e-Learning

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e-Learning

Twenty years ago, in 1999, John Chambers, then CEO of CISCO Systems said, “Education over the internet is going to make email usage look like a rounding error.” The renowned Clairmont Professor and business guru thought that “Knowledge has to be improved, challenged, and increased constantly, or it vanishes.”

As those of you who read this blog know we are serious proponents of providing tools for employees whereby they can reach their potential. Learning to me is a lifelong pursuit. You really only start to learn once you leave the structured education system that we have in place. Too many people, however, act as if that is the end of their education.

We are extremely pleased to be in the final stages of certification by the IACET, the International Association of Continuous Education and Training. They have a very rigorous certification process that we have completed and are in the final review process. You will hear more on this in the near future when we get all of the documentation completed.

This is the final step in our platform for training in the Heavy Equipment, Light Industrial, Material Handling, Trailer, and Ground Water Industries with which we are associated. We will be the only certified company in these Industries in the world.

We ran a brief review of our offerings within the past month and it is quite substantial. We currently have around 90 people taking classes on line every day. We have enrolled over 600 people in the past two years. It is starting to take hold.

What we offer is an employee development structure for each job function in the Parts and Service world. We assist dealers and distributors and some manufacturers now in creating a learning path for specific jobs. A career path if you will. We are in the final stages of announcing our “badge” program.

The Physical Universities and Vocational Schools are the only ones who can provide a “parchment” that says University Degree. The internet-based learning world is “not allowed” to offer degrees. We offer and provide badges. In our programs the badges cover; Operations, leadership, Sales, and Finance. Each class earns a badge and after accumulating Badges taking classes there are four levels of achievement; Platinum, Gold, Silver and Bronze. Each student can share their learning results from us with their prospective employers which provides, we believe, a much more complete picture of the knowledge of each individual who has followed our programs.

A study done in 1000 by WR Hambrecht + Co called “Exploring a New Frontier” provided the following list of factors driving e-Learning:

• Rapid obsolescence of knowledge and training
• Internet access if standard at home and at work
• The need for just in time training.
• Technological advances enable interactive and media rich content.
• Efficient means to train a global or national work force
• Increasing bandwidth allowing more streamed content
• Increases in skills gap and demographic changes
• Growing selection of e-learning products and services
• Demand for flexibility for lifelong learning
• New standards to facilitate compatibility, usability of e-learning product
• Wide variety of topics addressing business objectives
• HR, Management, Customer Service and Compliance Topics
• Simple access point and integrated data
• AICC and SCORM standards for inter-operability

I believe that e-Learning is now starting to hit its stride. All of the above points are even more pronounced today.

We are hitting our stride as well:

 We have created our platform – the learning management system
 We have developed the products – over 112 different programs
 We are in the final stage of accreditation – IACET
 We are finalizing the recognition programs with our badges

Now it is time to sell the program and get more people learning on a daily basis.

We highlighted a quote from Peter Drucker at the outset of this blog “knowledge has to be constantly improving or else it vanishes.”

Where are you in your learning?

 Are you reading books and taking classes constantly?
 Or is your knowledge becoming dated and no longer current?

I think we all can do much more in our lives and in our careers. In fact, with the rapid rate of change in the world around us I believe it is absolutely critical for us to continue to learn. What do you think?

The Time is NOW.

People

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People

Nothing is possible in the parts and service business without people. We closed our last post with the fact that we have standards of operations that address the people subject. These are “traditional” standards which are based on traditional operational methods and systems and processes.

But our operations need to be tuned up. Let’s start with productivity. Do you think that with your current structures and personnel levels you will be able to handle the business that will come with increased sales and market share we discussed last time? I submit to you that it will never be achieved if all you do is continue to do what you have always done.

The Industry started in the late 1970s and early 1980s to look at sales per employee as the holy grail of headcount. However, most companies looked at those standards and said to the operational people that they needed to operate at higher and higher sales per employee levels. That the higher the number the better it was.

