If you ask staff about areas of opportunity and what they consider to be the biggest issue holding the team back, communication tends to be at or near the top of the list. While I agree that we could all improve the quality and quantity of our communication, I believe a bigger opportunity exists in the area of collaboration.

Herb Mast is a Leadership Coach and Business Consultant. He would love to assist you in implementing the principles and concepts presented above. He is confident that in the process you will enjoy a 10X ROI.

Click here to schedule a free no-obligation introductory consultation.

By Herb Mast

(published in Dealer Magazine – November 2017)

How many football teams can you name that have successfully executed a no-huddle offense throughout an entire game? How about half a game? Or, a quarter? Not many, if any, I suspect. Rather, a typical team huddles approximately 70 times in a single three-hour game. Why? Because the team executes better when they slow things down a little, communicate, coordinate, and get everybody on the same page.

Then why do most automotive teams try to operate without huddles?

Football and the Car Business

Football provides a number of great practical parallels from which we can glean insights relative to the car business. For example, a typical football season mirrors the typical year of a car dealer—twelve games/months, four quarters/weeks, five plays/days (Ok, a football team runs more than five plays in a quarter, but you get the point).

I also like the comparison to football because the most successful and highest performing football teams seem obsessed with meetings, Yes, really. Here are just a few examples:

• All-team meetings: for general housekeeping and to discuss topics not covered in other meetings.
• Practices: to develop and hone skills and perfect plays necessary to execute an effective game plan.
• Pre-game meetings: to prepare the team mentally for the upcoming game.
• Half-time meetings: to regroup and make adjustments relative to things experienced in the first half.
• Post-game meetings: to debrief the game, gain closure relative to the outcome, and gain perspective for next steps in the season.
• Time outs: to discuss near-term situational strategy and tactics.
• Game tape review sessions: to identify what went right and/or wrong so as to focus practice time most effectively.
• 1:1s: between a coach and his player to talk about personal performance, development, and attitude.
• Huddles: to provide focus, clarity, and alignment for the next play to be executed.

Better Leaders, Better Meetings

Regardless of how you feel about meetings, I contend that leaders do their most important work in meetings! In fact, you can tell a lot about a leader by the quality of their meetings—better leaders conduct better meetings!

Meetings are critical forums within which leadership takes place. And, if a leader is not participating in a meeting, communicating with and influencing those they are leading, they are not doing the work of a leader, but rather the work of a manager or producer. It is not surprising that the author of Death by Meeting, Patrick Lencioni, states that the health of an organization is more evident by observing its various organizational meetings than reviewing financial statements. Financial statements provide a rearview of the road travelled, whereas meetings provide a windshield view of the journey ahead.

Better Communication

Ask anybody what they feel is the biggest area of opportunity for improvement in their store and they will invariably put communication high on, if not at the top of, their list. Effective communication, however, doesn’t happen by default or in a vacuum. I contend that communication requires five key ingredients to be effective:

• a common place/forum
• intentionality
• consistency
• structure

Leaders must be purposeful in bringing people together on a regular basis, and create an environment where good communication can take place. Leaders need to focus teams around common goals, keep the mood predominantly positive, and instill a high degree of trust so that productive debate can take place. Hence, good communication comes from good meetings, which are orchestrated by good leaders.

Conducting good meetings is a combination of art and science, both of which can be learned. Bad meetings, on the other hand, require no learning and little intentional action, which is why they are all too common. Most bad meetings happen when people try to combine all of the good reasons for meetings into a single meeting—something Lencioni calls “meeting soup”—or when people gather reactively to put out fires and when emotions are elevated. Instead, leaders need to get their teams working proactively, when emotions are under control, and when efforts can be directed forward rather than in untangling the past.

Everybody Benefits from Huddles

I believe one of the most important meetings, most efficient, most beneficial, yet least understood, and most underutilized, is the daily huddle.

Huddles are simple, short, and focused meetings that have an incredibly high return on investment. Yet, for some reason, they are one of the most ignored and underutilized meetings in business. Why? I think it has something to do with ignorance, naivety, or even arrogance. Otherwise why would anybody opt for a no-huddle offense that has been proven to be less effective and harder to execute?

A typical football huddle involves six key elements:

1. Gather: Bring everybody together;
2. Inform: Provide clarity around the upcoming play;
3. Focus: Reduce distractions, whether internal or external, and increase attention on the immediate task;
4. Align: With everybody gathered the same message is heard and everyone benefits from questions asked by others;
5. Motivate: Infuse energy and reduce energy drains;
6. Briefness: They usually take about 10-20 seconds and nobody sits.

