Radish Sprouts

FUNDING START-UPS; FUELING GROWTH

It has been said that ‘it takes money to make money.’  Entrepreneurs are often pressed to find more funds. There has been a decrease in private venture capital funding in Colorado over the last few years.  Where do start-up companies find the cash they need to start and grow their companies?

 

Funding of Entrepreneurial Ventures Is Important.

 

Entrepreneurial ventures fuel the economic engine.  They produce jobs, experienced entrepreneurs and team members who go on to start other ventures, products / services that provide value to customers, investment return for investors, tax dollars, employees who purchase goods/services from other companies and who pay taxes, and much more. 

 

“For a business, cash is like oxygen.  You can’t live without it,” says, Verne Harnish, author of Mastering the Rockefeller Habits.  While customer revenue is the best producer of cash, pre-revenue start-up companies need other funding sources.

 

“For every dollar a venture capitalist or angel invests in a venture, there is an eight to ten times economic benefit,” said Brian Wallace, Managing Director of Access Venture Partners and Co-Chairperson of the Venture Capital in the Rockies (VCIR) 2012 Winter conference.  “It is hard to find another investment that produces this result.  For example, Access invested around $100M over ten to twelve years along with approximately $1B from other investors in small companies which have created tremendous economic value.”

 

Situation of Colorado Funding for Entrepreneurial Ventures.

 

“Ninety percent of funding in 2011 for Colorado-based entrepreneurial ventures came from out of state.  Fewer and fewer start-ups have a local investor.  It used to be one third of the firms seeking funding had at least one local investor; now that percentage is down,” stated James Linfield, Managing Partner, Cooley LLP at the VCIR 2012 conference co-hosted by Rocky Mountain Venture Capital Association and KPMG.

 

The venture capital industry in Colorado has declined with regard to the number of active VC firms.  “The venture capital industry—in particular, limited partners—has trended away from regional VC funds, resulting in a contraction of Colorado-based institutional money.  Combined with the retirement of the first generation of the region’s VCs, the Front Range has seen a decline in Colorado-based VC funds,” reports Silicon Flatirons Center for Law, Technology, and Entrepreneurship at the University of Colorado in their recent “Mile High Tech Entrepreneurship Conference” program.

 

Colorado Senator Rollie Heath explained, “We tried to set up an advisory board to learn how to get venture capital back in the state.  Other states actively participate in increasing the amount of venture capital.  This bill is completely dead now, unless the Governor does this by executive order.”

 

In addition to private venture capital there is the Colorado Venture Capital Authority (VCA).  VCA was allocated by 2004 General Assembly action with $50 million in premium tax credits.  The first $25 million is sold out.  The remaining funds for seed- and early-stage capital investments in businesses are limited and have restrictions.

 

Bottom Line:  It is harder now for Colorado start-ups to get venture capital funding.

 

Some Good News in Colorado Funding.

 

A few new venture funds are becoming in Colorado.  Point B Capital, headquartered in Seattle, has opened a Colorado office. David Cohen, founder of TechStars, has announced his second seed fund, totaling $28M, which is NOT only for TechStars companies.  While a step in the right direction, more is needed.

 

The JOBS (Jumpstart Our Business Start-ups) Act was signed into law on April 5 by President Obama.  This helps startups raise money from new methods such as crowd funding.  For example, Story Stock Exchange LLC (SSX), a crowd funding incubator in Boulder, just formed to help entrepreneurs more easily find investors.

 

Six Funding Tips for Entrepreneurs.

 

Here are six creative ways to finance start-up businesses.

 

• Founders’ Capital.  Prepare by saving.  It will take much more money than planned. Consider inviting a wealthy and trustworthy friend or relative to be a co-founder, and perhaps silent partner.  Other people and firms who might consider investing want to see that the founders are truly committed to the venture with their own funds.
• Team.  Attract experienced entrepreneurs to join your team who have funded prior ventures.  “With the right idea and team, you can find funding,” stated Wallace.
• Business Model.  Develop products and business models which can very quickly generate cash and customers.  The easiest way to fund the venture is through your own customers.
• Angels.  Angel investor networks have formed throughout the country.  These high net worth individuals are sophisticated investors interested in early-stage private equity investment in emerging firms with great potential.  They may also want a management or board position in your firm as part of the deal.  Many online groups are active such as www.Angellist.com  and www.gust.com  
• Connect.  The entrepreneurial business community is taking steps to connect investors to entrepreneurs.  Get involved—for example, consider participating in Rockies Venture Club, Silicon Flatiron Center, Meet Up groups, TiE Rockies, and many other groups.
• Venture Capitalists.  Realize that a small fraction of start-ups get funded by VCs.  Ask if this is the right approach for you and what other options are available.  If it is your best option, don’t give up.  Persist.  Get help.  Attract out-of-state VCs to Colorado.  Consider joining an incubator or accelerator which has connections to the money.   

