Financial Leadership

The CFO contacted me last night and wanted to get about 5 min this morning at our annual sales meeting.  

The meeting begins – she steps to take her 5 minutes. All 10 salespeople in the meeting roll their eyes.  She starts by saying, “I would like to commend all of you for growing our top line revenue this year by 15%. However, our net profit margin decreased by 16%, and we ended the year at a loss.  I would like you to be more vigilant in the pricing of your deals to strengthen our margins and return to a profitable business.  Any questions?”  Dead silence.  “Hearing none, thank you for your time,” and she leaves.  All eyes are on the SVP of Sales. Then one brave person raises their hand and says, “what the hell was that? I have no idea what she was talking about other than the compliment she gave us.”  The SVP of sales responds, “let’s get back to our agenda and look at ways of finding new customers.”  

Does this sound familiar?  Why? There are a couple of reasons.  First, the CFO is speaking in the foreign language of accounting – not plain English – and she cannot translate accounting speak into English.  Second, accounting has an image problem for non-accountants. It’s an image (or better yet, memory) of pages of mind-numbing numbers that make no sense, leading to ‘listener shut-down; creating a phenomenon that, in turn, leads to a lack of financial acumen within your organization.

So, what is the antidote to this mind-numbing issue?  Leadership.  When searching the internet looking for keywords as it relates to the topic of leadership, you will find the following: confidence, charismatic, motivation, success, inspiring, trust, vision, influence, people, accountability, courage, humor, respectable, and making good decisions, to name a few.  I agree with all of these, except that there is one missing – financially responsible in every list I researched. 

The best and most effective leaders have a good working knowledge of the company’s financial health, and their decision-making process is established in the organization’s financial truths. Armed with this financial acumen, the effective leader can influence decision-making by conveying the tactical connection between the mission statement and the financial statements. 
Let me pause for a moment and stress that this financial acumen is not the CFO’s sole responsibility.  It is the responsibility of everyone who is in a leadership role within the company. Financial acumen should be the basis of understanding in every business conversation and decision made within an organization.  

Think about it this way, who are the people in your organization that is making decisions?  How many decisions are made every single day in an organization? What percentage of those decisions have a financial impact on the organization? 75%? 80% 100%?  There are leaders within organizations that don’t understand accounting and finance fundamentals—for example, the lending department within a bank. Lenders are the salespeople of the bank. They’re responsible for generating deals for customers so that they can lend money to them and grow the bank’s business.  We all know that – right.

However, these lenders can earn a bonus on the cumulative dollar amount that they lend.  Do you see what is missing here?  You are incentivizing the lenders on revenue generation and not profitability.  This is and has been a recipe for loss in profitability.  What is missing is taking into consideration the loan costs. 

I hear stories from CFO’s about how the sales team needs to grow their business by 25%, and yet in the process, they lose 15% in profits.  In my interview with Ken “Mr. Biz” Wentworth, he calls this phenonium ‘the silent killer’ to all businesses.  He shares a story of one of his construction clients wanting him to review a bid on a new piece of business.  After reviewing, he advised the client not to bid on the work at that price and raise the price by 25%.  The pushback from the owner was that they needed to bid low so they could get the job. Ken, knowing the cost structure of his client’s business, responded, “You can bid the job at the lower price, AND you will lose $40,000 on this job.” The owner replied, “I am bidding it low to get my foot in the door for future work.” Let’s stop right here. We all know that is a falsehood because when the owner asks for a bid on another project and we give our full-pricing structure, what do you think the owner will do? That’s right. Find someone cheaper. I have used that strategy in the past, and it hurt my business.  

The silent killer of a business is not understanding the fundamentals of accounting and finance. We need this understanding and knowledge to make more informed, smarter, and more profitable decisions. If you understand accounting, you can understand finance. If you understand finance, you can understand your business.

When your leaders are in meetings and the conversation shifts from operations to finance, are your leaders participating in the conversation or just witnessing the conversation?

The solution is leadership.  Financial leadership.  The next time you have your leadership team participate in a leadership development program, add a day of accounting and finance fundamentals.  Oh, I know…. I can see all of your bitter Grinch faces.  You are thinking, an accounting course.  Oh, hell no!  I’d rather have a root canal without any novocaine than sit through a full day of an accounting and finance course.  This goes back to the image problem accounting has – and it’s a big image problem!  And it exists because of the traditional way of teaching accounting to non-accountants in the same way we teach accounting to accountants.  That’s like teaching any subject in a foreign language that the students do not understand – it’s impossible to learn!