So, how can an automobile dealership benefit from a huddle? Exactly the same way a football team does, by appropriately applying the six elements, as follows:

1. Gather: Bring the team together—individual departments or even the whole store—in a central and consistent place every day—conference room, showroom, middle of an open area office, middle of the shop, etc. consistency of time and place is important, as is starting on time and everybody attending. A small investment of time in the daily huddle will turn into time savings and increased productivity when all of the impromptu questions that are normally asked individually throughout the day are saved for and brought up at the next huddle.
2. Inform: Keep the team informed of what is generally happening in the store, cascade appropriate items from other meetings, and ensure clarity. Everybody likes to be in the know, In fact, if something is happening in the store people will talk and rumors will spread. It is better to proactively provide accurate information to fill potential gaps, which others will otherwise fill with misinformation, requiring even more precious time and energy to dispel later.
3. Focus: Eliminate obstacles by asking what issues the team is facing and what is keeping them from doing their work or achieving agreed goals. Lots of things can happen throughout the day or before the start of the next work day that can an impact on forward-focused effort. Recognizing and dealing with issues and potential distractions, whether internal or external, will increase attention on the immediate task. The huddle is not the time to work through the issues, but for the leader to be made aware and take notes. Stated issues will need to be resolved separately, possibly collaborating with select team members in a follow-up meeting, with solutions brought back to a future huddle.
4. Align: With everybody gathered the same message can be heard and everyone benefits from answers provided. One of the biggest reasons for misalignment is when information is provided individually, rather than to the entire group, or not at all. Think of the game we used to play as kids when we gathered in a circle and whispered a simple message in each other’s ear. The message reported by the last person is usually radically different from the one spoken at the outset. It is best to give everybody clear and correct information directly, at the same time, and as soon as possible.
5. Motivate: Ask how you can better support your people as they strive to achieve their goals. Increase energy levels and decrease energy drains. Keep the team moving forward, while dealing with obstacles that otherwise impede progress. Take notes and provide 1:1 coaching independently as appropriate.
6. Briefness: Huddles should not take more than 3-5 minutes, or they will lose their effectiveness. Every team can dedicate a few minutes early in the day, no matter how busy they are—even busy service departments! To keep huddles brief have the team stand and move through the format with a sense of urgency. If there is a need to discuss any topic in greater depth a separate meeting may be needed. Don’t add to the format and thereby create meeting soup, which diminishes the value of the huddle.

Take the 30 Day Huddle Challenge

Want to increase the productivity and effectiveness of your team? Take the huddle challenge. For an entire month do the following:

• Gather your team everyday in a consistent place for 3-5 minutes. Have everybody stand, start on time, and keep the meeting moving. If you cannot be there have somebody else lead the huddle. Avoid cancelling huddles if at all possible as every cancellation reduces momentum.
• 30-60 seconds: Inform them of anything going on in the store—current sales promotions, achievements, new hires, milestones, up-coming staff events, etc. Give others an opportunity to add information that you may not already be aware of. It is important that on the first huddle you take a little extra time to explain why you want to meet daily for huddles and what you anticipate the benefits to be. Be transparent and ask the team to take this journey with you over the next month.
• 1-2 minutes: Ask what issues are keeping them from being able to do their jobs or achieving their goals. Have your pen and paper ready to take notes. If an issue can be resolved with a 5 second response go ahead and do so, but resist the urge to resolve everything on the spot or the huddle will turn into a longer and different kind of meeting.
• 1-2 minutes: Ask how you as the leader and/or their teammates can better support them as they attempt to do their jobs.
• At the end of the first huddle ask the team what time they feel will work best for future huddles. It is best that they take place as early in the day as possible, but they can theoretically happen any time of the day as long you do them consistently.

A word of caution: If you choose to take the huddle challenge, be aware that the team may be skeptical, non-communicative, and standoffish at first. They may cynically wonder if you have a hidden agenda. It is also human nature any time you start something new for people to secretly assume you have an ulterior motive, especially if your store has a culture of introducing lots of new ideas that turn out to be “flavors of the month” due to poor follow-through. If you demonstrate your commitment by doing a huddle every day your team will increasingly engage and the huddle will become more effective.

Better Culture

As you enjoy positive results (better communication, collaboration, cohesion, clarity, productivity, and effectiveness—even time savings) from your huddles don’t be surprised when the team wants to continue past the initial month and adopt huddles as part of your new store culture.

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Herb Mast is President of COHESION, inc. and is passionate about inspiring Car Dealers to achieve greater growth and business sustainability.  Everything he does as an Executive Coach, Consultant, Author,  Keynote Speaker, and Workshop Presenter is focused on “filling gaps and connecting dots” of automotive leaders and managers to increase their effectiveness in the areas of leadership, teamwork, employee and customer care, and organizational health. Additional insights and practical solutions are available on Herb’s blog at www.HealthyDEALER.com. © Herb Mast 2017

Vision is an important component of any journey. However, vision by itself is just another dream.

Reality comes when a leader inspires others to take the journey with them and that usually starts when the Leader explains why the destination is worth the effort of the journey. Starting with WHY, as explained by Simon Sinek, in his book Start With Why (click here to view a brief overview of the book), engages the Limbic brain and gets people to buy-in to the validity and value of the destination. And, as we have come to learn, the Limbic brain drives 75% of our behaviors and actions.

