Monday, December 17, 2007

What Keeps You from Creating an Attitude of Abundance in Your Life?

by Tom Hinton

It seems the faster I peddle the farther behind I get!

The harder I try, the more I fail.

Everything I touch turns to mush.

It never rains, it pours.

Success is always just around the corner.

All the good men are already taken.

I never have enough money!

I hate my job.

My family doesn’t understand me.

Life is all work and no play.

These are just a sampling of the responses people have shared with me during The Course of 10,000 Days retreats when I’ve asked the question, “What keeps you from creating an Attitude of Abundance in your life?”

Most Baby Boomers have been conditioned to think and act the way we do because we were raised in a guilt-ridden culture that repeatedly sent such messages as ‘you are imperfect;’ ‘you are unworthy;’ ‘you need to be realistic;’ and, ‘lower your expectations.’ It should come as no surprise that many people have unintentionally sabotaged their life dreams by giving up on themselves before they’ve even put forth an honest effort to make their dreams a reality.

How can you undo this negative conditioning and create an Attitude of Abundance? Here are three steps we teach during The Course of 10,000 Days retreat to help people transform their lives from mediocrity to one of purpose, peace, and passion.

1. Challenge Your Beliefs and Values. So many of the beliefs and values we learned as impressionable children are negative, limiting, and create a “co-dependent” mindset. As an adult, it’s time you put your beliefs on trial and challenged them. Are they valid? Do they lead you to success in life or do they create barriers for success and make you dependent upon others? Do you believe what you’ve learned because your parents or teachers told you it was so? Or, have you closely examined those beliefs and values in the context of what your goals and aspirations are? I’m talking about the values and beliefs that presently guide and control your life decisions. Let me give you an example.

Marcia is 44 years-old. She is single and works as a marketing representative at a large Chicago law firm. Marcia told me her boss, who has a Masters Degree in Marketing, makes life difficult for a number of employees at the law firm who do not have at least a college degree despite their hard work and contributions to the law firm’s marketing and administrative functions. When I asked Marcia why she didn’t change law firms, she told me she didn’t think she could get a better paying job without a college degree.

As I analyzed Marcia’s current belief system and values, and how she can create an Attitude of Abundance in her life, I concluded that Marcia suffered from two negative beliefs that were limiting her success in life. The first is “Co-dependency.” If Marcia truly believed in herself she would not be dependent on her boss, who needs minions like Marcia in order to exert her abusive authority and play mind games with subordinates. There is no reason for someone to stay in a job when they are not respected. But, in Marcia’s case, she played into the co-dependency games of her boss who took advantage of Marcia’s low self-esteem by holding her back in life.

The second negative belief that inhibited Marcia’s success in life is “Unworthiness.” Marcia mistakenly thought that a college degree is the only standard of success by which she will be judged in life. Certainly, there are some jobs that require a college degree. But, in Marcia’s case, she is a talented marketing representative who gets results. She has a good track record. These are skills that most companies want in an employee regardless of their formal education. But, Marcia had convinced herself that no one would hire her without a college degree. I told Marcia that she would be no worse off if she contacted other law firms, sent them her resume, interviewed with them for a job, and didn’t get hired. In other words, she had everything to gain and nothing to lose by trying.

By appealing to Marcia’s negative belief s and limiting values (“I’ve got nothing to lose by sending out my resume!”), I was able to convince her to send her resume to five law firms that enjoyed excellent reputations as outstanding employers. Within two weeks, two law firms contacted Marcia and interviewed her. The happy ending is that last week Marcia politely quit her job and accepted a new marketing position that now pays her more and gives her more responsibility. Marcia’s self-esteem is higher and she now feels valued. At the same time, Marcia is continuing to work on undoing many of the negative beliefs that inhibit her success. She realizes that it does her no good to change jobs while continuing to carry the same negative beliefs and limiting values that held her back in life. It’s a challenge, but Marcia’s making significant progress.

2. Define Your Own Success in Life. It’s astonishing to talk with people and learn that the reason they never tried to achieve their life dream is because someone told them that it wasn’t possible! Regrettably, the worse offenders are usually those persons we love and respect the most -- our parents, siblings, teachers, relatives, and ministers. Understandably, much of my Baby Boomer generation grew-up with parents who survived the Great Depression in the 1920s and ‘30s. Thus, their beliefs and values were couched in scarcity not abundance. On the other hand, they did give us such wonderful values as generosity and helping others. But, the mindset of scarcity thinking caused many Baby Boomers to needlessly abandon their dreams and aspirations. Instead of pursuing our dreams and goals, many of us conformed to the ways of the silent majority and punched the clock at routine jobs.

During The Course of 10,000 Days retreats, we spend a considerable amount of time helping people redefine their life success plan and reconstruct their dreams. We build dream boards and talk about What If scenarios; and, what it takes to transition from the What Ifs to the What’s Next phase of life? The key is not to merely wish for something you want, but to set forth written action steps to achieve your goals and dreams. As one workshop participant recently told us, “I’ve watched The Secret fifteen times but I’m still not successful.” Well, The Secret is inspiring, but you need to get off the sofa and do something! Achieving success requires us to plan our work and work our plan.

3. Put Your Faith in You. When I grew up, action heroes like Superman, The Lone Ranger, and Davy Crockett inspired me. But, day by day, the harsh reality of life chipped away at my dreams and conditioned me to conform to society’s definition of success. I was told to believe not in myself, but in those institutions and organizations that would prepare me for the real world. It was well-intentioned advice, but not necessarily good advice. During an era of world wars, depressions, and social strife, my parent’s generation had little choice but to trust the views, teachings, and wisdom of their national government, the church, and educational institutions. Today, many of those same institutions have been corrupted and, in many respects, outlived their usefulness.

Our federal government has been engaged in a cunning campaign of lies and deceit for more than forty years in order to perpetuate its own survival and reckless global influence. Americans were misled to believe that war was vital for our national interest; that natural resources were plentiful and the environment was safe; and, the good life was still attainable for the masses as long as we did what the government told us to do. Politicians on both sides of the aisle continue to perpetuate this self-serving campaign of lies and deceit instead of telling citizens the truth. Why? Simply because many of our elected representatives have been corrupted by a system that fosters greed and power instead of putting the interests of its citizens first.

Many of the traditional religions are so scandal-ridden with sex abuse and fraud that they have lost much of their credibility with the Baby Boomer generation and our children. Even our education system is failing its students. Today, students can learn more from the Internet and their PlayStation games than in the classroom. Is it any wonder why kids are so bored in school and opt out?

I am witnessing firsthand the rise of a new and enlightened generation that is directly challenging the status quo. This generation believes the way it is, is not the way is should be in the future. They are bored with institutional learning and they are fed-up with educators who don’t deliver on the promise to make learning fun and inspiring. They’ve are questioning why they need to take mandated subjects if their passion lies elsewhere?

I am also finding that more youths are openly challenging the teachings of certain organizations that espouse such nonsensical beliefs as “Money is bad,” “Rich people are evil,” “You were born with Original Sin so you are imperfect,” and “It’s noble to be poor.” This victimization thinking is wrong; and, it is finally meeting stiff resistance among a new generation that is rejecting the call to conformity and compliance. No longer are a handful of inept leaders at the highest levels of government, religion, and education able to control and squander the dreams of another generation. This new generation is liberated and will go their own way while making decisions based on abundance, not scarcity thinking.

How interesting that the radical movements perpetuated by the Baby Boomers in the 1960s and ‘70s are returning in the guise of a spiritual quest that will allow us to revisit our dreams and create an Attitude of Abundance. Ironically, it is our children who are teaching us well this time around, not our failed institutional leaders who sold our early dreams down the river of hope.

About the Author: Tom Hinton is president of the 10,000 Days Foundation. He is the author of four books including 10,000 Days: Finding Purpose, Peace, and Passion for the Rest of Your Life. Tom is also a popular speaker at various conferences and meetings. For more information email him at tom@tomhinton.com

Tuesday, December 4, 2007

Answering Two of Life's Most Difficult Questions

by Tom Hinton

At a recent workshop I conducted on The Course of 10,000 Days™, one participant asked me, "What do you think life’s most difficult questions are?" It’s a topic I’ve been studying, researching, and teaching for more than twenty years. As people reach their mid-forties and early fifties, I am finding they begin to ask themselves serious questions about their life purpose and what it takes to achieve their life goals. Certainly, this quest is more than just another passing phase for aging Baby Boomers.

