Category: Business

“And” and How it Can Kill Your Business

Focus is extremely important, especially in the early days of a startup or idea. It is easy to fall into the trap of thinking that the best thing to offer your customers is everything they need. I mean why wouldn’t you want to be the one stop shop for a user’s needs? Then you can be sure they’ll keep coming back for more, right? Unfortunately, it may sound good in theory, but in reality it’s a concept that kills.

The problem is, everytime you add an “and” to a to what you offer you risk proportionally devaluing each other thing you claim to be the best at; which I call value dilution.

Say we are a company that focuses on the very best linens (but then you think: how do I get the linens to the customer – so you continue on) … and we will deliver the very best linens to your door in under an hour. What just happened there is once you started thinking about alternative ways to increase the value of your company you have inadvertently admitted that the “fine linens” part of your company’s offerings isn’t good enough to stand on its own. I have the finest linens – [period]. I am so focused and great at making fine linens you will want them – [period].

Internally, (and here is a point of import) in every conversation and meeting that comes up, if the discussion doesn’t ultimately improve the quality of your fine linens don’t waste your time talking about it until you have the very best linens. Every new offering (if you want it done well) deserves all the attention it needs and will suck attention from another offering unless you have the brand, management, money, exposure, head count, or customer base to help carry your company into a new offering.

No idea is too small to warrant focus. You will be amazed at how deep you can dive into any one concept. The improvements you can bring to a single idea are infinite. There is always as much depth available in any one subject as there is breadth to the number of subjects available to explore.

A side benefit of going deep in one area, as opposed to picking many things to get involved in, is with each iteration of depth you find on any one subject the differentiating knowledge and expertise you gain will grow exponentially.  As a budding startup this exponential gain in knowledge through focus is the far better bang for your buck than compared to the costs of having to learn unrelated points of information when creating new products in new directions.

People try to avoid this law all the time. I’ve heard, “our team is special – we can do it (without more talent or time)” or “why can’t you move all your chess pieces at once?” or “it’s not technically a different focus and blah blah.” Sorry, you can’t avoid this law no matter how smart or hard working you are.  In order to provide the amount of time and energy needed on a each core value  you will need more people, a larger budget and more time (at all levels of the company.) Without it you will give your customers mixed signals, employees contradicting objectives , and a product that can’t compete with a rival that has chosen to focus all its time on one of your things.

When can you add an “and”? I’d say a good rule of thumb is, you can add an “and” when the “and” is not novelle/unique/innovative. Though, often if you are and’ing something that is not innovative then you probably don’t need to “and” it at all. It can come into play when your offering is a novelle way to offer an aggregate of many non-novelle things — but you had better be the best damn aggregator out there and make sure your team works toward that focused goal.

Note: I should make one more point. This doesn’t mean that you can’t have new ideas, just recognize that the new idea will need focus and attention and if you think your original idea/business isn’t good enough to stand on its own then it may be time to decide whether to keep the old business or shift focus completely to the new one. There is a time and place for R&D, and there is a time and place to grow your offering, but without total market fit your “and” should not be added to your core. There is also a difference between supporting features and additional cores that people get confused about a lot – I’ll save that for another post.

Hiring

For years employees would hire veterans because after x amount of years of experience an employer knew they were getting a knowledgeable person based on track record, but that is kind of a lazy way to hire. It’s just like football, you hire skill and lose potential, you pay to mitigate risk. Employers would then hire young people at a low salary if they were bright, once again to mitigate risk. “You seem smart but you don’t have a track record so we will have to pay you less.” Much like football you are not setting your team up to win a super bowl in the coming years. (This also sounds similar to VC world)

What FaceBook, Google, etc. well in addition to hiring smart veterans was they flipped the script a bit. They started hiring young people with alot of potential and paying them alot of money. A few years later they are winning super bowls. And the old employer style is having a hard time finding talent. Now everyone wants a young genius and they are in short supply.

Time and time again this risk mitigation strategy is a red flag and one should be sure they are mitigating for the right reasons. Also, when you save time by mitigating it is a red flag because in a way you are being lazy, and when you are lazy you give opportunity to those that aren’t lazy to move ahead. (not lazy cause you don’t work hard but lazy because you are using a system to think for you and when you do that you get further and further from being different and different equals success because not everyone can be successful).

7 tips on being an Entrepreneur

I was recently asked to put together some quick points around entrepreneurship. Points became paragraphs and since I rarely get a chance to blog I figured I would kill two birds with one stone….

You have the x-factor

Try to listen, question, get help and delve into guidance and advice that makes sense to YOU. Don’t just do what people tell you to, or what is the current common thought. If you are special enough to be successful it’s because you have your own mind and your own great perspectives. Those differences should be the lens in which you consider the advice you’re given, and how you choose to embrace the ones you connect with the most. It’s important to listen, but if you JUST do what the “experts” say then you should work for them and not yourself. It is a tough skill to master, listening well to experts is a key component to learning, growing, and it helps you avoid making the same mistakes. What I am driving at is how YOU work is unique, and that uniqueness greatly changes the result of advice you decide to implement. To put it in terms that may risk an oversimplification, true “jerks” work well employing jerk-like tactics, but nice people do it awfully – and vice-versa.

Two Experts Walk Into a Bar

If two experts disagree on something then it’s fair to say no one knows THE right answer – take a step back, it’s an opportunity to find your unique path.

