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Yet Another State Hikes its Minimum Wage
How to become (or not become) a CEO
The Death Star, as apt metaphor for your network
Diary of a Startup - After the Deal
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Archives › May 2005
May 31, 2005
Today's news
Yet Another State Hikes its Minimum Wage
Posted by Mike Hofman at 4:43 PM
Tomorrow, Wisconsin will become the latest state to raise the minimum wage above the federal level of $5.15. Workers in the Badger State will be able to count on at least $5.70 in base pay starting Wednesday, July 1. Next year, the state minimum wage will jump another 90 cents.
Currently, the highest minimum wage is maintained by Washington State ($7.35/hour) although Connecticut is poised to move ahead starting next year ($7.40/hour). State lawmakers say they need to raise the minimum wage locally because the federal government has kept the national standard the same for eight years, despite an increase in the cost of living over that period. Critics of higher state minimum wages complain that the laws confer economic advantage on businesses in some communities over nearby rivals depending solely on what side of a state boundary the businesses are on. Among New England's six states for example, only one state sets its minimum equal to the feds, and only two states maintain the same elevated minimum wage.
What do you think? Are you in one of the 17 states that has a higher minimum wage? Do you think that puts you at a disadvantage over other businesses? And how many companies even have workers earning the minimum wage? As the so-called talent wars heat up again, CEOs may find (as was the case in the 90s) that the minimum wage they need to pay to get workers is a lot higher than the sum the legislature's have helpfully provided.
May 25, 2005
How to become (or not become) a CEO
Posted by Max Chafkin at 1:11 PM
The past weekend's graduation speeches provided inspiration for ambitious young MBA grads and slackers -- er, dreamers -- alike. William Johnson, CEO of Heinz, delivered the commencement address to the University of Texas McCombs School of Business on Friday, and Michael Lewis, author of Moneyball and Liar's Poker, did the honors Saturday at Tulane's ceremony.
Johnson's speech, "A Journey from MBA to CEO," which included an inspiring anecdote from the movie Hoosiers, was pretty lively for a Fortune 200 executive. The message was that leadership success is something comes from seriousness and concentration. He talked about the "qualitative, intangible skills" that leaders acquire from failures, citing New York Yankees' manager Joe Torre, who was repeatedly fired before ever winning a World Series. Johnson cautioned against looking too far ahead and emphasized personal sacrifice. "You must have the passion, energy and stamina to stay the course -- even in the face of adversity," he said.
If Johnson told grads to keep their heads down in order to succeed, Lewis wanted them to keep their heads in the clouds. He talked about his decision to give up a big salary on Wall Street to become a writer. Parents hoping for a comfortable retirement were probably squirming when Lewis advised them to "Do as little as possible / And that unwillingly / For it is better to receive a slight reprimand / Than to perform an arduous task."
But that was the point. Lewis wasn't advocating sloth, but was reminding the grads not to follow the crowd or the easy buck -- a surprisingly entrepreneurial message. "Do what you love," he said in closing. "Before you figure out how much love will cost you."
May 23, 2005
National Association of Hacks
Posted by Fran Dao at 12:40 PM
Have you ever been to a professional or trade association meeting and thought, "Who the heck are these people?" I recently attended several sessions of a professional organization where -- despite a mission statement that claims dedication to advancing the art and value of the profession -- the meetings consisted mostly of advice on how to spam people for business, and how to turn platitudes and common sense into overpriced saleable products.
Instead of advancing the art and value of the profession, it seemed to be degrading it by promoting hacks and hucksters. If this group really wanted to advance the value of the profession, it should have started each meeting by announcing that anyone who is not highly skilled, in possession of leading edge knowledge, or capable of adding tangible value to clients should promptly exit the building. This might have ensured that the association maintained a degree of integrity and professionalism. Unfortunately, it would have also ensured there wouldn't be more than five people left in the room.
While some may accuse me of being an elitist, I maintain that if an association is supposed to represent quality then a certain amount of elitism is necessary. Nobody accuses the AICPA or American Bar Association of being elitist for requiring members to pass a rigorous test. Unfortunately, high standards seem to be the exception as the membership standards for most trade associations are no more stringent than the ability to pay the annual dues.
The next time you see a resume trumpeting an applicant's membership in some random professional association, ask yourself, "What did this person have to do to become a member?" If the standards for membership are non-existent or set to the lowest common denominator, then the group might be nothing more than a national association of hacks.
