Nevada’s oldest brewpub opens new Reno brewery

25 Sunday Jul 2010

Posted by Paul Kiser in About Reno, Branding, Business, Customer Relations, Information Technology, Passionate People, Public Relations, Rotary, Social Interactive Media (SIM), Social Media Relations

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Beer, Blogging, Blogs, Brewery, Brewing, Brewpub, Craft Beer, Customer Loyalty, Employment, Food, Grain, Great Basin, Hops, Management Practices, Micorbrewery, Nevada, New Business World, Public Image, Public Relations, Publicity, Restaurant, Rotarians, Rotary, Rotary Club, Rotary District 5190, Specialty Beer, The Great Basin Brewing Company, Value-added

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

No one could legally brew beer in Nevada until the early 1990’s. That was changed, in part, by the efforts of Tom and Bonda Young and a few other brewing entrepreneurs who worked to change antiquated State laws. Once the law was changed Tom and a business partner established the first brew pub in northern Nevada, the Great Basin Brewing Company in 1993. Today, Great Basin Brewing is the oldest brewpub in Nevada and this week it will open a new top shelf brewery/restaurant in Reno.

Great Basin Brewery might have started out in Reno, except that the law that allowed brewpubs to operate in Nevada initially required the location to be in an area designated as a redevelopment zone and Sparks stepped forward to welcome the venture in the Victorian Avenue redevelopment plan. For 17 years it has been a significant part of downtown Sparks.

South side of the New Great Basin Brewing Company in Reno, NV, USA

Brewpubs are no longer restricted to redevelopment zones and last November Tom and Bonda took the leap to expand by remodeling a former Mexican chain restaurant into a showcase brewery serving some of Nevada’s most honored craft (specialty) beers. The new Reno location will significantly increase the production of the local brewpub that already is among the top 35 among over 1600 in the United States. The Sparks location can currently produce 7 barrels of beer at a time, but the new brewery will increase the combined production to 32 barrels.

Eli and Ryan working the brewing room

In addition to increased beer production, the new Reno Great Basin Brewery location will serve the same menu as its Sparks sister facility with the addition of hot baked pizza from their new brick pizza oven. The expansion of Nevada’s home-grown brewery has also created new jobs with the increased staff, along with the construction workers involved in the remodel. Tom also worked with local suppliers as demonstrated by using a local carpenter to build all the table tops in the facility.

Several members of the brewery staff have taken on significant responsibilities during the remodel and ramp up phases of the project including Jazz Aldrich, Eli Brightburg-Smith, Paul Ganzer, Dave Miller, Ryan Quinlan, and Dondo. This week has been spent taking the final step to make the new facility’s restaurant operational for the public opening on Monday (July 26).

Signs show which craft beers are currently on tap.

While watching beer brew can be as exciting as watching grass grow, it is intriguing to be able to see the large stainless steel containers that ferment grain products into a wide variety of craft beers that have landed the most awards of any Nevada brewpub. The new facility includes a silo on the southwest side of the building for the grain used by the brewery, which is a reminder that this is a real brewery with a brewpub and restaurant, and not just a restaurant that has a small brewery function to qualify as a brewpub.

I’m a big fan of the Young’s and the Great Basin Brewing Company. Tom Young has been a long-time member of the Rotary Club of Sparks and has donated many kegs of beer at cost or less for many fundraisers in the Reno/Sparks area. He and Bonda have also hosted Rotary Youth Exchange students and been active participants in club activities. It is exciting to see local business people who have given back so much to the community expand their operations and bring a quality brewery into Reno proper. If you have a chance to stop by this week I highly recommend stopping in to see the facility and have a beer..or two. Cheers!

(The Great Basin website)

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Rotary@105: Membership/Public Image Challenge

20 Tuesday Jul 2010

Posted by Paul Kiser in Branding, Club Leadership, Communication, Customer Relations, Customer Service, Lessons of Life, Management Practices, Membership Recruitment, Membership Retention, Passionate People, Public Relations, Relationships, Rotary, Rotary@105, The Tipping Point, Women

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Blogging, Club Members, Customer Loyalty, exit interviews, Management Practices, Membership Recruitment, Membership Retention, New Business World, Paul Harris, Public Image, Public Relations, Publicity, Rotarians, Rotary, Rotary Club, Rotary District 5190, Rotary International, survey, Value-added

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser - Rotary Public Relations Chair - District 5190

I have a challenge for every North American Rotary club that is at least ten years old:

Step 1. Look up all the new members that were inducted in the last three and a half years, excluding the new members inducted in the last six months (e.g; members inducted between January 2007 and January 2010.)
Step 2. Determine how many of those members left the club.
Step 3. Contact them (if living) and ask the following questions:

Why did you leave the club?
Why did you really leave the club?
In a time when more connections with business people would be more critical, why didn’t our club offer this to you?
What type of person would you recommend to join our club? (Age, gender, personality, etc.)
What irritated/disappointed you about our club?

Step 4. Hold a Board Meeting to discuss the results.

Rule One is that no one is allowed to diminish or discount the statements of the former member (e.g.; “She never was really happy with us.” or “They just wanted to network.” or “He joined for the wrong reasons.”)

Rule Two is that no one on the Board who has served over three years is allowed to participate in the discussion for the first 30 minutes.

I think you’ll find the results interesting and tell you the public image that your club projects to others. Why? Too many Rotarians are looking for members who think, believe, talk, act, and look like the existing club members. New members who don’t fit the mold are the first to leave. The question is whether the club is ready to adjust their behavior to be more inclusive of business professionals who may not fit the mold.

The reason to limit the participation of long-term Board members is because members who have become entrenched in the decision-making process of the club tend to have too much say and tend to try to preserve the status quo.

Let me know what you discover about your club’s public image.

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2Q 2010 Social Media Tools: Facebook/Twitter sail on, LinkedIn/MySpace don’t

20 Tuesday Jul 2010

Posted by Paul Kiser in Communication, Consulting, Customer Relations, Customer Service, Information Technology, Internet, Management Practices, Passionate People, Public Relations, Re-Imagine!, Relationships, Rotary, SEO, Social Interactive Media (SIM), Social Media Relations, The Tipping Point

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2nd Quarter Social Media Stats, Bloggers, Blogging, Blogs, Customer Loyalty, Facebook, Google Ad Planner, LinkedIn, Management Practices, MySpace, New Business World, New York Times, npr, Public Image, Public Relations, Publicity, Rotarians, Rotary, Social Media, Social Networking, The Denver Post, Twitter, users

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

Facebook Dragging Anchor?
Facebook hit 500 million users recently (Google Ad Planner puts them at 550 million as of June) and Twitter is hovering near 100 million. When you consider that Facebook doubled the number of users in about a year it seems like the growth of the giant will not stop, but something interesting has happened in the past three months. The growth in visitors (measured via cookies) has slowed; however, Facebook has gained 60 million users in the second quarter, so no one can reach a conclusion, yet.

Yes, everyone was going to quit Facebook on May 31, 2010, and that didn’t happen, but there may be a new temperamental wind blowing in the world of Social Media. It’s possible that Facebook’s bad press over privacy issues has had an impact on new users and/or it’s possible that Facebook has reached a point of saturation. Regardless, Facebook has hit a speed bump, which leads everyone to wonder if it is a temporary blip, or has the bubble burst?

Facebook Visitors 2Q 2010 (not users)

Twitter Whale of a Fail
Twitter has also seen a slight decrease in visitors over the last two months; however, Twitter gained 16 million users in the second quarter and it should easily exceed the 100 million user mark in the third quarter. Twitter may be experiencing fallout from the backlash at Facebook, but it is more likely that Twitters persistent ‘Fail Whale’ capacity issues are preventing the service from scoring big gains with new users. For several weeks in June, Twitter users experienced constant interruptions in service that were a major annoyance causing many to exacerbate the problem by Tweeting their complaints. The issues were similar to the days when AOL dial-up service lacked the capacity to handle the volume of users…and remind us of the risk an organization takes in failing to anticipate rapid growth.

Twitter Visitors 2Q 2010

From a position of potential demand by business-oriented users, Twitter is in the best position to grow into the Facebook of the business world, but it has to overcome the confusion by older users of the usefulness of the service; however, there is a ‘Tipping Point’ that once achieved could push Twitter into mega growth and a potential of becoming larger than Facebook in total users.

Twitter up-time seems to be getting better in the past two weeks, but continued reliability problems could have a significant impact on user happiness and that opens the door for another service to step up and prove that they offer more than twitchy connections.

LinkedIn Visitors 2Q 2010

LinkedIn Becalmed
The surprise in the 2nd Quarter was the loss of users for LinkedIn. Dropping from 41 million down to 38 million for the business networking website may indicate that it is in a market that is too narrow. LinkedIn encourages long discussions of business issues, and the formation of related groups, but the downside is that few care to read 257 posts of people’s opinions where the knowledgeable people are mixed in with the clueless. LinkedIn also discourages connecting to another user unless you already have a relationship with them, which means you’re talking to the same people you already know. Twitter’s advantage is a more rapid discussion that spins off to other blogs rather than an on-line list of opinions. Twitter also connects people in a way that allows the user to edit their followers, rather than depending on an existing relationship. This could be the signal of a trend and LinkedIn may come out on the short end of Darwin’s evolution theory.

MySpace Visitors 2Q 2010

MySpace: The Titanic of Social Media
MySpace is proof that failure is an option in the world of Social Media. Of course, they are a failure with 66 million followers at the end of the 2nd Quarter, but they had 80 million users at the end of the 1st Quarter. At this pace they will under 10 million users by next summer. MySpace is the Wicked Witch of the West and she is sitting under Niagara Falls …. ‘I’m meltinggggg.’

It is possible that by the end of the 3rd Quarter the field of Social Media tools could be clearly down to Facebook and Twitter. MySpace would need a massive public relations campaign and cool new tricks to stop its decline. It is the BP of the Social Media and it doesn’t have the finances to pull up before it noses into the corn field. LinkedIn is sitting on a house of cards. Being a ‘Business Networking’ service is not enough to keep it viable. If it drops under 30 million users by the end of 3rd Quarter I predict that it will be a race between LinkedIn and MySpace to be the first to dissolve in 2011. MySpace’s loss will be Facebook’s gain and LinkedIn’s loss will be Twitter’s gain. I still believe Twitter has more potential than Facebook, but they will have to overcome the misconceptions by older users of its purpose and value.

We wait for the 3rd Quarter…what will people do?

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Epic Fail: Media/PR ‘Experts’ don’t get Twitter

13 Tuesday Jul 2010

Posted by Paul Kiser in Branding, Communication, Customer Relations, Customer Service, Ethics, Information Technology, Internet, Lessons of Life, Management Practices, Passionate People, Print Media, Public Relations, Re-Imagine!, Relationships, Rotary, SEO, Social Interactive Media (SIM), Social Media Relations, The Tipping Point, Traditional Media

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Blogs, Customer Loyalty, Epic Fail, Facebook, LinkedIn, Management Practices, Marketing, Media, New Business World, PR, Public Image, Public Relations, Publicity, Re-Imagine!, Rotary, Sales, sell, Selling, Social Media, Social Networking, Twitter, Value-added

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

“I just don’t see a way to monetize it” – Local PR Company Owner

Paul Kiser

Some of my best friends are Media/Public Relations (PR)/Marketing Experts…okay, maybe not my best friends, but I do have several people I consider friends who have been/are major players in the PR industry in their market and almost all of them either reject Twitter or are mystified by it. The three questions/comments I hear most from my PR friends are as follows:

How do you have time to do it?
I don’t see how to monetize Twitter.
I just don’t get it

The first question requires that a person accept that Twitter can be something of value to their (or their client’s) business. Unfortunately, many ‘experienced’ business people have a misconception of what Twitter is (or is not,) so they are already under the presumption of guilt on the charge the Twitter is a waste of time. They have to be convinced that it has value, thus deserving it merits their ‘time’. But for many ‘seasoned’ PR types the only way they will accept Twitter as worth their time is if it has an immediate dollar return, which leads to the second comment.

The fact is that Twitter a communication tool leads the experienced Media/PR person to fall back to the concept that it can be used for advertising/spam purposes and when Social Media users respond by unfriending/unfollowing them, they decide that Twitter is a waste of time. All their training and experience tells them that Social Media is a billboard that if they can just find the right ‘trick’ then Twitter can be used to manipulate the public to buy whatever they (or their client) is selling. That is what they know and thus it leads to the third comment, that they just don’t get it.