WRONG.

The truth is that if you do not have enough people to do the job properly the people will decide what is important that needs to get done. What that is to them is satisfying the customer that the yare dealing with at the moment. If there is no time for anything else – such as calling back on backorders or calling out to customers who have not been seen or contacted for some time, or anything else to protect or grow your market share – so be it.

That is exactly what we have today with most parts businesses worldwide.

Is it any wonder that the authorized equipment dealer has a parts market share is in a range of 20% to 40%? Quite frankly they don’t deserve even that much.

Let’s go back to the fundamentals of the numbers of people to employ. Let’s look at financial standards based on the compensation packages offered to employees. This compensation package covers all payroll expenses, sales, wages, commissions, as well as all benefits such as medical, vacation, paid time off, etc.

The following are standards that are normally what I see in best practice dealers.

 Parts < 7%
 Service < 15%

If you are higher than the above measures then you need to focus on innovation. Improve methods, processes, systems and everything you can to achieve the personnel numbers above. The only way you can achieve radical improvements in operational performance is if you get all of your employees involved in the process. If you are lower then you are unable to satisfy the customer needs and need to hire more people. It is that simple.

The Time is NOW.

Innovation and the Challenge

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Innovation and the Challenge

Last week we talked about the challenge in the acquisition and retention of the talented people that you would need over the coming years. We also addressed the challenge of the new partnerships required between businesses and the education system.  Through this partnership, we can fill the learning to employment chasm.

Now I would like to turn to where we have more direct control: Innovation.

This year we are seeing rapid and healthy capital spending by business across the country. This is the precursor to improvements in productivity in the workforce which will lead to higher wages.  These are all good things.

However, what are YOU doing to innovate your way to higher productivity?

Let’s quickly review some high-performance benchmarks for parts and service.

Parts & Service Sales > 40% of Total Dealer Sales.

No matter what you think, you can achieve this level of sales IF you achieve higher market share numbers. BUT that will not be easy. It will not be achieved if all you do is continue to do what you have always done.  You would do well to remember the definition of insanity here, as I reference it so often: continuing to do what you have always done, while expecting a different result.

Some key steps to achieving higher market share:

 Obtain complete accurate machine ownership lists.
 Segment your marketplace.
 Establish a market coverage strategy.
 Assign customers to external and internal sales teams; in the filed and on the telephone.
 Train your market coverage personnel in territory management.
 Establish specific objectives for purchases for each of your assigned customers.

THEN YOU NEED TO MAKE IT HAPPEN.

Operations need to be tuned up as well. Let’s start with productivity. Do you think that with your current structures and personnel levels you will be able to handle the business that will come with the above action steps? No matter what you think you can achieve this level of sales It will never be achieved if all you do is continue to do what you have always done.

We need to attack the structures. So, let’s go back to our fundamental question:

WHAT DOES IT LOOK LIKE WHEN IT IS RIGHT?

To start with all parts and service sales prices are at retail customer price for the following benchmarks. No, you don’t need to change how you price things, although that would be the right thing to do, you can simply do the arithmetic.

To operate at high levels of productivity requires the following benchmarks be achiever. Personnel Costs as a percentage of Sales Revenue.

Parts < 7%
Service < 15%

The above two measures will lead to sales per employee numbers. If you are higher than the above measures then you need to focus on innovation. Improve methods, processes, systems and everything you can to achieve the personnel numbers above. The only way you can achieve radical improvements in operational performance is if you get all of your employees involved in the process.

Remember: Understanding, Acceptance and then Commitment.

More on that next time.

The Time is NOW.

The Challenge

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The Challenge

We are getting close to being in a position of complete saturation in the jobs market. We now have more jobs open than we have workers looking for a job. That has not happened for a long time.

We now have over 6,000,000 jobs open across the country.

