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Am I Paying My Salesperson Too Much?

Bigg Challenge
Max is a business owner. He hired a salesman about a year ago. Max put him on the same compensation plan that his other sales people were on (a small base salary with an incentive).

The guy has done a phenomenal job. Max’s company is showing record sales and profits, largely due to this sales person. But here’s the problem: this salesman is now making more money than Max.

Max wants to know if he should adjust his salesperson’s compensation.

Bigg Advice
What should you do about this, Max? Here’s what we think …

Nothing!

Here’s why …

Is it costing too much?
It is possible to over-compensate your people. You can’t design a system where a small number of top performers win bigg while the company loses money.

But that’s not the case here. You’re also making more money, Max. So if it ain’t broke, don’t fix it!

Handle with care
We’ve heard of great sales people who were let go when a situation like this occurred. It does happen. But remember the nursery rhyme about the goose that laid the golden egg?

This sales person is the goose. Handle him with care. Like the old Proverb says,

“Kill not the goose that lays the golden eggs.”

Your bigg payoff
Don’t miss the bigg picture. The bigg payoff for owning a business often isn’t what you make each year. It’s what you make when you sell it.

You’re building an asset whose value is based on the income of the business, sometimes called owner’s cash flow. As your bottom line increases, so does the value of your asset. That’s your bigg payoff.

How you can get paid more
You’re making record sales and profits so you can probably afford to add another salesperson. Before you do, look at your infrastructure and capacity to make sure you can support an additional salesperson.

If you can, then go for it!

There’s a good chance, if you do that, you’ll be the highest paid employee of the company again!

Model this employee
We would suggest cloning, but okay … we won’t go there! 

So try to find someone with traits and characteristics similar to this salesperson. To do that, think about what you know about him.

What industry did he come from, if he came from outside your industry?

What experience did he have?

What education?

Are there any other clues you can get from his background?

If you did a personality assessment as part of your hiring process, what did his look like?

And ask your sales person if he knows anybody who might work out well. Bigg goal-getters know bigg goal-getters.

Thanks Max for sending us your bigg challenge. We wish you bigg success!

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(Image by forwardcom)

The Single Most Destructive Thought You Can Have

Here we are – the holidays are over and we’re back to work. We’re ripe with enthusiasm as we consider the possibilities for the New Year. With that in mind, we want to talk about the single most destructive thought you can have.

Think of people you know who have one or more of the following traits:

  • Need constant recognition.
  • Often angry, or depressed.
  • Complain about how unfair life is.
  • Scared to take any risk, or sometimes even make a decision.
  • Unsuccessful time after time, attempt after attempt, job after job.
  • Unable to trust. They have few friends.
  • They’re emotionally unhealthy, and that is even leading to physical ailments.
  • Addicted to one or more of the following: alcohol, drugs, gambling, etc.

Why do people exhibit such behaviors? It’s often because of how they think. If you find yourself exhibiting one of these traits, you, too, may have fallen prey to the single most destructive thought you can have …

You think you’re not solely in control of your life.

Not accepting that you are in full control of your life is the easy way out. When life treats you badly, blame it on circumstances. Your parents. Your spouse. Your kids. Your boss. Anything or anyone, other than you! It’s much easier to blame outside forces than to accept responsibility yourself.

But some people look at this responsibility as a burden. It’s not a burden – it’s a blessing. It means you are free to create your dream life. It’s empowering!

Responsible means “response-able.”
You may be saying, “That all sounds great, but you’re kidding yourself if you think you can control everything.”

We’re NOT saying “you control everything.” We ARE saying you control your life. There is a difference.

Obviously, you can’t control everything that happens to you. But you can control how you respond. Steven Covey calls this “response-able” in his great book, The 7 Habits of Highly Effective People.

Thinking freed him from captivity
Victor Frankl, in his great book, Man’s Search for Meaning, tells his inspiring story as a prisoner in the concentration camps of World War II. He seemingly lost everything – his family, his friends, his clothes, his dignity. However, there was one thing nobody could take away from him … his thoughts.

