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ONTENT

table of In every issue

Business sense

6 Professional Of The Month

26 Recession Rx

8 A Little Off The Top

28 Loss of Dreams

10 Letters To The Publisher

30 Let Go to Grow

12 Inner Sense

27 Power of Cult Branding

24 Salon Of The Month

34 How Selfishness Eats Growth

46 Continuing Education & Tradeshow Calendar

Business sense 12 Motivation needed more than ever 14 Mentally Tough Resilience 18 Top Ten Survival Tactics in a tough Economy 20 Boomerang Think 22 Double your Profits

on the cover Photographer Jill Gosser Hair Designer Liza Espinoza Make up Artist Steven Ledell Model Nicole Black

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 â&#x20AC;˘ WWW.SALONSENSE.COM

THE SOLUTION GUIDE FOR SUCCESS

TEAM MEMBERS publisher

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Jay Arthur John Haskell Scott Jeffrey Carol Ring

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Randy Friedman Thomas Houck Dr. Nancy D. O’Reilly Joe Takash

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SalonSENSE (ISSN 1528-1787) is published monthly with a combined JANUARY/FEBRUARY issue by Hush Media Group, Inc. P O Box 4778 Chicago, IL 60680. (312)951-6699. Application to mail at Periodicals postage rates is pending at Chicago, IL. US subscription price is $32 for one year. Canadian subscription is $42 for one year. International subscription price is $105 for one year. SalonSENSE accepts no responsibility for unsolicited material. Reproduction in whole or part of any material, without written permission for the publisher is prohibited. The publisher does not adopt any such statements or claims as its own and any such statements or claims does not necessarily reflect the opinion of the publisher. SalonSENSE is register in the US patent and trade mark offices. POSTMASTER: send address changes to SalonSENSE Magazine, P O Box 4778 Chicago, IL 60680-4778.

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professional of the month

Hot Secret

When asked how she wants to be perceived within the ever-growing Canadian hair-and-beauty industry, her immediate reply is, “My name is Hot Secret and I love hair”. It is this simple yet focused philosophy that has allowed Hot Secret to become one of the foremost rising stars among the galaxy of Greater Toronto Area hairstylists. Her enthusiasm and passion for her craft are infectious, effortlessly generating an aura of class, sophistication, professionalism and funk, in and around her Scarborough-based salon, Secret Hair and Nail Design. Perhaps the flare for momentum and precision she became accustomed to as a sensational high school track-and-field star lent itself to Hot Secret’s career-path. Since storming onto the Canadian beauty scene just over a decade ago, Hot Secret’s work has been featured in Sophisticated Black Hair, Salon Sense, Pride Newspaper, The Toronto Sun, Urban Style, It’s Your Time T.O., and many other print media. Her styling of Canadian Idol standout Toya Alexis was the epitome of edgy elegance, and she provided a fresh new air to the always-beautiful Royette, host of Caribbean 6

Vibration Video Countdown. Hot Secret has made waves in the Toronto competitive-hairstyling circuit, capturing the highly-regarded Salon Presentation of the Year in both 2004 and 2005 at the Hair Show Extreme Hair Extravaganza. Yet despite surpassing many milestones in her still-blossoming career, Hot Secret feels as if she is only beginning to make a mark in the industry. Harboring the soul of a teacher, Hot Secret has an agenda to raise the bar of professionalism in the hair-and-beauty industry through her unyielding dedication and commitment to excellence. She places great emphasis on the notion of giving back, and subscribes to this principle as the central pillar of both her business and personal life. One of Hot Secret’s objectives for the near future is to open her own hair-design institute, so that she can instill upon the next generation of stylists the passion and attention to detail that has lead to her own success. Hot Secret has a wealth of experience, in both a beautification and business sense, and she feels as if she is ready to reinvent some of the central paradigms associated with the Back hairstyling field. She is well-versed in executing desired looks with pinpoint accuracy, and it is only a matter of time until her brimming creativity makes her a household name as an industry trendsetter.

It is not merely her enthusiasm for hair, but also her client rapport, that has allowed Hot Secret to realize acclaim within her industry. She has earned an exceptionally loyal clientele base, which continues to expand as increasingly more women leave Secret Hair and Nail Design feeling sexier than ever. A true people person, she operates with the awareness that it is the ideas and individual personalities of her clients that continually inspire her inferno of creativity. Hot Secret recently hosted a gala to simultaneously celebrate her 30th birthday and Secret Hair and Nail Design’s 10th Anniversary. True to her own winning ideology, Hot Secret invited all of her regular patrons to the event as a way of expressing her gratitude for their loyalty along the journey. It was evident from the testimonials on the red carpet that Hot Secret is not solely a hairstylist to the majority of her clients; she is a friend. When a woman walks into Hot Secret’s salon, she can feel entirely confident that she

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

will emerge with a look that is distinctive, unique, and above all else, desired. Hot Secret is genuinely concerned with achieving 100% customer satisfaction, which results in her customers feeling not just revamped, but entirely reinvigorated. Giving back means more to Hot Secret than simply thanking her own customers. Extremely spiritual and loyal to her faith, Hot Secret believes that God assigns a profound purpose to each individual on this earth. Her own pious function is to help individuals to improve their own life, whether by instilling confidence through her styling dexterity, or by uplifting the less-fortunate within her community. Hot Secret executes 5 monthly makeovers to disenfranchised teenage mothers as a part of an initiative she piloted in cooperation with local youth and women’s organizations. Moreover, she works closely with Toronto District School Board, regularly accepting high school co-op students interested in continued education within the hair-design or fashion field. Perhaps the most telling sign of Hot Secret’s devotion to her community is the fact that she has utilized her own salon as an exemplar for positive change. As a part of her own Assist to Succeed project, a portion of her profits are donated to afterschool programs that run out of inner-city Toronto community centres. Hot Secret’s commitment to helping others and giving back to her community has not gone unnoticed. Toronto Mayor David Miller recently presented her with a letter of recognition, in honour of the diligence and graciousness she has displayed in her many community outreach endeavors. The sky is the limit for Hot Secret, especially when one considers the breadth of experience and accomplishment that she has to draw from in her young career. Although she is gravitating toward high-end fashion photography as a result of her widespread media attention combined with the army of patrons who swear by her magic hands, Hot Secret remains humble and community-oriented. With her combination of world-class hairstyling deftness, an arsenal of brand new, cutting-edge signature looks, and her relentless willpower to succeed, this stylist will not be Toronto’s best kept secret for very long.

a little off the top B y R a n d y F rie d m a n

Focus Like Tiger Woods:

Strategies to Help You Win on and off the Course Tiger Woods is one of the greatest golfers on the PGA Tour today and possibly in the history of the game. Whether he’s competing on the golf course or running one of his many businesses, Tiger has learned to use the power of extreme focus and mind power in everything he does. As the crowds gather around him on 18th green, Tiger’s determination and focus are obvious as he lines up his putt on the closing round of golf Sunday. He doesn’t bother to notice that his opponent is watching him like a hawk and the growing crowd is holding their collected breath in anticipation. He moves forward with purpose, lines up and sinks the 25-foot putt ... what seems like magic to most of us, is expected by him. If only the same kind of determination and focus could be learned and applied to life. Think of how many business deals would end successfully. How many more sales would you close? How many more relationships would you build? How many challenges would you be able to overcome? Well, maybe there is a way! The following tips will not only help you sharpen your mental edge, but also help you cope with the challenges of work and everyday life. Here are a few strategies to help unleash the “Tiger” in you, on and off the golf course. Breathe for clarity. When you find yourself in a challenging situation, whether it’s dealing with an unhappy client on the phone or feeling overwhelmed by a bad tee shot, this exercise will help you stay grounded and positive. You can do this exercise either seated or standing. 1. Think of someone, something or someplace you love. 2. Experience the joy that accompanies thinking about that person, thing or place.

3. Close your eyes. (Yes, you can do this at your desk! It only takes a few seconds). 4. With your mouth closed, take a deep breath in through your nose. As you inhale, feel the breath extending down all the way to the base of your spine. 5. Picture the person, thing or place. Keeping your mouth closed, release the breath slowly through your nose. 6. Repeat this exercise three times. This breathing exercise will help you think and see more clearly, while increasing the positive feelings to help move you through your day with ease. You can even make this a habit! Practice it whenever you feel stressed or overwhelmed. Focused “in-sight.” How does Tiger Woods refocus after he hits the ball in the water, regain his focus after a camera goes off in the middle of his backswing, and maintain his laser-like focus to hit amazing shot after shot? He uses his breathing to ground him, his internal words to relax him and visualization of what he wants to happen. When you are feeling stressed or overwhelmed at work, or even outside of the office, you can do the following exercise to help you improve your “in-sight.” 1. Give yourself a 30-second timeout. Just sit down and stop everything else. 2. Take three deep breaths – in and out through your nose. 3. On a piece of paper, write down what you don’t like or don’t want to continue happening. 4. Now turn the paper over and write the outcome of what you do want. 5. Breathe in deeply and sit in silence with your eyes closed picturing your outcome as if it already happened. Become aware of the things that are out of focus around you, and you will help bring your vision into focus.

