Results Through Simplicity
Speaking to Bob Prosen you get the feeling that business doesn’t have to be that difficult. He doesn’t speak in esoteric terms. He doesn’t stress the importance of obscure financial models as a window into growth. In fact, the best quote I got out of our recent conversation was, “Simplicity leads to action which leads to results.” Results are Prosen’s mantra, in fact his website states. “At the beginning of the day it’s all about possibilities. At the end of the day it’s all about results.”

Simplicity in business is often overlooked and dismissed as not taking into account things like the new “web-based global economy.” Consider this though, Einstein wrote E=mc^2. Newton F=ma. Why should business be any more difficult than physics?

A New Yorker transplanted to Texas, Prosen is an engineer by training but never has practiced a day in his life. These contradictions are what make Prosen such a colorful character. He has the engineering mind to process a problem but the unique gift of a leader who’s been in the trenches and knows the importance of distilling the facts down into manageable chunks. His recent book Kiss Theory Goodbye seeks to throw away all the junk that clouds traditional management thinking. In his words he is on a mission to, “In a positive way paint business leaders in a corner by giving them all the tools to go produce and deliver, so there are no more excuses.”

Accountability is a consistent theme throughout Prosen’s book. He encourages managers to “be hard on the performance and not the person.” This doesn’t mean being heavy handed but rather setting clear expectations and working to communicate what the manager can do to help their subordinates grow and get it right.

I recently had the opportunity to sit down with Mr. Prosen and discuss his thoughts on everything from management philosophy to entrepreneurship. The following are the highlights from our conversation.

1. The classic Nature vs. Nurture question…are leaders born or made?
I think leaders are born to lead. It’s just something in their DNA that propels them to do it. But a great leader possesses two unique skills:
1. They are fantastic listeners
2. They make the decision with the mindset that the buck stops here. People are looking to leaders to make a decisive decision and hold people accountable. Too many leaders make the mistake of not holding people to what needs to be done. Accountability really is a positive thing.

2. What are the similarities, if any, between great sales reps and great leaders?
They both have solid listening skills and a very positive attitude. In addition, they never give up and get past mistakes. They are constantly looking forward and have little time for mulling over the past. However, it’s very rare for a sales rep to rise to a CEO position within an organization.

3. In the book, you mention the importance of an organization running lean. How do you know when you’ve reached that point in a big corporation?
I like the idea of running lean because it forces people to distill what’s important day to day. When people don’t have time to waste they tend to accomplish the truly important aspects of their job first. Usually, you can tell you’ve hit this point when people start to squeak a bit. When there are too many people the important things don’t get done and there is no buzzing about feeling the pinch of time.

4. With very little to differentiate upon regarding price or place, is customer service the last frontier?
The bar has been raised and clients expect a high-level of service from everybody. But it doesn’t have to be complex. The definition of service is very simple: “doing what you say you’re going to do, with no surprises.” Clients absolutely hate surprises. Do everything you can to avoid that. In addition, customers may only give you one shot and if you fail to deliver on that basic definition, they will more than likely be gone.

5. If customer service is so important, why is there such a discourse in compensation between a sales rep and customer service rep? Should the model be flipped on its head?
No. I say offer anybody in customer service to go on a commission based salary and see if they’re up for taking that risk.
However, at the managerial level in customer service, companies are tying compensation back to customer satisfaction but it’s not trickling down to front lines just yet. Customer service people should receive bonuses on things like upsells or resolving problems on the first call, no question. And there should most definitely be a quality improvement plan in place and tracking of all complaints to drive them down. These can all be tied to providing an incentive based program for customer service reps.

