What 25 Years of Business Ownership and Management Have Taught Me
I’m writing this piece for other C-Level owners and executives who have gone through the fire and for those who want to run the gauntlet of owning and running a business. I’ve been at it for 25 years, and in that time, there are certain “truths” that one learns. For instance, I might be appearing to relax and enjoy a sunny day to some. In “truth” I’m thinking about the next event my team and I are going to produce; the next article I need to write to keep my company in the public eye and the management issues that I need to handle in the upcoming weeks. Do I travel and enjoy life? Absolutely. Do I ever stop thinking about my company’s next move? Never.
So, for the purposes of this article, let’s start from the beginning. If you are like me, I found that the toughest obstacle in launching my business was defining who I wanted to be and why. I had to define my skill set. If you came from another company to launch your own, as I did, it’s imperative to consider legally and ethically how you can promote yourself. How do you get the word out that you are in business without causing your former company harm? And then, the decision of either to go it alone or hire staff … and if so, who and why?
Year one was the toughest of all my years for me. I started with no money and no business. I followed the rules, so it was challenging. And, I knew NOTHING about business. I was creative and people-driven, and I knew how to design and produce a great event. But I didn't know anything about insurance, taxes, payroll and all the nuts and bolts. So that part was difficult, and I paid the penalty. I didn't pay payroll taxes. I didn't know I had to. So: the solution was that I very quickly surrounded myself with people who knew what I didn’t! As my staff grew (and I have a large team today), it became essential for me to learn to manage employees. Those of us in the trenches know that hiring and firing (and all the mistakes and mishaps that go along with it) is tough, and quite frankly, isn’t my forte. During lean years, (recessions, etc.) downsizing was heart wrenching. For those who think the boss likes to let someone go, think again. It is a huge responsibility to impact another person’s life in a negative manner. It’s something with which I’ve never felt comfortable.
The Prerequisites of a Good Manager
From my years of experience, I’ve learned that being fair is critical.
Imperative qualities are:
• being respectful;
• being open minded;
• listening to your team; and
• being able to act responsibly and unemotionally to the decisions that need to be made.
Being a founder/president doesn’t automatically qualify anyone to be a manager. A manager by definition "manages." A founder/president is a figurehead that has taken the leap of faith to dream, develop and stand behind what the company stands for. It is that founder’s responsibility to relate that “dream” to the team and assure that it survives and thrives. For me, I’ve had to learn to manage along the way.
Over the years, I’ve learned that managing employees means making decisions quickly. A very learned colleague told me that the very first time you entertain the thought of firing someone is the time to do it. I am not capable of that. I waffle and wait forever. I encourage you to do as I say and not what I do!
Let’s face it, dealing with all aspects of employees from hiring the right people, training them, and then holding them accountable to do their jobs, meet their goals, and earn their salaries are the most difficult of all management issues. My fellow executives will shake their heads in the affirmative when I say that more time than I would like to recount has been spent just dealing with employee issues. So, during the hiring process, make your job easier by employing people who not only can handle the job description but are loyal, dependable, predictable, reliable, honest and have integrity. And check references!
The Keys to Running a Successful Business
The buck stops with me. It is necessary for me to balance the strategic, financial, marketing/sales, operational and personnel requirements of the business. Luckily, nowadays I share that with my partner (who is also my son). Ultimately, I always feel responsible for anything my employees do or say.
Here are some of the critical elements:
• From my perspective, I’ve been able to maintain a successful business for 25 years by getting up every day and committing to doing anything and everything that supports the business 100 percent, no matter what it takes.
• Never expect anyone else to do what you yourself are not willing to do. That’s how you build loyalty. Though I might be the first out the door on occasion, I then continue working remotely as long as any of my employees is working as well. At one of my events, I'm there until the bitter end.
• Treat employees fairly and respectfully and be a good role model. This goes a long way to retaining great employees.
• Allow your employees the opportunity to be intrapreneurial. Let them own their own accounts and make decisions responsibly.
• In favorable times, open your books and profit share. Money is the best incentive in the event business. Probably in most any business.
• Know what marketing/promotion techniques work best for your company. For Extraordinary Events, we’ve found that advertising doesn’t work. “Presence” works for us. By that I mean attending industry events, speaking at them, writing blogs and articles for publication.
• Hire the best money can buy, both for internal and external staff. That means lawyers and accountants, too.
• Behave ethically at all times.
• Treat everyone including your own staff as you would your best client.
In hindsight, if I could do it all over again, I would only change one thing. I would never completely give up my visibility with any client. Though I believe in empowerment, if a client is only interacting with one of my employees, and that employee leaves, I have no one but myself to blame if that client leaves as well. So I would remain actively involved with all of my company's clients at least on an executive level.
And one more piece of advice. Don’t be afraid to share with your peers in the business. Every day is a learning process. We can all learn from each others’ successes and failures, insights and lessons. Some of my competitors are great friends, and sharing with them has been one of my most treasured accomplishments.
