Tuesday, January 10, 2017

How Much Time Do You Waste Answering Employees Questions?

How much time do you waste answering employee questions?
Think about it - 20%, 50% - whatever it is, I suggest it is a waste of your time (and theirs).

It is easy to do, the lazy way, the way we have been taught to be good managers - open door policy--- if you have a question come on in!!!!! 

In essence, answering questions is counterproductive to building a great business and a great team. If you want the right people, doing the right things, right, you must stop answering questions and start coaching!

In short, you still can have an open door policy and should encourage people to come to you when they are unsure of what to do. But stop mindlessly answering their questions.

Today - they come in mindlessly, ask their question you give them the answer and they go do it. They learned nothing, they think you want them to come ask, they leave with no accountability for what they are about to do - you told them to do it.

Tomorrow - ask them if you were not here what would they do or what would they intend to do?

Now they have to think about what to do before they come to you. You ask them what they intend to do, they tell you, 90% of the time you say great and they go do it. The difference? They learn because they have to think about the right answer, they will come back less and less as you reinforce their decisions as being good ones, and they leave taking ownership of the results because it was their idea.

It is a little more time taken up front, but over time you will have a great team of people doing the right things , right - without you having to answer questions all day. 

Tuesday, January 3, 2017

Guerilla Recruiting

"We don't go looking for a new customer just when we lose one. So why do we only recruit when we need to hire someone?"
- Jack Daly
 
This is a fact - A Players are not out of work looking at the want ads and online recruiting platforms for a new job. Regardless if it is a blue collar or white collar position you need to fill, the chances of them knocking on your door from an ad is "Slim to none" and  "Slim just left town"!
 
So what are we to do? You have to be recruiting all the time and you have to treat recruiting just like marketing. We don't go looking for a new customer just when we lose one - so why do we start recruiting just when we need one?
 
We need to start Guerrilla Recruiting and be doing it all the time! Use your marketing hat to attract them to your culture and to your company. Know what the pains are in their current jobs and provide the solution - "tired of ...... in your present job? Come take a look at us, we believe ......(fit into our culture)".
 
Guerrilla recruiting is about taking a more creative and proactive approach to talent acquisition, outside the traditional methods of job fairs, ads and form emails. The successful use of guerrilla recruiting campaigns to attract candidates shows out-of-the-box thinking goes a long way in getting noticed.
 
BigCommerce (Austin, Texas, USA): "Donut Settle for Less"
The Strategy
Austin, Texas, is one of the most competitive technology hubs in the United States. To help improve the probability of acquiring quality talent, three employees from BigCommerce, an e-commerce software provider, camped out in downtown Austin one Wednesday morning (in true guerrilla form) and handed out free donuts to employees entering the offices of several larger tech companies. Their objective was to draw these employees away from their existing positions and encourage them to apply at BigCommerce, using the tagline, "Donut Settle for Less."
 
The Results
Traffic to the company website jumped by 72 percent week-over-week, and job applications increased by 90 percent. During the three-day campaign, recruiters spoke to more than 350 possible new employees.
 
Take this idea and run with it! Who are you looking for?  Where do they congregate - convenience stores, parts houses, coffee shops, fast food places, association meetings, networking events etc.
 
What are Guerrilla Recruiting Tactics?

Rogue recruiting is a guerrilla recruiting tactic that takes no prisoners. Companies or head hunters employ creative practices that are often unorthodox to find talent in strange spaces. Sometimes the internet happens to be the most effective use of a rogue recruiter's time like dating websites, chat rooms, and forums in addition to tradition social media.  While I am a proponent of social media and online recruiting to find top talent, the market is getting crowded.  So for many of us, it's back to basics using old school guerrilla recruiting tactics to find talent and fill specialty roles IRL (in real life) instead of relying solely on the internet.

