10 Ways to Improve Your Interpersonal Skills

Ten Ways to Improve Your Interpersonal Skills
By AllBusiness.com 

Don't discount the importance of interpersonal skills in the workplace. How you are perceived by your manager and coworkers plays a large role in things as minor as your day-to-day happiness at the office and as major as the future of your career. 

No matter how hard you work or how many brilliant ideas you may have, if you can't connect with the people working around you, your professional life will suffer. The good news is that there are several concrete things you can do to improve your social skills and become closer to your colleagues, all of which will ultimately help you succeed in today's working world. 
 

Try these 10 helpful tips for improving your interpersonal skills: 
Smile. Few people want to be around someone who is always down in the dumps. Do your best to be friendly and upbeat with your coworkers. Maintain a positive, cheerful attitude about work and about life. Smile often. The positive energy you radiate will draw others to you. 
Be appreciative. Find one positive thing about everyone you work with and let them hear it. Be generous with praise and kind words of encouragement. Say thanks when someone helps you. Make colleagues feel welcome when they call or stop by your office. If you let others know that they are appreciated, they'll want to give you their best. 
Pay attention to others. Observe what's going on in other people's lives. Acknowledge their happy milestones and express concern and sympathy for difficult situations such as an illness or death. Make eye contact and address people by their first names. Ask others for their opinions. 
Practice active listening. Actively listening is a way of demonstrating that you intend to hear and understand another's point of view. It means restating, in your own words, what the other person has said. Your coworkers will appreciate knowing you really do listen to what they have to say. 
Bring people together. Create an environment that encourages others to work together. Treat everyone equally and don't play favorites. Avoid talking about others behind their backs. Follow up on other people's suggestions or requests. When you make a statement or announcement, check to see that you have been understood. If folks see you as someone solid and fair, they will grow to trust you. 
Resolve conflicts. Take a step beyond simply bringing people together and become someone who resolves conflicts when they arise. Learn how to be an effective mediator. If coworkers are bickering over personal or professional disagreements, arrange to sit down with both parties and help sort out their differences. By taking on such a leadership role, you will garner respect and admiration from those around you. 
Communicate clearly. Pay close attention to both what you say and how you say it. Being a clear and effective communicator helps you avoid misunderstandings with coworkers. Verbal eloquence projects an image of intelligence and maturity, no matter what your age. If you tend to blurt out anything that comes to mind, people won't put much weight on your words or opinions. 
Humor them. Don't be afraid to be funny or clever. Most people are drawn to a person that can make them laugh. Use your sense of humor as an effective tool to lower barriers and gain people's affection. 
See it from their side. Empathy means being able to put yourself in someone else's shoes and understand how they feel. Try to see things from another person's perspective. You can help yourself with this by staying in touch with your own emotions, since those who are cut off from their feelings are often unable to empathize with others. 
Don't complain. There is nothing worse than a chronic complainer or whiner. If you simply have to vent about something, save it for your diary. But spare those around you, or else you'll get a bad reputation. 

Get more tips on career advancement and career development on AllBusiness.com. AllBusiness.com provides resources to help small and growing businesses start, manage, finance and expand their business. Copyright © 1999 - 2007 AllBusiness.com, Inc. All Rights Reserved

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10 Tips on Career Advancement

Ten Tips on Career Advancement
By AllBusiness.com 

Many career experts agree that the best time to look for a new job is while comfortably in your old one. If you're starting to feel unchallenged in your present position, you may be ready for a promotion to the next level. If there aren't many career advancement opportunities where you work, the best next job may be waiting for you elsewhere. 