Twitter is a new variety of the PR Cherry

Twitter is not a spam tool. The idea that you can make revenue directly from Social Media demonstrates a lack of understanding of the environment. It would be like trying to add spam to someone’s personal email. People would not accept their personal message being overshadowed by spam for Sam’s Plumbing and it would be annoying to the receiver. Spam/advertising (all advertising is spam) is an affront to people’s intelligence and when people can turn it off they do, and that means Twitter has no value to many ‘experienced’ Media/PR people.

The failing is in the concept of trying to ‘sell’. Any reputable business does not need to ‘sell’ their product or service. I’ll say that again. Any reputable business does NOT need to sell their product or service. What they need to do is educate the public on their product or service and why it will improve their life. Educating is not selling. Selling assumes that you can manipulate people to buy whatever you’re selling. Selling is a function of greed and greed is unethical.

The Social Media environment exposes selling and rejects it, but it loves educating. Social Media is a learning environment and the PR professional that doesn’t understand that will not understand Twitter. This opens the door for those who can reject the old ideas of PR and accept a new strategy of service/product management.

Meanwhile, we should create a new Social Media tool for those who love to sell. They can all join it and try to sell to each other. Maybe we can call in ‘Spinster’?

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Rotary PR: Disrespecting the Club President is a PR/Membership issue

11 Sunday Jul 2010

Posted by Paul Kiser in Random

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Blogs, Club Members, Club President, Customer Loyalty, Disrespect, Dissatisfiers, Management Practices, Membership Recruitment, Membership Retention, Public Image, Public Relations, Publicity, Rotarians, Rotary, Rotary Club, Rotary International, Rotary policies, Value-added

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser - Rotary Public Relations Chair - District 5190

Some Rotary clubs have a major problem. It starts with a few good-natured jabs at the President and everybody laughs. Then a few more jabs. And everybody laughs. Soon you have seven or eight members trying to one-up each other on criticizing the President and then it becomes a free-for-all. It all seems like it’s done in fun, but what message does it send internally to your members and externally to club visitors?

It seems to be a Rotary club tradition to give the Club President a hard time, but a visitor will likely see excessive ribbing as unprofessional and when the President is humiliated in public it may become uncomfortable for guest to even be in the room. The ‘fun’ behavior can and will become the basis of the club’s public image to non-members.

Ask yourself these questions the next time club members are having ‘fun’ at the expense of the President:

Who is doing the ribbing (males or females, older members or younger members, etc.)?
Is the ribbing done in kindness, or is it mean?
If you were the Club President, how would you handle/feel about the ribbing?
Does the ribbing reinforce the public image that Rotary is a professional organization for all ages/genders or an old man’s fraternity?

But what internal message does it give to the club members?

Many clubs find it difficult to recruit a member to be Club President because of the time and energy required. Add the weekly humiliation to the significant responsibilities of the role and it is easy to understand why many members pass on the job. It also may lead some members to grow weary of constant sophomoric behavior and add to the dissatisfiers that will cause them to leave the club.

(See Dissatisfiers: Why John Quit)

Rotary clubs do not have to be a sober, somber environment, but they do have to be professional. Members should be aware that ‘fun’ has its limits and that not all ribbing is ‘good natured’. But if certain members feel they must be disrespectful of the President, then let their pleasure be profitable for the club….I would say a $5 fine per incident would be a starting place.

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WiFi on Southwest Airlines: Is it ‘Shovel Ready’?

09 Friday Jul 2010

Posted by Paul Kiser in Branding, Customer Relations, Customer Service, Ethics, Government Regulation, Information Technology, Internet, Management Practices, Public Relations, Re-Imagine!, Relationships, Rotary, Social Interactive Media (SIM), Social Media Relations, Travel, Website

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Air travel, Blogging, Blogs, Customer Loyalty, Executive Management, Management Practices, New Business World, Public Image, Public Relations, Publicity, Rotary, Social Media, Southwest, Southwest Airlines, Starbucks, SWA, Value-added

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

In the July edition of Southwest Airlines ‘Spirit’ in-flight magazine SWA takes a swipe at “President Obama’s” Recovery Act (I’m pretty sure that more than one person put together the program that pulled us out of economic disaster) and informs the passengers that the definition of ‘Shovel Ready’ is also associated with a project that has failed. Obviously, there is no LUV coming out of Texas for our 18-month old administration, but I was surprised that they would put a political biased slam in their customer publication.

Regardless, I will take their lead and use their definition to ask if the Southwest Air WiFi program is ‘shovel ready’?

Southwest was testing WiFi on four planes (I’ve also heard that only one plane had/has the service) as early as March 2009. I flew a WiFi-enabled plane from Denver to Reno a several months ago when they had to replace the plane we were supposed to fly. After boarding the plane several hours late the flight attendant announce that to make up for our delay we at least would have WiFi because we were on the ‘special’ plane. She then immediately said that we would not be able to use the service, but didn’t say why. That seems to typify Southwest’s efforts to get WiFi off the ground.

Southwest has a page on their website that announces the new WiFi service to begin in early 2010. Is July early? Note that you can only find this page by a Google search or by going directly to the page at:

Southwest Air WiFi Page

If the link is dead that will mean that Southwest read this post and someone in IT probably got chewed on for not killing the page. In case they update the page, here is what it said as of today (July 9, 2010):

“Southwest Airlines is excited to offer satellite-enabled Wi-Fi internet access onboard. The service is currently on four aircraft, but we hope to begin equipping more of the fleet with this cutting-edge technology in early 2010.”

In Gary’s Greeting on the SWA website titled “Technology is Our Friend,” CEO Gary Kelly spends two sentences on the WiFi service:

“Many Customers want to stay connected while aloft, and your chances of flying on a Southwest Wi-Fi-equipped jet improves as the year progresses. In April, we began a two-year process of installing this state-of-the-art connectivity on our entire fleet.”

Other than that Southwest is making no effort to publicize the new WiFi service, which begs the question “Is there a problem?” Early 2010 has come and gone, April 2010 was three months ago, where’s the WiFi? I understand that it will take some time to install it on all the planes but this is a marketing opportunity and a major addition to in-flight service. Is SWA just unenthusiastic, uncaring, or embarrassed about offering WiFi, or is there a problem? If it was meant to be a secret it was not the smartest move to build a webpage to announce the service. My guess is that there have been major problems and the corporate PR people are hoping no one will notice. If that’s the case then they would be wrong.

LUV is the SWA Way, but you pay for WiFi

They have said that the service will not be free. That’s disappointing from a business standpoint. For an airline that is full of LUV’ it would seem that one inexpensive way to build customer love would be to offer free WiFi like Starbucks. I published an article today praising the wisdom of free WiFi and rather than repeating here I’ll offer the link to the article.

(The business benefits of free WiFi)

I admit I am biting the hand that feeds me. I will only fly SWA unless I can’t get to a city with their routes. But between the political jab in Spirit magazine and the noticeably absent WiFi service I am not feeling the LUV right now. I’m sure I’ll get over it and in a few weeks I’ll be flying to Dallas on SWA and I’ll be happy to do it … but just in case Gary Kelly reads this please note that ‘thump’ you hear outside of Las Vegas or Austin might be me landing a few minutes before the plane does. You never know, some people have no sense of humor.

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Starbucks makes a smart move: Free WiFi

09 Friday Jul 2010

Posted by Paul Kiser in About Reno, Branding, Communication, Customer Relations, Customer Service, Information Technology, Internet, Lessons of Life, Management Practices, Public Relations, Re-Imagine!, Relationships, Rotary, Social Interactive Media (SIM), Social Media Relations, The Tipping Point

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Blogging, Blogs, Circus Circus, Coffee, convention authority, Customer Loyalty, Executive Management, Free Internet, Free WiFi, gambling, Gaming properties, Grand Sierra Resort, hotels, John Ascuaga's Nugget, Las Vegas, Management Practices, Nevada gaming, New Business World, Public Image, Public Relations, Publicity, Re-Imagine!, Reno Gaming, Rotary, Social Media, Social Networking, South Point, Starbucks, The Atlantis, The Eldorado, The Peppermill, The Silver Legacy, Value-added, WiFi

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Customer Loyalty: Paul Kiser in Starbucks style

Today I’m dressed like a Starbucks employee to honor the wisdom of the decision-makers at the famous coffee company to team with AT&T to offer free WiFi to all. They started it on July 1st. It is a smart move…a very smart move.

Why? There is one common aspect of every successful business and it is simply to give your customers a reason to love you. That’s it! Customers who love a service or product is an absolute ‘must’ if you want to build customer loyalty and business referrals. You can spend millions of dollars in advertising and not get the return that a company gets with requited love from their customers. With free WiFi Starbucks has found a way of creating value-added service that will cause many people to love Starbucks.

If you have a ‘butts-in-the-seats’ type of business and you want customers to: 1) frequent your location, 2) spend time and money in your business and, 3) be loyal to your business then free WiFi is one of the best ways to make it happen. Here’s what will happen for Starbucks over the next 12 months.

Starbucks will see increased traffic of laptop users (a ‘small’ market of people who will buy almost 200 million laptops in 2010)
Starbucks will see more repeat business
Starbucks will be more visible to more people
Starbucks will not need to spend as much on advertising and will get more social media publicity

All butts-in-the-seats organizations would like to experience these four outcomes in their business, so why don’t more places offer free WiFi? In brief, the answer is ‘accountant-think’, which is always short-sighted. The common rationale is one of two issues. First, instead of seeing free WiFi as an inexpensive way to add value to their service the accountant-think business people try to make it a revenue source. In Reno, Nevada the major hotel/gaming properties have been known to charge as much as $500 to ‘turn on’ WiFi in their convention areas and most of the properties charge around $13/day for guests to have access to WiFi. The result is that technology conventions go elsewhere rather than be charged for a service that they can get for considerably less (or free) in another market. The Reno gaming properties have boxed themselves in with contracts or dependence on the revenue source from WiFi, so they are now in a death spiral of losing more and more business or give up a piece of their dwindling revenue.

Last year I was in Las Vegas on a business trip and stayed at the South Point property. They charged a fee for WiFi, so I went to Starbucks to get online (my home account is with AT&T, so I’ve always had free access at Starbucks.) Afterward I picked up dinner at the Outback Restaurant next door and took it back to my room. South Point didn’t get me to stay on property, nor did they even get me to eat at in-house, simply because they didn’t offer Free WiFi. Is that a smart business move on their part? Nope, just good, solid accountant-think.

The second rationale accountant-think executives is that WiFi customers don’t have a revenue impact. In August of 2009, Erica Alini wrote an article for the Wall Street Journal (NOTE: the Wall Street Journal or WSJ is a historical archive of old business trends written by accountant-think reporters) that declared, “Coffee Shops Pull the Plug on Laptop Users.” For her article Ms. Alini cites three examples in New York that discussed limiting or eliminating laptops at a cafe or coffee shop. The most common problem seemed to be too many customers … what a tragic problem … and that some laptop users were purchasing minimal product. However, Ms. Alini admits that some places were using laptop users to ‘make the place look busy.’

A deserted restaurant is cause for people to avoid the business, so having customers, even minimal revenue producing customers, can mean more paying customers. My question is how much would a coffee shop have to pay people to sit and look like customers? Free WiFi is a small price to pay. I spend $10 to $15 per day at my Home Starbucks on Keystone in Reno, NV, USA. It will not make me a shareholder, but it is money I would not spend in one place, except for the fact that I am a captured customer. I also always meet with people at a Starbucks, so I bring in additional customers. The major factor in my customer loyalty is the access to free WiFi.

Starbucks has made a very smart business move with making free WiFi a value-added service for all and the return on the service will reap big dividends in customer loyalty and increased traffic (butts in the seats.) Starbucks customers have a new reason to love Starbucks and that is key to survival in today’s world. But don’t try telling that to the accountant-think executives running other stores and restaurants. They just won’t understand it … and I’m sure that’s okay with Starbucks.

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Two Barbecues and a Wedding

08 Thursday Jul 2010

Posted by Paul Kiser in Branding, Customer Relations, Customer Service, Lessons of Life, Management Practices, Public Relations, Re-Imagine!, Recreation, Relationships, Travel

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American values, Bhakti Chai, Blogging, Blogs, Boulder, City of Boulder, Colorado, Family, Flatirons, Flatirons Catering, Longmont, Management Practices, New Business World, Public Image, Public Relations, Re-Imagine!, Social Networking, The Buff Restaurant, Value-added, Weather, Wedding

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

I’m not a ‘big family celebration’ type of guy. I have about a two-hour threshold of family socializing and then I’m good for a year or two. It’s a family cultural thing. As my three older brothers and I moved out of our childhood home we didn’t make it a priority to keep close contact we each other, and in my case my parents moved out of my hometown when I went to college …., maybe that was meant to be a message.

