Posts Tagged ‘Phil Symchych’

Who Wants To Pay $1 Million In Tax?

Tuesday, February 21st, 2012

Who wants to pay a million dollars in taxes?

I do, I do.

For a small business, that means that you had profit of about $2.6 million.

$1.6 million remains in your wallet. Not bad.

Minimizing taxes can cause you to intentionally or unintentionally reduce your profits. If you’re trying to sell your business and receive a multiple of earnings, you want those earnings to be as high as legitimately possible.

Copyright 2012. Phil Symchych. All rights reserved.

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Help Wanted – Part-time Admin, Creative, Interior Design

Friday, February 17th, 2012
  • Are you a stylish, trendy person?
  • Are you hooked on house design and renovation shows?
  • Do you repaint every year or two?
  • Do you like variety in your day?
  • Do you like to help people by coming up with creative ideas and suggestions?

McKenna Tile & Stone is Regina’s newest tile distributor.  We distribute mainly porcelain and glass tile to the Saskatchewan market. Our selection boasts of quality and style.  Currently, we are looking for a part-time customer service and administrative assistant.  Student resumes are welcome.

We are looking for a reliable, outgoing self-motivator who has experience or education related to working in an office setting.  An interest in design and creativity are also an asset.

Main Duties:
- Placing orders and checking stock
- Create purchase orders
- Creating quotes
- Manage outgoing shipments
- Updating and creating price lists
- Receiving inventory into computer system
- Answering customer inquiries
- Deposits
- Accounts receivable
- Creating spreadsheets
- Ensuring the outbound sales representatives have adequate marketing material and the tools necessary for sales
- Inside sales
- General office duties

Required Skills:
- 3-5 years in office setting
- Business diploma or certificate an asset
- Organizational skills
- Computer skills (Microsoft Word and Excel, accounting software)

Please forward your resume to Alyssa@mckennatile.com

Or, click here for more information.

Copyright 2012. Phil Symchych. All rights reserved.

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How To Hold Your Team Accountable

Thursday, February 16th, 2012

Are you comfortable holding your team accountable? What does that actually mean?

Do you need to micromanage and babysit and punish every little mistake? Of course not.

Holding your team accountable means that you need to ensure they are aligned with your company’s goals and objectives. If you strategy is to provide high quality (and charge higher prices for that, which you deserve), then you need to ensure that your people, processes and performance are focused on quality. If your focus is on quality, then you might need to sacrifice speed.

After all, a drive-thru restaurant hamburger is not going to be as good as a prime rib hamburger at the fancy steak house, but it will be fast.

Holding people accountable is easy and transparent if you do these things:

  1. Have the team participate in setting their operational goals and benchmarks. For example, a production facility may set targets of units per shift.
  2. Measure the goal every day. It’s amazing how powerful this is to drive the behaviour that you want.
  3. Proactively ask the team what obstacles they encounter or foresee, and what ideas they have to overcome them.
  4. Help your team to be more successful. This is the key. Accountability doesn’t mean whacking them when they miss their goal. Accountability, and it’s a two way street, means that you are willing to be held accountable to helping them improve performance and be more successful.
  5. Celebrate success. Every incremental gain can increase confidence and momentum. This also reinforces that you are focused on rewarding positive behaviors.
  6. As a manager, beware of trouble-shooting for your employees. Part of the accountability is to develop their independence. When they present a problem or dilemma, ask them for their suggestions. If they don’t have any, give them homework and tell them to come back more prepared.
  7. It’s your job to allocate resources. Make the team come up with the ideas. Remember, with every pair of hands, you get a free brain.

Holding people accountable is as simple as keeping score of the important things in your business. The fewer things that you track, the easier and more powerful the process will be.

Copyright 2012. Phil Symchych. All rights reserved.

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My First Job, or “Stock boys are cool”

Tuesday, February 14th, 2012

As a teenager, I thought I was working for gas money and spending money. Many years later, I learned that every job that I’ve had has contributed to my understanding of people, of business and how different people lead and manage others.

I’ve worked in a variety of organizations, from a small retail store to a national bank and an international accounting firm. The cultures were vastly different and so was their effectiveness at motivating and engaging their employees.

