Mark Cuban’s Beatitudes: 7 Factors for Startup Success

This is a Guest blog post from Ines LeBow.

Mark Cuban’s Beatitudes: 7 Factors for Startup Success

Shark Tank star Mark Cuban has been a startup investor and serial entrepreneur since his teenage years selling garbage bags, creating chain letters, offering dance lessons, and even running newspapers from Cleveland to Pittsburgh during a strike of the Pittsburgh Post-Gazette. Mr. Cuban is ranked #177 on the Forbes 400 list for 2020 with an estimated $4.3B in net worth.

Anyone who has listened to Mark knows that he has a lot to say and has very strong opinions on many topics. My goal here is to summarize how to be successful in business, especially for entrepreneurs in the startup arena. I’ve distilled Mark’s approach down to 7 key factors.

Be Passionate

Passion is at the core of everything in business, especially a startup business. Our passion will dictate the energy we bring to our work and will transmit our excitement to prospective customers, vendors, and partners.

“Love what you do or don’t do it.”

Be Ready

The ideal time is now, according to Mark Cuban. You need to always be moving forward in a tangible way to achieve your business and startup goals. You’ll always have doubts and the world will always put doubters in your path to throw up obstacles, to hurt your confidence, and to smother your passion. Don’t let them stop you, and don’t let changing circumstances keep you from doing it now (see “Now’s the Time to Get Your Business Funded: Coronavirus Edition”).

“Always wake up with a smile knowing that today you are going to have fun accomplishing what others are too afraid to do.”

Be Bold

Dictionary.com defines bold as “not hesitating or fearful in the face of actual or possible danger…courageous and daring…beyond the usual limits of conventional thought or action; imaginative.” For a startup to be successful, an entrepreneur must be bold but not blind. They must have a clear understanding of what they are doing and why as well as what they’re strengths and weaknesses are. You really aren’t bold or courageous if you don’t recognize the challenges or dangers that you need to overcome to succeed. See my recent article on being bold in getting investor funding (“How Far Will You Go to Get Your Business Funded?”).

“It doesn’t matter how many times you’ve failed. You only have to be right once.”

Be Knowledgeable

Knowing the business, the market, the players, the customers and their sentiments are all essential to being prepared to succeed in a startup business. Whether you need to convince Angels or PE/VC investors to fund your business or you are bootstrapping it, you need to know what it will take to win. Without this knowledge you have almost no chance to succeed. By the way, as your business grows and the market changes, you need to continually upgrade your knowledge to improve what you do and how you do it.

“Because if you’re prepared and you know what it takes, it’s not a risk. You just have to figure out how to get there. There is always a way to get there.”

Be Honest

Entrepreneurs who lie to themselves about their products, services, competitors, customers, and market conditions aren’t going to be in business very long. Don’t just make assumptions but deal in facts. If you’ve already formed assumptions, work hard to validate or invalidate them so you can prepare a genuine SWOT analysis. This will help you launch the business and bring the right product to market at the proper place and price with the proper message.

“One problem people have is that they lie to themselves…rarely is talent enough. You have to find ways to make yourself standout. You do so by playing to your strengths and making people aware of those strengths.”

Be Humble

Every startup entrepreneur wants to believe that their product or service has never been done before, but the ones who proceed with that mindset are inviting peril. Be a student of history. One of the first things you learn is that humankind doesn’t learn from history because we keep repeating the same mistakes. Humility will make you realize that somebody somewhere has probably tried this before. Do your research…and not just a quick Google search. Find out who tried and how they failed. Use their experience to learn the hard lessons without suffering the personal setbacks.

“One thing we can all control is effort. Put in the time to become an expert in whatever you’re doing.”

Be Unique

While your product or service may not be completely new, you need to make at least one aspect of it your own. Consider what characteristics you bring to the product, to how or to whom it is marketed, or how it is delivered to differentiate yourself from your competitors. If you try to be the same, you have no basis other than price on which to compete, and someone newer and cheaper can easily come along to take your market away from you.

“Creating opportunities means looking where others are not.”

“When you’ve got 10,000 people trying to do the same thing, why would you want to be number 10,001?”

“Success is about making your life a special version of unique that fits who you are – not what other people want you to be.”

If you aggressively pursue these 7 areas, your chances of startup success increase dramatically. What are you waiting for? As Mark Cuban says, the perfect time is now.

To learn more on how to stand out with an epic fundraising story, contact me for a complimentary consultation by phone at 314-578-0958 or by email at ilebow@transformationsolutions.pro. You find her on LinkedIn Profile at www.linkedin.com/in/ineslebow or her ETS website at www.transformationsolutions.pro.

Before setting 2021 priorities, ask “What’s my ‘WHY’?”



This is a Guest blog post from Sales expert Chris Tully.

Before setting 2021 priorities, ask “What’s my ‘WHY’?”

Before you go all-in on finalizing the 2021 business plan, maybe it’s worth a review of what drove you to start your own company in the first place.

Simon Sinek, author of Start with Why, believes that true success comes from a core belief that inspires others and infuses every achievement.

When I’ve asked people “Why did you start your business?” over the years, I’ve heard as many unique answers as people I asked, many of which do relate to pursuing a passion or core belief. The Wright brothers did that. They believed that they could make a flying machine – and without financing, higher education, or even much help, they succeeded and changed the world. 

In my experience, a business doesn’t have to have such a grandiose goal to succeed – and there are surely multiple definitions of success. So, what’s yours? Make sure you can articulate why you started, and what you are trying to accomplish – as specifically as possible.

Take a little time to reflect

Examining where you started and where you are now can shed some light on where to go next.

Is the original reason for starting your business still what drives you every day? Is everyone who works with you on board with that? Do your colleagues share your values and core beliefs? Do they share your vision and mission or could conflicting priorities be draining some of your momentum?

If your motivation has changed, has that motivation been carefully communicated and incorporated in how you run your business? Or is confusion over the goal causing some unexpected consequences?

What did you originally hope to achieve? Are you still on track to achieve that? If not, why not? Getting back on track (or adjusting course) should be part of your business plan.