The most recent Gordon report, from Edward Gordon, one of our colleagues who focuses on training and education, said:

“Today is a watershed era similar to the Industrial Revolution of the late 19th and early 20th centuries. Then new methods of production required more educated workers. The factory system and the consequent growth of American cities sparked the development of public schooling at the local levels, that in turn led to the passing of compulsory schooling laws at the state level. The United States was the first nation in the world to institute compulsory tax-supported public education, and it was a key component in the economic and industrial expansion of the United States. It was history’s first comprehensive education-to employment system.

The spread of computer technology in today’s workplaces is again raising the demand for a more educated workforce. While there are some pockets of progress, too many Americans are not receiving the education needed for 21st-century jobs and careers. Our education-to-employment system clearly needs re-invention, but entrenched bureaucracies in business, education, and government stand in the way. Too many components of American society are caught in the blame game, instead of working together to find solutions.

There were deep divisions in American society one hundred years ago. Just as today, immigration and economic inequality stoked tensions. Yet as community after community discovered that the pain of defending the status quo was greater than that of systemic change, solutions were forged. I believe that we are at this point again. The United States was founded and still stands because of our belief in a better future for all. Americans have overcome formidable obstacles in the past. We can do it again!”

One of the keys here is the education to employment system. We are not satisfying the needs of our employers.

You have all read that I believe greatly in apprentice programs and mentorship programs as a means to get motivated people with good attitudes into the workforce. You also know that I am a huge fan of the German apprentice programs. Every year about half a million Germans enter the workforce through these apprenticeship programs. Apprenticeships are one of the foundations of Germany’s manufacturing prowess. Felix Raunier, a professor ate the University of Bremen, says even the US has started to notice. Raunier says “US society has stigmatized vocational education, so most parents see college as the only path to status and a good career for their children.” Ludger Deitmer, is international research coordinator at the Institute of Technology and Education at the University of Bremen. He thinks that vocational training should be one of the medicines, perhaps the key medicine, in how to make America Great Again.

Companies in the US are not completely on board to this approach. Apprentices, in Germany, earn income as they work in companies and go to school. There is a partnership between the schools and the employers.

Marilyn Hewson, Chairman, President and CEO of Lockheed Martin, recently testified “to a new and pressing challenge: the shortage of skilled workers to fill the jobs being created by robust growth.” One survey by Industry Week found that nearly 40% of the aerospace companies believe that the skills gap has had an “extreme” effect on their ability to innovate and grow.

Last year the administration created the apprenticeship Task Force and issued an executive order to identify and remove the bureaucratic and regulatory impediments to apprenticeships. Apprenticeships help workers train on a specific craft or skill that a company needs. Lockheed Martin is creating 8,000 apprenticeship and workforce development opportunities in the next five years.

Let’s bring this back to our Industry.

Should you employ a High School student on a part time basis, as they continue to go to school, so that they can learn what happens in your dealership and if they, and you, think there are opportunities. If there are then together, the apprentice and the company, can develop a plan. You can explore specific learning programs that local Junior Colleges and Vocational Schools offer. You can work with the schools to create new classes to fit your needs.

As Hewson says; “it is up to this generation of leaders in government, industry and across society to invest in and to develop a workforce equal to the global challenges ahead. It is now time to act across every sector to ensure that every worker has an opportunity to grow, achieve, improve, train and excel over the entirety of their careers – regardless of where they start, where they work, or how high they aspire to go.”
Should you have apprentices working in your parts department? Should you have apprentices in your service departments? Absolutely.

The Time is NOW.

Automation

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Automation

Are you noticing the changes?

The world is becoming even more confusing and complicated as we are faced with increasingly rapid and dramatic technological advances. The most disquieting aspect of it now is that it is not just physical activities, using robotics for example, but now it is cognitive skills as well.

We are surrounded by Artificial Intelligence (AI), Virtual Reality (VR), Autonomous Vehicles (AV), and Disrupting Demographic Destinies (DDD). Things are changing very rapidly.

