Brains are in; heavy lifting is out. That’s the essential nature of the new knowledge-based economy. Therefore, the development of knowledge is close to job No. 1 for corporations.
Tom Peters
The best preparation for tomorrow is doing your best today.
H. Jackson Brown, Jr.
How Panama and Geoversity Newsjacked COP26
Marketing guru David Meerman Scott (DMS) blogged yesterday about how a rag tag team from Geoversity in Panama managed to “newsjack” (a DMS term) the COP26 climate conference in Glasgow (BBC, Bloomberg, Time magazine, etc.). In a lesson on how to beg forgiveness vs. ask permission, please take 2-minutes to read how the indigenous Guna people of Panama brought attention to their plight. Sometimes the backdoor is better to use than the front door, as DMS suggests. FYI, DMS is on the board of Geoversity, an organization I co-founded with Nathan Gray.
Toxic Effect of Branding as “Family”?
This latest HBR article questions the idea of branding your culture as “family-like.” Does this mean the employer is the parent and workers the children? What about letting someone go for performance reasons? More difficult in a family environment. While there are aspects of family that are positive, maybe there are better analogies? I prefer the professional sports team analogy or other models of high performing organizations. Please take 3-minutes to scan the article for some possible reasons to shy away from the family brand, even in family-owned firms. Or watch a couple episodes of “Succession!”
Wide Pay Bands – More from Allied Printing Services
YPOer John Sommers, whose firm has a 10x wide pay band for salespeople ($60k to $600k) also has 2x wide pay bands for other positions – something we recommend in Scaling Up Compensation. The average comp for his 11 customer service reps is $63k with a range of $45k to $89k. Similarly, his 19 production planners (engineers) have an average salary of $89k with a range of $68k to $140k. Wide pay bands with clear KPIs for advancing within the band, is key to establishing an effective compensation plan that accommodates the differences in individual performance. Again, the range of pay within a band should be at least 2:1.
Hiring 90, ESOP Key to Lowest Employee Turnover in 7 Years (Scaling Up Case Study)
This Scaleups.com article details how a 100+ year old distributor of building materials, Palmer-Donavin, is scaling rapidly with the help of Scaling Up coach Rick Crossland. Adding an additional 90 employees this past year, the 560-employee firm will generate $280 million in revenue. One key is the Employee Stock Ownership Plan (ESOP), which has also given CEO Robyn Pollina an advantage in acquiring firms. Notes Pollina:
With similar offers on the table, a selling owner is much better off from a tax perspective selling to an ESOP versus a non-ESOP.
If you are a US-based firm, please take 2-minutes to read through the details of Palmer-Donavin’s ESOP and other employee benefits.
Nextdoor Goes Public Via a SPAC
Led by CEO Sarah Friar, who we hosted on one of our virtual Summits last year, the neighborhood-focused social media firm went public this week via a SPAC. Valued at $4.3 billion on revenues of $120 million, SPAC’s remain a viable way for many mid-market firms to maintain control (you normally give up less than 20% ownership) while giving you an equity component to your compensation scheme to attract talent. We’re helping firms get SPAC-ready, with over $147 billion sitting in SPACs needing to find acquisitions within 15 to 24 months. Email me verne@scalingup.com if interested.
4D Weekly Meeting Template in Align/Scoreboard
Make your weekly meetings even better with our brand new 4D Meeting Template in our SaaS offering called Align/Scoreboard. This meeting gives you a 4D look at the business – and emphasizes the proper sequence of an effective weekly meeting: Discover, Discuss, Decide, Delegate. Now you can customize your meetings to follow this format precisely, saving time in both planning and execution and boosting productivity for each meeting. Schedule a demo here.
Using OKRs vs. KPIs/Rocks?
We have a “switch” we can turn on to use the OKR language instead of KPI/Rocks inside Align/Scoreboard. We’ve also implemented several improvements to the Huddles Meeting view, including easier navigation of your Critical Numbers. Give your teams the same instant and nicely formatted access to your data (mobile ready) as you do the stats of your favorite sports team or figure.
Weekend Countdown – 1-Minute of Wisdom
Enjoy this kickoff to your weekend – some bits of wisdom from a fresh set of wise teachers, updated each weekend.
https://vimeo.com/showcase/weekendcountdown
Order a box of 20 Scaling Up books
Want to save 50% over the price on Amazon? Go to this link.
Planning to Exit?
It’s the most critical decision a business owner will make in their lifetime – and over my 40 years of helping firms I’ve seen owners taken advantage of time and time again – leaving tens of millions on the table. You’re up against sophisticated buyers who have done hundreds of acquisitions – whereas this is often your first rodeo. And these buyers have a formula for ripping you off – and it works. Seeking help, owners find the big M&A firms, especially those specializing in your industry, are more beholden to the buyers than the sellers (they will tell you otherwise). They are not your friend in the process, just another transaction. Email me to get a white paper on what to avoid when exiting verne@scalingup.com.
TECHNOLOGY:
ScalingUp Scoreboard
Integrated with Salesforce, Slack, and Zapier (allowing it to connect with 1000s of systems), use Scoreboard to provide your team (working remotely even more important!) a real time visual dashboard of cascading priorities and metrics. Get a personalized tour of Scaling Up Scoreboard to see how you can use it to better implement Scaling Up in your business.
EDUCATION:
Growth Institute Online Executive Education:
Master of Business Dynamics
Scaling Up Master Business Course
Exponential Organizations Master Business Course
Topgrading Master Business Course
We’re still in business coaching and training firms:
Sydney, Australia - Nov 17, 2021 (In-Person)
Toronto, Canada - Nov 18, 2021 (Virtual)
The New Forest/Wiltshire, England – Nov 18, 2021
Melbourne, VIC, AUS - Nov 23, 2021 (Virtual)
London, UK - Nov 25, 2021 (in-person)
Ann Arbor, MI – Jan 27, 2022 (Virtual)
Dallas, TX - Feb 24, 2022 (In-Person)
Brisbane, Australia – March 23, 2022 (In-Person)
Better Book Club –
What's your team reading? Increase your books read per team member. Easy, Proven, and in the Cloud at http://www.BetterBookClub.com.
Write Your Own Book
Whether you want to make it to the bestseller lists or just sell a lot more of your goods or services, with a profound competitive edge over the competition, Book The Business: How to Make BIG Money With Your Book Without Selling a Single Copy is for you! Request your free copy of this ground-breaking book at advantagefamily.com/scalingup.
COACHING:
Ready to scale but looking for guidance?
Work with a Coach! Scaling a company is hard, but you don’t have to go it alone. Our Scaling Up Certified Coaches™ are masters at guiding you and your leadership team through the implementation of the Scaling Up Operating system, all with a custom and diagnostic approach to each unique company.
Learn more about what it’s like to work with a Scaling Up Certified Coach™ by scheduling a complimentary, personal follow-up. CLICK HERE! Or check out our FAQ’s. Additional questions can be sent to coaching@scalingup.com.
Did you miss previous insights? - read here
Read Verne's Insights on Kindle http://www.amazon.com/gp/product/B003SX13YI
Follow Verne on Instagram: @scalingup2.0
Sign up for Verne's Weekly Insights
Scaling Up,
1660 NE Miami Gardens Dr, Ste 4, Miami, FL, USA
Update your email preferences to choose the types of emails you receive.