Nowadays, it's up to you to take control of your professional future and make sure you are progressing wisely down the right career path. Here are 10 proven strategies to help you get started: 
 
Talk to your boss. Sit down and have a very direct and pointed conversation with your boss about your future in the company. Stress that you want your job performance to meet the company's goals. Share your own career goals with him or her. Your boss will respect this display of confidence and maturity. 
Ask for more. Volunteering to help out other departments or teams -- or simply asking for more responsibilities -- increases your value within the organization. Asking for additional work shows an interest and desire to help your department and company to succeed. It also puts a spotlight on your value to the business. 
Volunteer for boards. If you have your career set on something beyond what you are doing in your present position, seek out opportunities to volunteer or serve on advisory boards, where you can build a reputation as someone who is passionate and dedicated to your particular industry. 
Sharpen your people skills. Having strong interpersonal skills plays a crucial role in gaining the respect of your boss and coworkers, as well as attracting the notice of outside influencers who might open new doors of opportunity for you. Be friendly, outgoing, and personable. Listen carefully to people and practice being a clear, effective communicator. 
Be innovative. Never be afraid to think outside of the box and put your business acumen to work. Stay on the lookout for creative solutions to problems that will make you -- and your boss -- look good. 
Find a mentor. Develop mentoring relationships, either inside or outside the company. Recent studies have shown that four out of five promotions are influenced by a mentor higher up in the company. Mentors are also great sources of information and career guidance. 
Sell yourself. Learn the fine art of self-promotion. If you have had major accomplishments or created successful programs, make sure people know about it -- especially those in influential positions who could help you advance professionally. Let it be known that you are seeking a promotion or the next step up in your career. 
Keep learning. A proven way to advance in your career is to be continually acquiring new knowledge. Stay on top of trends or developments in your field and make sure that your current résumé reflects the needed skills. 
Network. Strengthen your personal network by joining professional organizations, attending industry conferences, and even volunteering. The more people who are aware of your strengths and abilities, the better your chances of hearing about any new opportunities that might arise. 
Build your reputation. In business, your reputation is the most valuable thing you own. Be known for being dependable, professional, and cooperative. Act and look the part by dressing professionally. Make a name for yourself by attending conferences, delivering speeches, or writing articles. 

Get more tips on career advancement and career development on AllBusiness.com. AllBusiness.com provides resources to help small and growing businesses start, manage, finance and expand their business. Copyright © 1999 - 2007 AllBusiness.com, Inc. All Rights Reserved.

http://atlanta.bizjournals.com/business_resources/hr_hiring/allbusiness/11128/

Only The Adaptable Survive: Keys To Success Amidst Chaos

Only The Adaptable Survive: Keys To Success Amidst Chaos
By Terry L. Brock

Yikes! The headlines are scary. The financial melt-down continues as I type this article. You have the advantage from this publication to see what is happening since my original thoughts were penned (okay, typed on my computer). You have access to the latest, cutting edge news and “This breaking news just in…” information that is spewing out from Blogs, Cable News, podcasts and more.

[Be sure to check out the video below. It is an interview I did with Bill Lampton, PhD about adapting to change in the midst of crises going on in the world.]



Many on Wall Street have suddenly discovered, and soon many on Main Street may soon discover, that the past doesn’t equal the future. Grand and glorious ideas of a “new way” of doing things which are not embedded in the rock-solid principles that work just seem to fizzle when facing the real world. Doing stupid stuff still doesn’t work, no matter how we dress it up. To borrow from a current theme in politics, lipstick, no matter what color or how pretty, still doesn’t keep the pig from being a pig. Making bad loans to unreliable borrowers is a bad idea no matter how it is dressed up with pretty language.

However, in the midst of this current crisis-of-the-moment, there are some sound principles that will not only help you in this current financial crisis (and it is a doosey!), but into the future as there will be more crises coming. No, I’m not a psychic, but I can predict — with high levels of accuracy — that there will be further crises in the future. Oh, I’m also predicting that Winter will be cold followed by a thawing in the Spring and warm weather next Summer!

But you see, that is just the point. Predictions are easy when you base them on time-honored principles. Sure we don’t know the specifics, but if we can spot the trends and take advantage of these trends, we’ll always do well.