 

One Request.

Take Action.  What can we together do to improve the venture capital funding situation in Colorado?  How can businesses, investors, legislature, governor’s office, local government, entrepreneurs, and other members of the entrepreneurial community work quickly towards solutions that increase VC sources? Who will champion this cause?  We all will benefit. 

Theresa M. Szczurek (www.TMSworld.com; www.RadishSystems.com; www.PursuitofPassionatePurpose.com) 

Six Pointers to Developing Your Business and Personal Theme

Does your business have a theme to focus its top priority strategic efforts? Do you have a personal theme for 2012? 

For decades, I have personally had an annual theme.  Friends would tell me that they looked forward to reading my annual holiday letter and learning my theme.  Over the years it has varied including: Out of Darkness, Into Light (after finishing the Ph.D. program); Year of the Book; Back to the Core (after the book tour realigning on my consulting practice); Focus, Finish, Fly; Believe and Act, and many more.  My theme has encapsulated my priorities and kept me going in the right direction.  For 2012, my theme comes from Pam Watson Korbel’s book by the same name, “More Money, Less Work, More Fun!”

Why have a Theme?  As Keith Cupp, President of Gazelles Coaching, says, “Your Theme helps your organization’s Quarterly Priorities or “Main Thing” come alive in the organization, resulting in Focus, Energy and Alignment across departments and team members.” Here are some suggestions from Keith Cupp (keith@gazelles.com) a top-notch Gazelles Business Coach.

Six Practical Pointers to Developing Your Theme:

1.  Do your strategic plan first.  Determine what are your BIG rocks or main priorities for the quarter or year.  How will you measure the successful outcome?  Is there one Main Thing or Priority?

2.  Brainstorm on possible Themes based on the Top Priority.  Be creative, out of the box, distinctive, and odd.

3.  Evaluate the candidate Themes, ensuring they are relevant to your culture, workforce demographic and touch on a point of reference in your team member’s minds (e.g. a current trend, or movie, etc.).

 

4.  For the winning Theme, brainstorm with your team and determine the Theme Name, Reward and 3-5 ways to communicate your theme (e.g. skits, emails, posters).

 

5.  Choose a leader who will be accountable to develop a Theme Roll Out

Plan to the entire company.

 

6.  Roll out the Theme at an all Company meeting, with an introduction by

the Chief Executive (and perhaps a “leading role” by the CEO in a skit).

Four Hands Case Study.

Rich Russakoff (rich@bottomlineupenterprises.com), shared the theme of one of his clients.  Four Hands (www.fourhands.com) is a a global manufacturer, wholesaler, and importer of innovative home furnishings. The 2005 Goal was to do $26 million. At the end of the first quarter, they were seeing that results were a little short of budget.  They realized that they were not maximizing opportunities to really align and focus people.

 

Theme. They used the 7.7.7 theme to emphasize their goals:

1)     $7 million in revenue in Q2 (to catch up and get  back on budget)

2)     $700,000 bottom line (to control expenses and insure profit sharing)

3)     $7 million in open orders (to insure 3rd quarter results)

 

The challenge for each employee was to help manage costs and increase profitability.

 

Results.  7.7.7 was a very successful theme

• hit the first goal of $7.5 million in revenues
• hit $900k bottom line
• got to $8 million in open orders

 

Reward. Company celebrated success with a party and put 20% more into profit sharing.  Most importantly, this theme put them on track for 2nd half of year, where they ended at $29 million.