What I have found amongst my generation is the older we get, the more profound the questions become. Eventually, the twin issues of achieving our human potential and living a life worth remembering become a central focus for many people. This is one reason why self-help books, personal development courses, and workshops like The Course of 10,000 Days™ have become so popular in recent years. Everybody is searching for answers to life’s most difficult questions.

I’ve concluded there are actually two questions that are the most difficult for people to answer. I say this because it’s important to understand that human beings have two dimensions -- a physical dimension and a spiritual dimension. This is why there are two most difficult questions to answer; one for each realm of our existence, physical and spiritual.

To answer the first of life’s most difficult questions, we should start in the physical realm because it is through our physical dimension that our spiritual essence is revealed. From a physical perspective, life’s most difficult question is this: How do I become the person I want to be?

In The Course of 10,000 Days™ we teach people that there are three steps to achieving our human potential and becoming the person we want to be. The first step is Acceptance of who I am. While no one is perfect, each of us has unique attributes and talents that we have been given. The challenge is to discover those talents and develop them. Too many people trudge through life without ever discovering their greatness. Instead, they focus on their imperfections and limitations. The principle of Acceptance of Self gets us out of the rut of self-pity and moves us into action by conducting a thorough self-assessment of our strengths and limitations. I have found that once people begin to understand their strengths and weaknesses, they can take action to overcome any obstacle and achieve their life goals.

The second step is Life Focus. A good portion of The Course of 10,000 Days™ retreat is devoted to helping people identify their goals and dreams, and then developing a written plan of action to achieve them. During The Course™ retreat, attendees form groups of five-to-six people known as “B-HAGs” (an acronym for Big, Hairy, Audacious Goal-setters). This process includes setting written personal and professional goals as well as weekly conference calls lasting 45-minutes to review each participant’s goals and progress towards their goals. B-HAGs also use visual aids such as Dream Boards and complete a comprehensive 90-day review session with our instructors. In this way, people create a “no-excuse” environment for themselves and force themselves to stay focused on achieving their goals. Frankly, it’s hard work to change behavior and pursue our dreams. But, for those who follow the process, I can tell you it works!

The third and final step is Good Vibrations. If you listen to the Beach Boys’ classic hit record from 1966, you’ll appreciate the positive, feel good lyrics. It’s no different in real life. We have found that it’s not enough to merely accept yourself and set goals. Ultimately, you need to change certain behavior to create your desired outcomes. You need to act! This means that you need to closely examine your daily routine, your circles of influence, and the routine things you are doing today that either promote or inhibit your success.

Let me give you an example of how it works. One of The Course™ participants at a recent retreat was named Jackie, a very pleasant, intelligent woman in her late-forties with a good sales job at a large retail company in New York City. After being divorced six years ago, Jackie wanted to find a man to share her life and have some fun. During The Course™, we introduced Jackie to the Good Vibrations concept. She told us about her daily routine, her friends, and her circles of influence. Jackie also told us that she spent most evenings alone at home reading books or watching television. She rarely ventured out to social events. She also commented that her three best friends also were divorced. Interestingly, when the friends got together, the conversation invariably dissolved into a male-bashing critique and why their ex-husbands were to blame for all life’s shortcomings and miseries.

While Jackie’s behavior was understandable, her counselor at The Course™ explained to her that it wasn’t helping her achieve her primary goal, that is, to meet Mr. Right. We introduced Jackie to the Good Vibrations concept and suggested several safe, non-threatening activities she could pursue to expand her social circle and even do things on her own that would get her out and about town. Jackie said she enjoyed skiing and reading. So, she joined a ski club and a book club that met monthly at a nearby chain bookstore. Within three months, while attending a wine and cheese party at her book club, Jackie met Mr. Right. They’ve been dating for more than a year and still going strong. By the way, Jackie has decided to spend more time with positive people and doing things that generate Good Vibrations in her life.

It’s hard to focus on our spiritual essence when our physical needs are not being met. This is why The Course of 10,000 Days™ emphasizes the importance of life balance in the three major areas of our physical dimension. They are: Self, Health, and Wealth. Once these needs are identified and your attention is focused on your intentions, you can begin to answer the second of life’s most important questions:

How do I achieve my higher purpose in this lifetime?

As The Course of 10,000 Days™ teaches us, we all have the same higher purpose in this lifetime. But, because we are uniquely different and possess special talents and the gift of free will, we pursue our higher purpose in many different ways. The end result is that some of us discover our higher purpose while others live a life of quiet desperation. Why is that?

The primary reason is analogous to the children’s story of the Three Little Pigs. You cannot build your life on straw principles and muddy routines and expect them to withstand the torrential threat of negativity, disappointment, and hardships. Life requires us to build our physical and spiritual temples of solid brick or stone so that we can overcome the periodic threats and storms that come our way. This means that our principles must be tried and tested. We must believe in ourselves so that we can overcome those moments of doubt when they come along. What The Course of 10,000 Days™ helped me discover was how to build a solid foundation so that I was strong enough to withstand the daily barrage of life’s challenges, negative news, and those unpleasant people who feel compelled to step on my sand castles. The Course™ also taught me how to discover purpose, peace, and passion in my life -- which are the keys to unlocking the gate of your spiritual dimension. Without discovering inner peace and your passion in life, it is impossible to find your higher purpose.

So, after much reflection and discussion, I believe these are life’s most difficult questions. The quest to discovering your higher purpose and then living it can be a rewarding one. But, it will require you to do all the things I’ve shared in this article.

If you’re looking for a positive resource to help you on your journey, I encourage you to consider The Course of 10,000 Days™ and the various programs offered by the 10,000 Days Foundation.

About the Author: Tom Hinton is president of the 10,000 Days Foundation. He is the author of four books including 10,000 Days: Finding Purpose, Peace, and Passion for the Rest of Your Life. Tom is also a popular and entertaining speaker at various conferences and meetings. For more information email him at tom@tomhinton.com

Saturday, November 17, 2007

How to Become the Person You Want to Be

by Tom Hinton

Last week, I had an interesting conversation with a friend about our favorite seasons. As we stood on her patio watching the last remaining leaves fall from the naked trees, I commented that my favorite season was autumn. She countered by saying her favorite season was spring. “In springtime,” she told me, “everything comes alive. The sun is warm, the flowers bloom with reckless delight, the grass smells freshly mowed, and all of nature is alive and vibrant.”

“That’s true,” I noted, “but there can be no springtime until the autumn seeds fall to the ground and nature gives way to winter’s brutal cold.” As Stanley Horowitz said so beautifully, “winter is an etching, spring a watercolor, summer an oil painting, and autumn a mosaic of them all.”

Like the changing seasons, life is a reflection of nature’s twisted contradictions. At a recent workshop I conducted on The Course of 10,000 Days, I reminded participants that -- like the changing seasons -- we, too, must go through a process of change and rejuvenation in order to transform our lives.

While nature does this naturally with the change of seasons, most people have a difficult time dealing with change and transforming themselves into the person they want to become.

But, in order to achieve our higher purpose and fulfill our dreams, we must experience the same transformation as the flowers that go dormant in winter only to return to their vibrant, colorful self in springtime. During winter, there appears to be no signs of life. But, deep within the plant’s roots, a new bloom is preparing to emerge. It is only through this process of change and rejuvenation that nature’s beauty reveals itself to us. As Gerald De Nerval said so poignantly, “Each flower is a soul opening out to nature.”

So, how can you transform yourself into the person you want to become? Here are five steps from The Course of 10,000 Days that I recommend you follow.