My first job, when I was 14 years old, was working in a small department store called The Met, short for Metropolitan. We sold all types of dry goods including clothing, diapers, kitchen goods, cheap hardware, batteries, and my favourite, chocolate bars. We had to keep those under lock and key in the candy room! For some reason, the manager didn’t trust anyone with the key to the candy room. A valuable lesson learned.

My first boss, Peggy, was a great manager and she taught me a lot about treating everyone with respect, to ask their opinions and to let them think.

Now, as the stock boy, I didn’t have to think too much. But Peggy never told me how to do anything unless I asked. She told me what to do, but never how to do it. She was confident that I could figure it out. And, her confidence in me increased my own confidence, although most teenage boys seem to exceed in confidence, for some reason.

I could sweep a 6,000 square foot store in nine minutes flat. The best parts were the handyman jobs like climbing up to the roof or up on a 16 foot ladder to change the eight foot light bulbs. Did you know that they explode into a million little pieces if you drop them?

I also learned that I didn’t want to work in retail. The worst part was working in a basement inventory room, on my summer vacation, during the hot July weather, pricing school supplies. Didn’t I just get out of school? Apparently, retail works one season ahead of reality.

The best part was bagging. It was easy, you got to meet people, and I wasn’t stuck in that darn basement. I learned that just because I could fit something in the bag, it didn’t mean the bag could withstand the weight. Customers got very unhappy if their bag ripped and they dropped their purchases. The manager got really mad if the product broke and we had to replace it. Cause and effect, consequences, logic: all these were burned into a teenagers brain.

We also had ‘management trainees’ sent from head office to learn from Peggy. This was an interesting experience because the stock boy, and everyone else working in the store, knew more about the store than the trainees. The trainees tried to manage by position of power (their perception of it, at least) instead of by respect. That didn’t work very well. Actually, it caused the occasional mutiny and intentional lack of cooperation. The mutinies were an important part of their training experience.

The trainees learned a few things:

  • leadership doesn’t come from a title
  • the most knowledgeable people are front line people, not the people from head office, or their hopeful delegates
  • never let the 16 year old stock boy drive your car.

As a parent, I’m looking forward to the work experience that my teenage daughters will gain. They’re not. Working in a clothing store just might cure their fashionitis, or, they might spend all their money on clothing purchased with employee discounts. Only time will tell.

Copyright 2012 Phil Symchych. All rights reserved.

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Working Out With A Trainer Or A Consultant

Monday, February 13th, 2012

My wife bought a training video from one of the trainer guys (his name rhymes with Bob) featured on a television reality show. Uh, oh! Somebody’s been watching too much TV, me thinks.

After five minutes of the intense fifteen minute workout, I pulled something in my back.

Apparently, working out needs to be done regularly to be effective. So, I’ve booked an appointment with the local gym for an assessment (or sales pitch) so that I can get back into the routine safely and, most importantly, frequently.

Why is it that we all know that we should exercise regularly but only a few, hearty soles have the discipline to sweat it out?

As a former (meaning 20 years ago) recreational triathlete and hockey referee, I’m pretty disappointed with my current lack of conditioning. I almost get tired driving the distances that I used to cycle. Fortunately, my ventilated and massaging car seats keep me up for the driving task.

I’ve worked out with a couple of trainers recently and the results were amazing. First, the trainer didn’t care about any excuses. Second, he and she (they took turns) showed me how to do things correctly. Third, they pushed me harder than I would have ever pushed myself. Fourth, they provided constant feedback, instruction, and, occasionally, motivation.

There are some parallels to working with a consultant, you know.

Consultants can help you to:

  1. Focus on the most important things so that you don’t get distracted with the day-today busy work that won’t achieve your goals.
  2. Pursue your goals using proper techniques and practices that increase your odds of success and reduce the chance of hurting yourself or your business.
  3. Push you beyond your comfort zone, because, as Marshall Goldsmith says, “What got you here won’t get you there.”
  4. Constantly hold you accountable and give you feedback on your progress, suggest adjustments, and celebrate your successes.

The best part of working out with a consultant is that you don’t need to wear a heart rate monitor and you won’t pass out from over exertion. However, mental work still seems to require some heavy lifting.

It’s time to hit the gym.