Ken Lewis is CEO of a little country bank. He is based in Charlotte, North Carolina. Okay, his “little country bank” is that of a real country — Ken Lewis is CEO of Bank of America. He followed important principles by stepping up to purchase Merrill Lynch when the crisis offered that opportunity. He adapted to the situation. He seized the day and made the most of what was, and is, a most difficult situation. Some would deride him as an opportunist. Throughout history, many have complained about those who purchased assets when “blood is running in the streets” as being ruthless and cold-hearted.

I would say this is just following key principles that work. Many millions were made in the Great Depression in the 1930’s as assets plummeted in value. Those who stepped in and wisely made purchases of value were able to realize great profits later. Successful people focus on the long-term and how to create value. This works in any market. Focus your attention on how to create value for others and you’ll do remarkably well in any market.

This past weekend I read Herbert Spencer’s classic, “The Man Versus the State.” He raised many good points about the encroaching power of government to squelch individual initiative and growth. The principles he cited in the 19th Century continue to resonate today. He was the person to coin the phrase, “Survival of the Fittest.” He was paraphrasing Charles Darwin’s work. I find it intriguing to think about that as well as what Darwin originally said,

“It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change.”

These words were never more true than today. The world is different today. We have to prepare ourselves mentally, physically and spiritually to adapt to the new environment.

Of course, this has always and will always be true. Prepare yourself mentally by studying and learning. Even more important, learn to unlearn. Learn to get rid of what doesn’t work. Feed your mind with good quality, timeless information. Yes, the crisis of the moment and “This breaking news just in…” gets our immediate attention. However, what matters long-term is the rock-solid principles of creating value, helping others meet their needs and doing what is right. At any given moment, it could appear that the laws have changed. But rest assured that as we lock into time-honored principles we succeed. Build your own future on a solid foundation.

In the midst of locking into solid value, we must remain flexible to adapt. Learn new technologies. Learn new procedures. Adapt your tactics to fit new realities. Thomas Jefferson said it well, “In matters of style, swim with the currents…. In matters of principle, stand like a rock.”

In the field of technology, we see Microsoft fading and not as important as it once was. Google and Apple are the current rising stars. A new way of dealing with technology is upon us. However, this too, will change. Lock into serving customers and helping them with practical technology and you’ll go far.

Read the classics. Understand the time-honored principles, which help us to be more adaptable — whatever is coming. Great minds have gone before us and faced their own crises. Some succeeded. Some did not. Learn what worked and adapt to today’s environment. True, the past does not equal the future. At the same time, key principles remain and will always be true.

Napoleon Hill told us long ago that each failure or setback carries with it the seeds for even greater rewards and benefits in the future. Look for the opportunities amidst the calamities we hear on TV. Consider turning off the TV and reading some good books instead. You’ll gain more relevant knowledge — and your doctor will probably be pleased with your dropping blood pressure!

This would be an excellent way to adapt in the midst of the current crisis.

Terry Brock is an international marketing coach and columnist who helps businesses market more effectively, leveraging technology. He shows busy professionals how to squeeze more out of their days using time-honored rules and practical technology tools. He can be reached at 407-363-0505, by e-mail at terry@terrybrock.com or through his website at www.terrybrock.com.
3 Responses to “Only The Adaptable Survive: Keys To Success Amidst Chaos”


Ron Ball Says: 
October 6th, 2008 at 1:25 pm 

With Terry Brock, it’s not about reacting to outside circumstances, it’s about being response-able. It’s about continuous growing and learning. Great post, Terry. You consistently provide good, solid advice and information. With an overload of e-mails and newsletters hitting my in box, your video e-mail notifications and blog stand out. I look forward to reading and viewing them. You clearly know how to positively think things through and provide added value to your readers and clients. Here’s to you!
Dr.YKK Says: 
October 3rd, 2008 at 10:22 pm 