Alexander was not impressed with the pomp.

So when it was announced that one of my spouse’s second cousins was getting married the day after the 4th of July and that all the family would be going to Colorado for a major weekend of celebrating, I was not the first one to pack my bags. It’s not that I don’t like the my spouse’s family because they are a very caring and intelligent group of souls, but I like control in my life and traveling and living in mass is about as out of control as it gets for me.

My spouse and her mother understands this character flaw of mine, but ‘no’ was not an option in this case. Initially I resisted the idea of being part of the Reno delegation but the final incentive was to add a couple of days to the trip to spend time with my daughters in Colorado. That got me to join the party … that and the potential ramifications of being a lone holdout for the event. The plan was finalized and tickets were purchased.

I was going to a family wedding in Boulder, Colorado … did I mention I don’t like family get-togethers?

A Perfect Backyard Wedding

So last week we flew to Colorado for some quality time in my home state. I prepared myself for what was to come … but I had no idea what to expect.

We spent a busy, but fun day-and-a-half with my daughters south of Denver and then drove up to Boulder for a gauntlet of family oriented parties. We were staying with one of my spouse’s first cousins, who live outside of Boulder on a ranch.

House in the Grove - Near Boulder

Sweet Home Colorado
My apprehensions about staying in someone else’s house were blown away when we got to their ranch. It was like page out of Better Homes and Gardens. We shared a ‘cottage’ with my brother/sister-in-law and their daughter. The cottage consisted of two bedrooms and a bath over a kitchen/living room. Her cousins have only lived there a little over a year, but they have done a tremendous amount of work to the main house and the cottage to make them comfortable and beautiful living spaces.

The property was among a grove of multiple types of trees with a stream running through it. In addition to the trees the landscaping showed the care and attention of thousands of hours of planning, planting, and maintenance. Across the creek and beyond the trees were horses and chickens to complete the experience for any child under 10. Did I mention the two zip lines? Well, suffice to say it was a joy to spend several days there.

(Zip Line – Wikipedia definition)

Our hosts held an excellent catered barbecue (Flatirons Catering) on the 4th of July with about 80 people attending and except for the late afternoon thunderstorm it was a one of the many highlights of the trip. Later that night some of us even rode the zip line across the stream in the dark…not advised when inebriated, but fun regardless of the state of sobriety.

(Flatirons Catering website)

View of the Flatirons over Boulder, CO

American-Values Oriented
I also spent a few free hours in Boulder and I came to appreciate the beauty of the city and the warmth of the people. People in Boulder care. They care about the environment. They care about quality of life for all. They care about politics. All of that care is translated into positive, happy people who love life.

Much of our country is infested with a group of disgruntled, bitter, sarcastic people who blame everyone else for all the country’s ills. Some people have gone as far as making up problems so they can be unhappy about them. That’s not Boulder. Boulder is a no-excuses, we’re-in-this-together, make-lemonade type community. Boulder is an American-values place that kept true to our founders ‘United We Stand’ attitude. Don’t get me wrong, the city has had its share of problems and is not immune to failure, but a simple drive around the streets show that they have dealt with adversity and triumphed where other cities have failed and given up. I didn’t realize what a breath of fresh air a community of positive, happy people could be until I spent some time in the city at the foot of the Flatirons.

The Buff Restaurant in Boulder, CO

In The Buff
Boulder is a creative place with high standards in business. In America the definition of bad food is any restaurant on the property of a motel. However, in Boulder The Buff Restaurant has leased its space from a Best Western motel since 1995, and it was one of the most pleasant eating experiences I’ve had in a long time. I had the Baja Benney which was a version of Eggs Benedict with avocado, artichoke hearts, and tomatoes. They also had Bhakti Chai tea which is made by a Boulder-based company, which was the best chai tea I’ve ever had..and I’ve had a lot of chai tea. In Boulder, customer expectations are high and the business owner who is looking to sacrifice value-added service and quality for profits is not going to be around long.

Father of the Bride greets the guests

(The Buff Restaurant website) and (Bhakti Chai Tea website)

Weather to Enhance Any Occasion
During my fifteen-year absence from my home state I forgot about Colorado weather. A typical summer afternoon includes a thunderstorm to cool things down in the afternoon followed by clearing sky and a pleasant evening. It’s perfect weather to spend time outdoors … a lot.

The Main Event

The weather was a factor for the main event of the week, which was of course, the wedding. It was an intimate, but beautiful event held in the backyard of the parent’s of the bride. The vows were sincere and funny and the entire ceremony was under crystal blue afternoon skies. There was a slight breeze that made the leaves sound like gentle applause to the event being held in their midst. For a July outdoor wedding it was a perfect combination of people, weather, organization, and ambiance.

In all, the trip was a great success. I could go on about the place we stayed, the preparation and work that the Colorado families made for all of us, Boulder, the wedding, my daughters, or how exhausted we all were by the time we got home, but suffice to say it was a fun experience.

I’m still not a fan of big family get-togethers, but I’m glad I went on this one.

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Foul Play: FIFA shows what less regulation offers to business

29 Tuesday Jun 2010

Posted by Paul Kiser in Ethics, Government Regulation, Lessons of Life, Management Practices, Public Relations, Random, Rotary, Sports

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2010 World Cup, Blogging, Blogs, deregulation, Fair Play, Fédération Internationale de Football Association, FIFA, Football, Foul Play, Game, Government oversight, Management Practices, New Business World, Officiating, Public Image, Public Relations, Publicity, Referees, Rotary, Soccer

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser

Up until today the Fédération Internationale de Football Association (better known as FIFA) believed in fate, not fair play. In FIFA soccer (better known as football) four referees are charged with monitoring non-stop activity on a ‘pitch’ that is a larger field than the USA’s National Football League (better known as the NFL) The position of FIFA has been that mistakes have been ‘part of the game,’ but today they announced that they would study the problem….which begs the question, do they know what the problem is?

Compare FIFA officiating to that of the NFL where seven referees focus on plays that take place in short time segments of action (a typical play takes 15-seconds or less.) In addition, each play is usually contained in a small area of the field. The result is that NFL referees are so reliable that they rarely make a mistake…but if they do they are backed up by instant replay.

Occasionally, the losing team will say that an NFL referee cost them the game, but in reality few have a legitimate argument to base the outcome on anything other than the players on the field and the leadership on the sideline. Officiating in the NFL creates an environment of fair play for both teams, that’s the sole reason for their existence.

FIFA's View of Sports Officiating

In South Africa the 2010 FIFA World Cup is being played and not only are the referee’s making mistakes, they are determining the outcomes. But up until today, FIFA liked it that way. Somehow the sense of fair play is optional under FIFA officiating and the skills and dedication of the players is secondary to keeping the matches subject to the whims and errors of the non-players on the field. The situation is so bad that this year’s winner of the World Cup will likely owe a debt of gratitude to some FIFA ref that helped them win a game in the ‘knockout’ rounds. No team can fully claim credit of superior gamesmanship because of the excessive, gross errors made by the referees. I do not fault the referees, because four people cannot possibly track all the action on the field for 93 continuous minutes (90 minutes? Who are they kidding?) In FIFA, foul play reigns supreme because of a lack of regulation.

A Lesson For Business
This is a good lesson for those who preach that less regulation is good for business. We have seen what happens when government is stripped back to allow business to do as they will to their customers and the market. Too little regulation leads to foul play. It always has, always does, and always will. Greed is bad, but that is what reigns supreme in unregulated business. Business ethics become an unacceptable expense in unregulated business. Good business people are forced to abandon their ethics or get out of the industry in unregulated business environment because of their competitors who sacrifice fair play in order to win at all costs. Whether it is an exploding oil platform in the Gulf of Mexico, a lead-based paint on a child’s toy, or unsustainable lending practices that will eventually destroy an economy, the cause is a lack of government oversight.

Whenever I say this to one of my conservative acquaintances they immediately quote me some instance that they heard from some source of an example of government abusing power. Yes, there are bad inspectors and absurd rules and laws that increase the cost of doing business, but I’ll take an occasional problem with government oversight to the perversion that unethical business people always devolve into when government is not there to protect us from greed. Regulated business is fair play for all and that’s what has made American business great.

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The shock of the McChrystal story: Story is over before the article is published

24 Thursday Jun 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Communication, Crisis Management, Ethics, Human Resources, Internet, Lessons of Life, Management Practices, Print Media, Public Relations, Rotary, Social Interactive Media (SIM), Traditional Media

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Afghanistan, Army, Bloggers, Blogging, Blogs, David Pertraeus, denver post, Executive Management, Facebook, General Stanley McChrystal, latimes, Magazines, Management Practices, McChrystal, Military Command, New Business World, Newspapers, npr, nytimes, President Obama, Public Image, Public Relations, Publicity, Rolling Stones Magaizine, Rotary, scandal, Social Media, Social Networking, traditional media, Twitter, US Military, War

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Paul Kiser - CEO 2020 Enterprise Technologies

Today is an amazing day! It may not seem that different to some people, but they just don’t realize what today signifies in the world of social and traditional media. Still, not clear? Think about this:

General Stanley McChrystal

Monday, June 21 – Reports surface that President Obama is angry about an article that would be appearing in Rolling Stones magazine. The article has several remarks by General Stanley McChrystal that were derogatory in nature about several people in the Administration. It is announced that McChrystal has been ordered to appear in person at the White House for Wednesday’s staff meeting, normally done via a secure video transmission.
Tuesday, June 22 – Thousands of articles, blogs, and news stories on television and radio discuss the article, the General and what should be done. All this happens while the General is in transit to Washington, D.C.
Wednesday, June 23 – General McChrystal reports to the White House, his resignation is accepted and it is announced that General David Petraeus will assume his command.
Thursday, June 24 – Continued discussion around the world about the article, the General, and President Obama’s solution to the issue. A Google search of the terms ‘McChrystal runaway general Obama’ nets 464,000 hits (many refer to another situation in October 2009) and the same terms appearing in blogs nets 92,000 hits.

So why does this make today an amazing day? The article that is the cause of bringing down the US Commander of the war in Afghanistan, the President making a swift, major change in his top military administrative staff, and has been the subject of discussion around the world for days…isn’t published in print until tomorrow.

But that isn’t even the best part! The best part is that no one is amazed by this bizarre situation. We have become so accustomed to the Internet trumping print media that no one sees the significance of the reaction to a news story superseding the news story actually being published.

What does it mean?
There is no better example of what has happened in the worlds of Social and Traditional Media than the events of this week. Print media used to ‘be’ the news but now print media is only a historical account of news. It is impossible for print media to have any impact on the world because it is too slow. Yes, television and radio were leaders in promoting the story; however, it was the Internet that provided the mechanism for so many ‘civilians’ to react to the story. The story was discussed in blogs, on Facebook, and on Twitter…all in real-time, not on a news cycle.

For the business person it is simple. If you think that Social Media is a waste of time and that it has no ROI (return on investment) for your company then know that your business could be dead before you even know why. If you are not plugged in and aware then you are flying blind in a world that quietly watches you and everything you do. The Google search will give your customer access to the good, the bad, and the ugly about you.

Think about this: a very powerful and successful military man was brought down by one reporter through some inappropriate remarks. In this situation he worked for a major publication, but it could have been a blogger with a video and the impact would have been the same. Social Media is not about how much time it will take out of your day, nor is it about the return on your investment. It is about your survival.

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Tony Hayward: The very model of a modern Major General

23 Wednesday Jun 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Branding, Communication, Crisis Management, Customer Relations, Customer Service, Ethics, Lessons of Life, Management Practices, Passionate People, Public Relations, Rotary

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Blogging, Blogs, BP, British, British Petroleum, CEO, Conservatives, Deep Water Drilling, Disaster, England, Executive Management, Great Britain, Gulf of Mexico, King George III, Management Practices, Mega Oil Companies, New Business World, Oil Companies, oil leak, oil spill, petrol, Public Image, Public Relations, Publicity, Republicans, Social Media, Tony Hayward

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Tony Hayward - Modern Major General

Enough with the BP CEO bashing! Regardless of any verbal gaffs, or ill-advised yacht racing, if Tony Hayward, the shining star of BP, is guilty of anything he is only guilty of being the perfect CEO. A corporate executives first and last duty is to his investors and when we measure up Mr. Hayward he is, in fact, the very model of a modern corporate executive. If it please the court of the business world I’ll present my case:

POINT ONE: When he took the reins of BP (that does not stand for Bloody Petrol) he immediately weeded out all those people who, and I quote, “….wanted to save the world.” Saving the world is not the goal of business, making money is, and no one can say that Mr. Hayward didn’t make money for the investors of BP. Score one for the British! They’ve become as obsessive about profit as the an American conservative!