This is sometimes called the Fourth Industrial Revolution.

We are also seeing this affect different generations in different manners. From Millennials to Baby Boomers these technological changes are viewed very differently. And not everything is positive.

The technology around us has been something that millennials have grown up with and they are very comfortable with it. Baby Boomers not so much. But there are other aspects of technology that are beginning to come under more critical scrutiny. It seems that social media has the same effect on the brain as alcohol and drugs. You get a hit of dopamine, the very same response in your brain to alcohol and drugs, every time you get a response to your posts. Think about that for a moment.

Technological advances, particularly in cognitive activities, are not going to be slowing down anytime soon. Robotics will be coming to your operations. Order processing in the parts departments have been changing over the past four or five decades. I first saw an automated distribution center in Stuttgart, Germany. It was a Kodak plant. When I walked in the warehouse the lights went on. There was not one person in the building. This was the central distribution center for Kodak for Europe. When an order was entered, at any region in Europe, for which there was a need for a “part” robots went to work. They were given instructions by computer and they then went out to the warehouse, found the right aisle, turned into it, found the right elevation, went up to it, found the specific location and centered in front of it and then it picked the parts. They scanned the units and in so doing they were able to pick the correct quantity. It was very eye-opening experience for me. That was 1973.

Today, a friend of mine, who currently works for Google, has multiple patents pending where he can control the cursor of your computer only with his eyes. No mouse, no keyboard, exclusively with his eyes. Imagine that? Just pause and think about the prospects of things to come when there are inventions and innovations taking place like that already in the works.

The problem with all of these advances in technology seems to be that we are not realizing the gains in productivity that should be a byproduct of these changes. After all the main indicator of productivity gains is the average hourly wage. That hourly wage is starting to increase again after a few decades of gradual declines. That is not a good thing for society as a whole as the haves get more and the have nots struggle more.

As a society we need to work on solving this productivity problem. I have often said that we spend trillions of dollars on technology but very little on sociology. How society evolves to embrace the new technologies and jobs will be interesting to observe.

Today there are more job openings than there are people looking for work. The employment participation rate is finally starting to grow again after nearly a decade of decline. New and younger employees approach their lives in different ways than my generation. They are less patient than we were in their progress in a company. They want to be constantly learning. They are very curious – often asking the magic question “Why do you do it that way?” They don’t like the answer “because that is the way we have always done it.” They also want to continue to learn, to continue to grow as individuals. If they aren’t learning something from you they will leave. Gone are the days when people would think that when they left school learning was over. Today it is just the beginning.

With more job openings than employees to fill them we are on the cusp of some big changes in wages. John G Fernard, an economist at the Federal reserve Bank of San Francisco is quoted as follows – “You could meet the demand for a while by hiring workers, but with the unemployment rate at 3.8%, eventually you are going to run out of easy-to-find workers. Because workers have other opportunities, you end up having to pay them. And once you see wages going up, you say -We have to become more productive to cover our costs.” We are right at this point today. What is interesting to note is that the last time productivity grew dramatically was also when unemployment was at 4%.

This Fourth Revolution, is about adapting yourself to the New Realities of the work place. There will be differing methods, and processes, and systems brought into life. That will also require more adaptable employees. People who will embrace change because that is what they expect to happen. A constant evolution of work. This will focus on the customer and their needs and wants and also about being the “Lowest cost supplier of the highest value products or services.” That will only be possible with talented, well trained, properly paid loyal employees.

We are presenting you with the learning tools. You have to provide the opportunity to your employees.

The Time is NOW.

 

Management Mentoring and Coaching Program Conclusion

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Management Mentoring and Coaching Program Conclusion

Last week, we covered the second portion of our tailored mentoring and coaching program with the instructional videos/skype sessions description.  This week, we cover the third, and final, portion of our individually tailored mentoring and coaching program.

For this final part of our program, we provide each manager with individual Work Assignments.