We need to teach accounting and finance to non-financial leaders in a different way.  We are not trying to turn them into accountants but rather into leaders with financial acumen.  We want to help them gain access to critical knowledge in a manner that removes the complexity of accounting/financial jargon and teaches in plain English.

The solution to this puzzle is a product that is offered by the company Wealthvox.  The product is accounting and finance fundamentals powered by Color Accounting.  Color Accounting is a learning approach that makes accounting simple. The courses deliver real financial literacy quickly and effectively. Accounting and finance often feel confusing because people can’t see how the numbers work or understand the language. Color accounting fixes both issues by approaching the subject visually.
 
This unique, visual framework enables us to use simple concepts to explain the mechanics of accounting and the structure of financial information. The language of accounting is then brought to life with logical and intuitive examples.
 
All of this is achieved interactively and engagingly, enabling you to build a holistic understanding of how financial information tells a business story.
 
The really cool aspect of color accounting is that it is delivered without the use of PowerPoint.  That’s right, no PowerPoint numbing slides.  It is delivered visually using flip charts or whiteboards and hands-on materials that include a manual and a pop-up board.
 
After a six-hour workshop, you will be empowered to:

  • Analyze and interpret financial information with more confidence
  • Understand the story of a business using key financial metrics
  • Understand the relevance of key profit measures such as EBITDA
  • Engage confidently in internal financial conversations
  • Improve communications with clients, customers, and colleagues
  • Understand the financial process in your business
  • Improve financial decision-making in your business
  • Manage profits and cash flow more efficiently.
  • Price your products and services more profitability
  • And more. 

 
The results are remarkable. Westinghouse is a client of Color Accounting, and before the pandemic, Color Accounting delivered over 30 workshops to their leaders, project managers, and engineers.  I had the privilege of leading one of these workshops in January 2020 to a group of 24 project managers and engineers. By the end of the full six-hour workshop, this group had a greater understanding of their role within this large organization and the financial impact on the wealth and bottom line of the organization.  As this group left, they were all thanking me for the engaging and thought-provoking workshop and that their mindset towards accounting had become completely different.  
 
There is a case study that Wealthvox has written, and here is a small portion of that case study:
 
At this point, we delved into a section explaining the differences between the two M’s – gross margin percentages and markup percentages. 
 
A margin is sales minus the cost of goods sold. A markup is an amount by which the cost of a product is increased. I explained that when you apply the markup percentage, that will give you the resulting but lower margin percentage.
 
The MD of Home Chefs, Rupert, turned white. He held his head in his hands and asked us for an example. To clarify, we applied a hypothetical scenario. If a Home Chefs’ dinner for four is £100 minus costs of £25, there is a margin of £75. This is a margin percentage of 75% but a markup of 300%.
 
Rupert sighed and said: “This explains a lot. We haven’t been getting the profitability that we wanted, and this is why!” His company had been trying to achieve a 10% margin when they were, in fact applying a 10% markup. He went on to express that he’d had an uneasy feeling. He knew something wasn’t right but didn’t know what was wrong. The problem with applying the 10% markup is that you actually end up with a margin of 9.1%. To achieve a 10% margin, the markup percentage needs to be 11.1%.
 
Rupert couldn’t believe that he’d mixed up something seemingly so simple, yet in fact, crucial.
 
One final example came about when I explained Color Accounting to a colleague who has a successful speaking and coaching business. The response back to me was, “I don’t understand accounting. I don’t like numbers. Never have. You will never get me to take an accounting course. I have run my business for 15 years, and it is very successful, and I have large to medium size clients.” So, I made this person a deal, take this course, and after six hours, if you are still lost, I will refund your money and add 10% more for wasting your time.  DEAL!
 
We broke the learning into 2-hour chunks over three weeks, and it was delivered live using Zoom.  Before starting the second week’s class, I ask if there were any questions or comments. My client commented, “Every morning this past week, I have woken up thinking about my balance sheet.” By the end of the class, my colleague could read and understand the balance sheet and the income statement AND was not afraid of accounting.” We are continuing this conversation because now my colleague is asking better questions about the business, starting with, are my products and services priced correctly? What are my expenses, and are some of my expenses non-productive and should be eliminated to increase my overall wealth and profitability?
 
When you switch the accounting and financial light bulb on and include it as part of leadership development, your leaders will make better business decisions because their business acumen has been fully achieved.  Business acumen is built on a foundation of accounting acumen, plus financial acumen, and every leader should strive for this excellence.
 
If you would like to learn more about the Color Accounting process, please contact me at peter@petermargaritis.com.