Top Job Headhunters Go to the CandidatesWith rogue recruiting, I go where the candidates are. That means head hunting sales executives by phone, kitchen designers in top show rooms, or engineers at local professionals meetings and associations.  I infiltrate the front lines, start casual conversations, build trust, and go in for the kill. Sometimes rogue recruiting is easy, but often guerrilla recruiting takes real work. Here are some ideas to get you started and on your way to finding talent in creative, unusual, and unconventional locations.

Become a Guerrilla Employment Recruiter

Go Beyond Online Recruiting and Put Yourselves in the Shoes of the Candidate.
Go where your talent is - external as well as internal to re-recruit.  Look for businesses, meeting locations, and places where your target candidate frequents. This means calling in favors and asking the right questions.  With a little research I learned that real estate sales professionals, often frequented a local coffee shop.  A few lattes later I had new friends and a handful of leads.

Go Shopping and be a Sales Recruiter.
Working in retail it was often easy for me to go where the candidates are.  My managers and I went guerrilla doing what I called "shopping for associates."  We'd visit the locations of our competition walking the aisles looking for employees who demonstrated great customer service and specialty skills. If the competition didn't value their employees, then so be it.  Sometimes that meant bringing in detailed kitchen design plans or sharing a couple business cards with friendly employees. Being removed from the building was a best case scenario.  With the office grapevine in full effect, it was the best possible form of advertising.

Recruitment Referrals are King (or Queen).
With rogue recruiting, it pays to be creative with your recruiting tactics.  Some of the most effective recruiting strategies involved a simple email sent to 300 professionals and the offer of an iPod.  Any hires made as a result of referrals from friends of colleagues would be entered in their chance to win an Apple iPod.  For a couple hundred dollars I often had 15 hires which was very cost effective especially for mass hire situations.

In the end, use guerrilla recruiting tactics as a valuable addition to your recruiting tools and the top job headhunters will have noting on you! Go rogue and get those people to work!

Other methods to do proactive recruiting.

Monster Resume Search - not the ad side but a separate service that offers the ability to search resumes from now and years ago. Search for resumes regardless how old they are and call or email people. The best people are working for someone else and they may be unhappy where they are. Talk about the areas in their current job that they don't like, their pains, the sell them on your company, your culture, etc.

If you are looking for service people print up some flyers and when you see a parked van put them on the windshield. Have all your employees when they are out about do the same thing.

Tap into friends or associates and "their employees." This will be friends or associates or customers not in your line of business and whose employees are not the target of the job opening.  Put out what you are looking for (A Players only) and provide a bounty to them to bring forward names of relatives, friends, etc. that would fit the bill. Let your friends do the same in your operation. Network, get people thinking about people they know that will fit the bill - A players only.

Ask your customers who are the best sales /service people "calling on you" and contact them.

Just like marketing - get everyone in the company looking for A Players for now and in the future that you can put on your Virtual Bench. Take the stress and pain out of recruiting by doing it all the time and building a bench so that when you need someone you have a bench to draw from.

Tuesday, December 20, 2016

Do you know?

"Knowing is not enough --- If you keep DOING the same things the same way you will keep getting the same results. You don't have to change yourself to be successful you simply have to be your best more of the time which means working on the right things more of the time."

- Various Successful People

Successful business owner's know that "thinking" is the 2nd most valuable thing they can bring to the business, the first is taking action on that thinking.

They know they need to be proactive some part of each day and not reactive all day. 

Successful business owners know that they need to work on "the right things" more of the time.

They know their team needs a Plan and Goals and Actions to achieve those goals.

They know that "follow up and execution" vs. starting and stopping are keys to success.

They know they need a rhythm in the business to ensure communications and execution.

They know they need a team that is competent, committed to getting better and engaged with the success of the team and the company. (They know they need A Players in every position.)

They know that like a great sports Coach they cannot play the Game - they need to focus on making the players the best they can be if they are going to win.

They know that knowing is not enough, they must do!

Start your 2017 with an hour of thinking - complete the Forward Focused Reflection document (Click here for instructions and here for template).

