HUNGER AT HOME

  

HELPING HANDS FOR U. S. CHILDREN

It's not just third world countries.  It's worse.  Right here in the United States over 17 million children go to bed hungry every night.

We've put a nice name on it "food insecurity".  It is a politically correct way to say "hunger".  One in four children lives without access to enough nutritious food to live a healthful life.  In the richest country in the world, we should be ashamed! 

It does take a village.  Take a minute and give so our kids may live a life that provides them a most basic right – food.  On their behalf I say “Thank you”.

Just click on "solution"

Be a part of the solution

A Moment of Silence for 1972 Olympic Game Victims

I have been very fortunate in my life to have attended several of the Olympic Games.  May 1972 my husband was transferred from Frankfurt to Augsburg, Germany.  Augsburg is approximately 57 kilometers (35.5 miles) from Munich and was the venue for the whitewater events.  As I looked at the pictures I had taken, one glaring fact is visible.  People didn't worry about security.  You could walk where you wanted.  You can see how close the crowds were to the event.  “Security” was the police making sure people did not hang over the bridge too far or didn’t fall into the water as people sat on the side of the embankment. That was August 28th, the first week of the Olympics.

Eiskcancal,

 the world's first artificial whitewater course

     

   

One week later, in Munich, the Olympics changed forever.  On September 5th, eight members of the Black September Organization (BSO), a Palestinian terrorist group, disguised as athletes, walked into the Olympic village.  They killed two members of the Israeli team and took nine others as hostages. 

My husband was an MP in the U.S. ASA, a top-security clearance agency. Their motto:  Vigilant Always.  The ASA units operated 24 hours a day, seven days a week, in shifts.  Their operations were top secret and they could not talk about their specific duties, even to their spouses (this was back in the day when the old Armed Forces mantra was, “If we wanted you to have a family, we would have issued you one.”).  My husband was called in as the base went on high alert and on lock down (no one goes in or out).  He could only tell me turn on the radio. Television went off the air at midnight.


The terror at the Village started at 4 am.  The standoff lasted 18 hours.  Two helicopters transported the terrorists and the 9 hostages to Munich’s Furstenfeldbruck Airport.  This action had been precipitated by a request from the BSO group for a jet to transport them to Egypt.  Following an attempt by the German police to rescue them, all of the hostages and most of the terrorists were killed.  The local papers, Munich’s Abendzeitung and Augsburg’s Augsburger Allgemeine, plus our own Armed Forces Stars and Stripes, filled in the blanks for those of us without security clearances.


Eight German police officers dressed as flight attendants and crew members.  At some point, they were ordered to open fire.  The Israeli athletes were still sitting in the helicopters, 5 in one, and 4 in the other.  The gun battle bewteen the police snipers and the terrorists went on for an hour and fifteen minutes.  During that time, one of the BSO members tossed a grenade into the helicopter of 5.  It exploded killing all five athletes.  Another BSO member entered the second helicopter and shot and killed the last four.  Three of the surviving terrorists were captured by the police. 


Since that day, "security" at the Olympics changed.  The modern age of terror was ushered in by the massacre of the 11 Israeli athletes at the 1972 Olympic Games in Munich, Germany.  On this 40th anniversary, a moment of silence to remember them is not too much to ask.  Just my opinion.

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In God We Trust, All Others Bring Data

ABCM:  “A penny saved is a penny earned.”

In the movie Superman III, "Gus" Gorman’s (actor Richard Pryor) first job was in the computer department located in the basement of a corporation.  He was responsible for the company’s 500+ employee’s salary checks.  As he settled into the job, he discovered that when calculating salaries, the computer actually went out four decimal points, and then rounded to the two-digit cents amount.  Not wanting to be too greedy, Pryor programmed the computer to forward the fourth decimal digit amount into his personal savings account.  The first week, his savings account increased $85,789.25 (the computer always rounds to two-digit).  ABCM is the programming of that fourth digit.  It may not seem like a lot, but if you add those pennies up…

ABCM measures costs at each step of the process, enabling managers to quantify the tax levied by inefficiencies and delays.  ABCM focuses on specific details such as scrap or absenteeism that must be tied to a specific product or process.  Once defined, actual problems can be resolved and eliminated.

Many organizations still run on emotions and gut feelings that have never been tried or tested.  Eliminating the emotion and getting down to the root cause of the matter will take us more quickly to the problem resolution phase and on to the next area of opportunity.

In order to get this point across in our European plants, I had t-shirts made with the saying “In God We Trust, All Others Bring Data” emblazoned across the front.  The associates questioned the meaning on the t-shirts.  I explained to them the t-shirt was multi-purpose:

§         “In God We Trust” from the face of the US dollar

o    signified the monies we were recovering through our continuous cost savings efforts.

