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- February 09, 2021
10 Reasons You Have High Blood Pressure in Business
Episode Stats
Length
20 minutes
Words per Minute
215.66344
Word Count
4,506
Sentence Count
275
Misogynist Sentences
1
Summary
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.
Transcript
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).
Misogyny classification is done with
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.
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This right here, what I'm holding, is what you call a portable blood pressure monitor,
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right?
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So, which means you're at the office, you want to get your blood pressure, you're in
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the road, you're traveling, you just take it out, boom, measure yourself, oh, it's high,
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it's medium, it's low.
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And the reason why I'm showing you this is because there's a lot of things you can do
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as an entrepreneur, C-suite executive, salesperson, or a CEO that can increase your blood pressure.
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And today, we're going to cover what those things are that could cause your blood pressure
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in your business to go up.
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So point number one, which is a story of a CEO I spoke to last week that prompted me wanting
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to make this video.
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So this CEO is running a business that's doing $5 million a year, whom he bought the business
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from his dad when he was only doing a million dollars a year.
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So he's got a business on paper, this guy's killing it, he took his dad's business, he
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5X'd it.
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However, the dad, when he had it at $1 million, he was netting 6% even at small margins, which
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is only $60,000, but the son takes it over, takes it to $5 million, and his margins go
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to 1%, which is $50,000.
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So a $1 million business was netting more than a $5 million business?
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Exactly.
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So I said, how did this happen?
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He said, I don't know.
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I said, how stressed out are you?
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He said, Pat, very much so.
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I said, how's your blood pressure?
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Pretty high.
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I said, do you know how you got here?
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No clue.
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I said, is this part of your strategy?
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Meaning, maybe you've got an investor, angel, you've got a lot of savings on the back, so you're
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putting everything back into the business to grow to $20, $30, $40, $50 million because
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you're backed up.
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He said, absolutely not.
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I don't have a lot of savings.
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I said, okay.
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Then we've got a problem, and the point number one is two problems.
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One, no savings.
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Two, your margins are so low that if you continue this way and you don't study the margins, eventually
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you're going to have to shut down your business.
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So what is the solution to point number one?
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Here's the solution to point number one, always have respect for having cash.
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Yesterday I'm at the ocean with my kids, and my daughter, Senna, we're going to the ocean,
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and I always whisper to my sons, and I say to them, every time I'm by the ocean, I tell
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them this.
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I say, what's the rule with the ocean?
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They say, Daddy, always respect the ocean, because ocean is the most powerful thing in
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the world.
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You cannot disrespect the ocean.
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I said, but if you respect the ocean, you can have a relationship for a long time.
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Yes?
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Yes, Daddy.
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Perfect.
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So we respect them.
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Yes, we will.
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Great, right?
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Always respect cash in business.
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If you have cash, and you're respecting a game of business that growing, and you have cash,
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you're going to have a relationship for a long time.
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But the moment you start disrespecting having cash in business, you don't pay attention to
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your margins, all of a sudden, you'll find yourself having to shut down your business.
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Point number two, look, everything in life has a formula.
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What does it mean that everything has a formula?
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You know, diet plus exercise plus proper sleep and rest equals growth and minimizing body
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fat percentage.
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Hypothetically, I'm just throwing that out there.
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But everything has a formula.
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In your business, I was having a conversation with another CEO, Anton, it was himself, his
00:03:00.300
wife, and his partners, and they're sitting there saying, you know, business has grown.
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We're growing at 40%.
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We're growing at this, this, this, this.
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What do I do to grow it even faster?
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I said, tell me your formulas.
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He says, what do you mean?
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I said, what formulas do you have?
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He says, I don't understand.
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I said, okay.
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For example, this number of calls in this time period with this many visits equals this
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many sales.
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He says, I don't have any formulas like that.
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I said, if you don't have formulas like that, how do you drive your business?
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So I said, your homework is to sit down and come up with 10 formulas in your business.
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And those formulas could be, how to run a meeting, five keys to running a good meeting, boom,
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boom, boom, boom, boom, great.
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How to drive my sales team, I need this versus this versus this.
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What do I do as a CEO, bottom, biz dev operations, gross linear, top, exponential, leadership development
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and innovative campaign, great.
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These are formulas.
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The more formulas you have, the more confident you are to drive your business.
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What makes blood pressure go up is if you, as a leader, don't have formulas to drive
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your business.
