Archive for category Planning

How To Make Employees More Productive

Most companies are extremely aware of their external markets such as clients, customers, distributor networks and even vendors. But many fail to realize that employees make up an internal market. There are plenty of organizations that bend over backwards to get feedback and input from customers and clients. Far fewer work as hard to get feedback and input from employees. I sincerely believe that any organization that doesn’t view its employees as an internal market is shortsighted. And if you think the majority of your employees are happy campers – I’ve got news for you.

In a report released January 5, 2010 by The Conference Board based on a survey of 5000 U.S. households, only 45 percent of those surveyed said they are satisfied with their jobs. 55 percent are not satisfied with their jobs! According to Lynn Franco, director of the Consumer Research Center of The Conference Board, “The downward trend in job satisfaction could spell trouble for the overall engagement of U.S. employees and ultimately employee productivity.”

What the report doesn’t tell us is WHY 55 percent of employees are dissatisfied. And while specific reasons for dissatisfaction vary by company, job and employee, I believe it can pretty much be summed up as a disconnect between those in the ivory tower and those in the trenches.

One of the best books I ever read on management and problem-solving is an 80 page book called, “I Know It When I See It” by John Guaspari. In the book, the Boss demoralized his employees by telling them that the key to increasing the quality of their product is to, “Try Harder! Do Better!” It had the same effect as unfunded government mandates – no one was given the information, tools or ability to accomplish the edict. What followed was employee frustration, job dissatisfaction and further loss of market share.

If your company is large enough, consider an undercover operation to include the top echelon. In disguise either shop your company or get a job with your company. See first-hand what affect your policies and directives are having on those who must deliver your product or service. In smaller companies, I encourage bosses and managers to get out of the back room. Run the cash register. Load some trucks. Ride and work the route. Stock some shelves.

The easiest dollar made is from a happy, repeat customer. But that’s a lot harder to achieve when employees’ are hampered by decisions based solely on numbers made by people sitting behind desks who are out of touch with reality.

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More Training to Win – Creating levels

When a person starts in your business they start at some level, the bottom, the top or somewhere in between.

Generally it will be at some lower level and will hopefully want to “climb the ladder of success” you provide. For some this will mean a ladder governed by rising pay increments, for others it will be the attainment of various levels of skill achievement perhaps leading to a new title (from assistant to manager etc.)

My suggestion is you figure out a pathway for your staff no matter where they come into the business, so they can clearly follow the path and attain the sense of achievement which goes with it.

There are various examples throughout history of how organisations have used this to their advantage, the main one is the military, where you work up from a “private” to Corporal, Sargeant, and so on. Along the way you have to “prove yourself” to be worthy of the role and the new responsibilities that may bring.

Because of the history of this sort of hierarchy, many people are ingrained to this way of working, so in business we can use this to our advantage.

For some businesses a formal approach is taken, and for others a more casual approach can make the approach far more fun and engaging for that type of employee and business. lets take an example of a business which does a lot of business to business sales.

Because the business is sales focussed the team has to either be supporting the sales team or be part of the sales team. therefore they might create a structure like this.

  • Support Crew – Starting role in the business – probably in admin there can be a range of levels in this category to take in stores and warehousing.
  • Sales Support Agent – These people work with the sales team as the sales support team, making the calls, tracking client contacts etc.
  • Sales Agent – The new sales person starts here, the apprentice if  you like to the sales executive.
  • Sales Executive – The actual sales person, experience and able to lead the sales agents.
  • Sales Coach – You could call this a sales manager role.
As you can see the aim is to provide a start and end point, in time the end point might alter depending on what the organisation is able to offer and how it develops.
By creating these sorts of levels in your business you can now develop the sorts of specific tasks you want people at each level to do.

Blitz your business now…

If you are like many people in business you are probably flat out keeping your business ticking over and doing your best to get and keep, ahead in tough times. you have all the usual things you do to keep things going and if you have a profit happening then you are doing some things right.

However it is also easy to miss out on getting things right in your business and in fact it can be VERY difficult to get ALL things right. Perhaps this “Blitz” idea might make a difference to how you go about things.