Charles Darwin, “It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change.” For people, it is not about evolution. It’s about creativity and innovation. As Bill Gates said,” During an economic downturn, it is essential to have an innovation upturn.It is critical taht companies invest in creativity and innovation
Dr.YKK
Chief Mindunzipper
http://www.mindbloom.com.au
Plant Materials Says: 
September 16th, 2008 at 8:52 pm 

Success is to be measured by our personal goals we set, measured against what we have accomplished. Plant Materials

http://www.terrybrock.com/2008/09/only-the-adaptable-survive-keys-to-success-amidst-chaos/

Sure-Fire, Guaranteed Way To Build Business In A Tough Economy

By Terry L. Brock

The whole point of Relationship Marketing is to connect with people where they are and meet their needs for profitable business. Having instant access to important contact and reference information is vital. Today’s mobile professional needs access to email, phone, cell numbers and that important tid bit of information about contacts. This information needs to be available on a laptop, a mobile Smartphone, iPhone or other portable device.

Well, I’m excited about a new device that is custom-designed to build your Relationship Marketing. It is the new CardScan for Mac. This tool can make money for you. I use it on my MacBook Pro and you can use their similar products on your computer.



To test this for you, I entered several business cards into my Mac with CardScan. The cards scanned rapidly in less than 5 seconds on average. Since business cards don’t follow a standard format there is always going to be a challenge reading them optically. However, I was able to do a quick visual scan and correct even the most egregious misreads within a few seconds. This is not bad, when you consider that these cards represent real people who are real important and can lead to generating real business.

CardScan has the ability to quickly scroll through business cards using their image view feature. This is a great tool to jog your memory about key people. It is similar to Leopard’s Coverflow. Imagine being in some distant hotel room trying to drum up business. Rather than carrying thousands of cards, you have the images, as well as parsed details, available with a few taps on your keyboard. This is great to connect with important people and strengthen relationships.

I was able to sync with Address Book and Microsoft Entourage quickly. I found that when I entered the card into CardScan, verified it and then selected Export to Address book, I had an immediate copy of it in Address Book and Entourage. Nice! Further, when synched with my iPhone all the newly entered data transferred for immediate availability. Total time for a new card from scan to available on my iPhone? About 3 minutes and that included updates on all my iPhone podcasts!

An area where CardScan disappoints is with groups. Group creation would be easier to target and segment contacts. This is more effective marketing. Instead, all contacts come into one large heap of names. Segmenting by groups would be most helpful. Hopefully the next version will allow this.

My system slowed considerably when I exported my Address Book (with 3,685 contacts). This impedes doing business and needs to be corrected whether this is a problem with my system or a bug in the new version.

Overall, this is not just a way to quickly scan your business cards. Yes, it does that extremely well. This tool is a serious way to increase business, organize your life and build your business not only in a tough economy, but any economy. A mobile professional who is serious about business would be short-changed without CardScan as a business-building tool.

(CardScan for Mac, $259.99, 1.800.640.6944, www.CardScan.com)

Building Business In A Tough Economy

That leads to a very important principle. Whatever technology you use, it is vital to stay in touch with important people. During tough economic times the average person will get depressed, have fear about the future and feel like all is lost.

The successful salesperson and business owner today has those same feelings. This is normal. However, the successful person goes beyond that and has the determination to acquire new skills, build new contacts and embrace a “do whatever it takes to grow out of this” mentality.

Be the successful person you know you can be. Yes, we’ll embrace new technologies as they come. But remember the solution is NOT in the technology. The solution is in your mindset and the attitude you have to learn, grow and get up when (not if) you fall down.

Acquire the necessary skills. Be willing to pay the extra time, money and effort it requires to learn and grow. The first step to success is having an indomitable spirit in the face of any challenge. That principle is needed today and will be in the future.

