TNG Blog

The appearance of social media has brought a revolution both in business and our private lives. Each of us, whether we wanted to or not, has become a part of that machinery in some fashion. On one side, there are those who are complete opponents to the revolution and continue to refuse assimilation because they ‘do not have time’ or ‘do not want to share information and news with anyone’ or ‘do not want to be victims of the greatest conspiracy theory in history’ or ‘already have an established position in the market and their old fashioned methods are proven’.

Then, there are those who are just opening their first account on the most secure platform that they could find and contemplating each status / update / info before sharing. These rookies would rather communicate with their friends and acquaintances live, and clearly have no interest in what is being read or what meetings are being attended by people they don’t know. Even when they try to become more involved, these users hold a meeting with a handful of colleagues to even approve anything that should be posted…and to debate whether or not to add a disclaimer for each post.

And, of course, there is that third and final category of individuals that have already mastered (some have even doctored) a novel shorthand language for more effective communication with limited space. These power-users swear upon their ‘home page’ as a bona fide news source, and without thought share with the whole world each and every occurrence from their work and personal lives.

This entire revolution brings a mound of experts that devote themselves to researching the ‘to share or not to share’ phenomenon, as well as the eternal topic of privacy…in fact, what does privacy even mean today? Social media has redefined the meaning of privacy in a society that was built upon family as a pillar where that which happens within a family sphere stays in the family and where issues and problems were solved within the family…that used to be privacy. Now, that same family structure is no longer needed, as each individual has an opportunity to find someone ‘out there’ on some social media network that better understands them, approves of their actions, and / or gives better advice than a family member ever could. Social media is also redefining privacy in the business world. While a once distant corporate atmosphere used to look at business as simply doing business, strictly formal and defined without delving into emotions or topics not directly related to business, it is now beginning to show care and opening discussion forums for employees and other stakeholders through social media platforms. Wow! What a major shift, whether we accept it or not.

For me, over time, it has become quite interesting to follow the activities of those around me more and more as a social experiment. What is important enough for someone to ‘tweet’ about, or to publish as a ‘status’, or to announce in some other public way? Is that which is published done so without reason, is it simply straightforward information, or is it perhaps a means to transmit something between the lines? The trouble lies in finding the true meaning and decoding each ‘say it loud and say it proud’. Here are three examples of posts / status updates that I’ve had a difficult time decoding.

It’s a wonderful world

The most harmless post is one related to the weather; for example, “it’s a beautiful day”. When used for personal reasons, it is positive…a signal that someone is in a good mood and a “let’s get together” call for action. However, it also very frequently used in the business world, where it leads to confusion as most people wouldn’t understand the logic…why would anybody waste space and write about weather on business platforms? In my opinion, it is almost a human touch to doing business, showcasing a regular person who wants to go out for lunch in the park…and maybe talk business. More importantly, it is a simple reminder that you are in someone’s network, ensuring that your name pops up before others and perhaps encouraging them to show interest and begin clicking away…on your name, website, blog – the key destinations you wish to direct these ‘incidental visitors’.

Show me the money

“I love my work” although I always love to see that someone is satisfied with his or her work, I am often suspicious of statuses like this. Such comments could be interpreted in a number of ways…someone could like his or her job because he or she really enjoys the work, has the flexibility to leave work early, makes a lot of money, or because he or she has a hot boss…or secretary. Don’t you find yourself wanting to click and learn more about that person, where he or she works, his or her position, and job description? Of course! This leads us again to a ‘yes, please click on’ result because this post is only here to encourage this action. Rarely does your clicking lead you to truly understand why this person loves his or her work.

“We heart [love] our customers” is another frequent comment that I seem to run into more than I would like. It seems like the worst way to say to customers that they are loved and their loyalty appreciated. Aren’t there more sophisticated and more effective ways to communicate gratitude and sincerity to valuable customers in today’s world? Do you think that your customers would continue to click further after reading such a simple and meaningless post? Some customers might be even insulted and start thinking about what you have really done to thank them for their loyalty. Think twice before sharing, as different people could read differently between the lines of your post.