Move forward with confidence

Only when you can articulate the above concepts with clarity and certainty should you start working on your business plan for 2021. For the coming year you’ll need:

SMART goals (for a quick primer on goal setting, check this out).

The right people in the right seats on your bus – especially at the leadership level

A repeatable sales process  that anyone with the right skills and motivation can follow

Simple, easy to understand key performance indicators (KPIs)

A CRM (Customer Relationship Management) system to monitor progress

A reliable sales management process

If any of these are missing, or if you are wondering how to make what’s in place more effective, perhaps we should talk.

With everything 2020 has brought (wrought), now is a good time for introspection. If you begin with why you were inspired to start your business in the first place, then I believe you can work out the “what” and “how” steps for a successful 2021.


Are you satisfied with your company’s sales effectiveness? If you feel like you need to do a better job attracting and winning the right prospective clients, give me a call.


Chris Tully is Founder of SALES GROWTH ADVISORS. He can be reached at (571) 329-4343 and ctully@salesxceleration.com“For more than 25 years, I’ve led sales organizations in public and private technology companies, with teams as large as 400 people, and significant revenue responsibility.I founded Sales Growth Advisors to help mid-market CEOs execute proven strategies to accelerate their top line revenue. I have a great appreciation for how hard it is to start and grow a business, and it is gratifying to me to do what I am ‘best at’ to help companies grow faster and more effectively.Let’s get acquainted. I am certain I can offer you an experienced perspective to help you with your growth strategy.”

Positioning for Explosive Growth: A CEO’s Guide To Enthusiastic Leadership – Part Four

This is the fourth and final part in a 4-part Guest Blog post series by Sarah Polk, Chief Marketing Officer at Chief Outsiders.

Embracing Your Competitive Advantage

Ask any sports athlete what gives them the fire to take their field of play, and they will likely cite the prospect of beating their rival. Indeed, without the subplot of competition, sports would be exceedingly boring – for both the players and the viewers.

As CEOs, competition, too, represents our drive, our passion, our reason for being. Though we might actually prefer owning the playing field and having it all to ourselves, we can be relatively assured that we will have company as we pursue excellence and strive for the only true tangible measure of success – revenue growth.

As you know, this blog series has been keenly focused on helping you achieve this drive for excellence. In previous blogs, we have looked inward – talking about how being more engaged with your team and how focusing on the way consumers are embracing (or eschewing) your product or service, are critical keys to growth-oriented success.

Now, it’s time to take a look beyond our walls – at the competitive forces that we must manage in order to ensure survival. Understanding how our rivals are nipping at our heels is the essential insight to positioning our product or service appropriately in the marketplace. To be a successful leader, you must be able to identify where your company advantages are really resonating — whether it is product quality, customer service, uniqueness, corporate structure, or some other characteristic — and use those attributes in your promotional efforts.

In my work with companies, I have noticed that a surprising number have not considered these competitive essentials. Even more companies have stuck with antiquated methods to promote their competitive advantage – only to watch that advantage evaporate due to technology.

In these situations, there are some fundamentals that I recommend CEOs follow immediately to get their competitive efforts on track:

Review Your Positioning: With the world changing so rapidly, this is something I recommend doing on an annual basis. What may have been a competitive advantage five years ago may not even raise the consumer’s eyebrow today. This may require some internal restructuring – particularly with marketing – to ensure that the company can keep pace with market dynamics.

Take the Pulse of the Market: Now is the time to invest in robust qualitative and quantitative research that gets to the heart of changing consumer tastes. I often see companies that come up with a great idea for a new product and accelerate its launch, while skipping critical steps. Gauging consumer demand, surprisingly, generally is the step that is overlooked.

Understand the Essence of Sales Pressures: It has been easy for any company to blame flagging demand on the effects of the COVID-19 pandemic – which has been a smokescreen for some companies who were already experiencing the effects of competitive pressure. The ability to see the big picture through a regular, and in-depth, competitive analysis, is a critical part of sifting through the superficial and getting to the heart of matters.

Call in an Expert: Sometimes, putting the competitive landscape into perspective is a bigger job than your existing go-to-market team is able to manage. Even people who go to a doctor for regular checkups will, at times, need a specialist – or a surgeon! That’s why it can be wise to call upon a specialist in market analysis to make a true, objective, third-party examination of the forces that are impacting your standing in the marketplace. They can also help you assemble a library of resources so you can consistently be updating your competitive research and ensure that you don’t fall behind on this important strategy again.

As a CEO, it’s critical that you use the tools in your arsenal to earn – and keep – your competitive advantage. Rather than viewing competitive research as an expense item, consider it a priority to help you break through the clutter that has only been amplified due to the onslaught of digital tools.

In case you missed the previous articles in the series:

Sarah Polk

With deep senior level management and marketing expertise, Sarah leads businesses through international expansion initiatives, difficult transitions, mergers, acquisitions, and turnarounds. Adept at recognizing growth opportunities, strategic positioning, creative conceptualization, new product launches, and brand management, she builds and expands extensive marketing departments to maximize ROI and shareholder value. Also skilled at product marketing, she works with engineering teams to craft products that meet the market’s needs. With an ability to inspire and lead cross-functional global teams, Sarah builds productive, long-lasting business relationships.

Positioning for Explosive Growth: A CEO’s Guide To Enthusiastic Leadership – Part Three

This is the third in a 4-part Guest Blog post series by Sarah Polk, Chief Marketing Officer at Chief Outsiders.

Knowledge Is Power

What’s holding you aloft in 2020?

Whether or not you have cracked the code of 2020, most CEOs have spent the year snapping back to a changed reality. In our last blog, we looked at the importance of being engaged, insightful, and plugged in as the “table stakes” of leadership change in turbulent times.

But all the engagement in the world is pointless if you don’t know the direction from which your headwinds and tailwinds are coming.

More to the point: If your company were an airplane, then insights—the detailed information you need to understand competitors, targets, trends, and market news—can be considered the wind beneath your wings.

And if you don’t have a keen focus on how these megatrends are keeping your ship in blue skies, you may just find yourself hopelessly lost in a cloud bank. And falling asleep at the controls – well, that could just be deadly.