Affirmations for a mental edge. Affirmations are a great way to improve your thoughts and become more aware of what you want to accomplish, on and off of the golf course. They are even more useful when they are repeated often. Here is a list of ten positive affirmations. Use this list or let them inspire you to write your own! 1. I have the ability to perform my work perfectly. 2. I enjoy being healthy in body and mind. 3. I love to feel happy in everything I do. 4. I am in charge of my life. 5. I am now open and receptive to all ideas. 6. I have definite, deliberate prosperous thoughts. 7. I give thanks for the realization of my desires and goals. 8. My goals come forth with perfect timing for me. 9. I have faith in myself and the people around me. 10. I create positive, creative thoughts and actions to improve my life. *Optional tip: Mind power nap. Do you ever feel like tuning out the world for ten minutes? You’ve got deadlines to meet, board meetings to prepare for and a headache that won’t go away. If you have a private office, or if you work from home, this exercise might be just right for you (but not at the risk of your job). A ten-minute power nap is the perfect antidote for a stressful day. Here’s how to do it. 1. Close your office door. 2. Set your watch or a ten-minute timer, so you wake up from the blissful state. 3. Write down some beautiful places you’ve visited or seen pictures of. 4. Write down something you’d like to accomplish that day or that week. continued on page 39

About the Author Randy Friedman is a corporate golf professional, speaker and founder of Golf Mind Power. She helps others by applying the visualization techniques of golf to business and life. Her new book, “Your Inner Swing,” shows how self-limiting beliefs can affect performance at work, in sports and even in one’s personal life. Through mental exercises and sports hypnosis, Randy shows how to achieve the mental edge to elevate oneself to the next level. For more information or to hire Randy, visit: www.GolfMindPower.com or randy@golfmindpower.com or call: 203-240-7828. 8

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

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I like being able to find all this information on hair and business in one place. I’ve been considering beauty school for a long time but my mother is always discouraging me telling me this isn’t a real job with benefits and things that I need for my daughter. But I noticed that, from the info you provided, a career in beauty is possible. Thanks for the support. J. Baugh Chicago, IL Terri, the magazine is looking good this year. I’ve been a subscriber for a long time, watching the magazine go through changes. When are you going to write a book? Nikki Love Vegas

In the August 2008 issue you all ran something on budgeting. Can you all run a sheet that might show a salon owner what they should be budgeting and how or can you recommend a book where I can find this information? Thanks. Marissa South Carolina I’ve had a problem with credit card numbers being stolen in my salon. You mentioned this type of thing in “Nine Steps to Take if Your Business Becomes A Victim” -- I think it ran January. I want help on preventing this type of thing because even with machines that hide the last digits of the card number you still have to worry about the employee taking the number when

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

running the card and going hog wild on someone’s account. Have you heard about this thing? What do you do? Cynthia Orlando, Florida The magazine has been looking fierce. I’m new to the industry; been doing hair all my life though. I get clients word-of-mouth but I want to expand my clientele. Is there someway I can do a photoshoot to get people in? Can you tell me more about it? Tony New York

inner sense

Motivation Needed More Than Ever:

B y j o e ta k a s h

4 Steps That Work Question: How do you motivate people in an economy that is highly unstable and perpetuates fear?

for business, remember this: People don’t care how much you know until they know how much you care.

Answer: Encouragement, optimism and honest communication.

Client trust and employee loyalty are developed most effectively by those who can be relied upon to connect with others respectfully, timely and competently. How you connect with others when times are hot says a lot about how they’ll respond to you when things go cold.

This may seem counterintuitive to taskdriven managers who focus on the news headlines and the bottom number in their ledger. Granted, the economy is shaky and companies in almost every industry are either feeling the tremors or getting hit head on by the financial power outage. Things have changed dramatically and in a short period of time leaving countless organizations thinking, “I have no control over this.” On the contrary. The market will go up and down but obsessing over it forces good businesses to make bad decisions. A prudent investment is to focus on building human capital and it starts with influencing your people to perform at a higher level. The need for leaders to manage relationships with staff and clients is greater than ever, but what are the specific actions required? The following four steps, if implemented, can help tremendously.

The area where our thoughts and decisions filter through is typically emotional. True “thought leaders” are able to execute at a high level because they can demonstrate compassion and understanding, while maintaining clinical objectivity. A key action step is to be sure to get feedback on how cool you are when times are heated.

STEP Provide frequent updates

Many executives create stress and resentment with those they manage because knowledge of company status is not shared. In the absence of feedback, we will create our own and it’s often negative. When people are uninformed, they work from a place that does little for building trust or morale.

It’s easy to lead when times are #1 good and business is flowing like fine wine. However, when times are stressed, does your impersonal autopilot take over put the business process before the welfare of your people?

A great way to keep teams and individuals informed is to designate time on your calendar to share your knowledge. These updates should be initiated by you, the leader. They must involve honest disclosures of what you do know, what you don’t, what you can share and what you cannot.

You may justify calculated decisions by saying, “it’s business,” but if you need people

A colleague named Jill is a brilliant business development manager. Recently, her

STEP Practice emotional control

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

firm was involved in a merger and she was instrumental to the success and seamlessness of the transition. Ironically, not a single partner on either side of the merger took time to meet with Jill and inform her what role she would play when the transaction was completed. Jill inquired often and the executives, selfinvolved and ineffective in communication, never provided her a solid answer. When she finally gave her notice, you would have thought someone pulled the fire alarm as every big shot made desperate attempts to woo her back and keep her aboard. But it was all in vain. The very effort of proactive communication is not only crucial for competent alignment within organizations, but it can have significant impact on the retention of immensely talented contributors like Jill.

STEP Become an

exceptional listener

Getting people to perform in tough times requires understanding. A checklist for this type of listening includes: • Encourage others to talk: Get your staff and clients to talk about themselves by asking open-ended questions, i.e., “How are things going? How you are doing?” “What suggestions would you give to improve our current working situation?” or “What concerns or questions do you have that I have not addressed?” • When others speak, clarify for certainty: You can accomplish this by repeating what people have said by rephrasing the

their message. “If I’m hearing you correctly, you’re telling me that…” or “Let’s see if I completely understand what you’re saying…” Paraphrasing shows respect for team members and client ideas and keeps miscommunication to a minimum.

Many people believe that they are good listeners, but employee surveys often indicate very few leaders are exceptional. Amid uncertainty, people want information, but they also want ownership, value and yes, even a little bit of therapy. Listen at a deeper level and you’re likely to create more committed and confident performers.

with (realistic) optimism STEP Lead Jeff is a long time client and CEO

#4 of what once was a thriving bank. Recently, however, his branch has taken repeated, devastating blows from the swing of the financial market. He is a positive guy, yet in a conversation with him a couple weeks back Jeff said, “It’s hard to smile when you keep getting kicked in the teeth.” Leading in turbulent times can bring the sobering reality of negativity, anxiety and stress. It can not only turn careers upside down, but can take a toll on home lives as well. And while you want to hear the straight story with no strings attached, think about this: Would you rather follow someone who is constantly preaching failures and bad luck or someone who is persistent in finding opportunity?

p h o t o cre d i t: s ecre t

• Eliminate distractions: Many leaders attempt to multi-task which generally achieves little. It’s important to show focus on those you’re listening to by shutting the door, turning off your cell phone, turning away from your computer or forwarding your office phone. Let the person know that his/her message is valued and respected.

Attitude and the behaviors that go with it are contagious. Leaders need to paint pictures that are reflective of the truth, but they must also speak about possibilities. It’s easy to get swept up in the bad news, but the mettle of our character is how we get off the deck when we’ve been knocked down. In the situation with Jeff, he remains optimistic that things at the bank will not only stay afloat, but rebound for the better. In talking to those who work for him one bank employee said, “There is not leader I’d rather follow than Jeff. He’s been supportive of the uncertainty and worries of his employees.” Jeff remains resolute throughout, preaching,

“Times are tough, but we must be tougher and realize that our success will be the result of our conviction to seek solutions and be persistent.” Again, it’s a heck of a lot easier to lead with optimism when the times are in line with the message. But now is when real leaders are challenged, navigating unfamiliar territory they’ve never been. In continued studies of how relationships impact business results, the need to establish and cultivate business connections is greater than ever. Remember, people think on logic, they act on emotion. Motivating others requires action.

About the Author Joe Takash, author of the newly released “Results Through Relationships: Building Trust, Performance and Profit through People,” (Wiley, 2008) is a business consultant and keynote speaker. As founder of Victory Consulting, Joe helps clients such as American Express, Prudential and General Motors, build morale, results and profits through relationships. A syndicated columnist, Joe has also been interviewed in Entrepreneur, Selling Power, Crain’s New York and MSNBC.com. Visit www.joetakash. com or call: 888-918-3999. SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

DEVELOPMENT sense

Get Mentally Tough:

B y Dr . N a n c y D . O ’ R eilly

Seven Secrets to Resilience During Difficult Times Change is not always easy; in fact, for many of us change is downright difficult. Humans are creatures of habit. We like our world to be predictable, and we want to know what to expect in our lives, moment to moment. In today’s world, however, change is part of life. It is now easier than ever to hear of someone loses his job, foreclosing on a home, or breaking up with a loved one. With all these negative changes, it is difficult to know what to do. When life hands you a bunch of lemons, do you fall apart and spend months trying to recover or are you resilient? Do you weather the ups and downs, only to come back stronger or do you hide under a rock until the storm blows over? During these trying times, wouldn’t it be nice to develop a sense of resilience? Resilient people are “mentally tough.” Think of them as you think of the Energizer Bunny – someone who keeps going and going no matter what. Those who are resilient are able to overcome difficult situations and remain cool, calm and collected. They are ready to seek solutions and get back on track. They do not let disappointments deter them from what they want – instead, they stay focused and plan to be successful. But how can you develop this kind of strength and perseverance? What is the secret? We can all learn to be more resilient and mentally tough. It’s all about being in the ideal psychological, physical and emotional state, in order to perform at peak levels. Performance is about how we go about our lives, how we behave, feel, think and do our

jobs. Regardless of where we perform these functions and responsibilities, it is important to know how well we are doing and how we can improve or change. If you want more out of your life, whether it’s to do better on the job despite the economic downturn, or enhance your skills in spite of previous roadblocks you’ve previously faced – then it’s time to make changes and get mentally tough. Here are seven tools to help you become more resilient:

Start breathing

Get more physical activity

This activity actually prepares your body for better performance. Are you holding your breathe right now? The more stressed and tense you are, the more likely you are to hold in your breathing. In fact, you could also be experiencing headaches, back aches or tightening shoulders. Here’s a prescription for you: Take three deep breaths of air and let them out slowly. Count one, two, three. This creates good circulation and steady breathing for the rest of your day, no matter what situations you face.

