I love Auntie Anne’s soft pretzels (upper level at Cool Springs Mall, and in airports everywhere). You can get them plain, with salt, with cinnamon, dipped in mustard and so on. My favorite: plain (those of you who know me well are not surprised).
Auntie Anne’s founder was Anne Beiler. Her husband’s parents loaned her $6000 in 1988 to buy a pizza/ice cream/pretzel store in a Downingtown, PA, indoor farmers market. The first store opened in February and the second came only five months later. After deciding to specialize on pretzels, the first year sales were $100,000—not too bad for a $6000 investment. The rest is history. Today, Auntie Anne’s (now owned by Focus Brands) has more than 1200 locations worldwide.
As the story is told by Dinah Eng in her article, Soft Pretzels out of Hard Times (Fortune, July 22, 2013), The Anne Beiler’s success formula was p1+p2+p3=P:
Actually, according to Beiler, there is an important F in the formula (p1+p2+p3+F=P) because one of her foundational values is her faith in God.
Is your enterprise foundering a bit? Why don’t you try the p1+p2+p3+F formula? Focus on the three little p’s—augmented with some F—instead of worrying about the big P. Not only will you enjoy leading more, you’ll also be more effective and the big P will come if you get the little p’s—and the F—right.
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
People are hired to do a job—get results. When they don’t, the easy and lazy course for leaders is a simple “get better or get out.” Actually that is not leading, it is bossing.
The truth is, unsatisfactory performance usually has a backstory—some facts bearing on the case. Effective leaders try to understand what it is, not to make excuses, but to make corrections if possible. After all, raising the performance level of a current employee (or volunteer) is often a lot easier than starting over with a new one.
Is the employee adequately trained?
Have we provided the tools needed to do the job in the time and to the level expected?
Are the performance expectations realistic and clear?
Does the employee have the intellectual and emotional capacity to do the job?
Is morale affecting the performance and if so, what is the cause of the morale problem?
Is the employee lazy? (Yes, some are.)
Are personal issues at home or here at the workplace distracting the employee?
Does this employee fit our culture and share our values?
Have we promoted the employee beyond his or her ability to perform?
Is this a job fit issue: the employee was great in her prior job, but not performing now?
And so on….
Now let me make it clear, getting results is mandatory. The purpose in digging out the backstory is not to find reasons for ignoring unsatisfactory performance. It is to find ways of fixing unsatisfactory performance. But if you can’t…well, you know what you need to do.
One final thought. Every performance appraisal is also an appraisal of self. If employee performance is unsatisfactory, it may be because your leadership is unsatisfactory. Sorry, but you needed to hear that.
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© Copyright 2013 by Dick Wells, The Hard lessons Company
The headline in the July 4th Tennessean was: “Vanderbilt University Medical Center Cuts Jobs.” The number of employees affected was unspecified, but later reports hinted it was about 300±. A VUMC spokesman clarified that the cuts were “not layoffs,” but were “focused on employees who scored below a certain threshold in performance evaluations.”
Of course, VUMC is being trashed by some for being heartless and interested only in money. Hmmm…I wonder about that since they provide over $200M (yes, $200M!) of free healthcare per year to uninsured and poor patients.
To put this in perspective, 300 people are only 2% of VUMC’s workforce of 16,000. I guarantee you that more than 2% are under-performing. In most large organizations (including ones I have led), upwards of 5-10% of employees aren’t really performing at the level needed and that they are paid for. So I say, “Bravo, Vanderbilt!” But I do have a few thoughts (learned the hard way) that might help VUMC—or your organization—keep out of the headlines when taking on the next 2%.
#1 Rather than doing all performance appraisals at the same time, spread them throughout the year. Every PA is important and deserves thoughtful, special attention, which is difficult when they are all due next week.
#2 Under-performers should be released when remedies have failed. (VUMC could have avoided the headlines by taking action one at a time instead of en masse.)
#3 Nothing said or written in a PA should ever be a surprise. The purpose of a PA is not to ambush an employee. Performance feedback—especially when negative—should be given when it occurs.
#4 Don’t use numerical ratings. Numbered systems put the employee’s focus solely on the rating instead of the actual performance. Whatever needs to be said, can be said without assigning a number to it.
#5 Minimize the use of adjectives to describe performance. Whether good or bad, try to express performance in terms of outcomes/results/etc.
#6 If overall performance is unsatisfactory, don’t expect the employee to agree with you. There are few people who will acknowledge they aren’t getting the job done. If they do agree, they will believe it is someone else’s fault. Don’t expect to hear “You’re right, I should be fired.”
