Are You Providing Value?
I am a pretty big fan of James Altucher. If you haven’t read any of his stuff you might want to check him out on LinkedIn or Fortune Magazine or any of the other places that he publishes or his podcasts.
He is sometimes irreverent and always self- deprecating. He talks about his successes, but mostly about his failures.
He says things that a lot of people might find alarming like how owning “stuff” like houses and expensive cars is not advisable because ultimately it owns you.
His latest blog post, The Difference Between Making Millions and Failure I found especially interesting. He sums it up quite simply- add value.
You hear a lot these days how advising people to follow their passion, find their purpose, etc. is all bullshit. I don’t know that I agree with that in the entirety, but I think there is value in asking how what you do and how you do it is going to add value to others or the world in general.
My last blog post explored why I do what I do. I think most organizations, public and private do a pretty shitty job of bridging people, specifically employees, customers, and shareholder/stakeholders. We see them as inherently competing interests.
I have shared before that a significant survey on management and leadership concluded that the single biggest reason most people pursue leadership or management roles is because they want to make more money.
Not make the organization better or grow their people. That is not adding value.
I have occasion to come into contact with a number of not for profit organizations on a regular basis ranging from very large organizations like education and health care providers to local service providers with a much narrower focus.
I use the term not for profit as opposed to non- profit very deliberately. The point that I try to make with these organizations is that profit at its most basic is the amount of revenue that exceeds expenses and there is nothing fundamentally immoral or amoral about how that excess is distributed.
I find that the idea that an organization should goal for and achieve solvency on a regular basis doesn’t always make me very popular. The idea that the organization should be held accountable to have a clear and compelling reason that it exists and perform its services in an efficient manner is seen by many as an elitist or purely capitalistic viewpoint. I disagree.
I think my viewpoint is consistent with Altucher’ s proposition that the absence of that clear value proposition is a fail.
I am a social entrepreneur. I don’t think all profit is equal. I think profit that increases social equality and opportunity is better. The broader the stakeholder base you impact the more value you are creating.
Just so I am clear that I am not singling out not for profits I want to share that I find Seth Godin to be one of my favorite business authors. I don’t put him up on a pedestal or see everything that he writes as either brilliant or that I agree with, but he provided some simple points for would be entrepreneurs that I think have application for every organization-
• If you have never been paid for your product or service it is a hobby, not a business.
• If the only people who have ever utilized your product or service are friends and family it is a hobby, not a business.
I have encountered a number of not for profits who believe that their first and most compelling objective is to raise funds and invite donations to their cause.
On the other hand, I see organizations that do provide meaningful services and a clear and compelling value proposition who are severely criticized because they do things like a successful business-
• Create and execute a business strategy
• Create a strategy to attract and retain the talent necessary to drive the organization and pay that talent competitively.
Those NPO’s get Godin’s point, if nobody is buying your product, you failed the test.
On a simplistic level I have incorporated some of Altucher’ s advice into some of the things I teach.
A great example is feedback. I am a big fan of constructive feedback. People ask how they know their feedback is constructive and I use these guidelines-
•    Constructive feedback is based on observations and facts not reactions and speculation.
•    It focuses on performance not on a person.
•    It can be tied directly to the performance of the person or the team or both.
•    It is timely and specific.
•    Progress is both measurable and obtainable.
•    It is part of a process, not an event.
I believe that feedback that meets these criteria adds value, if it doesn’t meet these criteria it doesn’t and you should keep it to yourself.
I think this should be the litmus test for everyone we hire in our organizations. 
How will they add value and can they articulate that? Candidates that recite their resume and experience leave me bored. That is the minimum standard, the easy part.
I use a nautical analogy when I talk about the hiring and talent acquisition process for most of my clients. 
I tell them in terms of boats you are a canoe rather than a battleship. Every person on your boat needs to be a rower. The only other value add in a small boat like a canoe is being food, and I don’t think consuming people is good.
Our human resource models have been based for years on consumable/disposable employees. Frederik Taylor said people are stupid and lazy. Our employment models have been based on compliance and obedience for generations. We provided security in return for obedience.
And then we discovered outsourcing, downsizing, and automation.
I don’t let individuals off the hook either.
Businesses do not exist to provide jobs and security for their employees. That is hopefully one objective and part of their value proposition, but not that premise exclusively.
That is why I agree with those that say that employees are an equal shareholder (read responsible party) for employee engagement. They also need to add value.
So every day I come to work and ask myself if I am adding value to my clients and my community. That is my aspiration and I think I get it right the majority of days.
What would happen if everyone and every organization adopted that perspective? I wonder…….



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