Archive for April, 2008

Don’t compete, change the game…Vuja De, Deja Vu…Part 2

Turns out flying the friendly skies is not such a friendly notion for business investors. Most of the current airlines have lost money. Jet fuel prices increase while consumer confidence decreases. American Airlines is canceling flights while Continental and Delta are constantly running behind schedule.

The outlook for the next year is not looking so favorable, according to this article in the International Herald Tribune:

Recent fare increases and the weakening U.S. economy could hit the bottom lines of airlines in the United States as more companies are requiring their executives to fly economy instead of business class.

Southwest AirlinesOne company, however, founded 37 years ago has posted the most consistent profits every year of any airline- Southwest Airlines. The company also has the lowest number of complaints per passenger since the government started tracking it in 1987.

Why? They changed the game that was being played. They did not want to be an airline…they wanted to give people freedom.

(I know that, if you are like me, then you are tired of the Southwest Airlines example…every consultant who challenges people to “think outside the box” uses them, but bear with me…please)

Freedom. Southwest has sought to “democratize the skies.” They do not offer first class, no “hub and spoke” system of flights, and they still have their “cattle call” instead of the assigned seats. This makes the turnaround time incredibly low. They only use one kind of airplane.

They don’t follow the rules of what is expected. Instead, they stay true to a mantra that was pointed out well by Chip and Dan Heath in Made to Stick, “Southwest is the low-cost airline.” Everything else is the dubious luxury of other airlines. This low-cost makes air travel accessible for anybody and grants the freedom of air travel.

Culture. Employees are turned into raving fans for their “freedom” way of life. They are zany and a little odd at times. CEO Herb Kelleher attracts people to the airline industry that are not looking to leave their current employment. He posed for ads dressed as Elvis and asked for outgoing people who would not mind working in a place where Elvis has been spotted. As Kelleher was quoted:

You put your employees first and if you take care of them, then they will take good care of you. Then your customers will come back, and your shareholders will like that, so it’s really a unity.

Continued Entrepreneurialism. Southwest has announced a new program to attract business customers – Business Select. It offers full refunds on tickets, flexibility to change flights, more reward credits and a free in-flight cocktail for a modestly higher fare. They are not afraid to adopt new ideas into their company.

Southwest is thriving and growing in an industry that has been on the ropes for a while. The headlines about the airline industry are an exercise in “free-fall” puns. So, not only did their originality allow them to survive, but it has changed the way people think about flight.

They refuse to fit the mold of behavoir perscribed for mediocrity. Instead, they have chosen to be one of the best, most profitable, enjoyable companies in their industry…they changed the industry.

ASK YOURSELF…

One way to fundamentally analyze where you or your organization stands in your world is to ask yourself: If we didn’t exist, what would the world look like? “World” can be as small as “pet shops in San Fransisco” or “churches in Boise,” but, however you define your world, ask yourself what you offer that no one else can or will.

If you cannot answer that question with anything concrete or immediate, perhaps you should find the way that you can be disruptive to your industry.

HOMEWORK…

I suggest reading Mavericks at Work by Bill Taylor. It has lessons for anyone seeking to rise above mediocrity. Why be just another business blogger when you

Another person to check out is my friend Scott Ginsberg. He is not just another business blogger. He is a writer that has cornered the concept of approachability.

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Jeremy Nulik, Creative Energy Officer (CEO), St. Louis Small Business Monthly

Vuja De…or…seeing the same stuff in new ways Part 1

Do you ever get that strange feeling of vuja de? Not déjà vu; vuja de. It’s the distinct sense that, somehow, something that just happened has never happened before. Nothing seems familiar. And then suddenly the feeling is gone. Vuja de.
- George Carlin, Napalm & Silly Putty (2001)

Fast food restaurants have certain ways that they are supposed to behave.

  • You are supposed to get your food in 4 minutes or less.
  • You never should have to stand in line.
  • Food is prepared somewhere out of view (generally).
  • There need to be a lot of microwavable items.
  • Almost everything is either automatic or self-serve.

One fast food company, however, is not following these rules at all and has changed the way that people define a fast food restaurant. Patrons stand in long lines and watch high-quality food that is being prepared and assembled before their eyes.

This restaurant is Chipotle – the socially aware, hip, gourmet, bicycle-team-sponsoring Mexican restaurant that is red hot with growth. Here are 3 ways that Chipotle suffers from vuja de or they are seeing the same thing in ways that have never been seen.

1. They are authentic to who they are. They are really animal-loving people who happen to own a restaurant that serves burritos. Despite your personal opinion on hormones and antibiotics for animals, the chefs and owners at Chipotle stay true to their core principles and beliefs on what type of meat, pork and poultry they serve (a large portion of it is free of antibiotics and hormones).

They did not decide to try to be hip or “relevant.” They just are being themselves. Founder and CEO, Steve Ells is an animal nut (there is an area on the website where you can upload your animal photos). His passion for this ethical stance comes at a cost, though – one that is passed on to customers (burritos are 6 or 7 bucks now).

2. They offer a community around more than the business. Have you visited their website? You need to. They have created a “movement” and not a company. Chipotle has a page for fans to submit their photos, insights into their architecture and artwork, and a series of music devoted to their menu and approach to food. It is a shrine not just to the company, but to the people who love the company and everything they stand for.

3. They serve excellence. The product, itself is high quality. This breaks most fast-food doctrine, also. Their menu is simple. Only 4 choices. No deserts or other up-size, super-size-type stuff. They concentrate on doing a few things extremely well. It is made gourmet and you can wait sometimes 15 minutes for food, but it is among the best gourmet for the price.

By being themselves, Chipotle has changed the fast-food experience and is changing their competition (Burger King and Wendy’s are now looking at hormone-free pork).