Theresa Szczurek (www.PursuitofPassionatePurpose.com, www.TMSworld.com)

Seven Pointers for a Winning Business and Personal Plan

What is your plan for 2012?  Some of you may have a plan – great, pursue it and continue monthly assessments.  For others who have put planning off, it is not too late.  It is always the right time to assess progress, reaffirm your passions, align your passions with a meaningful purpose, and then put together a plan for your continued pursuit of passionate purpose. 

 

Here a few Practical Pointers.

1. Assess.  There are many ways to evaluate where you are now.  Perhaps you use the Sigh Test – are you sighing more than smiling?  This is a simple binary means to determine if things must change.  Or, do a SWOT Analysis – look at your Strength, Weaknesses, Opportunities, and Threats.  Consider creating a Stop/Start/Continue list – what should you stop doing, what should you start doing, what should you continue doing?
2. Where Do You Want to Go?  Get clarity on what your vision is?  Establish a BHAG – a big hairy audacious goal.
3. Bridge the Gap.  How can you most effectively get from where you are now to where you want to go?  What strategic initiatives are needed to bridge the gap?
4. Measure Metrics.  What is the critical number you are working to achieve that represents the overall most important way you are bridging the gap?  Have you established specific goals and ways to measure progress toward them?
5. Proper People.  Get inputs from both outside and inside your organization.  You may be amazed at what you learn.  Don’t do your internal plan by yourself either.  Who should be part of your strategic planning process?
6. Both Sides Now.  Put together both your personal plan and a business plan.   
7. Have Fun Using It.  Having a plan is good.  Using the plan to guide your directions in 2012 is even better.  How can you post it, review it, and determine if you are in track while having fun along the way?

 

Radish Case Study.

Radish used this last week of the year to do just that – assess and plan.  The output was be a revised 1-page strategic plan with clarity on our top priority ROCKS for 2012 and especially for Q112.  We have clear KPIs – key performance indicators – for each department and a scorecard to keep track of progress of our important work. What gets measured gets done.  We reference the scorecard regularly during our weekly and monthly meetings. And we have scheduled our quarterly strategic planning sessions to repeat this process.

 

Get moving –the right time is now.  Assess, plan, pursue, see progress, repeat.

 

Theresa M. Szczurek (www.PursuitofPassionatePurpose.com; www.RadishSystems.com; www.TMSworld.com)

FIVE TIPS TO IMPROVE YOUR BUSINESS AND PERSONAL LUCK

Over lunch last month, I asked a successful business man what attributed to his great success.  After all, as CEO he had sold his previous company for over $25B and then went on to found, grow, and recently sell another successful $Billion revenue-producing firm.  He said, “I’m lucky and I take risks.” 

 

What’s your definition of luck?

 

Oprah Winfrey says, “Luck is a matter of preparation meeting opportunity.”  The Oxford American Dictionary states luck is ‘chance thought of as a force that brings good or bad fortune. ‘  

 

In his recent New York Times article, “What’s Luck Got to Do With It?” Jim Collins, bestselling author of Good to Great and co-author of the new book Great by Choice, states “Luck, good and bad, happens to everyone, whether we like it or not.  When we look at 10xers [companies that are 10 times more successful than expected] we see people who recognize luck and seize it, leaders who grab lucky events and make much more of them.”

 

A new and better definition of luck would be ‘good or bad fortune based on chance or destiny and the individual’s response to the situation.’

 

What can you do to improve your luck?

 

1. Be Open.  See situations and recognize them as lucky opportunities.
2. Take Action.  Grab the event, make a decision on how to respond, and then act.  Take advantage of luck.
3. Surround Yourself with Proper People.  Find people who believe they are lucky and who take action in response to opportunities.
4. Have a Lucky Attitude.  Just like the successful CEO mentioned above believe you are lucky.  Look to the bright side of things.
5. Think Like a Billionaire.  Learn and live by the wisdom Rick Sapio discerned from his interviews of 23 extremely wealthy people as shared in this article  http://www.cobizmag.com/articles/how-to-think-like-a-billionaire/

 

You have a choice.  Success is self-determined.  In the end, business and life are exactly what you choose to make of them. Choose to be lucky!

 

Theresa M. Szczurek (www.TMSworld.com, www.PursuitofPassionatePurpose, www.RadishSystems.com)

OUT OF AFRICA as a Pursuit of Passionate Purpose

Here is a book review of Out of Africa, by guest blogger Annie Szczurek Davis.  As a heroine's journey, it is in itself an interesting pursuit of passionate purpose dealing with business and life experiences. 