The Public Image of Tony Hayward...but it doesn't count

POINT TWO: After the fire and rescue of the victims from the platform Mr. Hayward’s legal team leapt into action to detain the survivors until they signed a release saying that they were not injured…which, in legalese is to say they were signing a waiver of all liability, not a just that they were not physically injured, but that BP could not be sued for any mismanagement, negligence, etc. This reflects devotion that Mr. Hayward and his team have for the investor. Duty first and last!

POINT THREE: Within hours of the disaster BP’s crack crisis response team sprung into action securing all information and potential access to protect the corporation from negative portrayals by the world media. First there was no oil leaking, then only 5,000 barrels, then, well, no comment. Carefully crafted statements were released to reassure the investors, (not the public,) that the event was a minor setback and the amount of oil would have a minimal impact on the excessive amount of water in the Gulf of Mexico. Textbook Public Relations work!

POINT FOUR: Unfortunately, BP could not hide massive oil slicks from the cameras of the media and that could scare the investors…but wait a minute…they could hide them by pouring millions of gallons of toxic dispersants on the oil at the point of origin! Yes, it would make collection the oil impossible, but that was save-the-world thinking, and this was not the time to shirk the duty to the investor with ethics. Again, Mr. Hayward shows us his stuff!

POINT FIVE: The pièce de résistance (my apologies to the British for resorting to French) was the yacht race that Tony Hayward took leave of the United States to attend. As outrage among the American public reached a fever pitch it was a stroke of genius by a perfect corporate executive to again restore order with the investors by demonstrating that this oil spill event is all much ado about nothing and normal aristocratic life is alive and well in this man’s corporation.

It is true that not since King George III have the average, non-conservative American been so incensed with a British national, but the public is passé (again my apologies for using French) in the corporate world, especially in the world of big oil companies. The public will trade ethics for petrol (I’m trying to compensate for using French by using British words) any day of the week. The public’s role is to buy their product, not tell them how to obtain it. Tony Hayward has been true-blue to the investors…I wouldn’t be surprised if his urine is blue! No one can dispute that as a model of the corporate executive, Tony is the best of the best.

I rest my case.

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Public Relations and Ethics: Cover up or come clean

18 Friday Jun 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Branding, Communication, Crisis Management, Customer Relations, Customer Service, Ethics, Management Practices, Public Relations, Relationships, Rotary, Social Media Relations

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Blogs, BP, Management Practices, New Business World, Public Image, Public Relations, Publicity, Rotarians, Rotary, Social Media

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Paul Kiser - CEO 2020 Enterprise Technologies

In an ideal world a Public Relations person would be the liaison between the organization they represent and the community. The problem with that concept is that the community doesn’t pay the salary of a Public Relations person. If someone wishes to be paid in a PR career they have to serve the interests of the organization, not the community. In the world of publicly owned corporations the interests of an organization are always about profit, not what is right or wrong. The job of the PR person is to protect the public image of the corporation….sometimes even if it sacrifices a person’s ethics to do it, and there’s the rub.

Public Relations should be exposed to full light

Public Relations is not inherently evil. The purpose of PR in any organization should be to educate the public on the organization and address any misperceptions or misunderstandings that would put the company in a negative light. Unfortunately, corporate executives don’t always stop at misunderstandings. They want the company to look good even when they have screwed up. The pressure on the PR staff to cover up or mislead the public can be oppressive, including requiring employees to sign non-disclosure agreements that extend beyond employment (even though they may not be legally enforceable.)

The difference between ethical and unethical PR tactics is not always clear. In the case of criminal situations, such as a violent employee, an organization has an obligation to withhold certain information to protect the dignity and privacy of the victims and the rights of the accused. At the same time a company has an obligation to inform the community of any potential danger, even if it may reflect negatively on the company or reveals corporate negligence.

A good example of questionable ethics is the PR strategy that BP has used during the Gulf of Mexico oil spill disaster. They have clearly sought to minimize the scope of the spill and kept information closely guarded. It will be years before we know the truth, but the use of massive amounts of toxic oil dispersants seems more of an intent to hide long, black, visible oil slicks from news media cameras than a logical strategy to mitigate the problem. This is textbook example of an unethical PR tactic of deferring the bad news from being today’s feature story on CNN in the hope that it will be a footnote in history when the truth surfaces.

Tony Hayward - BP CEO

Many people may think that Tony Hayward is the bumbling fool responsible for the PR mess at BP; however, anyone in our field knows that the PR staff will be radioactive when they apply for a position at another company. For the person in Public Relations, how the organization responds to a major PR crisis could end her or his career. This may not seem fair, but it is appropriate. People who work with unethical executives always have the option of saying no, and if needed, resigning before they sacrifice the truth or the well-being of the public or their fellow workers.

How to Draw the Line
So how can you decide when your ethics are being compromised by your organization? Here are four tests used in Rotary to determine if what you are doing is ethical or not:

Is it the truth? – Truth can be elusive, but in this context it means are you not lying and you are not attempting to be deceptive by what you are saying or not saying.

Is it fair to all concerned? – A company wants to be treated fairly by the media and public, but there is an obligation for the company to do the same.

Will it build goodwill and better friendships? – This is the best part of public relations and should be the foundation of every organization’s efforts with the community. Goodwill and an offer of friendship may be interpreted as manipulation at first, but by being consistently genuine will eventually dispel the cynicism.

Will it be beneficial to all concerned? – This is not for the short-term, but for now and into the future. There is no reason that a difficult public relations issue cannot be made into a win-win for everyone…providing the company is willing to act responsibly and look out for the public’s interest as well as that of its shareholders.

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Rotary@105: A Young Professional’s Networking Club?

13 Sunday Jun 2010

Posted by Paul Kiser in Branding, Customer Relations, Membership Recruitment, Membership Retention, Passionate People, Public Relations, Rotary, Rotary@105

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Blogs, History of Rotary, Management Practices, Membership Recruitment, Membership Retention, Nevada, New Business World, New Members, Paul Harris, Public Image, Public Relations, Publicity, Rotarians, Rotary, Rotary Club, Rotary District 5190, Rotary International, Rotary policies, Young Professionals

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Paul Kiser - Public Relations Chair Rotary District 5190

When Rotary was formed in 1905, Paul Harris was 36. The other three original members were 34, 40, 42. I note there ages because it is important to remember that our organization was started by young professionals, not ‘seasoned’ executives. It was a true business networking club, not a just a social club. The original concept of Rotary was to create business opportunities with other ethical business people. If it were meant to be a just another social club they wouldn’t have required the Club Statistician to track business transactions between club members. A practice that was continued until 1911.

Nor was the concept of community service in the original club’s concept. It would be 1906 before a new member would join with the intent of adding community service to the function of Rotary. While the spirit of voluntarism is a critical part of every modern club, that wasn’t why Rotary was founded.

Click here for more about the origin of community service in Rotary

Would she qualify as a Rotarian in your club?

Rotary was truly a young professionals networking club at its inception; however, today’s Rotary club is a foreign environment to most business people under 45. In discussions with several young professionals I have gained insight on why Rotary tends to repel those that it should attract. Interestingly, in discussions with Rotarians I have found we often have no clue as to how young professionals perceive Rotary, and in fact, I have found that some Rotarians have a bias against youth.

It’s Their Fault
I have heard several Rotarians comment that even when they induct a young professional, the new members often don’t stay with the club. This attrition is usually blamed on the former member’s attitude or other personal failings. Many clubs will not accept that they have any responsibility for what they could have done better to retain him or her. In one case a very prominent local Rotarian was advising clubs to ignore anyone under 40 as a potential member. His reasoning was that, “They have kids and they’re not in a place in their career to be a good Rotarian.” That was a great attitude…for keeping Rotary an old person’s organization.

Lack of Respect and Bad Public Image
Some Rotarians may think that they have no bias toward young professionals, but actions speak louder than words. I have even found myself sitting at a table with a young professional and I instantly associate them with my adult children and began talking about my twenty-something daughters, rather than discussing business topics. It is a bias and it is disrespectful to equate a young professional with our adult children. It also creates a public image that we are an old person’s social club, not a business professionals club for all ages.

I have also sat in Rotary clubs where the youngest members are joked about solely because they are young. It makes for entertainment for the older members and may seem like it’s all in good fun, but emphasizing the age difference just makes us look older and any young professional attending for the first time may have a clear impression that this is not an environment of mutual respect for them. Some members further cement a club’s public image by telling political, religious, or gender jokes that would not be acceptable in any public environment, but are tolerated in the Rotary club.

Reno New Generations Rotary Club Pre-Charter BBQ

The Solution – Segregation?
In Reno, Nevada, USA there is a new type of Rotary club that consists mostly of young professionals under 45 years old. It was modeled of the Rotary Club of La Jolla New Generations. It is not a Rotaract club, but a full-fledged Rotary club that meets in the early evening. Drinks are available and meals can be ordered, but most members do not eat. I have attended this club several times and most of what I have learned about the way we treat young professionals has been through my discussions with the members of this club. They are all stellar Rotarians who, in six months, have dived in to many community service projects. They are also business professionals, some in significant positions in their organizations. What they don’t experience in the club is treatment as adult children, or made to feel that they are too young to be serious business people.

Rotary has stood at 1.2 million members for seven years. If we are to meet the challenges of today and tomorrow we need to have a growing organization, not a stagnant one. The question is whether existing Rotary clubs are willing to tap into the millions of young professionals who seek to network with other business people. To do this clubs must address any potential age bias and become more aware of member behavior and how it might negatively impact a club’s public image. The alternative is to segregate young professionals in their own clubs and let the existing clubs eventually die out through attrition. It seems obvious that the former is the best solution, but it first will require existing members to accept individual responsibility for creating the club’s public image and that they must promote a positive impression that does not offend the best source of new members, the under-45 business professional.

We all have a responsibility to ensure the future of Rotary as a strong, viable, and relevant organization and to do that we only need to remember what we owe to Paul Harris and the other three young professionals that founded our organization…a duty to keep our clubs a place of honor and respect for all professionals..old and young.

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One Rotary Center: A Home for 1.2 Million Members

12 Saturday Jun 2010

Posted by Paul Kiser in Branding, Communication, Customer Relations, Customer Service, Employee Retention, History, Human Resources, Management Practices, Membership Retention, Passionate People, Public Relations, Rotary, Rotary@105

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Blogs, Club Members, History of Rotary, Management Practices, Membership Retention, One Rotary Center, Paul Harris, Public Image, Public Relations, Rotarians, Rotary, Rotary Club, Rotary Coordinators, Rotary International, Value-added

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Paul Kiser - Public Relations Chair, Rotary District 5190

The plan was simple. On a business trip to Illinois I would go to the Rotary International (RI) headquarters in Evanston and take a few pictures to put in a future blog. Simple. No big deal. At our District Conference in May I mentioned to District Governor Elect Steve Lewis that I was going to stop by RI HQ and take some pictures. “Call them first,” DGE Steve said, “they’ll give you a tour.” Okay. That might be nice. So I called the main RI number and set up an appointment. A quick look at RI could be interesting.

One Rotary Center

A little before 10 AM on a beautiful June day I walked into the main cog of the Rotary universe: One Rotary Center. I’m instructed to go up to the 16th floor where I was greeted by Delores and another staff member at the front reception area. I told them my name and my purpose and Delores repeated, “Oh, you’re here for the TOUR!” I expected the emphasis to be on the ‘Oooh’, as if to say, ‘here’s another Rotarian here for the dog and pony tour’. But Delores sounded excited, like it was great to have a Rotarian look over the home of 1.2 million members. She called my tour guide, Amanda Runge, who promptly greeted me in the waiting area.

Amanda and her friend Paul

I learned that Amanda is not just a tour guide. She is a Program Coordinator for the 41 new Rotary Coordinators (RCs) that will serve to assist Clubs as a resource for multiple areas such as Youth Programs. RI President Elect Ray Klinginsmith created the RC post in an effort to help clubs reach a level of excellence through close-in support by knowledgeable Rotarians who have proven skills and expertise in a wide range of Rotary programs. (For more information go to this link:)

RI PE Ray Klinginsmith Discusses Rotary Coordinators

As Program Coordinator, Amanda will be the hands-on RI support out of Evanston, so I was actually interfering in her day, but you would have never known it by the attention she gave to me for almost an hour. My simple, no big deal of a tour was rapidly becoming kind of a big deal. As it turns out Amanda is a product of Rotary. Her Mother is a Rotarian and she was a participant in a five-week Rotary Exchange program to France. I knew the outgoing, friendly demeanor seemed familiar…it’s the same we see with almost every Youth Exchange student after they return to her or his host country.