Businesses often have “blind spots”, in retail circles it’s often called “Store blindness”. It’s where particular parts of the business are not up to scratch and often go unnoticed, it might be one area of a display which has become tardy but is not noticed so we form a blond spot to it. My answer, “blitz your business”.

How to do it? Simple, in retail for instance, draw a rough plan of your store, and have a blitz type attack on sorting things out in that section, check cleanliness, stock levels, layout, lighting, signage etc… Then to other business aspects, marketing, operational systems, and management to name a few. Go through all of these one at a time and sort them out bit by bit.

Perhaps set up a blitz team to work on each part of  the business so the organisation can see the fruits of its knowing it has taken solid action to get those results. Start now with a simple checklist of areas to focus on.

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Great profits…

“Great profits come from great products and services…”
Seems like a simple enough statement, but what makes a great company??
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Simple…
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Great people.
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Therefore great people make great companies, so it stands to reason if great companies recognise this they will do their utmost to make sure they make greater people out of the ones they already have.
It also stands to reason a great company will be passionate about people because of this knowledge and provide a “loving environment.”
“What’s a loving environment…?” Lets brainstorm for a minute. (Go ahead I’ll wait…) Enough of the waiting here’s a list to contemplate.
  • Elegant systems people love to use.
  • Great training which works with the team to provide relevant skills and information for each level they are at.
  • Great support, especially if you want your people to succeed to the max.
  • Elegant communication, your people talk, and not just about the weekend sport or other activities, they talk work and they do so with great interest.
  • The chance to put in, to give, to be an active part of the organisation. Why because they like to achieve, they want to achieve they CRAVE achievement. Why? because it gives them a greater sense of purpose.
  • Great service. Your people go all out to be exceptional, and new recruits get to model the exceptional behaviour of your best people, if they don’t do it or get it they are out and you search for better people.
  • Great examples. Your best people are champions and the rest of the team aspire to be like them, yeah? Of course, if not…. keep training them.
To do all this takes time and expertise, you have to make sure you get the expertise and share it. You know what, I don’t care if you have to do courses after hours, work on your systems on weekends, tweak policies or procedures at 2am, do it.
Do it because you have to make sure your business is the best and will stand the test of time and tough business environments (like a recession and or depression.)
Do it because to live in utopia we need utopian thinking and we need it to start somewhere. If you are not thinking utopia, what are you thinking? Mediocre? or something less than great… why?
Okay it requires effort, but if you already have a team put up this list (add to it if you want) and have them provide ways to get the list into action. Then act on the information as soon as possible.
Now look for the gaps, gaps in the attitudes, gaps in the systems, gaps in the budgets, profits, processes, service provision… Then fill the gaps fast, before long your company will be exceptional and not just great.

7 Mistakes new businesses make with IT

Any new business likes to get off to a fast cheap start, but it important to keep an eye on the prize and be wary of cutting too many corners that will end up costing time, money and possibly loss of data and even your businesses ability to adapt to a changing business landscape.

So here are the top seven IT mistakes I have seen new businesses make:

  1. POP email

POP email accounts are those email accounts that you get when you sign up with an ISP. Often you get a few free email accounts that you can associate with your company domain. The problem with POP accounts is that they don’t get backed up and leave you with a false sense of security. Ultimately much of your businesses value lies in the contacts that you have, as much as the conversations you’ve had. POP accounts only store the conversations, and in many cases even those are cleared from the server by your email application. So now all of your data is sitting on the one vulnerable hard disk in your computer and unless you know what you are doing, this does not get backed up.

Shop around. For less than $US15 per month you can get a hosted 5GB Exchange mailbox that stores all contacts, calendar and email. It gets backed up each night and it can be made to synchronise contacts and appointments as well as email with your mobile PDA. If you have multiple employees you can share contacts and calendars and email. This can takes office productivity to a whole new level. Outside the office, on the work site, having access to your email, contacts and calendar is fast becoming as important and as expected these days as having a mobile phone was five years ago. From the work site you can place a booking with a client into the Calendar on your PDA and within minutes staff back in your office can see that booking by looking into your calendar on the server. And Vice-Versa, how good is that. No more checking with the office then calling the client back to confirm, not to mention the to and fro reduced if the booking did not suit.