What if you were given the opportunity to move to Africa and run a farm there? Would you do it? In Out of Africa, by Isak Dinesen, the pen name of Karen Blixen, Blixen describes her experience in Africa. In 1914, at the age of 27, she sailed from Denmark to Africa and married her Swedish cousin, Baron Bror Blixen. For seven years, they lived together on their 4000 acre coffee plantation in Kenya, but eventually got divorced. Karen Blixen remained in Africa for another ten years, until she was forced to sell her beloved farm and move back to Denmark. The book is filled with many stories of the land, the Native African people and animals, and her friends in Africa. Though many of these stories are simply memories from her time in Africa, and don't play much of a role in the plot, Karen's overall journey follows the archetypal heroic cycle. In the orientation phase of her journey, she is called from her home in Denmark to marry her cousin, and crosses into another world when she reaches Africa. During her 17 years in Africa (the disorientation phase), she experiences many struggles and challenges, and eventually is forced to sell her farm. After moving back to Denmark, in literary terms, reorienting herself, Blixen shares her stories with the world as a gift.

 The novel shared some valuable lessons and messages with the reader, through the different stories. One point that was particularly clear to me was understanding and appreciating people of different races. A good portion of the book was spent describing the Natives who lived on Karen's farm and certain of the Natives to whom she was closest. These stories helped the reader understand the similarities and differences between Natives and Europeans. Blixen writes with such affection and regard for the Natives that the reader walks away less prejudiced against them.

 Lastly, Blixen made the point that although there will be uncontrollable events that occur in life, there is little-to-nothing you can do to control them. Life can be difficult. So, therefore, you should respond as best you can given the situation, but ultimately accept your destiny and fortune. Karen Blixen struggled with drought, low crop yields, grasshoppers, and much more. Because of these irrepressible factors which did not allow her ongoing financial support, she was ultimately forced to sell her farm and move away. After some denial that she would have to leave her home of 17 years, Blixen resigned herself to the fact that she was actually leaving. She also compared the philosophy of the Natives to that of Europeans with regards to their destiny and fortunes, saying that the Natives are more able to accept the cards they are dealt in life. From her own personal strategy, as well as her comparison of Natives and Europeans, her philosophy becomes clear to the reader that certain out-of-control events do happen, but there may be nothing you can about them except have equanimity. 

by Annie Szcczurek Davis (www.PursuitofPassionatePurpose.com)

copyright 2011.  All rights reserved. 

 

FIVE SECRETS FOR STARTUP SUCCESS from Bob Metcalfe

We can learn much from those people who have successfully pursued their passionate purpose.  During the recent StartupCamp4:  Comm Edition (http://itexpo.tmcnet.com/west/collocated-event/w11-startupcamp-communications.htm)  at ITEXPO 2011 in Austin, TX where we were honored to present our startup Radish Systems, Bob Metcalfe  (inventor of Ethernet, founder of 3Com, author of Metcalfe's Law, Venture Capitalist, and Professor) shared his wisdom.

 

1. Learn from Steve Jobs.  Have the courage to FOLLOW YOUR HEART and INTUITION.  Do what you LOVE.  Live each day as if it were the LAST – someday it will be. (See Steve Jobs in the best video on YouTube: http://www.youtube.com/watch?v=UF8uR6Z6KLc) 
2. A startup’s NETWORK is its secret weapon.  The fate of a startup is a function of the networks they form.
3. Successful start-ups have:  founders who do not let their ego get in the way of the company’s success (the success of the company is more important that having a certain person run it), focus, sufficient funding, good technology/product, and good leadership. 
4. The five most important qualities of a startup CEO:  has a lifestyle which brings forth great ENERGY (sleep, eat well, and get exercise), knows how to WRITE, can SPEAK, has ability to PLAN, and can SELL. 
5. The richest companies get money from CUSTOMERS, not from investors.

Theresa M. Szczurek (www.PursuitofPassionatePurpose.com and www.TMSworld.com and www.RadishSystems.com)

FIVE TIPS FOR BETTER SLEEP AND RESULTS

"How do you sleep at night?" That was a question a Venture Capitalist asked the soon-to-be CEO of our previous start-up. The answer, "Pretty well, until I wake up at 3:00 AM and think about work and can't fall back to sleep." Too many business leaders and others with important responsibilities on their shoulders, including me, know this scenario and start the day sleep-deprived.

