lessons was that every volunteer was there for a selfish reason – that even in the apparent selflessness of working for no pay, each was receiving something of equal or greater value in return.
Recognizing that is the secret to running a successful volunteer program, she said. Unlike an employer-employee relationship, where the exchange of values is “I work, you pay,” it’s more subtle for volunteers, and each one has a different motive.
In the hospital setting, the motive could be as simple as feeling useful after retiring. Or looking for new friends, or a new mate. Or to be in the right place at the right time when a job opens. Or to develop new job skills – like learning to use a computer – in preparation for a return to the job market. Or hearing the gossip on the elevators and knowing what the nurses REALLY think about the doctors. Or being a familiar face, not just a number, when being admitted as a patient.
One of Scully’s most popular volunteer programs was for retired couples. The wives would volunteer on Monday and Wednesday, and the husbands on Tuesday and Thursday, giving each some quality time away from each other.
Another was to trade hours in the most popular jobs for hours in the boring jobs. For example, everyone wants to work the information desk because you get to know who is in the hospital, and why. (You can’t talk about it, because you are sworn to secrecy, but you can display a knowing smirk when someone asks “How’s Harriet doing?”) You want four hours on the information desk? It costs you four hours of filing in the back room.
“Every volunteer is getting something that to them is of equal or greater value than the service they are providing,” Scully said.
So why am I wasting your time with ancient history about volunteers? Because the principle is very much the same in business. Just as Scully needed to figure out what each volunteer was getting in return for his or her service, people in business need to understand what the potential customer hopes to get in exchange for their money.
There is always an exchange of values in every deal. The deal does not happen unless each side thinks they are getting something of equal or greater value. So many sales are lost because people forget this basic principle.
When you are making a sales pitch, are you focusing on the quality of your product or service? Or are you trying to judge what the customer is looking to achieve, and slanting your pitch to emphasize the benefits to him?
The customer is not looking to buy a product or service, but rather to solve a problem. Ask questions. Try to figure out what problem the customer is trying to solve, and then shape your sales pitch to match that need.
Scully would be proud of me.

BRG: Good networking, lots of partying
April 28, 2007

Albert Gil, staffing specialist, left, was a guest at the Business Referral Group wine tasting and business card exchange at The Grape. Next to him is Eli Ristine of Pan Florida Realty, the BRG president, and Adam Weirich of AXA Advisors, with wife Lee.

Considering that the Business Referral Group has only 34 members, there sure were a lot of people at the group’s free wine-tasting networking event at The Grape, the wine bar in the Village of Merrick Park. The little wine bar was overflowing with people as prospective members, friends and even relatives joined in the three-hour event.
Since BRG members have lunch together every Tuesday at City Cellar in Coral Gables, you would think they would get sick of each other. But no, they are constantly partying. These are fun people!
My wife and I joined BRG in November 2005 as it held its annual installation dinner on a one-night cruise to nowhere, a shakedown cruise on the new Norwegian Jewel, put together by member Louise Gross of Wylly’s Professional Travel. Everyone had a great time, and much bonding took place over that 24-hour period.
BRG members recently attended a theatre party at Actors’ Playhouse at the Miracle Theatre to see “La Cage Aux Folles.” While they were there, they went upstairs to the theater lobby to support a charity event being hosted by one of the BRG members, Dr. Stephen Morris, the optometrist in the group.
Then last week there was the “BRG Night Out at Chihuly” at Fairchild Tropical Garden, preceded by a tailgate picnic in nearby Matheson Hammock park.
In December, BRG members again will take a short cruise, this time for three nights on the Majesty of the Seas.
With all this face time, the members and their families obviously get to know each other well. BRG is one of those leads groups where there is one member per industry. Members are expected not only to do business with each other, but also to recommend each other outside the group
For Dominic Lamberti of Padgett Business Services, one of the BRG founders, this works well. He says that perhaps a quarter of his business can be traced to BRG members, either directly or through their referrals, which is exactly how a leads group is supposed to work.
Lamberti was one of eight founders who broke away from another organization to create BRG in 1999. According to another of the founders, Derek Cohen of Raymond James & Associates, that group had national ties, and the feeling was that they were paying hefty national dues and getting little in return. Of the eight who began BRG, six are still active eight years later.
BRG also has been successful in attracting medical specialists. In addition to Dr. Morris, BRG also boasts a medical doctor, a dentist and a chiropractor. The internist, Dr. Robert Thomas, came to The Grape event with his wife and new son Ethan, just a week old at the time, to meet his BRG friends.
Eli Ristine of Pan Florida Realty, this year’s BRG president, brought her mother, Elizabeth Trelles Alvarez, to The Grape party. Actually, I first met her mother on the BRG cruise, and was glad to see her again.
BRG has lots of energy and lots of fun and members tend to stay a long time, which suggests that business is being done. If you want to explore the possibilities, click the Organizations tab above and visit the BRG website. If you like what you see, get in touch with Sara Granzotti of Juice PLUS+ at 786-521-2800 or sgranzotti@msn.com to determine if your business category already is represented in the group, and to explore the possibility of coming to a lunch meeting.
The Grape, by the way, looks like a great place if you like wine. If you are into Diet Coke, however, they don’t have any. But they sold me an $8 bottle of water to go with the great free appetizers.