Effective Negotiating in Corporate America

What do you feel when you hear the word, negotiate? Dread, Anxiety, Excitement? Do you believe that negotiation skills can be taught? Do you agree with this statement – “we negotiate all the time”? Have you ever searched Google asking one or more of these questions: 

  • What skill is the most helpful during a negotiation? 
  • How does ego play a role in negotiating? 
  • What role does leverage play during negotiations?  

I will address all of these questions, and how the world of IMPROV can help make you a much better negotiator, and more, in this episode.  Yes!  And this same topic will be continued in at least two, if not three, more upcoming podcast episodes.  Stay tuned!

Let’s get started! Most of us have experienced a negotiation gone bad.  However, have you ever been negotiated up? That’s right negotiated up.  Early in my business, I wanted to work with a specific association because of the painful negotiation their members were experiencing. I knew I had a solution for that pain.  In my conversation with them, they asked what my fee was? I replied, what is your budget for this event?  The person responded with the speaker budget for the entire year and it was $1,000 above my fee for the event.  I wanted the job, so I offered a fee that was 75% less than my normal fee.  Then came the awkward pause.  After about what seemed like 30 min but more like 30 sec, the person replied with a fee that was 50% more than I offered.  I got negotiated UP! I learned a valuable lesson that day.  Learn how to negotiate better!  So from that point forward, I offer my full fee, and if rejected, I work with the other person to find common ground where both parties WIN and walk away with value.  

Not every negotiation table has a client on the other end. Sometimes it’s an employee. And when it is, it is often about negotiating to give them a voice their role within the company and in the business’s direction.  These negotiations take success to a whole level. 

So. What makes some negotiations successful and others dead in the water? Conducting a successful negotiation requires the use of six essential skills – and they are ALL foundations of Improvisation.

These six skills will ensure every negotiation has the potential to end with a positive solution.

6 PRINCIPLES OF IMPROVISATION

  1. Take your ego off the table
  2. Have and show respect for the other party
  3. Be in the moment (focus)
  4. Listen to the other party’s needs and wants
  5. Adapt to the situation
  6. Yes, And…

These steps truly help everyone one win in a negotiation. One of biggest impacts the 6 principles have is to  take the emotions off the table. Heated emotions can cause negotiations to shut down. They are more likely to end in a stalemate with wasted efforts. Anthony K. Tjan wrote in a Harvard Business Review blog, “Time and emotion — these are the two things most often wasted during a negotiation.” And he is right. We tend to react emotionally and negatively to any points of negotiation that oppose our own agenda. And that wastes time and energy. When our goals for a negotiation are so firmly anchored that we cannot budge, it becomes hard to see any common goal as a solution. Instead, emotions kick in, and egos inflate—and we cease to listen. All we hear is our own voice in our head trying to find a way back to what we want.

SKILLFUL NEGOTIATION IS ROOTED IN IMPROVISATION

Tom Yorton was once in the corporate ranks before becoming CEO of Second City Communications, the business solutions division of the world- renowned comedy company, The Second City. He had this to say in a recent Business Innovation Factory article, “But my experience – and in fact, my scars – are from bumping up against the same organizational hurdles that improv is so effective at helping companies get over – challenges that include connecting with customers, engaging employees around change, moving into new

markets, innovating new products and services, working without a script.”

All of the aspects of driving positive change inside the company depend on how well leaders in corporate America can negotiate. That equates to how well business professionals can handle ‘blocking’. ‘Blocking’ are those things that are brought to the table that are unexpected – out of the blue – out of nowhere Blocking like this It halts forward momentum and does not neatly fit inside the box of your agenda.  And it happens every day.

Daena Giardella teaches an improvisational leadership class at MIT’s Sloan School of Management. She spends an entire lesson on teaching how to avoid using the most common block, the “yes, but.” In an NPR article, she points out, “Even though you say, ‘Yes,’ the but says, Yeah, but that’s not really valid because here is the better point.“

Negotiations can quickly come to a grinding halt when “yes, but” comes to the table. It is when emotions get heated and time gets wasted.  Michael Wheeler, Harvard Business School Professor and Program on Negotiation (PON) faculty member wrote the book The Art of Negotiation: How to Improvise Agreement in a Chaotic World. Michael states in a PON Q&A interview that, “real-world interactions between parties by looking at the uncertainty of negotiations and how to develop flexible strategy when you have incomplete information. Negotiation cannot be scripted. Your goals may change during the course of negotiation, a little or a lot. Unexpected opportunities and obstacles may pop up. Your across-the-table counterpart may be more or less cooperative than you expected.” 