The Sleep Situation

If you don't get enough sleep, you're not alone. "40% of Americans (100 million people) are moderately to severely sleep-deprived! High school and college students are among the most sleep-deprived people in our population. 60% are sleepy during the day and 30% fall asleep in class at least once a week," says Dr. James B. Maas in Power Sleep.

Sleep's Impact on Your Business

In his New York Times bestseller, Brainrules, Dr. John Medina shares, "Bad things happen when we don’t get any sleep. Brainrule #7: Sleep well, think well."

Medina’s book has had a significant impact on me and my sleep behavior. I always burned the candle at both ends, working hard and playing hard. With more demands at work, I just reduced my sleep hours without realizing the impact it was having. As Mitch Albom, New York Times Bestselling author ofTuesdays with Morrie explains in his new book, Have a Little Faith, "There was a stretch where I could not have worked more hours in a day without eliminating sleep altogether. I piled on accomplishments. I made money. I earned accolades. And the longer I went at it, the emptier I began to feel, like pumping air faster and faster into a torn tire."

Medina summarizes, "When people become sleep-deprived, their ability to utilize the food they are consuming falls by about one-third ... you appear to accelerate parts of the aging process. Sleep loss cripples thinking. Sleep loss hurts attention, executive function, immediate memory, working memory, mood, quantitative skills, logical reasoning ability, general math knowledge. Sleep is rather intimately involved in learning. Some kind of offline processing is occurring at night."

Medina asks, "What if businesses and schools took the sleep needs of their employees and students seriously?" Here are a few suggestions.

Five Tips to Better Sleep and Results

 

1. SLEEP IN A STORM. Albom shares a sermon from an eighty-two-year-old rabbi in his book, Have a Little Faith. "My friend, if we tend to the things that are important in life, if we are right with those we love and behave in line with our faith, our lives will not be curses with the aching throb of unfulfilled business. Our words will always be sincere, our embraces will be tight. We will never wallow in the agony of 'I could have, I should have.' We can sleep in a storm." Business leaders, consider what you can do to follow this advice so you can sleep through the night regardless of the challenging storms in your work. Does it include getting the right help, delegating, setting reasonable goals, letting go of control, and believing that things will work out?

 2. NAP. Medina states, "People vary on how much sleep they need and when they prefer to get it, but the biological drive for an afternoon nap is universal. One NASA study showed that a 26-minute nap improved a pilot’s performance by more than 34 percent." Why not treat a nap similar to addressing other biological needs such as having lunch or taking a bathroom break. Rather than having employees hide their naps in their cars, companies could provide a space for and encourage a daily half-hour nap.

 3. SLEEP ON IT. When people are allowed 12 hours to pass from being given a challenge to providing a solution, they will have more insights. If they are allowed to get eight hours of regular sleep during this period, they perform even better. When presented with a problem, give employees a chance to get a good night’s rest before presenting a solution.

 4. HAVE A FLEXIBLE WORK SCHEDULE. Medina recommends allowing employees to choose their work hours so they can experience their major productivity peak. As explained in Kenneth Thomas' book, Intrinsic Motivation, four rewards ignite internal enthusiasm — a sense of meaningfulness, choice, competency, and progress. Providing people the ability to choose is important. If people find meaning in their work, have choice over what or how they work, get feedback that they are competent at this work, and see progress being made, they are more intrinsically motivated and ultimately more productive. This is good for both the individual and the organization.

 5. MEDITATE, JOURNAL, EXERCISE, TAKE A BREAK. When you can’t sleep what helps you? All work and no play, makes you and me more stressed and sleep-deprived. The week is designed with a weekend for a purpose. Are you taking a break so you can recharge? If so, you may sleep better and think better as a result.

Radish Case Study. 

 Okay it’s true, sometimes I do not sleep as I would like during this entrepreneurial storm.  One day I might be up at 2:52am, the next 3:48am, and the third 4:18am.  The best thing I can do is get up immediately, write down my thoughts, and let insights flow, rather than twist and turn for hours in bed.  I follow journaling with a half-hour meditation session and sometimes a walk.  Then I get to work on one of those issues so that I can cross something off the list.  That night, I go to bed early. 