Herb Mast is a Leadership Coach and Business Consultant. He would love to assist you in implementing the principles and concepts presented above. He is confident that in the process you will enjoy a 10X ROI.

Click here to schedule a free no-obligation introductory consultation.

 

Herb Mast is a Leadership Coach and Business Consultant. He would love to assist you in implementing the principles and concepts presented above. He is confident that in the process you will enjoy a 10X ROI.

Click here to schedule a free no-obligation introductory consultation.

I am pleased to provide you with the first of what I hope will be a weekly “thought for the week” which one of my clients [affectionately] coined a HERBISM.

In addition to a monthly visit this client wanted a weekly reminder of the principles and concepts that I had introduced to them over the past couple years. Here is how they defined a HERBISM:

HERBISM =  CUSTOMER & EMPLOYEE FENG SHUI

By Herb Mast

Accountability—one of the most valuable, yet often misunderstood and misused, concepts in the car business.

The goal of this article is to shed light on what true accountability is, and what it is not, so you can apply it appropriately to get better results.

What accountability is not:

“Inspect what you expect”. While inspecting what you expect provides follow-up, and is a favorite expression of many automotive managers and dealers, it is not actually accountability. Rather it is a form of micromanagement and/or policing. Often when something does not get done many are quick to blame a breakdown in accountability. More accurately, however, it is a breakdown in policing or inspection efforts. Follow-up is good and important, but it is not as effective if the all-important element of buy-in is skipped.

What accountability is:

Accountability is confirming that others did what they said they would do. It is that simple. Commitment is the necessary pre-requisite for true accountability to take place. When others commit they are in effect buying-in, not just receiving orders, resulting in greater engagement, and better follow-through.

In other words, for true accountability to take place there must be psychological ownership. It is like what happens with a legal agreement, which requires both an offer and an acceptance—both sides must be present—for an enforceable contract to exist. People can only be held accountable for the things they have “accepted”. Hence, following-up on matters that have been unilaterally delegated or imposed will be far less effective because the person undertaking the activity or task did not provide their “acceptance” of the thing expected of them.

This is not merely semantics. The distinction is actually quite significant, fundamental, important, and critical to getting people to do more of the things you want them to do. The distinction is also rooted in biology. Neuroscience, the study of the brain, has proven that our brains are ‘wired’ in such a way that psychological ownership triggers a higher level of [intrinsic] motivation than the proverbial [extrinsic] “carrots and sticks” type motivators managers have traditionally used.

In his book Start with Why Simon Sinek describes the concept of the “Golden Circle” and how the human brain processes internal (intrinsic) and external (extrinsic) information and stimuli.

Neuroscience has revealed that the emotional brain (Limbic) drives 75% of decisions and behaviors, while the rational brain (Neocortex) only accounts for 25%. So, to get better results leaders and managers need to engage people’s emotions—things like trust, respect, relationship, responsibility, autonomy, mastery, and purpose—which are triggered during the process of gaining buy-in. To skip this important step not only bypasses the positive engagement of the emotional brain, but can actually disengage it, like when a manager uses power, position, and negativity as a substitute to force compliance.

Sinek explains how the brain processes, or engages with, the concepts of what, how, and why. What is a rational construct, which connects with the rational brain, while why is an emotional construct, which connects with the emotional brain. Hence, starting with why, rather than what, not only achieves better results, but requires less oversight. The reason is that why has to do with defining purpose and thereby engages the Limbic brain to own or take responsibility for the task. This results in higher levels of motivation and passion. Passionate people will usually figure out how to do what is needed and will be more engaged throughout the process and committed to getting it done. What, without the benefit of knowing why, bypasses the Limbic brain, thereby resulting in lower commitment, motivation, and follow-through—i.e. diminished effectiveness.

The challenge for most managers is to take sufficient time to explain why and obtain buy-in. The car business can be a fast paced environment and most managers will claim they are too busy to always give an explanation. Further, most managers believe people should just follow orders and do what they are paid to do. Hence, for expediency, and quite frankly not knowing better, most managers tell people what to do, impose expectations, and are then surprised and frustrated when their expectations go unmet. So, they reiterate their expectations, but with increased emphasis and volume. Unfortunately, this approach, which is the definition of insanity, takes even more time and produces inferior results than starting with why and getting buy-in the first time around. Another way to think about this is that telling is like giving people fish—feeding them for the day—while explaining why and getting buy-in is like teaching others to fish—feeding them for a lifetime.

The inferior impact of the telling approach is further validated by other research, which found that the average American worker is only 40% to 70% productive. This is because doing less may result in the loss of their job. So, for the sake of a paycheck most people find the threshold of what they “have to” do to keep their job. In neurological terms, money is a rational and extrinsic motivator, which only motivates people so much and for so long.

