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20 Hartford Business Journal • January 22, 2018 • www.HartfordBusiness.com EDITOR'S TAKE Business influence will be tested in legislature C onnecticut's business community has always had a strong voice at the state Capitol, represented by lobbyists at the Connecticut Business & Industry Association and other industry groups. Indeed, the notion that business interests are never heard or acted upon in Hartford, an argument made by some, is a fallacy. Last year several significant reforms were ad- opted as part of the bipartisan budget agreement passed in October including stronger spending and bonding caps and a requirement that the legislature vote on state employ- ee contracts. Those were all things the CBIA and others have pushed for years. But businesses' influence clearly hasn't been enough to change the trajectory of a state that has been consistently losing its wealth, population and economic competitiveness. That's what spurred several high-profile current and former Connecticut CEOs to convince the governor and legislators to form the Commission on Fiscal Stability and Economic Growth, a mainly private-sector led coalition that will by March 1 propose comprehensive structural reforms to state government, hopefully leading to balanced budgets and economic growth. The panel is a grassroots effort led by Bob Patricelli, the se- rial entrepreneur who recently sold his Avon physician practice management firm Women's Health USA Inc., and recently retired Webster Bank CEO Jim Smith. Both men co-chair the 14-member commission whose other prominent participants include Jim Loree, president and CEO of Stanley Black & Decker, and Christopher Swift, chairman and CEO of The Hartford. They are trying to use their collective power and influence to con- vince lawmakers to tackle some third rails of Connecticut politics, including unafford- able union and unfunded retiree pension and healthcare benefits, all of which are major contributing factors to the state's poor fiscal health. The group's motives are a mix of altruism — based on a desire to help a state that has been good to their own careers and lives — and profit-making — based on a need to oper- ate in a stable/pro-growth state economy that will allow companies to recruit top talent. The dynamics around the formation and potential impact of this group are intriguing. To many, they may be looked upon with skepticism. For those familiar with state govern- ment, the creation of panels and commissions to tackle Connecticut's fiscal and economic competitiveness issues is nothing new and many times their impact is muted. Their typical role has been to raise the red flag about the many ills infecting state government, propose some remedies and then be sent home with a prescription that essentially goes unfilled. The lack of political will or courage on behalf of legislators often leads to hard decisions being postponed. However, the can that lawmakers have been kicking down the road for decades is now a nearly immovable object. The challenges facing the state are so great, and the risks of further economic and fiscal deterioration so high, that the window to shift Connecticut's long-term trajectory is closing (more billion-dollar deficits await the state in fiscal 2020 and beyond). The high stakes offer some hope that Patricelli, Smith and company will be able to convince lawmakers to support bold structural reforms. These are well-accomplished people who wouldn't put their reputations on the line if they didn't think they could make a difference. Adding to the optimism is language in the budget that would appear to require the legislature to take some action on their recommendations, meaning it could be harder for lawmakers to just mothball their work. However, most commission members are entering an arena to which they are not totally familiar. As CEOs, these corporate titans have been able to exert their will; as com- mission members they can only exert their influence. And the political environment right now is a precarious one. The commission's recom- mendations, which are expected to tackle things like taxes, unfunded pension and benefit liabilities, transportation funding, urban decline, etc., are coming in a major election year in which the governor's seat and all Senate and House seats are up for grabs. That typi- cally makes it difficult to pass comprehensive reforms. In addition, Democrats are still the majority party in the House and they share power in the Senate, and while commission members say they are acting in a nonpartisan role, their recommendations are bound to upset a key liberal constituency: unions. To honestly tackle Connecticut's fiscal problems, without significantly raising taxes again, the cost of government employees must be further tamed. But if there ever will be a group that convinces lawmakers to make comprehensive and bold reforms, the Commission on Fiscal Stability and Economic Growth may have as good a shot as any. And it's not too hyperbolic to say that Connecticut's future is at stake. STRATEGIC MANAGEMENT Post-truth era business development strategies By Chris Coyle B usiness development has become more complex because of the collective effects of the post-truth era (PTE), a time in which objective facts are less influential in shaping public opinion than appeals to emotion and personal belief. The strategies to handle the post-truth era, include redefine, recalibrate, reorient and reinvent. We are now drilling into the first step in navigating effectively in the post-truth era, redefining the focus of initial discussions and using some of the most prolific elements of the PTE to make business communication more impactful. Today, emotion is more important than ever. Great communicators through the centuries have strived to achieve the op- timum use of the three means of persua- sion (logos, pathos and ethos). Pathos, meaning the ap- peal to emotion, may have eclipsed the importance of the other pillars of persuasion. In our increas- ingly emotionally oriented culture, this means adjust- ing our business communications strate- gies to be more emotionally effective. Just imagine how great you will feel when your use of emotions works. Statistics or stories? How often do your business presenta- tions jump right into facts and figures? Where is your emotional connection that your prospect is increasingly programmed to expect? How about personal- izing what we are communicating? When one is at the beginning of the sales cycle, capturing atten- tion and building interest is para- mount. Emotion is the key. Early in 2017 many pundits debated the future direction of federal healthcare policies. This highly publicized and charged debate showcased a wide range of communications tactics. Communications expert Merrie Spaeth offered some interesting commentary about this debate in the Wall Street Jour- nal ("How to Overcome the Tyranny of the Anecdote") that illustrates the power of emotion and storytelling. Spaeth describes the battle between facts, and "emotionally laden anecdotes" and shares some useful insights into increasing the effectiveness of important communica- tions in today's emotionally centric world. While facts and numbers may support one sides' healthcare policies, this is no longer enough. While one faction relies on facts, the other uses an emotional story of a family losing their healthcare benefits. We all know this well by now — the emotional appeal usually wins, even if the facts do not support it. To make business development more effective in the post-truth era, we must include anecdotes and illustrate key advan- tages with stories that tell a more human story and trigger underlying emotions. When your biggest competitor is non- action — the resistance to consider new ways of doing things — try illustrating and personalizing the potential implications and consequences of not taking action. Helping your prospects visualize and feel what new outcomes might mean for their business can elevate facts into a more compelling story. Weaving facts into a story line that includes the future implications and consequences of today's decisions and choices "in real-life terms" helps business professionals redefine and improve the opening discussions. By contrast, simply increasing the volume of facts and adding more "expert" opinion may not only be counterproduc- tive, but risks appearing out of touch as post-truth-oriented people may perceive you are telling them their opinion is wrong (note the intentional switch from their facts to their opinion). Others simply have come to expect emotional con- tent and may not react until they feel moved to do so. Some might coun- ter this logic with the objection that this is simply giving into the post-truth era and joining the increasing chorus of "narrative noise." While it is true that using strategies and tactics that are part of the PTE phenom- enon may appear to be a concession, the fact is great communicators through the centuries have always studied the essence of communication's effectiveness. Today, the unprecedented growth in the scale, scope and impact of communi- cations is changing age-old norms, and the reasons are based in science. Our next article will dig deeper into some of the science and the power of modern communication tools to maximize the impact of messages. Chris Coyle is managing director of business development services for CBC GROUP. Contact him at ccoyle@ cbcgroupwins.com. Chris Coyle Greg Bordonaro Editor "When one is at the beginning of the sales cycle, capturing attention and building interest is paramount. Emotion is the key." Opinion & Commentary