Replica of the 711 office where the original Chicago club met

The Tour
After seeing ‘Room 711’, the office where most of the Rotary meetings were held for the first several months of Rotary and a look at a room of memorabilia from the office of Paul Harris, Amanda took me up to the top floor of One Rotary Center. As in most office buildings, the ‘big cog’s’ offices are around the exterior of the top floor. The difference at Rotary is that there is a type of musical chairs (or offices) in this space. Each new year the President-Elect, the President Nominee, and the President Nominee Designate change offices. The Immediate Past RI President thanked for his service as he is also moved out of his corner office. Ouch!

: Eileen Eckhouse and Amanda Runge

It was on the 18th floor that we saw the RI PE Ray in his office talking on the phone. I asked Amanda if I could take a picture of him on the phone. His Executive Assistant Eileen Eckhouse and RI PE Ray’s Number One (his full-time Rotarian Aide) Duane Sterling were both just outside his office and Amanda consulted them. Duane said,”But don’t you want a picture with him? He’ll be off the phone in a minute.”

Before I know it RI PE Ray is standing beside me introducing himself…like that was necessary…and he suggests we go over in front of the Flags of Nations in the elevator lobby for the picture. There another gentleman joined us to talk to Ray (I’m pretending were on a first name basis) and Amanda introduced me to him. It was the General Secretary of Rotary International, Ed Futa.

In Rotary a President serves for one year, the General Secretary can serve for decades. The first General Secretary, Chez Perry, served for 32 years and I refer to him as the ‘Mother’ of Rotary as he did the work that helped establish and grow our organization. My instant impression of General Secretary Ed was that he performs his duties with the same passion as Chez Perry.

I am now standing next to two of the three men that occupy the corner offices on the top floor of RI and Amanda says, “Why don’t you have your picture with both of them?” At this point reality sort of fades away. It was not supposed to be a big deal, but by the time I walked out of the building it started to hit me what had occurred. It was a big deal…and I have the picture!

RI Gen. Sec. Ed Futa (left), RI PE Ray Klinginsmith (right), and some guy (center)

After the photo op, the three of us sat down and…wait-a-minute, that’s my fantasy world. What actually happened was the gentlemen went on to do real work and Amanda continued the tour of the top floor and the next floor down, which is the Rotary Foundation. Finally, the tour ended and I bought a few things at the Rotary store and then left.

It was sheer luck of timing that I found myself standing between the two people who have a great responsibility as leaders of our organization, but I will always remember the day I stood on the top floor of Rotary International flanked by RI’s President Elect and General Secretary.

One Rotary Center does not have the significance of a religious ‘Mecca’, but that doesn’t diminish it’s importance to all of us. It’s well worth the visit and I would recommend it for anyone visiting the Chicago area. After all, it’s the home…for 1.2 million of us.

Thank you Amanda…and the rest of the RI staff!

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War Declared on Social Media: Desperate Acts of Traditional Media

02 Wednesday Jun 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, About Reno, Branding, Communication, Customer Service, Information Technology, Internet, Management Practices, Public Relations, SEO, Social Interactive Media (SIM), Social Media Relations, Website

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Bloggers, Blogging, Blogs, copyright infringement, Elmer, Facebook, Freedom of Speech, journalism, journalists, Las Vegas Review-Journal, Las Vegas Sun, LinkedIn, Management Practices, Nevada, New Business World, Newspapers, Public Image, Public Relations, Publicity, Reno Gazette-Journal, reporters, Rotary, Sherman Frederick, Social Media, Stephens Media Group, The Old Conservative Times, traditional media, Twitter

by Paul Kiser

Paul Kiser - CEO 2020 Enterprise Technologies

(NOTE USE AND REPRINT INFORMATION BELOW)

For the most part, the people in the traditional media (newspapers, magazines, TV, etc.) have seen the tidal wave of Social Media coming for years. They have typically adopted an if-you-can’t-beat-them-join-them strategy. The editors of our local paper have pushed their reporters (from here forward I’ll refer to them as journalists) to use Twitter and to blog in order to keep pace with the millions of reporters online that inform the world of everything from the cute thing their toddler did this week to the world event that everyone will be talking about in tomorrow’s newspaper.

Social Media has given voice to everyone and now journalists are but one voice among many, which is a problem if your living comes from your ability to be paid to have people read your stuff. In the days before blogs and Twitter, publishers and editors had the ability to control who could be heard and who could be silenced, but Social Media took away all their power and at least one publisher is mad as hell and he’s not going to take it anymore. He has declared war! He is going to sue!

The rationale for the suit is legitimate. A certain publisher (let’s call him, Elmer) at a certain Nevada newspaper (let’s call it The Old Conservative Times) has called out the demons (let’s call them lawyers…on second thought, let’s stick with demons) and is going after any website that uses copyrighted material of the The Old Conservative Times. What’s more, Elmer wants everyone else in the traditional media to get on the bandwagon with him.

I agree that anyone who steals an article from another website without crediting or revealing their original source of information is wrong. If possible, they should also link back to the original source. That’s the way Social Media works. We share information and let our friends, followers, readers know from where we got the information and, in turn, help publicize their work. Journalists, for the most part are professionals, and to steal their work and claim it as your own is unethical.

But that is not what this issue is really about for Elmer and the methods being used by The Old Conservative Times demonstrate that this is not an act of preserving the work of professional journalists. Elmer and his demons have decided to sue first and ask questions…never. Rather than contacting the offender and telling them to remove the copyrighted information, Elmer and his demons are going for the throat and filing suit with the intention of stealing the domain rights of the organization. That’s right, Elmer is using the nuclear option. No warning, just show up in court and turn over everything to Elmer. Freedom of Speech be damned, Elmer is here to tell us what we should think!

I should note that according to Elmer’s blogs he is a conservative. He hates President Barrack Obama and he takes any opportunity to spin a situation to cast a negative light on our President, or Democrats, or the elected government of the greatest nation in the history of the world. It seems about every third blog is pounding home the conservative dribble that proposes hate for our government, hate for our elected leaders, hate for the citizens of Mexico, ….you get the picture.

So Elmer is lashing out at Social Media, which is composed of people who want to be informed, but not by just those who hate, but those who can love, and everyone in between. Elmer wants traditional media to regain control of people’s hearts and minds and this Social Media thing is not acceptable! So Elmer and his demons are not seeking to correct the issue of copyright infringement, which could be done with a phone call or an email, they want to take away the voices of the Social Media, one domain at a time. Elmer also wants all his publishing friends to join him as he strikes a blow against freedom of speech for all and raises a flag on the land of the uninformed.

Hey Elmer, let me know how that works out for you…but don’t quote me, or I’ll sue you.

(Any use or reprint of part or all of this article is expressly ALLOWED for anyone,-except The Las Vegas Review-Journal, its staff, Stephens Media Group, or any affiliates, or any conservative-based organization that has made derogatory remarks about President Barack Obama, Senator Harry Reid, or Speaker Nancy Pelosi,-providing credit is given to Paul Kiser and, if possible, a link to this web address is included with the appearance.)

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Pay It Middle: The Balance between Too Much and Too Little Compensation

01 Tuesday Jun 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Communication, Consulting, Customer Relations, Customer Service, Employee Retention, Human Resources, Lessons of Life, Management Practices, Public Relations, Relationships, Rotary, Science, Social Media Relations, Violence in the Workplace, Women

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Abraham Maslow, Blogs, Compensation, Employment, HR, Management Practices, Maslow's Hierarchy of Needs, New Business World, Pay for Performance, performance reviews, Public Image, Re-Imagine!, Rotary

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Yesterday I wrote an article about research that shows that too much compensation actually makes performance worse. A fellow Rotarian (thanks Skip!) sent me a link to a great video by RSA Animate that illustrates the issue and the research. If you haven’t seen it take a look:

Dan Pink: Drive and Purpose YouTube Video

Paul Kiser - CEO 2020 Enterprise Technologies

The article is here: (Mega Executive Pay Leads to Poor Performance)

But the question is why does mega pay negatively impact performance? Here’s my theory.

The Psychology of Making Too Much Money – Barney and the Manna ATM
A man named Barney goes to withdraw $500 from his local ATM. Instead he is given $5,000. When Barney checks his balance it shows that no money was withdrawn from his account. He could go to the bank and let them know that he thinks the ATM has made a mistake but he doesn’t. Initially he is afraid that someone will discover the mistake and take the money away, but no one says anything and eventually Barney’s fear eases. Each week he goes back to the same ATM for another withdrawal and the same thing occurs. He tries other ATM’s, but he learns that it is just this one that gives him money for nothing. Soon he has built a life around getting $5,000 every week from this ATM. His fear has now subsided, but he feels a little guilty, but also a little evil.

One evening Barney is in a rush for the money and pushes a woman out-of-the-way to make his transaction. The woman is irritated but stands to the side while Barney enters in the information. When the money comes out she notices that he received $5,000 but only requested $500. She points this out to him and he denies it. She knows what she saw and she won’t be convinced. Barney offers to give her half of the money and she refuses the offer. She says she is going to tell the bank….What will Barney do to keep his lifestyle?

When examining behavior by executives and managers in the banking crisis of 2007-09, the answer to that question: “What will a man do to keep his lifestyle?” (I’m not being sexist, just accurate) is answered by the unethical business decisions that led to massive financial failures in 2008-09. Pay might purchase a person’s talents for an organization, but at a certain point, too much compensation begins to purchase the person’s ethical compass. Good decision-making is replaced by self-preservation and the future of the business is sacrificed for the financials of the current quarter.

The lesson is that too much compensation becomes a trap that will often lead to unethical decisions. Mega pay not only doesn’t improve performance, it lures executives to the dark side.

Maslow's Hierarchy of Needs

The Psychology of Making Too Little Money – Maslow’s Hierarchy of Needs
The other side of the issue is paying too little. In 1943, a researcher named Abraham Maslow published a paper titled: A Theory of Human Motivation. The work was based on examining successful people and their living situations. From his research he concluded that there is a Hierarchy of Needs that must be met in steps, with each step supporting the next level.

In Maslow’s paper he proposes that humans must meet their basic survival needs that contribute to sustaining life as the base level of life; however, security and safety needs are the next level. All levels above that (Belonging, Esteem, and finally, Self-Actualization) are dependent on the needs of the first two levels being met.

This is the key. Employers that fail to compensate their team to the point of a living wage should expect their staff to be in a constant state of crisis and that means they cannot expect these employees to be creative and innovative in dealing with the common issues that might arise with the customer. An underpaid employee will be in a constant state of personal crisis that will lead to many issues including reliability, focus, and attitude.

The question is how much is a living wage? That takes an individual examination of the job, the market, and the economy of the region. As the video suggests, you should pay enough to take money off the table as an issue.

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Mega Executive Pay Leads to Poorer Performance

31 Monday May 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Branding, Customer Relations, Human Resources, Management Practices, Public Relations, Re-Imagine!, Rotary, Science, Social Media Relations, Women

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Blogging, Dan Pink, Employee evaluations, Employment, Executive Compensation, Executive Pay, HR, job standards, LinkedIn, Management Practices, MIT, New Business World, performance reviews, Public Image, Publicity, Re-Imagine!, Rotary, Value-added, YouTube

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Paul Kiser - CEO 2020 Enterprise Technologies

Mega executive pay and bonuses do not work. Mega executive pay and bonuses do not work. Mega executive pay and bonues do not work. Got it? No? Then watch this RSA Animate video by theRSAorg posted on YouTube featuring Dan Pink discussing pay and motivation:

Dan Pink: Drive and Purpose YouTube Video

In research and the real world the idea that mega pay makes for mega profit has been proven wrong over and over, yet we still have corporate directors handing out millions of dollars to single individuals…even when that person has led the company to failure. Why? Let’s go back to cognitive dissonance.