The remaining 30% to 60% of their productivity is discretionary and must be volunteered. Said another way, while a paycheck can rent a person’s hands and feet, their heart and head must be volunteered.

Here are three simple approaches you can use immediately to increase team productivity and effectiveness:

1. Do less telling and more asking. Asking is like making an offer. When the person accepts your offer they take psychological ownership and will be more committed to the task.
2. Don’t just tell others what to do, explain why it is important to the overall success of the team and organization. This gives others a greater sense of purpose and shared responsibility.
3. After explaining why and getting buy-in follow-up for true accountability purposes. This reinforces that you are serious and that the task was actually important while giving the other person an opportunity to be recognized for doing the task, or coaching if they didn’t. Either way it will help to shape the culture for even greater productivity and engagement in the longer term.

A final thought, Patrick Lencioni, in his book The Advantage, states that most organizations will never achieve greatness because greatness is more about what you accept than what you expect.

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Herb Mast is President of COHESION, inc. and is passionate about inspiring Car Dealers to achieve greater growth and business sustainability.  Everything he does as an Executive Coach, Consultant, Author,  Keynote Speaker, and Workshop Presenter is focused on “filling gaps and connecting dots” of automotive leaders and managers to increase their effectiveness in the areas of leadership, teamwork, employee and customer care, and organizational health. Additional insights and practical solutions are available on Herb’s blog at www.HealthyDEALER.com. © Herb Mast 2017

By Herb Mast

(Published in Dealer Magazine – January 2016)

Frustrated with bad surveys?

Ever had a customer tell you they were “Completely Satisfied”, but then “trash” you on the satisfaction survey?

Are your sales and service staff frustrated with the overall survey process?

Ever witnessed how just one bad survey can spoil an employee’s mood for hours, days, or even the rest of the month?

Are your survey response rates low? If so, you’re not alone and it doesn’t have to be that way.

There are many Dealers who receive consistently high survey scores without cheating or coaching customers. It is possible if you adopt the four keys to eliminating BAD Customer Surveys outlined below! More importantly, adopt these four keys and I am confident that you will see an increase in your customer loyalty as well!

Skeptical? Regardless of how you feel about customer satisfaction surveys they are not going away any time soon. So like the old saying goes, “if you can’t beat’em, join’em.” In other words, stop fighting a fight you cannot win and rather learn how to use the system to your advantage.

Here are the four keys to eliminating BAD surveys forever.

Key #1: Proper perspective.

Before you can fill your mind with new better thoughts it is necessary to empty the trash that has built up over the years and created your current perception. Then, let’s start at the beginning with why somebody invented the idea of a customer satisfaction survey in the first place.

Imagine when the business was small and the owner was integrally involved with customers on a day-to-day basis. The owners knew their customers and could respond quickly to comments and concerns. There was no need for a survey. The owners got direct feedback. Then the business grew and the owners became increasingly distanced from direct contact with customers. Instead of having daily contact the owners noticed that even though their advertising was drawing in many new customers they were not retaining as many as they used to.

In addition, as the business became more transactional and less relational the number of customer comments reduced as well. People just took their business elsewhere. As a way to bridge the gap between the initial sale and the time lag of a repeat purchase one brilliant entrepreneur came up with the idea of surveying customers soon after the sale to gain feedback from customers. Armed with this valuable information the owner could tweak the sales and service process to keep it consistently aligned with what the owner intended and what customers had come to expect from the business.

In its proper context the survey seems like it would be a good thing for both the owners and the customer. Where, then, did the notion of a “bad” survey come from? Based on the original intention, the best survey would seem to be the one that gives necessary feedback to keep us at our best. Could it be that what we call a BAD survey may actually be the BEST survey? It’s all in the way you look at it. The proper perspective is that there are no BAD surveys, just GOOD feedback.

Unfortunately, somewhere along the line the survey became more of a scoring tool than a feedback tool. As such people started looking at the bottom line score rather than the details that make up the score. In the process any score that was less than perfect became interpreted as a negative and the survey was labeled BAD. And naturally, if the score is all that matters, it is not surprising that effort and attention gets diverted from gathering valuable information to short cuts and all kinds of deviant behavior and manipulation to pursue a score.

I think a golf analogy will help drive home the point. Mulligans, gimmies, and foot wedges are certainly expedient ways to reduce the number of strokes recorded on your scorecard. They certainly make your scorecard look better, but the score is no longer a reflection of your proficiency as a golfer. Worse, this contrary behavior may actually be hurting your game. Instead of getting insights into which part of your game needs improvement you take shortcuts to puff up your ego. The proper perspective, assuming the goal is actually to become a better golfer [otherwise why keep score] is to look at the scorecard as a feedback tool to know where to focus practice efforts. And that leads us to the next key.

Key #2: Learn to love the mirror

Imagine how different society would be without mirrors. Try getting ready in the morning without your mirror(s). Try driving a vehicle without looking in the mirror – either rearview or side view.