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Point number three that could increase your blood pressure is not studying and auditing
00:04:07.680
your business on a regular basis.
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And what do I mean by auditing?
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Auditing doesn't just mean numbers.
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Auditing does mean numbers, but that's one part of it.
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So you look at your business and say, okay, let me see what's going on with the numbers.
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For example, I have a platform here that I can look at.
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I wake up every single morning, any second of the day, any time of the day, any whatever I do,
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I log on to the website that we have, and I can see how all the data, how we compare last
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year, February, January, same day, as of the 6th, as of the 13th, as of the 28th, in 10
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different markers, because that's exactly the number I need to know.
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And I look at it and say, why is this number down?
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Why is that number down?
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Why is this number down?
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By the way, before we had this, you have to know that we did this manually.
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And we did this for years.
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But I didn't do it in my first two, three years of the business.
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It was more kind of like, well, let's just go grow the business, all this other stuff.
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Eventually if you don't audit your business, what ends up happening is, you're identifying
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new leaks being created in your ship.
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And the more leaks the ship has, they eventually sink, right?
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So when you audit, you're like, okay, what are we having the people in this area to help
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out?
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We don't have a middle management.
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We need a middle management.
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What do we have going on in this area too?
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What's our accounting firm?
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Oh, they're kind of slow getting back to us on the audits.
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We've got to figure something out over here.
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Everything is constantly you're checking, you're auditing, whether some things need
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to be audited quarterly, some things need to be audited monthly, some things need to
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be audited weekly, but there are things that need to be audited daily.
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You need to take a piece of paper and write down what do I audit yearly, quarterly, monthly,
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weekly, and daily, and then put a plan together to audit those areas in your business so it
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doesn't increase your blood pressure.
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Point number four.
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By the way, what is the whole point about blood pressure?
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I'm not a doctor.
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I'm not going to tell you what blood pressure means.
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It really stresses what I'm talking about, right?
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When you've got the headache, throbbing migraine, or headache you get, and you're wondering why
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you've got it.
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Point number four, no new leaders being developed.
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If I see an organization, and I go visit the office, it's the same faces, same leaders,
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this month, last month, six months ago, a year ago, two years ago, three years ago, let
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me put it to you this way.
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If I'm running that business, I am under a lot of stress because no new leaders are being built.
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And if you don't constantly replenish an organization with new leaders, and you're developing them
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that are coming up, rising stars, and you have a deep bench of people that you can pick
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this person, put it here, pick that person, put it here, the future of the company is
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a little bit concerning because you need new leaders.
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Every time there's new leaders, there's a little bit of threat of other people like,
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hey, I also want to rise up, and there's also a little bit of opportunity here.
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It shows that this company is developing people that are moving up, and it shows there's a lot
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of good things that happen the more new leaders are in place, so what do you do about this?
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Pull up your org chart and sit down and say, Mary, how long has Mary been here?
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When she first came here, what was she?
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She was probably a three.
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Now she's a six.
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Okay, good.
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You look like Jack.
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When Jack first came, he was this.
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Now he's this.
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Okay, so how about new people that we have?
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Well, it's been pretty much the same faces.
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We've got to go recruit.
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Because just like in the movie, Glen Gary, Glen Ross, they say, always be closing.
00:07:08.960
You know what mine is?
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Always be recruiting for new talent to help grow your company to the next level.
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So make a list of what you have, what leaders have you built, and who you need to go recruit
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next.
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Ready?
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We're back at it again.
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Blood pressure stress point number five is compliance and legal.
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And here's what I mean by compliance and legal.
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We're living in a very different time right now, which means it's not just compliance of
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your industry to know what's going on with the new rules, new guidelines, new regulation
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that's coming out, it's also protecting the company in case somebody does something wrong,
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in case something happens with a client, in case something happens to one of your employees.
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You have to have compliance in place, because for whatever reason, compliance tends to create
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a ton of headache if you don't have the right leadership team in those departments.
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So many times, you'll talk to an executive and say, what are you doing?
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All I've been doing is putting out fires.
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All I've been doing is putting out fires.
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All I've been doing is putting out fires.
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I'll sit there and I'll say, if all I've been doing is putting out fires all day long,
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that means I don't have somebody that's in the right leadership position.
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Why am I putting out fires all day long?
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I need to grow the company.
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I get it, the fact that sometimes a leader has to get in there and fix the issues and
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process some issues.
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But if it's ongoing, that means some of your departments lack good leaders, and you need
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to find some good leaders and departments to be willing to drive those departments.
