Is Coaching the Facial Tissue or the Kleenex?

 

Have you noticed how frequently the word ‘coaching’ is used these days? You don’t read an article, attend a leadership workshop, or even speak with managers without ‘coaching’ being generously referenced.  It’s used to describe the act of:

  • Helping someone do something
  • Chewing others out
  • Passing along information
  • Delegating a task
  • Recognizing what’s gone well
  • Giving feedback
  • Teaching a skill

It seems that for many, ‘coaching’ has grown to generically refer to any interaction a leader might initiate… much like Kleenex’s relationship to all other tissue. But, not all conversations are coaching; and coaching certainly is not Kleenex!

As leaders, many of us have gotten sloppy with our language. Maybe it’s because we know that coaching is a desirable behavior within most organizations. Or maybe we want to couch tougher conversations in constructive packaging. In any case, the lack of precision around our language translates to a lack of precision around our behavior… and that’s compromising the power of coaching.

Kleenex coachingThe above commentary on the demise of  “coaching” as a term and practice comes from a blog post last week from Julie Winkle Giulioni. I share in her lament that a perfectly good word has been misappropriated for a litany of weaker approaches. When I think of a coach, I envision someone who is making a difference in another’s life through one-ton-one impartation, challenging the other person to extract value out of one’s efforts for self-improvement and self-actualization. Giuloni continues with an excerpt below to tackle a more appropriate definition of coaching.

Defining Terms

“Facilitating an individual’s search within themselves for the answers and resources they require to be limitless.”
– Michael Duffy

“Coaching in its truest sense is giving the responsibility to the learner to come up with their own answers.”
– Vince Lombardi

“Coaching is a powerful relationship for people who are making important changes in their lives.”
– Laura Whitworth in Co-Active Coaching

“Coaching is the art of facilitating the performance, learning and development of another.”
– Myles Downey

When we think about coaching from the perspective of these sample definitions, it becomes clear that coaching is an intentional and deliberate process designed to systematically help others understand themselves and take responsibility for making choices to support their own growth.

Notice the key words: process, system, (self-)understanding, (personal) responsibility, and growth. If those who hold themselves out to be coaches were acutely focused on these words and their implications, the term would become valuable once again. Now that we have some clarity around terminology, the next challenge is to examine what coaching looks like in practice. Consider Giuloni’s additional comments below:

(coaches):

Ask great questions…. and lots of them. Coaching is about unlocking what the other person knows, feels, wants. Skillful coaches have a seemingly unending array of questions at their disposal. Easy ones. Challenging ones. Interesting ones. Impossible ones. But all designed to help others reflect on and deepen their understanding of themselves and their options.

Listen exquisitely. Since questions are the currency of coaching, the real payoff comes with listening. The best coaches are genuinely curious and interested. They listen beyond the words – to the emotions, hopes, possibilities, and concerns. They keep track of what they’ve heard, tuck it away, and use it to continually build a deeper understanding of the other person…and they reflect that understanding back to the other person.

Hold the space for possibilities. In the presence of good coaches, more is possible.  The best coaches inspire and challenge others to grow by fundamentally knowing that it’s possible. They promote optimism and a sense of capability as they make change and help others find new ways forward.

When this perspective is held, performance of those being coached is improved. The generic, bland approach to engaging others on issues that matter gives way to a very defined (branded) process that delivers predictable results–like Kleenex!

 

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Stay Out of the Ditches of Entrepreneurial Growth

Having studied causes of business failure and what can be reversed versus what is usually fatal, I can assure that a leading problem for small businesses is unplanned growth. When the pace of advancement exceeds the ability of the infrastructure to keep up–in any category–there will be problems galore. Bankers, CPAs, and attorneys have all witnessed this phenomenon with their small business clients and wished they could have persuaded the founder to slow things down until growth became more manageable.