Too many times we practice a rigid strategy – a script – a plan – prior to going into a negotiation.  By doing so, we quit listening to the other party because we are following the linear thought process we created and practiced.  We miss out on key opportunities or threats by not being fully present. Michael states in this Q&A, “There’s a misperception that military strategy is very rigid. Yes, there’s a chain of command, but there’s also a military saying: “Plans go out the window with first contact with the enemy.” In an uncertain situation, you have to think through your best- and worst-case scenarios.” This military strategy can be witnessed back in 2011 when the U.S. Navy SEALs executed the raid on Osama Bin Laden’s compound in Pakistan.  “The mission had been meticulously planned; the SEALs trained for it over months and several contingency plans were developed and put into place. When one of the navy’s Black hawk helicopters crashed within the compound, a very specific kind of improvisation was required if the mission was to succeed.” This is adapting to the change in the strategy in order to achieve a positive outcome. 

Improvising is not winging it or making things up.  Improvising is all about over-preparing and developing alternative plans and when you enter the room, you throw the script away, you listen and stay present in the negotiation and adapt in order to achieve success.   

Time to remember the 6 principles of improvisation!

  1. Take your ego off the table
  2. Have and show respect for the other party
  3. Be in the moment (focus)
  4. Listen to the other party’s needs and wants
  5. Adapt to the situation
  6. Yes, And…

Listen to the other party’s needs. What are they really saying when they block your proposal? Be adaptable by taking your ego off the table. Take a deep breath if you need to and then let the next words that come out of your mouth be “Yes, and…”

A successful negotiation is birthed from being able to rebound, to take the blocks and build with them. That is how you connect with other people.

Have you ever watched preschoolers play with blocks? They take turns stacking them on top of each other until it gets so high it just topples over – or they like to watch it fall and knock it over on purpose. But the point is that both of them have an agenda. They each want to pick up a block and put it on the tower and each one probably has an idea about what the tower will look like, but they keep building until they can’t build anymore.

We are more likely to succeed in negotiations when both parties can envision a common goal. Improvisation teaches us to set aside our personal agendas and ego and take whatever the other person gives you and go with it. The glue that ties it all together is the principle of “Yes, and…” Successful people all intuitively do this. They just don’t necessarily realize that they are using improvisation in their daily lives.

To succeed in negotiations, we need to drop our agendas long enough to truly listen—and with respect for all

involved. It is true for formal negotiations around a conference table and is the way to success in the daily negotiations of life and career—during a chat with the boss or with one’s spouse, or with a child. This is the kind of straight talk we can cultivate that truly will make the biggest difference.

If you would like to learn more about negotiating using improv techniques, please contact me at peter@petermargaritis.com

Dealing with The Peanut Gallery That Is Your Inner Critic

Let’s start off this article with a conversation about that voice in your head. You know the one.  The voice that keeps coming back with the warning, “don’t say that idea out loud because people will think you are stupid or crazy.” Or, another favorite, “you have to be kidding me, you know you can’t speak in front of an audience – you will look like a fool.”  You know that voice… and it has a lot more to say on any number things – and none of it is good.  This is the voice of your inner critic.  

So what exactly is an inner critic?  According to the Good Therapy Blog, the inner critic is “an inner voice that judges, criticizes, or demeans a person whether or not the self-criticism is objectively justified”. A highly active inner critic can be paralyzing – it can take a toll on one’s emotional well-being, self-esteem – and in some cases, it can cause individuals to seek help from a therapist or counselor to help balance thought patterns and change their mindset.

Jerry Seinfeld has done a standup routine where he joked that people’s number one fear is public speaking. Their number two fear is death. So, they would rather be in a casket than giving the eulogy.

And it’s true. Chapman University conducted a recent survey that uncovered America’s top fears. Among those were: corrupt government officials, pollution of oceans, rivers, and lakes, and cyber-terrorism. However, at the top of personal anxieties is the fear of public speaking, well above the fear of death, as Seinfeld joked.

THE RELIABLE INNER CRITIC

That inner critic of yours never goes on vacation – it’s there continually giving opinions on anything and everything you do. In speaking, the closer you get to the time you have to present, the louder and more incessant the critic becomes. For many people, they can get sick from the stress that the critic brings their way.  Whether you are in front of an audience or sharing thoughts during a meeting, all you can see or think about are all those eyeballs leveled at you. While at the same time, your inner critic is constantly telling you how you are going to fail. So what can you do? How do you overcome this fear and silence the inner critic?

Improvisation!!!  Yes! And by employing the principles of improvisation, you will overcome the fear, and silence the critic every time! 