§         “All Others Bring Data”

o    focused on reducing the time between defining the root cause of the problem to implementing the resolution. (the old “if you are not part of the solution, you are part of the problem” reiteration)

ABCM and performance measurements make it possible for us to immediately address the competitive endurance of the company versus focusing on the petty emotions that keep us from moving towards solution.  The shirts served as a daily ABC example that negative emotions (“it wasn’t me”) only wasted time, effort, and productivity.  The t-shirt was a constant visual (mindset change) reminder of the plant culture towards excellence (and, hence, individual contribution and team performance), not the non-value action of finger-pointing.

 

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The Passing of a Mentor - Mr. Stephen Covey

I would like to begin by offering my heartfelt condolence to the Covey family.  

I first met Dr. Covey when I lived in Belgium.  He was the keynote speaker at a conference I attended.  My first thought "Wow”.  Mr. Covey received a resounding ovation when he finished his speech.  It was a precursor to the yet-to-be-released critically acclaimed 1988 book:  The 7 Habits of Highly Effective People.  He understood my “not one size fits all” viewpoint when interacting with people, regardless of geographical location or socio-economic circumstances.  I joined the Covey Community last year and have always received great support when I called or e-mailed them with questions.  They are never too busy to respond.  It has become another arena to connect with people globally.  His legacy of human relations is one of empathy and humor.  I will miss waiting for “the next book.”

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THE ABCM OF INVENTORY…For God’s Sake, It’s NOT an Asset!

Waste…is the most extravagant and costly of all expenses.

  Theophrastus in the 3^rd century, B.C.

Two thousand years later, our mantra of lean business practices support this Greek philosophers words.  Eliminating waste throughout the workplace, whether it is too much paper, too many processes, too many layers of management, too many locations or too much inventory, results in immediate bottom-line savings.

I worked with a small business hair supply distributor, tire retailer, and secondary school.  The one similarity within each of these industries was excessive inventory and the incurred associated costs.  Small businesses, from kiosks to office and warehouse or retail stores, are in the same dire need to reduce their inventory levels with process improvement as are large corporations.

What Do We Do Now

By its very nature, inventory as an asset is a contradiction with JIT/lean manufacturing philosophies that demands we order only what we need, when we need it.  Moving “inventory” to the liability side of the balance sheet encourages its reduction and/or elimination.  Until this happens, corporations and small businesses will continue to focus on layoffs (people) rather than addressing dramatic process changes and inventory ordering efficiencies that must be resolved (organization).

Prove it to Yourself

ABCM allows us to quantify our costs.  I’ve designed a worksheet to help you validate this point.

actual product cost (from supplier) + transportation (from the supplier to you) + insurance (while moving) + unloading / unpacking + storage costs + warehouse costs      insurance      maintenance + transportation (from you to customer) + security expense	$ ___________________ $ ___________________ $ ___________________ $ ___________________ $ ___________________ $ ___________________ $ ___________________ $ ___________________
Add to the above, the overall costs of
+ physical inventories (and all the errors       that come from this activity) + the annual state, local, or federal taxes     paid on inventory values + administrative paperwork throughout      the entire process + human resource allocation	$ ___________________ $ ___________________ $ ___________________ $ ___________________
REAL inventory dollar outlay	$ ___________________

What Needs to be Done?

The savings of monies on inventory waste can better be invested on capital equipment needs, resource requirements and salary compensation.  Evaluating these expenses and developing diagnostic data for each will highlight the priority of work to be done.  Excel software (for those in global locations that may not have MRP systems) will take your data and translate it into graphs that will point you in the right direction.  This will help in defining action for solutions.

Both the hair salon distributor and the tire retailer gained capacity for current and needed inventory space by throwing out old and obsolete products (some as old as 5 years on products with a 6 month shelf life!) that were taking up space.  Rather than spending money for additional warehouse / shelf space and incurring capital costs, both were able to put more money into buying products they needed and, in one case, to provide raises (albeit small) to their (extremely appreciative) employees.

Once wasted costs are addressed and corrective actions are in place, the move (and the mindset) of inventory from asset to liability will be one that begins to change the business to an efficient, value added growth position.  In the global, and local, competitive marketplace that we live in today, that can only mean success.

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The ABCM OF EMPLOYEE RETENTION - The company’s performance appraisal

Factoid:  Employee turnover is the largest hidden cost in organizations.

“A penny saved is a penny earned.”

