Study Richard Branson as an entrepreneur.

Study him as a leader.

Study him as a manager.

Study him as an example of how to live your life.

Don’t just study Branson; study those around him, such as Stephen Murphy, Virgin CEO since 2006.

Studying both allows you to see how Branson differs from so many of his counterparts.

According to Murphy, “He [Branson] is a listener. He will say ‘I hired you to listen to you. I am not hiring you to tell you what to do’.”

Branson is known as Doctor Yes while Murphy is nicknamed Mr. No; together they make Virgin far stronger than either could separately.

Murphy balances Branson’s “screw it, let’s do it” attitude, but recognizes Branson’s positive mindset, “When there are nine good reasons not to do something, Richard is always the person who focuses on the one reason to do it.”

Branson is a master delegator, not just the responsibility, but the authority and once he delegates he lets go.

Study Branson to learn the value of controlling your ego or, better yet, being confident enough to let your people shine, knowing that giving them the spotlight doesn’t reduce your own place in the sun.

Last year I wrote a very short post on following and Branson seems to fit.

So when you are deciding whom to follow, who’s vision to trust, skip the shiny baubles and silken words and look to see who keeps turning the spotlight on others.

Image credit: http://www.flickr.com/photos/gulltaggen/4564600916/

I’m about as far from pop culture as you can get—not into *ratti’s at all.

But I have to confess that I adore everything about Sir Richard Branson.

Where Larry Ellison comes over as arrogant and obnoxious, Branson is laid back and friendly—and oh so sexy. (Would that we could all look like that at 58—or 38 or any age for that matter.)

So, smart, sexy, brilliant, talented businessman and serial entrepreneur in the grand manner—what’s not to like?

“A good idea for a new business tends not to occur in isolation, and often the window of opportunity is very small. So speed is of the essence.” (A great message for all those ‘leaders’ who not only think they know best, but also don’t know how to get out of their people’s way.)

“We expect the first Virgin Galactic space flight to take place in 2008, which gives our Flying Club members time to save up all their miles.” (Just started testing this year, so it looks as if you have another 18 months to accrue more miles.)

“You’ll have at least two ways to get lucky on our flights.” (And a great sense of humor. He said this when his airline started offering casinos and double beds on it six new Airbus A380 planes.)

“I don’t think of work as work and play as play. It’s all living.” (14 words to by which to live—think about it.)

Your comments—priceless

Don’t miss a post, subscribe via RSS or EMAIL

Image credit: flickr

A Friday series exploring Startups and the people who make them go. Read all If the Shoe Fits posts here.

If you were sitting in Starbucks and heard the following from a man and a woman you couldn’t see, what would your reaction be?

If we can get every business in the world to adopt a global problem, get slightly smaller businesses to adopt a national problem, get smaller businesses still to adopt local problems, then we can get on top of pretty well every problem in the world.

Snicker at their naiveté? Wonder how they would monetize the idea? Drool a bit over the enormous trove of data they would have? Maybe give some thought on how you could get into the action?

Not that you would admit those thoughts in public.

But in the end, you would probably just shrug and write them off as a couple of idealistic dreamers who were unlikely to get anywhere with ideas like that.

Why?

Because they didn’t sound as if they had the passion, the drive, the pure grit, to pull off a truly world-changing idea.

All these scenarios are predicated on the assumption that the people talking were just people.

Would the fact that you were eavesdropping on Richard Branson and his daughter, Holly, cause you to change your assumptions?

Probably.

(Click to read more about Branson.)

Image credit: HikingArtist

I had an opportunity to witness two distinct cultures in action in my personal life this past week. I am in the Tampa Bay area of Florida. Like most mid-market cities there are several startups and rising companies throughout. I have friends at two that have had events transpire as of late that had two completely different outcomes and I wanted to share my observations.

One company that is located here is backed by VC’s and has been growing rapidly. They have a great culture from how I understand it. Very laid back, treat you like a friend and encourage all team members to go beyond their own role to take on more responsibility.

My friends who work there always talk about the company with pride and enjoy working there. The CEO is a thought leader in the community and can cut to the core of what is needed to accomplish the job.