Fran Dao is a columnist for Inc.com. He writes on sales and leadership issues. To read his latest column on streamlining sales and fulfillment, click here.
May 21, 2005
The Death Star, as apt metaphor for your network
Posted by Max Chafkin at 8:29 AM
While viruses and spam are normally the most dreaded calamities to befall a company's network, starting yesterday an unlikely threat emerged: George Lucas.
In anticipation of the opneing of "Episode III – Revenge of the Sith," thousands of people logged onto peer-to-peer (P2P) networks like BitTorrent to download an illegal sneak peek. The third and final Star Wars prequel was available online mere hours after the movie opened in theaters.
Fun, right? Not for your network administrator. Office file sharing can suck bandwidth away from normal operations and slow down a company’s network. Small businesses in particular may suffer, especially those that rely on asynchronous DSL, which can be crippled by the kind of heavy uploading required by P2P software.
Worse, file swapping can leave companies open to security threats and potential lawsuits, says Francis Costello, head of marketing at San Diego-based Akonix Systems, which provides messaging and network security software to large companies. "If I put BitTorrent on a machine and I share the wrong directory I could allow people access to confidential corporate data," says Costello.
Also worth remembering: the Motion Picture Association of America (MPAA) could pursue litigation against companies whose employees share movies at work. The scenario is, to be sure, unlikely--but it's not as farfetched as you may think. In 2001, the Recording Industry of America sued Arizona-based Integrated Information Systems for allowing employees to use P2P networks at work -– the suit was settled according to CNET.
While the MPAA has yet to follow the RIAA's litigious lead, it has recently stepped up its anti-piracy campaign, announcing that it is suing individuals who have downloaded only a single movie.
So what can businesses owners do? Akonix, along with several other companies, offers what Costello called "perimeter security" -- basically a sophisticated firewall that blocks users from connecting through P2P networks or downloading unauthorized files via instant messaging software.
Short of that, you may want to consider the methadone clinic approach to the problem, and spring for Sith tix for all of your employees.
May 20, 2005
Diary of a Start-up
Diary of a Startup - After the Deal
Posted by at 4:44 PM
We are still waiting for the documentation from our attorneys that would finalize a deal with our Angel Investor. That has not happened yet, but we expect that to happen tomorrow and I am not worried about it. As part of the deal, our investor has also come on almost full-time to help me run the company. He owns a sales training business, so it's complimentary to the services that we provide.
Bringing the two companies together even in an informal sense (this is not an actual merger, but I am using the secretary, bookkeeper, and accountant for his other business, so we are more or less merging documentation and files just for ease) has been a little problematic, but the nice part is that I haven't had to deal with it. My new partner has a team of advisors and administrative people who are handling everything and I just check in each day to ensure that we are progressing.
Even though I am not handling the administrative component of all of the changes I am feeling very overwhelmed by everything going on. It can be difficult to balance everything, and then still have time to run a business. Right now we are looking for new office space to combine our staffs, we are in the process of renegotiating our contract with a major client, and I am pouring our hundreds of pages of legal documentation regarding the our deal with our investor. I am excited for the day (which may be several weeks away still) when I can focus exclusively on bringing in some new clients to Acquirent.
In the next week, we hope to sign the documentation and move forward with a new strategy. Part of the new strategy will surely be to move upstream with our client base. There will be some bumps on the road here because higher-level clients expect a higher level offering and I'm not sure that our infrastructure is yet commensurate with those expectations. I'll be back next week to report on our progress.
Diary of a Startup is a weekly blog written by Pete Kadens, founder of Acquirent, an outsourced sales execution company based in Chicago. Click here to read last week's column.
Small Business News Round-Up
Posted by Priya Ganapati at 12:22 PM
Entrepreneurship has found a home among an unlikely community: Asian women. The Arizona Republic writes this week about how entrepreneurship is getting an unexpected boost as more Asian women are starting their own ventures:
"The number of Asian women going that route shot up 40.6 percent between 2002 and 2003, according to another recent study by the U.S. Small Business Administration's Office of Advocacy," the paper reports. "Self-employed people, often consultants or direct sellers, generally do not employ others. Overall, the number of self-employed women shot up 8.3 percent in the same time. Business ownership isn't a new concept for Asian families, however. Many women were exposed to businesses run by the male head of the household."