Improv will help you change the conversation in your head and start programming your brain to use “yes, and…” instead of “yes, but…”. Why does this matter? Think about the difference between “but” vs. “and”. Using “but” introduces a contrasting thought and stops the other in its tracks. Using “And” instead, connects one idea with the other – allowing both to be considered jointly. So, for instance, you could be saying to yourself, “yes, you have been asked to give this presentation, but you’ll do awful.” Or, you could turn it into the following, “yes, you have been asked to give this presentation, and you can do it.” Just a slight change in words and tone from “but” to “and” has an immediate and positive impact on your confidence, self-esteem and self- worth.

For example, consider the classic children’s story, “The Little Engine That Could”.  It teaches this very principle. Each of the different locomotives in the story could be considered inner critics – each pointing out why the little engine couldn’t accomplish the task at hand. Eventually, the little engine, which had been told she wasn’t fast enough, big enough, or powerful enough, was the best locomotive for an important job. Despite the doubts and criticism, the train, as we all know, repeatedly chanted to herself, “I think I can, I think I can, I think I can.” And she did.

“You’re not fast enough,” “You’re not smart enough,” “You’re not interesting enough.”  “You’re NOT ENOUGH”!  The inner critic needs to be reprimanded and corrected for this. And guess what? You have the power to do it. Tell yourself, “I can do this,” and the more times you repeat it, the more you will believe it. This positive programming of the brain is real and can be used to overcome your immediate fears. The more you say it, the more you will silence that droning voice of doom that cycles through all your fears: “You can’t do this, you don’t know what you’re talking about, you’re a fraud, you’re going to fail, something will go wrong…” STOP!

THE PERFECT INNER CRITIC

This last part of the inner critic’s diatribe, “something will go wrong…” is very likely to come true, however.  Why? Because we expect ourselves to be perfect.  But there is no such thing as perfection.  Of course you will make a mistake, probably more than one.  Remember however, that most of the time, unless it’s a real blooper, the only person who knows about it is you. Your listeners and audiences won’t see it or hear it – only you and your inner critic.

When you’re overly focused on perfection, you can go into a downhill spiral if you make even a minor mistake, such as forgetting to make one of your less important points. If you maintain your confidence, something like that won’t trip you up. It would be best if you accepted the fact that you will make some slips. Think of them as opportunities to learn to do even better and roll with them… this is what keeps us interesting and interested.

Also, keep in mind, a certain amount of vulnerability goes a long way in winning over your audience. An excellent example of this is a TED talk given by Megan Washington, a premier Australian singer/songwriter. When she opens her speech, you are immediately aware that she has a speech impediment or stutter. She says that, while she has no qualms about singing in front of people, she has a mortal dread of public speaking. Throughout the presentation, the audience watches her struggle from time to time to get certain words out, but it doesn’t matter. Her vulnerability warmed the audience to her, keeping them engaged up until the moment she disclosed a deeply personal fact: you can’t stutter when you sing. At this point, she plays and sings a beautiful song superbly, ending with a roaring applause from the audience.

While we may not have the opportunity to leverage a vulnerability like this, it’s important to remember:  the inner critic will tell you far more than you need to know, and it is not true. You will hear what you cannot do or how you will screw up. And here is what you can tell that naysayer: “Yes, I know I will make mistakes, And they will not hamper me. Yes, I will not be perfect, And that means I can only get better.” Even today, whenever I get up in front of an audience, I get butterflies, AND I can control them now and make them flutter in the direction of my choice.

REASONING WITH INNER CRITIC

With all this bad-mouthing of the inner critic – it does serve a purpose. If I were to consider delivering a speech on nuclear physics, I would hope that my inner critic would start screaming at me long before I stood at the podium. However, the critic doesn’t know when to shut up; that’s where you need to train it. You might know enough about a topic to deliver a decent speech, but the critic keeps nagging: “Your nose hair is showing. Your tie is crooked. What a nitwit.” If you pay too much attention, the prophecies of failure could come true. You get hung up on your shortcomings rather than focusing on your strengths.

Sometimes the key is just to confront it: “Shut up! Shut up!” You can accomplish this through the “yes, and…” approach of improv. “Yes, I hear what you’re saying, And I’m going to do it anyway.” The critic may still try to undermine you but not as loudly. You’ll build up self-esteem. You’ll feel confident. Now go and do it!

If you would like to know more and /or discuss on ways to silence your inner critic and become more confident in your presentations and meetings, please email me at peter@petermargaritis.com.

Virtual Presentations Don’t Have to Suck – 10 Tips so you don’t suck!

We were thrown into the virtual world kicking and screaming. Virtual meetings, virtual presentations, and virtual happy hours have become the norm. 