A mirror is just a tool, a feedback tool. And the best feedback is the most accurate feedback, which means that the best mirror is the one that provides an accurate reflection. Used correctly, it helps us see things we otherwise wouldn’t see. A bent or broken mirror, on the other hand, provides a skewed reflection and a false sense of reality, which may be humorous in a house of mirrors amusement attraction, but is not helpful if we want to make important improvement decisions. Equally challenging is a small mirror that doesn’t show the whole image. Try shaving or putting on make-up while looking at a one inch size mirror.

So, think of customer satisfaction surveys as mirrors. Use them to help you see things you otherwise wouldn’t see or to remind you of things you do see but haven’t changed yet. Then tweak reality towards the image you would like to see. If you follow this approach the reflection in the mirror will eventually align with the image you intended.

Then think of each survey like a small mirror. One small mirror has limited benefit, but put lots of little mirrors together and the reflection becomes increasingly more insightful. To this point most dealers are only getting surveys back from about 20-30% of their sales customers and 10-15% of their service customers. On top of that most customers are coached on how to fill out the survey, thereby skewing the data and rendering it somewhat useless. It is like bending the mirror. It doesn’t change reality it only changes the reflection.

So, stop being upset with, or frustrated by, your mirror. Rather be thankful for the insights it provides. You will be amazed how this simple change in perspective will help change your outcomes.

Key #3: Build emotional trust (i.e. truly care).

In the car business our short and long-term success is tied to three customer behaviors: today’s purchases, repeat purchases, and referral purchases – all of which are directly impacted by trust. Most people will acknowledge that, but don’t know why that is the case or to what extent. To better understand the impact of trust we need to look at the inner workings of the brain.

Did you know that trust has two important components – a rational component and an emotional component – just like our brain has two parts that are involved in the decision making process and directing behavior? How we respond or react is directly correlated with how our brain works.

Without getting too scientific (although feel free to dig deeper and validate this further on your own), amongst other things, our brains have a rational component and emotional component. The rational part of our brain, the neocortex, is responsible for logical and analytical thinking. It also happens to be the part of our brain that controls speech. The emotional brain, the limbic system, is responsible for how we feel, but has no capacity for speech – hence why we can easily recite data and statistics, but have a hard time putting our feelings into words. The important point here is that the limbic [emotional] brain has three times more influence over our decisions and behaviors than the neocortex [rational brain]. To make up for this lack of influence the neocortex has even came up with a word to make our emotional decisions seem more rational – we call that rationalization.

Rational trust is established when we prove ourselves to be competent and reliable. Being capable of doing what we say we will do, or at least creating the perception, is a way to establish rational trust. And when we actually follow-through and do what we said we would do we build rational trust. This all works fine as long as experience matches with expectations.

Rational trust is where most people focus their efforts (quality, price, speed of service), probably because it is more comfortable, controllable, expedient, and involves little need for vulnerability. It is based on what we do. Unfortunately rational trust only accounts for 25% of what influences decisions and behaviors.

The real influencer, however, is emotional trust, which accounts for the other 75% of what influences our decisions and behaviors. Emotional trust is established when we are authentic and display true care (i.e. putting the other person’s interests ahead of our own). Being based on who we are – our character, our motives and attitudes – it is harder to fake. And while the limbic brain may not have the capacity for speech it is the part of our brain where “gut feelings” come from.

So, Key #3 is to be genuine and display true care. This is accomplished by being transparent, vulnerable, and putting customer interests above ours. We need to care more about the person than the sale. Work more for the customer than for the commission. Invest in long term relationships than today’s gross and you will be amazed at how today’s gross will improve as well.

People will give us a tremendous amount of forgiveness and grace when we establish emotional trust, but that does not mean that we can neglect the rational elements. Hence, it is important that we follow through with the fourth key.

Key #4: Do something.

Knowing is not doing. So if you want different results you need to actually adjust your behavior, environment, and processes in response to the feedback.

Develop a cadence of review and correction. Decide how often you are going to review customer feedback, who needs to be involved in the discussion, and then systematically adjust behaviors, processes, facilities, etc to provide a consistently excellent product and/or service.

If you continue to improve your offering in line with the feedback you receive the quality of your offering will improve and eventually mirror what customers are expecting.

Summary:

• Change your attitude towards surveys – there are no bad surveys, just good feedback.
• Stop coaching customers on how to fill out the survey – rather get the most accurate feedback possible.
• Get as many surveys returned as possible – more surveys will provide a more accurate reflection of reality and the things that need to be worked.
• Connect with customers at both a rational and emotional level to build greater trust
• Develop a cadence of review and correction – use surveys to reveal what is not matching with the reality you would like to see and then systematically make changes.