Establishing assignments is aimed at furthering the learning experience. Learning is about remembering and with these work assignments we can establish a deeper base of understanding. These assignments will be specific to the job function with which we are working. They will fit into the alternating weeks of the overall program. Implementation is a crucial element in committing knowledge to memory, thereby furthering the learning of each manager.  A key component in achieving any learning objective is in the implementation of the knowledge acquired.  These work assignments are designed to put that newly gained knowledge to work.

This approach will be discussed with the Company to develop a strategy which satisfies the needs of the Company, as well as the needs of the individual who will be the subject of the mentoring/coaching.

The program will continue weekly, alternating between a Learning On Demand program and then a film with work assignments injected at the appropriate time in the program. This will continue until the program is completed. This will be adjusted to satisfy the needs of the individual to be coached.

The price of this coaching/mentoring program will be established on a case-by-case basis. It will be dependent on the time involved and the assets utilized.

There you have it: our Management Mentoring and Coaching Programs.  Keep this in mind for those managers and supervisors you want to cultivate to become your heroes.

The time is now.

Management Mentoring and Coaching Program Continued

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Management Mentoring and Coaching Program Continued

This week, we are continuing our discussion of the new Mentoring and Coaching Program we are now offering here at LWS.  Last week, we discussed the first component of the program, with our Learning On Demand Programs for Managers.  This week we are covering the next component of our program: films.  These films will be used to expand upon the knowledge students will gain in the individual Mentoring and Coaching Program.

B. Films

Using a Skype call or GoToMeeting the manager will watch a specialized training film. These films are designed to build upon the foundational skills presented in each Learning On Demand program, therefore refining the skill set of each manager. Upon completion of the film, the manager will be engaged in a real-time discussion about the content and how it applies to the job.
We will recommend specific film topics that apply to the work of the manager. For instance:

A. The Business of Paradigms
B. The Unorganized Manager.
C. Flight of the Buffalo
D. Performance Matters – Praise
E. Performance Matters – Criticism
F. The Clarity Imperative
G. Gung Ho
H. Leadership: An Act of Possibility
I. The Three Signs of a Miserable Job
J. The Five Dysfunctions of a Team

 

Next week, we will cover the third, and final, portion of the Mentoring and Coaching Program.

 

The time is now.

Talents and Skills

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Learning Without Scars was created to fill a void in the Capital Goods Industries, specifically the light and heavy equipment space.

With technical schools closing at an alarming rate the markets we serve were becoming unable to find the talents and skills they required in the operational areas of the business, parts and service specifically. I have written extensively on the German trade school structures and the benefits it provides German employers. We no longer have a viable trade school preparation for the parts business.

To that end, here at LWS we have developed training programs for the parts counter job functions. We have the same for the parts office and the service office. We also have programs for the parts warehouse, for service writers and service foreman and lead hands. All of these programs were created after dealer customers had expressed a need and a desire to help employee development.

The report from Edward Gordon, a colleague, is a clear affirmation of why we are doing what we do in training.

I would like to pose a question to everyone. What are you doing to attract new employees, to retain the ones you have and to develop all of your employees to meet the needs of future job?

There is a critical need on our Industry. Without the proper number of talented and skilled employees your business is at risk.   

The Time is NOW.

 

Please read this Edward Gordon article.

Knowledge Shock Part V: Job Evolution Causes Skill Shortages and A Search for Solutions

Job Evolution 1970-2010

In 1970 John, whose father was a plumber, graduated from high school. He began working in a Midwestern automotive-parts factory. It had an entry-level job training program and paid him a good wage. At that time, about 66 percent of entry-level jobs in manufacturing and other employment sectors required only a high school diploma. Business management and professional positions required a college education. Also, apprenticeship completion or specific skill-training certificates were needed to qualify for some mid-skilled occupations.

