Overdrive: May 2008 - View All Articles 

Learn from world-renowned business minds without leaving the comfort of your desk! For the past few years, EO has been offering members the opportunity to participate in Webinars regarding better-business practices and entrepreneurialism. These online sessions offer members a chance to experience learning with notable business experts and industry leaders.

On 29 April, 2009, EO featured financial analyst, CEO and co-founding partner of United Capital Financial Joe Duran in an interactive session entitled “Building Real Equity in Your Business.” This Webinar was the third part of EO’s global economic teleconference series, which also featured LifePilot's Peter Thomas and Bottom Line Up Enterprises’ Rich Russakoff and Mary Goodman.

During his session, Joe taught members how to adapt their management styles and hone in on key leadership skills to build long-term equity in their companies. He also gave specific tips on how to think about management and leadership to maximize internal value, as well as prosper without sacrificing their company's long-term equity. Joe concluded the Webinar with some tips to consider when preparing a business for sale. At a time when the global economy is still in a mercurial mode, this type of financial advice really resonated with the 50+ attendees.

Every few months, EO hosts Webinars engineered to help members along their path from success to significance. Hosted through WebEx, the goal is to provide members with valuable take-away knowledge they can apply to their personal and professional lives. Past EO Webinars have been spearheaded by such business leaders like Rohit Talwar, John DiJulius and many others.

To view Joe's PowerPoint presentation, let us know. Past Webinar recordings can be found here. For more information on Webinars, please contact Leslie Baum, Global Learning Director.

Before I hired my first employees, I had never been a boss. I had worked for plenty of people and knew what I didn’t like, but I had never really worked for someone that I truly respected. When it came to my employees, I wanted to be everyone’s friend and not ruffle any feathers.

Unfortunately, I ended up with a staff that knew they could walk right over me, and they frequently did. So, I tried tyranny. If I just raised my voice loudly enough, they would all listen and do what I expected of them, right? No. That led to bad attitudes (including my own), hurt feelings, an overall lack of communication and little teamwork.

I need my team, and they need me to lead them effectively to our next destination. Through trial and error over the years, I have adopted the following staff-management policies:

1. We are a company, a unit, and every person in this company has value. I need to hear all of the voices, not just mine. Sometimes I’m right; often times my staff is. If I never listen to what they have to say, I’m limited to my singular vision, and I miss out on the input from the people that are handling the day-to-day workload, interaction with clients, vendors, etc.
2. Every new hire is interviewed by the whole company. New applicants spend five to 10 minutes talking with each employee about their experience and are able to ask questions to get a broader scope of the company. In addition, the staff gets a general idea of the person who is about to enter the fold.
3. I no longer micromanage my staff. It makes them uncomfortable and me neurotic. I hired these amazing people for a reason, and I owe them every opportunity to show me what they can do.  I delegate work to them at the speed they’re able to process it, and then give them just a little bit more. I find that by challenging them to do more and helping them succeed, they earn a sense of pride and accomplishment.
4. I created a set of core values for the company. They are posted on our Web site, as well as in our literature; and each employee had a part in creating them. Also, my employees are aware of the values and what they mean to our overall performance. Because we’re all adhering to the same set of values, everyone knows what is expected of them and how to handle situations appropriately.
5. Respect for each other is paramount in my company. We do not tolerate or foster behavior that is emotionally or physically harmful to others. We have a very diverse group of individuals here, and it’s important to respect one another’s differences. I must remain open-minded and receptive to what my staff has to say. Without that, it’s me versus them, and neither side can win.

I just came back from the Global Leadership Conference (GLC) in New Orleans, Louisiana, USA, and what an experience! If I had to choose just one word to describe this year’s GLC, it would be “amazing!”

I’ve been a member of EO New York for about a year now. I have served on the chapter board as Membership Integration Chair for the past six months, and on 1 July, I will serve as the chapter’s Communications Co-Chair. To help me—and all other EO chapter leaders—get on the same page and learn about our new roles, EO holds the GLC. This year one GLC was held in New Orleans, and another one will be held in Hong Kong, China, from 28-30 May.