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Herb Mast is President of COHESION, inc. and is passionate about inspiring Car Dealers to achieve greater growth and business sustainability.  Everything he does as an Executive Coach, Consultant, Author,  Keynote Speaker, and Workshop Presenter is focused on “filling gaps and connecting dots” of automotive leaders and managers to increase their effectiveness in the areas of leadership, teamwork, employee and customer care, and organizational health. Additional insights and practical solutions are available on Herb’s blog at www.HealthyDEALER.com. © Herb Mast 2016

Why some leaders get better results than others

By Herb Mast

(Published in Dealer Magazine – September 2015)

What happened? You recently hired a new employee who displayed such potential throughout the interview process. Their past experience and references were excellent. Their personality profile even suggested they were a great fit. And now, just a few short months later, they seem to be operating just like the rest of your team – displaying the same bad habits and producing only mediocre results. This is called the chameleon effect and it is a common complaint in culturally challenged Dealerships.

According to Google, the chameleon effect refers to non-conscious mimicry of the postures, mannerisms, facial expressions, and other behaviors of one’s interaction partners, such that one’s behavior passively and unintentionally changes to match that of others in one’s current social environment.

The chameleon effect need not always be negative. It can either diminish the performance of individuals or raise it to a higher level. It all depends on the social environment or culture.

In his book Boundaries for Leaders, Henry Cloud suggests that leaders “can create a culture that augments high performance, accountability, results, and thriving, or cause a culture to exist, in which people become less than who they are or could be. And most of the time, these issues have little to do with the leader’s business acumen at all…but more to do with how they lead people and build cultures.”

Dr. Cloud, a clinical psychologist, identifies how the brain responds to different environments. He explains how “when leaders lead in ways that people’s brains can follow, good results follow as well.” He goes on to outline five [culture] conditions that leaders need to create and cultivate, so that people’s brains will work best.

First, leaders need to focus on the executive functions of the brain. In layman’s terms this means that the brain naturally narrows its focus to that which is deemed most important or most urgent. This also suggests that the concept of multitasking is actually a myth. Our brain cannot effectively focus on multiple things as well as it can on a single thing. When we try to multitask, we naturally spread our attention across multiple thoughts and dilute our attention.

For optimum results, leaders need to help their people focus on the most important and/or urgent things, inhibit thoughts and behaviors that are distracting, and keep the plan in front of them. That is why a football team huddles before almost every play, and why hurry-up offense does not work well, at least not for very long. There is no question that technology has increased productivity in many areas, but one negative aspect is how so much of our technology demands our attention and distracts us from other things. Think about your smartphone for instance. Even the vibration from a call, text, or email diverts our executable attention for a split second, or longer, if we choose to see who is calling, or what the message is about.

Practical application:

1. Get each of your departments to hold a 3 to 5 minute daily huddle meeting in which they debrief the previous day, remind each other what is most important, talk about issues and remove obstacles, and share ways the leader can better support their efforts.
2. Implement a cell-free zone in important meetings to minimize distractions.

Second, leaders need to create a positive emotional environment. Positivity releases endorphins, dopamine, and serotonins – chemicals which help the brain process data and emotions – similar to what octane does for gasoline engines. Negativity, fear, and stress, on the other hand, produce a hormone called cortisol, which shuts down the creative functioning of the brain and allows fight, flight, or freeze mode to take over. You might get a spike in productivity by hammering on people, but it is not sustainable and will produce negative side-effects which will eventually reduce overall productivity.

Our productivity is the result of three kinds of effort: emergency, obligatory, and discretionary. Each is triggered by a different stimulus or motivation. Emergency Effort is dispensed when an individual faces a real or perceived calamity, such as when a fire alarm goes off in the middle of the night. Obligatory Effort is dispensed to fulfill real or perceived obligations, such as reasonable work duties in exchange for compensation. Discretionary Effort, however, is dispensed [volunteered] only when the individual is motivated to do so, such as when they feel a sense of autonomy, mastery, and purpose.

In her book, Multipliers, in which she compares and contrasts the differences in management/leadership approaches of those she calls Multipliers and Diminishers, Liz Wiseman reveals that, on average, staff in the United States are only about 40 to 70% productive. To achieve higher productivity, leaders need to find ways to access more Discretionary Effort. One way to think of it is that, more volunteers are found in positive emotional environments than negative ones.

Practical application:

To get a sense of how productive your team is, simply ask them how emotionally positive they feel the environment is in your store. Use a scale of 1-100. Whatever number they give you, will be a good indication of how productive they are. To increase productivity, increase positivity.

Third, Leaders need to create a culture of connectedness. Physiologically the brain needs oxygen, glucose, and connectedness to function properly. In other words to function properly we need to breathe, eat, and feel like we belong. It is not surprising then that connectedness is also a key element of teamwork. Everybody needs to feel like they belong and are contributing to the common goals of the team.

Practical application:

1. Introduce new staff to others throughout your store on their first day to kick-start connectedness.
2. Bring staff together in non-work settings throughout the year to develop connectedness.