  1. Dream Big. You cannot achieve anything you are not willing to become. So, dream big. Consider the impossible. What is it that you really want in life? Ironically, most people only pursue those things they think they can accomplish. They never dream big. Allow the vibrations of nature to change your thought process. See the universe as offering you opportunities for success instead of limiting you and holding you back. You’ll be amazed at how many things come your way when you dream big. And, remember, if you shoot for the stars, but only hit the moon, that’s still a pretty good shot!
  1. Don’t Worry, Be Happy. There’s an old axiom that goes “worry is like paying interest on money you haven’t yet borrowed!” It’s true. Don’t be a worry wart. There’s a better way to approach life. Be happy. Stop worrying. You can’t control the universe, so why worry about it. Instead, be a possibility thinker and create solutions. You will attract good things into your life when you are happy.
  1. Use Your Talents. So many people keep wishing and praying for things -- never realizing they already have most of what they need in some form. They just aren’t using their talents or accessing people in their lives who can help them achieve their dreams. Let me give you an example. My friend, Allen, is a talented writer who had a great idea for a novel. But, Allen procrastinated writing his novel for nearly two years. He told me he didn’t have enough time to write his book. But, I knew that wasn’t true because we all have the same amount of time. It’s merely a question of how we spend it. The real reason Allen postponed writing his novel was a fear of rejection by publishers. I told Allen he was rejecting his work before a publisher ever had a chance to review his brilliant writing. I coached Allen to write 250 words every day at a specific time and email me whatever he had written before he went to bed. It worked. Allen finished his novel in seven months and received several publishing offers. So, use your talents… or lose them!
  1. Create Your Own Happiness. I constantly hear people tell me they are unhappy because of things they lack in life. For example, they complain about their job. They don’t get along with their partner or spouse. Their boss is a jerk. The list of excuses goes on and on. But, the reality is that we create our own happiness in life. Unfortunately, there is only one thing in this world that can bring you happiness -- you! The only way you can create happiness in your life is to look yourself in the mirror every morning and say, “This may be all I’ve got to work with, but today I’m going to use it to create happiness and success for myself.” And then, get out there and activate your potential. Don’t rely on anyone else to create your happiness in life. Remember, your happiness is up to you.
  1. Believe in Yourself. I’ve often wondered how Thomas Edison remained positive in his efforts to invent the right carbon filament for his light bulb invention in 1879. Despite ten thousand failed experiments, Edison pushed on and eventually discovered the right formula. Edison dreamed big. He believed in himself and never gave up. Have you made the same commitment to yourself? No one else will believe in you until you believe in yourself. A good question to ask is this: What one thing must I do today to grow myself to the next level? Then, make the commitment to do that one thing. Believe in yourself and radiate that belief so that others will be attracted to you and support you.

Put these five steps to practice in the next 24 hours and you’ll begin to see amazing results in your life. Start living your next 10,000 days and create a life worth remembering.

About the Author: Tom Hinton is president of the 10,000 Days Foundation and the author of 10,000 Days: Finding Purpose, Peace, and Passion for the Rest of Your Life. Tom is a popular speaker at corporate and association meetings on the subjects of Leadership and Life Change. He can be reached at www.tomhinton.com or by email at tom@tomhinton.com

Wednesday, November 14, 2007

How to Keep Your Company’s Reputation Afloat When You Spill Oil in the San Francisco Bay

by Tom Hinton

What happens when a company’s reputation is challenged and discredited on the front pages of newspapers? How does a global company withstand the barrage of negative press when its environmental accidents are the lead story on the national network news and magazine covers?

This is exactly the crisis facing South Korea's Hanjin Group which chartered the ship, Cosco Busan, from the Greek firm Synergy Maritime. As the tanker ship left the Port of Oakland amid dense fog on the morning of November 7, it struck a fender support on the Oakland Bay Bridge. The collision caused a gash in the ship spilling 58,000 gallons (220,000 liters) of fuel into the San Francisco Bay. Now, a week later, the spill has forced closure of some of the region's most famous beaches, such as Crissy Field overlooking the Golden Gate Bridge and Baker Beach on the Pacific Ocean.

In addition to the environmental damage this spill has caused, the Hanjin Group’s reputation has suffered at the hands of the American media as well as government officials from San Francisco to Washington, D.C. The Hanjin Group, which was established in 1945, is a Korean conglomerate that includes a shipping company, Hanjin Shipping (including Hanjin Logistics), and Korean Air (KAL), which was acquired in 1969. With its majority interest in the Senator Lines Hanjin, Senator is the seventh largest container transportation and shipping company in the world. At this moment, I suspect that W.Y. Lee, the president of Hanjin Transportation Company, Ltd., is struggling to find a way to minimize the damage to his company’s otherwise sterling reputation. What should he do?

It has been said that “you can take away all my money and even my customers, but so long as I can keep my experience, relationships, and reputation, I'll come back stronger than before.” Certainly, the San Francisco oil spill disaster will cost the Hanjin Group a pretty penny and tarnish its proud name, but I doubt it will sink the company provided its leadership acts quickly to shore-up its reputation. As one public relations expert said, “Having knowledge, social capital and trust is the ultimate security blanket in good times and bad.” Now is the time for the Hanjin Group to spend some of its social capital and good will to ensure its reputation doesn’t go down with the ship.

Public relations firm Hill & Knowlton conducted a study entitled, "Return on Reputation" that reveals how important reputation is perceived by customers and the public. Hill & Knowlton’s study indicated that a company’s reputation has a direct correlation on its financial performance and how consumers measure the company’s trustworthiness. According to the 282 global companies surveyed for the study, brand and marketing message (76 percent), corporate culture and working environment (51 percent), employee compensation and career opportunities (49 percent), and social responsibility/community investment (22 percent) all play an active role in reputation assessment.

In reviewing the Hanjin Group’s minimal media response to their oil spill crisis, they would be wise to abandon their bunker mentality and begin to counter the daily barrage of negative media stories by emphasizing their track record on social responsibility.

Certainly, the Hanjin Group is doing good things in Korea and the other countries it serves. Unfortunately, no one is hearing those inspiring stories because the company’s leadership is still in a “damage control” mindset and has yet to put a corporate face in front of the cameras. Every day they delay to put a positive, friendly corporate face on camera is another day they will be battered by the media. I am not suggesting that the Hanjin deny fault for this accident. At this point, that would be pointless and only infuriate the public. Instead, the Hanjin Group should step forward, accept some degree of responsibility for the accident, and vow to commit whatever resources are necessary to clean-up their mess. In doing so, the Hanjin Group can save its tarnished reputation in the United States and avoid being linked to a handful of discredited corporations that made the major mistake of trying to sidestep their social responsibility during similar disasters. This is a unique opportunity for the Hanjin Group to demonstrate Reputation Leadership™ and, at least, neutralize the damage to its good name.

About the Author: Tom Hinton is America’s expert in Business Excellence. He is a popular international speaker and consultant to companies and organizations seeking to create a culture of excellence in the workplace. Mr. Hinton can be reached at tom@tomhinton.com

Tuesday, November 6, 2007

Training the Pig to Sing

An old saying has guided me through the years—“Never try to teach a pig to sing. It wastes your time, and it annoys the pig.” A recent article in the Wall Street Journal in the Cubicle Corner section was written by a good friend of mine, Jared Sandberg. In “Bad At Complying? You Might Just Be a Very Bad Listener,” Jared describes a two-day course in the power of listening that he attended. These soft-skill courses—I call them behavioral interventions—have plagued my career for as long as I can remember, and I’ve been trained beyond my intelligence. One of the advantages of my retirement is being removed from those mind-bending courses.


In the above article, Jared describes a situation where the boss is trying to fix someone with training. “There’s fluorescent lighting, stain-resistant carpet, and motivational posters with puppies, elephants, or monkeys.” Is it coming back to you now? Are you having the same heart palpitations I had when I recalled a similar setting?

These behavior-altering courses cover leadership, team building, conflict resolution, how to deal with incorrigible employees, and charting your management style, to name just a few of the sessions designed to improve your thinking.

I don’t want to seem cynical, but, by and large, people’s behavior cannot be altered. And, just for the record, I’m an annoyed pig.

Victims of these courses quickly learn what’s unacceptable behavior and then camouflage their own behavior from then on. Deep-down, nothing has changed. It’s the old “getting along to get along.” Corporate survival dictates that we wholeheartedly absorb all these recommendations, but how many of us have sleep-walked ourselves through these sessions? Let’s see a show of hands. My hand is up.

I’m not talking about training that provides instruction on new products, a new computer system, diversity training, or a whole myriad of areas that one needs to keep pace with technology. I know people who are involved in such training, and I value their contribution to this line of work. Nonetheless, let me provide some examples of fluff training that I think should be relegated to the “cemetery of bad ideas.”

In a previous career I was a trainer and provided some of this fluff. Nothing seems to account for some of the foolishness I dispensed in the name of training.

One of the ridiculous techniques I taught in a course on quality improvement was to have the attendees take off their shoes and then place them on the opposite feet. I’d ask, “Now how do you feel?” They’d say, “It’s awkward,” “It hurts,” “Let’s go back to the old way.” Then I would counter with, “Change is always difficult, and we just want to return to what was more comfortable.” It’s a wonder someone didn’t throw a shoe at me.