So, there are few things to keep in mind when facilitating virtual meetings/presentations AND when you are part of the audience. Here are some of them:

As a presenter, I don’t want to: 

  1. Look up your nose
  2. See you walking around your house
  3. See your cat in front of your camera
  4. Hear your dog barking 
  5. See a silhouette of you because you are sitting with a window behind you
  6. See you disappear into your virtual wallpaper – or watch various body parts appear and disappear.

And those are just a few observations and complaints from the presenters, not the audience.  

For myself, the number one challenge is remembering to look at the camera during the presentation. It is critical to make eye contact with your audience to help keep them engaged. Think about it, in a live presentation, if the presenter never makes eye contact with you, would you feel that the presenter cared about you or their presentation?

As to the audience, many things cause an extreme disconnect, and in some cases, disrespect – however unintended. 

My top three are:

  1. Audience members do not have their camera on. To a presenter, this gives the impression that you are not paying attention, are disengaged, and, more than likely, multi-tasking… taking the dog for a walk? making lunch? answering emails? You may or may not be doing any of these things, but it appears as though you are!  
  2. They forget that a virtual meeting/presentation is a professional event. Not taking into consideration the camera angle, personal appearance, or background that others are seeing. Many participants show up – often late – while driving their car with their phone in their lap.  
  3. You are forgetting to mute the audio line when not talking. Every noise in the background – dogs barking, kids screaming, car horns honking, Starbucks espresso machines screeching, etc., will be heard by everyone else in the virtual meeting – and be distracted and disconnected because of it.

These are the kinds of things that make virtual events suck. But here’s the point – a Virtual ANYTHING does not have to suck! And it is the presenter’s responsibility to make sure it doesn’t suck by engaging the audience.  

If you are the presenter or running the virtual meeting, here are eight tips to not suck and engage your audience. As a special bonus, two tips on how to improve your internet speed and stability. 

  1. Eye contact: Raise your laptop or desktop monitor, so you are eye-to-eye with the webcam. You can achieve this by a stack of books under your laptop to raise it to your eye level. Also, remember to look into the webcam 70% of the time. This will increase the engagement with the audience. 
  2. Stand up: Standing up in front of an audience and delivering your content is how presentations, preCOVID-19 were done, so why should they be any different when giving a live virtual presentation? When we are standing, we increase our energy and passion. Go out and buy yourself a standing desk, a desk riser, or use your MacGyver skills. A colleague took a basket and a lobster pot and put their monitor on top of it to stand and deliver their virtual presentation. 
  3. Purchase a good microphone without breaking the bank. Suppose your internet is running as it should, but the audience can’t hear you well, or there are crackling noises in your microphone. In that case, your audience will stop listening to you. You can get a decent microphone for under $100.00, and it is worth the investment.
  4. Breakout Rooms: If you are using Zoom, MS Teams, Gotomeeting,com, or Cisco Webex, utilized the breakout rooms for discussions, role-play, brainstorming, debates, strategy discussions, improv exercise, or anything that requires a minimum of 2 people. 
  5. Polling questions: Poll the audience frequently and often to ensure they understand the concepts and content you deliver. Also, get to know your audience with some demographic information. 
  6. Conferences IO: According to their website, Conferences i/o improves attendee engagement, participation & learning by empowering audiences to interact in real-time during presentations. In Conferences IO, you can ask multiple choice questions, short answers, numerical average, or brainstorming ideas. There is also a Q&A feature where someone can ask a question, and if others think it is a good or bad question, they can vote it up or down. I am starting to use more of Conferences IO than having the audience submit answers to my questions via the chatbox. The reason is that after your session is over, you can download a report to review and to give it to your client. Now they have something tangible to review from your presentation.
  7. Use a multi-camera shoot: When you are looking at your webcam, switch to another camera, and go back and forth. The audience will likely still be engaged because they get different video angles, which helps them pay attention. Go old school, use your 2nd camera, and focus on a flip chart or whiteboard in your office. That will raise some eyebrows and make it way more interesting and fun. 
  8. Simplify your slides and tell more stories:  When I say simplify, think like Abe Lincoln. Abe wrote the Gettysburg address using only 272 words, which, if spoken 100 words per minute, Lincoln spoke for just under 3 minutes. Former Secretary of State Edward Everett spoke before Lincoln, and he spoke for two hours. Use fewer words on your PowerPoint slides and tell more stories. That is how you keep the audience engaged. A data dump of faces and figures shoved on a PPT slide with the font size of 12 is just another way of telling the audience to read their email and play their favorite app game.  
  9. Know your minimum internet speed, upload bandwidth, and network latency:  The minimum internet speed should be 200 Mbps, upload bandwidth of 1.5 Mbps, and network latency should be less than 100 ms. Per Netflix’s website, latency refers to the time it takes for data to travel from a user’s device to the server and back – will be measured on both unloaded and loaded connections. Unloaded latency measures the round-trip time of a request when there is no other traffic present on a user’s network, while loaded latency measures the round-trip time when data-heavy applications are being used on the network. For example, your unloaded latency is 25, and your loaded latency is 50, that is good. However, if your unloaded latency is 25 and your loaded latency is 175, which is not good, and you are suffering from BufferBloat, which can cause your Zoom meetings to buffer or freeze, even though your speed is 300 Mbps. Check with your internet provider. 
  10. Improve your internet speed: You can improve your speed by 
    1. shutting down any program running in the background like Dropbox and a File backup app.  
    2. If your hard drive is almost full, then move files off your hard drive to an external drive. Free up more space. 
    3. Reboot your modem and router once a week.