Of course if you lose or break the mobile phone al of the contacts and appointments that are synchronised to the server are not lost. Just get a new phone and set up again and all the contacts and appointments will be synchronised back onto the phone.

OK, setting this up may require some help from an IT consultant but when you factor in the productivity gains and the reduced risk of data loss in the event of failure the gains are worth it for most businesses.

2. Peer to Peer networking

There is a plethora of fantastic cheap devices on the market these days that let you store copious amounts of data on a networked hard disk. If you like you can also share the hard disk of your own computer so that your co-workers can store all of the data in a single location.

But please don’t forget that you need to back that data up and, just as importantly, you need to be able to restore from that backup should the data be accidentally overwritten, corrupted or you just have a good old fashioned disk crash. Most IT professionals don’t like keeping all of the eggs in one basket. So we devise ways of making systems redundant. A ‘real’ server solution will have redundant hard disks, so that should one fail, your data does not go with it, resulting in days of downtime while the system is pieced together from that backup that you regularly do.

Too many small businesses still store scary amounts of critical data on a single hard disk inside a regular workstation (usually the oldest one in the office).

3. Free software

Free software sounds great. And it can be. I am not against it in itself, but with most software it is not the license that will end up costing you the most money, that will actually be a small part of the cost. You need to consider the longer term costs of implementation and running your systems utilising that software. For a small basic single user application that may be fine. But for something that will be implemented across your business to become what we call ‘mission-critical’ you need to consider the longer term implications. How easily can I get outside help to support this system should those who know it move on (key-man risk)? Can I recruit people who know how to use this system, or will I need to train them up?  Will updates for the software be available when I come to upgrade the platform on which it runs?

These are some of the questions you need to ask before taking on what may appear to be a cheap solution.

4. Mates Rates advice

It is hard to pass up free advice. However free advice rarely translates into good support. At least not the kind of support you can depend on from a strategic point of view. Your mates may be available after hours and on weekends but if they are holding down a full time job they may not be as accessible as you need them to be. There are also often strategic and technical differences between how IT is setup and run in a small business environment compared to that of larger organisations. There are specific product bundles available from vendors such as Microsoft, Dell, Hewlett Packard, Symantec and many others that facilitate excellent solutions for small business when implemented correctly. However while these bundles may appear to be a collection of products that many IT experts may be familiar with, they often include some additional bells and whistles that allow you to get real leverage with your IT investment. I have seen many implementations Microsoft’s Small Business Server where a so-called expert was unfamiliar with the use of Remote Web Workplace and so had not known to implement this for the business. Yet Remote Web Workplace is one of the core offerings of small business server and one that many administrators of large organisations would give their eye-teeth for. It allows small business workers to connect to any workstation within the office and run all of their applications from a remote location.

So how could this have been over-looked? Remote Web Workplace is not a feature available on ‘big’ business systems, so if your friends work in big business, they may not know about it, or many other things.

Another important function I have seen ‘knowledgeable’ mates overlook is the ability of Microsoft’s Small Business Server to enable BlackBerry type functionality with regular iPhone, Nokia and Windows PDAs. Perhaps the mate thought they would need to buy a BlackBerry server to do all of this, perhaps because the company they work for has one.

5 . Backup-backup-backup and offsite-backups. Then test them.

It makes me cringe to see what some people consider a backup plan.

Too often I have heard people telling a reporter that loosing the house to a fire was bad enough but loosing the family albums and memories was devastating. The rate of business failure after a major IT disaster from which there was no backup is very high. I have seen figures like 80% in the two years following the disaster thrown around.

So I guess lesson one is make a backup of all of the family photos and take them to a location away from the home. And then repeat this regularly. And check that you can access the copies that you have made. Lesson two is to do the same for your business.