In my current role, I also use this company as a customer. They provide data on prospects from several databases. It is not unique as there are many in this space, but they provide an excellent customer experience and the data is usually accurate.

Last week we were told that we would no longer be able to access the application. I reached out to my friends and it was the worst news you could hear.

The company was not able to secure another round of funding and they had to close their doors.

This happened basically overnight. They were brought in on a Tuesday told the bad news and sent on their way.

My first reaction is that the folks who worked there would be bitter about the company and the way they were let go. That could not be further from the truth.

Are they out of jobs? Yes. Do they need to scramble to pay bills? Yes. However, they also felt like they were a part of something bigger than themselves.

President Theodore Roosevelt famously spoke about the man in the arena, “The credit belongs to the man who is actually in the arena, whose face is marred by dust and sweat and blood; who strives valiantly; who errs, who comes short again and again, because there is no effort without error and shortcoming….”

These folks were in the arena and were honored to have strived. They spoke positively of the company and its CEO, realized sometimes you lose and looked at the opportunity to learn as a valuable experience.

In my opinion life is about balance. In the same week as the above news broke I had some friends at another company I am familiar with share some news.

This company is no longer a startup; I would call them a rising company. No VC backing, the CEO started with his own money and they have been profitable through customer acquisition for some time. (I realize if you are in Silicon Valley you may find the concept foreign, but it does still happen.) This company started out with a great culture. Awesome offices, snacks and coffee, smart folks to work with. From the outside looking in it is very desirable.

This company has been on the decline with sales in recent years. It could be the industry it serves or that the products haven’t adapted to the needs of the marketplace.

Speculation from my friends has ranged as they truly believe in the company and its founder. He is a thought leader as well, spends a lot of time with Richard Branson and other luminaries, and is extraordinarily intelligent.

However, sales have been down and it has caused strain on the company.

They recently released the new comp plan for the sales team.

We could discuss how releasing a comp plan in month five and making it retroactive to January is a problem, but that’s not the point of this post.

The team was excited to hear what the new plan would be as some of the teams hit and surpassed their goals last year and figured they would be honored for that.

This could not be further from the truth. The new comp plan essentially cut their income by as much as 30%.

Now the average income for these folks was between $100,000-$150,000 annually. 30% is a huge cut and most may not be able to absorb that. Six figure deals that would bring in commissions of five figures dropped in some cases to the hundreds in commission earned on that deal. I’ll let that sink in for a moment. What’s the incentive to work!

The reaction from my friends there was as expected. They felt betrayed.

This company strives in being inclusive, expecting hard work from the team and tries to create a fun atmosphere.

These folks are invested, they love the company and the friends.

However, when you sign on and are told that you will make X amount and the company flips that on you halfway through the year it causes issues.

I cannot imagine how you would expect a great effort out of team members who feel betrayed and are now worried about paying bills.

Two different companies, two different outcomes.

How would you do it differently?

Flickr image credit: Anthony Albright

It’s amazing to me, but looking back over more than a decade of writing I find posts that still impress, with information that is as useful now as when it was written.

Golden Oldies is a collection of some of the best posts during that time.

I wrote this in 2012 with high hopes that more bosses would move in Chris’ direction, with an eye to making their workplaces more socially responsible and individuals more aware of the world outside their little corner of it. Sadly, the importance of ‘me’ has grown considerably, dwarfing, at least in the media, those who strive to move beyond that narrow focus.

Read other Golden Oldies here.

A Friday series exploring Startups and the people who make them go. Read all If the Shoe Fits posts here

I met an interesting guy over the holiday.

“Chris” has a small startup in the financial services sector and is starting to gain traction.

He said it’s been an uphill battle and that he wishes he had spent the same energy doing something “socially responsible,” because it would be a lot more satisfying.

I’ve heard similar comments from other entrepreneurs and small biz owners.

Happily, this is one of those times it is possible to “have it all,” because all it takes is changing the way you look at the world.

Having a socially responsible business doesn’t require a focus on solving social ills and it certainly doesn’t mean forgoing profit—without profit your business won’t be around.