I have been working with three regional salespeople for a manufacturer in the Midwest to give a more engaging virtual presentation. These are the tips and techniques I have been sharing with them to continue to do their job and engage their customers and prospects. 

If you would like me to work with you or your team on how do give a more engaging virtual presentation, please email me at peter@petermargaritis.com and put in the subject line,Virtual Presentations Don’t Have to Suck.

Taking An Innovative Approach To Communication In The Corporate World

What makes a company or corporation great? What is it that makes them truly stand out among their competitors?

Excellent, innovative, and effective communication. This kind of communication invites Productivity, Adaptability, Stronger Relationships, Successful Negotiations, and it brings an end to tired, useless jargon that derails, distracts, and limits every situation.

What is needed is an innovative approach that creates excellent, open, and effective communication, both internally and externally, during the organization’s day-to-day inner workings.

And that innovative approach is found in the principles of Improvisation. Yes, that’s right, Improv. Improv is much, much more than comedy. It is a unique and powerful approach that promotes a simpler, more positive, and effective way to communicate, collaborate, and cooperate as a team – whether with your internal people or external constituents.

At its foundation, Improv is leadership in hyperdrive. 

IMPROV INVITES PRODUCTIVITY  

The foundation for effective leadership is active listening. When leaders listen to their employees and engage them using the skills learned from improv, growth happens.

Improvisation promotes cooperation, and with greater collaboration, productivity goes up. The principles of improv fundamentally create productive interactions because they force people to truly listen to one another. Many companies are discovering the powerful effect this has on the way teams work together. It also has a profound impact on the way clients feel. It shifts the atmosphere of the entire corporation into feeling more energized and in sync.

IMPROV INVITES ADAPTABILITY

In today’s dynamic market, companies need to be adaptable, and learning improv is great for business. The next generation wants to have fun. It has struck the right nerve amongst the younger generations who have taken improvisation classes in business schools and watched the popular show Whose Line is it Anyways. They are driving the face of corporate solutions by sparking creative thinking and ending the corporate jargon that has left innovation stale.

“Yes, and…” is the glue that holds it all together. It is the essential skill used when two people stand on stage to improvise and ADAPT. It is all about adaptability.  They are not allowed to tell each other no.

Replacing the words ‘No’ and ‘yes but” with the improv phrase “yes, and…” will invite active listening, valuable input, and teach how to adapt in the moment for the greatest results! That phrase communicates so much. It is supportive and respectful. It focuses on the conversation rather than shutting it down. It shows you are listening to the other person and trust what they have to offer. “Yes, and…” ties all the fundamental principles of effective communication and adaptation into a practical and productive two-word tool that will cause companies to stand up and standout.

IMPROV BUILDS STRONGER RELATIONSHIPS

Have you ever watched preschoolers play with blocks? They take turns stacking them on top of each other until the blocks get too high, and they topple over – or they like to watch it fall and knock it over on purpose. But the point is that both of them have an agenda. They each want to pick up a block and put it on the tower, and each one probably has an idea about what the tower will look like, but they keep building until they can’t build anymore.

A successful relationship is birthed in the same way – one block at a time – first collaborating, then sharing, and building on each new ‘block’ with a shared vision in mind. That is how you connect with other people.

We are more likely to succeed in our relationships when both parties can envision a common goal. Improvisation teaches us to set aside our agendas and ego and take whatever the other person gives you and go with it. There’s that glue again, “Yes, and…” Successful people all intuitively do this in building strong relationships – they don’t realize they are doing it and using improvisation to make it happen.