 Fast forward to 1990 when John’s daughter Linda became an office file clerk after graduating from high school. She found out technologies had changed occupational skill requirements in both offices and factories. High school graduation was no longer a passport to the middle class. By 1990, 55 percent of jobs required education or training beyond high school. However, many employers offered workers on-the-job training.

John’s grandson, George, was always interested in cars. After high school graduation in 2010, George decided to seek employment in an auto-production plant. But he was surprised to discover that a largely unrecognized Fourth Industrial Revolution had radically changed entry-level jobs requirements. Robots now performed many repetitive tasks on car assembly lines. George also learned that this local auto factory only sought workers who could operated computer-controlled equipment. Working on teams, they also need needed to have the technical skills required to assemble many different auto models in smaller runs as sales orders came in from the manufacturer’s dealer network. The plant had no entry-level job training. Applicants were expected to be job ready from day one!

By 2010, low-skill jobs had declined to only 33 percent of the U.S. labor market. They were also low paying jobs. The majority of even mid-level occupations now required special career training beyond high school.

Talent Shortages by the Numbers

In 2010 there were about 97 million mid-level and higher skilled jobs across the United States. Yet only 43 million American workers met the general education and career training requisites to fill them.  U.S. businesses made up a national gap of 54 million skilled workers through increasing automation, importing skilled foreign workers, poaching workers from competitors, or exporting higher skilled jobs to overseas locations with the requisite talent pool. Only about 20 percent of U.S. businesses offered job training programs. This talent shortfall resulted in 4 million vacant jobs across the U.S. economy.

Over the next decade the skills-jobs disconnect continued to expand. By 2017 two-thirds of jobs in the U.S. labor market required workers with post-secondary specialized career training. International talent shortages had also increased, making it much more difficult for U.S. businesses to either import talent or find an off-shore location with the needed skilled workers. A global talent showdown had begun in earnest. In 2017 nine million jobs remained unfilled across the United States. The U.S. Chamber of Commerce estimates a loss of $26,000 per vacant job in profit or productivity for a business. This represents an over $230 billion loss to the U.S. economy.

The U.S. talent shortfall is a significant part of a much broader global talent train wreck. The worldwide estimate of 2022 job vacancies range from 45 to 95 million skilled positions. Many recent surveys of American executives place this talent crisis at the top or near the top of management concerns. For example, a 2018 survey conducted by the Associated General Contractors of America indicated that this industry will be short two million skilled craft professionals by 2020. A recent National Association of Manufacturers survey for the first time reported  “attracting and retaining a quality workforce” as the respondents’ top business challenge.This was also the case in the February survey of the National Federation of Independent Businesses. Ninety percent of businesses seeking workers reported “few or no qualified applicants” for open positions.

Two Major Skills Initiatives

Two significant approaches for confronting the escalating shortages of skilled workers are gaining momentum. The “2017 Training Industry Report” (Training, November 2017) showed that U.S. businesses made an unprecedented $23 billion increase in worker training in the past year. Total expenditures rose from $70.6 billion to $93.6 billion or 32.5 percent. The majority of these funds were invested in specific job raining programs for workers rather than in management education programs as in years past. Over the past few months there has been some increase in the labor participation rate. It is an indication that more companies are again beginning to offer job training to new hires. This is opening the possibility of employment to so called “discouraged workers” who until recently have been sitting on the U.S. labor-market sidelines because their skills were not up-to-date.

A second more comprehensive approach to tacking the current skills crisis are regional public-private partnerships focused on economic development and reforming the education-to-employment system. These Regional Talent Innovation Networks (RETAINs) offer a process for reinventing their local talent-delivery systems. In the short term, these cross-sector initiatives composed of businesses, educational institutions, unions, government agencies, and non-profit community groups focus on retraining workers and the unemployed with the skills currently needed to fill the vacant jobs of regional employers. RETAINs are of particular value to small businesses as they offer a viable way of pooling their resources to inform, attract, and prepare skilled workers to fill jobs.