What are you proud of accomplishing in 2016? What was incomplete, what aspirations do you have for 2017 and what do you want to be different in 2017. It is a great exercise to jump start your planning and thinking about this upcoming year. Put it on paper.  

Now how do you make those ideas come true? You have to do things differently.  
 
If you want to learn and then take action on building a great, profitable business in 2017 you might consider my Online Coaching Program. It has the proven knowledge, best practices, the tools and the Actions to take your business to the next level. Next Class Starts January 23rd, 2017. Register now and I will be in touch in January.

 

Tuesday, December 13, 2016

Self Limiting Beliefs

"A man is what he believes."
- Anton Chekov
Self-limiting beliefs are powerful detriments to success. Beliefs are held by most people as being truths or facts and they are not. These things we have
learned over time and have been hammered into our subconscious mind must be challenged and questioned before we can really find the courage and commitment to reach our true level of success.
Case in point: 
Roger Bannister was the first person to break the "4 minute mile". No one thought it could be done, the human body was not made to do it. Yet when he finally did it, within only 6 months, 45 others runners quickly followed. They believed it was possible and did what before they believed was impossible.

Myths, Self-limiting beliefs common among business owners:
  1. I don't need goals, vision or core values to lead a company.
  2. I can't find or afford good people.
  3. I need to be a better manager of people.
  4. I need to have an open door, answer questions and put out fires.
  5. Labor is my biggest expense.
  6. I only need to recruit when I need someone.
  7. I just need to get my name out there.
  8. Marketing is an expense.
  9. I'm too busy to work on the business.
  10. I don't have the time to follow-up and ensure we execute.
And many more.......

Tuesday, December 6, 2016

Success Is All About Thinking

"Riches begin in the form of thought. The amount is limited only by the person in whose mind the thought is put into motion." 
Napolean Hill Think and Grow Rich
 
Self-made millionaire Steve Siebold spent 26 years interviewing some of the wealthiest people in the world before boiling down his findings in the book, "How Rich People Think."

He found that there are countless ways the rich view the world differently - they have different beliefs, philosophies and strategies.

Perhaps the most striking difference is that rich people believe money is earned through thinking, while the average person believes money is earned through time and labor.

From Steve Siebold: 

"Most people believe the only way to earn more money is to work more hours," Siebold writes. "Meanwhile, the rich know that creative thinking is the highest paid skill in the world."

High earners believe money flows from ideas and finding solutions to universal problems, he says: "The bigger the solution, the bigger the paycheck. ... Making money may not be easy, but it is simple."

At the end of the day, "the secret has always been the same: thinking, and then putting that thinking into ACTION", Siebold emphasizes.

It's not just bank account balances that separate the rich from the middle class. The wealthiest, most successful people tend to think differently.

"Getting rich begins with the way you think and what you believe about making money," writes self-made millionaire Steve Siebold in "How Rich People Think," which he wrote after studying millionaires for over 25 years.

After hundreds of interviews, Siebold discovered that "it wasn't the lack of desire that held the masses back from getting wealthy, but the
lack of belief in their own ability to make it happen."

Here are six mental tricks that rich people use to get ahead. Read more....

Tuesday, November 29, 2016

I'll Try

"Do, or do not. There is no try."
- Yoda, Star Wars


I wince when I catch myself or hear someone else I'm working with say, "I'll try".

It helps me when I remember that "try" is a weak word, a word that victims use.   It almost guarantees that the action will not get done.  

When I hear myself saying, "I'll try to finish that proposal by tomorrow," it helps to stop and take a deep breath and ask myself whether I really am committed to finishing that proposal by tomorrow. If I am, I'll change my wording (brain coding) to "will do it" by tomorrow.

My mind tells my brain what to do.

What we forget is that our brain is simply a body part, like our hand or arm or foot. All of which are designed to serve ME. The brain all the more! The brain is designed to be the ultimate instrument of service to the mind. 