We are conditioned to believe that the more we pay, the better the quality. That is drilled into us. Value is determined by how much money we pay for a product or service. How could it possibly be different in paying an executive? So when MIT research, or Goldman Sachs, or BP, or Massey Energy, or General Motors , or Washington Mutual, or Merrill Lynch (the list goes on) demonstrate that mega pay does not equal mega performance…or even good performance, then people overlook the evidence and begin to use irrational logic to justify mega executive pay. Earlier in May, Bill Virgin wrote a piece for The News Tribune in Tacoma, WA to justify corporate exec pay where he said:

“Corporate CEOs have employees, labor unions, investors, customers and government regulators to worry about.”

One might think that CEO’s were alone on a white horse fighting off evil with a shiny silver sword according to Mr. Virgin. The fact is that often the workers under the CEO have a much more stressful environment and in some cases lives hang in the balance, so the CEO’s typical responsibilities fail to be a good reason to pay them hundreds of times more than the workers under them.

The surprise is how little is written in support of mega pay for executives. I believe this is due to the people who make the decision (corporate directors) having no reason to adopt executive pay policies that are based in common sense and every reason to maintain the status quo, but they also have no reason to justify their reasons to anyone. Massive pay means the appearance of importance and if you are the person handing out the massive pay you are even more important. From a corporate director’s boardroom chair the investors aren’t revolting and the customers are still buying, and Republicans are still protecting the practice, so there is no issue to discuss publicly.

But the practice has to change. Not only is it ineffective, it is immoral. Many years ago I worked in a retail store and I learned that the corporate CEO was making $4 million per year and each store was only making an average of less than $250,000 net profit per year. That meant that the work of thousands of employees in over 16 stores were dedicated to providing the salary of one person…and I can tell you, he wasn’t worth it.

If you watched the Dan Pink video you’ve learned that human motivation is based on many factors. I think the important thing to remember is that ‘satisfaction‘ is the most fleeting of all our emotions. Money is junk food in the world of motivation and performance. Too much just makes you sick.

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Relationships and Thin Slicing: Why the Other Person Knows What You’re Really Thinking

28 Friday May 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Book Review, Branding, Communication, Customer Relations, Human Resources, Lessons of Life, Management Practices, Membership Retention, parenting, Public Relations, Relationships, Rotary, Science, Social Media Relations, The Tipping Point, Violence in the Workplace

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Blink, Blogs, Club Members, Employee evaluations, Employee privacy, Employment, Four-Way Test, HR, job standards, John Gottman, Malcolm Gladwell, Management Practices, Membership Retention, negative relationships, New Business World, performance reviews, positive relationships, Public Image, Public Relations, Rotarians, Rotary, Rotary Club, Rotary District 5190, Rotary International, Social Media, Social Networking, The Power of Thinking Without Thinking, Thin-slicing

by Paul Kiser [Twitter: ] [Facebook] [LinkedIn] [Skype: kiserrotary or 775.624.5679]

Paul Kiser - CEO of Enterprise Technologies, inc.

You’ve been warned about ‘this person’ and now you’re being introduced to them. You smile and shake his hand and say, “nice to meet you.” Visibly, you are polite and friendly; however, inside your hoping to be able to move on because even though you’ve never met him before you are preconditioned to not like him. The introduction ends and you move on believing that went things went smoothly. He walks away knowing that you dislike him and he begins to form a negative impression of you. In less than five seconds you have cemented a negative relationship…and you didn’t even know it. What happened?

Malcolm Gladwell

In Malcolm Gladwell’s book, Blink: The Power of Thinking Without Thinking, it is called it thin-slicing and it is based on solid research. Gladwell uses many examples of how the human brain picks up seemingly unseen and unheard clues and can accurately identify what is going on in a given situation. In one example, researcher John Gottman and his team coded conversations between married couples using 14 emotional identifiers (1=contempt, 2=anger, etc.) and found that they could accurately predict whether or not the couple was heading for a divorce by the subtle clues that betrayed the inner thoughts and attitudes of each person. Most of these signals lasted a second or less, but the signal clearly indicated the inner feelings of the person and the pattern of their relationship.

Gladwell argues that in a thin-slice experience we usually do not know what we know, nor why we know it, but the evidence is conclusive, we do know it. It is often described as a ‘feeling’ and people usually cannot explain it to others, so it is usually dismissed as being oversensitive. Gladwell‘s research suggests that the feeling is real and that our unconscious mind is the source of the analysis that creates a tangible, and accurate feeling and/or assessment of the situation.

: Conversations Are Never Just Casual

Based on the information in Blink one can conclude that when someone has a dislike for someone, or when people discuss someone else behind their back, the attitudes felt or expressed privately will be exposed in subtle hints the next time we meet the subject of the gossip. We are taught as children to not gossip about others, which was a valuable lesson based on what we now know; however, in the business world people often discuss work performance of subordinates with their peers or superiors. Those discussions then shape our attitudes about the subordinate, which are then revealed in our next interaction with the worker. The same can be said of any relationship, whether it be a superior/subordinate, peer/peer, Club member/member, parent/child, spouse/spouse, or any interaction between two people. Simply put, strong attitudes and opinions about another person can and will be read by that person at the next meeting.

But what is worse is once a negative relationship is formed it is almost impossible to revert it to a positive relationship. Gladwell says that if a person has contempt or other negative attitudes towards someone, even a kind or reconciliatory gesture will be misread as manipulation or motivated by a hidden agenda. That idea is reinforced by the theory of cognitive dissonance, which suggests that once we have an opinion or belief about something we will reject evidence that contradicts our opinion or belief and will even go so far as to manufacture evidence or examples to support our version of the truth.

Do We Have to Like Everyone?
Certainly we don’t have to have a positive relationship with everyone, but negative relationships tend to expend more of our energy and time. This is especially true for people in positions of leadership. Consider the time spent on emails, meetings, phone calls, and emotional stress that involve interactions with people who we have an adversarial relationship versus the support and positive reinforcement we receive through friendly relationships. It is obvious that a negative relationship that is based on our preconditioning to dislike them is not only counterproductive, but also an unnecessary waste of time and emotion.

The first step in avoiding the downward spiral of negative relationships is to recognize that our internal dislike for someone is not hidden from that person. Our actions, behaviors, and responses will be picked up and will, in turn, dictate their response to us. Gossip, whether it is causally done with friends, or professionally sanctioned as part of ‘assessment’ of subordinates is dangerous to our relationship with that person and will ultimately make our life more difficult. Most of us were taught at some point to never say anything about anyone unless you are prepared to say it to their face….it is a good rule in the home, at work, or anywhere else.

Rotary's Four-Way Test

Rotary has a Four-Way Test that is a guide to any relationship. It is meant to take Rotarians to a higher standard in business and in life. The ‘test’ is as follows:

First, is it the Truth?
Second, is it fair to all concerned?
Third, will it build goodwill and better friendships?
Fourth, will it be beneficial to all concerned?

Great words that can help us to build great relationships…even when sliced thin.

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Rotary@105: What BP Could Learn from the 1914 Rotary Code of Ethics

25 Tuesday May 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Branding, Communication, Crisis Management, Customer Relations, Customer Service, History, Lessons of Life, Management Practices, Membership Retention, Passionate People, Public Relations, Rotary, Rotary@105, Science, Social Media Relations, US History

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Blogs, BP, British Petroleum, Club Members, Greed, Greed is good, History of Rotary, Management Practices, Michael Douglas, New Business World, Paul Harris, Public Image, Public Relations, Publicity, Rotarians, Rotary, Rotary Club, Rotary International, Value-added, Wall Street

by Paul Kiser

One of the BP oil leaks in the Gulf of Mexico

BP…formerly known as British Petroleum, has a disaster on their hands and it is not just the disaster caused by millions of gallons of crude oil spewing out in the Gulf of Mexico. They have a public relations disaster that is re-establishing the oil industry’s reputation as the sleaziest in a business world that is not known for its ethical choices. Among their biggest mistakes has been to minimize the estimates of how much oil is leaking into open water. It is obvious that at best BP executives are completely incompetent or at worst they have intentionally deceived the public. In either case, they confirm in the public’s mind that business is all about greed and that business ethics is an oxymoron.

Greed is Good

Unfortunately, business often fails to be good custodians of our society because for profit enterprise is inherently based on a motive of greed. In the 1987 film, Wall Street, Gordon Gekko (performed by Michael Douglas), says, “Greed is good.” Gekko is merely pointing out that while greed is a selfish, dishonorable emotion, it is the fuel that drives business.

The fact that business is riddled with unethical people is not new. When Rotary was born in 1905, Chicago business people were more like Gordon Gekko than like Paul Harris, the founding father of Rotary. Business was riddled with corruption and fraudulent practices.

However, those that joined Rotary created an environment that rewarded honor in business. A Rotarian sought out his fellow Rotarians with which to do business. Each member knew that business transactions became personal when you had to sit down with the customer at the next club meeting. But Rotary didn’t formally commit to a philosophy of ethics until several years after the first club was chartered, and it wasn’t Paul Harris that led the charge.

By 1912, Paul Harris had served as President of the International Association of Rotary Clubs for two years and had spent many long hours during the past seven years nurturing the birth and growth of Rotary into a major organization. As he passed the gavel to Glenn Mead, Mr. Harris stepped away from Rotary for what would be a 10-year hiatus. Had Rotary consisted of followers, the absence of a major figure like Paul Harris would have left the organization in dismay; however Rotary consists of business leaders and President Mead stepped up to the challenge and launched a new emphasis on establishing a Code of Ethics for Rotarians to follow.

It took two years and a long train ride to the 1914 Rotary Convention in Houston, Texas to put together a formal declaration of business ethics for the organization, but both the 1914 and 1915 Rotary Conventions voted to adopt eleven articles of ethical business standards. After almost 100 years, BP as well as every business person could learn several lessons that would help them avoid disasters and Public Relations nightmares by following the 1914 Rotary Code of Ethics:

The 1914 Rotary Code of Ethics For Businessmen of All Lines

My business standards shall have in them a note of sympathy for our common humanity. My business dealings, ambitions and relations shall always cause me to take into consideration my highest duties as a member of society. In every position in business life, in every responsibility that comes before me, my chief thought shall be to fill that responsibility and discharge that duty so when I have ended each of them, I shall have lifted the level of human ideals and achievements a little higher than I found it. As a Rotarian it is my duty:

To consider any vocation worthy and as affording me distinct opportunity to serve society.

To improve myself, increase my efficiency and enlarge my service, and by doing so attest my faith in the fundamental principle of Rotary, that he/she profits most who serves the best.

III

To realize that I am a business man and ambitious to succeed; but that I am first an ethical man and wish no success that is not founded on the highest justice and morality.

To hold that the exchange of my goods, my service and my ideas for profit is legitimate and ethical, provided that all parties in the exchange are benefited thereby.

To use my best endeavors to elevate the standards of the vocation in which I am engaged, and so to conduct my affairs that others in my vocation may find it wise, profitable and conducive to happiness to emulate my example.

To conduct my business in such a manner that I may give a perfect service equal to or even better than my competitor, and when in doubt to give added service beyond the strict measure of debt or obligation.

VII

To understand that one of the greatest assets of a professional or of a business man is his friends and that any advantage gained by reason of friendship is eminently ethical and proper.

VIII

To hold that true friends demand nothing of one another and that any abuse of the confidence of friendship for profit is foreign to the spirit of Rotary, and in violation of its Code of Ethics.

To consider no personal success legitimate or ethical which is secured by taking unfair advantage of certain opportunities in the social order that are absolutely denied others, nor will I take advantage of opportunities to achieve material success that others will not take because of the questionable morality involved.

To be not more obligated to a brother Rotarian than I am to every other man in human society; because the genius of Rotary is not in its competition, but in its cooperation; for provincialism can never have a place in an institution like Rotary, and Rotarians assert that Human Rights are not confined to Rotary Clubs, but are as deep and as broad as the race itself; and for these high purposes does Rotary exist to educate all men and all institutions.

Finally, believing in the universality of the Golden Rule, all things whatsoever ye would that men should do unto you, do ye even so unto them, we contend that Society best holds together when equal opportunity is accorded all men in the natural resources of this planet.

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NETGEAR = BADGEAR + BAD PR = EPIC FAIL

23 Sunday May 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Branding, Communication, Customer Relations, Customer Service, Information Technology, Lessons of Life, Management Practices, Public Relations, Social Media Relations

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ActionTec, Best Buy, Blogs, Cisco, Community TV Series, Customer Service, Defective Equipment, DNG2000, Hulu, Management Practices, Modem, NETGEAR, New Business World, Public Image, Public Relations, Publicity, Router, Social Media, Value-added

By Paul Kiser

The appropriate location for a NETGEAR DGN2000 Router Modem

Dear NETGEAR:

Bite me…

Sincerely,
Paul

One hundred and eleven days ago our 2Wire DSL Modem Router died. It died just one day short of being five years old and it took me about a day to decide what to do about it. AT&T’s ‘store’ wasn’t going to be open until the next Monday, so I decided to go with a third-party replacement. I opted for a slightly more expensive, but faster NETGEAR Modem Router that I found at Best Buy.