Me, me, me

Every now and then I see some self-proclaimed ultra-professional sharing posts like “your profile has been viewed by 187 people in the last day…yesterday, you appeared in search results 538 times” via a business platform. This ‘ode to self’ and self-praise could be a double-edged sword. Yes, such a post may help generate many clicks from curious users wanting to know who is the man or woman behind the update. At the same time, this kind of self-representation could indicate an insecure and amateur braggart attempting to market oneself and his or her business...”see how popular I am” or “everyone wants to be my friend” or “everyone views my profile”. Different users could read different meanings between the lines, a risk that everyone must consider.

These are just a few examples of how social media and networking via this channel are still young and contain rules / guidelines that are open to interpretation and not well defined. The early adopters are the ones who are paying the price of following this trend, so be careful not to overpay. Ok. Think again. Yes, now you can ‘share’!

P.S. What are some of your ‘favorite’ statuses / posts where you’ve read something between the lines?

Preventing small business heartburn caused by a New Years Resolution!

February is in full swing and while some bloggers wrote about their small business’ New Year Resolutions (NYR) during December and January, I decided to skip the topic. In my case, writing about my NYR would have been like an attempt to aim and shoot blindly. You see, I have already felt all of the effects of today’s turbulent economy on my own skin, and didn’t want to betray and test myself and my business, but rather give us a full freedom to do whatever is needed to ‘survive’ 2010. However the fact that I did not publish my own NYR did not preclude me from reading and enjoying those issued by others. To be honest, sometimes I felt as though I was reading fiction or perhaps a public relations article aimed at potential clients. At other times, it felt more like statements from do-gooders like Mother Teresa about changing the world and depreciating one’s own existence, money, and profit. Interestingly, when you really take a good look, all you really see is a list of clichéd NYR that, when googled, could be seen repeating for years and years back.

So, if we consider those NYR, it doesn’t take a lot to realize that most small business owners will not be able to digest everything that they put on their plate. When setting their NYR, most people really excel at overestimating their own abilities, as well as the capabilities of their business, while at the same time misinterpreting the economy in which they are living and doing business. The reassuring part about this tragedy is that it doesn’t take a long time for most people to a) realize that their resolutions are not going the way they planned and b) begin simplifying and compromising their original decisions. After finalizing some research on the internet, I have made a list of 5 typical NYR (in no particular order) that small business owners chose to put on their ‘plate’…as well as some ‘probiotic’ to help you digest them.

Typical NYR #1…Develop a Business / Marketing Plan

Everyone is talking about it and you are aware of its importance, so that is exactly why this is your NYR. Fact #1: every small business has to have a long-term business plan, with special emphasis on financial projections and the marketing strategy. Fact #2: plans need to be flexible and regularly updated to showcase the most realistic situation and to achieve maximal responsiveness of the market and clients. This is where reality starts to set in…and panic starts to take over. You’ve spent all of your free time in December and January to write that ‘Business Plan’ and, while according to your plans should have not only completed most of the plan for 2010 but also financial projections and a marketing strategy for the next few years, you’re not even halfway through. Your tasks are piling up and you see that this NYR is slipping away from your control.

The best way to digest this huge meal is to make a very simple plan without too many details: a) chart your activities for one year, b) determine how much money should flow in and out of your business to stay profitable, and c) tackle one quarter at a time to determine what is feasible to ‘swallow’ that particular quarter. You already know one important fact for 2010 – it is not a good time to splurge – so, cut down your costs and switch your mindset to a more cost-effective gear. Whatever you promised yourself, keep in mind that you are the one who fills the plate, both what goes on the plate and how much. It is important to keep your business healthy and capable of digesting your choices.

Typical NYR #2…Be Active in Social Media

Lots of small business owners announced yet another popular NYR – become an active user of social media sites like Facebook and Twitter. You spent your entire January making friends on Facebook and Twitter, trying to establish a fan club/group (while acknowledging that no one beyond your friends and family is a fan of your business!), and updating your status several times a day. But all of that time consuming effort doesn’t seem to make any difference in your business, yet. The advice that you read online about tweeting often enough to ensure that your name stays top of mind with your audience (which in your dictionary meant tweeting every 30-60 minutes) just postponed other tasks or even put some clients on hold or waiting. You are asking yourself if this was a smart NYR. Yes, it was a good choice…you just have to be smart about how to digest it.