A friend of mine who’s nearing retirement recently attended an internal course entitled “Left Brain, Right Brain.” Many people in his department upon seeing the curriculum tried to opt out, but the corporate all–knowing hierarchy indicated otherwise. My friend said that it was a complete waste of time and at the end of the day he didn’t know if he was left-brained logical and objective or right-brained random and intuitive. He just knew that he was brain dead.

How about the team-building exercise where people are asked to fall backwards into the hands of their cohorts to illustrate trust? Here’s one I saw at a major automaker: People were passed through a labyrinth of rope squares by their associates. This was also done to engender trust but other than a couple of rope burns and some unintentional groping it seemed like another candidate for the cemetery of convoluted ideas.

Many years ago, a financial institution I worked for introduced “Grid Training” for management. For a torturous week we were barricaded in a hotel where we had to determine if we were 9-1s, 9-9s, 1-9s or some other number that would indicate our management style. The sessions were brutal and lasted until well after midnight; many people left in disgust. Senior management never indicated how this would improve the company, and it never did. We were all supposed to emerge equally focused on work and the feelings of others. The senior management team comprised the usual number of ogres, and improvement never happened.

In researching this article, I solicited examples of training sessions that left people discombobulated or flummoxed, but not wiser. One corporate elixir that came back repeatedly was training for 360-degree reviews. Most felt that feedback from superiors, peers, and underlings had turned into “I’ll scratch your back if you scratch mine.” As one respondent commented, “If people had been honest with their reviews, it would have been the end of several amicable working relationships”.

Before you conclude that I’ve fallen out of my hammock and hit my head, I’ll admit there are several training sessions that still resonate positively with me, some of a behavioral nature. The three days of training in the Baldrige process is a valuable session that explores in detail the inner workings of companies, starting with leadership and working your way through workforce resources, strategic planning, and concluding with organizational performance results. If you’re accepted as a Baldrige examiner, it’s free.

A course proven to be valuable in interacting with people, particularly for conflict resolution, is “DISC Training,” which provides guidance in the communication style and preferences of others and how to best “flex” to meet the communication needs of those important to you. It’s understanding people as they are and how to work effectively with them.

Through their Leadership Center The Ritz-Carlton offers a variety of courses that provide insights into its culture and philosophy of hiring people with positive attitudes who don’t require any fixing. The center is a resource for organizations interested in benchmarking many of the business practices that led to The Ritz-Carlton becoming a two-time recipient of the Malcolm Baldrige National Quality Award. These are courses that are appropriate for any company interested in raising their customer service to a higher level. The courses also review the elements of developing a strong management team.

Another stellar training organization is the Disney Institute. Removing barriers that inhibit performance excellence is an integral part of the module.

A behavioral training course that still influences me is “The Executive Technique.” This is a two-day course on developing communication skills, such as organizing and delivering a real-life communication from your listener’s perspective, creating visual aids, how to maintain control of difficult question-and-objection situations, and even a session on proper business dress and etiquette.

And I would be remiss if I didn't mention a resource in my backyard, namely Eastern Michigan University which offers a potpourri of multiple-day courses in quality and continuous improvement in their Center for Quality.

Anther friend of mine, Tom Hinton, who is with CRI Global (out of California) summed up the behavioral-training mystery this way:

“Years ago, when we trained clients in the areas of leadership, customer service, and business excellence, they would thank us, pay us, and then go back to business as usual. Today, our clients are engaged in the training process. Today, clients want to know what results they can reasonably expect from their training investment. Leaders also want to know what they need to do on Monday morning to keep the training lessons fresh in the minds of the employees. I think the reason for the change among leaders is two-fold. First, leaders are now more accountable than every before for organizational success. Second, I think most leaders generally want to move their organizations from good to great by creating a culture of excellence.”

Well said!

Tom Peters once said, “You should not train anyone in a topic that he or she cannot implement within the workplace within 72 hours.”

Finally, this comment from a former colleague: “Most management behavioral-training classes are worthless in that they are either inane or the brass does nothing to reinforce the taught behavior.”

There are people like me, who have been trained beyond their intelligence, and there are others like the pigs, who are annoyed even when asked to be in a training session. Rather than spend money and time trying to make attitudinal changes, perhaps the answer is to jettison these recalcitrant, irascible employees from the company. A recent incident chronicled by USA Today brings this into focus and clearly illustrates my point:

“Owning up to its bad management, the City Council in Ashland, Oregon, has decided to throw itself on the civic version of a therapist’s couch. The six-member council, plagued by bickering, sniping, and profanity at its public meetings, agreed to spend $37,000 of taxpayer money for professional help to learn how to get along.”

I can imagine the chaos that will ensue when members are passed though a labyrinth of ropes or asked to fall backwards into the trusting arms of their colleagues. After reading about this organizational meltdown, I’ll take my chances training pigs.

In the meantime, I’ve made the transition into retirement not knowing or caring if I’m left-brain or right-brain, or if I’m a 9-1 or a 9-9. The best part? No more role-playing! Now, if I could just figure out a way to correct the aberration in my feet from wearing my shoes on the opposite foot during the training session...

About the Author:
William J. Kalmar has extensive business experience, including service with a Fortune 500 bank and the Michigan Quality Council, of which he served as director. He has been a member of the Malcolm Baldrige National Quality Board of Overseers and a Baldrige examiner. He’s also been named quality professional of the year by the Detroit Chapter of ASQP. Now semiretired, he’s a freelance writer for the Detroit News; writes a monthly column for Mature Advisor newspaper; is a mystery shopper for several companies; is a frequent presenter and lecturer; does radio voice-overs; and competes in duathlons. He can be reached at Billmarykalmar@aol.com

Thursday, October 18, 2007

Tom Hinton Addresses US Navy's Leadership on the Power of Leadership

Tom Hinton, America’s expert on business excellence, recently told the the United States Navy's Naval Surface Warfare Center’s Port Hueneme Division that “in a changing global environment, leadership will require high levels of communication, trust, and courage to complete their mission.”

Mr. Hinton, who serves as the chief executive officer of CRI Global, LLC and frequently speaks on leadership, customer service, and teamwork, told over 150 leaders from the Port Hueneme command that today’s emerging workforce will perform at higher levels provided employees understand the organization’s mission as well as their role in helping the organization achieve its goals.

Tom Hinton cited examples from the private sector including Starbucks, Southwest Airlines, Nordstrom, and McDonald’s as companies that work diligently to “include employees in the planning and deployment phases of their business in order to achieve superior results.” Hinton noted, “It is no accident that today’s Reputation Leaders in the private and public sector are customer-focused, innovative, constantly seeking ways to improve their processes, and results-driven.”

Tom Hinton also commended NSWC Port Hueneme and Captain Stephen Huber, USN, for winning the coveted Silver level 2007 Shingo Prize which honors private and public sector organizations for manufacturing excellence. Dubbed the “Nobel prize of Manufacturing” by Business Week in 2000, the Shingo Prize is recognized as the premier manufacturing award in North America. “This is a great accomplishment for Port Hueneme given the fact that you have been on your excellence journey for less than five years and have already distinguished yourself as a recipient of the California Baldrige Award.”

Tom Hinton challenged Port Hueneme’s leadership to “kick it up a notch!” Referring to the poem of Ralph Marston, Hinton told the gathering that “the difference between excellence and mediocrity is simply a matter of attitude and leadership’s commitment to be the best. You are on the path to setting the standard for excellence. Continue to raise the bar for yourselves and your competition!”

### ### ###

Tuesday, September 25, 2007

A Healthcare Solution for America

The healthcare solution for America is simple, but it certainly isn’t easy.

While the United States arguably has the finest healthcare professionals and treatment facilities in the world, many Americans cannot get access to our outstanding healthcare system because of the prohibitive cost, insurance restrictions, and arcane government regulations that work against wellness in our country.

It’s time to move beyond the finger pointing, doubts, and philosophical arguments by special interest groups and adopt a national healthcare reform program in which every American can participate at little or no cost. The solution is the adoption of a progressive healthcare program for the United States which would be created by an Act of Congress, paid for mostly by taxpayers like you and me, and managed by an independent, non-profit agency under the direction of the Secretary of the Department of Health and Human Services.

I am proposing a program that would be voluntary. But, I believe its strength and innovative approach would attract more than 90 percent all of medical professionals, universities, clinics, non-profit service agencies, and industry organizations that currently serve the healthcare industry in America. I also think it would set a precedent for other nations that wish to provide a universal healthcare benefit for their citizens.