Call it exercise or whatever you want. Anything that gets your heart pumping creates important, positive changes in your body. Exercise not only improves our physical bodies, but it also improves the mental. It gives each of a sense of control, and as well all know, control is important to us as human beings. Activities such as

About the Author Nancy D. O’Reilly, PsyD, is a clinical psychologist, researcher and founder of the online resource WomenSpeak.com, based on a decade of research. A member of the American Psychological Association with more than 25 years of experience, Dr. O’Reilly counsels clients on topics ranging from mental health and stress to relationships and careers. She is author of the forthcoming book, “Timeless Women Speak: Feeling Youthful At Any Age,” and hosts a radio program, called “Timeless Women Speak.” For more information, visit her website: www.womenspeak.com or call: 417-886-7061. 14

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

G a li n a B a r s k aya

DEVELOPMENT sense

brush your hair (or your teeth) with the opposite hand; find a new way to get home after work; even skipping and jumping rope are right-left brain exercises. We use around 11 percent of our brain power, which means there is 89 percent of our brains waiting to get used. Think of all that potential!

running, walking, doing yoga or pilates, going biking, hiking, swimming or playing sports are all great ways to keep your mind and body healthy.

Give your body the fuel it needs

Food fuels your human engine. You wouldn’t leave the house without putting gas in your car when you are ready to take a long drive, right? Yet you might not think twice about leaving for work without eating breakfast. Where is the sense in that? Fill up your tank with energy-boosting whole grains, fruit and yogurt and watch your performance increase.

Get laughing

When the going gets tough, the tough get going, right? Well, when times are tough, it’s ideal to go out and find your sense of humor. Whether it’s a comedy club, a funny movie or getting together with a particularly comedic friend, locating your funny bone will help you release those feel-

good endorphins. This will help not only with your emotional state, but also your physical being. Think about it. When you laugh, you breathe. Try it and do a big belly laugh and see what happens.

Visualize your future

Use your brain

Practice what you want to be and see clearly what you want for your future. It may seem silly, but practicing in your mind, whether it’s a skill you are trying to attain or the dream house you want to move into, can open up the possibilities. Athletes do it all the time. They will visualize the ball going into the hole, or the basketball going into the net. Think and it will be – this hole is one is yours.

The bottom line is mentally tough people, or resilient people, use their brains. It is a muscle and it must be exercised. So, go out there and do brain games. Try out right-brain-left brain exercises such as puzzles, cards and memory games;

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

Stay cool

Mentally tough people know how stay calm and avoid letting their emotions run over them. Here are some tips for that: Try doing some biofeedback; spend the afternoon daydreaming; listen to music; get a fuzzy pet. Last but not least, get rid of those negative thoughts! For example, stop saying “I can’t” and replace it with “I can or I will ...” Most importantly, to be a really mentally tough person you need to get happy! Happiness is a state of mind – not a place, an object, person or thing. Think of the Laws of Attraction. You attract what you think about. Mentally tough people practice being happy and know it is up to them to make it happen. They also know that practicing makes them really good at it. The good news is all of this costs absolutely nothing – you do not have to go and buy a manual or a piece of expensive equipment. Times are tough ... but the tough get going and we can learn a lot from them. Be happy and be mentally tough, and you will be able to handle anything that comes your way!

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managment sense

TOP 10 survival tactics in a tough economy

Jim is a small business owner who’s been watching the economy evaporate in front of his eyes. Stress isn’t the word to explain how he feels. With his wife staying at home to raise their youngest child, his business bears the entire financial burden of funding their mortgage and lifestyle. If the slowdown continues, not only will his nightly tossing and turning get worse, he may have a fullblown nervous breakdown. Jim is fortunate to have a neighbor, Ken, who helps small business owners “lead better lives by running better businesses.” Since his business had gone so well for the past 10 years, Jim never felt he needed a consultant. Until now. His gracious neighbor, Ken, offered Jim two hours of his time gratis to share the “Top 10 Survival Tactics in a Tough Economy.”

Cash flow is king

As a small business owner, you must know how your cash flows. This isn’t fancy accounting; it’s simply tracking how cash comes in versus how it goes out. Take two hours, and use your QuickBooks or check register to get a grasp of this monetary movement.

Trim the fat

Many small businesses experienced a tremendous run in the last 10 years. Since they had good cash flow coming in the door, they allowed fat to accumulate in the things going out the door. Now is the time to look at where your money is going, and eliminate unnecessary items. This includes the business Hummer, that expensive copier lease and the T1 connection instead of basic cable modem. You may need to make some tough decisions about eliminating employees. It’s critical that

you get your cash outflows to a manageable level ASAP.

Look into the future

When clients and projects were rolling, most entrepreneurs believed that new business would materialize whenever things temporarily slowed down. Those times are gone. Analyze what money is coming in during the next three months, specifically from where, and when. Compare this to the new cash outflows that you assessed in the step above. If things are tight, that’s fine; if more is going out than coming in, trim more and find additional income. Do this exercise each month, always looking at least three months out.

Get back to basics

When you first went into business, you may have had to fight and claw to make ends meet. Make a list of the things you did back then to bring in revenue. You probably moved away from many of those strategies when business improved. This is the time to aggressively return to them.

Avoid the evil temptation

Emergency

It’s tempting to use debt and credit cards to borrow your way through slow times. Since no one knows how long this slump will last, borrowing may result in the demise of your business. Say “NO” to using credit cards, the equity in your home, or any other borrowing. Resolve that you’re going to scratch and claw your way through this using the cash flows of the business. You’ll come out stronger in the end.

You absolutely must have cash reserves, just in case. If you have any

money right now, create an emergency fund that equals one, two, or three months of your cash outflows. Put this in an account, and don’t use it unless it’s life or death for the business. This provides a cushion just in case something bad comes along at the worst possible time. If you don’t have cash now, do everything you can to build up such a reserve.

Banker’s hours

Who lays the golden eggs?

If you don’t work on the important things, the important things won’t get done

Your banker is probably as scared as you are. If you’re having trouble keeping up with your obligations, steer clear of him until you can show him a concrete plan for getting cash flows back in shape. Use the steps above to create the basics for the plan, and ask your CPA to help you format it. Once it’s complete, communicate to your banker clearly, and ask him to help you implement it. If it’s a quality financial institution, they’ll want to see you make it, and help you any way they can.

Don’t forget who’s paying your bills right now—your customers. Although you want new business, it’s imperative that you keep your existing ones. Your competition is desperate, and they may try anything to get your customers. Call your clients yourself, ask them how they’re doing, and if there’s anything you can do to help them out. Ask if they’re happy with your service, and what can you do to provide them with an even better experience going forward.

Many business owners are in the same

About the Author Thomas E. Houck, CPA, CFP®, is a speaker, author and consultant whose program, “Your CFO Advantage™” helps business owners grow their businesses, reduce their taxes and lower their stress level. His book, “The Top 10 Mistakes Business Owners Make (and how to fix them) ™” helps business owners develop strategies to lead a better life by running a better business. For more information you can visit Tom’s website at www.heritagebusinesssolutions.com 18

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p h o t o cre d i t: s ecre t

predicament as you. The ones who survive will do so because they’ll do the things above ASAP and get their ship righted. You must make time to work on your cash flows, and improve the customers experience NOW. Set aside a full day within the next week to work on the items above, without interruptions and excuses. You might even consider a Sunday, when things are quiet.

Stress

The difference between which businesses get through this slowdown, and which don’t, has a lot to do with the decisions they make. To make great ones, you must think clearly. When you’re stressed, it’s nearly impossible to make big decisions and show the leadership that’s needed to survive. Some suggestions to lower your stress level include: a daily 10 minute relaxation CD that walks you through deep breathing and stretching; yoga, exercise, or outdoor activities with your family. Anything that allows you to get your mind off things and relax is good. Entrepreneurs have a sink or swim, do or die mentality. Focus on the right things, and you’ll get through this. Jim left Ken’s house knowing he had a tough road ahead of him, but felt he had the necessary tools to face the challenges head on.

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managment sense By Carol Ring

Boomerang Your Way to the

Best Possible Solutions Endless meetings… stalled plans… unresolved issues… poorly recycled ideas. These are just a few of the challenges prevalent in today’s workplace. If you’re tired of getting nothing but blank faces when you ask for solutions to your company’s tough issues and want to go beyond ideas that are nothing more than a tweak of an old process, then it’s time for you and your organization to start thinking in new ways. Unfortunately, the way many people think today rarely allows employees to unlock the limitless potential of their minds. Too often, they seem to be on autopilot, just providing a knee-jerk response to any problem that may arise. The reason for that isn’t so much because of what they think as it is because of how they think. Companies have done so much process improvement and are running at such a fast pace that the truly visionary entrepreneur skill set is not valued. As a result, the corporate world has become an assembly line of production to get things out the door faster and cheaper. And because people are so focused on the problems, they rely on quick fixes or they settle for the first solution (which often isn’t the best solution). Most people don’t use the full capabilities of their mind to find better answers to today’s tough problems. Instead, they’ve trained their way of thinking to follow a straight line, rarely veering off a predictable path. They choose a solution because “it’s how we’ve always done it.” Or they choose a solution

because it’s the easiest or cheapest one. Such a way of thinking limits people’s professional and personal careers. And in fact, often the best answer is not the first one or the obvious one—it’s the one that comes after some clear and original thinking. To do this, you need to release the talents and experiences your team has inside of them with a process called Boomerang Think™. Boomerang in Business A boomerang is a tool and weapon #1 of Australian aboriginal origin that comes back to you if you throw it properly. It is usually carved out of wood and consists of two wings connected at an angle. One side of the boomerang will be slightly curved, and this is usually decorated. The other side will be flat. Of importance is the smoothness of the boomerang, as the wings act as an airfoil. As the air travels faster over the surface of one wing than the other, lift occurs. The angle of the two wings causes the boomerang to fly out straight for a distance and then begin to turn to the left, returning to the thrower. One of the secrets

STEP

merang needs a smooth surface. The same concept applies to your new way of thinking. You cannot have barriers weighing down the flight of ideas. In most organizations, once you announce a problem and a potential solution, people quickly list all the excuses why the solution won’t work: “It costs too much,” “The boss will never agree,” “It would take too long,” etc. At this point, have everyone stop and put all those issues on sticky notes. Put the sticky notes on the wall and instruct everyone to forget about those issues for a moment. Often the solution you need is obvious, but you only see it when you’re issue-free. If you spend all your time talking about the issues and all the reasons why you can’t do something, you’ll never move forward. Therefore, allocate a certain amount of meeting time to voice those issues so you can get them out of the way. If you don’t allow people to voice them, then they’ll silently let the excuses simmer and block the group’s creativity. Remember, a boomerang won’t fly if you weigh it down. Brainstorm or Dream about the Best Possible Solution #3 Once you open your mind and toss the boomerang, you are now into the second step, or the straight part of the flying pattern. This is when you have the opportunity to stretch your thinking and come up with that best possible solution. Have everyone think in terms of limitless opportunities…no boundaries…the sky’s the limit. You may have to do this part in two steps. First, get people warmed up to the idea of thinking creatively. Then, encourage them to take it further.

