Monday, September 12, 2011

The best business advice ever... or the simplest


People Power

Business advice seems to take the same form nowadays – stripped down and covered in a shroud of lists and mystery.  There’s no real way to tell if the keys to managing your company can be narrowed to “5 keys” or a “secret formula” but there is genius in simplicity.  Removing the complexity of an issue allows us to focus on what’s really important and helps prioritize.  So in order to provide the best business advice possible with this post, I’ll attempt to explain how you can build and sustain a successful company with only one word.

People.

Show me a company that puts people first and I’ll show you a profitable company.  Despite technological advances and the fear that robots will replace all of our jobs, people are still the heartbeat of any business. A person’s life can be defined by his or her relationships with other people and how he or she has impacted them.  The happiness that you get when you embrace your spouse or the motivation that you receive after a conversation with your mother is extremely powerful.  All of these positive emotions can also apply to your professional world if you understand the value of people.

It doesn’t matter what your company does or sells, focus on people and your bottom line will increase.  For example you might be a realtor that’s showing newlyweds their first home together.  You might know the intricate difference between pex and copper piping, and how granite will improve the value of the property but if you don’t pay attention to people, you might miss that the couple’s number one priority is their children.  Knowing this, you would instead tell them about the great schools, low crime and how the backyard is perfect to hold birthday parties.  That subtle fact can be the difference between making the sale and watching your clients walk out the door.

Even if your business creates a product that you sell in store, people still need to come first.  Sure, Apple products are amazing but they aren’t amazing because of gigabytes and other technical mumbo-jumbo, they are incredible products because Steve Jobs took the time to understand the people that buy his products.  He understood that at the end of the day, people want to be cool and feel like they are on the cutting edge of the future.  A clear understanding of what makes people happy is exactly why you waited online for that iPhone and bought an iPad even though you know you don’t really need it.

In a time where corporate profits have become synonymous with white-collar crime, its more important than ever to value the relationships that you have with people.  So even if you are a CEO that makes 400 times John the factory worker, spending a little time to tell John how much you appreciate his hard work will go a long way.  If John enjoys his job, he will manufacture your product with better care, which will improve customer satisfaction and improve sales.   The quicker that you realize that people equal profits, the quicker your business will be on the right track.  Ignore this fact and you can still make a lot of money, but you’re taking a big risk if you choose to create wealth at other people’s expense.

[C] Bernie Madoff; Enron; Mortgage brokers circa 2008

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