 

 Summary.

The world, and especially corporate leadership, needs better sleep.  I wrote this article to help me, and hopefully you, sleep in a storm and ultimately improve performance while pursuing a passionate purpose.   

Theresa M. Szczurek (www.TMSworld.com, www.PursuitofPassionatePurpose.com, www.RadishSystems.com)

Seven Pointers for Life and Business Success Learned from a Canoe Trip

There is nothing like a break to give perspective.  What plans do you have to unplug and get off the grid, so you can recharge, rewind, and refresh?  Thanks to my daughter’s Girl Scout troop, I had the opportunity recently to spend 5 days canoeing in the Buffalo River National Park in Arkansas where the temperature hit 102 degrees with 90% humidity.  There we were with four 15-year-olds, two leaders, three canoes, nine paddles, two tents, and one large, slowly moving river.  Of course, there was also one van to carry our troop and its gear 917 miles from Colorado to Arkansas and back again over two days each way.

 

Here are Seven Practical Pointers from the River:

 

Go with the Flow.  Life is like a river flowing.  Slow down.  It is so much easier to go down stream, rather then fight the battle to paddle upstream.  How often at work do we paddle upstream when we don’t have to? Use the Allowing Strategy – let go and go with the flow. ( See the book Pursuit of Passionate Purpose for further explanation on all success strategies.)
 
Divide and Conquer.  We divided the 50 mile trip into five days, approximately 10 miles a day traveling at two miles an hour….Piece by piece, part by part we flowed (and paddled) down the river.  Try tackling your next big project using the divide and conquer approach of the Persistence Strategy.
 
Surround with Proper People and Beauty.  Besides the participants and leaders, many people helped along the way.  One family allowed the troop to use their van.  Another family let us use their tents and other river gear.  Another troop leader, worked as the trip treasurer.  The National Park rangers were extremely helpful in sharing pertinent information to plan for the trip.  Our outfitters provided the necessary equipment for a price. Nature provided the proper environment to relax and learn. We used the Connections Strategy – connecting with self, proper people, other beings, and spiritual sources.
 
Prepare and Pack.  A big trip like this does not just happen—it takes preparation, planning and packing.  We set the goal in September to have a June canoe trip.  While we did not know where we would go and exactly how much it would cost, we knew the girls would need to earn money.  The girls sold lots of magazines and cookies.  It turns out our actual budget was correct within 1% of our planned budget.  I wish all of my work budgets were so right on. We learned to pack the energizers and unpack the hindrances along the way – we used the Pack Strategy.
 
Be a Firefly.  How I love those bugs that fly around at night rhythmically flashing on and off.  They remind me of hot, lazy summer evenings in Illinois where I grew up. The message from these lightning bugs: Focus on your strengths.  Do what you do best.  Try to delegate the rest to others.
 
Skip Rocks.  We arrived at the take-out two hours early on the 5^th river day.  There was NO phone coverage so we could not call the outfitters to pick us up early.  So what did we do with time and no electronics for entertainment?  We decided to learn something new.  Be curious.  We learned about the optimal shape for a rock that will skip, how to hold and let go of the rock, and the fun in the contest.  There was the thrill on the face of the girls when they successfully skipped a rock two, three, or even seven times.
 
Take a Break.  Sing a Song.  What do you do when its mid-day, 100+ degrees, and you are tired after paddling only half of the required daily distance?  Be flexible on the distance for that day AND jump in the river for a cool, rejuvenating swim.  The paddling also goes much faster when you are singing a song together with your partner. Can you find a way to do this, have more fun, at work?  Enjoy the journey.
 

Summary.  Every experience in life brings lessons.  What will you learn from your summer vacation?  How can you apply these to your pursuits of passionate purpose?

 

Theresa M. Szczurek (www.PursuitofPassionatePurpose.com, www.TMSworld.com, www.RadishSystems.com)

Ten Tips To Go Beyond Stress to Happiness and Productivity

If you at times feel stressed out and overwhelmed, you are not alone. As highlighted in Greg Easterbrook’s book The Progress Paradox:  How Life Gets Better While People Feel Worse,  “Stress is the dirty secret of success:  as life gets better than ever, people are feeling worse.”  The result is negative for the workplace and home life.  Here’s what to do about it.