STEP

to a successful boomerang throw is the smoothness, the lack of burrs or extra weight along the wings. Just like the successful flight of the boomerang, Boomerang Think™ has special features and steps.

STEP

Create a Barrier-Free Environment In order to fly correctly, a boo-

For example, if you ask people to describe the best possible airline flight, they’ll begin

About the Author Carol Ring, vice president, strategic initiatives at Rogers Cable, is a speaker, author and an expert on Integrated Life. Through her presentations and seminars, she empowers audiences to integrate their values with their personal and professional lives. Carol is a co-author of “Awakening the Workplace Volume 2,” and is finishing her book on creativity, imagination and problem solving titled “Who Hid My Crayons?” For more information please call 905-326-3251, e-mail carol@carolring. ca or visit www.carolring.ca 20

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with such answers as, “No lines at the gate,” “The airplane leaves on time,” “My luggage doesn’t get lost.” But are these answers really describing the best possible airline flight? No. These are the “warm up” answers that describe the okay possibilities. Once people are warmed up, they can take it further and start describing the best possible solutions. For our airline flight example, they’ll continue until they start saying such answers as, “I’m in first class,” “I’m on a flight to Cancun for a month’s vacation,” “I’m sitting next to Tiger Woods.” These are the “stretch” answers that start to depict the best possible solutions. Stretch the Solutions Even Further #4 The third step of the process occurs at the apex of the flight. Here you list all the elements of the very best possible solution. At this point, after people voice each possible solution, ask “What would be even better?” Keep asking this question over and over until the answer is amazing. For example, using our airline flight example, the amazing answer might be, “I’m on a private jet flying to my vacation home in Cancun, where I’ll be spending the next six months working on my latest project from my home office, which of course overlooks the beach.

STEP

With me on the plane are my family and my closest friends, including Tiger Woods.” That answer is quite different than simply wanting short lines and an on-time flight. Remember, if the answer is not amazing, then there’s still something better. Assess Your Ability to Implement the Best Possible Solution #5 Just like a real boomerang comes back to your hand, you have to bring your best possible solution back to the current business situation. This is when you take your amazing idea and start to break it down into steps. When you start to break the idea down and brainstorm the components of it, you often find that you can actually do them. Granted, about 20 percent of your idea won’t work. You rarely get it all. But getting 70-80 percent of your best possible solution is way better than getting 100 percent of your first possible idea.

STEP

Throw Your Own Boomerang The following is an example of how #6 to use Boomerang Think™ with a business challenge. Suppose you have to train 300 employees on a new technology. Your sticky notes would include such phrases as “Not enough training rooms,” “Too expensive to rent additional training

STEP

rooms,” “Not enough time to get everyone trained.” Now that the issues are out of the way, you can begin to dream about the best possible solution. In this case it may be to have all the training done in 30 days and to do the training in multiple locations around the city rather than your lone in-house training room so you can train more people at the same time. With the vision of the best possible solution in mind, you would break it down and assess the viability of each individual component. In this case, you may realize that some of your suppliers or clients have offices with training rooms in them. Can you use those? You’re also a member of the Chamber, and they have boardrooms that are free for members to use. Could you use those boardrooms as training rooms? After a few phone calls, you learn that you have multiple options for additional training rooms that are either free or very inexpensive. This is the power of Boomerang Think™. You would never have started the conversation by saying, “Let’s talk to our suppliers or Chamber about training rooms.” Instead, you have to go all the way out with your solution and then come back in with it. So throw the boomerang in your organization today. The results you’ll achieve will amaze you.

managment sense

Double Your Profits

B y j ay a r t h u r

With the economy faltering, customers hesitating and suppliers balking, every company worries about sustaining profits. In the face of these market forces, companies can rarely sell their way to higher profits. Although executives and employees can’t do much about the external forces, they can have a major impact internally. Faced with shrinking profits, companies invariably try to cut costs by reducing staff, paying suppliers more slowly or “cheating” the customer by using inferior quality materials. These quality shortcuts can cripple and even kill a company in the long run. Earnings shortfalls make everyone look for a quick fix. They settle for cheap tricks that damage the company’s reputation instead of focusing on ways to simplify, streamline and optimize the business to cut costs, boost profits and retain customers. There is a better way that doesn’t take forever or cost a fortune.

1. Simplify

Every work area collects out-of-date equipment and materials. Keeping that junk around costs money and clutters the workspace. To trim costs and boost profits, start by going through every nook and cranny and throwing out everything that isn’t related to the current way work is done. Once the clutter is gone, it’s easier to streamline the workflow. Then, organize and label the materials and equipment into consistent locations. It’s not unusual for work materials to be spread all over a workplace, making it difficult to find what is needed, when it is needed.

2. Streamline

The next step is to streamline the business by removing barriers and redesigning the work to minimize resistance and

delays in the workflow. All businesses suffer from Lazy Product Syndrome (LPS). While employees work on the product or service for perhaps three minutes out of every hour, the product sits idle for the other 57 minutes (the 3-57 Rule). That’s why the elapsed time from order to delivery can take weeks instead of hours; hours instead of minutes; or minutes instead of seconds. Take this test: Follow a customer’s order from start to delivery and notice just how little time is actually spent working the order. Notice how much time it spends in an inbox or an outbox or a queue somewhere. Notice how much time it spends waiting on the next step in its journey. The order spends 95percent of its time waiting for something to happen. Have employees wear pedometers and record how far they walk each day. Then rearrange the materials and equipment to reduce their travel time by half. Using this technique in a 2,400 sq. ft. hospital lab revealed that technicians traveled three-to-four miles per day. Redesigning the workspace freed up 400 sq. ft. for other uses. After redesigning the space to put high volume equipment closer to arrival area, they were able to reduce travel by almost 60 percent. In a year, the savings per technician equaled the distance from Denver to Pittsburgh. It also saved seven hours per day. Another option for manufacturing businesses is to stop making more than can be used. One magazine printer had presses that could print a million magazines each day, but the bindery could only handle 200,000 per day. The other 800,000 had to be stored for up to five days. These unbound magazines took up space and were subject to forklift damage that resulted in scrap and reprints. Printing only 200,000 per day freed up the press to handle other jobs in a more timely fashion while still meeting the bindery’s needs.

About the Author Jay Arthur, the KnowWare Man, is author of “Double Your Profits: Plug the Leaks in Your Cash Flow.” He has spent the last 20 years helping companies maximize revenue through the “Lean Six Sigma Simplified System,” a collection of audio, video, books and software. Jay is also the author of “Lean Six Sigma Demystified” and created the “QI Macros SPC Software” for Excel. To plug the leaks in your cash flow, sign up for free Lean Six Sigma lessons online at: http://www.qimacros.com/freestuff. html or call (888)468-1537. 22

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Tip: Make your product or service faster, not your people. Simplifying and streamlining the workflow can cut costs by 20 percent or more, and double productivity. Oddly enough, businesses can be faster without working harder. Simplifying and streamlining also reduces mistakes and the high cost of rework by up to 50 percent. It’s an easy way to start cutting costs and boosting profits.

3. Optimize

Once the workplace and workflow has been simplified and streamlined, it’s time to start optimizing the work process. Every business makes mistakes, errors, defects, glitches and hitches that result in rework, scrap and lost profit. To optimize the delivery of products or services, start counting and categorizing the mistakes, errors or defects. Count: How many mistakes are there in the product or service? Include everything from the initial sales order to customer acceptance. How many times a day do fast food outlets fail to provide everything ordered at the drive in window? How many products have a shortage or oversupply of the nuts and bolts required for assembly? Categorize: What are the most common type of errors, mistakes or defects? Where are they most often made? At which step in the process? How costly is each type of mistake? By categorizing defects in a variety of ways, it’s easy to discover that they aren’t spread all over; they cluster in a

few key areas. Only four actions out of every 100 cause over 50 percent of the mistakes, errors, defects, scrap, rework and lost profit (the 4-50 rule). One wireless phone company had thousands of order errors every day. Only six errors out of 200 error types accounted for over 90 percent of all errors. One New England hospital had three wrong side brain surgeries in one year. Not that many mistakes, but probably costly ones. While it might seem easy to blame the surgeon or nursing staff, the root cause lies elsewhere. People don’t make mistakes; processes do. Properly designed, a process will not let a person make a mistake. This is called mistake proofing. Most modern cars will not start unless the driver’s foot is on the brake and the transmission is parked or neutral. That’s mistake proofing. Electrical plugs have a fat and a thin blade to ensure that they are inserted correctly into outlets. Mistake proofing! Grocery shoppers use shopping lists to make sure they get everything they need in one trip. Mistake proofing! Tip: Fix your process, not your people. By letting error categories narrow the improvement focus, it’s easy to identify the root causes and potential solutions. Oddly enough, one rarely needs more money or more people or more training. Changing the process to prevent problems often solves

the issue. One business switched from stamps to an online postage service, which not only provides postage, but verifies addresses before sending anything. That cut returned mail by 75 percent. And it provides delivery confirmation for free!

Double Your Profits

While companies may not be able to control what happens in the economy, they can control what happens inside of the company. Even profitable companies spend $25-$40 out of every $100 on their “Fix-It” factory. By simplifying, streamlining and optimizing operations, any business can cut those figures down to $5-$10 out of every $100. Adding 20 percent or more back to the bottom line could easily double your profits. And it doesn’t have take forever. Aggressive application of these principles can cut costs to these levels in six to twelve months. Tip: You don’t have to fix everything, just start with the important ones. The good news is that any company can start today by simplifying and streamlining. These two steps will take profits half the distance to the goal. So get started today, even if it’s just your own workspace. Talk about these concepts with coworkers. Stop waiting for permission to make work better, smoother and faster. Start simplifying, streamlining and optimizing today.