Terry Brock is an international marketing coach and columnist who helps businesses market more effectively, leveraging technology. He shows busy professionals how to squeeze more out of their days using time-honored rules and practical technology tools. He can be reached at 407-363-0505, by e-mail at terry@terrybrock.com or through his website at www.terrybrock.com.
2 Responses to “Sure-Fire, Guaranteed Way To Build Business In A Tough Economy”


Wayne Berry Says: 
October 4th, 2008 at 1:32 am 

Terry, another excellent video. I watch every one of them. What you are talking about in this one is so true. In my platform presentations (I’m a professional speaker from Australia) I have been sharing this same concept for years since it helped me turn the adversity I was facing in 1989 into an opportunity. We had an airline dispute in Australia that year which went on for nearly 1 year with no airlines flying domestically in Australia. It was commonly called “the airline pilots disputer” of 89 /90. Then Australia also fell into a huge recession for about 3 years. People lost their jobs, their homes, their businesses. When faced with adversity we can do what 90% of people do - winge and complain that “someone” should do something to fix it - called “laying blame”. But in doing so we abdicate taking any responsibility for improving our own situation ourselves. The answer of course is to take 100% responsibility for where we are at, and then 100% responsibility for where we want to be. Once I learned this, in 1990 I launched a new division of my then 13 year old company and took a new direction to help sales people and business people to gain more business by serving others more professionally in tough times. This was the birth of my very succesful TOP GUN Sales Academy (www.wayneberry.com.au) and my company is now in it’s 30th year, and again these tough times create an opportunity for us to help sales people and business people to improve their skills to gain more business and as you said, it’s time to improve our skills now so we can prosper in tough times. Keep these great ideas coming. I really like the videos too and you have inspired me to turn my 15 year old email newsletter into a video blog and my clients love it and prefer the video to the written text. We have also moved with the times and now train and mentor sales people and sales managers all over the world through our on-line programmes. We combine video learned with support from a “live” coach helping them to implement the ideas. Enjoy good times ahead Terry and thank you for the inspiration you provide to so many of us around the world today.
Dr.YKK Says: 
October 3rd, 2008 at 10:13 pm 

“Be willing to pay the extra time, money and effort it requires to learn and grow. The first step to success is having an indomitable spirit. ” Well said, Terry. I still remember the words of Robert Schuller when he gave a talk during the Asian finnancial crisis. He said, “Don’t worry about the recession out there. Just make sure there is no recession up here (pointing to his head).”
Dr.YKK

http://www.terrybrock.com/2008/10/sure-fire-guaranteed-way-to-build-business-in-a-tough-economy/

The entrepreneurial way to succeed in crisis

2008-09-29 by Terry Brock 

How can you succeed in the midst of calamity all around? Today's news seems to be a daily stream of "Oh my goodness--- did that happen too?" 

It can be discouraging for entrepreneurs - and aren't we all today? Just ask the people who were formally employed by large mega-companies who thought they would be secure with a company that had been around seemingly forever. Now they are out on the street, looking for work and employing every entrepreneurial skill they can muster. 

You and I watch the news and think about how it is going to affect our individual businesses. We wonder if that deal or this opportunity will come through. Seems that everyone is saying "No" with an added exclamation mark to considering new business. It can be discouraging at first. 

However, all is not lost. No, the end of the world is not nigh. Yes, times are challenging (again) as they are from time to time throughout history. This is normal. Chaos is normal throughout history. 

Our ancestors faced struggles far beyond what we're seeing today. They would have welcomed the challenges we're facing far more than the life and death (literally) issues they faced. 

So what can you and I do as business owners and salespeople to succeed in this crisis - or any crisis in the future? This week I want to share some ideas which have helped others and which can help you. Also, I want to share about a new device that can help in learning and relaxation, which are both important today. 

1. Realize This Is Normal. Crises come and go throughout history. It is the way of human nature. This knowledge helps us to gain that all-important mind-set that we can handle it just like others have before us. 