Let me note that I am neither a physician nor healthcare expert. Frankly, I don’t think those credentials are necessary or beneficial in this discussion because those individuals -- and rightly so -- have devoted their adult lives to healthcare and, thus, they have hardened opinions and biases as to whether or not a national healthcare program is a good idea and how it should be managed. I think we need to get past those discussions and, at the appropriate time, seek the input of healthcare professionals on how to best manage a program.

Also, I have not been asked to write this article, nor am I being paid for it. Finally, I am not championing the cause of any special interest group. I am simply a citizen who has worked in the non-profit sector for many years and I currently pay a substantial monthly premium for my healthcare insurance. To date, my insurance provider has been responsive and fair to me. I have no issues or complaints with my insurance provider or any of the outstanding medical professionals who have cared for me over the past fifty years. I have never suffered a major health issue, and I count myself fortunate that I am able to afford healthcare insurance although it becomes more expensive each year.

Having said that, I think our healthcare management and distribution system is broken and needs fixing. I am appalled that every American does not currently receive free primary healthcare services as an entitlement of their citizenship. It’s time we emerged from the dark ages of “healthcare for the privileged” and adopt a progressive healthcare program that provides outstanding healthcare for all Americans and legal visitors to our country.

But, who will pay for it, you might ask? The honest answer is that it will be paid for by you and me -- the taxpayers of the United States of America. Nothing is free in the Land of the Free, but there are certain things that every American needs and should demand. A quality education and comprehensive healthcare are two such things that will raise our standard of living and create a stronger nation. I believe a national healthcare initiative is the most efficient and comprehensive way to advance healthcare for all and will keep the costs from spiraling out of control.

My motive in proposing a national healthcare initiative is selfish. I want access to the best healthcare in the world for the rest of my life -- whether I live a thousand days or 10,000 days; and, I don’t want to be told by some faceless individual working in a corporate building whose job it is to save his/her insurance company money, that a vital medical procedure, treatment, or drug will not be authorized because their bottom line is valued more than my life. It’s that simple! Here’s a true story that illustrates my point.

A few weeks ago, I read a very disturbing front page story in the Wall Street Journal about a middle-aged woman who worked in a small town in Texas as a hairdresser. She discovered a lump in her breast and went to a private hospital for diagnosis and care. Unable to pay for the necessary treatment, she was shuffled from one doctor to another over several months until a free service could be found. Regrettably, she was denied the proper care because she was unable to pay the costs for her surgery. Furthermore, federal regulations that would have allowed for free treatment, were unknown to the patient and she was caught in a Catch-22 cycle. Eventually, the woman died despite receiving a mastectomy and good follow-up care in Colorado where her daughter lived. The patient had to sell her home, relocate to Colorado, move-in with her daughter, and be subjected to the humiliating rules of the state and federal healthcare bureaucracy. Despite the heroic efforts by her daughter, who was a nurse, to get her mother timely and proper care, the patient died from the cancer. But, as I read this heartbreaking story, it occurred to me that the woman’s death was also expedited by insensitive people in the healthcare industry who made a series of life-and-death decisions to deny her treatment in the early stages of her diagnosis. Had that been their mother, I am sure the roadblocks and outdated regulations would have been removed to facilitate the best possible care. This is not only a tragedy but a disgrace to the dignity of every American. Frankly, reading this story angered me because nobody should deserve to suffer and die -- let alone go broke -- when the best medical care in the world is readily available. There are certain national issues and causes whose interests are poorly served by the twin engines of capitalism and profit. Healthcare is one such issue.

So, here’s my proposal to remedy the healthcare problem in America.

Step 1. Create the National Healthcare Foundation.
The United States Congress should approve and fund a National Healthcare Foundation (NHF) within the Department of Health and Human Services. The role of the NHF would be to administer a national healthcare program through a network of state agencies that entitles every American citizen and authorized visitors (tourist, student, visa holder, etc) to unlimited primary and emergency healthcare services for any treatment that will enhance their wellness or preserve their life.

At the core of this innovative national healthcare program would be a network of medical facilities, hospitals, shelters, clinics, and providers who would all be required to operate as independent, self-operated, not-for-profit entities. In other words, no shadow subsidiaries would be allowed in order to protect the integrity of this reformed healthcare service. Obviously, this would require many for-profit medical facilities and hospitals to change their status from “for-profit” to “not-for-profit” in order to participate. It might even result in some for-profit corporations selling off certain facilities or medical practices to convert them to not-for-profit status. Individual physicians and other medical professionals would be exempt from this requirement and eligible to participate in the NHF provided their billings were directed through a not-for-profit entity such as an eligible hospital or clinic.

Step 2. The National Healthcare Foundation (NHF) will be funded and paid for by the United States Government through its taxpayers. Every citizen has the right and privilege for primary and emergency healthcare under the same legal protections that ensure “life, liberty, and the pursuit of happiness.”

I estimate the annual cost for this program as outlined herein would be $350 billion in its first year. It would not be cheap; the cost of good healthcare never is. But, this is also a way to control the spiraling costs of healthcare, and, as you’ll read, we can achieve a significant return-on-investment within three years of this plan through some innovative methods and self-funded programs. In three years, this program could actually cost us less than we are currently spending on healthcare today.

As part of the new NHF, all physicians, nurses, clinicians, pharmacists, researchers, technicians and other healthcare professionals -- as well as all healthcare facilities such as hospitals, teaching universities, clinics, and laboratories -- would be paid a fair market wage or fee for their services based on current wages and fees-for-services. These wages and fees would also be reviewed annually for cost-of-living adjustments. This proposal does not require anyone -- doctors, dentists, nurses, clinicians, teachers, administrators, or technicians -- to take a pay cut. These people are professionals and deserve to be paid a premium wage for their services.

As part of this proposal, Congress would create an independent Healthcare Compensation & Insurance Commission (HCIC) within the NHF consisting of nine individuals appointed by the president and confirmed by the Senate from the private and public sector who would establish a code of ethics for all NHF participants and an annual compensation and fee-for-services schedules that ensure fair compensation for all medical professionals and participating non-profit healthcare and educational institutions. The HCIC would also establish regional malpractice insurance rates and approve jury award limits for financial claims against medical professionals and institutions that are sued for malpractice and related claims. This would dramatically reduce the exorbitant cost of malpractice insurance.

Step 3. The National Healthcare Foundation (NHF) would consist of ten divisions. The purpose of these divisions is not to ensure adequate representation for the healthcare industry, but rather, to ensure all Americans receive primary and urgent healthcare as well as foster the research, education, and advancement of the healthcare profession. Each division is described below in general terms outlining their major roles and responsibilities. Additional divisions could be created as warranted.

Primary Care
Urgent Care
Assisted Care, Long-term Care, Child Services, Shelters, Hospices, and Therapy Services
Research & Technology
Organ Donor Programs
Education, Training, and Accreditation
Wellness Treatments
Licensing, Regulations, and Insurance
Payment, Audits, and Enforcement
Administration

1. Primary Care would include areas such as pre-natal, pediatrics, dental, oral surgery, family physicians, orthopedics, chiropractics, and other traditional medical practices (there are many more than can be listed here) that care for patients through office visits and preventive disease treatments. Primary Care would also include care for the developmentally disabled, mentally impaired, and treatment programs for diseases such as alcoholism and drug addiction. The NHF would pay for one hundred percent of these services based on a regional formula that fairly reimburses physicians and/or medical providers such as hospitals, clinics, and social services agencies. In other words, a family physician in New York City might be reimbursed using Schedule A while a community clinic in Albany might be reimbursed according to Schedule B. The adoption center in Macon, Georgia might be paid according to Schedule C and so forth.

2. Urgent Care is defined as any medical treatment that requires emergency room-related services and ambulatory services to treat life-and-death situations such as heart attacks, seizures, car accidents, shotgun wounds, etc. Such care would be provided by licensed emergency rooms or 24-hour emergency care clinics located across the nation. This non-profit network currently exists with the exception of several rural and poor communities that desperately need medical professionals and local facilities. This level of service would also apply to animal care through veterinarians with a limited annual dollar amount for pet owners. The NHF would pay for one hundred percent of these human services based on a regional formula and payment schedule that fairly reimburses the medical providers for their services and procedures. Veterinarian care would be reimbursed at fifty percent of the cost with pet owners paying the remaining balance.