Jeff Cornwall, of Belmont University in Tennessee, writes a popular blog entitled The Entrepreneurial Mind. In a recent post, he says that, “The road to growth can be both narrow and treacherous.  There is not a lot of room for error, and when you make a mistake it can lead to serious or even fatal consequences for the business. There are two ditches alongside the road to growth.” Below, I have featured excerpts from his post on the subject of the two ditches:two ditches

  • One ditch is the one that catches those businesses that underestimate what they have to do to manage their growth.  This is the ditch that most people worry about with fast growing businesses.

Entrepreneurs who end up in this ditch spend too much time continuing to be involved in the day-to-day operations of the business and not enough time working on creating an organization that can support growth.

These entrepreneurs move too slowly to build a team to whom they can begin to delegate important functions and tasks.  As they add employees, they don’t create systems and procedures that make sure work gets done efficiently and effectively.  They don’t think about what organizational structure will best support their strategy and achieve their goals.  And they don’t take the time necessary to intentionally build the culture they want to have within their business.

Entrepreneurs who get caught in this ditch alienate customers with poor service and lose their best employees due to frustration with the constant internal chaos.

If failure is the ultimate result, it is not because of a poor product.  It is due to poorly managed growth.

  • The other ditch is the one that catches those entrepreneurs who actually over-prepare for growth.

These entrepreneurs hire too many managers too quickly, added overhead expenses that the business is not yet ready to support.

They also make systems and procedures that are much more complicated than necessary, also adding to cost and bogging down employees and customers in excess complexity and paperwork.

Eventually it can seem like employees are serving the system, rather than the system supporting them and making their jobs more manageable.  And even worse, customers can begin to feel like they are serving the company rather than the company serving them.

If failure is the ultimate result for entrepreneurs who end up in this ditch, it is due to over-managed growth that kills the innovation that made the business special and successful.

What, then, is the solution? Cornwall suggests (and I would concur!) balance. The choice to grow should be a conscious choice. Sure–everyone who begins a business hopes it will be successful. Note, however, that growth is not necessarily a sign of success, but can be like an albatross hung around one’s neck. Managed, sustainable growth is more likely to be a solid measurement of success in small business. 

Determine how you will handle the growth long before it arrives so that you neither allow the enterprise to flail out of control nor squelch its inertia with an overkill of “orbiting the giant hairball.”

Entrepreneurs Who Don’t Pass the Grade

Can an entrepreneur be graded? What would the assessment look like? Jason Nazar, the founder of Docstoc, created a 55 question assessment to do just that. He posted it on Forbes yesterday and invited the reader to begin with the end in mind. The questions are listed below:

Checklist man

1. See opportunity where others see issues 

2. Have a discipline for making decisions among various opportunity costs

3. Rapidly double down on something when it starts to work and blow it out to its full potential 

4. Balance “gut decisions” with of a love of data-driven decisions

5. Focus on 

6. Stay attached to the problem they are trying to solve, but be flexible in the solutions to solve it 

7. Know when to apply a 

8. Protect their downside and prevent the organization from being put at risk

9. Communicate expectations clearly, build buy-in and hold everyone accountable (most of all themselves)

10. Encourage open feedback on what they can improve

11. Put others in positions to make critical decisions and drive key initiatives forward 

12. Prefer to give credit than to take credit

13. Do, or have done, what they ask others to do

14. Remain organized and disciplined in any work habits that affect others

15. Seek out and follow the council of advisors in and outside of the business 

16. Balance “Coaching and Cheerleading” vs. “Doing and Directing” 

17. Know when to set unrealistic goals

18. Regularly thank and appreciate others for a job well done (thanks to my co-founder Alon Shwartz for reminding me)

19. Make themselves consistently accessible to their team

20. Are honest and ethical in all their dealings

21. At least 20% of their time goes towards recruiting top talent (tip: some say 50% via Vinod Khosla)

22. Build a team of A vs. B players

23. Define the most important qualities for hiring 

24. Counter-balance their weaknesses by hiring people better than them

25. Hire Fast & Fire Fast 

26. Define what the culture should be

27. Create an ingrained culture, not one of platitudes 

28. Make the culture about something bigger than business 

29. Build ownership and accountability across the entire organization

30. Put in their own capital before they ask others to put in theirs

31. They sell ether, sell the dream

32. Have mastered the investor pitch process

33. They first sell themself

34. Understand “People, Product, Progress, Passion, Persistence” 

35. Always ensure the business is properly capitalized 

36. Treat investor’s capital like a borrowed treasure to be protected and returned

37. Know their product better than anyone else

38. Regularly talk with customers to see what can be improved

39. Have a vision for the product that gets translated across the organization

40. Make their product different and better than the competition

41. Build lean products iteratively and ship expeditiously

42. Genuinely care about the interests of the customer more than their personal financial gain

43. Focus on execution over ideas

44. Participate in key sales functions and deals 

45. Spend enough time courting key relationships that move the business forward

46. Great at generating PR and buzz for the company 

47. Listen more than they talk 

48. Stay scrappy as they grow 

49. Have a strong sense of demand and how to extract it 

50. Self aware, willing to admit mistakes and take responsibility

51. Fierce competitiveness, hate to lose

52. Extreme sense of urgency and intense work ethic

53. Have a big WHY 

54. Can sell the dream

 

55.) Do they get results with integrity?  That is the only standard by which entrepreneurs are eventually judged.  Everything else is just a test; grades don’t matter, but results do.

 

What a great and wise summary of what’s most important! When Nazar sums it all up in the phrase “results with integrity,” he eliminates all doubt as to what is really the key driver in successful leaders–be they entrepreneurial, intrapreneurial, or otherwise! 

Build Human Capital With Interpersonal Savvy

Relationships in business are super important. When tasks and goals are pursued without regard to the interpersonal collateral, it is tragic. Leaders who see human capital as their greatest asset are revered by those who serve alongside them. Those who run roughshod over others are despised–though they may see results from a Machiavellian style in the short run, they never get the voluntary commitment of others and, therefore, cannot take an organization as far.

Three person relationshipJeff Haden recommends the following best (business) relationship practices in an Inc article today:

1. Take the hit.

A customer gets mad. A vendor complains about poor service. Sometimes, whatever the issue and regardless of who is actually at fault, some people step in and take the hit. They’re willing to accept the criticism or abuse because they know they can handle it–and they know that maybe, just maybe, the other person can’t.

2. Step in without being asked.

It’s easy to help when you’re asked. Very few people offer help before they have been asked, even though most of the time that is when a little help will make the greatest impact. People who build extraordinary relationships pay close attention so they can tell when others are struggling. . .they come up with specific ways they can help. 

3. Answer the question that is not asked.

Where relationships are concerned, face value is usually without value. Often people will ask a different question than the one they really want answered. Behind many simple questions is often a larger question that goes unasked. People who build great relationships think about what lies underneath so they can answer that question, too.

4. Know when to dial it back.

Outgoing and charismatic people are usually a lot of fun… until they aren’t. People who build great relationships know when to have fun and when to be serious, when to be over the top and when to be invisible, and when to take charge and when to follow.

5. Prove they think of others.

People who build great relationships don’t just think about other people. They act on those thoughts. One easy way is to give unexpected praise. Take a little time every day to do something nice for someone you know, not because you’re expected to but simply because you can. 

6. Realize when they have acted poorly.

Very few people apologize before they are asked to–or even before anyone notices they should. People who take the blame, who say they are sorry and explain why they are sorry, who don’t try to push any of the blame back on the other person–those are people everyone wants in their lives, because they instantly turn a mistake into a bump in the road rather than a permanent roadblock.

7. Give consistently, receive occasionally.

In business terms that means connecting with people who can be mentors, who can share information, who can help create other connections. . .(also) The person who builds great relationships doesn’t think about what she wants; she starts by thinking about what she can give. 