2. Take Stock Of Your Inventory. Take stock of more than your physical inventory. Look at the skills you have personally. Often I speak for groups who are facing enormous challenges and changes in the way of doing business. Some of those changes mean that what they did before will never come back. Now is the time to do an inventory of your real skills. What serious business-valuable skills do you have which can be enhanced and remolded to face challenges others are enduring? Adapt. Change. Know that you are more than what you've done in the past. 

3. Follow The Pain. This admonition is something Michael LeBouf has advocated for years. Find the pain others are experiencing and help to solve that. As you solve their pain, they will be willing to pay you - and yes, even in serious hard times. It might not be as much as before, but an astute entrepreneur will be able to make it happen. 

4. Enhance Your Value Skills. This is a wonderful time to add to your mental storehouse new skills which are highly valuable to others. Study what they need and are willing and able to pay for. Be creative. Then provide that to them at a reasonable cost. School is never out for the professional. In today's environment, "school" - that ability to constantly learn and add practical knowledge - is more important than ever. 

5. Stay Positive. This is a lot more than a fake, Pollyanna-type pumping up of emotion. It is the hard-driven, determined attitude to find the good in any situation and enhance that. Talk about possibilities, not problems. Yes, we have "challenges" (a better word) and yes we can handle them. We'll become even better handling these because of what we learn going through this. 

Yes, times are tough. That is good as it helps us develop and become more of the best we can be. Don't squander this golden opportunity. Now is the time to serve others and by doing that we help ourselves. 

And while doing that, here is a tool that can help leverage your ability. 

Recently I had the chance to experience the orbitsound T3 portable battery powered stereo speaker. What an amazing device! 

The T3 weighs 115 grams, so light you'll barely notice you have it. It is about the size of a small iPod. The sound quality it projects is spine-tingling with clarity. As a personal stereo you can wear it around your neck and listen to your iPod or other audio device. I plugged my iPod in and listened to spoken word audio, gorgeous, room-filling Mozart and some serious rock n' roll. The quality of sound rivaled what I've experienced with wall-mounted stereos costing a lot more. 

In business this is a great tool for projecting a great sound in a small conference room meeting. Take that sales presentation to prospects and demonstrate your new products and services. Then after closing the sale, enjoy just the right music as you celebrate! 

If you're mobile and enjoy audio, this is a tool to examine. It is the next generation in portable quality sound for the serious businessperson who wants to succeed --- and enjoy some great tunes! 

(Orbitsound T3, $149.99, www.orbitsound.co.uk ) 




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Drive business forward by watching key indicators

Drive business forward by watching key indicators
Atlanta Business Chronicle - by Tom Barry Contributing Writer

Many business owners aren't numbers people, but rather creative entrepreneurs intent on growing their business. 

But numbers matter, especially when times are tough, says consultant, author and speaker Kraig Kramers, who this month is coming out with a mini-book -- "Kick Start Profits With Key Indicators" -- that identifies practical benchmarks that CEOs can employ to spur growth and identify problem areas. In short, live to sell another day. 

"The recession has caused an awful lot of executives to have problems," said Kramers, president of Corporate Partners Inc. in McDonough. "But if they adopt the right indicators, they'll run their business much better today and when the economy returns to normal." 

Saying that survival is literally the name of the game today, Kramers urges CEOs to employ three major financial indicators: 
A daily cash report and weekly cash reforecast, to obtain a quick snapshot of the company's financial situation. 

"Cash is the lifeblood of a business," he said. 
A reckoning of operating expenses as a percentage of sales, ideally on a 12-months-trailing basis. Depending upon the business, the percentage should be between 12 percent and 20 percent, he said. 

"Over the past year, this indicator has really come into play. Expenses can get out of control. You need to operate within a safe range." 
Identifying and tracking the single component within the company that most contributes to revenue growth. 

"You should start measuring and tracking whatever that may be and act on those findings," he said. 

Andy Vabulas, president of I.B.I.S. Inc., a computer consulting company in Norcross, put the indicators into practice a year ago. 