Forth, leaders need to create a culture of optimism. They need to help their people believe that the [imposed] goals and objectives are actually achievable. Giving people goals that seem too big does not make them try harder, rather, it usually has the opposite effect. People who don’t believe something is possible, typically put in less effort due to fear and lack of confidence, which shuts down their brain before they even get started. If you are going to impose goals, which is rarely a good strategy (see the next condition below for a better strategy), make them reasonably achievable. Then help the person/team see how achieving the goal is possible, give them confidence by letting them know you will support them along the way, and provide safety nets rather than sink or swim edicts.

Practical application:

It is better to give a ten-car-a-month sales person, who has never sold more than twelve, a goal of thirteen, than a goal of eighteen. Not only will they be more motivated from the start, but their motivation will build the closer they get to the goal, and the more they will be motivated to push to new heights.

Fifth, leaders need to create a culture of ownership. Leaders who don’t give away control, often called Control Freaks, are working harder than they need to, while stunting the growth and productivity of their people. The brain needs a sense of control and comes alive when it owns something. This is why achieving ‘buy-in’ is so important. Leaders need to spend more time talking about what is possible and why it is important. If everybody works to their potential the results will be there. And if the results are still not enough you either need more people or different people.

Practical application:

Negotiate goals with your team, allow them to come up with their own plan of how they will achieve the agreed results, and hold them accountable.

Henry Cloud sums it all up by pointing out, “leaders are ridiculously in charge and get what they create and what they allow”. Hence, the culture you have today is a direct result of the things that you have allowed. To benefit from a positive Chameleon Effect, leaders need to create the right conditions [culture] for optimal brain functioning.

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Herb Mast is President of COHESION, inc. and is passionate about inspiring Car Dealers to achieve greater growth and business sustainability.  Everything he does as an Executive Coach, Consultant, Author,  Keynote Speaker, and Workshop Presenter is focused on “filling gaps and connecting dots” of automotive leaders and managers to increase their effectiveness in the areas of leadership, teamwork, employee and customer care, and organizational health. Additional insights and practical solutions are available on Herb’s blog at www.HealthyDEALER.com. © Herb Mast 2015

Popcorn, Chicago and the Car Business

By Herb Mast

(Published in Dealer Magazine – August 2015)

Everyone loves popcorn. It’s tasty and has to be one of the simplest and least expensive snacks to make. You can purchase a bag of microwave popcorn from your local grocer for as little as forty cents each. So, why would anyone stand in line for 30 minutes to buy a similar size bag of popcorn for $10?

If you have ever been to Chicago’s O’Hare Airport you might already know where I am going with this example. And for those of you who don’t let me explain so you have the context for how this all relates to the car business.

I was on the phone with my wife while walking through O’Hare to my next gate after a recent meeting in Detroit. I asked her if I should bring home some popcorn. Popcorn is plentiful at O’Hare as there are five popcorn stands, represented by two brands, amongst the various terminals. On the surface both brands may appear similar, but you quickly notice that one of them always has a line (yes, always!) and the other doesn’t. In fact, on this particular day the line was no less than sixty people long!

First Exposure

My first experience with Garrett® popcorn was about five years ago when my wife and I went to Chicago for a 20 Group meeting. A friend (from Canada!) claimed a full Chicago experience involves Garrett® popcorn. We had never heard of Garrett’s, but we were intrigued by her enthusiasm and vowed to try it.

On our way to the Navy Pier Saturday afternoon we made a little detour in pursuit of this ‘famous’ popcorn. As we approached the Garrett® popcorn store in downtown Chicago our first observation was the lineup that flowed out the front doors and part way down the street. After waiting in line for about a half hour we got our first taste. We were not disappointed! This stuff was awesome. In fact, it was hard to stop eating it. So, before leaving Chicago a few days later, we stopped by again and dropped another $40 on a few bags of Garrett’s special mix (caramel popcorn mixed with cheese popcorn) so we could bring some home to share with our kids.

No Ordinary Popcorn

What is it about Garrett® popcorn that makes it so popular? Popcorn is pretty much a commodity, isn’t it? Is it in how they pop it? I am pretty sure that plays a role, but I suspect that is just part of it. What about the sugar, salt, cheese, nuts, and caramel? I am sure all of these elements play a role, but they are all just ingredients readily available to anybody. So what makes the difference? I have become convinced that the secret, like with all the great products and brands, is in their recipe!

So I was not surprised to read on the Garrett Popcorn Shops® website (http://www.garrettpopcorn.com/garrett-popcorn-shops/our-story) the following:

At Garrett Popcorn Shops®, we’ve maintained our dedication to fresh, delicious Popcorn since we first opened at 10 West Madison Street in Chicago. We continue to use only the highest quality ingredients from local producers as we handcraft our gourmet Popcorn in old-fashioned copper kettles. We strive to deliver the same Popcorn today that customers first talked about in 1949.