For starters, every small business owner needs to take advice from my ‘one at the time, starter kit’ (don’t start with being active on 5 social platforms rather one), understand that he or she has to build trust among an audience (it is only a social media, so make it your ‘friend media’ – you want them to believe you, don’t you), and redefine ‘active’ for their own situation.

There are two key items that you need to address – a) how often do you actually have time to manage social media marketing efforts and b) how do you author the most effective messages via this channel. Start with a once daily portion and build from there. This is one of those business related items that I truly support and that I know (and you will see) will not overload your company’s digestive system, if you eat intelligently.

Typical NYR #3…Join new Professional Organization / Networking Group

So you ended up joining another professional organization or networking group. I particularly have issues with this NYR, which is confusing and at odds with another common resolution… that is ‘More Family Time’ or ‘Improved Work-Life Balance’. For those of you that are willing to sacrifice your ‘free time’ networking or volunteering in a professional organization, then you should first ask yourself if you are a) exchanging your free time for a definitive increase in your revenue or are you b) giving up you free time to activities which, although suggest that you are still working, for you are actually entertaining? I guess every small business owner needs to answer that question for him/herself and to figure out whether a life outside of work or more business opportunities are more important. And if you do decide to sacrifice your personal life to an organization or networking group, don’t forget to ask yourself two key questions – a) what are the benefits to my business if I am a member of this group and b) is it worth my time to come to these meetings /events?

I guess some of us will say that the bottom line is – what kind of people are you going to meet and do they have a similar interest as you, because maybe your next best friend is somewhere there. Remember, whatever you decide to do regarding this NYR, you will still have to digest it whether it is to your benefit or demise.

Typical NYR #4…Invest in Yourself, Learn More, Read More

You spent January looking for training opportunities, seminars, and classes in your neighborhood and you still didn’t bring your decision because evenings are so valuable for your family and you are still not sure which opportunity would be the most valuable for you. You also searched for books, but weren’t sure which would be the best since the market is overfilled with so many books targeting small business owners. Sometimes googling and receiving too much information could be overwhelming and make finding great choices difficult.

While some people are skeptics about the value of online courses, they are a great option for home-based and flexible education (a great starting point is the Small Business Administration). You can learn something new, join a forum that the course offers and probably even see what would be recommended literature for certain fields of interest. Alternatively, if you decided against an online course and are more of a self study person, simply talk to some of your friends, vendors, or other resources in your community (e.g., business incubator) – they might recommend some great reading material. Be open to finding your own path to knowledge and you will be able to finish your ‘serving’ without dangerous consequences.

Typical NYR #5…Improve your Business’ Cash Flow

The last one of small business owners’ favorite NYR (#5) is ‘Improving your Cash Flow’. Yes, you promised this to yourself and to your business. However, you didn’t know that improving your cash flow would be so hard to implement with your current clients and vendors in place. Each of them has their own business methodology, so throughout January you were rethinking how to ask each of them to change.

Don’t panic if you don’t change them immediately. There is a lot that you can first change on your own to have a positive impact on your cash flow. Rethink your own salary and make a sacrifice to decrease your expenses this year, all with the goal of driving better cash flow for future periods. Do you really need that latest generation laptop that you intended to buy for your business? Do you really have to pay somebody to clean your business space for you or could you do it yourself? What I want to say is don’t spend money unwisely and don’t splurge. One more thing that you can do is to think about doing business the Japanese way – try implementing a ‘just in time inventory’ approach and don’t lock up all your money on your shelves or in the warehouse. Part of being able to do this lies in your management of supply chain, but another very important part is forecasting and being able to estimate needs.

Now that you have changed your own processes, you can begin to change the methodologies of people around you. Spend some time and create a standard reminder email that you will send out to your clients on a regular basis to avoid becoming their creditor. Perhaps offer a discount for up-front or timely payments.

On the flip-side, feel free to negotiate longer-term repayment plans with your vendors. It is a tough economy so a vendor should not be discouraged if you are still providing him or her with steady monthly payments. Alternatively, there has been a recent upsurge in ‘barter’ or exchange of goods and services, so think about ways that you can partner with your vendors. All of these actions, implemented one by one should help you improve your business’ cash flow and fulfill you NYR.