Andrea Michaels is the founder and president of Extraordinary Events, an international meeting and event planning and production company. EE is the winner of more than 50 Special Events Gala awards among other significant industry awards. She was recognized with SEM’s one-time-only “Pillar of the Industry” award in 2014. In addition, Andrea is a published author and often-requested speaker. Her book, Reflections of a Successful Wallflower - Lessons in Business; Lessons in Life has earned kudos from the events industry and beyond. To learn more about Extraordinary Events, visit: http://www.extraordinaryevents.net. Contact Andrea via amichaels@extraordinaryevents.net.
So, for the purposes of this article, let’s start from the beginning. If you are like me, I found that the toughest obstacle in launching my business was defining who I wanted to be and why. I had to define my skill set. If you came from another company to launch your own, as I did, it’s imperative to consider legally and ethically how you can promote yourself. How do you get the word out that you are in business without causing your former company harm? And then, the decision of either to go it alone or hire staff … and if so, who and why?
Year one was the toughest of all my years for me. I started with no money and no business. I followed the rules, so it was challenging. And, I knew NOTHING about business. I was creative and people-driven, and I knew how to design and produce a great event. But I didn't know anything about insurance, taxes, payroll and all the nuts and bolts. So that part was difficult, and I paid the penalty. I didn't pay payroll taxes. I didn't know I had to. So: the solution was that I very quickly surrounded myself with people who knew what I didn’t! As my staff grew (and I have a large team today), it became essential for me to learn to manage employees. Those of us in the trenches know that hiring and firing (and all the mistakes and mishaps that go along with it) is tough, and quite frankly, isn’t my forte. During lean years, (recessions, etc.) downsizing was heart wrenching. For those who think the boss likes to let someone go, think again. It is a huge responsibility to impact another person’s life in a negative manner. It’s something with which I’ve never felt comfortable.
The Prerequisites of a Good Manager
From my years of experience, I’ve learned that being fair is critical.
Imperative qualities are:
• being respectful;
• being open minded;
• listening to your team; and
• being able to act responsibly and unemotionally to the decisions that need to be made.
Being a founder/president doesn’t automatically qualify anyone to be a manager. A manager by definition "manages." A founder/president is a figurehead that has taken the leap of faith to dream, develop and stand behind what the company stands for. It is that founder’s responsibility to relate that “dream” to the team and assure that it survives and thrives. For me, I’ve had to learn to manage along the way.
Over the years, I’ve learned that managing employees means making decisions quickly. A very learned colleague told me that the very first time you entertain the thought of firing someone is the time to do it. I am not capable of that. I waffle and wait forever. I encourage you to do as I say and not what I do!
Let’s face it, dealing with all aspects of employees from hiring the right people, training them, and then holding them accountable to do their jobs, meet their goals, and earn their salaries are the most difficult of all management issues. My fellow executives will shake their heads in the affirmative when I say that more time than I would like to recount has been spent just dealing with employee issues. So, during the hiring process, make your job easier by employing people who not only can handle the job description but are loyal, dependable, predictable, reliable, honest and have integrity. And check references!
The Keys to Running a Successful Business
The buck stops with me. It is necessary for me to balance the strategic, financial, marketing/sales, operational and personnel requirements of the business. Luckily, nowadays I share that with my partner (who is also my son). Ultimately, I always feel responsible for anything my employees do or say.
Here are some of the critical elements:
• From my perspective, I’ve been able to maintain a successful business for 25 years by getting up every day and committing to doing anything and everything that supports the business 100 percent, no matter what it takes.
• Never expect anyone else to do what you yourself are not willing to do. That’s how you build loyalty. Though I might be the first out the door on occasion, I then continue working remotely as long as any of my employees is working as well. At one of my events, I'm there until the bitter end.
• Treat employees fairly and respectfully and be a good role model. This goes a long way to retaining great employees.
• Allow your employees the opportunity to be intrapreneurial. Let them own their own accounts and make decisions responsibly.
• In favorable times, open your books and profit share. Money is the best incentive in the event business. Probably in most any business.
• Know what marketing/promotion techniques work best for your company. For Extraordinary Events, we’ve found that advertising doesn’t work. “Presence” works for us. By that I mean attending industry events, speaking at them, writing blogs and articles for publication.
• Hire the best money can buy, both for internal and external staff. That means lawyers and accountants, too.
• Behave ethically at all times.
• Treat everyone including your own staff as you would your best client.
In hindsight, if I could do it all over again, I would only change one thing. I would never completely give up my visibility with any client. Though I believe in empowerment, if a client is only interacting with one of my employees, and that employee leaves, I have no one but myself to blame if that client leaves as well. So I would remain actively involved with all of my company's clients at least on an executive level.
And one more piece of advice. Don’t be afraid to share with your peers in the business. Every day is a learning process. We can all learn from each others’ successes and failures, insights and lessons. Some of my competitors are great friends, and sharing with them has been one of my most treasured accomplishments.
Andrea Michaels is the founder and president of Extraordinary Events, an international meeting and event planning and production company. EE is the winner of more than 50 Special Events Gala awards among other significant industry awards. She was recognized with SEM’s one-time-only “Pillar of the Industry” award in 2014. In addition, Andrea is a published author and often-requested speaker. Her book, Reflections of a Successful Wallflower - Lessons in Business; Lessons in Life has earned kudos from the events industry and beyond. To learn more about Extraordinary Events, visit: http://www.extraordinaryevents.net. Contact Andrea via amichaels@extraordinaryevents.net.
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