 What makes Garrett Popcorn so special? We hot air pop our signature blend of kernels, which we then mix into our secret family recipes. Every batch is handmade throughout the day and the result is an irresistible snacking sensation, which has generated lines of historic proportions outside of our retail Shops for decades.

 Our highest priority is to satisfy our customers’ cravings for great Popcorn.

As the Garrett® example illustrates success is not in the ingredients themselves but in the way the ingredients are blended into a recipe. So, what is your recipe?

A Recipe for Disaster

Whether it is popcorn or the car business everyone generally has access to the same ingredients, right? Then why do some achieve such great results and others don’t?

Why are some of you thriving and enjoying record profits, while others are struggling just to be average. The answer is connected to your recipe.

Every great brand has a special, usually “secret”, way that ingredients are mixed to come up with a recipe that is unique to them. In the absence of a formal recipe your team will be left doing their best with the raw ingredients and the result will be average performance at best. This “wing-it” approach may work during up-markets like we have now, but be forewarned – letting everybody mix the ingredients their own way is ultimately a recipe for disaster, especially during down markets which will inevitably cycle back around.

A Simple Self-Evaluation

A recipe in the car business (think in terms of a formula or intentional process if you prefer) goes beyond just selling and servicing cars. Or selling the cheapest tires or doing the quickest oil changes. A recipe goes beyond the décor of your waiting area or whether you have a cool kid’s play area. A recipe even goes beyond whether you serve espresso or offer thirty varieties of cold beverages. While these are all good elements, they are just ingredients. How you consistently mix all of the ingredients together into a brand that is differentiable from others and connects better with customers is what makes for a winning recipe.

Here are a few questions that will help you assess whether you have a recipe:

• Can you readily write down those [non-ingredient] elements that truly set your dealership apart from others?
• Would your leadership team come up with the same list? How about your front-line staff?
• Does your team consistently execute your recipe?
• What attracts people to your store? Is it your ‘deal’ advertising or your reputation and the referrals from previous customers?
• Are your customers coming back in higher than average numbers? (Industry average is around 50% while Top 10% dealers enjoy up to 90% loyalty.)
• Is your team happy, engaged, and functioning at or near their potential?
• Is your culture attracting the right kinds of staff and repelling the wrong ones or is the culture “you have allowed” attracting the wrong people and repelling the good ones?

The Power of a Recipe

Don’t be discouraged if you are coming to realize that you don’t actually have a recipe or that you have not properly articulated one. The future is yours to shape and a recipe will play a significant role in the success that you enjoy.

Here are some simple steps to help you benefit from the power of a recipe and improve dealership performance immediately:

• Capture your recipe in writing. Try to articulate your recipe in a few sentences or paragraphs. The key is to write it down. It is amazing how much clearer and repeatable things are when they are written down. In the process of writing it down you will be forced to think about the elements in greater detail. And, it will give you a chance to review it with others and make tweaks to ensure it is consistently understood and executable.

• Clearly communicate your recipe. Our minds are like sieves. We have a hard time retaining information and we are constantly bombarded with new and different ideas. So it is critical that you keep your recipe in the forefront and constantly remind your team of the importance of what sets you apart. True recipes become part of an organization’s culture. The essence of your recipe must be communicated and reinforced at every opportunity, both in WHAT you do and HOW you do it.

• Test the end result to see if it matches your expectations. Garrett Popcorn Shops® continuously tests their popcorn to ensure that every batch is as good as the first. In the car business we survey everyone, but seem more interested in the ‘score’ than in getting and using true feedback to improve or stay true to our recipe.

If you really want to see how well your recipe is being followed and connecting with customers stop coaching customers on how to fill out your surveys. In fact, don’t talk about the survey at all. Rather gear your efforts around trying to get back as many surveys as possible, so you have a clearer reflection of what your customers are actually experiencing, and make changes that align your process to your recipe.

• Pinpoint the breakdown and take corrective action. Don’t shotgun. Results are the culmination of many inputs and it is rare that the entire system fails all at the same time. Hence, try to pinpoint where the recipe was not followed. Just like the coach of a sports team who analyzes stats and watches game tape, don’t just look at the final score. Identify the breakdown and structure “practice” around the areas that failed – in some cases this involves the entire team, in other cases just a subset of the team, and in yet other cases individual players.

Certainly there is more to formulating and consistently executing a recipe, but these four steps will get you started towards better results.

Final thought. The results you are getting today are a direct result of the recipe you are following. So if you want different results something needs to change – either your ingredients, recipe, cooks…

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Herb Mast is President of COHESION, inc. and is passionate about inspiring Car Dealers to achieve greater growth and business sustainability.  Everything he does as an Executive Coach, Consultant, Author,  Keynote Speaker, and Workshop Presenter is focused on “filling gaps and connecting dots” of automotive leaders and managers to increase their effectiveness in the areas of leadership, teamwork, employee and customer care, and organizational health. Additional insights and practical solutions are available on Herb’s blog at www.HealthyDEALER.com. © Herb Mast 2015