Good News

I had an interesting conversation with a more conservative friend of mine. His point; enough already of the crisis mode mode. We need to hear some positive information. How about a speech not about how hard its going to be, but about how were doing the right things. The bailout of banks is going to make a difference. We're doing what we need to do. Its not that the economy is in the tank right now, but rather, we're doing what we can to solve the problem, AND ITS GOING TO WORK.

I have to agree. I'm not advocating a false sense of security, but something to ease citizens fears would be a good thing.

Job Hunting

I find myself back in the market. I've never actually had to 'look' for a job. I've had a job since was pumping gas at grandpa's service station in the fourth grade. I worked through high school and college. I've changed positions a few times over the last 15 years, and I've always has to make sure to ask for a few weeks off between jobs. But this time its different. The economy is bad. Real bad. Local business owners are seeing demand for their services drop to nothing. A gentlemen told be he was working twice as hard to make half as much. Large companies are laying off significant numbers. Its a buyers market out there. And they're not buying.

There is opportunity. Don't get me wrong. There are a few companies, large and small that are still seeing stability and even growth. I personally am tracking some 20+ positions. But I'm certain that there are over 500 applicants for each of those positions. And with those numbers, hiring managers are challenged to find the time to review candidates. Not to mention, most companies don't seem to be in a hurry to place positions. It makes perfect sense. There's too much uncertainty in the market right now. I'd be making the same decisions right now.

So all one can do at this point is the best they can. I continue to network with new and old contacts, I continue to scan the job postings (indeed.com), and I continue to seek other entrepreneurial opportunities.

Ag Market impacts looming

Deere lowers profit outlook amid credit crisis

Blogged with the Flock Browser

Social Costs

Robert Reich's Blog: McCain's Visit to Lima Ohio Today, and the Political Economy of America

Interesting article about social costs not taken into consideration within the free market.

Personally, I'm a huge proponent of the free market. Especially in the global sense. I entirely expect jobs to flow to areas with the lowest labor costs. I entirely expect consumers to react to substandard products and prove they are willing to pay more for a quality product. However, I hadn't entirely considered the impacts of social costs in the equation. In this example, DHS closes a facility in Ohio, and subcontracts the work to UPS, with a facility in Kentucky. Ultimately, DHS reduces its costs, shareholders profit and costs are kept down for the consumer. However, the community in Ohio suffers. People lose their jobs and must find work elsewhere if available. In this example, the entire community is at risk.

How much would a community pay to keep from incurring these costs? What would DHS need to offset the increased expenses of maintaining the facility in Ohio?

The free market extends past service providers, manufacturers, and consumers. It includes the environment in which the producers and consumers find themselves. If the loss to the environment is greater than the gain to producers and consumers, then it makes sense to offset that loss by subsidizing the producers and consumers. Or is that unfair? I don't think so. I think its entirely fair. If all sides are given consideration. and unfortunately, I'm not sure this is the case.

Can you believe this guy?

President George W. Bush said Wall Street had "got drunk" and was experiencing a hangover at a recent closed-door fundraiser in Houston in which he also made light of the US housing crisis

from the finanicial times

Top 10 leadership blogs

Management Craft: Lisa Haneberg
Leading Blog: Michael McKinney
All Things Workplace: Steve Roesler
Leadership Made Simple: Ed Oakley
Lead Quietly: Don Frederiksen
Extreme Leadership: Steve Farber
Slow Leadership: Carmine Coyote, Peter Vajda, John Fletcher
Tom Peters: Tom Peters
Leadership Challenge: Various Authors
Personal Leadership Insight: Rhett Laubach

The new gold standard of leadership - Management craft

While cost cutting may be inevitable in tighter economic cycles, I gained key insights during my conversations with the leadership at The Ritz-Carlton Hotel Company about how to avoid a scarcity mentality in challenging times:

1) When consumers face economic challenges they often place a greater emphasis on value. While many customers will “pinch pennies” and “clip coupons” to address financial hardships, they will still look for opportunities to “treat” themselves. When consumers do spend money freely they will want to experience true quality and not a watered-down or corporately scaled-back version of quality.

2) Focused excellence prevails. If cutbacks are necessary, companies can and should reallocate resources toward their core areas of excellence. To be “excellent” means resisting the urge to overreach into areas where your products or service will be mediocre. Doing a few things expertly beats doing many things adequately.

3) Inspire staff to focus on purpose and outcomes, not fulfillment and procedures. I have long believed that all business is personal. This is particularly clear in the world of luxury hotels and resorts. While most hotel companies that compete for this market segment have exquisitely clean and well-appointed facilities, the primary driver for guest loyalty emerges from the personal attention and caring of staff. From the onset of their employee selection process, leadership at Ritz-Carlton looks for underlying talent in service characteristics. They then train and certify the skills necessary for the new hires to do their jobs while constantly linking job function to the overarching purpose of the business - namely to provide for “the genuine care and comfort” of their guest.

4) Empowering the front-line saves money. While many business leaders talk about their empowered workforce, few put money behind the hype. At Ritz-Carlton, staff members (referred to as the Ladies and Gentlemen of The Ritz-Carlton) are given the authority to spend up to $2,000 per day per guest, without seeking the approval of their supervisors. This authority allows front-line workers to immediately resolve service breakdowns for guests or simply engage guests by doing something unexpected that will make the hotel stay memorable. The cost-saving nature of this seemingly risky level of financial empowerment is derived from the morale and loyalty of employees, the clear cost savings of resolving problems immediately, and the impact that this type of empowered workforce has on customers. Essentially, empowered employees consistently transform otherwise satisfied customers into fully-engaged brand loyalists that spend more and refer family and friends to the business.