I brought it home and set it up, and even though followed all the procedures, I spent most of the next two days trying to trouble shoot why some of my computers could log on and some could not. I finally called NETGEAR support and I learned that all of the computers had to have the same (lower) encryption settings of Microsoft XP operating systems to prevent the intermittent problem with each of the computers. During the call the tech requested all of my password information so he could record it.

Fast Forward 109 Days
On Saturday, May 22 our Internet service stopped working and a red ‘Internet’ light indicator appeared on the NETGEAR Modem. I called AT&T and after 15 minutes of waiting I got a real person, who then transferred me into another five minutes of void. Finally a person picked up the line and listened to my issue. She was very nice, but she told me that it is a NETGEAR issue. Ultimately, I discovered she was correct.

: The phone number is bait..if you’re willing to be a sucker

I then called the NETGEAR support number where I was given another number to call. Finally, after three phone calls and over 30 minutes of run around, I had a person at NETGEAR. After explaining the problem he asked me whether I wanted to pay $70 for six months of technical support, or $100 for one year of technical support. I explained to him that I just bought this product three months ago and he told me that May 1^st was the end of the 90-day free installation support. He explained that, “…this was a common problem..” with my equipment and that “..the technical support could fix it without taking too much of my time…”

I’m sure it was all a coincidence that my 111 day-old NETGEAR DGN2000 Modem Router failed 21 days after technical support expired. I’m also sure that I could pay the $70 ransom to have the problem fixed and that it would take the technician too long to fix a ‘common problem’, but I won’t.

The fact that the product…

…has a problem that can be fixed remotely, but I can’t fix it myself without NETGEAR tech support
…that the problem occurred after less than four months of use
…that according to NETGEAR the problem is a common problem and easily fixable
…that NETGEAR has complete access to my passwords to access the configuration of my modem
…and it will only cost me another $70 to $100 to have a working device

…is enough to convince me that I’m not pouring any more money into defective NETGEAR equipment. After a Google search I discovered that at least one Amazon.com customer went through 3 new DGN2000 modems and none of them worked. There is more to this saga, but suffice to say I was disappointed by the Phone Call Center in India and their, ‘these our the only options we can offer’ excuse. When discussing public image we can us NETGEAR as an example of an Epic Fail.

P.S.: I spent all day today (Sunday) on this problem. A second call to India resulted in much the same rhetoric, with one additional option and that is I can pay a per incident fee to have them look at my modem; however, if it is not a hardware problem they keep the fee. I’m not paying NETGEAR to prove that my equipment is defective when I already know it isn’t operational. I also cannot login to the website to check the configuration myself.

The good news is that I bought a Cisco Router and an ActionTec modem and we just watch an episode of Community with no buffering issues. That was common with the NETGEAR equipment. The bad news is that it cost me another $120 and a full day of my time to make it happen. In materials and labor NETGEAR has cost me over $1000.

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Signs of the Times

19 Wednesday May 2010

Posted by Paul Kiser in Branding, Communication, History, Lessons of Life, Membership Retention, parenting, Passionate People, Random, Rotary, Social Interactive Media (SIM), Social Media Relations

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Ads, Billboards, Black Eyed Peas, Blogging, Blogs, Buddhists, Facebook, Imma Be, Management Practices, Membership Retention, New Business World, Nike, parenting, Public Relations, Rotarians, Rotary, San Francisco, Signs, Social Media, Social Networking

by Paul Kiser

Last weekend we took a short vacation in the Bay area (Pacifica/San Francisco, CA, USA.) During the trip I took notice of signs along the way and it struck me that they might say more about us…than to us. Here are some signs of note:

: Do you want to be Smart or Stupid?

Obvious Choices
This sign on Market street in San Francisco spoke a truth that you can’t argue with…but does it need to be said? In politics and entertainment we definitely see who has balls and they do seem to gather a following, but maybe it’s time we celebrate intelligence. The great outcome of social media is that people are looking deeper than just short, catchy statements that gain a “Right on!” from those who are wowed by a deceptive turn of phrase.

In politics it seems the more outrageous the idea the more excited some people get about a candidate. I’ve watched people become incensed over very sound ideas to solve our most significant problems and those same people then praise politicians that spew out hate for everything that has made our country great. I hope that this is a phase that we outgrow soon…before the ballsy people destroy all that we stand for as Americans.

: The pen is mightier than the sword

Write On!
I hadn’t seen this Nike ad before. It is in the Union Square area of San Francisco and if Nike is speaking of the explosion of Social Interactive Media then I agree!

Before the Internet and Social Media tools a small group of editors controlled who could have a voice and be published. Now new and raw ideas are being openly expressed in millions of independent blogs. Some of us could use an editor, but the beauty of this New World of communication is that the reader is the editor…it is democracy in its purest form.

: A great future is coming…today is still under construction

We’re Not There Yet
Some people seem easily frustrated that we never get ‘there’. We are in a world where change is constant and the road is always in a state of being improved. Satisfaction is the most temporary of all human feelings and people who do not understand this fact will always be deceived by bad politicians and religious fanatics who promise a perfect tomorrow if we only do exactly what they tell us.

Buddhists promote the idea of being and I think that is a great attitude to have to survive this world. Take advice from the musical group Black Eyed Peas. To me the title of one of their latest songs says it all: Imma Be. Yes the world is always changing but that is what makes it exciting. Take a break from time to time and then re-engage and have some fun!

Greet the day and be open for new possibilities

Arms Wide Open
Yes, I had to get my four year-old in on this blog. In Union Square he thought he could catch a bird. He actually knew that he couldn’t, but that did not dissuade him from trying.

I hope that he can maintain a sense of wonder and never let those that think it can’t be done hold him back from trying. There are people in this world whose sole function is to be a naysayer. These people infest anyplace where past success has built up an organization. They constantly destroy all new ideas and creativity in the name of ‘preserving the traditions.’ Don’t ever believe it! The only way to counter their negative attitude is to ignore them and move on.

Lots of choices, but where do we want to go?

Where to Go?
It doesn’t have to be confusing. We only need to remember that life happens. Today is tomorrow’s history and we choose which signs to follow to get there.

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Rotary Magazine Dilemma Reveals Impact of Social Media

12 Wednesday May 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Branding, Customer Relations, Customer Service, Information Technology, Management Practices, Membership Retention, Public Relations, Rotary, Rotary@105, SEO, Social Interactive Media (SIM), Social Media Relations, US History, Website

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by Paul Kiser

The Rotarian magazine

Last week the Washington Post Company declared that it could no longer handle the losses of the 77 year-old Newsweek magazine and announced that it was seeking a buyer. This comes as no shock to those who are closely involved in the industry. Print media in general is under siege by competition from the Internet and there is no bottom in sight. The impact of the Age of Omni Communication is being felt by all the traditional media, including guaranteed circulation magazines like Rotary International’s The Rotarian magazine.

(Age of Omni Communication? Click here.)

Traditional Media Too Comfortable
For most of the 20th century the traditional media sources of newspapers, magazines, radio and television had settled into their respective niches. It was a balance that allowed all of the traditional media to control their share of the advertising revenue.

Print media has been accustomed to measuring success based on circulation, which means they offer numbers to advertisers that measure output, but don’t really measure effectiveness. Traditional media uses the broadcast (one-way) communication model which tends to overlook the questions of whether expensive print media ads are: 1) actually noticed by a reader, and if noticed, 2) do the ads increase sales? The analogy that print media has lived by: if you throw enough goo at a wall something will stick. It was a model of business that worked because there was no better alternative. No one had any reason to believe it would ever change.

The New World of Media
Newspapers were the first to feel the effects of the Internet. By the new millennium people were bypassing them and linking directly to news websites. Soon circulation dropped, and once circulation dropped then advertising revenue dropped. Next to go was the newspaper’s major money-maker; classified advertising. It was swept away almost overnight with the appearance of websites like Craig’s List. By 2003, newspaper revenue began a free-fall and hardest hit were investor owned newspaper groups that could not afford to lose money because they were already being trimmed to the bone in order to harvest higher dividends.

Magazine sales of Time, Newsweek and US World News Report

Magazines didn’t really see a major impact until blogs and Social Media tools like Facebook and Twitter began to dominate the world of information and communication. People began to speak for themselves and listen to raw information from sources that weren’t filtered through a small group of editors. The magazine staff saw this as heresy. How dare the public read stories that they haven’t approved! They believed that the role of the publishing world was to decide what the public should know and the Internet was full of information that they hadn’t approved.

Comfortable in their arrogance, magazine publishers thought they would survive where newspapers failed, but in 2007, popular magazines like Time and Newsweek had the floor drop out from under them. Advertisers had discovered that people were basing purchasing decisions on what other people were saying about the products/services in the Social Media. Mass advertising was losing the battle to customer reviews and person-to-person online interactions. For the first time magazines had a competing alternative that exposed the fallacy of mass advertising.

The Rotarian Meets 2010
Highly specialized magazines and membership magazines have been insulated from the fate of the rest of the print media world, but it really is a matter of time until all print media see the reality of Social Media. The official magazine of Rotary is no different and the first sign of change happened two weeks ago.

During the last week in April, Rotary International convened the 2010 Council on Legislation. This is a body of senior administrative Rotarians (all past District Governors) that review and approve changes to Rotary International policies. Among the over 200 proposed changes was a request to allow the internal Rotary magazine to be offered in an electronic format option and allow members to cancel the delivered hard copy magazine. No big deal, right? But it is a big deal.

The Rotarian Magazine is a monthly magazine with a guaranteed circulation. Every member of Rotary is required to receive it. That allows Rotary International (RI) to reach every member once a month, but it also allows RI to guarantee circulation to advertisers. No one really knows what percentage of Rotary members actually read the magazine, but in the world of advertising it is circulation that counts and it seems certain people at the 2010 Council on Legislation knew an electronic version could drastically reduce the circulation of hard copy of The Rotarian.

An electronic option is a bigger issue than just circulation numbers. This issue of electronic versus print is an example of the bigger conflict between traditional print media and Internet media. Beyond advertising revenue this is an issue of format and content.

Magazine Format versus Electronic Format
Currently, The Rotarian is a 64 or 80 page magazine (80 pages when there is a multiple page supplement). The first 30 or so pages are a mix of departments and Rotary and non-Rotary advertisements. At about page 30 the magazine starts three or four ad-free feature articles for the next 21 to 26 pages. The remainder of the magazine is small item articles, classified ads, and mostly Rotary related ads. This is a format that works for print media.

The two significant characteristics of The Rotarian print version that conflict with most models of electronic media are: 1) ads intermixed with the substance of the magazine and 2) long articles. In the most recent edition of The Rotarian (May 2010) there is one article that is 18 pages long. Internet-based reading has rejected advertising (called spam) and most information is delivered in three to five paragraphs (except, of course, my blogs which violate all the rules.) Blogs/articles that violate the rules are ignored. Therefore, to be read in an electronic format The Rotarian would have to eliminate the ads and severely trim the articles, which means a print version would either have to change or two different versions would have to be created.

There are two other options. The first is to create a version that would work with the new iPad, but that would mean members would have to purchase an iPad. The second option is to not change the format for the Internet, which would mean that most people would not read it.

Square Peg in a Round Hole
In the final analysis, a magazine is based on traditional media concepts and they do not translate to the Internet format. Social Media is focused on connections between people and sharing of ideas. A print magazine is a broadcast of information where no one cares if anyone reads it as long as the circulation numbers are good. But advertisers are getting smarter and stingier about throwing money at broadcast media.

The National Rotarian magazine

The fact is that The Rotarian is living on borrowed time. Eventually, the reality that circulation doesn’t measure anything that is relevant will cause advertisers to focus their efforts (and money) on real connections with real people. Without outside ad revenue the cost to maintain a print publication will force RI to move away from broadcast media and seek better options. The best option will be for RI to create a series of mentored blogs that allow people to read and discuss the Rotary issues that are important to them. Rotary International is already experimenting with this through Social Media tools, but there is and will be resistance to giving up traditional media.

Next year will be the centennial celebration of The Rotarian magazine. It may also be the celebration of the end of an era.