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So compliance regulation, if you do it right, and you bring the right leaders and the right
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counsel, they will give you a lot of confidence.
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But if you don't have the right compliance, the right counsel, they will continuously call
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you with fires that you have to put out.
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And it'll create more of this and less of you growing the business.
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Point number six is slightly different, because a lot of times I'll sit there and I'm talking
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to a salesperson.
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Let's say, let's talk to the sales leaders, or a salesperson, or somebody that's a national
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sales director, you're running a sales organization.
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And you'll see the sales leader working with a salesperson they like a lot, but it's the
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wrong person they're working with.
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That's not the right person to be working with.
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They're not going to give you the kind of rate of return, you spend time with this person
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as you think.
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You'll have three different people, Bobby, Johnny, and Mary, okay?
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And think of your time this way.
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For every 10 hours you put into Bobby, you're going to get $10,000 back.
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Just throwing a number out there.
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For every 10 hours you put into Johnny, you're going to get $50,000 back.
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But for every 10 hours you put into Mary, you're going to get $100,000 back, right?
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You don't know this because there's not like a monitor.
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Let me see here.
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Oh, okay, you're this much.
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We don't have that technology, right?
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But your intuition will sit there and say, well, you know what?
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I just like this guy more because he also likes Brady like I do.
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Wrong reason to lock onto that person.
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But I like Johnny more because Johnny's into poker like I am.
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Mary is the person that's going to increase the value of company.
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So the blood pressure is when you put so much time over here and you're wondering, how come
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this guy doesn't get it?
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How come?
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No, no, no, no.
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It's not his fault.
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Because when you put time here, it's easy, it's peaceful.
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She wants to win.
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She wants to get to work.
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She wants to be coached.
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Not putting your time into the right people.
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By the way, the same goes with clients.
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I was a stockbroker.
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I had a client.
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Every time the market went up, this guy called me 20 times.
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But every time the market and the stocks went up, he called me 100 times.
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Eventually, I'm sitting there saying, my entire day, two hours of it is with this guy.
00:10:31.480
What happened?
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What happened?
00:10:33.480
What happened?
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What happened?
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Why did it happen?
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Why did it happen?
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How much money have I made off this guy?
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And then I get the numbers.
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I'm like, it's just not worth it.
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It's just not worth it.
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And I said, Johnny, I just don't think I'm the right guy for you.
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What are you talking about?
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What are you talking about?
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Can I refer you to somebody else?
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Because I'm not the guy.
00:10:52.800
And I referred it to another guy in the office that wanted it.
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He took it.
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And guess what?
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He was miserable.
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I said, I'm telling you.
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Here's how.
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No, I'll take it.
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Don't worry about it.
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I can change it.
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I know how to deal with these kinds of clients.
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You've got to learn on who you work with because if you don't work with the right clients and
00:11:08.360
the right agents and the right employees and the right people, they're going to suck all
00:11:12.520
the best energy out of you and increase your stress level.
00:11:17.160
So make sure you lock onto the right employees, the right salespeople, the right investors,
00:11:22.640
the right board that you have a choice with, and the right client.
00:11:26.540
Or else you're going to waste a lot of time being stressed out.
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Story number seven is another one here that's, say you're running a company, and I'm talking
00:11:34.700
to the CEO.
00:11:35.700
I'm like, how many direct reports do you have?
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Oh, I have a, so we draw the org chart.
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I only have five.
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Oh, okay, really?
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Let's take a look.
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So we start drawing this stuff on the board.
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I'm like, who's he reporting to?
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Really me.
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How about this person?
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It's technically me.
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How about this person?
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We came up with like 26 people that reported to this guy directly, employees, 26 people that
00:11:56.940
reported to this guy, and I said, so let me ask you a question.
00:12:01.340
How are you developing leaders here?
00:12:03.620
I said, how do you have any life?
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What are you doing?
00:12:07.460
He said, oh, it's just so nonstop.
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I said, well, buddy, you've got to figure something out here, because way too many people report
00:12:14.500
to you directly.
00:12:15.500
And by the way, it was not a deep bench at all.
00:12:18.840
There was no depth in the organization.
00:12:21.020
There was no middle management in the organization.
00:12:22.980
He was a control guy.
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I said, let me explain to you how control works.
00:12:27.920
The word control and trust go together, okay?
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The less you control, the more you trust the person.
00:12:34.620
The more you control, the less you trust the person.