 

Impact of Stress.

 

“In the short-term, acute stress can boost cardiovascular performance.  If the stress is not too severe, the brain performs better.  Its owner can solve problems more effectively and is more likely to retain information.  If the stress is too severe or too prolonged, however, stress begins to harm learning.  Stressed people do not do math well, don’t process language very efficiently, and can’t concentrate.  Stress attacks the immune systems, elevates book pressure, and can cause depression, which alters the ability to think. Stress causes companies to lose between $200B and $300B a year – as much as $75B of red ink a quarter,” summarized Dr. John Medina, author of the New York Times bestseller Brainrules.  “The perfect storm of occupational stress appears to be a combination of two malignant facts:  a) a great deal is expected of you and b) you have no control over whether you will perform well.” 

 

Easterbrook states, “Research also shows that those who enjoy career success and exhibit stress symptoms are twice as likely as the population at large to describe themselves as ‘very unhappy.’  That the stressed-out are likely to be unhappy is a warning sign, because stress, measured either by emotional state or by cortisol (i.e., stress hormone) levels is rising in society.” 

 

Ten Practical Pointers:  What Can We Do to Reduce Stress?

 

These suggestions to move to a healthy level of stress include both short-term lifestyle changes as well as longer-term goals.

 

1. Exercise.  Engage in at least 30 minutes of physical activity daily.  Medina’s Brainrule #1 is ‘exercise boosts brain power.’

 

1. Turn off TV / media.  Media presents us with information to worry about.  Bad news sells.  There are then even more entries on your list of worries, activating more stress.  Zac Bissonnette presents five things every high-school graduate should try to remember (these apply to people in general) in his 5/22/2011 article in the Denver Post Wall Street Journal Sunday article and “No 5:  TV makes you feel poor.  One of the fastest ways to make yourself better with money is to smash your television—or just watch it less.”

 

1. Meditate.  Stop and be in this moment.  Meditation, which involves observing what is and then accepting it, brings tangible results of improved concentration, energy, relaxation, and more positive emotions.  Andrew Weil, MD, reports, “Meditation may not only make you happier, but also keep you healthier.  It can benefit health concerns ranging from stress and anxiety to atherosclerosis and chronic pain.” 

 

1. Connect.  Use the “Connections Strategy” described in Chapter 11 of Pursuit of Passionate Purpose to surround yourself with positive people who care about you.   Be part of the interconnected web of life and connect with your true self as well as spiritual sources and other beings such as animals – your stress level will be more manageable.  Get in nature.  Open to grace also called serendipity, synchronicity, divine intervention, intuition, or random opportunity.

 

1. Sleep.  Brainrules #7:  Sleep well, think well.  Loss of sleep hurts attention, executive function, working memory, mood, quantitative skills, logical reasoning, and even motor dexterity.  Since reading Medina’s book, I have started sleeping more, rather than working late into the night.  The result is very positive.  Try it.

 

1. Divide and Conquer.  You don’t have to do everything on your plate now.  Use the “Persistence Strategy” described in Chapter 9 of Pursuit of Passionate Purpose to mindfully persevere with focused determination using a divide-and-conquer tactic.  Rather than being overwhelmed with a huge project, divide your purpose into parts, focus your attention, and choose to accomplish a small section well.  This increases the likelihood you will get a sense of choice, competency, and progress.  These three attributes build intrinsic motivation, which build passion and more desire to continue.

 

1. Enjoy the Journey.  Tap into life as a river flowing. Laugh at yourself and the situation, if possible. Have a playful attitude. Take a break.

 

1. Be Grateful. Have gratitude for what you have, rather than regret over what you don’t have.  Change your attitude.

 

1. Cut Debt.  The burden of debt and finances run amuck can be very stressful. Whether you are managing a business or your family, live within your means.  Cut your expenditures and cash flow.  Avoid debt and payoff whatever debt you have.  Bissonnette’s No. 1 recommendation:  Debt is slavery. 

 

1. Review Your Long-term Goals.  What do you really want with your life?  Are you living the life you want?  If not, consider modifying your plans.  Perhaps the job and life anxiety is not worth what you are gaining.  How can you establish reasonable expectations of what is expected of you and gain more control over producing the end result? Should you slow the hectic pace and not buy into the societal rat race? “Lives of thrift and conscientiousness lead to less stress, great enjoyment of the things we do have, and a lighter carbon footprint, “ says Bissonnette in his recommendation No. 4:  Materialism is misery.