Oscar James Salon

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salon of the mont xxxxxxxxxxxxx

Salon 1800, Chicago ís top provider of salon services, has gained significant popularity and respect since its inception in 1990. The first salon (started with four chairs) was open at 1800 North Clybourn in Chicago, IL. As the staff and client list grew rapidly, the team kept the original name and a few years later moved into two free-standing locations: one in Lincoln Park (now 1133 W. Armitage) and Old Town (157 W. North). Salon 1800 is well known for its

extensive variety of services, superior customer service, and unparalleled system for educating its service providers. Salon 1800 Lincoln Park recently moved into a new and larger space with a very urban-fresh design. The salon is constantly buzzing with high energy and feels very cutting edge, but warm and elegant and the same time. While remaining in the Lincoln Park neighborhood, which has been

the Salonís home for so many wonderful years, the salon continues to pursue the goal of providing the best quality and most updated salon and spa services to our clientele. Clients love the salonís color treatments. Specifically they consistently offer a deep-conditioning treatment - Redkenís Chemistry Hair Recovery Treatment is the best- and the Keratin Straightening treatment is a local favorite as well.

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business sense B y J o h n H a s k ell , a k a Dr . R e v e n u e ®

Recession Rx:

Start with Sales Management The news is overflowing with stories of failing businesses. A nearly 100-year-old company has decided to close its doors. The current owners, fourth generation brothers, blame “the economy.” However, their great grandfather survived the crash of ’29 and the Great Depression. Their grandfather survived ups and downs of the post-war era. And dad survived the craziness of the ’60s. But, they decide to give up. There is no question that today’s economic times are tough. But why quit now? It may be that business during the last eight to 10 years was just “too easy.” For business owners who aren’t ready to throw in the towel, it’s not too late to make necessary changes that will lead to recession survival, and perhaps growth. When times get tough, the first place to seek answers is within the sales team. When looking at the sales force, start at the management level. Begin by asking yourself three questions, and then consider the methodology behind them: Question

Is the Sales Manager managing the sales force aggressively?

Having an aggressive sales manager is important because aggressive, smart leadership motivates and inspires sales people in tough times. If your sales manager has not been acknowledged as a really aggressive personality who manages every element related to the sales force, how can your business survive in this tough environment? The first step to aggressive management is to itemize what needs to be managed; this can be done in a variety of ways. Planning sales calls and travel are a good starting point. Sales people need to be highly organized before, during and after the sales call. In a tough economy, there is a real premium on efficiency. Whether you have your own people or reps, your sales manager must impact the way your field salespeople work

with customers; every face-to-face opportunity must be as effective as possible. In most cases, call reports are more fiction than fact. The key is to get your salespeople to create a “Call Guide” to organize, drive and support their sales efforts.

Is the sales manager working with a well-developed sales #2 and marketing plan to drive his team’s efforts into “crash mode”? Question

Moving into “crash mode” is the first step to surviving the recession, and the key here is to identify ways to find and close business quickly and effectively. Organization is critical. When you are in “crash mode,” every detail must be spelled out in writing; therefore, a written marketing and sales plan is vital. Without a well-conceived and wellsupported plan, the sales force is working with one hand tied behind their backs. And remember, effective marketing eliminates excuses by sales people. The sales manager should create a “book” for every territory. The salespeople cannot be left to do it on their own. The sales manager must proactively drive the development of individual customer plans to achieve the sales goals. Salespeople have to be trained to use their sales tools. Are your sales tools really the best they can be? Have you looked objectively at the image your materials present to current and prospective customers? Does your company stand out above the competition? Do you really know? When was the last time you did an objective study of your company and brand awareness? Benchmark now for future growth and success. We have been through very prosperous, high-growth times. In good times, it is too easy to overestimate the strength of our marketing, sales planning and programs. Now, times are much tougher and marketing and sales success is much more difficult to come by.

Top management and in-the-trenches marketing and sales management need benchmarks. However, most small and midsize companies cannot afford big, sophisticated, expensive studies. The good news is that these big, expensive and slow-toobtain studies are useless, and simple, fast, benchmark analysis is available. A simple survey conducted by your own sales force can reveal vital information. But even better, a survey done by a professional interviewing company by phone or in person will reveal even more. Get your information from the people who count. In most businesses the number of customers who actually make a difference is very small. If you have 20 sales territories, there are probably fewer than 20 customers in each territory who contribute the bulk of that territory’s sales. Why not survey the top five in each territory? You will be surprised how much you learn and how fast. Question Would you bet your life on

your sales manager? (You are!!!)

The sales manager is often times your point person for recession survival, so it’s important you trust them with your life – and your income! Now is the time to review the sales manager’s performance, in writing and in-depth. This is not an exercise tied to a compensation review; in fact, compensation should not be a part of this review at all. This review is about your company’s future. In times like these, the company is carried on the backs of the sales personnel. The person who manages, drives and controls the producers must be up to the task. The best way to assure that he or she is with you through thick and thin is to analyze skills, organization and results now and every 30 days from now on. continued on page 39

About the Author John Haskell, aka Dr. Revenue®, is a professional speaker, seminar leader, marketing and sales consultant and author of “Profit Rx.” As a former CEO/COO of divisions of Fortune 500 companies and as president of The Professional Marketing Group, Inc., he consistently demonstrates the value of written marketing and sales planning. He helps his clients write and implement marketing and sales plans, and his “Dr. Revenue Marketing and Sales Clinics” result in immediate sales and marketing focus. For more information, visit www.drrevenue.com or e-mail drevenue@drrevenue.com. 26

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management sense

Mourning the Loss of Your Dreams:

Helping Employees Navigate through Economic Crisis in his 2002 book, Grief Counseling and Grief Therapy, to be helpful. As managers, focusing on the tasks in Worden’s book and combining them with the following tips will help your employees navigate their grief.

b y R i ta M ili o s , L C S W

Task 1: Accept the Reality of Your Loss Everyone resists facing reality when they fear it, and they fear that which they don’t want to happen. But the sooner the situation is accepted, the sooner it can be dealt with.

Because of the current economic crisis, many of your employees are suffering. They have experienced sudden, unexpected, unprecedented losses. Many have lost their hopes for the future, their expectations of living “the good life” in their retirement years. Many have lost faith in their leaders along with the trust they once had in large institutions. They are grieving. Such grief affects productivity in the workplace, as employees have trouble focusing on their jobs, they experience mental confusion, and have problems with memory retention. Others may become short tempered and irritable. A study by the Grief Recovery Institute (2003) estimated that grief symptoms affecting employee productivity cost employers billions of dollars annually. While the death of a family member, friend or colleague naturally impacted productivity the most, grief symptoms related to financial losses experienced by employees cost employers $4.5 billion per year, and grief related to other major employee lifestyle alterations cost companies $2.4 billion per year. Clearly, crisis-related grief is a factor in the workplace and must be dealt with. How can managers help their employees? How can they balance empathy and understanding with the need to get employees back on task? Many people find “The Four Tasks of Mourning,” outlined by William Worden

As a manager, you can help your employees move past blame, finger pointing and denial and help them begin actively searching for a solution to their problems. Since many employees are in the same situation, it might be a good idea to call a meeting to discuss the “elephant in the room” issue that may be distracting them from their work. Not only will you demonstrate that you understand and empathize with their problems, you will show that you are willing to work with them to solve them, by suggesting ways to more consciously and effectively move through the grief related to their losses. Task 2: Experience the Pain of Grief Grieving a loss – whether that loss is related to a co-worker, a promotion or a dream – is a tricky process. It is necessary to feel the loss and experience its pain in order to let it go. But at the same time, if your employees become too focused on sensing and feeling the intensity of feelings, they may forget to activate the other part of this process, which is to think through emotions, to analyze them and discover the deeper levels of meaning and opportunity within them. It might be useful to start your meetings with a relaxation exercise. Here is a simple exercise that is not only relaxing; it helps to dissipate some of the intense anxiety associated with fear: 1. Take a deep breath and allow yourself to fully experience your fear. Notice where these feelings are located within your body (often in your abdomen). Focus on this

location and breathe calmly. With each breath, say to yourself: “I can be afraid and still be OK..” At first, you may feel that you are adding to your anxiety, but within a few breaths, you will feel your fear begin to dissipate. With emotions, what you resist persists, what you notice evaporates. 2. Now ask yourself the following questions: • What tangible losses are you experiencing at this moment? (Are these losses concrete–for example, actual dollar losses out of pocket today, or are they perceived losses, as in the loss of “value” of a stock?) • What can you control at this moment? (Perhaps your emotions are the only thing you can control right now, so focus on taking charge of them.) Task 3: Adjust to the New Reality This task has two parts. The first is to begin making new decisions based on the current economic reality, rather than on fear, anger or hurt. This requires a commitment to change and a decision to act rather than simply feel and experience. Second, it requires managers to help employees move forward into a new, unknown, uncharted reality, no matter how scary that may feel. Then it’s time to formulate a plan. • Assess where you are. • Determine what changes need to be made (e.g., cut back on expenses, reduce waste, secure additional revenue sources). • With a clear head, begin to create strategies to achieve these goals. Suggest to your employees that just as management occasionally has to develop a new strategic plan for the workplace when major surprises occur, they, too, may need to develop a new strategic plan for their personal lives. If your workplace offers EAP services, perhaps your EAP representative or HR person can work with your employees to maximize the potential of their new plan.

continued on page 39

ABOUT THE AUTHOR Rita Milios, a Licensed Clinical Social Worker, is known as The Bereavement Buddy for her innovative workshops conducted nationwide. A psychotherapist and author of numerous books and articles, Rita can be reached through her publisher, Quality of Life Publishing, at www.QoLpublishing.com or 877-513-0099.

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PRODUCT SENSE

01 / Satin Ionic Brushes are a gift of luxury with a comfortable rubberized grip and attractive red satin finish; perfect for your favorite Valentine. Create smooth, satiny hair with ionic conditioning. Available in a nylon tip cushion brush, reinforced boar vent brush or reinforced boar styling brush. Stylists

can call 800-323-4252 to find their nearest Diane distributor.