And yet, when I use the word try, it's because my mind has sent a weak, victim-like command to my brain. I am in my weakest mode, my trying mode.  I simply shift gears, change the wording and commit the brain to the task with an "I will do it".

Tuesday, November 22, 2016

Engaging Your People - 2 Second Lean


 
Engaging Your People - 2 Second Lean


Remember it is all about The Right People, Doing the Right Things, Right. The Right People are 'A' Players. 'A' Players have 3 main characteristics - Competent, Committed to always getting better, and Engaged with the team, the company and your core values. Lastly, the most effective way to increase the profits in any company is to increase the productivity of the people. 'A' Players are 3X more productive than average people.

The best, by far, program I have found to engage employees, increase productivity and do things right is a program called 2 Second LEAN. It is not your father's LEAN. This is a fun, engaging culture whereby you empower employees to see waste, fix what bugs them (don't have to ask,) and then share their fix with the team to inspire others.

It is not just for manufacturing companies, it is for all companies - from law firms to retail to service businesses.

Benefits

The benefits are tremendous and include real efficiency and productivity that impacts your bottom line, creates an engaged team (people really like to come to work and enjoy what they do), and real waste is cut from your operation increasing profits and improving your cash flow.
 
Results of a Second LEAN Culture
 
    1. Operational excellence
    2. Low turnover
    3. Customer retention
    4. Consistent reduction in cost
    5. Consistent increase in quality
    6. Continuous innovation
    7. Pursue your Core Values
    8. A fun place to work
 
Before you do anything watch these 3 Videos (21 minutes total):


The president of LANTECH provides some insights about leadership and LEAN - 4 key points (7 minute video): 

https://www.youtube.com/watch?v=fOotGdcDQ8o


Owner of Wildwood Cabinetry -LEAN Journey/Company transformation (8 minute video):



Wildwood Employees - LEAN is about people - What LEAN means to these two (6 minute video):

Tuesday, November 15, 2016

Always be Recruiting


 
Always Be Recruiting -  
Presentation/Topgrade for Culture



"There's something rare, something finer far, 
something much more scarce than ability. It's the ability to recognize ability."
- Elbert Hubbard
 
"Recruiting should be a process not an event. We don't go and find new customers only when we lose one, we are constantly seeking new customers and we should be recruiting new A Players for our Virtual Bench all the time too."
- Jack Daly
 


Tuesday, November 8, 2016

Coaching vs. Managing

Step #14 through #18 - in the 20 Steps to Build a Great Business

 
Coaching vs. Managing



"We can only manage things, activities and cows. People can't be managed they must be coached."

"Coaches know they cannot play the game. Managers know they can play the game and probably better than anyone else on the team. Coaches focus on making the players the best they can be."

- Rick Wallace

Of all the beliefs we hold dear, being a "better manager" is the biggest lie we have been told. Take 18 minutes and watch this video on the difference between coaching and managing, and the techniques to use to begin coaching your team.

This 18 minute video will cover steps 14-18, and is all about People:

  • Coaching vs Managing
  • Weekly coaching
  • Stop Answering questions
  • Recruiting and building a Virtual Bench
 
Coaching vs. Managing
Coaching vs. Managing

Tuesday, November 1, 2016

Rhythm and Execution


 
The Rhythm that Ensures Execution



"Communication - the biggest problem with communications is that we think it has been done."

"Goals without actions are dreams, actions without goals is chaos."

"Learning is not enough we must do."


The Leadership Matrix - Planning and Execution


Right PeopleRight ThingsDone Right
ClarityVision/Goals/PurposeActionsCore Values
FocusEngagementAccountability2 Second LEAN/
Process
ExecutionWeekly Coaching ConversationScorecards/
Dashboards
Training


Execution is the last row of the Leadership Matrix Process and these 3 processes are the key to a great business. Because without action and execution there are no results - regardless of how good your plan, strategies, tactics and solutions are, if you can't execute/finish the Right Things you can't build a great business.