With the cost of healthcare continues to be among the biggest issues for small businesses, the National Association of Realtors has begun lobbying Congress on the subject. The group's effort will include a $1.2 million advertising campaign to urge the government to pass legislation that would give small business employees access to the same quality group health insurance plans currently available to union workers and employees of large corporations.
Meanwhile, the Baltimore Sun reports that the cost of healthcare coverage "has topped the affordability guideline" for small business workers for the first time.
In tech news for small businesses, ZDNet covers HP’s latest initiative for small businesses, reporting that the tech giant has teamed up with Symantec to offer security and data backup services to small and mid-size businesses for $20 per month per employee.
Here’s a roundup of the developments in various states. An assembly plan to insure more of Nevada's pregnant women and small-business employees is receiving no opposition as it travels through the Senate, according to the Associated Press. "The bill would tap into about 90 million dollars in federal matching funds over the next five years to expand coverage for populations whose income levels are currently above set limits," says the article.
In New Jersey, a $59,960 grant from the U.S. Department of Agriculture will fund the opening of a new business center at Sussex County Community College. The center will act as a "small business incubator" to aid local entrepreneurs reports the New Jersey Herald.
The Apprentice
The Apprentice - Finale Party
Posted by Nadine Heintz at 11:21 AM
I wasn't shocked that Kendra was hired last night. But I was surprised at how bad Tana wound up looking. I was talking to Nick (season one) at the finale party at Planet Hollywood last night, and he had an interesting idea: Since it was obvious that Kendra was going to be hired, Tana should have quit during the finale to save face, saying she wanted to get back to her family. She could have made a big splash that way. Instead, she seemed desperate, especially when she started pumping her fist and yelling about the shape of the Pontiac brochure. What the heck?
Kendra, on the other hand, seemed composed and dignified. Of course, that wasn't too hard, considering she knew she had it nailed. I felt kind of bad for Tana at the party. At one point, she was sitting with her back to the room as a big overhead TV replayed Kendra's shining moment. Tana seemed pretty rattled. I asked her what she plans to do next, and she said she's working on two new children's books and will continue selling for Mary Kay.
Last night it became clear that there was no love lost between Tana and her former castmates, with the exception of Craig. For instance, Angie, who's now doing a cabaret act and hopes to score a role in the Apprentice musical, says that she had always known about Tana's egotistical side. Up until the last couple of weeks, she says, the show only portrayed Tana as the good girl, but the truth eventually came out. Audrey, who signed with the William Morris Agency and claims to be taking acting lessons with Nicole Kidman's coach, says that Tana was phony. Audrey doesn't have any acting gigs lined up, but she says her agents are going to serve her up "on a silver platter." Huh?
Bren's wife Holly seemed relieved that he didn't become the next Apprentice. She says he wanted to leave the show when he did, but that he thought he did a great job. I noticed that Raj's bowtie was undone last night...maybe he felt goofy next to Bren? Craig's about to franchise his shoe shine business. Last night, he implied that the Donald wanted a woman to win all along. I asked him why he thought he got fired, and he said he had no idea. Hmmm...I do!
Some other sightings in the fourth floor lounge: Kelly (season two winner) yelling across the bar and throwing a wadded up napkin at Chris (season two). Sandy dirty dancing with her date. John (season three) trying to find his girlfriend. And the Donald showing up briefly (sans WTC towers) before shuffling back on the elevator. Bobbie and I also ran into Danny. He and Angie seemed like the most down-to-earth candidates this season. He's still running his marketing agency, and he told me to invite everyone on the blog to his Apprentice cast party tonight at Webster Hall (125 East 11 Street). It starts at 11:30 PM.
Downstairs, Omarosa stole the show when she grabbed the microphone and started dancing on the DJ booth. She held court all night, leading everyone in the electric slide and posing for photos. Near the Apprentice ice sculpture, a woman's sweater caught fire. And Bill lingered near the doorway, looking rather sheepish. Maybe winning the Apprentice isn't all it's cracked up to be?
Around 1 AM, partygoers started to leave. Bobbie and I waited for our cars on Broadway as the candidates took off one last time in yellow cabs. I wonder what the Donald will come up with next? Will the Martha help revive the Apprentice franchise? I guess we'll find out this fall.