02 / Alterna puts the “spring” back into lifeless curls with Caviar AntiAging Texture, a paraben-free styling cream designed to tame frizz and define waves while adding moisture to tresses. Containing the antioxidant-rich Rhodiola Extract, a plant from Siberia that is known for its stress-reducing quality, hair is protected from heat styling while infusing strands with a dose of vibrancy..” For more information,

04 / The Lanadil Re-Growth System is designed and formulated exclusively for women. Lanadil’s Nano-Serum is 100% alcohol free, utilizes a patented water-soluble, time-released Nano technology to precisely deliver minoxidil without any risk of drying or damage. Lanadil improves the quality of your hair and the quantity of your hair with one simple system.

please call 1-888-4-ALTERNA or visit www.4alterna.com.

03 / Infinity Finishing Spray instantly transforms into the hairspray of choice for the stylist and the styled. Due to the product’s versatility and infinite styling options, Infinity is a flexible finish spray, providing incredible hold, control, and volume. It can be easily combed through for any style change, provides UV protection, and repels moisture, even in the harshest weather conditions. Available for purchase online or

05 07 / Pink Teqie™ Mini Trimmer – Oster Professional Products Cut for the Cause: This powerful palm sized tool is now offered in Pink! Show your support with this mini tool that is less than 4 inches long and weighs less than 4 ounces! For each new Pink Teqie Trimmer sold, Oster Professional Products will donate a portion of the proceeds to Breast Cancer Awareness. The Pink Teqie Trimmer has an ergonomic shape with Soft-Touch grip which allows for easy use and helps reduce hand and wrist fatigue.

locate a salon by logging onto www. whitesandsproducts.com

05 / Lavender Mint Moisturizing Body Butter Lavender relieves anxiety and eases tension, while mint revitalizes spirits with a fresh outlook. Put the two together, and you’ve got the perfect combo to rescue you from stressful days and frenzied schedules. Enjoy rich moisturizing ingredients that replenish hydration and calm dry, stressed-out skin and hair. www.paulmitchell.com

06 / Get beach sexy hair anytime, anywhere with new Hairplay Sea Salt Spray. New styling product infused with sea salt, grape and peppermint helps you create tousled, sexy, full hair with a light matte finish For more information, visit www.kmscalifornia.com.

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

business sense

Let go to grow! When this happens, pressure mounts and many companies have trouble keeping good people. Hire people, put them to work and then watch them leave within the year. Not a good thing for the bottom-line! Your job description changes from business owner to personnel complaint department. The business owner continues to search for answers to the people problem and look everywhere for the magic fix. Then fully frustrated, he tries a new approach: let go of daily decisions and try to delegate. But this is too uncomfortable so he takes back control again.

B y G e o rge He d le y

Look in the mirror!

Business owners need to get a huge return on their time. Every year, your company sells, creates, performs, builds, produces, or manufactures products or services. So, you don’t have extra time to waste sweating all the small stuff. But you need great people who do! When entrepreneurs start their companies, they take care of everything themselves including hiring, supervising, purchasing, marketing, selling, pricing, managing, paying bills, and doing the work. You name it, if it has to be done, they do it! Often until the wee hours of the night.

Can’t find any good help?

To allow their companies to grow, many small business owners hire the best people they can find: their family and friends! Not the best idea, as it’s hard to build professional companies with inexperienced people who don’t respect their bosses. As they continue to gain more customers, more people are added to the staff. With more employees, they soon learn how hard it is to find anyone who’ll do work exactly the way they want it done. Nobody seems to care, be accountable or accept responsibility except the boss.

So, what’s holding your company back? Is it you? Perhaps you are the real problem as you continue to control everything and everybody. This poor leadership style holds people back from accepting responsibility and becoming accountable. When you make every decision, people can’t and don’t take on more responsibility. When you fix or solve problems for employees, they can’t be accountable. When you lead every meeting, managers don’t grow. When you approve every purchase, contract or strategic move, good people don’t have to think or be their best. The more you control, the less employees perform. When you solve other people’s problems, they bring you more problems. But it makes you feel powerful when you control everything for everyone and wear a sign that says: “Bring me your problems.” When a customer calls with an issue, do you immediately handle it yourself and get right back to them? A better solution would be to listen and then turn your customer’s concern over to a supervisor or manager. When it’s time to make a major purchase or award a large contract, do you get right in the middle of the negotiations? Instead, ask your manager to review the proposals, analyze the inclusions and exclusions, negotiate terms with the lowest responsible company, and then get your final approval. When a supervisor asks you to call a sup-

plier who isn’t performing, do you jump in and take charge? Train your supervisors to plan ahead, use written procedures, checklists, schedules, team meetings, and manage their workflow. A simple delegation strategy is to increase the maximum spending limit for all employees. Delegate by allowing them to spend at least $1,000 or more before they have to get the boss’s approval. The key is to stop making decisions for them!

Lead to grow!

Performance and getting results are the top indicators of effective leadership. No performance or results equals poor leadership. When you control the work, hold your people back, and constantly tell them what to do, you hurt your company’s growth and profit potential. An effective leader’s role is to inspire others to perform at higher levels and maximize results. Your job is to lead, not do. When you worry about every little detail and do the work yourself, you waste a valuable resource – YOU. What’s your time worth? When you do $10 per hour work, you aren’t even earning $10. If your company needs to bring in $2,000,000 annually, you only have 2,000 hours to make it happen. Therefore, you’re responsible to create at least $1,000 per hour doing significant tasks that will impact your bottom-line. Stop doing work. Spend your time leading your company; building customer relationships; seeking new business opportunities; and motivating, inspiring, coaching, and leading your people.

Less is more!

By following these tips, you’ll get the results you want: more profit while doing less, loyal customers, and employees who love to work for your company. Make it your goal to increase your employee retention rate by looking in the mirror. Build a great place to work where people can grow, take responsibility, and be accountable. The only way to grow is to let go. What will you let go of?

ABOUT THE AUTHOR Best-selling author and professional speaker George Hedley helps entrepreneurs and business owners earn more, work less, lead people, and create loyal customers. His new book, “Get Your Business To Work!” and his proven business success blueprint system have helped thousands in a variety of industries. Company owners are invited to attend his 2-day “Profit-Builder Circle” boot camps. To receive his free profit report, e-newsletter, or hire George to speak, visit www.hardhatpresentations. com, email: gh@hardhatpresentations.com, or call 800-851-8553.

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

PRODUCT SENSE

01 / Andis introduces the ProFoil, a professional shaver equipped with cutting edge technology to give the fastest, easiest, closest, smoothest shave ever. Titanium foils that are hypo-allergenic combine with high speed precision cutting heads to glide over the skin for irritation free shaving. The shaver is equipped with a precision slide up trimmer to trim mustaches, sideburns, beards and finish off short, close cropped hair styles. The ProFoil contains machined cutters that will not clog. Enlarged foil holes enhance the shaver¹s performance and assure a closer shave. For additional product

information, please visit www.andis. com/USA/professional/

02 / Diane Jetz Mini Flat Iron is perfect for jet-setting style on the go. Create ultra smooth, polished hair with the super-hot 420°F ceramic plates that stop static and seal in moisture. Ergonomic grip, mini size and extra-long cord make this a must have, take anywhere style tool. For additional product information, please visit www.frommonline.com

03 / Edge-Ahead, the awardwinning, line of haircutting tools from Fromm International, is turning heads with a new shear and razor SwirlSet. This beautiful set includes a haircutting shear and a texture razor and thinning blades. The 5 ¼” shear features hollow-ground convex blades, Japanese steel, a permanent fused white-on-black swirl finish, an ergonomic crane handle design, and a detachable finger rest. The coordinating texture razor features a swivel finger ring, articulated joint, non-slip handle, and protective blade guard.

For additional product information, please visit www.frommonline.com

The Belson Pro 1” Ultra Slim Tourmaline Ceramic Straightening Iron is metallic pink and features variable temperature up to 450 degrees, 1” wide, extra-long tourmaline infused ceramic plates and an exclusive dipping coating for ultra smooth finish and durability. For more information, please visit www.

belsonproducts.com

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marketing sense B y B J B u e n o & Sc o t t Jeffre y

The Power of Cult Branding: In Search of Your Best Customer Some called them brave – others, crazy. The American motorcycle manufacturer born in a Milwaukee shed in 1903 drifted out of greatness in 1965. Japanese motorcycle makers began churning out less expensive, superior quality bikes. Worse yet, unreliable engines were plaguing this great American legacy – the curse of any manufacturer. Led by CEO Vaughn Beals on February 26, 1981, thirteen brave Harley-Davidson Motor Company executives decided to buyback their failing business in an $81.5-million leveraged buyout. Now, these thirteen strong had no choice: turnaround the company or let it die. The Merchant Mindset Most businesses focus primarily on generating the next transaction. Customer loyalty is perceived as unattainable to merchants who figure, “We might as well try to squeeze one more sale out of them.” But if you’re battling for the next transaction, over time, you’re destined to lose. Customers who choose you based on price will leave you for the same reason. Businesses with passion and heart build relationships with their customers. There are decision-making factors that far exceed price, selection and location. A company like Wal-Mart is masterful at connecting with customers and offering them an intangible benefit they can’t get anywhere else. Do you think millions of people shop at WalMart everyday because of price alone? If so, why do you think people drove 20 miles past their local K-Mart to shop at Wal-Mart? Both retailers had similar products with comparable prices. Wal-Mart made the customer its boss, an approach heralded by founder Sam Walton himself, and Walton’s loyal patrons felt it. Cult Branding Defined A rare few businesses go a monumental step further. A Cult Brand is born when a

benign group of individuals rally around a brand’s lifestyle. Psychiatrist Carl Jung called it the participation mystique. These brands spark a magical participation with their customers; they embrace a certain way of being, aligned to a specific set of beliefs.

Our decade of research and study of Cult Brands shows that great brands don’t happen by accident. Unequivocal customer loyalty – to be chosen over and over by a core group of customers who refuse to shop at your competitors – takes conscious effort.

You can be a corporate attorney running frantically from meeting to meeting, but when you enter a Jimmy Buffett concert you morph into a Parrothead. Litigation, conference calls and the stress of daily life slide into shadow. Now, you’re all about burgers, cocktails and connecting with friends in the paradise of Margaritaville.