In the long term, RETAINs seek to rebuild the workforce pipeline through raising K-12 educational standards and implementing career-skills preparation programs. Beginning in elementary school students need to be well grounded in reading, writing, mathematics, and verbal communication skills. To accommodate the wide diversity of students’ aptitudes and interests, a wider diversity of high school programs are needed such as STEM academies, career education programs, and pre-apprenticeship and apprenticeship options. This means more students will leave high school with solid educational foundations that prepare them to successfully complete the post-secondary career education and training needed to fill today’s and tomorrow’s ever-rising job requirements. It is notable that the High School Inc. Foundation (previously profiled in  Gordon Report) has received the 2018 Citation for Career Education and Excellence from the American Association for Career Education for its leadership role in the development of six career academies at the Valley High School in Santa Ana, California. The High School Inc. Foundation is a good example of the over 1,000 RETAINs now operating across America.

More information on many local RETAIN “brands” across the United states is now available in an updated paperback edition of Future Jobs: Solving the Employment and Skills Crisis published by Praeger in March 2018. It offers many case studies of the the accomplishments of these cross-sector partnerships in updating regional training and education programs and thus reviving local economies.

The Urgent Need for Action Addressing the Skills Crisis

Unless business investments in job training are drastically increased and the RETAIN movement grows exponentially, by 2022 the skills-jobs disconnect will have a dire impact on the U.S. economy. America is facing a demographic tsunami of 30 million baby boomers retiring from the workforce. In the cohort of millennials entering the workforce, only about thirty percent have the education and skills needed for advanced technology workplaces, but at least sixty percent need to be at this level for the high tech, knowledge-based economy of 2022.

The Gordon Report “Knowledge Shook Series” has spotlighted some of the most crucial forces behind the jobs-skills crisis. We have examined how American culture across the business community, schools, unions, and parents has failed to keep pace with the significant knowledge expansion required by technology change. We have also seen how popular culture can promote addiction to social media and other internet venues that reduce cognitive development and interpersonal skill growth. Over the past decade Knowledge Shock has morphed into Job Shock as many American workers now fear that escalating technology changes have placed their jobs at great risk. Inventing technology has proved to be the easy part; changing society’s cultural willingness to place education and workforce training on steroids remains very difficult. 

As technology has continued to expand job requirements, simplistic populist solutions for protecting jobs and industries are being advanced by the extreme right and left of the U.S. political spectrum. Populists offer a new form of tribalism. By dividing society into many warring factions, they seek to attack and eliminate the “enemy” opposition rather than pursue consensus through negotiation. This tribalism is in direct opposition to the democratic beliefs and traditions upon which our great American Republic was founded and has developed over the past 242 years. We remain fundamentally opposed to this attempt to undermine U.S. society.

As we contend with this social divisiveness, the American general public needs to be made aware of the urgent need to answer the two great questions of Job Shock.     

  1. Why has technology growth clearly outpaced the knowledge development of the U.S. workforce?
  2. How can we develop a new consensus that will lead to the overall growth of a well-educated American workforce?

The answers to these social issues will define how well we make the historic employment transition that America now faces. Failure is not an option.

Edward E. Gordon is president and founder of Imperial Consulting Corporation (www.imperialcorp.com). His book, Future Jobs: Solving the Employment and Skills Crisis, a winner of an Independent Publishers award, is now available in an updated 2018 paperback edition. 

Your Stakeholders – Back to Basics

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This is our second installment in our Back to Basics theme, covering the topic of your stakeholders.  Last week, we began with the Balanced Scorecard and the customers.

The next piece of Back to Basics is the value that we deliver to the stakeholders.

When we talk about your stakeholders, who de we mean?

Simply put, your stakeholders means the employees, the company leadership, the owners, the shareholders, and the suppliers of your business.  Since you have all learned that I like to begin with definitions in order to have clarity in each topic, your stakeholders are the individuals and groups who invest in your business with their time, their money, their ideas, and their resources.  The customers benefit from the commitment of your stakeholders, and your stakeholders benefit from the growth and development of your company and your customer loyalty.