8. Value the message by always valuing the messenger.

When someone speaks from a position of position of power or authority or fame it’s tempting to place greater emphasis on their input, advice, and ideas. People who build great relationships never automatically discount the message simply because they discount the messenger. They know good advice is good advice, regardless of where it comes from.

In short, taking the time to make much of relationships should be a priority. Doing so builds credibility with others that is huge when it comes time to pursue goals together. 

 

Picking a Small Business Niche That Will Grow in 2013

Some business owners just started their enterprises since the 21st century “great recession.” Others have been in business considerably longer. Whether new or “seasoned,” most want to know what trends their businesses face. Knowing growth rates of a market sector can be very helpful–if for no other reason than benchmarking one’s own performance against the average of one’s peers. A company that compiles a lot of research data on small businesses in my own back yard of Raleigh, North Carolina is Sageworks. In an interview with Catherine Clifford of Entrepreneur.com, Libby Bierman of Sageworks said that a recent study by her company showed the average growth rate of small businesses across all industries was 8% in 2012.

While growth is a very good sign, there are winners and losers in every statistical average. Certain sectors, however, performed poorer than others. According to the research, the slowest growth industries for U.S. small businesses in 2012 were:

  1. Skilled nursing care facilities: -3.29 percent
  2. Printing and related support activities: 1.86 percent
  3. Automotive repair and maintenance: 2.81 percent
  4. Offices of physicians: 3.00 percent
  5. Highway, street, and bridge construction: 4.24 percent
  6. Insurance agencies, brokerages, and other insurance-related activities: 4.32 percent
  7. Lessors of real estate: 5.07 percent
  8. Other miscellaneous manufacturing including jewelry and silverware, sporting and athletic goods, dolls, toys, and games, office supplies other than paper, and signs: 5.55 percent
  9. Offices of health practitioners other than physicians and dentists, including chiropractors, optometrists, mental health practitioners, speech and occupational therapists: 5.98 percent
  10. Other amusement and recreation services including bowling centers, golf courses, and recreational centers: 6.03 percent

As I reviewed the list above earlier today, it occurs that personal services, low technology manufacturing and discretionary spending-based businesses have been it hard. Why would this be the case? In terms of  the personal services businesses, many of them are healthcare related. The Affordable Care Act may have a lot to do with this poorer performing sector, as many have shunned making decisions to invest capital in an arena that is in extreme flux. Many before me have written about the loss of manufacturing jobs to overseas competitors. In the United States, we have become less competitive in manufacturing that is not highly customized or based on a technology. Whether infrastructure projects or amusement, spending is down on items that don’t seem necessary. Take note if you have a business in any of the above sectors. While you may be able to outperform your sector, you may consider how your sector as a whole is not growing as quickly as others. How should you respond? This question should drive your strategic planning.

Professional officeHowever, the list of fastest growing sectors (below) identified by this research highlights some additional trends and opportunities. Many who have the flexibility to diversify or move their efforts to one of these sectors should seriously consider doing so.

Fastest-Growth Industries for U.S. Small Businesses in 2012

  1. Residential building construction: 14.77 percent

  2. Building custom software and servers for businesses: 14.29 percent

  3. Machinery, equipment, and supplies merchant wholesalers: 13.75 percent

  4. Management, scientific, and technical consulting services: 12.31 percent

  5. Architectural, engineering, and related services: 11.40 percent

  6. Foundation, structure, and building exterior contractors: 11.37 percent

  7. Building finishing contractors who make additions, alterations, maintenance and repairs: 11.32 percent

  8. General freight trucking: 10.41 percent

  9. Services to buildings and dwellings, including pest exterminators, janitorial services, and landscaping: 10.11 percent

  10. Other specialty trade contractors, including site preparation activities and other specialized trades: 10.04 percent

Most of these businesses, as Bierman mentions in her interview, require very little capital to get going. They do not require the purchase of expensive assets and can be successful based on the strength of human capital. As a result, business services firms are performing strongly and should continue to do well.