It does mean running your business in a responsible manner

• pricing fairly, passing on savings whenever possible and never gouging
• fair wages and other compensation
• fair employee treatment (not playing favorites, etc.)
• reducing your carbon footprint
• community involvement and contributing whenever possible; and
• believing that it’s not all about you.

None of this is rocket science and all of it makes good, profitable, business sense.

In fact, Chris and others who feel the pull to help fix the world would do well to read Richard Branson’s Screw Business As Usual to see how others are ‘doing well by doing good’.

Note: the unseen pause is between ‘screw’ and ‘business’, not between ‘business’ and ‘as’,

Image credit: HikingArtist

I recently switched jobs to a company that is smaller than my last but where I have the ability to truly achieve success or crash and burn. It’s slightly terrifying but I try to follow Richard Branson’s example of just saying yes to things first and then figuring it out as I go along.

One thing I realized after taking the role is I am the one that must set the cultural standard. It’s not that the company doesn’t have one, but most of the employees are remote and we rarely see each other.

As a result there is not really a zeitgeist in the office that tends to guide everyone’s actions. It took me a couple of weeks to reach this conclusion, but once I did I sought out some resources on how to set a standard.

I was not blessed with an iron will. For me I must work every day at maintaining discipline and work ethic. It’s not a battle, but it’s something I am very much aware of and I take steps to ensure I set myself up for success.

One way I do this is through emulation of others. I realize this may not be groundbreaking but I think it’s important to remember.

When I was growing up I would see people at the top of their game or profession and a lot of times not think about the work it took to get there. As I have matured I realize it takes great effort to achieve success and we must make it a priority. There are several people I follow on LinkedIn that hold influence. I try to emulate what they have done to form my own identity and culture.

I have also sought out mentors throughout my career. Some of these are formal, but some are not. I reach out to them for specific needs or learning opportunities.

What do you use for guidance when setting a culture? Is it a company, ideal or person?

I believe all can benefit when creating an identity, as long as we are choosing the right example to emulate.

Image credit: Ron Mader

Six years ago I recommended using stories as a management tool; three years later I wrote that entrepreneurs should use stories to present themselves to the world.

Now a Carmine Gallo, a much bigger name than me, has written The Storyteller’s Secret, highlighting the importance of story from building a culture to building a brand or entire company.

Vinod Khosla, billionaire venture capitalist here in Silicon Valley, where I live, tells me that the biggest problem he sees is that people are fact-telling when they pitch him. They’re giving facts and information and he says, “that’s not enough, Carmine. They have to do storytelling.”

When Ben Horowitz, co-founder of Andreessen Horowitz, another big venture capital firm, tells me the most underrated skill is storytelling, or when Richard Branson, who I interviewed, said, “entrepreneurs who cannot tell a story will never be successful”

Of course, what can you expect from generations that don’t read much and think communication is an email or, worse yet, texting?

When it comes to a storytelling culture it has to start from the top and isn’t just a good story about the product.

Every day at the Ritz-Carlton there is a brief morning meeting of housekeeping.

And they ask the question of the employees: “Is there a great customer experience that you’ve been a part of, that you can share with the rest of us? (…)They start sharing stories with one another, and then they start competing for who has better stories. They get recognized publicly.”

Southwest’s success is the result of a masterful storytelling culture.

So they created what’s called a storytelling culture, where every week the HR teams go out, and they take videos of real passengers who have had a struggle, or have maybe almost missed a funeral or a birth, or a life-changing event, and stuff like that. But they were able to do it because of Southwest.

Apple is a giant at storytelling, as is Microsoft and Zappos.

So is Whole Foods, KPMG, every farm-to-table restaurant and even ugly food.

Just don’t kid yourself about why the stories work.

The work because they are real, true, authentic or any other adjective you care to use.

The stories are based on/backed by employee actions, which is what makes them resonate.

That means the CEO and all the executive team not only believes in the importance of customer experience, but also knows that the experience is created and facilitated by their people at all levels — especially the front-line people.