Here we go back to metrics and standards of performance, also known as Key Performance Indicators.  These Key Performance Indicators are Revenue, Profitability, Expense Control, Asset Management and how the department and business performs.

One of these metrics is Return on Assets (ROA). That leads us to next step in the Back to Basics – investments. The owners of the business have to continue to reinvest in the Company if they want growth. The effectiveness of the business to steward the company assets will allow the owners to determine the level of risk they want to take on relative to the future growth opportunities. If the management does not deliver performance then owners will not have much interest in reinvestment.

So how does this tie in to everything we do here at LWS?

Employee Development is a straightforward investment into the business, its stakeholders, and its vision for the future.  Employee Development correlates to employee satisfaction, which has a demonstrated impact on customer satisfaction.  Satisfied employees = satisfied customers.

As you can see, getting Back to the Basics comprises many aspects of your business.  But you will find that the results are well worth the work.

The time is now.

Emotional Intelligence in a Changing World

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How does EQ fit today?

Charles Darwin was the first to identify the value of emotions as a critical element in the life. Sweaty palms for nervousness a churning stomach for anxiety and other signals. This moved to something called “social intelligence” in the 1920’s identified by F.L Thorndike. In 1990John Mayer and Peter Salovey di the research that led to “Emotional Intelligence.”

The world got onboard in 1995 when Daniel Goleman published his book “Emotional Intelligence.”

At the core of the book is the following statement:

“We are being judged by a new yardstick. It’s not how smart you are but how you are smart. The technical skills or the business expertise that so often propelled people to the top are not the abilities that make you effective in inspiring people, in guiding people, in coaching people, in developing people, in motivating people.”

In an International Study of 515 senior executives delivered interesting results. An individual’s emotional intelligence was proven to be a better indicator of success than having strong technical skills, previous experience and the standard “IQ (Intelligence Quotient).” Dr. J.P. Pawliw-Fry, who works with Olympic athletes as well executives refers to a study of sixty of the top US entrepreneurs that states – “Fifty-nine of the sixty went with their gut feeling first and then backed it up with rational reason when they made important decisions. The gut feeling is real. I t helps people make better decisions.”

Why am I focused on EI this week you ask?

Emotional intelligence can be developed. It can be learned. It is not like your native IQ. It ties back into emotions. As people we can control our emotions. Tough but it can be done. We can choose to express or repress our emotions. This also affects our health. The good old Type A personality has been shown to have increased risk of heart damages.

So now let’s return to the recent theme in this blog – change and technology. Change creates anxiety and employees need to have a good leader to help them overcome their fears related to this change. Without strong Emotional Intelligence leaders will be confronted with resistance to change and even anger at change in the work place. Don’t forget that it is the change agent – the individual who is bringing the change – who is the guilty party in this path of development and change. They are viewed with animosity generally. It is only through strong and effective leadership can this emotional feeling be overcome.

One of the life issues hat I have dealt with in my personal and professional life is exemplified by the question “What would you do if you weren’t afraid?” This best viewed with the decision we made to go into business for ourselves when I was 33 years old. I had a comfortable position and had interesting and challenging work and I worked with talented people in a great Company. Yet it didn’t match what I felt were my skills. I was too impatient, needed more speed in process change and faster growth and development opportunities for my co-workers. But that was a large change. From the comfort and security of a regular income to being completely on your own with the skills and work ethic. I am so grateful that we have the courage to overcome our fears.

How about you?

Are you looking at a process, or a method, or a form or a screen that should be changed? What are you doing to make it change and get better? If the answer is nothing then I want you to ask yourself the same question “what is it that you are afraid of?” The answer can be very revealing and if you can overcome your fear imagine the possibilities. You can make your job, your department, your company and the world around you a better place.

The times have changed and they are still changing and the rate of change is accelerating. What are you waiting for?

The time is now.