"It's the difference between driving with your headlights off and turning them on," said Vabulas, who heads a 38-employee, $10 million operation. "We now do 10 or 12 trailing-12-months reports on such things as revenue, expenses, profit and utilization. If anything is going askew, it shows up. The indicators have really helped drive our business forward." 

Before, Vabulas focused mainly on the standard profit-and-loss statement and balance sheet items. 

Norcross-based Mingledorff's Inc., a wholesale distributor for Carrier Corp.'s heating and air conditioning products, also is employing Kramers' tenets. CEO Bud Mingledorff said 12-month-rolling charts are much more effective than year-to-date comparisons. 

"Usually it takes six months to get year-to-date numbers to even show a trend," he said. "Comparing this January to last January is pretty meaningless. What 12-month charts do, with no effort, is drive the concept of continuous improvement into an organization. It's like running a company on a 30-day sprint all the time." 

Mingledorff's is a 300-employee, $165 million company. 

"We run a pretty open organization, and we publish the charts every month showing how the company is doing," he said. "We're literally creating a culture in which we're always trying to do better. These charts put that concept on auto-pilot." 

Kramers, author of the 2002 book "CEO Tools: the Nuts-n-Bolts of Business for Every Manager's Success," said it's amazing how few CEOs use such indicators. 

"The other day I was coaching a CEO who was running out of cash, and that's happening everywhere today," he said. "By cash, I mean not only money in the bank but what's available in a line of credit. It's gathering all such information together, measuring it on a daily basis, and then reforecasting it over the next six weeks. 

"Look, thousands of companies go under every year," he said. "Bankruptcies were up in 2002 and are up again in 2003. Something as simple as forecasting how much cash you'll have over the next six weeks can keep you out of trouble." 

It's not only the bad times that get you. Rapid growth can sabotage a company as well, Kramers cautioned. 

"You've got to understand that you can grow yourself out of business," he said. "Growth gobbles up cash for breakfast, not to mention lunch and dinner. Cash goes into accounts receivable and inventory. Think about it, unless you're in retail, you won't collect on an order for days or even months later, yet you've put all that money into creating a product or service and then delivering it." 

Operating expenses can readily surge, which is why they should be closely monitored as a percentage of sales, he said. Typically, personnel costs are the big-ticket item. 

"Most CEOs don't watch how big expenses get relative to revenue," he said. "But it's important. Most distribution companies, for instance, only make 18 to 20 percent gross margin, so they've got to keep their operating expenses under, say, 15 or 16 percent in order to make any money at the bottom line." 

Kramers said identifying the major driver of revenue will focus the CEO's mind. 

"A business may need to add more salespeople, make more telemarketing calls or increase requests for proposals," he said. 

Perversely, companies often cut back on their key revenue driver during a recession. The sales force may be reduced or the advertising budget cut, when the opposite should occur, he said. 

Eighty percent to 90 percent of all businesses fail to employ two of the three key indicators, Kramers estimated. In light of the economy, he added, more and more companies are at least controlling operating expenses. 

"I probably spoke to 2,000 CEOs last year, and many said they made more money in 2002 than in 2001," he said. "Sales weren't up much, maybe 1 or 2 percent, if at all, but they made money by controlling operating expenses." 

Kramers, 60, speaks from a long career in the corporate trenches. He himself has run eight companies (ranging from $1 million to $250 million in annual sales), negotiated more than 70 acquisitions and served on three dozen boards of directors. 

In the recessionary early 1990s, he spearheaded the rapid turnaround of Snapper (lawn mowers) in McDonough, taking it from a $54 million loss one year to a $13 million-plus profit the next. Today, the well-known corporate coach gives about 130 speeches a year, mainly before top-level executives. 

Kramers is a frequent speaker at seminars sponsored by The Executive Committee (TEC), the San Diego-based organization that serves as a resource for chief executives.

http://www.bizjournals.com/atlanta/stories/2003/05/19/smallb2.html