IMPROV CREATES SUCCESSFUL NEGOTIATIONS

To succeed in negotiations, we need to drop our agendas long enough to listen—and with respect for all involved truly. It is valid for formal negotiations around a conference table and is the way to success in the daily negotiations of life and career —during a chat with the boss or with one’s spouse, or with a child. This is the kind of straight talk we can cultivate that truly will make the most significant difference.

Six Principles of Improvisation

These six skills will ensure every negotiation has the potential to end with a positive solution: 

1. Take your ego off the table.
2. Respect the other party.
3. Be in the moment (focus).
4. Listen to the other party’s needs and wants. 

5. Adapt to the situation.

6. Yes, and… 

These steps genuinely help in removing emotions from the table. Anthony K. Tjan wrote in a Harvard Business Review blog, “Time and emotion — these are the two things most often wasted during a negotiation. ”And he is very right.”  

We tend to react emotionally and negatively to any points of negotiation that oppose our agenda. And that wastes time. When our negotiation goals are so firmly anchored that we cannot budge, it becomes hard to see any common goal as a solution. Instead, emotions kick in, and egos inflate—and we cease to listen. All we hear is our voice in our head, trying to find a way back to what we want.

  • Tom Yorton was once in the corporate ranks before becoming CEO of Second City Communications, the business solutions division of the world-renowned improv comedy company, The Second City. He had this to say in a recent Business Innovation Factory article, “But my experience – and in fact, my scars – are from bumping up against the same organizational hurdles that improv is so effective at helping companies get over – challenges that include connecting with customers, engaging employees around change, moving into new markets, innovating new products and services, working without a script.”

It is something brought to the table that was unexpected. It halts forward momentum. It is something that doesn’t neatly fit inside the box of your agenda.

  • Daena Giardella teaches an improvisational leadership class at MIT’s Sloan School of Management. She spends an entire lesson on teaching how to avoid using the most common block, the “yes, but.” In an NPR article, she points out, “Even though you say, ‘Yes,’ the but says, Yeah, but that’s not valid because here is the better point.”

Negotiations can quickly come to a grinding halt when “yes, but” comes to the table. It is when emotions get heated and time gets wasted. 

Time to remember the 6 principles of improvisation! 

END USELESS JARGON 

We all have some of our favorite “buzz words” we like to use, and some we can’t stand. They are great at creating imagery, but is it the kind of imagery that allows everyone to be on the same page? Think about a few of these common corporate buzz words used in many meetings and emails during the day-to-day. Do they create a clear path, or is there just a buzz in the room? Here are some common buzzwords and what I think of when I hear them:

  • Benchmarking: my photo on a bus stop bench
    Back of the Envelope: we need more legal pads 
  • Go the Extra Mile: a sweaty dude 
  • Best Practices: a Hallmark card 

None of these buzz words mean anything anymore. Too many of them in the conversation, and the listeners, if they are even that anymore, tune out. They are empty words and provide very little clear direction and no focus that employees can rally behind. With no clear path, stress increases, and productivity goes down. It becomes everyone doing what they think ‘best practices’ means.

What if we replaced the jargon with more direct and more precise speech? A company that states the customer service policy as “we strive to provide top-notch service to all of our customers” can be replaced with “we listen to the customers and meet their expectations.”

“Yes, and… let’s hold a quarterly brainstorming session with all the employees to think of ways we can show the customers we are listening.”

IMPROV IS LEADERSHIP IN HYPERDRIVE

Improvisation promotes innovative thinking by taking the conversation and pushing it forward into the future. That is what a good leader does. Ed Herbstman, a co-founder of the Magnet Theater, a New York-based theater conducting corporate training, has even helped teach courses for companies like Google. He said, “When you’re the person saying yes to other people, they start to bring you their best ideas. When you’re meeting things habitually with ‘yes, and,’ with an energy of agreement, you transform the way people perceive you.”

When more people are willing to speak up with their ideas because they know they will be heard, employees take a more vested role in the job they have. Their performance goes up. People get excited about seeing their vision, no longer just the “head honcho’s” vision, begin to take shape. It sets companies up on the stage while others are left looking for a chair in the audience.

Excellent, innovative, and effective communication that makes a company great and genuinely stands out among its competitors requires excellent, creative, and effective communication.  

It invites Productivity, Adaptability, Stronger Relationships, Successful Negotiations, and it brings an end to tired, useless jargon that derails, distracts, and limits every situation.

And can all be found in the innovative approach of Improvisation.

If you would like to discuss having me facilitate an Improv is Leadership in Hyperdrive workshop to your organization, contact me at peter@petermargaritis.com and in the subject line put “Improv is Leadership in Hyperdrive.”