Embracing Your Brand Lovers Cult Brands don’t just foster casual relationships with their customers; they find ways to play an integral part in their lives. They embrace their customers like members of a loving family, providing a safe community for them to be who they really are. These brands are bold and courageous – often disliked by many, but loved by a precious few. We call these special few Brand Lovers.

Cult Brands embrace what psychologist Abraham Maslow called B-values – values that inspire humans to grow and reach their potential. B-values include truth, goodness, beauty, wholeness, aliveness, uniqueness, perfection, completion, justice, simplicity, richness, effortless, playfulness and selfsufficiency. Within any Cult Brand you’ll find B-values being awakened in their beloved customers. Trekkie conventions and Mac User Groups embrace the value of uniqueness. Margaritaville personifies the values of aliveness and playfulness. Unlike destructive cults that damage people and their surrounding communities, members of Cult Brands behave in constructive ways towards their communities. Here, people fulfill deeply-rooted human needs and enjoy the lifestyle the brand offers. Within these coveted communities, you get to be who you really are -- you are allowed to be happy, to be yourself, to be weird together and feel weird no more. Few authentic Cult Brands grace the business world, but we know who they are. Their customers make sure we do: Apple, Harley-Davidson, Oprah, Ikea, Southwest Airlines, Linux, Vans, Star Trek, Jimmy Buffett, WWE and VW Beetle – the list isn’t very long. Cult Brands have been in business for an average of over forty years, fueled by the people who love them the most.

These customers love their brand for reasons they probably don’t fully understand, but they love their brand nonetheless. A small legion of Brand Lovers will do more for the growth and sustainability of your business than all the transactional customers in the world. Not convinced? We’ve found that Pareto’s Law (the 80/20 Principle) holds: a small percentage of customers can drive over 80 percent of profitability. It costs five times more to acquire a new customer than keep an old one. Most importantly, the customers who love you the most – your Brand Lovers – spread the word and create new customers for you (just ask anyone who owns a Mac, an iPod, or an iPhone). Are all of your customers contributing equally to your profits? It’s unlikely. There are certain customers who choose you more often. These precious few are the lifeblood of your business. Do you know who your best customers are? Without this knowledge, you will take yourself out of business or your competitors will do it for you.

continued on page 39

ABOUT THE AUTHORS Cult brand expert Bolivar J. (BJ) Bueno and strategic coach Scott Jeffrey are managing partners at The Cult Branding Company, a brand loyalty consultancy whose clients include Kohl’s Department Stores, LA Lakers and Turner Classic Movies. The original developer of the Cult Branding concept, Bueno’s titles include The Power of Cult Branding, Cult Branding Workbook and Why We Talk. Jeffrey’s newly released Creativity Revealed shows readers how to uncover the source of creativity and harness it for greater personal and business success. Visit: www.CultBranding.com

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

PRODUCT SENSE

04 03

3 / The Freestylist is designed to reduce pain and fatigue, increase productivity, extend blow-dryer life and enhance the aesthetics of salons and schools The system suspends blow dryers from above and supports the total weight of the dryer. When in use, dryers are totally weightless and turn on automatically when pulled down, and turn off when raised to a resting position. For more information visit wwwfreestylist.com

1/ MIZANI, a premium collection of professional hair care products for multi-textured hair including specialized conditioning styling products. Now that you have healthy, shiny hair from inside out, protect it against heat styling with Thermastrength Style Serum. The botanically enriched, heat-activated style serum will shield your locks from breakage with ceramide technology leaving the hair feeling strong, shiny and full of body. Visit MIZANI at www.mizaniusa.com

2 / CHINA GLAZE Orange Cuticle Oil Penetrates deeply and quickly to soften cuticles and give natural nails increased flexibility and strength and rejuvenates artificial nails. A special blend of five nourishing oils, jojoba, rice bran, and antioxidant rich Vitamins A, C & E to help heal dry, damaged cuticles. Botanical extracts act as a natural soothing an antiseptic agent. For additional information,

4 / Fromm Heartbreaker Kit Supports Heart Disease Research. With a donation to Heart Disease Research for every purchase. The 5 ¼” shear features hollow-ground convex blades for super sharp cutting. The Japanese steel is infused with a permanent heart print finish. An ergonomic crane handle design, and a detachable finger rest provide comfort. For

additional product information, please visit www. frommonline.com

5 / INFINITI Permanent Hair Colour Créme featuring our revolutionary DATEM Technology™, new INFINITI penetrates deeper and faster into the hair shaft creating long lasting vibrant colours and amazing grey coverage. Right from the start INFINITI breaks new ground with it’s super smooth créme base giving virtually instant lump free mixing and easy application. Turn on to the future of hair colour at http:// www.affinage.com/products_infiniti.html

visit our web site at http://www.chinaglaze.com

6 / Pedi Couture Sandals How cute and perfect are these? How many times have you walked around after a pedicure with twisted up paper towels in between your toes? Totally not glamorous, although girls see you and understand your pain. These toe separator sandals is the solution to your post pedi blues. You put these on right before the color goes on and walk right out with perfect toes. They come in a variety of colors, even metallic and this camouflage shown here. Now all I have to do is remember to bring them with me. For more info vist http://www.pedicouture.com/store/PEDICTERHP.html

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

business sense B y D o n Sc h mi n c k e

How Selfishness Eats Growth At high altitudes, selfishness kills climbers. Teams degrade into dysfunctional rabbles, resources are horded or squandered, and it becomes “every man for himself.” Today, during financially stressful times, such behaviors look strangely familiar to managers. In both situations, the danger of selfishness threatens profitable growth, and stalks teams at every altitude. At high altitudes it can kill climbers, at lower altitudes selfishness kills performance, projects, profits, and possibilities. Postmortem business school case studies blame the failures on reasons like strategic missteps or poor implementations of good ideas. But digging deeper among the carcasses one finds that selfishness alone drove the denial, avoidance, blindness, or cover-ups until it was too late. During financial stress, growth requires sharpening the sword with high-performance cultures and competitive strategy. But many fail when they forget that: Selfishness eats revenue. How Much Revenue is Lost? Over ten thousand executives from 1997 to 2008 admitted selfish behavior sucked 20 to 80 percent of productive time out of their organizations. Fifteen minute meetings take an hour, projects become chronically delayed and sales opportunities slip away as staff protect sacred cows, blame each other, avoid accountability, backstab, protect silos, pass the buck, and pursue other political maneuvering. Unfortunately, companies miss measuring this damage to productivity, quality, and speed. During recessions, can we afford the revenue losses from quality erosion, higher legal exposure, lower competitive advantage, increased waste, employee turnover, and poor morale? What’s a manager to do? Reclaim Revenue with a Passionate Saga The ancient Norse used sagas – stories of gods, kings, and heroes – to create passion in their people. Applying the same method in modern organizations still leverages the leader’s power in aligning people toward a

cause higher than selfish agendas. When managers use a compelling saga to drive fervor and zeal for a strategic result, selfish behavior diminishes. Such sagas possess a number of common themes: • A dramatic theme to beat an enemy, achieve an ideal or fulfill a purpose • A difficult goal to achieve, a challenging summit that needs to be conquered • A language that drives performance, values and strategic focus, even in the face of risk, sacrifice or pain

• A context of how success (or failure) will be defined • A focus on strategic results, not selfish, territorial, gossipy, soap operas • A short statement, which spawns stories and legends that permeate an organization’s culture. Today’s companies no longer teach sagas. Instead they create visions, missions and values. Great ideas but many of these turn out to be passionless platitudes and empty content hanging on walls that fail to provide the background for the struggle and pain, the triumph and sacrifice. This explains why employees abandon their mission statements at the first sign of distress – if they believed in them at all. Employees fill these passionless vacuums with their own selfish, petty dramas. But when leaders give

people something to “die” for – to subjugate their selfishness to – the result ends up re-engaging employees for driving revenue growth. Organizations over the past century used compelling sagas in their language when facing challenges during start-ups, new markets, or financial crisis: • Wal-Mart: Give ordinary folks the chance to buy the same things as rich people. • Mary Kay: Provide unlimited opportunity to women. • Nike: To experience the emotion of competition, winning and crushing competitors. (Nike’s saga today is, “Bring inspiration and innovation to every athlete in the world.” It does.) • HP: To make technical contributions for the advancement and welfare of humanity. • Komatsu: Encircle Caterpillar. • Coke: Put Coke within arm’s reach. • Harley-Davison: Fulfill dreams through the experience of motorcycling. Some label these as missions or visions, but they have a saga-like component that separates them from the more common, status-quo mission statements. Passions aligning people toward high-performance behavior drive the greatest achievements. If anyone doubts how this applies today, they only need to review Obama’s presidential win. No matter which party you voted for, Obama captured the hearts and minds of a country by inspiring them in a time of the greatest pain and sacrifice. Only a compelling saga drives this strategic drama. What’s driving your company right now? But if compelling sagas are so effective at surviving the danger of selfishness, why aren’t they used more often? Two reasons commonly show up: Industry experts earnestly promote positive, touchy-feely, optimistic statements and shy away from the ugly, uncomfortable, and even painful elements of the epic journey. continued on page 39

ABOUT THE AUTHORS Don Schmincke is a dynamic keynote speaker and co-author of the new bestseller High Altitude Leadership with Chris Warner. Visit www.HighAltitudeLeadership.com for a free team assessment exercise and to view their remarkable strategic, leadership, and organizational change programs.

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

industry news

Style the vote: we dared to cut, style and make a change Hair Stylist and Barbers Turned the Key to Help Barack Obama Get in the White House at HAIRTOPIA…A PLACE FOR HAIR 2008

Glynn Jackson, The Agency launched the “Style the Vote” initiative which drew thousands of consumers and stylist to the “Hairtopia…A Place For Hair” event at the James L. Knight Center, Miami, Florida on November 2, 2008. The “Style the Vote” initiative was the brainchild of Glynn Jackson, The Agency; it targeted the support of hairstylists by utilizing the stylist/client relationships to encourage their clients to have a voice and vote. This national commitment assisted in getting record numbers to the polls. Hairtopia was a platform where stylists, salon owners, and models participated in three competitions. The first competition was the Bijoux Salon Stage Competition in which, for the first time in 17 years, a Latin Salon (House of Six) won $5,000 and advanced to compete at the 16th Annual

Golden Scissors Awards was held in Washington, D.C. on December 7, 2008.

munity for their outstanding contributions to the beauty industry.