Activity Base Cost Management (ABCM) allows us to quantify the wasted dollar$ of yesteryear’s casual “hit the door” policy.  I’ve designed a worksheet to help measure how well your organization is doing. 

Once completed, you can begin to problem solve.  (i.e. Should we change our interview process?  Have we identified problem departments?)

Ê  Just fill in the blanks.  Add or delete to customize. 

DIRECT CO$T$ Recruiting                             Training (Basic)                   Relocation/Moving	$ ________________ $______ __________ $ ________________
+	+
INDIRECT CO$T$ Lower Productivity Levels    Lower Employee Morale    = Lower Revenues	$ ________________ $ ________________ = $ ________________
+	+
HIDDEN CO$T$ Training costs, including management time      Paying full salary and benefits during training, before full productivity is reached  Lost sales and alienated customers during off-site training    Cost of mistakes made by new inexperienced employees       Loss of customers loyal to departing employees       Loss of knowledge and experience built by departing employees      Lost or damaged relationships with suppliers     Employee morale and customer perception of that morale	$ ________________ $ ________________ $ ________________ $ ________________ $ ________________ $ ________________ $ ________________ $ ________________
TOTAL TURNOVER CO$T$	$ __________________________

Versus

EDUCATION  INVE$TMENT

$ _________________

The moral of this exercise

Education is an investment.  It's a value added line item!

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FROM CIVIL RIGHTS TO THE BOARDROOM - Walk the Talk

The genesis of the civil rights movement in the ‘60s was based on the mantra Walk the Talk.  These three words were a thunderous voice from black, and many white, and female Americans.  Three simple words defined the drive for equality in America.

• If we are equal, our schools should be equal.
• If we are equal, I should be able to live in the same neighborhood.
• 
  

  If we are equal, my child should be able to play at the same arenas your child does.
• 
  
• If we are equal, I should be able to get the same job.
  
• If we are equal, I should be making the same amount of money.
• If we are equal, I should not have to pay more for insurance. 

If we are equal, treat us with dignity and respect.

The mantra has transitioned to the corporate world. Three simple words born from the same desire for self-worth.

§        If you value us, pay us a livable wage.

§        If you value us, give us time with our family.

§        If you value us, tell us the strategy so we can help.

§        If you value us, educate us.

§        If you value us, educate yourselves.

If you value us, treat us with dignity and respect.

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REINVENTING CUSTOMER LOYALTY

Because the customer

Because the customer has a need, we have a job to do.

Because the customer has a choice, we must be the better choice.

Because the customer has sensibilities, we must be considerate.

Because the customer has an urgency, we must be quick.

Because the customer is unique, we must be flexible.

Because the customer has high expectations, we must excel.

Because the customer has influence, we have the hope of more customers.

Because of the customer, we EXIST!

CUSTOMER SERVICE

"It's high time the ideal of success should be replaced by the ideal of service."  Einstein.

We laughed out loud at William Taylor, generation-xer, and cofounder of Fast Company, a magazine that covers real people with real solutions and gives people tools they need to succeed in today’s work world. His closing tip: how to increase your customer base, “the next time the phone rings in your company, how about having a real person answer it?”   As we sat about and discussed some of the tips Taylor had given the audience, the conversation about customer service seemed consistent from the international group - Americans, Europe, South Africa, South America, and Asia - there were tales we could tell about poor service and tales we could tell about good service in each of our respective countries.  Customer service crosses all industries.

The Customer is a person who buys our products, especially on a regular basis.  Customer retention is the ability to keep a customer and, hence, profits.  Happy customers extol our product virtues and contribute free marketing for your company.  It is, simply, our “raison d’être”, our reason for existing - to sell our products to customers who want to come back again and again and buy more of our products.  With global competition driving the need to exceed customers’ expectations, customers will not tolerate paying for someone else’s deficiencies.  Understanding the customer’s needs means asking the customer what the requirements or needs are, implementing solutions, and continuously following up with improvements.

Rapid Response - Eliminating the Communications Gap

When we have a problem, it is our expectation that we will get help from the supplier of the product.  We don’t want to hear excuses, we don’t care who is on vacation, nor for how long - Service should be seamless to the customer.  The longer we keep an unhappy customer on the line without solving the problem, the angrier the customer gets and the quicker that customer will go to a competitor.  Throughout my professional career, I have continuously upgraded a checklist I developed for businesses, small or large, to evaluate and reduce the communications gap that exist both internal and external to the business and impact our ability to exceed our global customer’s expectation in service.  Audit yourself and find out how well your business is doing in given the customer a rapid (correct) solution.  I've included a check list or audit to help you rate your organization. 