6. Let’s shift gears for a second, what are the three most critical things entrepreneurs need to do when starting a new business?
1. Make certain people want what you are offering. When I started the Prosen Center for Business Advancement I put together training programs and then called people up and got their reactions. I tested and retested each method over time on potential clients. At the end, I not only had a service people were willing to pay for but also had a made a few sales in the process.
2. You always need more money than you think you do starting off. It’s critical you can ensure access to capital to get the business going and off the ground.
3. Salesperson. You have to be damn good at selling. If you’re not comfortable doing this than you should seriously reconsider working for yourself.
4. Even though you didn’t ask, the fourth thing is time management. The successful entrepreneur will be focused on sales 60-70% of the time. When things get going it becomes an issue of how to duplicate yourself to keep everything else going.

7. What is the takeaway you would like readers to have from Kiss Theory Goodbye?
Simplicity. If it’s a simple concept than there is a very high probability of people doing it. Simplicity leads to action and actions leads to results. The whole point of the book is to cut the crap and get down to achieving results. No excuses.

Thank you for your time today Bob, it was a pleasure to read the book and speak with you. Best of luck!
No problem, the pleasure was mine.

If you frequent the business section of your local Barnes and Noble or Borders you will notice the constant flow of new titles on the shelves. Within each book you will find the authors advice backed up by case studies on successful companies or opinions from industry leaders. How do you know what to accept as useful information and what to pass off as platitudes?



This is where Jeffery Pfeffer and Robert Sutton come into play. The Stanford professors have written “Hard Facts, Dangerous Half-Truths And Total Nonsense“. Their advice: Don’t accept what you read in these books as infallible. Much of what is accepted as truths or conventional wisdom within business is wrong. The reason: You need to practice evidence based management to steer away from making this mistake. What is evidence based management?

“Evidence-based management is based on the belief that facing the hard facts about what works and what doesn’t, understanding the dangerous half-truths that constitute so much conventional wisdom about management, and rejecting the total nonsense that too often passes for sound advice will help perform better.”

In the first part of the book Pfeffer and Sutton lay out where companies fail in the decision making process. Too many companies fail to back up their decisions with facts and evidence. They are too quick to act on new ideas and theories without judging whether it will benefit their particular situation. This is where things can go wrong. Instead, by following the evidence based management technique you are less likely to fall into this trap.

The second part of the book, where the meat of the information is, picks apart 6 common half truths in detail:

• Is Work Fundamentally Different from the Rest of Life and Should it Be?
• Do the Best Organizations Have the Best People?
• Do Financial Incentives Drive Company Performance?
• Strategy is Destiny?
• Change or Die?
• Are Great Leaders in Control of Their Companies?

The authors provide examples where conventional business wisdom will help answer each question and examples where it will lead you down the wrong path.

After reading through these chapters you will begin to understand Pfeffer and Sutton’s fundamentals for using evidence based management. Not all decisions are clear cut – you will need to back your decisions up with evidence to support them.

This book is an excellent read for anyone in their career – from CEO’s to those starting off their career. Pfeffer and Sutton have written a book that is easy, interesting and insightful.

*** Check out Robert’s blog - Work Matters for daily insights, recommended books and information on his other publications. ***

Maybe your idea of management and teamwork doesn’t first conjure imagery of the Seven Dwarfs and Snow White, or maybe you think that you can’t find any deep, meaningful business commentary while walking down Main St. at the Magic Kingdom.

Think again.

Bill Capodagli and Lynn Jackson (at http://www.capojac.com) have spent nearly 30 years researching, investigating, interviewing, and summarizing their findings on the way that the Walt Disney Company was run. The Disney Way presents their findings in a succinct manner, and also highlights seven inspiring companies who are enjoying immense success while utilizing the same principals that catapulted Disney to the top.