A good time to try your own business

March 31, 2007

 
Fear of failure and subsequent unemployment is the main reason people don’t try to start their own business. But with the unemployment rate so low these days, it’s pretty easy for people to find jobs, so now might be a good time to take your shot.
I got an e-mail from a friend up North who was seeking advice from just about everyone he knows. Between jobs right now, he is trying to figure out a way to make a living out of the fact that health care costs are out of control, the education system leaves a lot to be desired, and everyone is living with too much stress in their lives.
I told him that I don’t see a revenue stream there. He has a lot of interest in those fields, but no real expertise. There are lots of people with PhD’s offering those consulting services, so why would anyone hire him?
A better course of action, I suggested, was to get a job. He is a super-salesman, and good salesmen are worth their weight in gold (even at age 60).
“I appreciate the advice,” he answered, “and everyone is telling me the same thing.” But, he pointed out, “the advice from those hundreds of PhD’s has failed to fix anything.” He believes that he can contribute to a solution because he sees the three problems as being interrelated, while the professional consultants concentrate only in their fields of expertise.
“If I can’t make this work, then back to sales it is!” he wrote, “and I am not uncomfortable with that prospect.” But he wants to try his dream. “I don’t want to think back and wish I had tried, and wonder what would have happened if I did!”
Live your dream, or make a living? Few people love their jobs. They work to earn money so they can afford to have fun. That’s why you “go to work.” You don’t get up in the morning and “go to fun.”
So in a way I’m happy that my friend is giving this a try. But I’m also pretty sure he’s going to be frustrated, because he doesn’t see a clear path to generate income, and you need that vision to be successful.
In going to the networking events of so many organizations, I am constantly delighted and amazed at how people create businesses to fill every little need. It demonstrates the strength of our entrepreneurial economic system. Find a niche and make a buck. It doesn’t have to be big or fancy or complicated.
Of course, you do need to be a good salesman to succeed in business. You have to be a people person. There are so many people at the networking groups who really could use a personality transplant. They don’t leave an impression, not even a bad one. It would be hard for those people to succeed on their own. But you’re not one of those, are you?
Many people already have a business of their dreams. “One of these days,” they say, but it never happens. Most networking groups have members who are business/life coaches, and maybe you should interview several and find someone with whom you are comfortable. Their business is to help you focus on your dream and find a way to live it. They help you get rid of the clutter and overcome the inertia of daily living so you have the time and energy to try something new.
If you don’t have that dream job in your head, if you’re just looking for a way to go out on your own, try asking this of everyone you know: “What product or service would you absolutely buy right now if it was available?” Business ideas will flow from that.
My answer is that I want a nav system for my cell phone that will help me find my car in a parking lot, or when I have to park at a meter in Coral Gables. I always forget where I park! Yes, I know they have nav systems for cell phones, but I think they are accurate only to a few hundred feet, and that’s not good enough.
Actually, what I REALLY want is a button on my keychain that would start my car and have it drive itself over to pick me up. But I doubt that will be available this year.
Next, I want someone to take all the junk in my house and sell it on E-Bay and take a commission, because I don’t have time or patience. I hear there are people who do this, but I haven’t met one.
I always wanted to start a business where I would write your obituary. Just fill out a form, and I will draw on my many years of experience as a reporter to make it sound professional.
Many obits are inaccurate because the family is asked to provide information at the worst possible time, while they are under great stress. For many people, the obit is the only time in their life their name appears in a newspaper, and what a shame to have it inaccurate!
So I would let you look at your obit to make sure it’s correct. Then I’d put it on a CD along with your favorite photo, and you can keep in the safe deposit box. When you die, your family just gives this to the newspaper. You can die happy, knowing your obituary will be accurate!
You laugh. But newspapers actually do have obits on file for well-known people, pre-written and ready to go, missing only the subject’s age and the place and cause of death. That was one of my early jobs as a young reporter, to interview people for their obituaries. I was horrified at the assignment, but the editor assured me that people love it when a newspaper thinks they are important enough to provide this service. He was right! But it was weird, calling secretaries and leaving messages: “Hi. Please have Mr. Smith return my call. I am writing his obituary.”
Another business idea is to do a professional interview with couples on their 25th anniversary (or another milestone) and videotape it, and give copies to their children. How did they meet, what was the first date like, what was their first impression of each other, etc. About great vacations, and interesting mishaps, and the birth of the children. What’s the true story about Aunt Martha? Would you buy this service as an anniversary present for your parents? Sure you would.
But I will never get to either of these, so feel free to steal the ideas.
Use your imagination. Talk to your friends. Maybe you can find a business that you love! It seems like this is a great time to give it a try.