A recent example: I was working with a large hospital group in the mid-Atlantic region that was trying to understand why a satellite emergency care facility wasn’t generating the profits they expected. My first fact-finding mission—a demographic market survey—uncovered a critical misstep by the group: There was simply no need for the satellite facility to begin with, based upon the existence of other healthcare facilities in the region and the size of the market.

It became abundantly clear: A simple dive into the basic blocking-and-tackling of insights would have saved the company millions – and the awful mistake of building something for which there was no demand.

It’s a faux pas that I see repeated time and again: Leaders, without any research whatsoever, and based simply on a “good idea,” are convinced to plunge resources into products or services that fall flat in the market, and then wonder why they’re not making any sales.

In my view, this is but one example of why the ability to look at data and insights is a critical skill for CEOs who are looking to make more effective decisions – a basic tenet of being in charge these days.

So, what types of insights should a CEO be focused on in order to ensure the relevance of their offerings? Here are just a few fundamentals that I believe are useful:

Customer Focus: It’s important not to become too far removed from your buyers these days. In days of yore, it used to be that successful CEOs could get away with pushing off customer insights on other department heads. Now, with digital marketing, and the availability of instant knowledge about target audiences, the CEO has to be keenly aware of market factors which can move for – or against – them quickly.

The most successful CEOs I work with are the ones that have innate knowledge about their customers and their relationships with their companies. They even phone customers directly to hear what is driving their decision making. In this manner, they can see a necessary pivot coming if customer needs are changing, or if the market is exerting different forces on their business.

Insights Machine: Some companies have elevated insights to an art form and have even installed Chief Information Officers to help lasso, wrangle, and otherwise manage myriad data points into submission. This new CIO role ensures that a member of senior leadership has accountability for delivering proprietary knowledge and a library of information that helps keep the company’s competitive edge sharp.

Research, Analyze, Repeat (Often): Both CEO and CIO will benefit from a robust and dynamic industry analysis program that delivers insights on a very regular basis. No longer is it appropriate to conduct this type of research once a year – once a quarter may be the appropriate interval to gather data that spells out all the threats and opportunities that are hitting their specific industry. And in my experience, the most insightful companies don’t just insist, but mandate, that their entire senior leadership team, as well as their board members, consume this knowledge.

As an example, I worked with a company recently that was experiencing massive shipping delays as a result of the pandemic and couldn’t quite figure out why. After gathering insights, they learned that lighter packages were being delivered significantly faster than heavier ones. By unbundling some of the shipments into smaller chunks, they could significantly accelerate their supply chain.

Another company in the beverage industry was having trouble sourcing the bottles that their drinks were packaged in – and upon analysis, learned that this would remain a challenge during the pandemic. They pivoted their entire production line to can-based packaging to ensure their ability to keep up with the surging demand for their product.

In our next blog, we’ll roll up what we’ve learned about the importance of being an engaged and well-informed CEO and put these traits to work in honing your competitive advantages in the marketplace.

Sarah Polk

With deep senior level management and marketing expertise, Sarah leads businesses through international expansion initiatives, difficult transitions, mergers, acquisitions, and turnarounds. Adept at recognizing growth opportunities, strategic positioning, creative conceptualization, new product launches, and brand management, she builds and expands extensive marketing departments to maximize ROI and shareholder value. Also skilled at product marketing, she works with engineering teams to craft products that meet the market’s needs. With an ability to inspire and lead cross-functional global teams, Sarah builds productive, long-lasting business relationships.

Positioning for Explosive Growth: A CEO’s Guide To Enthusiastic Leadership: Part Two

This is the second in a 4-part Guest Blog post series by Sarah Polk, Chief Marketing Officer at Chief Outsiders.

The Four Inhibitors of Engaged Leadership

Little known fact about ducks: Though they exude grace as they glide atop the water, ducks hide a little secret just below the surface.

For all the poetry they project in our view, ducks are actually shuffling their feet quite quickly to achieve that silky-smooth movement.

As a CEO, you know this bifurcated existence all too well. Though you are expected — nee, required — to display a semblance of outward calm, beneath this facade are the fears, insecurities, and realities that come with the job.

So why must you glide and not shuffle — especially given all that the recent past has thrown at business leaders?

It’s a proven fact: If a business leader is passionate, energetic, and hardworking, it filters down to company employees. This is leadership by example at its best.

In addition, an effective leader can quickly gather the information needed to make decisions and act without hesitation. With such a leader, employees are loyal, self-actualized, and tend to go beyond traditional work requirements. Competitors have difficulty replicating this leadership style.

On the opposite end of the spectrum, the costs of being a disengaged CEO can be immense. One study undertaken by The Engagement Institute found that employees left rudderless by ineffective leadership can cost companies between $450 and $550 billion — with a B — per year.

So, what are some of the pitfalls that can derail engagement and cause you to paddle in circles, rather than to glide ahead?

Lacking Authenticity: Having your actions match your words — coming off as being authentic and true — is as simple as doing what you say you’re going to do. To the contrary, if a CEO is saying something about how valuable employees are — and then turns around and cuts retirement benefits or buys himself a corporate jet in a time of austerity — he can inflict significant damage. Being authentic is the first key to displaying the guts and leadership skills to take quick action.

Indecisiveness: A lack of decisiveness can put a stranglehold on your resources, and by extension, your company. Any time not spent on executing the strategy and vision to move the company forward tends to be wasted. One coping mechanism I have observed over the years has been when a leader ends up spending too much time in tactical minutiae, as a distraction to making the big decisions that will move the company forward. A fearful leader — one unable to make decisions — can have a ripple effect throughout the company and create a culture of fear.

Lack of Emotional Intelligence: It’s critical to remain focused on the task at hand, and to see it through to completion. Too many times, I have observed CEOs lose the respect of their employees because it was clear that they were trying to be good at EVERYTHING, and instead weren’t any good at ANYTHING. This often is embodied in a patchwork of short-term fixes that made little sense for the long-term growth of the company (though they did look good on the CEO’s resume). This type of behavior became transparent to the members of the leadership team, and ultimately made it hard to keep people motivated to undertake, and execute, on the big-picture items.