Chief among these principles lies the mantra of Walt Disney himself: Dream, Believe, Dare, Do. Read on for more explanation…

• Dream
  Whether you’re building the next iPod or improving your department’s file-storage process, it is important to begin every project with a dream and ask, “How can I improve this for everyone?” When trying to build something new or working to fix a process, it is vital that you have the end user in mind.
• Believe
  In order to increase the success with which you achieve your dreams, it is important (obviously) that you believe in yourself. But more importantly, realize that you can’t do everything yourself. Collaborations and partnerships can push your ideas further and yield results that are beyond even your initial, wildest dreams.
• Dare
  Quite simply, if you’ve got a dream and people that you believe in, go out on a limb and try something new. According to Capodagli, this is probably the most difficult facet of the 4-step process for most companies & people to “get”. The ability to dare is truly what can separate mediocrity from greatness.
• Do
  Capodagli suggests that often, success does not come from a product or idea itself, but rather from the implementation or process behind the idea. Thus, it’s crucial that you Practice, Plan, and Pay Attention to Details. Disney made sure that every detail of every project he worked on was immaculate and in order. It was this process that led him to success; he even said at points in his career that he didn’t think he was an expert at animation, or even that great of a story-teller, but rather a master of his process. (For more explanation on how it’s not always about the “Great Idea” but the process behind it, check out this article at IWillTeachYoutobeRich)

As an extra highlight, Bill Capodagli was gracious enough to offer BizBookTalk an interview to accompany this review. The following is a summary of our discussion…

Question: Can you tell me a little bit about yourself?
Answer: Bill has been in the consulting business since the early 1970s and has helped a plethora of companies implement the Disney principles. He gives seminars all over the world on these topics and enjoys helping companies reach higher results.

Question: What was your first Disney experience?
Answer: Bill still remembers watching the “Wonderful World of Disney” as a young boy every Wednesday night. His second memory is when he took his 3-year-old son to Disneyland and just remembers how *everything* about the park pulled him into the experience. All aspects of the park, cast, and rides were built to fully immerse you in the world of Disney and imagination.

Question: How did you pick Disney as a model for your consulting company?
Answer: Early in his consulting career, Bill was working with large companies and benchmarking the “best of the best” companies; Disney consistently rose to the top of the pile. After meeting Lynn Jackson while working at a university, the two of them discussed starting their own business multiple times, but finally DAREd to do it in the mid-1980s.

Question: As a follow up, what’s the general reaction when you tell a company that you’re about to rock their business world by suggesting Disney concepts?
Answer: Usually, the first hurdle to get over is that despite its reputation as an entertainment company, Disney is also in many other businesses. They run the largest laundry facility in the United States and they’re partnered in the retail business with stores across the country among other things. Once those details start to come out, clients generally start to realize that it’s more about the process and the *way* that Disney is run, not the product it produces. The business aspect aside, Bill said that he can then usually appeal to clients’ nostalgia for Disney

Question: At BizBookTalk, we review a lot of business books — what are some of your favorites and why?
Answer: FISH! (John Christensen), because he embraces the concept of fun: work hard and play hard! Any Tom Peters book: enough said. And finally, The Disney Way Fieldbook, which has 40 exercises for anyone or any company that is trying to apply the principles from The Disney Way.

Question: Finally, how can someone who is just starting out in corporate America look to instill the Disney concepts into his corporate culture?
Answer: Bill’s foremost suggestion before anything else is to ask yourself what values you live by and what you want to do in life. Afterwards, begin living by a consistent set of morals and values and then you can think about taking them into your corporate culture. Bill pointed out a quote from Roy Disney which states it quite elegantly — “When values are clear, decisions are easy”. Very true

If you would like more information about The Disney Way, or any of the concepts presented within, you can check out the book The Disney Way or Bill and Lynn’s website. Again, many, many thanks to Bill for the privilege of interviewing him and for allowing us an advance copy of the updated book

This is one book that has the power and the practical insights to change how you deal or interact with people. Of all the business books that I have read, this is at the top of my favorite list. This book is worth reading and re-reading. It is a very easy read that explains lucidly the science behind the art of influence and persuasion. The book is very conversational in style and you will have many moments of “Aha’s and Oh-oh’s”. This book teaches you how to be more influential and persuasive in dealing with people and at the same time teaches you how to protect yourself from the unscrupulous people that try to use the influence tools on you in an unethical way. Have you ever had the experience where you wanted to say or do something in a situation but ended up doing quite the opposite (thanks to the savvy influence of the person on the other side)? If you read this book, you will be able to recognize the tools and techniques that are being used on you to influence your decision.