00:12:37.180
I had a conversation with my son yesterday, Tico.
00:12:39.720
And I told him, I said, listen, you ever wonder when you read your book and you go out there
00:12:42.560
and want to play a video game, do I control you?
00:12:44.280
Not at all.
00:12:45.280
You ever wonder when you're going out there and you're playing with the sand and you're
00:12:47.000
messing around doing whatever you're doing and you like to get really dirty, do I control
00:12:50.320
you?
00:12:51.320
No, you're okay with me.
00:12:52.320
Do you notice when I ask you something and I say, today, based on what you did, you only
00:12:56.740
can do this much?
00:12:57.740
Yes.
00:12:58.740
Do you realize if you go and still not follow and keep your word, what happens slowly is
00:13:04.200
I want to control you more because I trust you less.
00:13:06.080
But you know what I want to do, buddy?
00:13:07.580
Is what?
00:13:08.580
I want to trust you more.
00:13:09.580
So I give you more freedom.
00:13:10.580
Don't you want that?
00:13:11.580
I want that.
00:13:12.580
So why don't we work on trust together, right?
00:13:13.580
When you have 26 direct reports, you don't trust your people.
00:13:17.000
Okay?
00:13:18.000
So you need to trust that some of these middle management and some of your direct reports
00:13:22.300
can become leaders.
00:13:23.680
So three goes here, two goes here, four goes here.
00:13:26.460
And then you've got five to seven direct reports that you can work with directly.
00:13:30.000
If you don't pay attention to the amount of direct reports that come to you, that have
00:13:34.380
people, layers of other people that are developing them, you can all of a sudden catch yourself
00:13:38.760
having an entire week being gone.
00:13:41.520
And Saturday you're having dinner telling yourself, what did I really get accomplished today?
00:13:45.540
Not much.
00:13:46.540
Did we really grow the company?
00:13:47.540
No.
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Why not?
00:13:49.540
Because everybody reports directly to you.
00:13:52.120
It's not a way to build a business.
00:13:54.000
Make adjustments ASAP before you're constantly stressed out.
00:13:58.780
Number eight is the scary one for a lot of people.
00:14:01.080
You've got an issue on your desk that you know you have to call one person, and you know it's
00:14:04.320
going to be conflict, and you know it could be heated, and you know it's going to be something
00:14:06.940
that the person's not going to like, or you're going to have to bring somebody in your office,
00:14:10.180
have a conversation with them, but you keep delaying it one hour, two hours, three hours,
00:14:13.940
six hours, one day, two days, three days, four days, five days.
00:14:17.220
The longer you delay a conflict, that problem gets bigger and bigger and bigger and bigger
00:14:21.700
and bigger.
00:14:22.700
Why?
00:14:23.700
Because on the other side, you don't know what the other person is thinking.
00:14:25.480
The other person's imagination is, oh my gosh, maybe they did this, oh I think it's
00:14:29.780
this, no I think it's this, I think it's this.
00:14:33.080
It wasn't that.
00:14:34.080
It was just this.
00:14:35.080
But he didn't make the phone call.
00:14:36.460
And it would have been resolved like this.
00:14:38.940
You know how many times there's been a conflict that before making the phone call and having
00:14:44.220
the meeting, you thought it was going to be the end of the world, the building was
00:14:47.060
going to come down, next thing you know, terrible things were going to happen, and dinosaurs
00:14:52.680
were going to show up, but you know what the reality is?
00:14:55.340
You sit down and you're like, this was nothing.
00:14:58.820
Why didn't I have this meeting an hour earlier?
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Well, why didn't I address this yesterday?
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Why didn't I do this two days ago?
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Nine out of ten meetings that you go in that have to do with conflict, the sooner you meet
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with them, you come out saying, honestly, I thought it was going to be worse.
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And it was nothing.
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So stop avoiding the conflict as a CEO, as an executive, as an entrepreneur.
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The longer you do, the problem gets bigger and bigger and bigger.
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And it just increases stress, not just for you, but for a lot of people.
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Point number nine.
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I don't think enough people put a lot of attention into this.
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You know the book, The Motive, by Patrick Lencioni says, you know a lot of times the executive
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thing, because you had a meeting, you said one thing one time that everybody's going
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to execute.
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He says, the employee, the average employee needs to hear your messaging seven times before
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they realize you're serious.
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Let me say this one more time, the average employee has to hear your set of standards
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seven times from you, before they know it's serious.