For two days, volunteers and EO Global staff held intense trainings for all board positions. The goal was to ensure everyone knew their responsibilities when it came to their respective positions. In my session—the communications track—I met with people from New Jersey, USA; Ottawa, Canada, and even Guatemala! I also learned what I had to do to efficiently handle the communications responsibilities of my chapter.

The event kicked off with some amazing speeches, including the handing out of “Rock Star” awards to those chapters who complete all of their checkmarks. Believe it or not, Ace Frehley, the guitarist from the world-renowned rock band, KISS, gave a speech honoring EO’s Rock Star chapters. I was happy to discover that our chapter earned Rock Star status!

Following that rocking event, a cocktail party at the Ritz-Carlton was held. At 10:30 p.m., I heard drumming. What could that be? A chapter friend ran over to me and ecstatically announced, “It’s a marching band, and we need to follow it!” The next thing I knew, I was following the band down Bourbon Street with 600 fellow entrepreneurs beside me. Tourists on the street were taking photos of us, like we were celebrities.

We marched and enjoyed the beautiful scenery of historic New Orleans. I didn’t know where we were going, nor did I know where my New York chapter was … but that didn’t matter! I met and spoke with some incredible people from around the world, and I experienced the unbelievable value of peer-to-peer networking.

On the last night of GLC, EO wanted to do something special for all of the volunteer board members. Our fleet of luxury buses was given a police escort to Mardi Gras World, where we saw all of the colorful and interesting floats used to celebrate “Fat Tuesday.” Afterward, we followed another marching band to a large, indoor replication of a plantation home where we were served a scrumptious buffet dinner. What a great way to conclude such an incredible event!

GLC was an amazing experience, especially because I met so many entrepreneurs who share similar passions and interests in business. It was interesting to hear what everyone did, what their goals were and what their experiences have been. Although we live in different places and work in different environments, we are all so similar. GLC taught me that we all have problems and situations that we encounter; but that no matter what happens, I’m not alone. I learned so much about EO, my chapter and myself this past weekend. It is an experience I will never forget. Thanks EO Global!

I just finished listening to the audio CD of Outliers, the new book by Malcolm Gladwell. He makes a point that success takes more than just being ambitious, extremely smart or working hard. We all know plenty of ambitious people who don't make it very far in life, or the hard-working person who makes just US$10 an hour.

Gladwell's main point is that success doesn't just happen with the individual. For a person to achieve extraordinary results and to be considered an “outlier,” you must also look at his/her culture, community, family and what's happening in his/her generation. Gladwell uses Bill Gates in a particular example. He writes that Gates became the world's richest man not just through his smarts, but because he had extraordinary circumstances happen to him.

For instance, Gates had extraordinary access to computers in high school in the 1960s, when even professors at leading universities had limited access to computers. Gates also had connections to the right people because of the right family circumstances. So if we don't have the lucky gene pool that Bill Gates has, does this mean we're doomed to fail? Absolutely not.

Here are three lessons I learned when it comes to achieving success:

Success Does Not Happen Alone
In order for me to achieve success, I need others to be in on my plan. No one who has achieved tremendous success has done it on his own. It doesn't matter if you’re talking about financial assistance or contributing positively to a big cause. Entrepreneurial companies need loyal and smart employees to build and achieve the entrepreneur's vision. I’ve learned it’s all about involving others in my plan.

Am I a Practitioner or an Entrepreneur?
There is nothing wrong with being a practitioner in a business. There are many successful practitioners out there making a great living helping clients and living a highly effective life. However, if my goal is to change an industry or change the world, then I need to move from being a practitioner to an entrepreneur. An entrepreneur works on their business, not in it.

Sharing My Success with Others
I've seen many rookie entrepreneurs make the mistake of claiming they want others to be successful. They then create a billion shares, keep 97 percent for themselves and give their employees 10,000 shares of stock options. If the company they build grows to be worth US$50 million, those 10,000 shares are worth US$500. Who would be motivated to earn US$500 while helping you build a $50 million company?