The author outlines the following weapons of influence (his term) in his book:

Reciprocity: People are more prone to feel obliged to return favors offered to them. Influence professionals try to use this principle of reciprocation that is hard wired into the human psyche by trying to garner disproportionate results in return for a small initial favor. A good example of this cited in the book is the clever application of this principle by Hare Krishna society. Krishnas while soliciting for donations, as a first step give a small gift like a flower to the target person before requesting a donation. There by making the target obliged to give a donation in return for the unsolicited gift that was just accepted.

Commitment and Consistency: People are prone to follow through on a commitment that has already been made. Influence professionals exploit your desire to be consistent by getting an initial compliance on a trivial request and later expanding this compliance to a similar request that is much larger in scope and sometimes remotely connected to the original request. They know that once you have committed to an initial request, you are most likely to follow through on their other requests because of your desire to appear consistent.

Social Proof: People are more likely to follow the actions of people that are similar to themselves. This is especially true in conditions of uncertainty where people are likely to use others actions to decide how they themselves should act. Influence professionals use this principle by way of fake advertisements that have average-person-on-the-street testimonials.

Liking: People are likely to agree or say yes to a request from people that they like. People tend to like people that are attractive, that are like themselves, that are friendly, that are complimentary, that have common goals, that make them laugh etc. Influence professionals use a combination of these techniques to appear more likeable and as result increase the odds of you saying YES to a request.

Authority: People tend to put more faith in authority than anything else. People are easily persuaded by people that appear knowledgeable, credible and authoritative on a particular subject. Influence professionals try to benefit from this principle by invoking the pretext of authority or expertise on subjects that they have very little understanding of.

Scarcity: People are likely to want something more strongly when it appears to be dwindling or scarce.

Mind you, this book is not an expose on influence or compliance professionals but rather a very good explanation on how and why people are influenced. Once aware of these principles, you can use them in an ethical manner to influence others and at the same time be able to guard yourself against these same principles when applied by others to exploit you.

Finally, here is a link to an excellent review of the book and an interview with the author Dr Robert Cialdini by Guy Kawasaki.

Note: There are two versions of the book and I happened to buy the older version of the book called “Influence: The Psychology of Persuasion” instead of the newer version which goes by “Influence–Science and Practice”. My review is based on the older version. Amazon reviews indicate that both versions are pretty much identical.

Change is hard to implement in organizations. People revolt against change. They want familiarity. They want the ‘old’ and don’t care what the ‘new’ is. This is the reality that organizations must face, but a reality which many ignore. All is not lost though; you can get change to stick. Richard Reale lays out the principles that make it happen in his book, “Making Change Stick: Twelve Principles for Transforming Organizations”.



Richard has over 20 years of research which shows why programs fail and why changes refuse to stick. This book is the culmination of his studies. Richard provides an easy to read manual on getting change to stick. He focuses on the ‘soft’ side of change – people, emotions, communication, and leading to name a few. Each chapter ends with a bulleted section titled Putting the Principles to Practice. This is where the nuggets of wisdom are found. A key section was titled ‘Involve and Be Involved,’ which says that you shouldn’t make changes and assume that everyone will follow. That is a sure way to failure. Instead, do as Richard says:

• Be approachable. Be authentic. Think ‘we’.
• Talk personally to individuals as well as groups
• Be open to input from everyone. Ask opinions and solicit ideas. Listen intently.
• Identify yourself with the change.

Check out the Postivie Impact Associates, Inc. website for more information regarding Richard’s work.