The “self-audit” challenge -

internal & external to the organization, the customers

üDo you deliver what you promise, at the time you promise?

üDo you deliver service and products quickly and efficiently?

üDo you give every customer involved personal attention?

üDo you return calls promptly?

üDo you evaluate your customer complaints?

üDo you treat customers with respect, courtesy, and professionalism at all times?

üDo you SOLVE the problem?

üDo you actively solicit an audit from your customers on your customer service to them?

üDo you remain aware and evaluate customer satisfaction regularly?

üDo you review and implement customer feedback and suggestions into current procedures?

üDo you treat customers just as you would want to be treated?

üDo your employees understand that a customer expects them to act with a sense of urgency to their dilemmas?

üDo your employees know to always say THANK YOU!?

üDo you maintain a clean and neat appearance, including the workplace, at all times?

üDo your employees understand the need for personal hygiene as they are the first introduction to the company customers see?

Loyal customers bring other customers who bring other customers who bring other customers, increasing revenues, and all for zerO marketing costs.  Customer service breeds loyalty, loyalty fosters customer retention.  The benchmark to customer retention, and increased sales, is customer service.  How well are you doing in reinventing your customers’ loyalty?

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BENCHMARKING YOUR PERFORMANCE - 360 degree Performance Appraisals

Some topics come to me automatically and some come about because of a trigger.  The topic for this column, employee performance appraisals, was triggered by a recent UPN comedy Cuts episode.  This Generation-X comedy is about two hair salon co-managers.  They are young and this is their first foray into business.  Her dad owns the salon franchise Cuts and he lets her be a co-manager along with the original young owner of the salon.  To say they “feel their positions of power” would be an understatement. 

This particular episode began when a package was hand-delivered to the salon co-managers from headquarters (dad).  Their first “power” thought:  it’s time for us bosses to rate you workers.  The co-managers’ high-fiving, snickering and laughing came to an abrupt stop when they pulled the papers out of the envelope to discover:  the appraisal forms were for the employees to give their opinion of the co-managers.  The form asked about “all things management”.  It covered questions and asked for opinions about the manager’s work performance and how well they felt the mangers were dealing with them.  As soon as the two realized the “power was in the workers hands” their attitude and behavior changed.  It’s amazing how the “respect for the Individual” and “people are our greatest assets” vision statements really kicks in to a manager’s behavior attitude as soon as it is determined the workers would rate them on their performance as a boss.

Performance appraisals involve observing workers’ behavior and measuring that behavior in accordance with certain standards.  It is central to the staffing function.  It provides feedback needed to evaluate the effectiveness of recruitment and selection.  Lastly, it identifies individuals who are trainable and those who already have the skills to meet current and future job requirements.

Performance appraisal goals should be constructive and motivating.  They should inform employees of the performance rating for review period.  It sets targets for improvements, recognizes accomplishments, and informs employee of what is expected in the future.

An innovative approach at one of my clients was to establish a 3-D model of competency identification.  In seeking to identify the competencies required in a particular role or throughout the organization, the following 3 questions identified the process.

(1)  What activities or functions must the employee perform?

(2)  What strengths, attributes, and qualities does the effective performer

       display?    

(3)  What capabilities are important to develop?

Translating this 3-D model to a simple form and process, my client, an automotive company, uses a process asking all staff members to focus their efforts and feedback in three areas:

(1)  4 to 6 most important responsibilities and demands of the employee’s

      role

(2)  6 organizational competencies that make or break performance and

      enable focused feedback

(3)  specific actions and timing for job and professional growth.

This straightforward outline provides candid information about what is important to discuss, track and assess together (managers and employees)

As the company moves towards a best-in-practice environment (team based management and coaching), multi-source feedback, named 360 degree feedback, is a critical link in the performance management process as employees engage more and more in team, cross-functional and process-based activities, making their work largely invisible to any single source.  Three hundred sixty (360) degree performance provides a balanced, holistic view of contributions and competencies, while reducing the “my view, your view” tension often present when only team leaders and employee perspectives are involved. 

Feedback from everyone you work with provides the optimal tool for enhancing leadership and management capabilities, particularly when a company is trying to develop a more open, communicative culture.  When people receive honest, specific feedback from their bosses, colleagues, and associates, they often come to understand how their behaviors affect others – the need for change in some of those behaviors.

Organizations are taking varied approaches to transform the performance management process from an administrative burden to a business interaction that is inseparable from the work being done.  There is no magic formula for success in performance management.  The key is to harness the energy around what is important to the organization and apply it toward establishing an effective process deserving a top rating – one that “meets or exceeds expectations.”

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