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Social Media Book Review: The Zen of Social Media Marketing

10 Monday May 2010

Posted by Paul Kiser in 2020 Enterprise Technologies, Book Review, Branding, Consulting, Customer Relations, Customer Service, Information Technology, Management Practices, Passionate People, Public Relations, Re-Imagine!, Rotary, SEO, Social Interactive Media (SIM), Social Media Relations, Website, Women

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2020 Enterprise Technologies, Bloggers, Blogging, Blogs, Book, Book review, Facebook, LinkedIn, Management Practices, New Business World, Public Image, Public Relations, Publicity, Re-Imagine!, Rotarians, Rotary, Rotary Club, Social Media, Social Networking, Twitter, Value-added, Website

by Paul Kiser
USA PDT [Twitter: ] [Facebook] [LinkedIn] [Skype:kiserrotary or 775.624.5679]

Book Cover

Book: The Zen of Social Media Marketing
Author: Shama Hyder Kabani
Publisher: Benbella Books
Published: April 2010
Audience: Primary: Message professionals involved in organizational internal and external communication. Also, individuals seeking to create a personal brand. Secondary: Seekers of enlightenment regarding Social Media and Professors and Teachers in many fields (e.g.; business, arts, education, communication, etc.)
Rating: (Out of 5*)
- Overall ***** (5-Must Read)
- Content ***** (5)
- Relevancy ***** (5)
- Style **** (4-down to business tone)
- Readability *** (3-read on a Kindle computer download)
- Value***** (5)
Thesis: A presentation of key aspects of Social Media and how it functions with organizational marketing.

Social Interactive Media is a very complex and variable subject. It is unreasonable for anyone to expect one book can adequately cover this topic because the Social Media tools and their use are changing daily. It is akin to asking someone to explain Art in one book….and the request is made after the Renaissance. There is much to discuss and there is still more to come. The reality is that we are still in early childhood of Social Media, but even today it can make or break governments and businesses.

Shama Hyder Kabani

Despite the impossible task the author, Shama Hyder Kabani has not only written a great book on the subject of Social Media, she is offering a solution to the problem of keeping her book relevant by updating and revising the book on the Internet. It is truly a book born in the Social Media era of handling difficult problems with New World solutions.

Teasers

Introduction – Nice comparison between Social Media and the spoon lesson in the movie ‘The Matrix”.
Chapter 1 – a) Learn how to A-C-T using a great B-O-D in Social Media. b) Strangers to Consumers to Clients.
Chapter 2 – a) What is Website 911 EMS? b) What a blog does for your website. c) Relevancy versus Content…or not
Chapter 3 – Use and abuse of Social Media.
Chapter 4 – Facebook, the coffee shop of the Internet. (I love that analogy!)
Chapter 5 – a) Twitter, it’s about the dialogue, not about you. b) What #ff means.
Chapter 6 – LinkedIn, the conference room of the Internet.
Chapter 7 – Video on Internet: a) About, b) How to, c) Why.
Chapter 8 – Social Media meets Corporate Policy.
Chapter 9 – Icing on the Social Media cake.

I discovered new information on Social Media through Shama’s book, but mostly this was a great read because she validated what I have learned, read, and witnessed in my exploration of Social Media. For me, it allows me to say to someone, if you don’t believe me, read the book. The Social Media Doubting Thomas’ need a hard copy book for information to be legitimate and that is what Shama Hyder Kabani provides to the world. She also confirmed for me that age does not equal wisdom in the world of Social Media. My experience has been that the older the Social Media ‘expert’ the more cynical and off-target the information. Shama knows her stuff and people of all ages should sit up and listen….or just leave.

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Rotary@105: Chesley R. Perry – ‘Mother’ of Rotary

05 Wednesday May 2010

Posted by Paul Kiser in Lessons of Life, Membership Retention, Passionate People, Public Relations, Rotary, Rotary@105

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Blogs, Club Members, History of Rotary, Management Practices, Membership Retention, Paul Harris, Public Image, Public Relations, Publicity, Rotarians, Rotary, Rotary Club, Rotary District 5190, Rotary International

by Paul Kiser

One Club and Only One Club

Most Rotarians know that Paul Harris was the Father of Rotary. He is credited with the idea for the club and today he is ‘Mr. Rotary’ to millions of Rotarians. The Chicago Rotary club was an immediate success and it achieved all that Paul Harris could have hoped for and maybe even more than he had imagined.

However, by 1909, several other business men in other cities had heard of the new Chicago Rotary club and they wanted to know more about the organization. Paul Harris was receiving letters from all over the United States asking about creating new clubs and when the second club was chartered on November 12, 1908 (San Francisco) it created an explosion of interest and letters came pouring in to Paul’s office.

The New Face of Rotary as the Organization Transforms

The work to charter new Rotary clubs brought new challenges and tasks for the organization. Chicago Club President ‘Red’ Ramsey asked a member, Chesley R. Perry, if he would take charge of club expansion or ‘extension’. Ches, as he was known by his friends, accepted. It would change the course of Rotary.

Chesley R. Perry

Ches Perry was not one of the original charter members,…not even close. He joined Rotary in late June of 1908, over three years after the organization was born. When he was asked to take on the leadership of chartering new clubs he had been a Rotarian for just over a year, but he was the right person for the job. Ches took on his task as if Rotary was his idea. At the end of his work day he would go over to Paul Harris’ office and work long hours with Paul responding to all the letters coming in from potential club organizers. Paul and Ches became a team that laid the groundwork for what was to come.

Within months after the San Francisco club was chartered four more clubs were organized in Oakland, CA; Seattle, WA; and Los Angeles, CA. By the fifth anniversary of Rotary (February 23, 1910) 12 clubs had been chartered but each club was an independent organization that adopted the Chicago Rotary club’s Constitution. The first club had been the central focus and contact for all the new clubs, but there was not a unifying organization. Now a new dilemma surfaced.

The Chicago club had become the primary entity for a rapidly growing group of Rotary clubs, but that was not the purpose of the original club. It was time to create an umbrella entity that would act on behalf of all existing clubs and qualify new clubs. It was decided to hold a convention of all Rotary clubs to establish a national Rotary organization. The task of planning a three-day convention fell to largely Ches Perry.

Years later Paul would tell of the role Ches played in his role in the fledgling Rotary organization:

“…Ches did not want to be told what to do; he did it. He did more work than I in the calling of the first convention, a great deal more….”

Like so many great Rotarians, Ches didn’t hesitate to act when action was needed.

What followed was a transformation of Rotary. The first convention was held on August 15-17, 1910 and the Rotary clubs immediately elected Ches to be the chairman of the convention. The representatives then established the National Association of Rotary Clubs of America. Paul was elected as its first President and soon after the convention the new Board of Directors asked a young 33 year-old Ches to temporarily serve as Secretary. He accepted and then served in that role until 1942 when he retired at age 65.

Ches created the Rotarian magazine (then called the National Rotarian) that every member now receives monthly. When Paul took a ten-year absence from Rotary in 1912, it was Ches that kept the organization moving forward. It may be that someone else would have stepped into the role instead of Ches and kept the main cog of the Rotary organization well oiled and in motion, but it seems that Ches was exactly the right person at exactly the right time.

As we approached the Centennial of the first Rotary Convention, let’s remember the person who cared and nurtured our organization during its most formative years: Chesley R. Perry.

Other Rotary Blog Posts

A Century of Service by David C. Forward

(Special thanks to David C. Forward and his book, A Century of Service: The story of Rotary International. Book is available at www.shop.rotary.org)

United and Continental Airlines: Merger with the Devil

03 Monday May 2010

Posted by Paul Kiser in Customer Relations, Customer Service, Human Resources, Management Practices, Public Relations, Re-Imagine!, Rotary, Social Media Relations, Tom Peters

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Blogs, Customer Service, Management Practices, New Business World, Public Image, Public Relations, Publicity, Re-Imagine!, Rotary, Tom Peters

by Paul Kiser

Paul Kiser – CEO of Enterprise Technologies, inc.

They are not too big to fail and personally that is the only viable option I see for United Airlines. I apologize for my tone, but United Airlines is the worst of the worst and I’m not alone in my opinion.

Today it was announced that United Airlines and Continental Airlines are officially merging. What a dumb move on Continental’s part. Here are some of the comments I picked up about this merger:

“United is nothing but a mediocre airline, I don’t think I want to be combined with that work force. Continental has better customer service, it has a better product.” (1)

A Continental Airlines pilot that didn’t want to be identified

This is a sad day…united sucks…continental is an awesome airline. Some asshole will get a HUGE bonus for this and we travelers will get sh*t for service and surly b**ches at check in from united. I really hate American business nowadays. (2)

Comment to a Blog (I masked the worst of the vulgarity)

The worst kept secret in the airline industry is that United is a dysfunctional, uncaring, arrogant, and consistently bad air carrier. It has the public image of GM when Congress was considering bailing the car maker out in 2009. Songs have been written about United’s poor customer service.

(Listen to United Breaks Guitars by David Carroll)

United Airline service can best be summarized by this slogan: “We don’t care, we don’t have to.”

United is destined for failure and this merger seems to confirm that UAL continues to take action for all the wrong reasons. This merger is done for one purpose and one purpose only: a desperate attempt to show the investors that it is doing something, anything, to avoid certain death.

United demise has been a slow, painful process of false promises, betrayals, and really, really bad management. United employees have been jerked around so many times that they no longer care about customer service. I have interacted with them enough to see that UAL has institutionalized poor customer service.

One example happened to me last year at Denver International Airport. I was flying with my four year-old boy and we were checking in for a flight from Denver to Reno on United. As we approached the ticketing area we walked past 80 or more ticket kiosks that were wide open. They were all reserved for the handful of passengers with no baggage or for international travelers, while passengers with baggage were only offered ten or so kiosks and a 30 minute wait in a long line. They had more people directing traffic for the long line than they had assisting passengers. That is not poor customer service, that’s customer loathing. United employees have heard it all, seen it all, and they see no reason to care.

My guess is that new employees at United are trained by people who are so cynical about their management and customers that they drive out any spark of hope in the rookies. That level of institutionalized hate for your job can’t be fixed without massive changes in staff. It would take a complete wipe of all levels of management and dismissal of almost all rank and file employees to excise the environment of customer hate that exists at United. A merger may make investors happy but it changes nothing in the poisonous environment that will spread to Continental after the merger.

Is there any hope? Not likely. The company name will stay United, so people will associate Continental employees with the sour employees at United. That’s not good. Jeffery A. Smisek, the CEO of Continental, will be the CEO of the new company, but United’s headquarters in Chicago will be the HQ for the new organization, which means the United ongoing leadership attitudes and problems will be retained.

Regarding the merger, Smisek said, “This combination brings together the best of both organizations and cultures to create a world-class airline with tremendous and enduring strengths.” and added, “Together, we will have the financial strength necessary to make critical investments to continue to improve our products and services and to achieve and sustain profitability.”(3)

Note that Smisek says nothing, not a word, about the 800-pound gorilla in United’s Operations, which is bad, really bad, customer service. United Airlines wouldn’t be out looking for a merger if it wasn’t a house of cards ready to collapse, but the new CEO seems blissfully ignorant that most flyers would fly anything but United.

All this is good for the customer because it will probably lead to the demise of a mega airline within 36 months after the completion of the merger and the equipment will be sold off to smaller carriers.

However, I can see a small opportunity for a turnaround, but it would be a miracle. First, it is that Public Relations professionals dream because they can go no where but up. Second, all public image is local, so it would take massive retraining of the staff to do a Tom Peters’ Re-Imagine! of the company. The extreme makeover would have to happen at the rank and file level. If they don’t buy into a 10.0 seismic shift in customer service the makeover is doomed. Investors be damned, everything would have to be done to make the passenger a VIP. No baggage fees, no accountants counting nickels and dimes.

Realistically the dynamics at United make the task impossible. Labor unions, cynical employees, authoritarian managers, accountant infestation and investor worship, all would work against the goal of excellent customer service, so that leaves the obvious option: let United die. It is unfortunate that United will take Continental down with them, but I guess they asked for it. Dumb move.

(1) Top News Article: http://topnews.us/content/218898-continental-airlines-worried-about-merging-united-airlines

(2) Joe.My.God Blog: http://joemygod.blogspot.com/2010/05/united-and-continental-airlines-to.html

(3) American Headline News: http://abh-news.com/united-and-continental-airlines-merge-2738.html

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3rd From Sol

~ Learn from before. Live now. Look ahead.

Tag Archives: Management Practices

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Rotary@105: Chesley R. Perry – ‘Mother’ of Rotary