#7 Working hard is not the same thing as getting results. Most people believe they should be rewarded for working hard and doing their best even if the results are unsatisfactory. After all, isn’t that what we teach our children? And by the way, almost all employees believe they are working hard. Don’t expect to hear “I’m lazy and deserve to be fired.”
#8 Underperforming employees will rarely fix themselves. It is your job as the leader to help them raise their performance. [I’ll discuss some of the reasons for underperformance in my next post.] However, if their performance can’t be raised, you need to do what VUMC did.
In Straight From The Gut, Jack Welch says, “Removing people will always be the hardest decision a leader faces. Anyone who enjoys doing it shouldn’t be on the payroll, and neither should anyone who can’t do it.”
Most leaders have a tendency to postpone the “hardest decisions” that affect people; I have certainly been guilty. In the long run, it never pays to tolerate underperformance in your organization. When you do, it can become the “norm.” Is that what you want?
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
It wasn’t long ago that HP (Hewlett-Packard) was out of favor with investors, employees, customers, and the always-quick-to-pile-on business press; the stock was in free-fall and the previous CEO had been fired after only eleven months on the job. Meg Whitman was named CEO in September 2011, but after about a year on the job, The Guardian (UK) headlined an article with Hewlett-Packard’s Meg Whitman Is Facing An Unwinnable Fight.
However, only seven months later, Forbes (in its June 10, 2013 issue) described Whitman as The Reluctant Savior Of Hewlett-Packard (by George Anders). The stock price has recovered, employee morale is recovering, customers are returning, and the Board is happy: “She’s the best CEO the company has had since its founders.”
Reading the Forbes article is worth your time: http://www.forbes.com/sites/georgeanders/2013/05/22/meg-whitman-jolts-hp-as-its-reluctant-savior/. Two things about Whitman’s leadership that really resonated with me are:
#1 She “…knows that turnarounds call for repairing hundreds of small things rather than betting everything on a miracle cure that might be a mirage.”
#2 She purged the company of CEO Disease: executive parking lot—gone; CEO office—gone (she works from a cubicle); five star hotel bills—gone (she stays at Marriott Courtyards when possible).
What a difference a year makes! Ever heard that before? Well, it’s not always true. A year only makes a difference if that year is different in a positive way from the years that came before. If nothing changes, nothing will change. Meg Whitman is making sure that things change—things that ought to change.
How about you? Do you want things to be different a year from now in your personal life or at your company/church/home? It hinges on what YOU will do differently, starting now. Quit waiting on a miracle or someone else. You are the key to change—to the turnaround. Get started today.
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
There aren’t many jobs less fun than slopping hogs. But it has to be done. If someone doesn’t slop the hogs, then calamity will strike: NO BACON. What could be worse than that?
My friend, Leon Drennan, grew up on a 160 acre Kentucky farm. They raised hogs, cattle, and a few small crops (including tobacco). Leon’s first job on the farm was hog slopping. One step up from hog slopping was feeding the calves. It was a big day when his father trusted him enough to move from the pig pen to the calf pen. He had earned that trust by doing a great job at slopping hogs. And that is the same way any of us get out of the pig pen—we earn our way out.
If you or someone you know is stuck in the pig pen, the way out is:
Quit complaining. Be grateful you have a job.
Be the best hog slopper on the farm. Be so good that they can’t help but notice.
Prepare for the calf pen. Learn as much as you can about the care and feeding of calves.
Volunteer to feed the calves when the regular calf-feeder is out sick.
When the opportunity comes, grab it.
Escaping the pig pen happens at the intersection of opportunity and preparation. When opportunity knocks, be prepared! Leon was ready to feed the calves when the opportunity came. Much later, he was ready to lead a major division of HCA when the opportunity came.
If you are a mediocre hog slopper, why should anyone give you a chance at something else?
Never forget: the most important job you’ll ever have is the job you have now.
[For more on this subject, order 16 Stones at 16stonesbook.com or online.]
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
Johnny Cash sang it. Edd Wheeler and Jed Peters wrote it. My dad lived it: “He rode easy in the saddle. He was tall and lean, and at first you’da thought nothing but a streak of mean could make a man look so down right strong, but one look in his eyes and you knowed you was wrong. He was a mountain of a man, and I want you to know, he could preach hot hell in freezin’ snow. He carried a Bible in a canvas sack and folks just called him The Reverend Mr. Black. He was poor as a beggar, but he rode like a king. Sometimes in the evening, I’d hear him sing: I gotta walk that lonesome valley. I got to walk it by myself. Oh nobody else can walk it for me. I got to walk it by myself.”