John C. Mowen, author of “Judgment Calls: High Stakes Decisions in a Risky World” has written an excellent book on the factors that go into making decisions. In each chapter we get to review high stake decisions that were made in the past and the consequences of these decisions. Some of the decisions achieved positive results while others ended as complete failures. In both positive and negative outcomes, we get to see what worked and what didn’t. Learning from others mistakes is the best learning opportunity next to experiencing it. One particular chapter offered some important principles on making choices. Some highlights include:



1. Think realistically when making the decision; act confidently when implementing the decision.
2. In the zone of ambiguity, select the alternative that would result in the least negative outcome, should you happen to be wrong.
3. Know your expectations and balance their biasing effects by developing arguments against their occurrence.
4. Avoid surprises by identifying all assumptions and checking their veracity.

There is always the double edge sword when making decisions and that is analysis paralysis. It’s important to accumulate as much information to support a difficult decision, but don’t let the uncertainty prevent you from making the decision. Sometimes you have to make a choice, stick with it, and adjust from the feedback of your decision. It’s nice to learn from others mistakes, but sometimes you just have to learn from your own mistakes!

Check out Wikipedia’s whole section on decision theory for more information about decision making!

Sometimes it’s the failures and mistakes of others where you can learn the biggest lesson. Bob Pritchard, CEO of Logos Bible Software has made his fair share of mistakes in his 14 year career as an entrepreneur. In his book, “First Someone Today”, Pritchard not only explains when to fire someone, he includes advice about other subjects which are important to entrepreneurs: cutting costs, understanding the vital role cash plays in your business’s success, the importance of understanding contracts, and the importance of having good systems estabished in your business.




Some key ideas taken away from this book are:

• Visit everyone connected to your business (customers, suppliers, partnerscompetitors) – These visits will liken your chance of positive things happening for your business. A visit to a customer may uncover room for improvement to your product or service which could lead to greater sales / business. A visit to a supplier could strengthen your relationship which could result in better service or better pricing on supplies.
• Read (a lot!) – Reading helps you stay current with trends and the latest happenings in your industry. Don’t limit yourself to your specific industry because there are many ways to incorporate new ideas from other industries into your business. Academic journals are especially helpful.
• Make decisions swiftly – Don’t over analyze decisions. Make them and live with them. In the words of the ancients, “one should make his decisions within the space of seven breaths.”

Check out the Fire Someone Today website which includes Bob’s blog and other reviews of the book!

I saw this Dilbert the other day and thought it was hilarious:

(Click image to get full view)

Now, as you all know, this doesn’t happen in the real world. There were a few who got lucky and stumbled across venture capitalists that practiced business like this in the late 90’s. But we all know how these VC’s ended up. Broke and back to reality.

Check out this graph from PricewaterhouseCooper’s ‘Money Tree Report’ to see how ridiculous VC funding was back in 2000:




The proper technique to gain venture capital investment is just one of the various topics that Guy Kawasaki discusses in his book, ‘The Art of The Start’, which could be considered the ‘start-up’ owners manual for entrepreneurs.

Guy, who has two decades of business experience (including being the current managing director for Garage Technology Ventures, a venture capital firm), dives into topics such as: the art of writing the business plan, pitching your idea, and recruiting talent to help your business grow. The book should have had a label on the front: 100% No Fluff. As most business books can be heavy on theory and light on practical advice, Guy Kawasaki’s stears away from this common practice. Instead, he provides his advice in a usable format for all levels of entrepreneurs.“The Art of The Start” should be your first read when deciding to start your own business.

Check out Guy’s blog “Signum sine tinnitu”, a top 100 Technorati blog!

“You can accomplish anything you can dream, if you can get someone else to do it!” – R. Philip Hanes




The quote above can be found the inside of his book jacket, but it’s not just words on paper, it’s how R. Philip Hanes has lived his life. A big contributor to the arts and conservation movement, R. Philip Hanes, in his book “How to Get Anyone to Do Anything,” details the secrets which have brought him success in life. He touches on topics such as Networking, Risk Taking, Fund raising, and Problem Solving. Instead of delivering his material in a dry, arduous manner, we are presented with edifying stories which all provide useful nuggets of wisdom. R. Philip Hanes has lived a full life, and his book will leave you with feelings of adulation for revealing his wisdom.