In my opinion, anyone who is willing to work for you and is a good employee deserves a decent chunk of that US$50 million. Bill Gates became the richest person in the world because he also helped thousands of others become millionaires. In my business, I make it a point to be realistic when it comes to sharing my wealth. After all, motivated employees are productive employees.

To some, the dream of owning a business is all about freedom, a chance to change the world and all that jazz. To me, the dream was simple: To be lazy.

My work experiences have been varied, including law firms, government, newspapers, even McDonald's. While these jobs were all interesting, there were clearly parts I didn't enjoy— getting up early in the morning, sitting in traffic, dressing in a suit and tie. How hackneyed! What an imposition on my sleep! 

When I started my consulting group, TCG, I quickly realized I was too lazy to do the Web work I'd been contracted to do. With that in mind, I hired my friends and their friends to do the work … and then things started going south. My clients weren’t happy with the oversight I was providing, and I started to lose people. I realized that while I’m good at managing employees, I didn't know how to manage projects well. I needed more help.

I started reading books, periodicals and Web sites, and I began talking to my peers. I soon learned that I was in over my head. I needed someone to take my clients off my hands, and it had to be someone I trusted.

Three months later, an opportunity presented itself. I offered my mother the job as TCG’s first project manager. It was an hourly position, without any significant benefits or a share of the profits. In exchange she'd get to deal with my most annoying clients. How could she resist?

Turns out that, along with the hiring of my college roommate (and his mother), hiring my mother was one of the best moves I've made as an entrepreneur. My mom provided a voice of experience and reason. When potential clients reacted to my youth and refused to give us credence, I'd have her be my front (wo)man. When business was bad, I’d lay her off— three times since I hired her. This seems to be comforting for my other employees, as it’s clear I’m not playing favorites.

I've also employed my then-future wife (before we were dating, thanks), my college roommate's brother, two other college roommates, my father and my sister-in-law. My mother-in-law keeps hinting she'd like to work for me, too. Maybe I pay too well? Anyway, it’s not just my family I employ. We’ve hired employee’s siblings and cousins, as well as husbands and wives, and fathers and sons.

So what does all of this have to do with being lazy? The majority of the problems I’ve had with new employees derived from a misunderstanding of what they need or what they want. By hiring people I already know or who have a tie to someone else in the company, I decrease the amount of time I spend trying to understand them.

What’s more, employees’ relatives keep them invested in the company. As long as I treat everyone fairly, nobody gets upset. I have found that when people who love each other are working on something together, they form an emotional attachment to the job. With all these people emotionally invested in TCG, how could we fail? Last year was our best ever, this one will be better still—all because of the wonderful people I employ just to let me get more sleep.

Early in my term as President of EO San Antonio, Sponsorship Chair Chris Hotchkiss challenged the board to determine how EO could become more relevant in our community. The board agreed that EO was tremendously valuable to our personal and business lives, but the general public had no idea what EO was all about. So, we agreed to pursue Chris’s suggestion to use our skills as entrepreneurs to raise money for a local non-profit organization.

This decision started a chain of events that culminated in one of the biggest successes our chapter has experienced during my term as President.
 
Our first challenge was to find a non-profit agency that needed our assistance, but also had an effective organization that positively impacted the community. We created a sub-committee to vet several non-profits. The final recommendation was to support The Boys & Girls Clubs of San Antonio by being the presenting sponsor of their annual Golden Gloves Tournament. This regional tournament featured some of the top amateur boxers in Texas, USA. Our initial goal was to raise a minimum of US$15,000, but we had an internal goal of US$30,000.
 
Our second step was to recruit an honorary chair for the event to help raise funds from outside the EO network. Through various EO connections, we found Roy Terracina, a successful local entrepreneur and former amateur boxing champion. We then met with each of our chapter’s Forums to explain the concept and ask for their help in supporting the event. We had several EO members donate services and goods. What’s more, all of the invitations, event materials and local TV coverage were branded with EO San Antonio as the presenting sponsor.
 
