Mistake

Step back and have a neutral look at your business / career
Chapter 10
p.7
I deal with so many customers and products. How do I know which is the best? How can I find out where I can get the best returns?
Don’t make the mistake of thinking that all your products and customers are necessarily profitable and “good business”. From time to time it is essential to step back and have a realistic and neutral look at your business.
The diagram below is an example of a “Kanthal Curve”. See it as a tool that can help you to view your business and career from a distance.
It will enable you to answer questions like:
Are my bigger customers really my better customers?
What will be the effect if I spend the same effort onother customers?
Am I really optimizing my resources?
How does cost and activity compare?
But I don’t know how to draw a curve like that! What do I need and where do I start in order to do this?
Before you can plot a Kanthal Curve for your business, you have to analyze your business and obtain realistic and adequate information.
Just follow the steps on the following page…
STEP 1: Write down all the costs
In the case of a salesperson, costs will include the following:
Your full package translated into an hourly rate.
Costs of all who make a contribution to your sales effort: Sales coordinator, team leader, team, admin, etc.
List infrastructure costs that relate to you which are not included in your
hourly tariff.
Any other costs.
STEP 2: List your Top Ten in terms of sales for each of the following:
Products
Suppliers
Customers
STEP 3: Split all the cost elements per customer, allocating as best you can.
Be as honest as you can, otherwise you’ll simply engineer the results you want! Beware of foregone conclusions.
Total
Customer 1 Customer 2 Customer 3
A
Sales
B
Gross Profit
C
Own time x package
D
Other time x cost
E
Infrastructure cost
F
Other costs
G Total cost
(C+D+E+F)
Nett profit
(B-G)
STEP 4: Repeat for products, services, suppliers, etc.
(Use the same method as above)
STEP 5: Plot the curve, starting with the customer
(or product, service or supplier yielding the most net profit and ending with the least profitable.)
Your Kanthal Curve gives you a clear picture of the business performance of your customers, products, services, suppliers, etc.
Now you can analyze good business/bad business…
Analysis of good business / bad business:
Start with your worst performers.
Why keep them?
What areas of improvement can you identify?
Discuss with your customer if he is part of the solution
(eg. pay for service calls, change buying patterns, etc.)
Develop SMART action plans and implement.
Remember that the answers are never in the obvious.

Step back and have a neutral look at your business / career

Chapter 10 p.7

w&t_question

I Ask

I deal with so many customers and products. How do I know which is the best? How can I find out where I can get the best returns?

w&t_exclamation

I Answer

Don’t make the mistake of thinking that all your products and customers are necessarily profitable and “good business”. From time to time it is essential to step back and have a realistic and neutral look at your business.

The diagram below is an example of a Kanthal Curve. See it as a tool that can help you to view your business and career from a distance.

It will enable you to answer questions like:

  • Are my bigger customers really my better customers?
  • What will be the effect if I spend the same effort on other customers?
  • Am I really optimizing my resources?
  • How does cost and activity compare?

w&t_ch10_j_the_kanthal_curve

w&t_question

I Ask

But I don’t know how to draw a curve like that! What do I need and where do I start in order to do this?

w&t_binoculars

I Explain

Before you can plot a Kanthal Curve for your business, you have to analyze your business and obtain realistic and adequate information.

Just follow these steps:

STEP 1: Write down all the costs

In the case of a salesperson, costs will include the following:

  1. Your full package translated into an hourly rate.
  2. Costs of all who make a contribution to your sales effort: sales coordinator, team leader, team, admin, etc.
  3. List infrastructure costs that relate to you which are not included in your hourly tariff.
  4. Any other costs.

STEP 2: List your Top Ten in terms of sales for each of the following:

  • Products
  • Suppliers
  • Customers

STEP 3: Split all the cost elements per customer, allocating as best you can.

w&t_elephant

I Advise

Be as honest as you can, otherwise you’ll simply engineer the results you want! Beware of foregone conclusions.

Total
Customer 1 Customer 2 Customer 3
A
Sales
B
Gross Profit
C
Own time x package
D
Other time x cost
E
Infrastructure cost
F
Other costs
G Total cost
(C+D+E+F)
Nett profit
(B-G)

STEP 4: Repeat for products, services, suppliers, etc.

Use the same method as above.

STEP 5: Plot the curve, starting with the customer

or product, service or supplier yielding the most net profit and ending with the least profitable.

w&t_binoculars

I Explain

Your Kanthal Curve gives you a clear picture of the business performance of your customers, products, services, suppliers, etc.

Now you can analyze good business/bad business…

Analysis of good business / bad business:

Start with your worst performers.

  1. Why keep them?
  2. What areas of improvement can you identify?
  3. Discuss with your customer if he is part of the solution (eg. pay for service calls, change buying patterns, etc.)
  4. Develop SMART action plans and implement.
w&t_elephant

I Advise

Remember that the answers are never obvious.