Lida / Flickr

A Friday series exploring Startups and the people who make them go. Read all If the Shoe Fits posts here

Yesterday we looked at the bootstrapped success of Tuft & Needle and before that at bootstrapping serial entrepreneur Andrew Wilkinson.

All very successful sans venture money.

Sure, thousands of bootstrapped companies fail, as do hundreds of funded companies; some go with a bang and others with barely a whimper.

But a few provide a cautionary tale for both founders and investors.

Lucas Duplan’s Clinkle is one such tale

Clinkle was supposed to be what Apple Pay is today.

In what is termed a “party round” 22 year-old Duplan raised $25 million dollars, mostly in convertible notes, from high profile investors, including Richard Branson, Peter Thiel and Marc Benioff, as well as VCs Accel Partners, Index Ventures and Andreessen Horowitz.

“In a typical party round, no single investor cares enough to think about the company multiple times a day,” wrote Y Combinator President Sam Altman in a June 2013 blog post. “Each investor assumes that at least 1 of the N other investors will be closely involved, but in fact no one is, and the companies sometimes wander off into a very unfocused wilderness.”

However, in the 5 years since founding, 3 since funding, the company has done nothing, gone nowhere and in an almost unheard of action investors are asking for their money back.

Clinkle had a polished demo that came before things like Apple Pay, said one former employee, who declined to be named. But most importantly that person added, Duplan “was charismatic when he wanted to be” and could “raise money in absurd abundance.”

“It was his one skill,” they said. (Emphasis mine.)

The takeaway is beware of great stories, charm and party rounds where the person at the helm has never sailed a boat.

Knowing the correct names of the equipment doesn’t mean a person knows how to use it in the real world or in what order.

Image credit: HikingArtist

Richard Branson started talking about “doing good by doing well” years ago and multinationals across the globe are finally getting on board.

Not because they suddenly grew a social conscience, but because it pays.

CSR or Corporate Social Responsibility has gone global, with companies across the spectrum.

But increasingly, it is what investors, customers, employees and other stakeholders have come to expect and demand. Millennials — industry’s new and future customers — cast a particularly keen eye on companies’ commitment to social impact.

Microsoft, Disney, Gap, JP Morgan Chase, Mattel, Coke, Pepsi, India’s Tata Group and Suzlon Energy, Chinese battery maker BYD, Brazil’s Natura Cosmeticos.

“The better CSR programs, either in emerging multinationals or developed-country multinationals … are not just philanthropy, they’re strategic.”

Internally CSR attracts customers and investors, can be used as a recruiting tool and beefs up retention.

And keep in mind that corporate social responsibility isn’t just for big, wealthy companies. SMB and even solopreneurs are in a position to make a difference, especially in their own local community.

Read the article for ideas.

Look around for a project that excites you and all your stakeholders.

Then do it.

Talk and planning don’t count.

Flickr image credit: JustyCinMD

When hiring ask yourself what’s more important?

Who they are or what they know?

Education or experience?

In my eyes, personality always wins over book smarts. Company knowledge and job-specific skills can be learned, but you can’t train a personality.

Expert qualifications or skilled generalist?

Time and time again I’ve seen people with a background of broad-ranging employment and skills hired for a job where they don’t necessarily tick the specialist criteria boxes, but become incredibly successful by offering a new level of understanding to the role.

Do you hire what you know or what you don’t.

Spanx’s CEO Sara Blakely once said to me: “The smartest thing I ever did in the early days was to hire my weaknesses.” I couldn’t agree more. I can attribute a lot of my success in business to hiring people who had the skills I lacked.

Is their passion/purpose focused on your vision or to learn enough to focus on their own?

Purpose is no longer a buzzword. It’s a must-have. Passion and purpose will keep people focused on the job at hand, and ultimately separate the successful from the unsuccessful.

Do you grab available talent or hold out for the right person?

While it may seem like a desperate rush to get somebody through the door to help carry the load, it is worth being patient to find the right person, rather than unbalancing the team.

So the next time you find yourself salivating over a programmer who can crush Ruby, but thinks he is a god, think like Richard Branson, before doing “whatever it takes” to hire him.

Flickr image credit: Get Everwise