6. In-house software / DIY Systems

All too often I see people who believe that their systems and their way of doing things is so special that they must create their own software just to manage this. Accountants probably bare the brunt of this when the new business owner fronts up to them with a box full of receipts and an excel spreadsheet full of fancy macros that nobody except the business owner knows how to use. Or the very very special Access database for managing stock levels and generating very very special reports.

All businesses want to feel that they are unique. But encoding that uniqueness into a software application that can only be modified by one select person can turn out to be a serious strategic mistake when you try to sell the business or when that ‘key-man’ risk is realised because the person who knows the system can no longer maintain it.

Ask yourself how your business will make money. If developing this special piece of software and selling it is not on the list then don’t go there.

7. Lock in.

No deal in IT is so good that you should sign up for more than two years. The market and your business moves too fast for that. What is a great deal today can be serious drain on cash flow in as little as six months from now. So whether it be a mobile phone plan, an internet connection, a PABX system, a server hosting plan or an IT support plan, two years is just too long a commitment to make. If we think a deal is good today, you can be assured that a better deal is just around the corner and if you’ve locked in for a long time you will be regretting the lock in for at least half of that time.

And it is not just the money. Once you’ve locked into a plan you’re often locked into a technology. Then along comes the next best thing and your business is now not as dynamic as you thought it was.

Svend Petersen is the Managing Director of Excelan.

Excelan provides a personalised level of IT support and strategic consulting for small to medium sized organisations in and around the Sydney CBD.

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My Favourite Web tools Pt 2 – Goodsync

Last week I told you about Roboform, the stress saving password encryption and saving program. This week i’m looking at Goodsync, Roboform’s first cousin.

As the name would suggest, Goodsync is a syncronisation program. It will syncronise Folders & files on a PC, Network, and the internet.

I use it on a daily basis to back up my most critical files. Everyday, I copy my accounting back up, my CRM data, my clients art files, copies of my quotes and invoices, our procedures manual, my Roboform data, and my quoting program data – a lot right? It is a lot, and frankly, if I was simply making a back up or copying all those files every day, it would take all day!

I also make multiple copies – I have the original files on my mail PC, I have a back copy on a “storage PC” on the work network, and I make a copy to my laptop (so that I have a mobile copy of the file in case of something like a fire at work). That’s how I use it, you could just as easily use a portable hard drive.

The beauty of Goodsync is; it only copies over files that have changed. This means it doesn’t get bogged down copying files that are already there in the back up destination, a big time saver.

First, Goodsync analyses the source files compared to the destination files, after the initial analysis, this takes only a few seconds.

Then Goodsync creates a list for you to check. There are default settings like always forcing the sync one way, or force the newest revision of the file to override the direction of the sync. You can either manually make the decision, or let Goodsync decide for you based on your preferences.

At the click of a button, it copies the right files to the right place super fast – the only limitation of speed is the speed of your connection. My hard wired network syncs faster than it does to my laptop through the wireless router for example. Still, it only take 3-5 minutes per day to back up all my critical files to two different locations.

Goodsync is super easy to use, A few minutes to set up the initial settings, and then once that is done the daily task takes only minutes. Take this link for a quick overview of how Goodsync works . There is also a MAC version of Goodsync, which I haven’t tried yet, but if it’s like anything Apple, it’ll be easy :-)

I haven’t used the portable version, Goosync2go, but i have used the protable version of Roboform, so I have to assume the portable version is every bit as good as the PC version.

Of course, there is a free trial of Goodsync, it has full funcionality, just a few limits on the volume, so give it a go!

Bren

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What are your people doing, working… or?

Everyone seems busy right… But things are not moving very well, the people are all busy? Should I put another staff member on…

These and a whole bunch of other questions could be bothering you if your business is a bit bigger than a few employees.

You think back to the early days of doing everything yourself, you worked 12 hour days and then some, finally getting some breathing space when you took on some staff. You trained them and you could see great progress but now things seem different. What’s happening?

Perhaps your people have found a comfortable place for themselves and are keeping themselves busy (it makes the day go faster…) and not overly concerned about the effectiveness of things.