Every time I hear this song (on my iPod), I am reminded of my dad. He grew up on a Colorado ranch (“easy in the saddle”); he was 6’ 4” and at most 200# (“tall and lean”); intense—he really could preach “hot hell”; he was “poor as a beggar” (never owned anything except a single-wide used trailer); always had his bible with him (though not in a “canvas sack”). We never put down roots—his “lonesome valley” carried his family through AZ, CO, GA, KS, MO, NM and OK. He wasn’t called the Reverend Mr. Wells; it was either “preacher” or “Brother Wells.”
He has been in heaven for 25 years, succumbing to MS at age 74. They don’t need preachers up there, but I suspect he is on some street-paved-with-gold corner preaching anyway. There are a lot of people there because of him. I’m sure they are gathered around listening and shouting “amen!”
Today, the only preacher in the family is our sister’s husband, and yes, he can “preach hot hell in freezin’ snow” (which he has occasion to do in northern Ohio).
None of his three sons followed in his preacher footsteps, but we were all successful in large part because of what he taught us:
You are not entitled to anything; you will have to earn your way in life.
The best way to “earn” is by working hard and doing a great job.
Finish what you start. Quitting is not an option.
Marry well (which we all did).
And most importantly, Jesus loves you anyway. He knows you fully—the good, bad, and ugly—yet still loves you. Amazing, isn’t it?
So on this Father’s Day weekend, I am remembering and honoring my dad—the Reverend Mr. Wells. Thanks, dad, for teaching me what is really important in life. I’m looking forward to joining your street-corner crowd someday.
I would love to hear about your dad. Take a minute to send a comment. What was the #1 thing you learned from him?
© Copyright 2013 by Dick Wells, The Hard Lessons Company
For the four sisters Sledge (Kim, Debbie, Joni and Kathy), it was true and their song reached #1 on the R&B charts in 1979 (I am humming it as I type): “Everyone can see we’re together…close …giving love as a family does…we are family….” I hope this describes your family in an unlimited and unconditional way. But for the organization you lead, “we are family” needs to be limited and conditional.
It is not unusual to hear someone say about their co-workers, “we are like a family.” Sometimes even the boss is included in the family group. When the meaning is we work together, care about each other, and feel like we “belong,” that’s good. But if it begins to mean that we have the same rights, privileges and protections as a family, then sooner or later, it will become a problem.
Reed Hastings, CEO of Netflix, created a lot of nationwide conversation when he made it clear to employees that, “We’re a team, not a family.” There are a lot of differences between teams and families. Participation on a team is conditional, based on one’s contribution to success. Membership in a family is unconditional and permanent, based on birthright. In families, we tend to encourage everyone to do their best. On teams, someone’s best may not be good enough no matter how hard he or she tries.
A leader who fosters a “family atmosphere” is creating expectations that cannot always be fulfilled. Teams improve by constantly upgrading their talent—replacing the quarterback or guitar player when necessary—no matter how hard they try or how “loved” they are. It is both awkward and difficult to replace the quarterback or guitar player if they have been told repeatedly, “you are family.”
The leader’s role is not that of surrogate father or mother of the employees. Coach? Yes. Encourager? Yes. Caring and concerned? Yes. Developer? Yes. Champion? Yes. But not as father or mother and not “no matter what.” For your team to win, you need someone who can actually play center field, not just do her best. So for the good of your team, shed the father or mother image and start leading.
Suspecting that some of you will disagree with me, please contribute to the conversation by posting your comments.
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© Copyright 2013 by Dick Wells, The Hard Lessons Company.
My son-in-law, Sam, would love this job—crawling around in attics, old barns and junkyards—looking for…well…the kinds of things you find in attics, old barns and junkyards.
The stars are Mike and Frank; their vehicle is a white van labeled Antique Archaeology; their arena is the back roads of America; their passion is Americana artifacts and collectibles—things that are buried under piles of stuff, waiting to be discovered and put on display in one of their stores. For example, a battery-powered, guitar-playing, mechanical monkey in a country-western outfit was a “big find” on a recent show. One of their heroes is Hobo Jack, located in Litchfield, Illinois. He has acres of junk waiting to be discovered, but is not an easy mark; he drives a hard bargain.
Now, before you trash talk me too much, I want to say emphatically that I do not watch Duck Dynasty, so cut me some slack about this.
Wondering what this has to do with leadership?
Most every organization, large or small, has one or more people waiting to be discovered. They, for reasons now forgotten, are buried on a hallway the leader rarely visits, hidden in the last of a row of 20 cubicles, sitting near the back of a large-church worship center, or working in a field office that is on the other side of town. They are a bit dirty and dusty; maybe dinged up some. But they could be worth a lot if discovered and encouraged or trained or challenged.
As a leader, you have a lot to do. You can’t spend all day rummaging around in the attics of your organization, but you can spend a few hours every now and then. Decide now you will become a “picker,” looking for hidden value in your company, or church, or even your family. You may be surprised who you find—someone just waiting for a chance to shine again (or shine for the first time). Imagine the satisfaction you’ll feel as you’re driving home that day!