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Seven times.
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Not just one motivational speech, oh, this is how we're going to run it here, bam.
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That's not how it works.
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So I had a call this last week, and it was a conflict we had to address.
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And I was on a call for a couple hours, and then I made a suggestion for another call,
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and we had to call.
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And the call that I had with this individual, they were very upset.
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Not happy, furious, and there was almost like a challenge going on between two personalities.
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And I asked this guy a question who was not happy.
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I said, let me ask you, has this person here that you're so upset about, has he ever flirted
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with your wife?
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He says, no.
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I said, has he ever disrespected your kids?
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No.
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Has he ever stolen money from you?
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No, Pat.
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No.
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Have they ever questioned your faith?
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No.
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Have they?
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I just kept going through, have they, have they?
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No.
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I said, so what is it?
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Did he do something or not do something that offended you?
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Yes.
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And by the way, valid point on why he was offended.
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I'm telling you it was a valid point on why he was offended.
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But you know what it was?
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What saved it is that this man here builds his business based on values and principles.
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And eventually he said, yeah, I understand.
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I said, so offending, what is offending?
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I've both offended a lot of people, and I've made mistakes, God knows how many times.
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But I've also been offended, and I've been here, and I've had to learn how to bring myself
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here.
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The more I respond to being offended here, the more this keeps going.
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This keeps going.
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This keeps going.
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The more I get offended and I respond here, this goes, and then disappears.
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I don't know if that makes sense or not.
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So your entire game of your business, long term, the more you have it set on the right
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values and principles.
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We start meetings on time, we finish them on time, that you come prepared.
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Whatever those set of principles are, how you treat people, how you respect people,
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how you respect spouses, how you respect kids, all of that stuff.
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The more and more you talk about it, and the more and more you execute it, eventually guess
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what goes up?
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Trust goes higher, and higher, and higher, and higher, and higher.
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And the higher trust goes up, the more people stick around, the more people come back, the
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more people want to work for you, the more people want to be your clients, the more people
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want to be around you, if you build your business on the right set of values and principles.
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By the way, this isn't an instant stress.
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This is a gradual stress, if you don't build your business on values and principles.
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So it goes like this, slowly, slowly, slowly.
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And then eventually when it gets up, guess what?
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It stays like this for a long time.
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It's painful if you don't build your business on values and principles.
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And eventually, you can bring it back down to calm the entire situation you got, but
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that storm lasts a long time.
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Address it early so you don't have a lengthy storm.
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Point number 10 is annoying, it's stressful, it's upsetting, and you can get very irritated
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with this.
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And this is losing market share.
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And market share is lost a lot of times by a leader, an executive, who no longer competes
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like they're once used to.
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What do I mean by no longer competes like they're once used to?
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So you used to read everything that was going on in the marketplace.
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You used to read all the right books.
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You used to always have a book or an audio book plan.
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You used to always work on it.
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You used to inspire your guys.
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You used to drive your guys.
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You used to get up there and say, we're going to be.
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You used to cast a vision.
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You used to say, here's what we're going to do.
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And it attracted and it lifted your people up.
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But you no longer do it.
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You now think that everybody, just because you said it a year ago, five years ago, 10 years ago,
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they're just supposed to remember and execute it.
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That's not how this thing works.
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Losing market share is very annoying, but it happens often when the leader is content,
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is happy, is got an okay life, is doing their three, four times a week of golfing, is kicking
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back.
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They think they've already made it.
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It's like the CEO of GM from 1920s that said, if you have an enterprise, there is no resting
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in an enterprise where there is constant competition.
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There is no resting.
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It doesn't mean you don't sleep your six to eight hours a week, a night.
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It doesn't mean you don't go out there and get your, but it does mean you have to constantly
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be competing.
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Or else, you will lose market share to somebody else who is out working you, out improving,
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out strategizing, and out lasting.
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And by the way, there's competition that come and go.
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Some of them are seasonal, and then there's real competition.
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You have to respect your real competition, or else they will take a market share away
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from you.
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So a lot of technical things covering this video.
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I haven't done one of these for a long time, and if you like this video, there's another
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one I want you to watch.
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It's also like this, that is about how to inspect your business.
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I'm all about inspecting my business regularly.
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If you haven't watched this video, click over here.
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I've got numbers of areas for you to inspect and how to go about inspecting it.
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Again, if you haven't seen it, click here to watch it.
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Take care, everybody.
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