3. Assisted Care, Long-Term Care, Child Services, Shelters, Hospice, and Therapy. This division would advance the needs of those persons who are unable to independently care for themselves including persons suffering from mental illness, Alzheimer, AIDS, and terminal illnesses. This division would also be the champion of children who require adoption, foster homes, and day-care services for working parents. This division would also support the needs of persons requiring mental or physical therapy.

This division of services also would include those patients who require assisted care living or long-term care situations including hospices. Also, it would apply to those patients who are under psychiatric care, medical counseling, the aged, developmentally disabled, persons suffering from physical injuries including paralysis, or persons requiring rehabilitation treatment and therapy.

This division would also fund homeless shelters, runaway shelters, and homes for victims of family violence or spousal abuse. The NHF would also provide greater grant funding to support various state and county government social service agencies.

The NHF program would pay for ninety percent of these services. The other ten percent would be funded through private contributions, grants, and fundraising activities. Patients or family members would not be charged any fee for receiving these services.

4. Research and Technology would advance and encourage the development of innovative medical practices including new medical procedures and treatments, product design, drug research, and other such developments that would enhance the advancement of medicine and its treatment of patients. The NHF program would pay for eighty percent of these services to bona fide not-for-profit institutions and research centers. The other twenty percent would be funded through private sector and public sector grants, individual contributions, and fundraising or advancement campaigns. For profit entities including drug manufacturers would fund their own research and be eligible for grants under other federal agency programs as is currently the case.

5. Organ Donor Programs. This division would advance the existing international network of organ donors, recipients, maintain a national database, and work to promote public awareness and support for organ donations while expanding the international network. This program would be completely funded by NHF including the costs associated with transporting patients, family members, and organs for a medical procedure.

6. Education, Training and Accreditation. This division’s mission would be to advance enrollment and training capabilities of teaching universities and hospitals as well as all other certified and licensed not-for-profit educational institutions that train medical professionals including doctors, nurses, and technical professionals. The NHF would pay for ninety percent of a student’s educational and medical tuition or training that requires a medical degree or healthcare professional certificate. The remaining ten percent would be paid for by the student or through scholarships and grants. The cost of continuing medical education programs would be borne by the individual unless it leads to a medical degree or post-degree certification.

A scholarship program would be required of each participating not-for-profit teaching institution to fund “special need” applicants and non-residents (foreign citizens). Institutions would be required to fund all non-educational programs and services such as administration, facilities management, and human resources as is currently the case. All students receiving funding support from NHF would be obligated to serve-with-compensation in an NHF-certified healthcare facility or practice of their choosing for an period of time equal to the funding they received from the NHF. The current system for accrediting medical colleges, schools, and universities would remain in place and not be funded by NHF.

7. Optional Treatment and Wellness Programs. This division of the NHF would be responsible for overseeing and advancing those medical treatments that are deemed non-life threatening but do enhance the health and self-esteem of individuals. Cosmetic surgery, plastic surgery (not required from a related illness or medical emergency such as an auto accident or burn incident), and wellness treatments such as spas and weight loss clinics would be covered under this section. The NHF program would pay for twenty-five percent of all such services with an annual and lifetime limit expenditure-per-person to be set by the HCIC.

8. Licensing, Regulations, and Insurance. This division of NHF would be responsible for overseeing three key areas -- licensing, regulations, and insurance programs associated with the NHF.

In the Licensing area, all not-for-profit medical facilities seeking to participate in the NHF program, and receiving any federal funds through the NHF, would be required to be certified by NHF or its designees. For example, a not-for-profit medical lab in St. Louis would have to apply for “NHF Licensing” in order to participate in the volunteer NHF program. Certain licensing reciprocity would be available -- including any hospital, laboratory, or medical facility that is accredited by the Joint Commission -- so long as that facility maintained its Joint Commission certification.

The Regulatory unit of NHF would oversee two major reforms that effect healthcare. First, the creation of a national malpractice insurance fund to protect all practitioners and facilities; and, secondly, oversight for the regulation, distribution, and enforcement of all “Re-classified Prescription Drugs” including many of those drugs that are currently deemed illegal today such as marijuana, cocaine, and heroin. These particular reforms are urgently needed in order to curb excessive malpractice insurance rates and end America’s fledgling war on illegal drugs which is costing taxpayers hundreds of millions of dollars. Here is how these two reform programs would work in concert with other federal agencies.

A special Malpractice & Medical Claims Insurance Fund (MMCIF) would be established by Congress as part of the enabling NHF legislation to cover all medically-related lawsuits or malpractice claims against program participants. Why? Because this element of the NHF is the “hook” that will single-handledly encourage over 90 percent of all physicians, dentists, and other healthcare practitioners, who must pay costly malpractice insurance premiums, to enroll in the NHF and support its success. Also, as a volunteer program, the benefits of participating in the NHF must be significant in order to attract widespread national participation among medical professionals and medical care facilities. Regardless of their status as not-for-profit entities or for-profit businesses, medical professionals and healthcare institutions will follow the money! It’s the American way.

Under this proposal, the MMCIF would pay up to ninety percent of all medical malpractice insurance premiums -- as established by the HCIC -- and have the power to cap the dollar amount for all malpractice claims as part of their independent administrative law authority. Participants (physicians, dentists, and healthcare facilities) in the NHF program would pay the remaining ten percent which would sufficiently fund the malpractice program as well as other activities of the NHF. The NHF would be able to contract with insurance companies and agents across the country to administer this program and ensure all participants are in compliance. A reasonable fee-for-service, as approved by the HCIC, would be paid to these companies and agents for their services.

The second major reform deals with solving America’s problem with illegal drugs. Each year, the United States Government spends billions of dollars trying to stop the flow of illegal drugs into our country and arrest, prosecute, and imprison drug offenders and traffickers. While the merits of this effort are laudable, it is a costly war that requires a different solution in today’s global environment. That solution is not the legalization of drugs, but rather, a program that would allow for the regulation and distribution of those drugs under a system similar to our current prescription and pharmaceutical distribution of prescribed drugs.

Under this proposal, the Food and Drug Administration would authorize American-owned drug companies to manufacturer certain drugs in various dosages -- including marijuana, cocaine, and heroin -- to ensure these prescriptions meet rigid federal guidelines for dosage and/or treatment. Federal and state healthcare agencies that oversee current licensing requirements for pharmacies and other prescription drug providers, would license certain drug distribution facilities to dispense medically-approved prescriptions of those drugs to persons who require them for medicinal purposes or to treat their addiction. As part of any legal prescription from a physician, every patient using these “recreational” drugs would be required to participate in a licensed counseling and treatment program which would be paid for by the NHF as part of its Primary Care Division.

This drug reform program would have many beneficial effects. First, it would severely reduce the activities of illegal drug cartels in foreign countries and allow the Drug Enforcement Agency (DEA) to focus its vital resources on other important activities. Secondly, it would reduce property crimes and felonies by drug users who must “feed their addiction.” Thirdly, it would reduce gang violence in major cities and reduce the need for gang involvement. Fourthly, it would allow the medical community to adequately treat people with addictions. Fifth, it would reduce the prison population since more people will receive treatment for substance abuse in a medically-controlled environment and, thus, they will not be engaged in criminal activities nor be imprisoned for criminal offenses. This program would be funded completely by NHF. The cost savings to DEA and other drug-fighting agencies justifies this reform proposal.

9. Payments, Audits, and Enforcement. The NHF would establish a Payments, Audit, and Enforcement Division to handle all claims and funding requests from program participants. By law, payments for treatment and services would be paid within thirty days of billing to all approved, first-party payees (physicians, hospitals, clinics, etc) or the NHF would be required to pay interest to those providers. The NHF could contract out payment services to approved third party contractors or state agencies.

The Audit Division would be responsible for overseeing compliance of all NHF and HHS rules and requirements for billings and payments.

The Enforcement Branch would be given full federal law enforcement powers and be responsible for enforcing all NHF and HHS laws and regulations. Alleged violators would be referred to the United States Attorney for prosecution. Violators also could be fined, imprisoned, or banded from NHF program participation if found guilty of fraudulent activities or unethical conduct.

10. Administration. This division would encompass the typical administrative and support functions of a major government agency including but not limited to: human resources, government relations, inspector general, legal, regulatory affairs, and budget.

In Conclusion:
This description is not meant to be all encompassing, but rather, it is an attempt to further the discussion on how to establish a progressive healthcare program that ensures all Americans will receive the finest medical care in a timely and affordable manner.