May 17, 2005
Be Like Steve, Suns Owner Tells Grads
Posted by Max Chafkin at 4:27 PM
Some entrepreneurs look to Bill Gates, Steve Jobs, and Jeff Bezos when they want to be inspired. Robert Sarver suggests Phoenix Suns' point guard and 2005 NBA Most Valuable Player Steve Nash.
Sarver, who is majority owner of the Suns and CEO of Western Alliance Bancorporation, gave the keynote address at the University of Arizona's commencement on Saturday, urging aspiring ballplayers and businesspeople alike to focus on teamwork.
He credited Nash's unselfishness for his team's first place regular season finish, urging the graduating seniors to focus on helping their co-workers.
"This is also a lesson on the kind of impact one person can have on a whole organization," said Sarver. "You will never be the MVP of your company or for that matter your family unless you are committed to making those around you better."
In an informal speech that began with a self-deprecating comparison to U.S. Senator and "stud" John McCain, the university's other commencement speaker, Sarver recounted his own unlikely path to success -- from the bottom-half of his college class to the sometimes flamboyant owner who once took the place of his team's mascot and dunked a basketball during halftime.
"My mom who is here today is probably more surprised than me that I made it from there to here," Sarver said. "That's what's cool about the system you are about to enter. You don't have to be a rocket scientist to succeed."
After becoming the youngest person ever to found a bank -- the National Bank of Arizona at age 23 -- Sarver began buying up office space in downtown San Diego, founding Southwest Value Partners.
He told graduates that his own successes, including the last year's purchase of the Suns, would not have been possible without taking significant risks.
"If you don't try, you won't know," he said. "You can't be afraid to fail."
Of course, with the Western Conference semifinals tied at two games apiece, the payoff on Sarver's latest gamble remains at least somewhat uncertain.
May A Force Field Be With You
Posted by at 12:57 PM
You may want to padlock your IT staff in their computer lair Thailand-sweatshop style this Thursday, otherwise prepare to lose geeky manpower as they (and every other closeted office Jedi knight) skip out to take in final Star Wars flick, The Piece of, er Revenge of, the Sith. According to consulting firm Challenger, Gray and Christmas, lost productivity because of the film's opening will cost companies $627 million this Friday.
I don't know how that would make me feel if I were a manager. Wait, yes I do. In the words of a Wookie:
"YYYEEEEOORRRRRRRRRROOONNNRRRGGGHNNOORRRRRRR"
Short of brandishing a light saber at the exits, any ideas on how to combat these defectors to the dark side? Or, will anyone cop to taking a "sick day" on the 19th? Maybe you're turning a bit green already?
"Work ditching for matinee I am, yes, popcorn eating I will be, young Obi-Wan."
If so, here's a hint, dorks. Avoid sporting any of these outfits on this particular casual Friday before ducking out to ogle Padme Amidala after lunch.
Today's news
Taking an Entrepreneurial Look at BRAC
Posted by at 10:51 AM
With Secretary Rumsfeld stating his case to the Base Realignment and Closure (BRAC) panel for the closure or consolidation of 33 domestic military installations, it's important to dissect what they're proposing and look at it like -- well, an entrepreneur would.
Having served active-duty, I'm painfully familiar with the outrageous inefficiency of our military, and I applaud this effort to move toward a more well-oiled infrastructure for those who protect and fight for us. Waste is a curse word in the small-business community and consolidation is the only remedy.
However, there is no doubt that moving bases and people around will have a huge effect on local economies -- being that these behemoth relics contribute to the local economies based on their sheer size. But in the long run, these wounded economies will recover, and actually better themselves -- more on this later.
Secretary Rumsfeld said to the nine-member panel: "The current arrangement, designed for the Cold War, must give way to new demands of the war against extremism and other evolving challenges in the world." This hits particularly hard. The Cold War is over, and was 20 years ago. So why do we still have our country equipped to compete with that type of enemy, or competition if you will? Evolution of your competition often means evolution of your ways of staying ahead of them -- this is simple stuff. Competition is often the catalyst, and companion, of innovation -- another favorite word of entrepreneurs.
The initial reports surfaced by the DOD estimate that there are 25% too many military facilities open -- at a cost of billions of dollars a year to taxpayers. And that cost is not for paying the troops and civilians who staff these bases. A lion's share of that wasted money goes to heating/cooling, fixing the roads and mowing the grass of these vast bureaucratic wastelands.
