Worcester Business Journal

wbjournal.com | February 6, 2017 | Worcester Business Journal 17 10 T H I NG S I know about... . . . u s i n g y o u r f i n a n c i a l f u n c t i o n a s a n a d v a n t a g e By Dave Robinson Robinson is founder of Gardner financial firm Driven Insights. He can be reached at dave@driveninsights.com. K N O W H O W The impact of (in)accurate presentation B efore you even open your mouth, they've already made up their minds. Whether you're introducing yourself to a new customer or giving direction to a co-worker, your overall appearance has a staggering effect on how that other person views you. While this point-of-view is about as un-PC as it comes and people will cry foul at the unfairness of it, we cannot deny the truth: appearance matters. Take a moment to call to mind the physical characteristics you attribute to different professions. Doctor. Fast- food worker. Yoga instructor. Police officer. Tattoo artist. Therapist. Chances are that there are commonali- ties between what you imagined and what the others reading this article imagined. This is not coincidental or stereotypical, necessarily. Many com- mon characteristics in a given field are there for a reason – doctors often work unpredictable hours and therefore may tend to have dark circles under their eyes and coffee on their breath. The important thing is not that those com- mon characteristics are there, but if they are positive or negative. Now pic- ture a construction worker – scruffy, colorful vocabulary, desperate for that five-minute coffee and cigarette break. And these are the guys working on your brand new kitchen in your home? This is a reality in my field that I face and have tried to combat. What customers and potential clients don't see when they look at a stereotypical carpenter is someone who can create something unbelievably beautiful with their hands, someone who loves to read their children bedtime stories, someone who is burning the midnight oil studying for their licensing test. Those are the attributes we want other people to see. But they won't be seen, if our exterior does not present the truth. The many positive traits carpen- ters share can often go unnoticed when the negatives get in the way. The training involved in joining the C.M. Chartier crew goes beyond ham- mering nails and painting trim. It includes lessons on how to engage cus- tomers and subcontractors, coworkers and employees with words and actions. Posture, eye contact, facial expressions and handshakes can communicate pre- cisely what you want the other person to know if you do so consciously. We want our customers to feel comforted knowing our crew will be working in the homes where they raise their fami- lies; we want our employees to know we respect them and appreciate them. We have, at times, been accused of having irrational rules and unattain- able expectations in our employee handbook ("You really expect me to not get paint on my Dickies?"). But those guidelines are there for precisely the reasons I outlined above. • Do you want your co-worker to respect you? Look them in the eye. • You want the customer to have faith in you? Smile and say hello to their kids when you get to the jobsite. • You want your manager to con- sider you for a promotion? Keep your uniform neat and clean. In a perfect world people wouldn't jump to conclusions based on what another person looks like, but this isn't a perfect world. Naysayers will claim that being over cognizant of these things will result in loss of self, of free expression, but that is false. When you take the time to think about how you are perceived by others, much can be gained, including confi- dence and, hopefully, new customers. A iming high is one thing. But stretch goals, or goals set for your team that are unrealistic to meet with existing resources, often do more harm than good. More than merely difficult to reach, stretch goals go beyond – and then some. For instance, your already-intimidating goal could be $10 million in revenue for the year with a stretch goal of $11.5 million. Stretch goals – an effort to spur cre- ativity – can be risky. Here are some things to know about stretch goals. You may have to get proactive, and quick. Stretch goals may be handed down to you from senior managers who don't understand the work involved in hitting certain targets. "Be sure others are aware of the time it takes to do things, the other people involved in getting them done, and the time frames," writes Chrissy Scivicque at U.S. News & World Report. The explanations need to take place before the problem occurs, not after, she says. You can't wait until after your team has missed the target to explain why. Stretch goals can breed problems, like unmotivated, unethical or risk- taking employees. Daniel Markovitz of Harvard Business Review calls stretch goals a "managerial absurdity. Enron rewarded its executives with large bonuses for meeting specific revenue goals, irrespective of the profitability or the riskiness of the moves … Stretch goals played a large role in putting the investment banks in seri- ous jeopardy," he writes. Stretch goals don't build predictability, the crux of sustained performance, writes Joel Trammell of Inc.com. When a CEO sets unrealistic goals, he or she won't be taken very seriously, or be able to get a clear perspective on when the goals will be achieved, as they were unlikely to begin with. "When the goals aren't achieved," he writes, "no one is surprised, no one is held accountable, and no real lessons are learned about what could've been done to change the outcome." BY SUSAN SHALHOUB Special to the Worcester Business Journal 10 1: S t r e t c h g o a l s W 10) Articulate your goals. Establish clear, quantifiable short- and long-term goals so you know were you're headed. Live by the maxim: "Without a plan, all activity looks like progress." 9) Direct your reporting. Identify the information required for your decisions en route to achieving goals, including comparisons to industry benchmarks. 8) Align & equip your team. Even a finance team of one should have the capability to consistently produce useful financial metrics each month. Tired of the headaches associated with attracting, managing and retaining a finance team? Consider outsourcing. 7) Select the right tools. There are many affordable software applications available to manage your general ledger. The right mix of tools helps make the information you need secure, accessible, consumable and shareable. 6) Ensure accuracy. Well placed controls help ensure your information is accurate and secure, no one is exploiting weaknesses in your system, and you're operating within the law. 5) Demand consistency. Establish and document standard procedures to facilitate consistent delivery of accurate information. 4) Produce timely, consumable info. Generate financial reports monthly to ensure opportunities and issues are caught early. Remember presentation matters. No business owner has time to read cryptic financial statements. Useful insights should leap from the page. 3) Know your cash position. Cash is still king. You won't have your finger on the pulse of your business until you understand how and when cash flows in and out. 2) Review, take action. Don't simply file the monthly reporting package. Use data to measure progress toward your goals. 1) Evolve with your business. The opportunities and challenges a business owner faces change. It follows the data required to inform your decisions does as well. BY CHRISTOF CHARTIER Special to the Worcester Business Journal W Christof Chartier is the founder and owner of Templeton construction firm C.M. Chartier Contracting W

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