Certainly, there will be some people who do not believe in free primary and urgent medical care. Others will argue the national cost for such a program is too high. I would strongly disagree with both arguments because I believe that every human being has the right to life, liberty, and the pursuit of happiness. I also believe that wellness and health play a major part in that formula. If we do not create a meaningful healthcare solution soon, the costs will soar beyond our control. A progressive healthcare program is the right thing to do given who we are as a people and what we stand for as a nation. Certainly, a network of not-for-profit healthcare facilities, staffed by America’s best-and-brightest medical professionals, would be money well spent and enhance the quality of life for all Americans.

Also, let me comment on the naysayers who are critical of national healthcare programs in England, France, Canada, Australia, and elsewhere. I am not suggesting that these program must become our model. Nor am I suggesting that we must emulate all of their practices. But, I am suggesting that if those programs were terrible, citizens would be revolting in the streets. So, there must be some merit in those programs. My question is this. What are their best practices? And, secondly, can we apply those best practices to a “Made in America” healthcare model?

In closing, I would not wish it upon anyone to be that person who must look your mother in the eye and tell her, “I’m very sorry, but we will not treat your breast cancer at this physician’s office or medical facility because you don’t have adequate insurance and our doctors aren’t able to take on any more charity cases.”

Regrettably, those words are being repeated over and over every day in medical offices and insurance companies by otherwise caring people whose job it is to put profits ahead of the healthcare needs of human beings. It’s time we put an end to this unethical and inhumane practice in the United States of America. Through this proposal we can achieve something significant that all Americans will be proud of.

I welcome your comments.

Tom Hinton
www.tomhinton.com

Monday, September 24, 2007

Reputation Leadership™

How to Rank First in the Hearts, Minds and Wallets of Global Prosumers”
by Tom Hinton

A new battle is taking place in the trenches of consumer marketing. At stake is not only which companies will win the hearts and minds of nearly 400 million Global Prosumers (GPs), but also their wallets! When you consider that GPs will spend more than two trillion dollars on products and services this decade, the importance of quality and innovation have never been higher. One of the strategic tools companies are using to capture Global Prosumers is Reputation Leadership™, a strategic initiative that helps companies establish brand dominance in their industry through their service, products, or principles.

First, let’s analyze the global world of Prosumers through the eyes of Reputation Leadership™. The word Prosumer was coined in 1980 by the author and futurist Alvin Toffler in his book, The Third Wave. It is the blend of two words -- producer and consumer. Toffler used it to describe a type of consumer who would become involved in the design and manufacture of products and services so they could be made to individual specification. Little did Toffler know that within thirty years, the generation that was being born as he wrote The Third Wave would, in fact, become a reality and change how businesses think and respond to consumers in a truly global marketplace.

The Battle for Global Prosumers:
The battle for Global Prosumers is taking place in the traditional retail market as well as in the design and manufacturing of everything from automobiles to airplanes to residential communities. Around the world, GPs are actively engaged in helping companies innovate and produce dynamic new products and services to ensure they meet their personal requirements.

There are some key success factors companies must build into each product or service they deliver. Reputation Leaders™ understand the importance of this strategy. Among the most desired attributes coveted by GPs are quality, service, reliability, and techno-friendly features. Interestingly, the price tag is not a key factor when it comes to owning the latest, greatest tech gadget like Apple’s new iPhone or a fuel-efficient hybrid car.

As Global Prosumers begin to purchase more expensive items such as autos, homes, vacations, and household goods including appliances and furniture, businesses are re-evaluating the best way to win over these affluent, new customers. This is causing businesses to rethink their marketing strategies and customer relations tactics. It is also forcing them back to the quality tools they put away at the turn of the century. Companies are also reallocating their marketing and advertising dollars in unique ways to attract GPs.

For example, the most progressive companies have recognized that non-traditional, GP-friendly venues are the best way to market to Global Prosumers. The beneficiaries of this spending increase include satellite radio stations, internet sites such as You Tube and My Space, internet and retail book stores and coffee cafes, non-traditional sporting events such as the X Games, social networking venues, and anything related to cell phone text messaging services or hand-held consumer technology. The losers are the traditional venues including most major newspapers (with very few exceptions), network television, and traditional AM/FM radio stations that have lost ground because of their antiquated formats and heavy commercials that turn off GPs. This is one reason why early converts to Internet marketing and user-friendly websites and consumer policies such as Toyota, Patagonia, Southwest Airlines and JetBlue Airlines have been able to corner their respective markets with Global Prosumers and capture their industry’s Reputation Leadership™ flag.

How Does Reputation Leadership™ Work?
Reputation Leadership™ is defined as the recognition of a company’s indisputable ranking as the pre-eminent leader in its industry or a global improvement niche as determined by consumers, brand loyalty, and measured by the Five P’s -- Purpose, Principles, People, Process, and Performance.

Here’s how Reputation Leadership™ works. The first step to implementing a Reputation Leadership™ initiative is to perform a comprehensive Brand Effectiveness Assessment. This would include your organization’s customer contact and operational support activities which includes: sales, marketing, billing, call centers, shipping, and other customer support activities that can make-or-break customer relationships. In step one, your goal is to measure your organization’s consumer performance against the Five P’s -- Purpose, Principles, People, Processes, and Performance. By responding to 66 key questions that are part of the Reputation Leadership™ initiative, your organization will gain a comprehensive understanding of its strengths and weaknesses through the eyes of the consumer experience. This important step reveals the linkage between your organization’s customer performance and sales results as measured against customer satisfaction ratings and an analysis of your Five Ps.

Step two of the Reputation Leadership™ initiative is to focus on your strengths while fixing any potential fatal flaws that could damage your reputation or brand image. An example of the “Fatal Flaw” factor could be a product recall such as the disastrous Made-in-China toy recall facing Mattel, corporate ethics violation, or some other scandal that tarnishes your brand or corporate identity. GPs want major products to work right the first time; and, they expect competence at the service delivery level. With regard to the focus on your organizational strengths, we have found that GPs look for unique factors that distinguish your product from the competition. This is why innovation, quality, and consumer-friendly products rank high among GPs and are rated very high in any Reputation Leadership™ initiative.

Step Three is to determine which leg of the Reputation Leadership™ Triad you want to base your brand leadership strategy. The three legs of the triad are: Service, Products, and Principles.

Disney, Coca Cola, Southwest Airlines, Wal-Mart, and Starbucks have based their Reputation Leadership™ strategy on “Principles.” If you examine each of these company’s slogans and consumer messages, you’ll note their branding strategy has little to do with a specific product or service. Instead, they win Prosumers through “the senses” that are based on a Principle.

Home Depot and Sharp use Products to establish its Reputation Leadership™ strategy while Apple actually uses a rare blend of both Products and Principles to win over Prosumers. However, the key principle behind Apple’s brand leadership remains cool technology.

Finally, Nordstrom, Ritz-Carlton, Four Seasons, and Washington Mutual have chosen Service as their Reputation Leadership™ strategy.

Once your organization has adopted its Reputation Leadership™ strategy, it is essential to invest in your people by training them to serve customers at a level that is memorable; and, adequately fund your marketing campaign especially in the area of brand recognition or a global improvement niche. It is imperative that your employees be trained to delight customers. This means being responsive to their concerns and needs at every point of customer contact. This is especially true (and frustrating) among call center operations. Our research shows that a growing number of GPs resist calling corporate call centers because they don’t like being placed on hold for several minutes or dealing with people who are uninformed, poorly coached in phone etiquette, or unresponsive to basic questions about how a products works as well as exchange/refund policies. The largest number of complaints we noted from GPs dealt with their frustration in telephoning cable companies and internet services. Another big offender are the major airlines who cannot seem to deliver such basic services as seat assignments on co-share flights with their international travel partners. Apparently, the major airlines cannot access their alliance partner’s seating charts! Another complaint area among GPs is the frustration of dealing with outdated website information. This is definitely a deal-breaker for GPs.

While there are other components to a Reputation Leadership™ initiative, these three steps represent the heart of a successful program that can help boost your brand success, increase sales, and improve your customer service ratings.