No Support Structure: There are others in your shoes who are grasping for the same brass ring, but struggle with the same insecurities. Groups like Vistage and other executive networking programs provide the missing outlet for the need to have a truly honest and inwardly focused discussion.

I recently met with the CEO of an up-and-coming West Coast beverage company, led by a similarly rising star in enterprise. In his early 30s, this CEO already has expanded nationally and completed two rounds of capital raise. But all this time, he felt the crushing stress of having to undertake this major expansive cycle in isolation. Through the supportive atmosphere of Vistage, the CEO was able to find solace among others who had walked in his shoes.

In our next blog, we will explore the ways an engaged leader uses insights and intelligence to make more effective decisions. Meanwhile, check out my recent interview with OnFire B2B Podcast.

Sarah Polk

With deep senior level management and marketing expertise, Sarah leads businesses through international expansion initiatives, difficult transitions, mergers, acquisitions, and turnarounds. Adept at recognizing growth opportunities, strategic positioning, creative conceptualization, new product launches, and brand management, she builds and expands extensive marketing departments to maximize ROI and shareholder value. Also skilled at product marketing, she works with engineering teams to craft products that meet the market’s needs. With an ability to inspire and lead cross-functional global teams, Sarah builds productive, long-lasting business relationships.

Positioning for Explosive Growth: A CEO’s Guide To Enthusiastic Leadership

This is the first in a 4-part Guest Blog post series by Sarah Polk, Chief Marketing Officer at Chief Outsiders.

In 2020 and beyond, the notion of leadership has been indelibly changed. No longer is it adequate to rule from 30,000 feet, to remain at arms lengths from strategies, and unable to touch tactics with a 10-foot pole. 

Leadership from a distance, in a time when distance is not just a suggestion, but a mandate, can strike a critical blow to a company that is already likely still trying to divine its direction in a pandemically-impacted landscape.

Buying habits, like it or not, have been forever transformed. Going forward, people will consume differently, express their preferences in new and unforeseen ways, and likely exhibit a great deal of caution in how they part with their almighty dollars.

Thus, today’s CEO and C-suite must be more dialed in than ever – hands-on, consumer focused, and action-oriented – if their company is to find the proverbial pot of gold at the end of a rather discolored rainbow.

Indeed, an engaged CEO is one that is able to command his or her enterprise toward a horizon of explosive growth while not forgetting those who supported the journey. Leaders must be able to engage at the customer level, encourage team members, and rally investors and stakeholders in promoting the grand vision.

If done correctly, this new and enhanced level of engagement can also have a remarkable impact on both tangible and intangible measures. Gallup found that top-performing leaders reduce turnover by 59 percent, experience 41 percent less absenteeism, find 40 percent fewer quality issues, notch 20 percent greater sales productivity, and, yes, 21 percent more profitability.

So, how can you refocus your energies and intentions on the task of reaping the maximum rewards for your product or service?

In my experience working with CEOs and private equity firms, I’ve found that the barriers to C-suite success have been surprisingly simple. Rather than undertaking a lengthy journey toward reinvention, I’ve found that most CEOs can retool for growth by making some simple, yet purposeful, changes to their leadership style.

In future blogs in this series, I will shed more details on the seven steps to success that the most effective CEOs have embraced.

These steps include:

  • Passionate, Energetic, and Decisive Leadership: Exuding a level of confidence that can be infectious across the organization, creating loyalty and the ability to row in the same direction.
  • Knowledge is Power: Diving into the detailed information most companies are collecting about competitors, targets, trends, and market news, and using this information to make more effective decisions.
  • Embracing the Competitive Advantage: Identifying what it is that makes the company special and serving as a figurehead and voice of reason in playing up these advantages.
  • Hiring Talent and Setting Them Free: Serving as a key cultivator of human resources, the top performing CEOs obtain the best talent for the job – and then get out of their way.
  • Creating Like No Other: Cultivating messages, go-to-market strategies, and other product communications that break the mold, and break through.
  • Measure, Measure, Measure: Taking a keen interest in the analytics that are resulting from legacy activities and being unafraid to pivot on the fly to fine-tune and improve.
  • Celebrating Success: Making sure that the team understands how appreciated they are for the efforts they’ve invested to supporting positive outcomes.

Ready to forge a new, enthusiastic sojourn toward profitability and growth? Read the next post in this series.

I’d love to hear from you. How have you been changing your management focus in these uncertain times?

Sarah Polk

With deep senior level management and marketing expertise, Sarah leads businesses through international expansion initiatives, difficult transitions, mergers, acquisitions, and turnarounds. Adept at recognizing growth opportunities, strategic positioning, creative conceptualization, new product launches, and brand management, she builds and expands extensive marketing departments to maximize ROI and shareholder value. Also skilled at product marketing, she works with engineering teams to craft products that meet the market’s needs. With an ability to inspire and lead cross-functional global teams, Sarah builds productive, long-lasting business relationships.

How Much Do You Know About Onboarding? Setting Your New Hire Up for Success

Setting Up Your New Hire For Success

This is a Gust Blog post from Sales expert Chris Tully.

You have just hired an A-Player for your sales team – someone you’re looking to perform at a high level and crush your company goals. Are you assuming your newest employee will continue to be a sales powerhouse in your company environment? Don’t count on it! Owners and Sales Leaders can’t take a backseat just yet in the hiring process. They must create and provide a robust Sales Onboarding Plan to usher the new player into their new setting and set them up for success.  

Welcome to Part II of our two-part blog series about Sales Hiring. If you missed Part I about how to define, seek-out, screen and secure top sales performers, take a moment and read it first: How Much Do You Know About Sales Hiring?: Three Steps to Hiring A-Players for Your Business

Have you ever experienced a terrible first day on the job? In years prior, a terrible first day might begin at arrival to find no one knew you were coming and your new desk was a mess, filled with junk left behind from your predecessor. But today’s new hires are often fully remote, and probably have never met anyone at their new employer in person, creating far different issues in culture setting, training and relationship building. Starting your first day from home without a computer, no access to company IT systems, and little direction will lead to stumbling around to track down login information, figuring out who is who, and self-guiding yourself through HR orientation. This is NOT how anyone wants to start a new job, especially when so much is expected. 