Continue reading "Taking an Entrepreneurial Look at BRAC"
May 13, 2005
Diary of a Start-up
Diary of a Startup - On Angel's Wings
Posted by at 2:13 PM
This is the culmination of another insane week. At the end of last week, we had sent a counter offer to our angel investor based on his initial offer. We heard back from his attorney who told us they had accepted almost all of our terms in our counter offer and they were ready to move forward quuckly. So, we cleaned up a few details and our angel investor and I signed a final term sheet.
Obviously, I have been thrilled with this development, but the money still isn't actually in the bank account, so I am going postpone the celebration until that time. The best thing about this angel was that he was not only willing to put in capital, but he also committed to work with our company full-time and help me run the company. There has always been a lack of management talent at our company (frankly we could not afford high level managers so we hired people based on potential), so this is a huge boost to our overall infrastructure.
We spent the rest of the week trying to merge our accounting systems, introduce our new investor to our existing clients, and build out strategic game plans with the "new" company. Our lawyers are working on the final documents and we are supposed to have them in our hands by Monday. Our angel is prepared to transfer the money early nexy week. For the time being, we will continue to press ahead with the plans to grow this business and wait until the official money transfer to begin our "execution" stage.
By next week we should have our money and a more definitive strategic direction.
Diary of a Startup is a weekly blog written by Pete Kadens, founder of Acquirent, an outsourced sales execution company based in Chicago. Click here to read last week's column.
The Apprentice
The Apprentice - Week 15
Posted by Nadine Heintz at 12:28 PM
Tana used to be my favorite. I don't know what I was thinking! Her biggest problem is her ego. I can't believe she let Governor Pataki wait for her out in the hall. Doesn't she knows that Pataki's kind of busy? She treated her team with even less respect. She was so condescending and nasty. Sure, she didn't have the best team ever, but they seemed to be trying their best. The one big mistake--and it was huge--was Kristen's program, which was filled with information on how to "handle" the athletes. She's either a complete idiot or she was trying to sabotage Tana.
I wouldn't really blame Kristen if she was trying to ruin Tana's chances. Tana inspired zero loyalty. I was pretty shocked when she made a fist and told one of the event staffers that she wanted to punch someone. Then she went around telling people she was the next apprentice. She was out of control!
Kendra, on the other hand, did a great job. She wasn't perfect--that initial meeting with the sponsors was a potential disaster, and she did snipe at Brian a couple of times. But, as some people predicted last week, she figured out a way to make Sony happy, and the whole event was great. For the most part, she was a great leader. This is the first time she's shown that she can rally a group around her. It was really inspiring. I admit that I got a little misty-eyed during the group hug at the end!
The Tana v. Kendra match-up emphasized the importance of being a firm, yet benevolent leader. Last night's episode reminded me of a nature show I watched on PBS last week. The show was about a group of gorillas that chose a different leader every couple of weeks. At first, they had a nice leader who treated them well, but then a nasty dictator came along. After two weeks, the gorillas got rid of him and elected the nice guy again. Last night, Tana was the mean gorilla, and it's going to cost her the apprenticeship. The look on her face when her team walked into the boardroom at the end said it all. I guess we'll find out next week!
May 12, 2005
Small Business News Round-Up
Posted by Priya Ganapati at 5:19 PM
In the news this week:
What do small business owners think are a threat to their success? According to Interland Spring 2005 Business Barometer, it's rising inflation, trade deficit and energy shortages, as Business Week reports this week. The magazine says that "Middle East and terrorism" rank at the bottom of the list of concerns for small businesses.
Over 250 small business owners attended a forum sponsored by the New Jersey chapter of the National Federation of Indpendant Businesses this week. They were met by seven Republican candidates running for governor. The small business owners quizzed the candidates on the state of taxes, health insurance, and government regulation. Though for the most part a tempered affair, the New Jersey Star-Ledger reported that, "some candidates couldn't resist swiping at the tax relief plan of front-runner Doug Forrester, the millionaire owner of a prescription benefits management business whose proposal would have the state pick up 30 percent of homeowners' property taxes in three years."
The administration seems to be trying to reassure small business owners about its plans. Hector V. Barreto, the head of the Small Business Administration, wrote a column that appeared in the Pasadena Star News arguing that Social Security reform would benefit small business, saying a lack of reform would lead to massive government borrowing, severe benefit cuts or drastically higher taxes.