You have a meeting with your key people “Blah, Blah Blah!!!” you go on about how the key guys should lead the team, how they should get up noses, rattle the cage so to speak, and for a short while you see some “scared rabbits” run about and things pick up and then fade, now they are all back to busy but not overly effective.

Your method of getting people to do things seemed great at the time, but knowing it failed after a few weeks was disappointing, you feel like you have to watch the team the WHOLE time, and that’s not what you want to do.

The answer…

Take a look, wander about, listen, observe start making mental notes. What’s working, what’s not… and what are they doing to look so busy yet be so ineffective!

Ask  yourself…

  • Are they doing “administrivia” and dragging it out to fill time.
  • Are they calling suppliers to get useless info for customers who probably won’t buy anyway, or only want a small quantity of a low priced item.
  • Chatting about ‘garbage’, or doing silly rubbish, which is personal, rather than getting to the tasks, which really need to happen.
  • Are your management team, managing too much and not leading enough? Are they not in a position to connect with staff due to too much paper work, or other garbage which is really just a waste of time.

Any of these can take the wind out of the sails of your business, but before you call one of those “rant and rave” meetings to put the wind up people (which will just buy you more enemies anyway). Consider a different approach.

(And yes here’s the answer/s…)

  • Check out if the team has great technology to support them and make the tasks easy to achieve.
  • Make sure your systems are easy to learn, follow and implement.
  • Use multitasking to keep them mentally stimulated and able to do various new tasks from time to time.
  • Chat to them about what works from their point of view, become a “one on one focus group leader” with each person and get REAL information, not the sort that filters up through the ranks and becomes watered down as a result.
  • Ask what keeps them coming to work, and not just money and holidays.
  • Coach your management team to do the same, train them to build rapport, not build ramshackle bridges to nowhere.

In all honesty if you set up a great business to begin with, you will probably find it can remain that way, but it may need some of your original passion for the business to shine through, so the results you want to achieve can be very tangible, you just need to have the right things happening in the right way… Now go out there and make YOUR business highly effective and get the people doing more of the right things in the right way. Then and ONLY THEN will you really profit from the business you started out with so passionately.

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Evaluating Your Small Business Strategy

Countless people set themselves personal goals in life, but in many cases, small business owners don’t do themselves the same favour.  Without setting time aside to consider, plan and implement a solid strategy for any business, its success can be often hindered or compromised.

In these tough economic times, owners are struggling to make their business grow, but strangely enough, there is great opportunity for companies to make leaps and bounds while the market is down.

Take a Step Back

Being in the day-to-day running of your business can alter your perception of how effectively it is run.  Take the time to look at every facet of your business to gain the most unbiased perspective.

What kind of relationships do you have with suppliers? Is there any way you can leverage the associations you have with them to gain better pricing or additional extras (like longer trading terms to increase cash flow) that they don’t usually provide?

Do employees see their position as a job or a career? One of the most difficult tasks an employer can face is motivating their staff so that they are more productive.  Try to introduce creative, cost effective ideas to improve staff morale, which will ultimately allow your business to be more successful in so many different ways – higher customer satisfaction, increased work output, less mistakes and a much nicer place for everyone to work.

What are your sales margins? Taking a realistic look at how much you are making on your products and services is crucial to allowing your business to grow.  A small increase in sales margin may not seem like much in isolation, but calculated over a year, this additional profit can make quite a difference to your bottom line.

In many cases, customers will expect to see increases in prices every few years, purely because of inflation.  If you do apply increases, be transparent to your valued clientele – it will only reaffirm why they should continue to spend their money with you.

What are your competitors doing? If they are blazing trails in your area or industry, find out why and how.  Start to follow their lead and see where you can even improve on their practises.  But another, far more powerful way to knock down competition is to find out what they are doing badly.  By being exceptionally great at what your competitors do badly, it will soon put you miles in front.