This is not a fairytale!

Bad first impressions on the job happen all the time and can leave a new hire, especially an A-Player, second guessing their career decision. It raises a red flag indicating that a sloppy approach is an acceptable way to operate within the company. A disorganized and chaotic first day or week muddles job goals, processes, and company culture for the negative and slows down the ability for a salesperson at any level to produce results due to lack of organization and clarity.

An effective Sales Onboarding Plan is critical to a new hire’s retention and can help them gain momentum stepping into their new position.

If done properly from inception, the plan will have these positive effects on your sales team’s newest addition:

  • Reinforces the salesperson’s decision to join your company.
  • Provides the candidate with necessary tools and training to be successful in their role.
  • Sets clear expectations for accountability from the very beginning.

The onboarding process is not a static event that ends after a few weeks

It’s a common misconception that an onboarding process fully trains and integrates your new hire after a week or two. On the contrary, effective onboarding is a continuous process that takes place over several months and involves key members of other departments, including the leadership team. Laying out the process as milestones on a calendar will help keep everyone on track to achieve a well-rounded onboarding outcome.

Here are the essential components to account for when building a best practices Sales Onboarding Plan:

1. Lay out the key milestones as the framework of your Onboarding Plan. The milestones are best applied to a high-level list of goals and dates. This list should include things like:

  • Preparation of tasks before the start date
  • First Day
  • First Week
  • Monthly Activities
  • Month 3 Check-in
  • Month 6 Check-in

2. Next, create activity categories to organize the process of generating a thorough list of action items that fully represent each category. Here’s a sample category structure:

  • Meeting objectives, job duties, and expectations
  • Socialization
  • Work environment
  • Technology set-up and access
  • Training and development

3. Now it’s time to assign internal resources to the action items you created. It’s ideal to spread out the onboarding process to a variety of teammates and departments. This will provide the new hire exposure to different areas of the company to gain insights into how all departments function together. It also helps reduce time strain on any one person throughout the training process.

4. Lastly, replicate your activity category structure under each milestone and allocate all the underlying action items appropriately to the timeline. Task your new salesperson to reach out to the assigned internal resources to schedule each training session with the objective to keep predetermined completion target dates on track.

Just as important as starting your salesperson off on the right foot within your organization is having an established sales infrastructure to place them into. Pairing well laid out onboarding with the necessary structure, processes, and resources will help your new salesperson be effective and successful in their new role.

Chris Tully is Founder of SALES GROWTH ADVISORS. He can be reached at (571) 329-4343 and ctully@salesxceleration.com“For more than 25 years, I’ve led sales organizations in public and private technology companies, with teams as large as 400 people, and significant revenue responsibility.I founded Sales Growth Advisors to help mid-market CEOs execute proven strategies to accelerate their top line revenue. I have a great appreciation for how hard it is to start and grow a business, and it is gratifying to me to do what I am ‘best at’ to help companies grow faster and more effectively.Let’s get acquainted. I am certain I can offer you an experienced perspective to help you with your growth strategy.”

Leadership Transformation in 2020 – Change is inevitable. Transformation is by conscious choice.

This is a Guest blog post by Bei Ma, Founder and CEO of The Pinea Group

Leadership Transformation in 2020

Change is inevitable. Transformation is by conscious choice.

 

lighted brown lighthouse beside body of water

Photo by Evgeni Tcherkasski on Unsplash

 

As Bill Gates recommended 5 summer books in his recent Gates Notes on May 18, 2020, he wrote: “The Ride of a Lifetime, by Bob Iger. This is one of the best business books I’ve read in several years. Iger does a terrific job explaining what it’s really like to be the CEO of a large company. Whether you’re looking for business insights or just an entertaining read, I think anyone would enjoy his stories about overseeing Disney during one of the most transformative times in its history.”1

Yes, indeed. Robert Iger, in his 2019 book “The Ride of a Lifetime”, shares in great detail on how the ten principles that strike him as necessary to true leadership have transformed Disney. And the ten principles are: Optimism, Courage, Focus, Decisiveness, Curiosity, Fairness, Thoughtfulness, Authenticity, Relentless Pursuit of Perfection, and Integrity.

While each of these ten principles speaks the truth of leadership, we need more, we need more for an unprecedented year we are in at this very moment. The year of 2020 perhaps manifests every aspect you can imagine that life does not always go the way you expect it will.

We are still in the middle of the global pandemic. Period. The director of National  Institute of Allergy and Infectious Diseases and the nation’s top infectious disease expert, Dr. Fauci spoke at BIO Digital virtual healthcare conference on June 10 that the coronavirus pandemic has turned out to be his “worst nightmare” and warned that it’s not over yet.2

Millions of people still have no jobs or steady income despite an optimistic labor report of May by the Department of Labor. According to Business Insider, US jobless claims totaled 44 million, meaning more than one in four American workers have lost a job during the pandemic.3

Social reform is well likely underway with the “Black Lives Matter” movement amid nationwide protests. New York Governor, Andrew Cuomo says he intends to sign the package of bills passed by New York legislators for comprehensive police reform.4

In the business context, CEOs have been facing an ultimate leadership test. While business executives shall absolutely continue to incorporate and implement in their daily business life the ten principles of true leadership by Robert Iger: Optimism, Courage, Focus, Decisiveness, Curiosity, Fairness, Thoughtfulness, Authenticity, Relentless Pursuit of Perfection, and Integrity, leadership transformation is imperative. CEOs must make conscious choices for leadership transformation facing one crisis after another in the year of 2020 and onward.

In this article, we explore two actions, accompanying mindset and qualities that can help executives navigate such perfect storms and future crises and consciously make leadership transformation.

