If you insist on “putting all your eggs in one basket” – a single client representative, a single business bank or a single investment manager – you better be highly prepared for extreme surprises (immediate and attractive alternatives). In relationship businesses that’s nigh on impossible to achieve without incurring short-term pain. The smaller you are, the less leverage you can realistically exert. Can you really afford to take that risk?
I meet a lot of owner-managers of impressive mid-market ($50m to $1bn EV0 businesses, who at various times in their career have struggled with actual or perceived loneliness (a vortex of heavy responsibility with few, if any, sources of trusted advice to turn to at that precise moment).
It manifests itself in frustration, unhappiness, fear and procrastination. If left unchecked, health and well-being issues develop (depression, high blood pressure, broken relationships and so on) that detract from our own performance.
Here is some fast and proven thinking:
When entrepreneurs and investors forget that first and foremost they are in the communications business, I have two words for you: Neil Woodford. Silence is never “golden”, it is just a vacuum created into which people’s fears or concerns percolate unchecked.
When we drag up stories and pictures of people’s past (Justin Trudeau) and we seek to castigate them for images or behaviour that are inconsistent with their and our own beliefs today, we are setting standards by which we exclude 99% of our society. We want real people, with real scars, who empathise with how fellow human beings interact, their successes and their failures.
Would you want to hang out with, and be led by, the “goodie two shoes” classmate in school for the rest of your life or the more real characters, who have had a broader and deeper spectrum of life experiences? That decision is equally applicable in business and politics.
Above all, we want talent and judgement, right now. If Trudeau fails on that score, and there is strong case for it, make the change of PM.
A singular focus is a healthy trait for an entrepreneur so long as the focus doesn’t “filter out” forces, internal or external, critical to the business’s mission (available capital) or highly important to its’ present and future trading performance (management/employee performance, innovation, implementing strategy).
We are here to take “prudent risk”, personally and professionally. To make a big splash, not just dip our toe in the water.
We actually know relatively little about the future but we are engaged in a constant learning process, as we age. That requires we remain attuned to all the forces impacting our immediate future, and with preventative and contingent actions readily available to minimise the impact of surprises.
If you don’t think there are huge gains to be made in reinventing the client onboarding experience in retail financial services, my guess is you haven’t recently applied for a mortgage, an investment product or personal insurance.
Some household names still insist on manually entering your name, address, and date of birth over 18 times to purchase a simple product!
I meet a number of individuals, who ask for “free” feedback and advice on an endeavour but visibly (follow up) cease to be receptive to ideas that don’t conform to their thinking. This trait is high prevalent amongst small business owners and early-stage entrepreneurs, particularly those with impressive pasts.
We can choose to get annoyed with that trait or move on and remind ourselves these individuals are not our priority. It is our choice.
For every 10 entrepreneurs or executives, who use the refrain “we are gaining great traction with [investors, buyers, customers]”, I find 9 have nothing meaningful to show for it yet [committed capital, signed agreements, cash in the bank]. Fact.
Let’s be clear, you cannot feed the family on popularity or acceptances of your idea, product or investment. It reminds me of the silly game social media influencers play in justifying their success by the number of “likes”.
To then use that as an excuse, as some do to withhold investment in improving their own skills in attracting and converting potential investors into actual investors, leads into buyers, and interest into cash is dumb. What are you “saving up for”, when your skills deficiency is such that you need to be spending now? Longer suffering?
In May 1997, a quiet and cultured man Simon Dahanani walked into my New Jersey reinsurance broking office to undertake a difficult task. To tell my 24 colleagues individually following the acquisition of my broking company by his firm, Aon Reinsurance, that their employment was terminated.
In the 4 weeks that followed he and I had the task of triaging the newly acquired firm’s clients and prospect files in the barren office, a task akin to cleaning out a deceased family member’s possessions. Then a fun year working together in the world’s most profitable reinsurance office with daily views across the Hudson River from the 104th floor of 2 World Trade Center.
In an office with ambitious youngsters, hard-wired producers and “roll up the sleeves” administrators, his office was an island of calm authority. Sensitivity, dignity and fortitude were his watchwords.
What both of us weren’t to know is the journey our lives would take thereafter. My imminent return to England and a new career. His darkest hour a little over 3 years later on September 11th.
Thank you for the life lesson.
If you insist on drowning me with details of you or your family’s “past”, it is reasonably accepted that it is your version of events (biases).
When you construct those events to embellish the story, make claims for unsubstantiated credit or association with results, relationships or tell untruths with the intent to harm others or gain an advantage, financial or non-financial, you are in unethical territory. You are cheating yourself.
The mere act of doing that and keeping up pretences is far more tiring than being honest with yourself and others.