Can’t Buy Me Love

Do what you love — I know it’s cliché but truly adopting it is harder than it seems. You are an “instant success” if you’re doing what you love. Otherwise, you may be working hard at something you don’t love just to pay for the things you do. I say cut out the middleman! If you accept the love-of-doing more than the love-of-having life gets simpler (sounds hippie, I know.) For example, if you love Ferrari’s you should work around, on, or with them at any capacity you can (instant success.) Don’t work your way up at some random office or profession that you don’t love just to buy a Ferrari some day. Seems like a lot of wasted time just to experience some distant moment of possession.

Focus is Deep

Focus hard and focus on your core. Focus doesn’t always mean doing less, it often just means doing more on one specific thing. Most anyone can make any one thing great if they focused on it and dedicated their life to it. If all you did was think about how to make one specific thing awesome every day I think you’d succeed. P.S. Focusing on two things has half that chance of success or less and so on. However, doing two things that both directly impact the greatness of one thing can compound your greatness. Careful, when you’re in the weeds those two examples can seem very similar.

Blank pages suck!

Blank pages suck! Conceptualizing abstractly too long can kill an idea. Create, draw, promote, attempt, try, share, and do as much as possible even if it seems unneeded or premature. Don’t let technical know-how stop you. A movie can be cartooned without a camera, a car body can be made with clay, and a site for something to help a user can start as a spreadsheet passed around via email. You’d be surprised how much can be done, learned from, or gown into from such basic experiments.

Actions + Ideas = Something Great

Every idea can be great, from a specialized trash can, a purse design, or an ornament you place on your Crocs. Just stick with it. Stick with improving an idea, listening to users, reacting and adapting yourself and your ideas.

Don’t Save Money, Save Time and Stress

We can often go cheap to get things started, and being exceptionally frugal myself, learning the difference between cheap and smart is tough. Instead of saving money compare costs: the time you lose is a cost, the stress acquired is a cost, and so on. Hire people that can do a job exceptionally well, get equipment that will make your business work exceptionally well, etc. That doesn’t mean you get to justify spend wads of cash in the persuit of excellence. It means first focus on what you truly NEED and what will make you successful and THEN figure out frugal ways to attain those things. Find out what costs are you incurring unnecessarily and cut it. Then, re-invest those saving into the more important things. Spend smart, but don’t get trapped in a death by a million paper cuts pinching pennies across the board. Always aim for the best and then figure out how to make it work in your budget.

Some Thoughts on Entrepreneurship

I was recently asked to put together some quick points around entrepreneurship. Points became paragraphs and since I rarely get a chance to blog I figured I would kill two birds with one stone….

You have the x-factor
Try to listen, question, get help and delve into guidance and advice that makes sense or intrigues YOU, not just what people tell you makes sense or what is the current common thought. If you are special enough to be successful, it’s because you have your own mind and perspective that’s different and it’s the advice YOU consider and hold onto that matters (if you simply just listen to experts and do what they say because they are soooo smart then you should work for them and not yourself).

Experts eh?
If two experts disagree in a room on something then no one really knows the right answer – take a step back, it’s time to find your own path.

Do what you love
Do what you love — I know it’s cliché but truly getting that point is harder then it seems. You are an instant success if you’re doing what you love because otherwise you’re working hard at something you don’t love just to pay for the things you do love. Just cut out the middleman! If you accept the love-of-doing more then the love-of-having life gets so much simpler (sounds kind of hippie , I know). For example, If you love Ferrari’s then you should work around, on, or with them at any capacity you can (instant success). Don’t work your way up at some random office or profession that you don’t love just to buy a Ferrari some day. Seems like alot of wasted time just to experience some distant moment of possession.

Focus
Focus hard and focus on your core. Most anyone can make any one thing great if they focused on it and dedicated their life to it. If all you did was think about how to make one specific thing awesome every day I think you would succeed. P.S. Focusing on two things has half that chance of success or less and so on.

Blank pages suck!
Blank pages suck! Conceptualizing abstractly too long can kill an idea. Create, draw, promote, attempt, try, share, and do as much as possible even if it seems unneeded or premature. Don’t let technical know-how stop you. A movie can be cartooned without a camera, a car body can be made with clay, and a site for something to help a user base can be an office excel spreadsheet that is passed around via email in its infancy. You’d be surprised how much can be learned and/or gained traction from such things.

Actions + Ideas = Something Great
Every idea can be great, from a specialized trash can, to a purse design, to an ornament you place on your Crocs, or a website to share simple two line messages with friends (just look around you at what you own or do). Just stick with it (and mind you that doesn’t mean simply bull-headedly pushing a singular concept – that’s “lazy hard work”). Stick with improving an idea, listening to users, reacting and adapting yourself and idea to what you learn and come across. If you do all the above, you most certainly will succeed, right? 😉

Don’t Save Money, Save Time and Stress
Often times we go cheap to get things started, and being exceptionally frugal myself, this lesson was hard for me to see. Often times saving money comes at a greater cost then the time you lose, the stress you gain and the expertise you fail to implement. Hire people that can do a job exceptionally well, get equipment that will make your business work exceptionally well, etc. That doesn’t mean be lazy and spend money without research or thought…spend smart BUT getting someone cheap, bad equipment, lack of staff to handle the load, and cutting corners bites you in the ass often and seems to always end up more expensive and threatens your growth down the road; like death by a million paper cuts. Always get the best and figure out how to make it work in your budget!