 

Radish Case Study.

 

Yes, Radish, as any entrepreneurial venture, is at times stressful.  So much to do, so little time.  Lots of responsibility, little control.  Increasing expenses, limited cash flow.  What do I do as CEO to reduce the stress?  All of the 10 tips above.  Additionally, I work to attract a talented team of people who can help us make progress.  Radish just announced hiring outstanding industry talent:  Tom Colamonico, VP of Sales; Jackie McDonald, Director of Customer Care; and John Meteer, Channel Sales Manager.  Read more at http://www.radishsystems.com/wp-content/uploads/Radish_New_Hires_Release_05-16-2011.pdf

 

Summary. 

 

Some stress boosts performance.  Too much stress negatively impacts. Take action now to reduce your and your employees’ stress to the right level.  You and your people will be more happy and productive in both the short-term and the long-term.

 

Theresa M. Szczurek (www.TMSworld.com, www.PursuitofPassionatePurpose.com, www.RadishSystems.com

Harry Potter’s Business Success Secrets

Have you ever seen such a thing?  People pay a large amount of money to get the opportunity to stand in the hot sun for over an hour in a long line to be able to shop in a certain store.  Then when they finally get into the store, they spend lots of money buying theme products. Unbelievable?  That’s what hundreds of Muggles (non-magical types) did at “The Wizarding World of Harry Potter,” as part of the newest attraction in Universal Studios in Orlando, FL.  Wouldn’t every business love becoming an international craze with huge demand?

 

Over Spring Break 2011 besides attending the CTIA Wireless show, I experienced with my daughter one of the biggest business successes.  People of all ages traveled in from all over the world and spent lots of money for parking, entrance fees, food, and products.  As a Harry Potter fan, I must admit it was brilliant and the Hogwart’s Castle ride whereby you experienced being on a broom in a Quiddtich Match with Harry was the best ride ever.

 

7 Practical Pointers.  What are the Harry Potter business success strategies?  What can we learn and apply to our businesses?  Radish systems is using these.

 

1. Start with an exceptional product or service.  The Harry Potter book series by pauper turned billionaire J. K. Rowling was one of the biggest and most profitable publishing phenomena.  My daughter has read all seven books hundreds of times – no lie.  The product is different, is filled with characters readers can related to, is action-filled with magic and suspense addressing a universal good versus evil topic, and hit at the right time.  By dividing the book into many parts, there was anticipation for the next part of the story. One of the most important P’s of marketing, have the right product.
2. Be responsive to the market, your customers.  Here is another important P of marketing, know and respond to the people. Wouldn’t it be great if your customers can’t stop thinking, dreaming, and talking about your firm and your service? Your customers are your most important asset – without them you would have no revenue, you would be out of business.  If you make sure your customers are happy, they will keep coming back and make sure you are happy.  How often do you ask your customers and prospects what their pain is and how you can best resolve it?
3. Leverage success to breed more success.  The bestselling book, led to sell-out movies, which led to in-demand products, overflowing amusement parks, and much more.  It is the same concept that Starbuck’s and other well-known brands have used for concentric diversification and additional revenue streams.
4. Go viral.    Harry Potter came out just as social media channels began to take hold.  Readers spread the word to other readers.  When the park was about to be announced, the top 10 Harry Potter bloggers were invited to a private meeting.  They then spread the word virally.  Within 24 hours, millions knew about it. How can you use this most important promotional tool (another P of marketing)?
5. Think BIG.  Believe everything is possible.  Be open to the possibilities.  Use the Attraction Strategy to power the pull (as explained in Chapter 8 of Pursuit of Passionate Purpose, www.PursuitofPassionatePurpose.com). 
6. Surround yourself with great people.  Harry had Hermione and Ron, and Dumbledore and the Order of the Phoenix who were united in a common set of values.  Rowling found a great publisher and other support team members.
7. Be lucky.  It is said that luck comes when preparation meets opportunity.  Believe, prepare, and then act.  It is useful to be lucky.

Theresa Szczurek (www.TMSworld.com and www.PursuitofPassionatePurpose.com)