The second competition was the Bijoux Hair Diva Individual Competition in which the first place model received $3,000; the second place winner received $1,500; and third place winner received $500.

The Hairtopia extravaganza helped bridge the gap within the American and Latin community and allowed for a production that staged both Latin and American salons for a performance that illustrated “Change.” Also included in the presentation was an Haute Couture fashion show which unveiled exquisite creations of fantasy fashion by designers such as Fashions by Azúcar, Designs by Michoula, and Glamorous Gowns by Glynn.

The third competition was the Wella® Color Charm competition, where the stage presentation challenged the creative edge of stylists from American and Latin salons. One professional colorist and one vocational student was selected and receive cash awards, a celebrity-style photo shoot, and the opportunity to serve as an apprentice at the upcoming national hair event in 2009. Also included in the program was an awards segment that honored noteworthy individuals in the Latin and American com-

About the Golden Scissors Awards GJPC, lead by Glynn Jackson, has produced The Golden Scissors Awards for 12 years. The Golden Scissors Awards Program is the largest and only ethnic forum that celebrates hair professionals and the image-makers behind-the-scenes.

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

event sense

p On Tuesday November 11th, 2008, MIZANI, and FHI Heat celebrated the birthday of Celebrity Hairstylist Ursula Stephen by throwing a “Fabulous Night In New York City“ cocktail party for the renowned stylist, 250 VIP guests, press and beauty industry tastemakers at the L’Oréal Professional Product Institute at 15 Mercer in Soho, New York. “MIZANI was thrilled to partner with Ursula for such a special occasion as we appreciate building relationships with talented and fashion-forward artists with vision,” said Melka Davis, Senior Manager for MIZANI. Stephen’s guests received special gift bags featuring an assortment of fabulous high-end professional beauty products such as MIZANI Thermasmooth Shine Extend, Renew Strength Shampoo and Reconstructing Masque, FHI Heat’s Technique Pink Edition 1 Inch Flat Iron, Carol’s Daughter and Oion skincare products, as well as Michelle Williams’ new CD “Unexpected” courtesy of Columbia/Sony Records.

p 36

MIZANI, the leading salon professional brand of choice for women with multi-textured and sensitized hair, hosted an exclusive event at the L’Oréal Institute of Professional

Products at 15 Mercer St. This highly anticipated event launched MIZANI’s newest offering, the Scalp Care System - it is the first of its kind to focus not only on hair care, but

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

scalp therapy as well. MIZANI rolled out its version of the red carpet that included MIZANI signature cocktails, a quintessential downtown New York setting and soulful music.

Monica Coleman and Jamarr Rawlinson of Austell, Ga. were awarded $35,000 for their business plan for Creative Connections, a fully mobile barbershop and salon that services seniors in active adult communities, assisted living residences, and retirement homes. Mr. Rawlinson, founder and CEO of Creative Connections, has several years of barbering experience and graduated from the Master Barber Program at Atlanta Technical College in 2005. Ms. Coleman, COO of Creative Connections, is a Hampton University alumna. They started the business in 2006. The pair plan to use the $35,000 grant to purchase equipment for the mobile unit and expand their marketing plan. Fact Sheet The Miller Urban Entrepreneurs Series and Business Plan Competition was started in

For more information about the Miller Urban Entrepreneurs Business Plan Competition go to www.millermues.com.

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

event sense

Miller Brewing Company announced the winners of its 2007-2008 Business Plan Competition. The top 12 winners, selected from more than 100 applicants, have earned grants totaling $150,000.

1999 to help small urban entrepreneurs, ages 21-35, fund their start-up businesses or companies that have been in business for less than five years. Since the program’s inception, Miller Brewing Company has awarded nearly 1 million dollars to deserving businesses in urban communities across the country. During 2007 – 08, 130 entrepreneurs submitted business plans for the opportunity to win a $35,000 top business grant (1), a $15,000 grant (5) or a $5,000 business grant (5). We have received more than 1,300 business plans since the programs inception. It is estimated that 75% of these businesses remain operational. The program consists of two components – a workshop series and the business plan competition. Historically, the seminars have been held in cities across the country in conjunction with our partnering organizations: the Atlanta Business League; Chicago Urban League, Detroit Urban League, NY’s Greater Harlem Chamber of Commerce; and L.A.’s Recycling Black Dollars, Milwaukee Urban League and University of Wisconsin – Milwaukee. All finalists are judged on the following “judging criteria” to determine winners: Evaluation criteria for the written business plan, viability of the business, the oral presentation. The Miller Urban Entrepreneurs Series aligns with Miller Brewing Co.’s REACH platform – “E” for employment, and “C” for cultural diversity. Miller’s REACH platform focuses on five primary causes: Responsibility, Employment, AIDS/HIV, Cultural Diversity, and Heritage Initiatives. Over the years, approximately 4,500 aspiring entrepreneurs have attended 52 seminars held in eight cities: Milwaukee, Atlanta, Chicago, Detroit, Houston, Los Angeles, New York and Washington, DC. The program enters its ninth year in 2008, and will begin accepting business plan applications in June for the 2008-2009 program year. The deadline to enter is the 2008 competition is December 1, 2008.

Bronner Bros. Summer 2008 on the scene 38

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

The Power of Cult Branding: In Search of Your Best Customer

Focus Like Tiger Woods: Strategies to Help You Win on and off the Course

continued from page 32

continued from page 08

5. Put on some soothing music. 6. Close your eyes, take three deep breaths and let your mind wonder to that beautiful place in your mind. When you awaken, you’ll be refreshed, revitalized and ready to take on the rest of your day with complete energy. These simple tips and strategies help drive the best athletes in the world to compete at the highest level. The successful ones know how to turn negative thoughts into positive empowering ones. Now you have the know-how as well. Thoughts like, “I’ll never get this project done by the deadline! I might as well give up now!” become, “I have everything I need to get this project done on time. I look forward to the challenge!” You have the power inside of you to make things happen and improve your mental edge in your business and your life. Awaken the “Tiger” in you and watch your success grow!

Recession Rx: Start with Sales Management continued from page 26

This may sound like micro-management, and to be honest, it is! Salespeople hate paperwork. Salespeople hate accountability. Salespeople hate to be criticized. Salespeople hate to be managed. Micro management is the only way to guarantee your company’s success. To succeed you have to manage, manage, manage! If you are a leader of your company, the Rx to survive the recession is to get yourself into the middle of the sales and marketing situation now, and stay there!

Mourning the Loss of Your Dreams: Helping Employees Navigate through Economic Crisis continued from page 28

Task 4: Reinvest Your Emotional Energy in the New Reality When it is time to put the new plan into action, the intense emotional energy generated by crisis can actually help. The escalating tension and anxiety that accompanies fear is the result of the mind’s attempt to make sense of two conflicting realities–the one that we wished still existed, and the one that now is. This mental tension, called thrustration, is a cross between frustration and thrust, the energy behind movement or activity. Crisis brings us to a point where we must do something different. Thrustration provides the momentum to propel our decisions into action. When we get thrustrated enough, we do something. Encourage your employees to use the energy of thrustration; it is the “opportunity” side of crisis. After formulating a new plan, encourage them to: • Commit to an action. • Move forward accordingly. Everyone grieves when they experience loss, and grief adversely affects the workplace. By helping your employees focus on the tasks at hand as well as the feelings they are experiencing, you can help them remain calm during a crisis and think their way toward a solution. And this will likely have a positive effect on your bottom line, as well as their’s.

Does your company really listen to the feedback and suggestions of its most loyal followers? What are these customers saying? Customers want to be appreciated. They want their suggestions to be heard and used. How do you reward your best customers? If you haven’t been rewarding them, do it quickly before someone else does. Every company can do more to show its customers appreciation for their business. What are new ways you can show your customers that you “listen” and that you appreciate them? Oh, and in case you’re wondering, those thirteen Harley-Davidson executives listened intently to their Brand Lovers the way only Cult Brands do. In 1984, they released a new engine called the Evolution that extinguished many of their quality concerns. More importantly, they worked hard to strengthen their relationship with their customers, forming the Harley Owners Group (HOG) in 1983 – an international customer club with over one million devoted owners. Did their $81.5-million buyout pay off? A $10 billion company valuation seems to answer that question quite nicely.

How Selfishness Eats Growth continued from page 34

Yet it is precisely the epic journeys that drive passion. One company’s compelling saga may not inspire passion in another. In an age where copying quick-fix ideas are all the rage, few companies take the time to truly craft their own. Grow revenue profitably during financially changing times by crafting a strategically focused saga in your organization. The art of crafting the strategy and the language that inspires it takes time and perseverance, but the results historically prove the value in sharpening the sword now in order to win tomorrow’s battles.

SalonSENSE f e b r u a r y /MARCH 2 0 0 9 • WWW.SALONSENSE.COM

the premiere site for image makers to connect. Join in and check out the hottest trends in hair or fashion or upload your pictures, portfolios, and blogs and show other image makers how youâ&#x20AC;&#x2122;re setting trends of your own. With everything from business, credit, and education to lifestyle, travel, and entertainment youâ&#x20AC;&#x2122;ll never need to look any further. Add and connect with friends Upload photos and viedos Display editorial credits, album cover credits, photo shoot credits Find a job Hire employees Sell your salon, Buy a salon Locate hottest CD, videos, books, product special Find Tradeshow, Workshop or Seminar Find a mentor And much more.

2009

Proud Lady Beauty Show â&#x20AC;&#x153;The Beauty Professionals Marketplaceâ&#x20AC;?

Anniversary 1989-2009

April 25-27, 2009 Tinley Park Convention Center Tinley Park, IL (20 minutes from Chicago)

Make History Participating in the 20th Anniversary Celebration of the Proud Lady Beauty Show t t t t

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Stunning Stars

Stellar Style

Sizzling City

Don’t Miss The Exclusive Conference...

Education Directed to the Multiethnic Salon Professional

March 29 & 30 AM AZ I N G WO RKS H O P S W IT H

Irene Meikle Kim Kimble & Neeko China McNeal Mezei Jefferson