Leading with Compassion

Numerous studies show that in a business-as-usual environment, compassionate leaders perform better and foster more loyalty and engagement by their teams.5 However, compassion becomes especially critical during a crisis.6

Four months into the pandemic, the nation is seeing a historic wave of widespread psychological trauma driven by fear, isolation, uncertainty, anger, and distress. Nearly half of Americans report the coronavirus crisis is harming their mental health, according to a Kaiser Family Foundation poll.7

To an organization, collective fears and existential threats triggered by the crises call for a compassionate, empathetic, caring and highly visible leadership. If executives demonstrate that everything is under control with business-as-usual meetings and overconfident emails with an  upbeat tone, afraid of showing the genuine vulnerability, empathy to connect and compassion to support their people, reduce their stress and burden, absurdly, this might backfire and will certainly not create the confidence, innovation and creativity from people to enable them navigate through the crises and recover the business.

       “I’ve learned that people will forget what you said, people will forget what you did, but people

       will never forget how you made them feel.”

       – Maya Angelou –

People feel it and will never forget when leaders act with genuine compassion, especially during the crises.

 

     Leading with Rooted Power

In routine emergencies, experience is perhaps the most valuable quality that leaders bring. But in novel, landscape-scale crises, character is of the utmost importance.8 Deliberate calm is the ability to detach from a fraught situation and think clearly about how one will navigate it.9

Crisis-resistant leaders, as the captains of their ships during a perfect storm, will be able to unify the teams with deliberate calm, clarity, and stableness, making a positive difference in people’s lives. The calmness comes from well-grounded individuals who possess rooted power of humility, hope, and tenacity.

Crisis-resistant leaders return to their roots, core values, beliefs, and principles during a perfect storm. They pose questions to themselves and teams about what the organization stands for, what the purpose is, and what should continue to do or stop doing, what need to be created as new practices or ways of working, new norms that are emerging.10

The rooted power of crisis-resistant leaders is originated from physical health providing energy and stamina; mental health providing optimistic and positive view; intellectual health providing acute decisiveness and clarity; and social health providing the trust and transparency.

Only grounded leaders with such rooted power can beat landscape-scale crises.

………………………………..

The crises and overwhelming consequences ask for leadership transformation. Besides the ten principles to true leadership1, business leaders who make conscious transformation: leading with compassion and leading with rooted power, can support their organizations and communities, navigating through the perfect storms.

 

Reference

  1. https://www.gatesnotes.com/About-Bill-Gates/Summer-Books-2020
  2. https://www.today.com/health/dr-anthony-fauci-says-coronavirus-his-worst-nightmare-isn-t-t183838
  3. https://www.businessinsider.com/us-weekly-jobless-claims-coronavirus-layoffs-unemployment-filings-economy-recession-2020-6
  4. https://www.cnn.com/2020/06/10/us/new-york-passes-police-reform-bills/index.html
  5. Jane E. Dutton, Ashley E. Hardin, and Kristina M. Workman, “Compassion at work,” Annual Review Organizational Psychology and Organizational Behavior, Volume 1, Number 1, 2014, pp. 277–304; Jacoba M. Lilius, et al, “Understanding compassion capability,” Human Relations, Volume 64, Number 7, 2011, pp. 873–99; Paquita C. De Zulueta, “Developing Compassionate Leadership in Health Care: An Integrative Review,” Journal of Healthcare Leadership, Volume 8, 2016, pp. 1–10.
  6. Jane E. Dutton, et al, “Leading in times of trauma,” Harvard Business Review, Volume 80, Number 1, 2002, pp. 54–61; Edward H. Powley and Sandy Kristin Piderit, “Tending wounds: Elements of the organizational healing process,” Journal of Applied Behavioral Science, Volume 44, Number 1, 2008, pp. 134–49.
  7. https://www.washingtonpost.com/health/2020/05/04/mental-health-coronavirus/
  8. Gemma D’Auria and Aaron De Smet, McKinsey & Company, Organizational Practice, “Leadership in a crisis: Responding to the coronavirus outbreak and future challenges”, 2020.
  9. Helio Fred Garcia, “Effective leadership response to crisis,” Strategy & Leadership, 2006, Volume 34, Number 1, pp. 4–10.
  10. Adapted from Ronald Heifetz, Alexander Grashow, and Marty Linsky, “Leadership in a (permanent) crisis,” Harvard Business Review, July–August 2009, hbr.com

 

About the Author

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Bei Ma is the founder and CEO of the Pinea Group (Pinea). Pinea serves as a trusted partner specialized in cross-border fund raising, market access, clinical studies, regulatory pathway, licensing, and distribution to help medical devices, diagnostics, pharmaceutical and biopharmaceutical organizations to achieve the best patient outcomes and commercial success.  Previously, Bei Ma served as Vice President of Global Healthcare Business Development at British Standards Institution (BSI) Group. Bei can be reached at 410.271.7267 and beimalong7@gmail.com; her LinkedIn profile is https://www.linkedin.com/in/beima/

How to Hire a Stellar Sales Team to Accelerate Your Recovery

This is a Guest blog post by sales and sales management expert Chris Tully.

 

 

How to Hire a Stellar Sales Team to Accelerate Your Recovery 

If there is a silver lining to the pandemic-related economic shut down, it is that a lot of excellent salespeople are now available and hungry to contribute to your business. The opportunity here is to rehire your best performers and then build a stronger team than before.

To hire a stellar sales team to accelerate your recovery, you need a plan. Here are some things to consider that will help you create an excellent hiring plan.

 

1. Are your business goals different than before the shut down? 

In the past few months, you’ve had time to really think about your company. You may have revised your strategic business plan and reprioritized your goals. If so, take a look at your new focus and figure out, “what sort of sales power will get me there?”

As an exercise, picture your previous sales team. Imagine how they would – or would not – achieve your new goals, and what sort of salespeople you need going forward.

 

2. Are you clear about the sales role?

What is it that you really want your ideal salesperson to do day to day, and accomplish overall? What specific skills would that person need? Most importantly, be clear about the personal attributes of the ideal person to represent your business.

3. Are you willing to invest in a professional recruiter? 

Sure, LinkedIn JobsIndeed, and other free job posts or low-cost ads will get responses. But you and your HR people will spend an inordinate amount of time sifting through a lot of junk to get to the few gems. Unless you’re adding entry-level people, don’t cheap out – invest in a professional recruiter, particularly if you’re looking for experienced sales professionals with a proven track record.