Meanwhile, most states are reported to be working hard to make regulations friendly to small business. In Kansas, governor Kathleen Sebelius signed legislation to create the Kansas Health Authority that gives the governor the power to appoint a committee to explore opportunities and encourage employer participation in health plans developed by the committee for low- and modest-wage workers employed by small employers. Low-wage and modest-wage employees of small employers who have not had any insurance in the past are likely to benefit the most.
A story in the Wall Street Journal this week suggests small business owners forget their troubles and move on: "Sometimes the hardest part about being in business for yourself can be to admit when you are beat, that you are throwing good money after bad, that it is time to call it quits. Maybe there's a time to admit: It wasn't such a great idea, after all. Or if it was a good idea, it isn't a good idea now."
May 10, 2005
Glengarry Glen Ross Gets Six Tony Noms
Posted by at 4:32 PM
I know, I know. You woke up this morning wondering how you would be able to concentrate on work knowing that today is the day the Tony Award nominations are announced. All right, so maybe the Tonys weren't the first thing on your mind, but we here at Inc. are happy to see that Glengarry Glen Ross took home six nominations including "Best Revival of a Play." In the May issue, we heard from entrepreneurs who love Glengarry as well as interviews with the stars of the current Broadway hit, including Alan Alda, Liev Schreiber and Gordon Clapp, who will be competing in the "Best Performance by a Featured Actor" category. Noteworthy because there is a lead actor category, but this production is ensemble work at its finest and a total team effort between actors, director, set designers and David Mamet. I saw it a couple of weeks ago and can't recommend Glengarry Glen Ross enough, one of the most dynamic and lively plays I've seen. Thrilling.
If you weren't planning a trip to New York City in the next few months, might be time to rethink the summer vacation. As Alda says, "twenty years later Glengarry Glen Ross isn't dated, it's more to the point than ever." Oh, and God willing, good Yankees tickets should be readily available.
– Patrick J. Sauer
May 9, 2005
Diary of a Start-up
Diary of a Startup: The First Serious Offer
Posted by at 10:48 AM
The past week has been a roller coaster, to say the least. At the end of last week, we were expecting a response from an angel investor who was very serious about his interest in Acquirent, and we were still busy negotiating a deal to complete a buyout of my former partner's stock. The good news is that both of these big hurdles materialized, but not as well as we had planned.
I spent Monday and Tuesday with our potential angel investor and his team of advisors. We went through the numbers again and built out a projection for the 2005 financials based upon the numbers we mutually agreed upon. By Wednesday morning I had secured a deal with my former partner, and although we are paying him more than I want to pay him (isn't this always the case), I was comfortable with it because frankly it was over, and sometimes just officially ending the partnership and any ties related to the business is worth it even if you have to put up a little more money.
Wednesday afternoon, I received a call from our serious angel investor saying that he and his team had an offer prepared and he would like to meet with me to present it. As such, I went to his office with cautious optimism to assess the offer. The offer was considerable, but a little light on the capital side and perhaps a little too much in terms of the equity he desired in return.
On Thursday, my lawyer and I worked on a counter offer and sent it out that day. The counter offer is out there now, of course, but I guess I worry about the risk of losing the deal and think that I should just take the offer. But then I think, the worst he can say to our counter offer is "no," and then we can simply accept the original offer, which was certainly an acceptable arrangement.
For now, we wait to hear from him.
Diary of a Startup is a weekly blog written by Pete Kadens, founder of Acquirent, an outsourced sales execution company based in Chicago. Click here to read last week's column.
May 6, 2005
Starting a Business
Working On Your Business Versus In It
Posted by Jay Ebben at 12:25 PM
In past columns, I've stressed the importance of vision and developing a road map for your business, whether written on paper or not. Part of this includes understanding your role in the business and how this will change over time. When starting out, you will be wearing many (if not all) hats in terms of setting up supplier relationships, taking and fulfilling customer orders, answering phone calls, dealing with customer complaints, and much more. How much you continue to be directly involved in many of these tasks depends heavily on your vision of what you want your business to be and how much this requires you to work on the business rather than in it.
A useful way to look at the evolution of your role in your business is through a framework developed by Drs. Alan Filley and Ray Aldag of the University of Wisconsin in the late 70s. They observed that small firms generally fall into one of three organization types: Craft, Promotion, and Administration. In my experience, this framework is very applicable and has helped many entrepreneurs that I have worked with to better understand the relationship between themselves and the direction of their organizations.