Imagine yourself being promoted to a new position. This new position carries greater responsibility than your previous position. You’ve been view by management as someone who is a leader, someone who as they say, “has what it takes”. The opportunity is exciting, and you’ve wanted this job since you started working, but you’ve never held a position that requires these new skills. You’ve shown your leadership at the project level, but never experienced it at a manager level. You realize that the impression you will make in your new position is critical to your success in the future. How are you going to transition into the new position?

The scenario above is faced by thousands each year. Unfortunately those who are promoted receive no guidance or coaching. This traditional ‘sink-or-swim’ approach to managing transitions is costly to companies, and can severely hinder the success of the newly promoted individual. There is a solution to the antiquated approach though.



In The First 90 Days by Michael Watkins, the author presents a systematic approach for managing the transition to your new position. Through research and his own expertise the author was able to create a framework with the goal of making the transition smooth and beneficial to both the newly promoted and their employer. This framework will essentially enable you to reach your breakeven point (the point in which you have contributed to the company as much as you’ve ‘consumed’) faster than the traditional transition methods. Consider this book the roadmap for navigating your first 90 days on the job. With your 90 day plan, you will be able to successfully manage the challenges faced with a new position. Each chapter provides the tools to aid you in:

• Accelerating your learning
• Matching your strategy to your situation
• Securing early wins
• Negotiating success - Shape the game, don’t just play it
• Successfully aligning stategy, structure, skills, systems, and culture
• Building your team; getting the ‘right people’ on the bus as Jim Collins would say
• Creating coalations so you are able to succeed more easily
• Learning the keys to keeping a balance in your life

and much more…

“The goal of this book is to move you – and your organization – beyond the sink or swim approach to managing transitions.” - Michael Watkins, author

You would think that this book would be limited to those in managerial positions, but it’s not. Anyone that plans on taking a leadership role, or even at the onset of a new job you should read this book, and then read it again before you start your managerial position. You may even impress your boss and suggest this book as a read. Any attempt at helping your company be more productive and run effectively should be praised!

Check out the Michael’sFirst 90 Days website which compliments the book.

Customer loyalty, as a goal or principle, can typically be found in mission statements and objectives.

Take a look at Hewitt Packard:

Customer loyalty

To provide products, services and solutions of the highest quality and deliver more value to our customers that earns their respect and loyalty.
Underlying beliefs supporting this objective:
• Our continued success is dependent on increasing the loyalty of our customers.
• Listening attentively to customers to truly understand their needs, then delivering solutions that translate into customer success is essential to earn customer loyalty.
• Competitive total cost of ownership, quality, inventiveness, and the way we do business drives customer loyalty.

Or

Shangri-La-Hotels:

We will make customer loyalty a key driver of our business

Presumably the companies want customer loyalty to provide positive effects for their business. But what happens when the programs attempting to spur loyalty don’t work? What happens when these programs, whose initial goal was to profit your business, end up costing you millions of dollars? What happens when loyalty beliefs are actually myths?

Hopefully you won’t have to learn the lessons the hard way.



In Loyalty Myths : Hyped Strategies That Will Put You Out of Business and Proven Tactics That Really Work by Timothy L. Keiningham, Terry G. Vavra, Lerzan Aksoy, and Henri Wallard, we are shown the 53 most common beliefs (myths) of customer loyalty. You’ve heard them before. For instance, the universally accepted myth that it costs more to obtain new customers then to retain them. Through anecdotes, examples, and researched data we are shown that when customer loyalty is initiated from these myths, your business will suffer. The authors don’t stop at letting us know what these myths are; they guide us around the myths. They provide the correction to the myths and how to manage loyalty in your business so that it will positively affect your company, not hurt it.