Rhythm are the habits that ensures follow up and execution within your business. How many times do you start an project, talk about an idea or a solution to a problem and then get "busy" and it never gets done? We start and stop and start again because we don't have a process to follow up and execute those Right Things.   

Morning Huddles 2 Second LEAN - company wide learning, goals, wins, cut waste.

Weekly Coaching Conversations - One on one 10-15 minutes each week with direct reports.

Weekly Coaching Scorecards - Goals, skill improvement, Rocks, Core Values.

Training Hour - Planned training each week in practice not in the game.

We will be covering each of these in detail in the next few weeks. 

Learning, tools and actions to build and execute this process in your business can be found in the course below.

Tuesday, October 25, 2016

The Two Levers of Profit


 
The 2 Key Numbers/Metrics to Profitability - Simple Numbers.


There are two key levers to profitability in any business. If you want to increase your profits, begin to understand, track and measure these two "numbers" and your profits can soar.

Those two "numbers" are Gross Margin and Labor Productivity!!!

Most business people look at labor as the biggest expense item on their P&L. They budget it based on raises and benefits, etc. and then don't look at it much during the year. It is an expense to them.

Stop right there - that belief is a lie and one most business owners fall prey too.
 
Begin right now to look at the total cost of your labor as an INVESTMENT and one you expect a great return on. What do I mean by an investment? Take The Container Store for instance. 30 years of unheard of profits and compounded growth of 20%.

The secret?  Kip Tendall, the founder, will tell you simply "We hire the best people, pay them 30% more than the industry average, but those A Players are so productive that we have 1/3 the number of staff in each store as the industry average."

He treats labor as an investment so it does not matter how much he spends on it only that he gets a great return on that investment. He does not, as most business people,  treat labor as an expense looking to cut it to make more profit.

So look at the productivity of your people - Full Time Equivalents - using Revenue per FTE or better still, read the following...

From Greg Crabtree, author of Simple Numbers:

Revenue gets too much credit and Gross Margin is misunderstood and measured incorrectly.

A company that focuses on revenue without profit is like the First National Change Bank skit on Saturday Night Live.  "Four quarters for a dollar, how do we make profit? Volume!"

A company that focuses on the Gross Margin percentage instead of Gross Margin dollars will quickly find there are not enough foolish customers in the world that overpay for things to support their uncompetitive business.

This blog is about how to get the two brothers to play nicely - and about why Gross Margin dollars is a higher quality number than Revenue.

Revenue is certainly the starting point of every P&L statement, but I contend that many businesses over-emphasize revenue. Each revenue dollar is not equal when it comes to the Gross Margin you get after your direct costs.

Definition of Gross Margin
I have a slightly different definition of Gross Margin than most accountants.  Gross Margin is Revenue minus all direct costs that do not include labor.  A direct cost (commonly referred to as cost of goods sold or cost of sales) is any cost that is directly associated with the production of revenue.  Easy examples are:
    • merchandise cost that a retailer sells
    • materials for a construction contractor
    • a subcontractor for a government contract
Other business models might not be as easy.  For example, an IT services business might include subscriptions to software tools that they resell to their customers as part of their monthly service fee.  The key to what you include is to be consistent in putting the cost in the same place.  Many times, we model out for a client the presentation of the data as a direct cost and then show them the same data within Operating Expenses to see which one resonates best.  With our bucketing approach to our Simple Numbers Tool, it makes it easy to change which bucket you put it in before you have to commit.  At the end of the day, it is more about where it makes sense for you than the accountant!

Why Not Include Direct Labor?
I have long contended that since labor is the key driver of profitability in your business, you never want to mix labor with anything that is not labor.  This required us to create a new subtotal after Gross Margin and before you get to Operating Expenses.  Gross Margin minus Direct Labor is what we call Contribution Margin.  Contribution Margin is the true "output of the business engine."  By keeping Direct Labor on a separate line, it allows me to quickly hold Direct Labor accountable to Gross Margin.

