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It is amazing to me that people raised in a “civilized” and conformist society still aspire to achieve anything. In my opinion, the desire to achieve is the reason many business owners, while in the process of growing their business, go through an evolving set of goals. Starting with the desire to provide themselves and their families with comfortable living conditions, they eventually discover the desire to achieve something more. I am no exception. Having started a business to create a source of income and opportunities for professional growth, I, too, eventually realized that I wanted to create a really big business game. For whatever reason, it seems that many of us first need to see that we are capable in order to become inspired to create something really worthwhile. From the moment we are born, the world tries to convince us that the only way anybody can become a somebody is by following the rules and being controlled by someone else. It is therefore vital that you come to realize your i
Take, for example, people who enter the business world right out of school and start successful companies; they all share the same trait. Before going into business, they became experienced and comfortable at managing teams. It's really that simple. A student gets experience as a class president, a member of a student committee, or a project leader; and when the business world becomes accessible, she or he already has a basic understanding of the rules of the game. She knows people need well-defined and achievable goals. She knows people’s activities need to be coordinated, and she also knows a great secret: If you tell a person that something needs to be done and that person supports the group’s goal, he will do his best to make it happen.
Steve Jobs is an inspiring example of such a group leader. His subordinates claimed that he asked for the impossible—that his standards were too high, and that it was technically impossible to make his dreams come true. The engineers thought Jobs was crazy when he asked them to place the Macintosh LC inside a beautiful but tiny case. When Jobs came up with his legendary Macintosh Classic, he was told that nobody needed such a computer. Jobs pushed his employees to work eighty hours a week and did everything possible to help bring his ideas to fruition. He was so difficult to work with that in 1985 the shareholders decided to oust him. As a protest, Jobs sold all of his shares and started other projects. A series of strategically important mistakes for Apple while under the leadership of a CEO who knew about increasing profits but who operated far from the ideology of the company followed, until Jobs returned in 1996 to rescue a failing company.
In most cases, we need to go through a transformation that helps us realize our abilities, talents, and leadership potential. In fact, a person begins to feel the desire to become stronger than others only when he feels strong enough himself, becomes aware of himself as an individual, and recognizes his talents. That is why when we first start a business and build a team of like-minded people, we experience self-doubt and lack confidence in our abilities. The better our results are, and the more strongly we become convinced of our own abilities, the more evident is the desire to do things that will enhance the lives of other people. Therefore, in building a business, generating some revenues, and building a small team, we get confirmation of our own strength and gain the motivation to grow. So in the business owner is born a Kshatriya.
Chapter 2. The First Step to Competency
There is a god I am ready to pray to: the god of competency. Competence is a mixture of knowledge, practical abilities, and creative goals. If one of these elements is lacking, competence does not exist. One can tell whether a person is competent simply by looking at the results of what he has undertaken. If a man is a competent husband and father, his family thrives, his wife is happy, and he is proud of his kids’ achievements. If a business owner is competent, his company prospers and grows larger without any headaches. If you are interested in knowing just how competent you are as a business owner, look at your results in this area. If you are always busy with urgent problems, if the company drains your energy and time, then you will never have harmonious operations and growth. Therefore you are currently not competent as a business owner.
You could argue that your company works just fine—better than many others do—and that people even have good reason to be jealous of your achievements. But do not fool yourself. Quite simply, we all have different standards. It doesn't matter what others dream about or what their level of competency is. If instead of working on strategic pla
As the result of a merger between two manufacturing companies in 2000, I became a co-owner and CEO of the Geroldmaster Manufacturing Company.2 Although at first the company was not the most experienced and well-equipped, by 2004 it had left all of its competitors behind, thanks to the implementation of the management tools discussed in this book. I had no choice but to start this implementation. As the company's production volume had grown larger, the organizational chaos had torn my company apart. Interestingly enough, in spite of all our problems, we were manufacturing the best products. This saved us from alienating and losing customers, even though we were consistently behind schedule.
Once the company was functioning smoothly, I left the CEO position to focus on the owner’s role. I started conducting outside seminars on management, during which I explained in detail the organizational know-how that had allowed us to become industry leaders. To my surprise, I found that none of the owners of Geroldmaster’s competitors attended my seminars, even though I consistently invited them. It was just unbelievable! Within a few years, Geroldmaster had become the established leader in its field. It was the youngest, most audacious company on the market, with the highest-priced products, which, like a tank, had rolled over the medal-design and -manufacturing industry, making products for government ministries and agencies, the military, and major corporations, as well as for a variety of social and religious organizations. Even though the owners of the competing companies knew that I was providing the answer to the question “How did Geroldmaster do it?” they still did not attend my seminars. They were stuck in an “I know it all” attitude.
When a person is stuck in such a mindset, he has tons of excuses as to why the situation should be exactly as lousy as it is. If you talk with him and ask what the problem is, why things are the way they are, the excuse is “the market conditions,” or “We don’t have any experts,” or some other made-up nonsense. But the truth is, that business owner is simply afraid to face the real situation, because upon facing it, he will have to do something that he has probably never done before. He is like a bad driver who blames other drivers, bad road conditions, and the weather. A man with problems in his personal life will tell you what is wrong with modern women and society in general. They simply do not have enough courage to look and see things as they really are.
2
Geroldmaster, LLC is a company in Kiev that designs and manufactures souvenirs and medals for various government ministries and agencies, social organizations, and corporations. It also produces military medals. The medals are designed by experienced artists. After a sketch is approved, computer 3-D simulation is done. Complex elements of the medals—portraits, garlands, and the like—are fashioned by sculptors, after which the sculpted models are sca