Sometimes, he chose to escape his circumstances and envision himself far, far away. He chose to learn from his experiences – from the guards and fellow prisoners. He was free from the day-to-day brutality of the concentration camp because of his thoughts. Because of how he responded to his circumstances.

Our quote today is by author and speaker Roger Dawson.

“The most self-destructive thought that any person can have
 is thinking that he or she is not in total control of his or her life.
That’s when, ‘Why me?’ becomes a theme song.”

So you, and you alone, write the song that makes the whole world sing. Make your life a melody and enjoy inner harmony.

Next time, we’ll discuss why shy people make the best networkers. Until then, here’s to your bigg success!

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Facing Off Against Faceless Competitors

By Bigg Success Staff
01-24-08

Career Builders

faceless_mannequin_jpgAs time has progressed, we humans have moved from small, close-knit communities to large metropolitan areas. Now, we’re becoming a global village, thanks in large part to the internet.

Tyler Cowen recently wrote an excellent article for the Wilson Center called The New Invisible Competitors.

He explains the turmoil that many of us are facing as we move to competition that is faceless. We now compete with someone behind a computer in another part of the world instead of the person down the street. Since we can’t see our competition, it is harder to view them as real. But they are!

Here are the personality traits that will fare well with these faceless competitors:

Methodical planners
These people view their work as a game. They plan their strategies like a world champion chess player. They are self-motivated because they focus on their end game. They are not necessarily that competitive; they’re in it for the psychic rewards.

Early adopters
We all know them … perhaps you’re one of them. People who have to be first. First in line. First to try a new product. First to test a new idea. They are thought leaders. Influencers. Innovators. They create an advantage for themselves by being first. They are highly creative people who worry more about their own activities than their competitors.

Introverts
This faceless competition plays well for those who aren’t “people-persons”. They will thrive in this new environment where you’re only visible through your computer.

Dreamers
Creativity will be more valued than ever. Dreamers develop new products and services or they find creative new ways to market these ideas. Entrepreneurs will continue to thrive in this new era. Young entrepreneurs may have a particular advantage, since they often see the need for new products and services first.

Self-managers
People who can reinvent themselves by interpreting market signals and opportunities will also do well in the coming years. They’ll spot trends and get in before the crowd.

We live in an increasingly competitive world. Match your strengths to this list and then decide on your strategy to face off against the new faceless competition. The opportunities are greater than they ever have been. Imagine that!

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How Do You Learn To Be An Entrepreneur?

By Bigg Success Staff
01-04-07

Home Office

abstract jpg

It’s another age-old nature / nurture question – are entrepreneurs born or are they made? Can you learn these skills without actual experience or must it be personally experienced?

Richard Goossen has a new book, Entrepreneurial Excellence: Profit From the Best Ideas of the Experts. Goossen brings a variety of experience to this work – as a businessman, advisor, author, and academic.

He’s lined up some of the greatest minds on entrepreneurship. He concludes that entrepreneurship is mostly learned by doing. Here’s a breakdown of what you can learn from others and what you can learn only by doing it.

What you can learn from others
General management principles can be taught. It’s been done for years. The same basic canons that apply to managing large companies are relevant for entrepreneurs. Strategic planning can also be taught.

There are also lessons in entrepreneurship from people who have succeeded or failed. While the specifics may be elusive, the general principles that determined their outcome are instructive.

Finally, you can learn to differentiate between a good idea and a good opportunity. There are a lot of good ideas; there are few good opportunities. Determining that your idea is NOT a good opportunity is teachable.

What you have to learn yourself
Nobody can teach you how to identify specific market niches and determine whether or not you can pursue them successfully. Experience is the only teacher of this valuable entrepreneurial trait.

You have to learn how to transform your passion into a valuable tool than can be used to woo customers, employees, vendors, strategic partners, and financiers. This passion will also help you persevere when you face an obstacle, which you will again and again.

You also have to develop an innate belief in yourself. Self-confidence grows with education and experience, but you have to be able to draw deep within yourself as well as upon the support of others.

Entrepreneurship is part science and part art. Learn as much as you can about the science of entrepreneurship before you launch your business. The art is something you can only learn by dipping your toe in the water!

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(Image by Brittany G, CC 2.0)