Copyright 2012 Phil Symchych. All rights reserved.

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How To Run A Good Meeting

Friday, February 10th, 2012

“It’s 3:00 on a Friday afternoon. I could be getting some real work done before the weekend. Why am I here?”

Most of us hate meetings, or, more specifically, we hate wasting time in unproductive meetings. However, a well-run meeting can dramatically improve morale, align your people, and generate great results.

Running a good meeting is a critical management task that all entrepreneurs need to master.

Agenda

Agenda

Here are tips on how to run a good meeting:

  1. Distribute the agenda in advance.
  2. Require relevant people to attend, if absolutely required, only the specific parts that are relevant to them.
  3. Don’t make everyone sit through the whole meeting.
  4. Start on time.
  5. Set ground rules: cell phones, interrupting, not being critical during brain-storming sessions (ban ‘yes, but’ from your meetings).
  6. Allow the group to contribute to the ground rules.
  7. Be clear on the purpose of your meeting: presenting information (a poor reason for a meeting), discussing ideas (a better reason), or crafting an action plan and assigning accountabilities (a great reason for a meeting).
  8. Stay on topic. Set up a parking lot for unrelated issues. Don’t let people wander off topic. This takes courage and wisdom.
  9. If you are allocating time limits to topics, make sure you achieve your objectives such as creating action items and assigning responsibility.
  10. Have a designated person take notes so that action items and responsibilities can be clearly assigned.
  11. Less is more. Don’t try to accomplish too much.
  12. Finish on time (or early).
  13. Be positive, professional and prompt.

Ineffective meetings waste time, waste money, deflate morale, reduce your credibility and hurt your company. Or, effective meetings can generate great ideas, hold people accountable and improve your company’s performance. The choice is yours.

Copyright 2012. Phil Symchych. All rights reserved.

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Small Charges from Big Companies – DUDS

Thursday, February 9th, 2012

Welcome to this issue of DUDS – Dumb Unilateral Decisions

Big companies are nickel and diming us and it’s getting ridiculous.

I receive my Rogers cell phone bill in the mail. How old-fashioned and environmentally unfriendly of me, as a paying customer, to demand an invoice?! It seems that my monthly fees for three cell phones and an iPad data plan are not sufficient to warrant Rogers sending me a bill without charge.

Or, perhaps, they are profit challenged and need to scrounge for cash from their (temporary) customers?

$2.00 paper invoice fee

$2.00 paper invoice fee

Next on the DUDS list is Pitney Bowes, with whom I spend more on ink than postage because they have the most profitable (for them) ink cartridges in the world. I just renewed my lease (at a discounted rate because I threatened to not renew — always negotiate) and received a friendly letter advising that I now have two choices because I must insure their (now used) postage machine. That’s funny, no one mentioned this during the renewal process. Oh, it’s probably in the fine print…

The $2.78 insurance 'not insurance' plan

The $2.78 insurance 'not insurance' plan

Pitney Bowes offers a convenient insurance for only $2.78 per month. Actually, it’s ‘not insurance.’ They, or their marketing or legal department, calls it an ‘equipment replacement/damage waiver program.’ If I don’t want to pay them monthly, I can contact my busy insurance broker and ask him to confirm, in writing, that 1. Pitney Bowes et al are named as insured or loss payee, 2. coverage commences upon lease commencement, 3. includes theft (really?), and 4. my lease number. Of course, my insurance broker, who is a good guy and an expert, would not be paid for this service.

I guess the finance people at these big companies are taking the economic challenges to heart. Instead of innovating and providing more value and services to their customers, they are charging us more for what they used to do for free or what we already have in place and are paying for, like insurance.

Big companies seem to be getting more disconnected from their customers every day. Rogers and Pitney Bowes, are you listening? I didn’t think so.

Copyright 2012. Phil Symchych. All rights reserved.

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Gold Mining Your Financial Statements

Tuesday, February 7th, 2012

There is gold sitting in your financial statements. The trick is to mine it. Every month!

I advise business owners to sit down with their internal accountants and go through their entire financial statements — that’s the balance sheet,  income statement, aged accounts receivable and aged accounts payable — line by line, every month.

