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Peak Your Profits: Results rule! Part 1

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Randy Pennington and I have known each other a long time. He’s a talented speaker and author. And, he’s a no-nonsense kind of guy. He swiftly eliminates the BS to deftly focus on the stuff that matters. Like; accountability, relationships, culture, productivity and profitability.

One of the things that quickly united Randy and I is our passion for results. Heck, he even wrote Results Rule! That’s why I wanted him to share his insights, candor and results strategies with you. Here are excerpts from our conversation:

Jeff Blackman: You say every organization has “DNA,” how so?

Randy Pennington: Think of DNA as an acronym for how successful people and organizations operate. The “D” stands for discipline. Do you have the discipline to follow through on your beliefs and commitments? The “N” stands for nature. It’s how you approach what you do. Market place heroes operate from a nature of service, stewardship and integrity. Your customers and employees can tell if your nature attracts or repels. The “A” stands for attitude and represents how you look at the world. The best companies operate with an attitude of success and accountability. They expect to perform well.

In young start-up companies we’ve worked with, the attitude can be a little brash. More established companies often have a quiet confidence. Either way, there’s an attitude of expecting to excel that permeates everything they do.

JB: How do you know your culture is in trouble?

RP: There are warning signs. Like a lack of focus on the external environment and short-term thinking. Pay attention when your sales team focuses on internal problems preventing them from making the sale to the exclusion of paying attention to why customers are aren’t buying.

Pointing out areas where you can improve is good; yet allowing internal problems to paralyze performance is the sign of a culture in trouble.

Short-term thinking shouldn’t be confused with ignoring today’s realities. Problems come when the culture mortgages the future for the sake of today. Enron is a great example. The culture made meeting today’s numbers so important, that it accepted actions that put the company’s long-term viability at risk. Other “culture” warning signs are: high performers leaving your company to pursue other opportunities, low morale — people consistently undermining colleagues — increased cynicism — months or longer, of inconsistent performance.

JB: So how do you create the right culture?

RP: Your culture is defined by your habits. Habits are the result of consistent action. Our choices drive our actions. So creating the right culture begins with making the right choices.

We’ve identified six that work in today’s realities: 1. Tell yourself the truth — value candor and honesty. 2. Pursue the best over the easiest. 3. Focus the energy to make the main things the main thing. 4. Leverage the power of partnerships. 5. Show the courage of accountability. 6. Learn, grow, and adapt every day.

Next, you have to change the performance to change the culture. Use your choices to drive performance with customers, employees, vendors, everyone. They affect the way you approach your strategy, set up operational processes, and lead your people. On a more tactical level, look at your operational and people processes and metrics. Are you hiring and promoting people who fit your culture? Are your service processes built to excite customers or frustrate them? Finally, look at what you measure and evaluate. Your staff will pay attention to the performance and results you want and track.

JB: What’s the difference between has-beens, wannabes and heroes?

RP: The biggest difference between has-beens, wannabes, and heroes is their results.

Has-beens rarely, if ever, deliver results that matter to their customers. That doesn’t mean they can’t survive for a long time. Some of the legacy airlines, for example, continue to survive while delivering results that make them a has-been. They’re not innovative or exciting. Has-beens are doomed to mediocrity. Wannabes say all the right words. They have a problem with consistency and execution.

Wannabes take on a new initiative at the drop of a hat, in search of the silver bullet that’ll put them over the top. Some wannabes grow to be heroes with time and maturity. Others never make the transition. These wannabes either go out of business or eke out just enough success to survive, but never flourish.

Heroes deliver amazing results for their customers and have the discipline to do it at a profit which gives them great financial results as well. They’re constantly adapting and improving. They never accept the status quo. The heroes show a high degree of accountability in their constant pursuit of being the best in the hearts and minds of those they serve.

Next week, Randy shares more good stuff on lies, lessons and longevity. Until then, take a peek at www.penningtongroup.comfor other “results rule” strategies.

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Jeff Blackman is a speaker, author, success coach, broadcaster and lawyer who lives part-time on Marco Island. His clients call him a “business-growth specialist.” Send an e-mail to jeff@jeffblackman.com or go to www.jeffblackman.com to subscribe to his free e-letter.

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