One of the first steps you need to take after deciding what business you want to be in is to choose the right name. In this video I give you 4 simple tips to naming your business.
Worth Doing Wrong by Arnie S. Malham was recommended to me by one of my mentors who has successfully utilized the teachings in this book throughout his career. Mr. Malham has tackled one of the easiest things to influence in business yet is also the topic that is focused on the least: culture. Let me start by saying that this book is an easy read. At only 113 pages with a pleasurable font, even those that don't like reading will find themselves finishing this book in record time. The content flows from cover to cover and is filled with real-life examples that can be put into action immediately.
Now for the "meat and potatoes". The tone is set early on with three simple words: "culture reflects leadership". Culture is one of those intangible parts of business that can be hard to describe yet easy to feel. Have you ever walked into an establishment and it just "felt" right? The vibe was good...the place was clean...the staff was engaging. On the contrary, some places immediately turn you off the minute you cross the threshold. This is an example of culture. So how do you as a leader mold your culture into what you want it to be? Worth Doing Wrong provides us with a long list of initiatives that we can begin today such as themed work days, make-your-day gift cards, first-day welcome baskets and free monthly lunch with the boss (just to name a few).
The vast majority of the "problems" that businesses face can be solved by instituting the right culture. Employee turnover, low profit margins, customer (dis)satisfaction, decreasing market share, etc. are all a direct result of the wrong culture. As stated earlier, culture starts at the top. The book opens up with "You can't not have a culture". So either the culture of your company or department -or even family - is "by default or by design". Those images that we've all seen of tech companies that have employees riding around on skateboards in their sneakers with bean bag chairs sprawled throughout is a designed culture that stimulates creativity for those team members. When you go to Chick-Fil-A and you hear them sincerely say "My Pleasure", that is a designed culture. A default culture usually occurs when there is a lack of training, the employees have no genuine interest in the success of the company and everyone involved has a WIIFM (what's in it for me?) attitude!
Simply by taking the time to read this post means that you are interested in creating or being a part of a culture that you can be proud of. Notice that I said "be a part of" as well. Arnie Malham also breaks down ways on how you can begin to mold the culture around you without having the official title of Manager/Supervisor/Leader. So if you want to go to work everyday to a fun and productive environment - and who doesn't want that? - I suggest that you grab a copy of Worth Doing Wrong today and begin a quest that will change your life forever!
If you are in management/leadership, you will immediately notice the difference between the two photos above. The first picture symbolizes a leadership style of management, which is the preferred method. The Shepherd leads the flock to the desired destination. (S)he is out front showing the flock the way to go. If there are any obstacles in their path, the Shepherd will be the first to recognize those obstacles and adjust the flock accordingly. The Shepherd also does not ask the flock to go anywhere that (s)he has not already gone personally. As a result of the Shepherd's leadership, the flock willingly follows and trusts that (s)he will take them on a safe and productive journey.
By contrast, the Rancher pushes the herd from behind. Unfortunately this management style is far too prevalent in business. The Rancher uses force and intimidation to get the herd to do what (s)he wants them to do. (S)he demands that the herd go along the path first. If there is any danger or obstacle(s) ahead, the herd may encounter them first, which could result in casualties due to inexperience. The result of this type of management style is that even though the herd reaches the desired destination, they do so with resentment and without loyalty.
There are times when both styles are necessary. After you have shown yourself as a leader and the team is veering off course, you may have to get behind them and corral them with a little force. But this should be the exception, not the rule. By showing yourself as a true leader, your team will reward you with loyalty, increased performance and with a less stressful environment. If you are already a Shepherd, I want to congratulate you! If you are currently a Rancher, I want to encourage you to train on becoming a Shepherd. YOUR TEAM WILL THANK YOU!
Let's start by defining net worth. Your net worth is simply all your assets (cash, property, vehicles, jewelry, etc.) less any liabilities (such as mortgage or vehicle loans). Many of us did not grow up hearing the term net worth, nor was it taught in public schools. Instead we heard a lot about how much money a job paid or heard people talk about how much they earned. Now we generally hear the term being associated with wealthy individuals such as celebrities, CEOs and business owners. Contrary to what it may seem like on the surface, a high income does not directly translate into a high net worth nor does a lower income mean that you will necessarily have a low net worth.
So what should your net worth be? Many financial professionals use the following formula to calculate what a person's net worth should be:
Multiply your last year's gross earnings by your age and then divide that number by 10.
For example, if you earned $33,000 last year as a 24 year old, your net worth should be $79,200 ($33,000 x 24 = $792,000/10 = $79,200).
If you earned $90,000 last year as a 45 year old, your net worth should be $405,000 ($90,000 x 45 = $4,050,000/10 - $405,000).
The key to growing your net worth is to pay yourself first, keep your expenses in line, and have a solid investment portfolio. A general rule of thumb is to live off approximately 50% of your gross income. An example would be that taxes will consume about 25%, 15% should be put away into savings/investments, and 10% for charitable giving. The rest would be allocated to expenses such as housing, transportation, food, insurance, and entertainment. This is not a hard formula but gives a general outline of how to live off 50% of your income in order to increase your net worth.
If this is the first time you've ever been exposed to personal net worth, take action today! Start by calculating what your net worth should be along with what it is currently. If it is line, keep doing what you are doing. If it is not, take the necessary steps to get it in line for the sake of your own financial independence!