Taking charge of your reactions and behaviors using NLP
Chapter 5
p.4
What is meant by “Playing the Glad Game”? Pretending to be happy when I’m not ? And what does it have to do with business’?
Nowadays we hear a lot about Neurolinguistic Programming, or NLP. NLP is a way of taking control of your mental state and taking charge of your reactions and behavior.
Mike Matulovich coined the concept “The Glad Game” which in essence is about finding something positive in all negative experiences; in other words, playing a positive mind game through which you direct the way you react to external stimuli which you receive from situations or interactions.
There are many aspects to The Glad Game. Let’s focus on one of them: All external events pass through your individual mental filters, which consist of aspects such as beliefs, values, memories, your experience of time, space, energy, etc. They in turn determine how you interpret those events. It is important to realize that these filters can cause you to distort, generalize or even delete external stimuli.
Playing the Glad Game implies deliberately changing negative filters.
For example, if you make a mistake, convert it from a negative internal attitude of “I am stupid” to a positive attitude of “This is a good learning experience”.
So that’s where the “Glad” comes in, instead of a negative picture about myself I deliberately frame it in a positive state of mind leading to a positive way of dealing with a mistake..
The process of receiving and processing information:
1. An external event happens
2. Internal filters interpret the event
My experience of Time / Space / Matter and energy forms my internal meta programs determine which filter to use.
Meta programs include:
Value
Beliefs
Memories
Decisions
Language
Attitudes
These meta programs switches on the filter which fits with ones personal perception. This internal filter determines what should happen with the event, generally one of three things:
Delete filter – Deletes appropriate or inappropriate
Generalize filter
The brain runs programs to switch on a light. It can run inappropriate programs for example a phobia against spiders.
Distortion filter – Punish self “I am stupid”
3. An internal representation is formed
Consciously turn the event into a positive event or as a learning experience.
4. Your own emotional reaction to the event takes shape
Consciously shaping an event into the positive adds to ones positive state of mind.
5. Physiology and behavior is determined by your emotional reaction
Based on a positive relation to which filters are switched on ones physiology and behavior will automatically follow the positive state of emotion.
6. Language as medium of expression
Expression, verbal or otherwise, can now not help but be genuinely positive and constructive.
The above explanations makes it obvious how the Glad Game relates to the workplace.
A manager criticizes your work – his criticism filters through your internal representation (how you picture yourself). If you have a negative attitude your state of mind becomes negative, affecting your behavior, for example you withdraw. This adds to a further negative state of mind which affects the type of language you use, for example denial or blame.
If you play the Glad Game your positive image gives you a positive state of mind which in turn has a positive affect on your behavior and language. If customers give you negative feedback, you need to be able to thank them for the feedback and ask further questions to ensure that you can address the customer’s needs.
This is true Elephant behavior.

Taking charge of your reactions and behaviors using the GLAD GAME and NLP techniques.

Chapter 5 p.4

w&t_question

I Ask

What is meant by “Playing the Glad Game”? Pretending to be happy when I’m not ? And what does it have to do with business?

w&t_exclamation

I Answer

Nowadays we hear a lot about Neurolinguistic Programming, or NLP. NLP is a way of taking control of your mental state and taking charge of your reactions and behavior.

Mike Matulovich introduced us to the concept “The Glad Game” which in essence is about finding something positive in all negative experiences; in other words, playing a positive mind game through which you direct the way you react to external stimuli which you receive from situations or interactions.

w&t_binoculars

I Explain

There are many aspects to the Glad Game. Let’s focus on one of them: all external events pass through your individual mental filters, which consist of aspects such as beliefs, values, memories, your experience of time, space, energy, etc. They in turn determine how you interpret those events. It is important to realize that these filters can cause you to distort, generalize or even delete external stimuli.

Playing the Glad Game implies deliberately changing negative filters.

For example, if you make a mistake, convert it from a negative internal attitude of “I am stupid” to a positive attitude of “This is a good learning experience”.

From the wikipedia: Glad Clubs” appear to have been popular for a while; however, it is questionable if they were ever more than a publicity gimmick. The Glad Clubs may have been simply a means to popularise the use of The Glad Game as a method for coping with the vicissitudes of life—loss, disappointment, and distress.[citation needed] Nevertheless, at least one “glad club” exists today, in Denver, Colorado.[3]

There is even a song that says not all of us want to PLAY THE GLAD GAME all the time- it is fun!

w&t_question

I Ask

So that’s where the “Glad” comes in, instead of a negative picture about myself I deliberately frame it in a positive state of mind leading to a positive way of dealing with a mistake..

The process of receiving and processing information:

1. An external event happens

2. Internal filters interpret the event

My experience of Time / Space / Matter and energy forms my internal meta programs determine which filter to use.

Meta programs include:

  • Value
  • Beliefs
  • Memories
  • Decisions
  • Language
  • Attitudes

These meta programs switches on the filter which fits with your personal perception. This internal filter determines what should happen with the event, generally one of three things:

  • Delete filter – Deletes appropriate or inappropriate
  • Generalize filter – The brain runs programs to switch on a light. It can run inappropriate programs for example a phobia against spiders.
  • Distortion filter – Punish self “I am stupid”

3. An internal representation is formed

Consciously turn the event into a positive event or as a learning experience.

4. Your own emotional reaction to the event takes shape

Consciously shaping an event into the positive adds to one’s positive state of mind.

5. Physiology and behavior is determined by your emotional reaction

Based on a positive relation to which filters are switched on one’s physiology and behavior will automatically follow the positive state of emotion.

6. Language as medium of expression

Expression, verbal or otherwise, can now not help but be genuinely positive and constructive.

w&t_ch5_d_the_glad_game

The above explanations makes it obvious how the Glad Game relates to the workplace.

w&t_binoculars

I Explain

A manager criticizes your work – his criticism filters through your internal representation (how you picture yourself). If you have a negative attitude your state of mind becomes negative, affecting your behavior, for example you withdraw. This adds to a further negative state of mind which affects the type of language you use, for example denial or blame.

If you play the Glad Game your positive image gives you a positive state of mind which in turn has a positive effect on your behavior and language. If customers give you negative feedback, you need to be able to thank them for the feedback and ask further questions to ensure that you can address the customer’s needs.

This is true Elephant behavior.