This does not appear to be their aim, rather a natural occurrence of being authentic and willing to see the same thing (fast-food burritos) in an entirely new way (a chance to make a statement of beliefs and create a community). Vuja De.

They don’t try to compete with the competition…they create a new game to play.

Do your customers know you? Do you stand for something beyond your business goals? How can your business reinforce your beliefs and allow your light to shine? Do you have the guts to create a new playing field?

Please comment and let me know how you will work out this process.

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Jeremy Nulik, Creative Energy Officer (CEO), St. Louis Small Business Monthly

Can you have humility and ambition?

I attended a seminar in which the audience was bored out of their minds. It was not the speaker’s content or even his presentation that was boring.

It was the presenter, himself. The presentation was all about how great he was. His need to stroke his ego for all to see was uncomfortable.

I am certain that his intent was good, and he felt the message that he had was important. I could identify with the guy pretty easily, since I think we suffer from the same disorder of self-importance.

It got me thinking about a term that I had heard from William Taylor, co-founder of Fast Company - “humbition. ” Here is his definition from an article Taylor wrote in BusinessWeek:

“What’s humbition? It’s a term I first heard from Jane Harper, a nearly 30-year veteran of IBM. It is, she explains, the subtle blend of humility and ambition that drives the most successful leaders—an antidote to the know-it-all hubris that affects so many business stars. “The more I know,” she says sensibly, “the more I know there is to know.”

In my experience, humility is not something that can be worked for or forced to increase. It seems like a natural consequence of being an arrogant jerk. After I belittle others enough, I realize that playing the big shot is not having ambition, and, believe me, I am not the first person who notices.

What are ways that we can hope to inspire a humble, yet ambitious spirit in ourselves and others?

Another, more difficult question is (especially for people like me): what are you so insecure about that you need to play the big shot?

I wish I had good answers for you, but that would make me a know-it-all now, wouldn’t it?

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Jeremy Nulik, Creative Energy Officer (CEO), St. Louis Small Business Monthly

Live for Fun and Personal Bests – Leadership from Al Carius

It’s 6 a.m. It’s February. It’s Chicago. Two words: cold and gray.

Out of the distant haze, a pack of young runners emerge. An old man waits on the corner, his face is a direct contrast to the conditions. It glows in the gloom.

“Mornin’ boys,” he yells. “Mornin’ Al,” the 30 runners reply in unison.

The runners and the old man continue on their 5 mile route through Naperville, Ill. singing at certain intervals, playing trivia and exchanging philosophies on everything from race day strategy to which dorm room has the best looking women.

This is North Central College Cross Country and Track, which has been synonymous with incredible success: 16 NCAA Div. III National Championships and 420 All-Americans.

Much of this tradition, according to other coaches, alumni and athletes, can be attributed to one man, Allen Carius, who has served as head coach for 42 years.

During his tenure, Carius has been named NCAA Division III Cross Country Coach of the Year five times and Coach of the Century by Sports Illustrated. He has been inducted into the NCAA Division III Coach’s Hall of Fame and the Drake Relay’s Coach’s Hall of Fame.

Even with all these accolades, his real rewards lie in his everyday coaching experiences. The heartaches, accomplishments, pains and successes will hit your senses at once with one trip into his miniature office. The memories are alive, and they continue to inform the new generations of hungry runners that wander in each year.

“Everything boils down to people. I get phone calls constantly from alumni that say what a positive impact this program has been in their lives. That gives me the greatest satisfaction,” says Carius.

Here is an extremely condensed version of some of the life lessons that Carius teaches as part of his program:

No one more important than the other. “We all have different gifts and abilities,” says Carius. “Your value in this program is not based on your performance, but the energy and attitude that you contribute is of most importance. There is no one on the team that is more important than any other.”

Carius’ philosophy of equality extends to those that are injured, parts of the athletic training staff and family members.

(How important does each individual on your team feel?)

Instant evaluation, feedback and encouragement. “If every person can maximize his positive attitude, then he will have a synergistic effect on the rest of the team,” says Carius. “When you see someone doing the best they can, then you can’t help but be inspired.”

After every workout, the runners receive instant feedback on their times with comments of encouragement and observations for improvement. These could range from “keep building on your strength” to “try to back down on the number of intervals.” This immediate reinforcement allows for each athlete to understand where he is at every day.

(How often and in what format are you evaluating your team?)

Play. There is a lot of fun to be had on Carius’ team. His playful nature keeps everyone positive, and his mantra, “Run for Fun and Personal Bests” is an everyday living reality.

“What we are doing is not life or death. There are more important things in life than running. We don’t care about performance. We care about attitude,” says Carius. “However, the fun is in getting better and what you are becoming. There are times that practice is miserable on the outside, but the fun in our program is in the satisfaction of improving.”

(How much fun are you and your team having?)

Creating success for others. “Every Monday, after the meet that weekend, we have the team nominate Athletes of the Week,” says Carius. “It is powerful to see athletes holding up other athletes, and it reinforces the characteristics that we value.”

Through inspiring others and exalting attitudes that will lead to success, he is creating a bunch of mini-Als on the each team. Many of his former runners go on to become successful coaches themselves.

“This is not my team,” says Carius. “Leadership within the team is extremely important. If all of the motivation is coming from me, then we are in trouble.”

(Have you facilitated anyone’s growth lately?)

“All right, boys,” says the old man, turning away from the pack of runners toward the fieldhouse. “Have a G-R-E-A-T…”

“GREAT” the boys answer.

“Have a great day, boys.”

“You too, Al.”

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Jeremy Nulik, Creative Energy Officer (CEO), St. Louis Small Business Monthly


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