Networking in the First Class cabin
March 15, 2007

At a recent Trustee Council luncheon at the Coral Gables Chamber of Commerce, from left, George Feliciano of Bay Plumbing, Julian Campolo of Alhambra Investment Management and John Knowles of Photo Offset

If you can join the Coral Gables Chamber of Commerce for $450, why would you pay five times that much to be a trustee?
In some organizations, there does not seem much difference in being a trustee, except, perhaps, extra recognition. In the Coral Gables Chamber, though, there are special events for trustee members, and it very has the feel of networking in the first-class cabin.
Successful networking is not just about meeting new people. It’s about meeting people in decision-making jobs who can give you business. So if you assume that people who pay $2,490 for membership are more likely than people who pay $450 to be in those kind of jobs, the Trustee Council at the Coral Gables chamber appears to provide a more targeted audience for your networking efforts.
A large percentage of Coral Gables Chamber members believe that — 175 of the 850 member companies have chosen the $2,490 annual trustee dues over the $450 business membership or $950 corporate membership. Since each trustee company can appoint up to five representatives to participate in trustee events, there are 850 trustee members, which actually is more than half of the chamber’s total membership of 1,600.
John Knowles, president of Photo Offset, is presently the chairman of the Council of Trustees and is a great salesman for the program. Knowles upgraded to the trustee level three years ago, and says it has so improved his business that the extra dues he pays are insignificant.
Knowles and his wife, Anne, live in Coral Gables and their commercial printing and graphics company has been in business for 53 years.
“We have been involved in many community and charitable organizations over the years and we know the importance of being engaged in civic and charitable activities,” he said. “We also know the importance to our business of building long-term relationships with business leaders in our community. We chose to get involved in our home town community by joining the Coral Gables Chamber of Commerce.”
Photo Offset originally joined as a corporate member, Knowles says, and “although I was meeting many very nice people, I was not converting these relationships into business.” He said a friend suggested he elevate to the trustee level.
“I made the investment, and the first month I was a trustee I received an $8,000 print order. The list of trustee members is like the Who’s Who of Coral Gables business, and my membership provides me with the opportunity to interrelate with the leaders of these companies on a regular basis.”
Knowles says, “I enjoy reflecting from time to time with friends as to how insignificant that upgrade to trustee was in comparison to the substantial growth in my business directly related to my trustee membership. The doors have been opened to many opportunities that I feel would not have been there without the association with my fellow trustees.”
Investment advisor Julian Campolo of Alhambra Investment Management upgraded to the trustee level a few months ago, but has yet to find a new customer. However, he has great expectations.
Campolo joined the Chamber last October at the business level, and was invited to attend a few trustee events.
“They dangled the carrot,” he said, “and I was completely hooked.” More than anything else, he said, “the intimacy and warmth that radiated from the group sold me, as was their commitment to getting to know new members. Every time I bumped into someone, they asked me who I was, what I did, what kind of clients I was looking for, my personal background, the works.”
While Campolo has not gotten new business from his trustee membership as yet, he says this is expected because “in the investment advisory business, the sales cycle is 12-15 months.” Based on his feeling about the Trustee Council, he thinks the extra expense “will arguably be some of the best marketing dollars I’ve ever spent.”
Knowles says that the Trustee Council has two exclusive events each month, a luncheon with a speaker ($40) and a reception (free) hosted by a trustee member. “The host invites all trustee and board members to visit their place of business. This is a wonderful opportunity for members to show off their facilities and staff while enjoying quality networking in a cocktail party atmosphere.”
Knowles said that trustees also receive special website recognition, “which includes having their picture or logo displayed, a direct link to their website, a direct link to their e-mail, a 75-word company biography, the names and titles of their five representatives, and a direct link to the trustee directory.” Trustees are also offered the use of the Chamber membership mailing list, along with special sponsorship opportunities.
“In addition,” said Knowles, “trustee members have the advantage of an elite group of Trustee Ambassadors, who are volunteers whose goal is to help provide total satisfaction in their trustee memberships.”
Knowles says that he and his wife have found a new social life in their trustee membership, as well: “The most important benefit of trustee membership is our ability to socialize and network with the leaders of our community,” he says. “The Chamber has become a part of our lives and our trustee membership provides us the ideal opportunity to be active in our community and, at the same time, develop strong business and social relationships.”
You can reach Knowles at john@photooffset.com, and Campolo at jcampolo@alhambrapartners.com.
For more information about trustee membership, go to the Chamber website at www.coralgableschamber.org or call the sales director, Georgina Exposito, at 305-446-1657 or email at gexposito@coralgableschamber.org.