Planning – What to Consider

After all the research has been done, it’s important to spend some time planning how you will turn all of these findings into meaningful actions.  There is a fine balance between continuing to maintain a high service level in your business and being able to implement new processes, procedures and projects.  Figure out what elements can be immediately implemented into your business and what will take more time and resources. Once you’ve determined this, you can then allocate timelines to these more lengthy projects so as not to interrupt the flow of your business.  Many strategies tend to stretch over several years, so make sure you build some level of flexibility in to allow for changes in your business, the economy and the marketplace.

Implementation – Getting Your Hands Dirty

It’s all well and good to research and develop business strategy, but sometimes the hardest part can actually be doing the work involved.  The best way to avoid being overwhelmed with implementing the strategy is to break up each task and set key goals and milestones.  Once you have completed the task or project successfully, make sure you take the time to look back on what you have done and be constructively critical.  If you have an upcoming project of a similar nature, it will allow you to become more efficient in implementing your business strategy.

All in all, developing a business strategy gives you the chance to recognise opportunities and shortcomings that may not have been realised otherwise.  While each business can be very different, the foundations of a solid business strategy are ultimately the same and can be applied to most companies, regardless of their service offering or industry.

An article provided to us by one of our site sponsors – NRMA Business Insurance

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Are you really insured?

Are you really insured?
When business does not go as planned the owner can end up in a serious bind, this can be the case when an event like a storm ruins things, in some cases even wiping out the business. But lets take the idea a bit further… what if you didn’t have private health insurance and you needed medical attention now and not some time in the future when the Government scheme can fit you in? Or you are on a business trip and did not get travel insurance?
In business as in life things can go wrong fairly quickly and people find themselves saying “If only we had…” or “Are you sure we paid that last premium?” The peace of mind they may have once had fades fast. When disaster strikes you want to be sure you covered  your bases. Private health insurance exists: to give you a fast personal health service when you need it most and the team at http://hbf.com.au may be one of the providers you turn to for a starting point.
You will have seen news reports of natural disasters tragically affecting lives, and some of you will appreciate the follow on effect a disaster can have on the wider community when the shock of a nasty event subsides. Sure our current medical support services can help out in a crisis (Australia) but when the follow up or specialist services are required you can be at risk if you don’t have private health cover. Imagine if you are overseas and are caught with a medical situation, you want to make sure the travel insurance is in place.
In many communities small businesses make a huge impact on local employment, and the provision of so many necessary services. Not only does a disaster wipe out these things, but the potential income loss for the owner can be huge, good business cover can help out there but on the personal side health cover is often overlooked and it can be at the peril of the business if you are not able to be there to run things.
I guess Insurance is about peace of mind in knowing that should a situation arise where it’s needed it’s there to cover you. For those into business speak, it’s about risk management and finding ways to minimise those risks wether you are here or overseas getting the right cover can make a world of difference.
Perhaps insurance should be seen more like a good friend, often not seen until needed, but, when needed, they are worth their weight in gold. On the books of the business the “expense” of insurance would end up in the liabilities column, but when you need to make a claim you might soon view it as an asset. Your health is all that matters and nowhere does that matter more than when you’re overseas http://hbf.com.au/travel/ can be the answer to your travel insurance needs.
Let’s face it often people pay for the their  business, car and home insurance with ease (they are used to that) but their health and travel insurance may be seen as an expense at the time. I’m not sure that would give me peace of mind, how about you?
Remember it’s an investment to make your life easier by giving you peace of mind in knowing you are covered if disaster strikes and you need the support and protection of a good friend!

When business does not go as planned the owner can end up in a serious bind, this can be the case when an event like a storm ruins things, in some cases even wiping out the business. But lets take the idea a bit further… what if you didn’t have private health insurance and you needed medical attention now and not some time in the future when the Government scheme can fit you in? Or you are on a business trip and did not get travel insurance?

In business as in life things can go wrong fairly quickly and people find themselves saying “If only we had…” or “Are you sure we paid that last premium?” The peace of mind they may have once had fades fast. When disaster strikes you want to be sure you covered  your bases. Private health insurance exists: to give you a fast personal health service when you need it most and the team at http://hbf.com.au may be one of the providers you turn to for a starting point.