First, this will force your accountant to explain the statements to you, the owner. You can ask the accountant questions…and…they probably won’t have all of the answers. That’s because they make certain assumptions. Ironically, you have the answers and, together, you can create an accurate set of statements.

Second, this will force you to explain transactions to your accountant. It’s amazing how discussing and thinking out loud can clarify what is going on.

Third, the review of accounts receivable will identify which customers need to be called or jobs need to get wrapped up so that the customer will pay. That will generate quick cash.

Fourth, reviewing the accounts payable will show which suppliers are treating you well and need to be paid quickly and also if there are any unresolved issues that need to be discussed.

There is lots of gold in your financial statements. You just need to sit down with your accountant, mine it, and turn it into cash. Every month!

Did I mention the ‘every month’ part? By staying on top of your financial statements, you will maximize your cash flow and prevent small problems from growing into large problems. You will also be utilizing your accountant more effectively. They’re not just data clerks, they’re gold miners.

Well, what are you waiting for? It’s the 7th of the month. Don’t you have your financial statements yet?

Copyright 2012. Phil Symchych. All rights reserved.

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Fear or Greed? What’s driving you?

Monday, February 6th, 2012

What’s the best motivator in business?

Fear means that you’re trying to retain existing clients and business. It’s like you’re trying not to lose and most sports teams know this is a lousy strategy that rarely works. You can’t score touchdowns when you’re trying not too lose.

Greed means you’re trying to grow and gain new clients and business. You’re trying to put points on the board. Furthermore, the natural desire of a living organism is to grow. It’s part of our DNA to grow. If you find someone who doesn’t want to grow or learn any more because they think they know everything, well, that’s not a healthy perspective. Isn’t that how you define arrogance?

Greed is a negative word, but who cares.In my opinion, greed is great. If you have to pick one….

Our goal in business should be to grow. If your business is in decline, I hope that position is not intentional or permanent.

Here are signs of a business (or a business owner) driven by fear:

  • They are strict rule followers and have a policy or procedure for everything.
  • They punish failure.
  • They assign blame, almost with glee.
  • They have been through tough times and may still be in shock.
  • They are unwilling to take risks.
  • They aim very low.
  • They don’t aim for anything.

Here are signs that a business or entrepreneur is driven by greed (remember, greed is great!):

  • They have clear principles and values but don’t need rules for everything.
  • They celebrate and reward failures because they learned something new.
  • They blame the process (and fix it) instead of blaming a person.
  • They have been through tough times and know they’ll survive the next ones, too.
  • They’re willing to take risks and are bored or unsatisfied with the status quo.
  • They aim high and their trajectory, even if they miss, still lands them in a higher place.

Greed is great. How are you using greed to achieve more in your business and your life?

Copyright 2012. Phil Symchych. All Rights Reserved.

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How to stress test your business plan

Friday, February 3rd, 2012

Did you know your banker stress tests your business plan? That means, they run scenarios to see how your business would perform if revenues were 80% (or less) of your projections, or if other things go wrong.

Do you stress test your own business plan? If you don’t, who does?

What would happen if revenues drop by 50%, like they did for many businesses in 2009? 50% may be drastic, but what about a 10% or 20% drop?

If sales don’t materialize, how will you fund your own business? Will you invest cash in your business? Your banker doesn’t want to be the only person with skin in the game, especially when it’s your game.

If you are growing rapidly, say faster than 20% per year, how will you fund your increasing working capital needs? Most businesses under-estimate how much cash they need for growth, even highly profitable growth.

What if your largest customer demands a price reduction or leaves you altogether?

What if your best sales person is unable to work or leaves your company?

What if the owner can’t show up for work for two or three months?

What if your main supplier increases prices dramatically or is acquired by a foreign company or goes out of business or tightens up your credit to cash on delivery?

These things might be keeping you up at night but they shouldn’t be. Sit down with your key people and hammer out some contingency plans if these things occur. Better yet, discuss preventive measures so that you are proactively monitoring these areas and can respond quickly at the first sign of problems.

Remember, if everything is running great, you need to work hard to maintain it. Taking success for granted just leads to predictable pain.

By stress testing your business, just like running on the treadmill at the cardiologist’s office, you can identify potential problems and work to prevent or reduce their impact.

Copyright 2012. Phil Symchych. All rights reserved.

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