Gross Margin Dollars Holds Direct Labor Accountable 
Every type of labor has a number that it is held accountable to.  Our measurement of "Direct Labor Efficiency Ratio" or "Direct LER" is Gross Margin divided by Direct Labor.  This ratio gives me the multiplier effect of my Direct Labor instead of the common calculation of looking at labor as a percentage of something.  My experience says people would prefer to be considered a multiplier instead of a fraction.

If you measured your Direct Labor against Revenue instead of Gross Margin, you would get significant distortion if you sold goods or services at different margin percentages.  This is why I never recommend the "Revenue per FTE" metric.  (FTE = Full Time Employees) Revenue dollars are not equal if they come at different margins, and certainly no two employees are equal.  A Gross Margin Dollar is the highest quality number for true income and a Dollar of Labor is the highest quality cost metric to measure it against.

Gross Margin Strategy
By focusing on Gross Margin Dollars, you open up your mind to different business models.  We had a client who sold a high cost item on the Internet at cost just to get profit from high margin accessories and make a profit on shipping.  His goal was to make $800 of Gross Margin per customer interaction, not maintain a GM%.

Once your Gross Margin as a percentage of Revenue drops below 40%, you may want to consider basing all of your profit metrics off of Gross Margin instead of Revenue.  We typically push up the target percentage if we use Gross Margin, and it is not unusual for those businesses to make 20%+ net Profit as a percentage of Gross Margin.  The key challenge with a high volume, low GM% business model is making cash flows work out.  If you can fund your cost of goods with either vendor money or your own money, these can be very lucrative business models.

As a service business, I currently do not have any cost of goods sold in my model, but I leave the line there because I could choose someday to resell other people's services, subcontract out some work or sell product.  It may or may not fit your values or focus, but it is good to leave open the possibility should the right situation come along.

Summary
Measure Revenue as a starting point, but make Gross Margin the true top line of your business for internal discussions.

Tuesday, October 18, 2016

The Leadership Planning Process and Document


 
The Leadership Planning Process and Document


"You read a book from beginning to end. You run a business the opposite way. You start with the end, and then you do everything
 you must to reach it."
- Harold Geneen, industrialist
 
 
Strategic Planning is a must for ANY BUSINESS. You must have a place to document and write the story of your business. In 30 years of corporate life I have been a part of dozens of strategic planning meetings and the documents or "books" that usually followed those meetings. 100% of them were put on a shelf and never looked at again for a year or more. The meetings were good, but the documents were too long, complex and just not fluid enough to be used. We could not execute with them.
 
I found a simple document, that is great for the small business. It is a document that is part of a process, has everything in 2 pages, is updated quarterly and is a living plan that requires execution and accountability. Here is a 10 minute video taking you through this document.


 
I have a new online coaching Class starting Nov 15th. This course is a 6 month mini MBA with you and your company as the case study. You will learn and take action on that learning to build your plan and learn how to ensure it is executed.
Questions about the class? Click here for Answers.

Tuesday, October 11, 2016

Culture Eats Strategy for Lunch


 
Culture Eats Strategy for Lunch. Core Values and Why They Matter.


                   
"Researchers found it actually doesn't matter what your core values are. What matters is that you have them and you align the entire organization around them; and you're willing to hire and fire people based on having nothing to do with their actual job performance."
- Tony Hsieth, Zappos
 
Watch this 7 minute talk by Tony Hsieth about Core Values and Purpose. And then read this short article on how powerful it can be for your team and business.

The All Blacks
Most of us are not in tune with Rugby but the All Black's are the best in the world and have been for 100 years.

I saw this article and thought it was a great example of Core Values and how, when defined, embraced, communicated and lived every day can ensure a great company with competent, committed and engaged employees.

When England faces the All Blacks on Saturday, they will line up against statistically the most successful sporting team in human history. New Zealand's win-rate over the last 100 years is over 75 per cent. It's a phenomenal record, and an achievement matched by no other elite team, in any code.