You will have seen news reports of natural disasters tragically affecting lives, and some of you will appreciate the follow on effect a disaster can have on the wider community when the shock of a nasty event subsides. Sure our current medical support services can help out in a crisis (Australia) but when the follow up or specialist services are required you can be at risk if you don’t have private health cover. Imagine if you are overseas and are caught with a medical situation, you want to make sure the travel insurance is in place.

In many communities small businesses make a huge impact on local employment, and the provision of so many necessary services. Not only does a disaster wipe out these things, but the potential income loss for the owner can be huge, good business cover can help out there but on the personal side health cover is often overlooked and it can be at the peril of the business if you are not able to be there to run things.

I guess Insurance is about peace of mind in knowing that should a situation arise where it’s needed it’s there to cover you. For those into business speak, it’s about risk management and finding ways to minimise those risks wether you are here or overseas getting the right cover can make a world of difference.

Perhaps insurance should be seen more like a good friend, often not seen until needed, but, when needed, they are worth their weight in gold. On the books of the business the “expense” of insurance would end up in the liabilities column, but when you need to make a claim you might soon view it as an asset. Your health is all that matters and nowhere does that matter more than when you’re overseas http://hbf.com.au/travel/ can be the answer to your travel insurance needs.

Let’s face it often people pay for the their  business, car and home insurance with ease (they are used to that) but their health and travel insurance may be seen as an expense at the time. I’m not sure that would give me peace of mind, how about you?

Remember it’s an investment to make your life easier by giving you peace of mind in knowing you are covered if disaster strikes and you need the support and protection of a good friend!

Good connections

One of our guru lads over here is Ross Hill, on his Blog is a great piece of intriguing information I think all businesspeople and educators can learn a lot from.

He starts off talking about games and what makes them addictive… Then he goes on to show the comparison to social media (“aint” that the buzz at the moment) then I figure if you know what makes social media addictive, you could create a business that is addictive for your customers.

Imagine that people addicted to what you have, and they keep coming back to buy more… Yep the old loyal customer routine. Only now (thanks to Ross and others…) we can start to build an understanding of how that happens, so lets do it for business. Oh I mentioned educators as well, in a stale classroom, sit down, shut up, take down these notes… a fresh perspective on what engages people has got to be useful!

I’m going to cut to the chase here… The five central elements of Game Mechanics are: 

  • Collecting things.
  • Earning Points.
  • Getting/giving feedback.
  • Exchanges/Gifting.
  • User Customization.
In looking at the game mechanics and the social media link up to it there are plenty of things that make these points work, If you ever played pinball, getting the high score was way cool, in the latter day digital gamers world collecting things to give you more power, gifts, tokens etc was way cool too. then in a connected world being able to give feedback via facebook, twitter etc became a big buzz. then they allowed “games” of giving flowers, plants (virtual etc…)
Lets go across to:
Business…
  • Collecting things – Tokens in adverts.
  • Earning points – Buy five things get the sixth one free or at a discount (loyalty card ticked off.)
  • Getting/giving feedback – Hello – how are you – query form.
  • Exchanges/gifting – For every $10 you spend we give $1 to charity…
  • Customisation – if you have an online store they can personalise in some way then that’s useful.
Education…
  • Collect and bring things for show and tell.
  • Get points for good behaviour.
  • Discussing progress – giving feedback on what they liked in class.
  • Exchanges of information in group sessions
  • Customising by selecting which type of final assessment device they want to choose.
These are a few examples of possibilities, I’m sure there are plenty more, the thing is making sure you can provide enough to ensure your service is the one they are addicted to.
If you are still not sure about any of this check out Mc Donald’s and think about their happy meals for kids… you get a toy to collect, while the parent is there they probably buy something too, so even just having a single part of the formula in place can be highly valuable. Now put on your thinking caps and come up with a few ways you can use this information to your advantage.
I’m almost excited about the prospect of saying AND… lets add in our target market personality types, motivators and Drivers it would really assist us to be able truly effectively hit them between the eye’s solid targeted information they want to act on… but perhaps I better leave that for another day…

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