Two Ways to Capture the Prosumer Flag through Reputation Leadership™
Through Reputation Leadership™, a company can distinguish itself not only as a brand leader but also as a niche leader in a Global Improvement area. For example, several companies have captured the Reputation Leadership™ flag because they are recognized for their outstanding quality products/services. Among these Reputation Leaders™ are Toyota/Lexus, Singapore Airlines, Nordstrom, 3M, Boeing, Microsoft, Apple, Google, Whole Foods Market, and Harley-Davidson.

But, there are also a number of companies that reap the benefits of Reputation Leadership™ status because of their good deeds as corporate citizens in global improvement areas such as the environment, human rights, healthcare, diversity, employee relations, working with the poor, and other noble endeavors. These companies demonstrate their commitment to global improvement initiatives without any expectations in return. But, because of their unselfish commitment to global improvement causes, GPs take notice and spread the word quickly via the Internet that such companies merit their support. One recent example is (Red), a movement that was created by musician Bono and political activist Bobby Shriver, to raise awareness and money to eradicate AIDS in Africa. Companies produce red-branded products -- everything from cell phones to credit cards -- and donate a percentage of sales to the global fund. GPs strongly support these global improvement companies and spend billions of dollars in the process.

Enlightened business leaders know there is more money to be made in the long term by responding to the wants and needs of Global Prosumers. This includes embracing their social agenda. This is one reason why companies, that have initiated the Reputation Leadership™ strategy, are realigning their values and principles with those of the Global Prosumers. Some of the values and principles that resonate with GPs are: peace, freedom, diplomacy, environmentalism, universal health, self-expression, social acceptance, two-way conversations, democracy, and personal fulfillment.

Who Are the Reputation Leaders™?
Let’s look at some interesting examples of Reputation Leaders™ from three industries - Commercial Airplanes, Fast Foods and Hotels.

In the commercial airplane business, Boeing is the undisputed Reputation Leader™ and has gained a decided competitive edge over its competitors by including the wants and needs of Global Prosumers in the design of its exciting, new Dreamliner 787 jet. Nearly fifty percent of the new airplane is made from composite materials which increases its fuel efficiency and makes it more environmentally-friendly. The twin aisle jets are wider; and, the spacious seats provide more leg room making the airplane more comfortable for coach cabin passengers on long hauls. Overhead luggage space has been increased as have the size of cabin windows. Boeing even considered the importance of onboard ambiance by developing a cabin lighting system that can be altered to create different moods depending on day or nighttime flights.

Atop the list of fast food restaurants are two chains that stand-out among GPs. First, is In-N-Out Burgers, the popular fast food restaurant chain founded in 1948 in Baldwin Park, California. It’s family-owned and operated with more than 150 locations in California, Arizona, and Nevada. For sixty year In-N-Out Burgers has honored it slogan, “Quality You Can Taste.” GPs flock to In-N-Out not only because they deliver on their quality promise, but also, they enjoy the youthful, upbeat ambiance that is generated by well-trained, well-mannered, and well-groomed college-age employees who work hard to ensure a clean environment.

In Kingsport, Tennessee you’ll find Pal’s Sudden Service, another small, privately-owned burger chain. With 20 locations within sixty miles of the Virginia-Tennessee border, Pal’s beats out the competition with superior service and great burgers, fries, soda, and milkshakes. Pal’s also won the Malcolm Baldrige Award in 2001 and continues to focus on excellence with its 500 youthful employees. Pal’s is a great example of how a company can remain small, keep it simple, and satisfy the hunger needs of its customers.

In the hotel industry, Sol Melia Hotels is a Reputation Leader™. Founded by Gabriel Escarrer Julia in 1956 in Palma on the Mediterranean island of Mallorca in Spain, this unheralded hotel chain is making noise by capturing a growing share of the resort and conference market throughout Europe and the Americas. With 350 hotels in 30 countries on four continents, Sol Melia is the third largest hotel chain in Europe and the 12th largest hotel chain in the world. Because of its quiet reputation for service excellence, Sol Melia is ranked as the world leader in resort hotels and also ranked number one in Latin America and the Caribbean.

Calculating the ROI for Reputation Leadership™
Ultimately, the key question any senior executive should ask when weighing the benefit of this initiative is: What can I reasonably expect within 3-6 months of my investment? While the answers will vary depending on a company’s market, size, reputation, and commitment to the process, CRI Global developed a revenue formula known as the RL™ Factor that calculates the anticipated financial gain from a Reputation Leadership™ initiative. CRI Global studied the financial data of leading companies in six major industries over the past four years and measured their financial results against the results of their four closest competitors.

The preliminary results show some impressive numbers when calculating the ROI for Reputation Leadership™. In the chart below, the RL™ Factor shows what the anticipated ROI will be for a company with annual sales of $10 million that implements a Reputation Leadership™ initiative.


RL™ Factor Chart. (Based on Annual Gross Sales of $10 Million)
If your Industry Ranking is first, second, third, or fourth, your expected "ROI Percentage" and "Revenue Realized" from a Reputation Leadership™ initiative is noted below:
1st .012% $120,000
2nd .008% $80,000
3rd .006% $60,000
4th .004% $40,000


To determine the potential ROI for your company from a Reputation Leadership™ initiative, multiple your gross revenues by the ROI percentage above depending on your industry ranking (if you rank lower than 5th place, use .0012 as your percentage). For example, if your business generates $10 million in gross sales, and you currently rank third in your market, your ROI for a Reputation Leadership™ initiative should average $60,000 in the first year. As your brand acceptance and customer performance levels increase, your ROI will increase annually at that rate.

But, here’s the exciting part. Your ROI gets even better when you factor in one more key variable -- the Accelerator Value Factor (AVF). This means that your ranking as the Reputation Leader™ in your industry or a Global Improvement niche is worth considerably more because of the market place benefits your company will derive as the Reputation Leader™. Below is an example, based on your Reputation Leadership™ status. Let’s say your pizza shop won top honors in a newspaper poll as “the best pizza place is town!” Assuming your current gross annual revenues are $400,000, your AVF factor on top of gross sales would be:

Industry Ranking: Percentage: AVF:
1st 2.8% $11,200
2nd 2.2% $ 8,800
3rd 1.8% $ 7,200

If you are the top-ranked pizza shop in your region, multiple your gross sales by 2.8% to determine your AVF benefit. In the example above, the pizza shop that is ranked Number 1, would see a windfall of $11,200 due to its ranking and increased customer business. That’s some nice dough for a pizza place that has been recognized as the “best pizza in town!” For a business that ranks below 3rd place, the AVF is insignificant to your top line.

Global Improvement Niche Leader Factor:
Finally, if you are a Global Improvement niche leader, the top ranking is worth 1.2%; a second place ranking is worth .008%. Below that level, the Global Improvement niche benefit to a company’s bottom line is insignificant.
Global Improvement ROI Factor Chart (based on $1 million in gross sales):

Your GI Industry Ranking: ROI Percentage: Revenue Realized
1st .012% $12,000
2nd .008% $8,000


As an example, let’s look at Vanity Fair magazine, which is very supportive of the (Red) campaign mentioned earlier। Vanity Fair’s African-themed July issue is being guest edited by music superstar Bono and it is carrying more than twice the number of advertising pages as the July 2006 issue. Bono's issue will have 105 pages of advertising, compared with last July's, which had 49, making it the biggest July issue ever for Vanity Fair. The potential increase in single-issue sales for July could be as high as $1 million. Additional advertising revenues (for fifty full-page ads at a cost of $80,000 per page) could reach $4,000,000. While the numbers won’t be known for a few months, suffice it to say Vanity Fair will reap the benefits of its global improvement commitment. By the way, the July issue will far exceed the 1.2% revenue bump we’ve calculated for Global Improvement niche leaders.


In the final analysis, launching a Reputation Leadership™ initiative pays! It can boost sales and profits for your organization. It can also help you re-position your company as a brand leader or global improvement niche leader which will also contribute to your bottom line. Marketing alone will only carry you so far with Global Prosumers. The benefit of a Reputation Leadership™ initiative is that it will ultimately strengthen your reputation, reliability, and relationships with Global Prosumers.


About the Author:
Tom Hinton is president & CEO of CRI Global, LLC, an international consulting and training firm that helps its clients create a culture of excellence and implement Reputation Leadership™ initiatives. Tom is the author of four books including: The Spirit of Service, Customer-Focused Quality: What to Do on Monday Morning, Leadership Lessons I Learned on the Links, and, 10,000 Days: Finding Purpose, Peace and Passion for the Rest of Your Life. He is a popular speaker at corporate and association meetings. Contact: tom@tomhinton.com