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
I love Pixar’s CARS, especially Mater (he could be from Oklahoma!). I also love Up, Monsters Inc., and Toy Story. And when watching them with my three buddies, I enjoy them even more (yesterday it was Epic).
All of these animated movies have one thing in common—John Lasseter. Never heard of him? He is Disney’s CCO: chief creative officer. It cost Disney $7.4B to get Lasseter; they could have had him for a lot less.
Lasseter started at Disney in the ‘70s, first at Disneyland, then as an animator, drawing cartoon figures for movies. In the early ‘80s, Lasseter became interested in computer animation, produced a test film, pitched it to Disney executives and was fired the same day—presumably because the “test film” was not authorized. It was a good thing for him; a bad move for Disney.
Lassetter went to work for Lucasfilm Computer Graphics, which was later acquired by Steve Jobs and renamed the Pixar Graphics Group. The rest is history. Pixar became the world’s number one animated film company, eclipsing
Disney with a string of hits, most of which were directed or produced by Lasseter.
More than 20 years after firing Lasseter, Disney got him back in 2006 by buying Pixar for $7.4B! Hmmm, if instead of firing him, they had kept him at a salary of $1M per year, they would have saved more than $7B (that’s a lot of zeros to the right of the 7).
Every organization, including yours, has the annoying guy or gal who is always coming up with new and crazy ideas. Kodak is in bankruptcy because they didn’t take advantage of that “new and crazy digital camera” that was actually invented by their own engineers. There was a time when computers were new and crazy. In 1943, Thomas Watson, chairman of IBM said, “I think there is a world market for maybe five computers.” (I have four of them. How are the rest of you getting by sharing one?) Computer animation? Not at Disney, no way. That’s crazy.
The leadership lesson is that almost every new idea sounds “crazy” when first offered. Some actually are, but many are just ahead of their time. Don’t be too quick to fire the messenger and for sure don’t punish him for being creative and innovative. You may need to hire her back some day. Do you have $7.4B?
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
Jordan, Jason, Elijah, Ryan, Sara, Michelle … Congratulations! Some of you are off to college; some are headed for the world of work. Though it has been a long time, I remember the joy of finishing and starting: I finished HS and started college; I finished college and started a career. I wasn’t really prepared for either of those starts. Maybe these “old school” thoughts will help you get off to a better start than I did.
None of your college professors are going to care where you went to HS, or that you were an honor graduate. Get over it now.
Many of your college professors are not going to care if you study…do homework…turn in papers, etc. It is up to you to learn.
Free time in college will be a new and challenging experience for you. Don’t spend it like I did (playing poker and sleeping).
If you don’t know what you want to do after college, don’t sweat it. For crying out loud, you are 18 and have a long time to figure it out.
Your parents do not owe you a free-ride college education (nor does the government). If they do it for you, be very grateful and honor them with good grades. If they can’t, choose work over debt. A few years of work during college is a lot better than a lifetime of paying off debt.
A college diploma is no guarantee of a great job. If your degree is in the History of Pottery in SW Mexico, chances are you’ll be working behind a counter somewhere. 50% of recent college grads are in jobs that have nothing to do with their degree. “But I don’t love __________.” You won’t love living on $25K per year either (or not working at all).
For those of you exiting college for the biz world, your degree may get you an interview, but it won’t get you a job. Three suggestions for interviews are #1, ditch the metal, college look, etc. Companies are looking for adults. #2, companies don’t care what you want; companies only care what you can contribute. #3, learn as much as you can about the company before the interview and ask intelligent questions. (Oh, #4, leave your cell phone in the car.)
If you get the job, show up on time, work hard at getting results (as opposed to working hard to get tired), volunteer, respect the people you work for, don’t ask for a day off every week or so.
You will probably never have a job that you love 100%. Every job has stuff that is no fun and not in your sweet spot. Don’t change jobs every 6 months looking for perfection. You’ll never be a perfect employee; you’ll never find a perfect employer.
NO ONE owes you anything. You have to work for—earn—everything you get. Only God gives us what we don’t earn (grace). (Actually, you can become a ward of the government if you want to.)
You have 40-50 years of working ahead of you. That is plenty of time to build a career and a life. So if you don’t get off to a great start, don’t panic or despair. Learn from the experience, then move forward determined to get it right.
Finally, remember the words of Jesus: “What good is it for a man to gain the whole world, yet lose his soul?”
There are a lot of people pulling for you, including me. I love all of you. Go—with God’s help—make a great life for yourself!
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© Copyright 2013 by Dick Wells, The Hard Lessons Company
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