Talent recruiters screen against your hiring profile, verifycandidates’ work history, and validate their self-stated strengths and accomplishments. Recruiters also help you find employed candidates who are not looking for a job but who may be perfect for your business.

 

4. Do you have your sales incentive structure worked out?

Although it isn’t a jobseeker’s market right now, people are still going to ask how they get paid. That’s completely reasonable. As the job market strengthens, candidates who know their worth are going to hold out for appropriate compensation. In addition to your hiring plan, you’re going to need an incentive plan to attract and retain the caliber of salespeople you expect.

 

5. What third-party tool are you using to assess candidates?

Third-party assessment tools are a must with hiring decisions. Let’s face it – salespeople are often chameleons. They are trained to probe for needs, listen actively, and position their products (themselves, in this case) in the best possible light to solve your problem.

You need some objectivity to balance those impressions, especially if you don’t hire that many people each year. There has been a lot written about the cost of a bad hire, which I won’t repeat here. Get some help!

These are three salesperson assessment tools that I recommend: 

6. Do you have an effective on-boarding process?

It’s important to have a well thought-out plan to get new sales hires acclimated to their role in your company. For that, you need to a road map that new hires can follow (as well as trainers) so nobody gets lost.

 

7. Can you “hire slow”?

This last question is a trick one: the answer has to be “Yes.” You’ll want to take your time and think about the answers to all of the questions I’ve laid out, in order to hire superb salespeople. It’ll be so worth the time and effort when the right team propels you to reach – and exceed – your goals.

 

 

 

 

 

Chris Tully is Founder of SALES GROWTH ADVISORS. He can be reached at (571) 329-4343 and ctully@salesxceleration.com

“For more than 25 years, I’ve led sales organizations in public and private technology companies, with teams as large as 400 people, and significant revenue responsibility.
I founded Sales Growth Advisors to help mid-market CEOs execute proven strategies to accelerate their top line revenue. I have a great appreciation for how hard it is to start and grow a business, and it is gratifying to me to do what I am ‘best at’ to help companies grow faster and more effectively.
Let’s get acquainted. I am certain I can offer you an experienced perspective to help you with your growth strategy.”

The (Not So) New Game in Private Equity

This is a Guest blog post by Kerry Moynihan, Partner at Boyden.

Top Private Equity Firms Investing in Education Businesses ...

 

WHY LEADERSHIP MATTERS MORE THAN EVER

A Very Brief History of Private Equity

The origins of today’s private equity industry (which I would define as including both venture capital and leveraged buyouts) date to 1946 with the foundations of American Research & Development Corp. (ARDC) & J. H. Whitney.  Prior, risk capital had almost exclusively been the domain of wealthy families.  Venture capital pioneers Mayfield and Kleiner Perkins were founded in 1969 and 1972, respectively.  In the buyout realm, the origins of LBO pioneers KKR began at Bear Stearns with “bootstrap” investments in the early 1970s, forming the foundation of the firm as we know it today.  TH Lee; Forstmann Little; Welsh, Carson, Anderson & Stowe; and GTCR were all in operation by 1980 and became major players.  The modern private equity business continued to emerge in the 1980s with the realization that there were major discrepancies between public company management interests, the age old “agency problem” and the values that could be unleashed were business units to be decoupled from large public companies.  The year 1980 saw some $2.5 billion raised dedicated to the emerging alternative asset class and in the decade that followed nearly $22 billion was raised by venture and buyout funds.

The wide availability of junk bond financing fueled a boom during the 1980s, followed by a crash as the stock market tanked in October 1987.  High yield financing, or “junk bonds,” dried up for a time, and Drexel Burnham, the leading purveyor of these instruments, later went down.  However, institutional investors had certainly picked up on the higher returns available to PE than in the public markets.

Key to these were the availability of debt financing, the disparity between management that were merely salaried and those that were incentivized by equity, and the discrepancy between public and private market information.  For much of the next two decades private equity vastly outperformed the public markets.  Clearly, the emergence of technological innovation in software, semiconductors, and telecom fueled the venture side, while widespread industry consolidation and globalization largely propelled the LBO market.

As ever more money flowed into pensions and other institutional investor funds, the demand for higher yields accelerated.  This put more capital into the financial markets seeking higher returns and the boom continued.  Of course  there were blips and shocks, including the Foreign Debt crisis of 1997/98, the bursting of the dotcom bubble around 2000, the cessation of normal market activity following the 9/11 attacks, and perhaps most seriously, the major Financial Crisis after the collapse of Lehman Brothers and Bear Stearns in 2008.

However, markets rebounded, time and time again.  Institutional capital, which seems to have a short collective memory, always seeks ever higher levels of Alpha (relative return) and will accommodate Beta (risk), often in unison, seemingly without independent, objective decision-making.

Institutionalization & Growth of the PE Industry

Funds were usually (relatively) small and privately held, and made individualized, partner-driven investment decisions.  Yet as their size has increased, and in many cases the larger funds went out to the public markets, the industry has fundamentally changed.  Now publicly traded, firms like Apollo, Blackstone The Carlyle Group, and others are, as the co-founder of one confessed to me “No longer in the business of making extraordinary, outsized returns on unique investments.  We are now in the asset management business. If we can beat the S&P by 150 basis points and put huge sums to work from institutional investors, we are happy and the investors are happy.“  With the traditional model of a 2% management fee on assets under management (AUM) and 20% capture of the return on investment, the carried interest, who would not be?

Where a billion dollar fund was once considered a large player, there were over 350 by 2018 and even more today.  There has been a veritable explosion in investment in the sector, as uninvested cash, or “dry powder“ at PE firms exceeded $1.5 trillion by the end of 2019.  Blackstone alone, the Wall Street Journal reported, had $150 billion in cash to invest at the end of last year.  Institutional Investor reported in July 2019 that 4000 funds were seeking to raise an additional $980 billion, up from 1385 funds seeking to raise $417 billion just four years earlier.