Craft Firms. Firms that fall into this category are many times started by an entrepreneur that is particularly skilled at a certain craft, such as a pastry shop started by a talented baker or an auto repair shop started by an expert mechanic. Though not professional managers, these entrepreneurs see an opportunity to put their skills to use in business, and the business depends on that individual continuing to be personally involved in creating a product or providing a service to customers. These firms are characterized by little change or growth, many times because the owner is content with the business as is, but also because the owner is busy working in the business rather than on it. This is a fine type of business, and many owners of craft firms make nice livings doing something they love to do. However, in developing a vision for your organization, it is important to understand that these are not organizations that run themselves and that they will be difficult to grow until the owner removes himself or herself from day-to-day operations.
Continue reading "Working On Your Business Versus In It"
The Apprentice
The Apprentice - Week 15
Posted by Nadine Heintz at 10:50 AM
I really wasn't sure how the interviews would pan out last night. But I'm pretty pleased with the results. I was worried about Kendra when I saw the way she was dressed. I'm all for stylish interview attire, but Kendra's short skirt and glittery eye shadow made her look cheap. Tana and Craig looked fine, but boy did Craig blow it! What a fool. The interviewers were right on when they said that Craig talked a lot, but didn't really say anything meaningful. I thought it was weird when that one guy said that he kept wanting to hire Craig. Why? Because he was the only man? That was bizarre.
I agreed with some of the assessments made by the interviewers. Kendra is a bit immature, but she's malleable, which could be a good thing for Trump. Craig is too flighty, and can't seem to settle down (not to mention that he's full of it). But I still don't get why people don't think Tana can't hack it in a big city. That seems pretty biased. Not everyone mogul is born in New York, LA, or Chicago. In fact, Kendra seems a little too hardened for my liking. Her personality can be pretty caustic, which could turn people off during negotiations. I guess she could tone that down, though.
I'm glad the ax fell early in the episode. Craig had to go! And I was pretty amused when the former candidates walked into the boardroom. What a motley crew! I wonder if they realized they were chosen because they're the most difficult people to handle. I guess they had no choice but to go along with it. The challenge itself is boring...it's the same type of thing every season finale. Let's come up with a new idea, Donald!
Still, last night's episode was pretty entertaining. Danny really spazzed out during the presentation to the clients. Why didn't someone just grab Kendra right away? That was a big mistake. Erin should have stepped in to stop that train wreck. I really have no idea how Danny makes it in the real world. Maybe he chokes when he's on camera. Luckily, Kendra stepped in and saved the day. Although she really blew it with Sony. I couldn't figure out who promised Electronic Arts exclusivity in the ballroom, but that was a really bad idea. I have a feeling Kendra had no control over that...she was just handed the contract after it was already negotiated. It should be interesting to see how she handles that. I don't blame the Sony sponsor for being livid.
Tana didn't seem to know what the heck she was doing. When she met with the people from NYC 2012, she didn't have any firm ideas. She just kept saying that the event should be "olympic." Maybe it was just the editing, but Kendra seems to have a much better grasp on her event.
I'm happy with the final two this season. I really think Kendra and Tana are the best of this bunch, flaws and all. And the finale should be much better this season. I heard that it's only going to be one hour...I guess the Donald learns from his mistakes, too!
May 3, 2005
Google Co-Founder Gives Graduation Speech
Posted by Max Chafkin at 5:35 PM
Larry Page, co-founder of uber-search engine Google, gave the keynote address at the University of Michigan's College of Engineering Saturday, encouraging the new graduates to take risks -- including entrepreneurial risks. Page recalled being a graduate student at Stanford, when he and several friends "downloaded the whole web, and…weren't quite sure what we were going to do with it." When the leading search engines refused to license his technology, Page did what any ambitious PhD candidate would have done: quit the program "to go off and start a crazy company."
He told parents they should give their kids the freedom and support to do the same.
Page made a big point of emphasizing the way taking a risk can change the world and cited Muhammad Yunus, an entrepreneur who built a successful business in Bangladesh by helping poor entrepreneurs with microloans. He of course also mentioned Google's initial mission to "organize the world's information." Page told the audience that in his view, it is easier to succeed when you dream big.
To round it out, Page mused on the merits of business schools (or lack thereof), innovation in the workplace, Bono, and the future of space travel.
The transcript isn't posted yet, but one enterprising graduate recorded it on his cell phone and posted it on his blog.
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