At the actual event, all EO San Antonio members and guests had access to a VIP tent with a full bar, dinner and music. Several ringside tables were also reserved for EO members. Our Learning Chair presented the trophies to the tournament champions. Following the event was an after-hours party at an exclusive club nearby.
 
In the end, EO San Antonio helped net over US$50,000 in cash and in-kind services for the Boys & Girls Clubs of San Antonio, far exceeding our initial goal. In addition to raising a lot of money for a deserving non-profit organization, the EO membership gave the event a 9.56 rating (out of 10). Also, we believe we’ve successfully raised the level of awareness about EO in our community. The ultimate sign of success is that many of our members have already asked if we’re going to do the same thing next year.

Congratulations to all of those chapters who achieved Rock Star status in FY2008/2009! As you know, the Rock Star program was developed to provide chapters with an all-or-nothing approach to diagnosing potential areas of concern, and to identify how and where to focus their energy. Since its inception in 2007, dozens of chapters have hit the pinnacle of chapter performance, and they have the Rock Star awards to prove it.

What does it mean to be a Rock Star chapter? Being a Rock Star means you're among the best of the best. It represents success, because you're among the highest-ranking chapters in the world; recognition for creating outstanding member value; and high performance, since you've worked hard to reach the recommended standards set by the Chapter Development Committee.

How can your chapter achieve Rock Star status in FY2009/2010? The steps are as follows:

1. Have a chapter board member run your chapter's status report on EOnetwork, and/or ask your Chapter Manager to see your chapter checklist*
2. Note where your chapter has red flags or absent check marks on your checklist
3. Create a plan that removes red flags and puts additional checks on your checklist
4. Implement the plan
5. Review your checklist progress at every monthly board meeting

Now that FY2008/2009 is coming to a close, you can set your incoming board up for Rock Star success by planning for the newly added checkmarks below. As with all the checkmarks, accomplishing these initiatives will ensure you’re staying healthy as a chapter and are strengthening your region. Find out if your chapter has Rock Star potential by clicking here.

New Rock Star Checks: 

*Please send your media hits to Meghann Klein, Communications Manager.

Please contact Penny McAlpin, Vice President of Global Membership, with any questions.

There are times in life when you have to stand up for what you believe in. I’ve had many of those tough moments— defending my best friend on the playground in elementary school, sticking up for my son on the baseball field and even sticking up for myself in the board room.

What about standing up for a golf tournament? 

In this fragile economy—and in my up-and-coming community—my five-minute endorsement in front of my general partners for a golf fundraiser fell like a rock to the floor. They thought I was kidding, but their reaction is a telling testimony of the uncertain value of networking in today’s business world. In fragile economies, networking can be relegated to an ancillary marketing activity, and I’ve found that it’s often the first line item to get cut. 

As an entrepreneur, I see it differently. In my opinion, networking is bringing a bunch of good minds together to cross a synapse and build something new. "New" could refer to the discovery of a mutual colleague, or it could be the endorsement of a cool idea that inspires a career change. At any level, every level, new is good. 

That's what I was thinking about when I put my company’s annual Entrepreneurial Drive golf tournament on the table during the board meeting. I wanted to bring everyone together to inspire something new. 

This golf tournament isn’t simply a fun activity; it’s a gathering of investors to source new ideas, entrepreneurs to showcase their companies, business leaders to network and client source and academics to connect to the business worlds they help fuel. It's also a gathering to raise money for regional organizations and universities that support entrepreneurship.

It's a lot of work, and we have to pay consultants and invest our own time in the event, but every year it pays off. I hear people tell me how inspired they were to see the talent our region is producing, how great it was to reconnect and how wonderful it was to give back to a great cause. Some people have even told me that they found their COO at the event!

In today’s mercurial economy, networking can mean the difference between success and failure. By adopting new approaches to networking and coupling those with a great cause, more and more people will find it’s easier to initiate contacts for personal and professional growth. As a business owner, I’m always thinking of new ways to learn and grow. Standing up for what I believe in—in this case, giving back to my community—helps me do just that.

The following announcements about upcoming regional and multi-chapter events are open to all EO members. Go beyond local and tap into the resources available to you outside your home chapter!