Yet in the 2010s the number of publicly traded companies stayed roughly the same while global AUM for PE firms and the number of PE-backed companies doubled, according to McKinsey & Co.  It comes down to simple economics as more money is chasing fewer good assets, hence driving up prices, and reducing returns.  S&P reported in November 2019 that the average pro forma EBITDA multiple was 12.9, up over 30% from pre-Financial Crisis pricing.  The massive leverage, low prices, and eye-popping returns of the 1980s are but a memory.  What is a simple fund to do?

Operations Management Software from Integrify

Adding Operating Expertise

Importantly, funds have changed their own internal structures over the last several decades. Almost no funds had seriously tenured operating executives as part of their investment teams in the 1980s, being almost exclusively comprised of “recovering investment bankers.”  The 1990s saw a bit of a change, but now almost every major fund has hired people who have more than an investment banking/finance background and have been senior operating executives who have actually run P&Ls.  In many cases these are actual full partners in the funds, as the Silicon Valley venture capital community was quicker to adopt this model, typically by adding tech CEOs to their rosters, than the Wall Street LBO community.  Many are termed Operating Partners or Management Associates, but whatever the nomenclature, there has been a collective recognition that strictly financial engineering and financing skills are necessary, but not sufficient, to create outsized shareholder returns.

Most of my clients and many of my good friends are private equity professionals.  Without naming names, an informal survey confirms the general thesis that by training they are not prepared to run the businesses that they buy.  Increasingly they recognize these facts, despite being “the smartest person in the room“ on virtually any topic (sic), in the not so distant past.

Where Are We and Where Are We Going

Fast forward to today, the late 2010s and early 2020s. The game has changed significantly, to say the least.  Not surprisingly, many of the factors that led to the tremendous success of the industry in years past have changed dramatically.  There is a changing reality and investment firms have, with varying degrees of success, made adjustments.  For example:

Financial engineering is no longer adequate.

Given the low interest rate environment of recent years, and explosion of alternative lenders such as credit funds, beyond the traditional large banks, a giant fund enjoys little advantage over a smaller one on the availability of financing or borrowing terms.  And, let’s face it, even if KKR or TPG can borrow at 25 basis points lower and with slightly less restrictive covenants than XYZ Capital Partners can, that factor alone is unlikely to be the deciding factor between the success or failure of an investment.

Globalization of the industry

Where venture capital and leveraged buyouts were virtually exclusively a US phenomenon just a few decades ago, today according to various studies, only about 55% of global private equity activity is in North America today.  While Africa and Latin America are somewhat underrepresented, Europe and Asia are booming in this respect and the former may well catch up over time.  It has become, as in so many industries, a much more competitive, truly international playing field.

Ubiquity of information has changed the game

The asymmetry of information that led to smart buyers and uninformed sellers is simply no longer the case.  The incredible proliferation of information and ease of access on a global basis means that sellers, even of relatively small and unsophisticated businesses, have a much better handle on the overall market than in the past.  An investment banker friend and I have a running joke that Old Uncle Burt, selling his cornfield in Iowa, knows that he can command 7.8 to 9.3 times EBITDA these days and will have five buyers lined up!  In short, because of this the market is much more ruthlessly efficient, further evidenced by the dramatic expansion in the number of deals done and in the ever higher multiples paid for them.

The Model Still Works

The increased volatility of public markets, however, continues to make private equity attractive.  What was once termed an alternative investment is certainly now very much in the mainstream for most sophisticated investors.  However, the delta in returns between public markets and private markets have flagged in the last several years.  As Bain & Co. noted in its 2020 Private Equity Report, “10-year public market returns match PE returns for the first time.”

Yet the current crisis, at the same time akin to the ones we seem to have every five or 10 years, and on the other hand of unprecedented scope, has obviously put an enormous dent in the wealth accumulated in the stock market.  The ability to be patient and not have to respond to quarter-by-quarter earnings can allow private equity investors to take a more strategic, long-term view and ride out much of the fickle fluctuations of the financial markets.

This may seem a bit ironic, since most PE funds would love to be in and out of investments in a 3 to 5 year timeframe if possible.  But with the public markets bouncing as violently as they are, private equity will remain a very attractive industry, both for Limited Partners as institutional investors and General Partners, the PE funds, as the custodians and direct investors of those funds.

Stanford Senior Executive Leadership Program | Stanford Online

 

Executive Leadership Matters, Now More Than Ever

Over time, more and more funds have gone to a model of backing individual executives or executive teams in what I call the “Back-able, Bankable Leadership“ model, or BBL.  Both venture and buyout funds have increasingly backed executive leadership that has had prior success and will continue to do so.  The proverbial “Holy Grail“ for investment funds is to find management teams that are proven and have as close to a proprietary idea as possible.  By this I mean either a specific target company(ies) for acquisition or a well-developed investment thesis with demonstrable potential acquisition targets.

How much better to create a situation where you have an organic genesis of an investment, rather than competing in a broad auction scenario against many other funds.  In the latter case, the “winner” of an auction may be successful in acquiring a business, but a loser as an investor, having paid too high a price at the outset.

An old saw in investing circles is that “You are more likely to win by backing an ‘A’ management team with a ‘B’ plan over a ‘B’ management team with an ‘A’ quality plan.“  At no time has this been more true than today, as many firms actually have to reinvent their business models on the fly.  As we face unparalleled turbulence in the markets, especially given the latest crisis, never has leadership, true leadership, been at more of a premium.  Operational excellence, coupled with the genuine ability to inspire, will always be valued.  In short, today it is more critical than ever to actually run businesses better.

Effective executive leadership makes all the difference.  It certainly makes me quite sanguine about the prospects for the executive search industry in partnering with private equity clients to create value.  Successful investors invest in superior management and leadership, especially when competition is greater than ever and times are uncertain, to say the least!

 

Kerry Moynihan is a Partner at Boyden. He has had a distinguished career of more than 30 years in executive search, making a significant impact on client organizations through strategic talent acquisition and development. Working across a range of industries, he specializes in partnering with boards of directors as well as private equity firms and the C-suite executives of their portfolio companies to deliver for investors. He can be reached at kmoynihan@boyden.com.