But back in 2004, something was wrong. The 2003 World Cup had gone badly, and by the start of the following year senior All Blacks were threatening to leave. Discipline was drunk and disorderly, and to make things worse, the All Blacks were losing.

In response, a new management team under Graham Henry began to rebuild the world's most successful sporting team from the inside out. They wanted a fresh culture that placed emphasis on individual character and personal leadership. Their mantra? 'Better People Make Better All Blacks'. The result? An incredible win-rate of just over 86pc, and a Rugby World Cup.

In early 2010, I had the privilege of going deep inside the All Blacks camp for five weeks alongside photojournalist Nick Danziger. It was a unique opportunity to study the way the best in the world stay on top of their game.

Here are five lessons in leadership I learnt.

The All Blacks Values

1. Sweep the sheds (Rick- sounds like 2 Second LEAN to me!)
Before leaving the dressing room at the end of the game, some of the most famous names in world rugby - including Richie McCaw, Dan Carter and Mils Muliana - stop and tidy up after themselves. They literally and figuratively 'sweep the sheds'.

Former All Black Andrew Mehrtens describes it as an example of personal humility, a cardinal All Blacks value.

Though it might seem strange for a team of imperious dominance, humility is core to their culture. The All Blacks believe that it's impossible to achieve stratospheric success without having your feet planted firmly on the ground. 
Dan Carter Kicking for Goal

2. Follow the spearhead - (My input: Hire and fire  for values, not competence alone).

In Maori, whanau means 'extended family'. It's symbolised by the spearhead.

Though a spearhead has three tips, to be effective all of its force must move in one direction. Hence the All Blacks mantra 'No D***heads' (loosely translated No one gets in that is uncommitted, disengaged, that don't "fit in"), a term shamelessly stolen from the Sydney Swans.

The All Blacks select on character as well as talent, which means some of New Zealand's most promising players never pull on the black jersey - considered d*******s, their inclusion would be detrimental to the whanau.

3. Champions do extra (My input: committed to improving you and everything around you.)

Former All Black Brad Thorn's mantra, 'Champions Do Extra', helped him become one of the single most successful players in rugby history.

The philosophy simply means finding incremental ways to do more - in the gym, on the field, or for the team. It is much like the philosophy of marginal gains used by Team Sky.

A focus on continual improvement, the creation of a continual learning environment, and a willingness to spill blood for the jersey was at the core of Graham Henry's All Black culture. 
Brad Thorn
4. Keep a blue head (My input:  keep focused on the Rocks, the right things and executing them, not putting out fires and reacting all day.)

Following their arguably premature exit at the 2003 World Cup, the All Blacks worked with forensic psychiatrist Ceri Evans to understand how the brain works under pressure. They wanted to overcome their habit of choking.

'Red Head' is an unresourceful state in which you are off task, panicked and ineffective. 'Blue Head', on the other hand, is an optimal state in which you are on task and performing to your best ability.

The All Blacks use triggers to switch from Red to Blue. Richie McCaw stamps his feet, literally grounding himself, while Kieran Read stares at the farthest point of the stadium, searching for the bigger picture.

Using these triggers, the players aim to achieve clarity and accuracy, so they can perform under pressure. 
Richie McCaw
5. Leave the jersey in a better place (My Input: Core purpose.)

The All Blacks have long had a saying: 'leave the jersey in a better place'. Their task is to represent all those who have come before them - from George Nepia to Colin Meads, Michael Jones to Jonah Lomu, and all those who follow suit. An All Black is, by definition, a role model to schoolchildren across New Zealand.

Understanding this responsibility creates a compelling sense of higher purpose. It's a good lesson for us all: if we play a bigger game, we play a more effective game.

Better people make better All Blacks - but they also make better doctors and lawyers, bankers and businessmen, fathers, brothers, and friends.

James Kerr is the author of Legacy: What the All Blacks Can Teach Us About the Business of Life. 15 Lessons In Leadership (Published by Constable £12.99)