Posts tagged as:

Purpose

Culture interview with CEO of Pear Analytics

by Sheila Margolis on September 16, 2011

I conducted an interview with Ryan Kelly, founder and CEO of Pear Analytics, a web startup in San Antonio, Texas. They build search engine optimization tools and software to help make SEO accessible to everyone. This interview focused on the culture of Pear Analytics—its purpose and core values.

SM. What is the purpose of your company? Why is the work you do important?

Mr. Kelly. The purpose of Pear Analytics is to help organizations compete online. We help companies do a better job of being more visible online. Our work is important because Internet marketing is not as expensive as other forms of marketing. It’s cost effective and trackable; therefore, any size business can do it and benefit from it. Companies that don’t understand online marketing will be left behind and will miss opportunities because many of their competitors are doing it better. Additionally, companies who don’t understand Internet marketing often waste a lot of money because they don’t spend their money wisely. Often, a company can get better results with less money. This is a rewarding business because this work can generate quantifiable improvements.

SM. What are the ideals that drove the founding of your company?

Mr. Kelly.  We want to be transparent and honest in what we’re doing. A lot of companies in this business are not trustworthy. SEO has a bad connotation; there are many scammers in this business because most consumers don’t understand it. Customers often write checks without knowing what they’re getting. At Pear Analytics, we are transparent: we tell customers the steps; we tell them what they get for the price; we give a roadmap. Clients like knowing what’s happening. They understand our end goals.

We communicate; it’s a lot of hand holding up front. With other companies, you buy, for example, 1,000 links for $200 and never talk to a person, or you pay an agency charging huge markups. We’re trying to price our work to be super competitive and still make money.

SM. How is your company different from your competitors?

Mr. Kelly.  We are different because we care if we help companies make money. Many in SEO just care about rankings, but traffic does not drive revenue. We care about conversions; we want the traffic to do something. We give customers pointers on how to improve conversions. We do conversion testing to ensure that clients are spending money on traffic that converts.

SM. How would you describe the personality or character of the company?

Mr. Kelly. It’s fun and flexible here. We have no set hours. We’re focused on getting tasks done. We have a project management system so we know if anyone is lagging. It’s like flexibility on a leash.

Employees have unlimited time off. Everyone works hard–at or over capacity. People often take one to two weeks off at a time. It’s important to work hard and play hard. People need to reenergize. You need balance to be productive.

There’s also flexibility in where you work. You can work from home or at the office—everything is in the Cloud so employees can do work remotely. We use our office for teamwork and collaborative activities, meeting with customers, and training.

We are also flexible in our processes. Employees give input in how we do things. They feel ownership. Employees can directly affect the way the company operates. We change things constantly.

We value decision-​​making and empowerment. I would rather have employees make mistakes and learn. They don’t need to come to me for every question. I’d rather have employees make decisions and make mistakes as long as they learn and are working to make customers happy.

We want to have fun, too. We have a ping-​​pong table and video games in the office. People work hard for two to three hours, and then they play a game. You need a break from looking at a computer screen.

Everyone is from different backgrounds. We train employees from the ground up. We have a lot of Gen Y, first-​​job employees who have recently graduated from college. They like a flexible, fun and empowering workplace.

SM. What are the things about Pear Analytics that should never be changed?

Mr. Kelly. We don’t have meetings. They’re often a waste of time. We have 5–15 minute maximum, morning huddles, often at 10am with Skype. We discuss news, where people are stuck, what’s happening, customer metrics, and where we are with tasks.

Also, everything is open. There are no closed-​​door offices or cubicles. We all sit together.

SM. What values, if followed by all employees, will allow the organization to compete and thrive?

Mr. Kelly.  Integrity, honesty, and transparency–I’ve mentioned them earlier. Those are critical.

We also want to deliver “kick-​​ass” service. We want to be the best at that. We don’t sell what people don’t need or what they’re not ready for. We want to have the right customers—if $500 is all a person had, I wouldn’t take that customer. This work is an investment; it may take time to get the results you want. We set expectations upfront; there’s no crystal ball—only historical data.

We also are building our technology to make jobs easier. We have that Kaizen mentality of continuous improvement. We want to be the most efficient and the least wasteful. We must build scalable and repeatable work. We monitor what gives the best results, and we repeat it. We’ve taken a service model and are making it repeatable. We want to be in the middle–between service and software. We’re trying to invent new and better processes to enhance our technical competencies so its’ easier to do one’s job, and we can save time and can grow the business.

SM. How do you get employees to be on the same page?

Mr. Kelly.  I try to communicate our mission, vision and values with employees. I want our company to be the most well known Internet marketing company in the world.

I also make sure we hire people who are self-​​starters and who don’t need explicit instructions. They just get done what needs to be done.

Related Posts:

Be the first to comment

Use organizational Purpose to unite employees

by Sheila Margolis on June 17, 2011

Purpose: Why is this Work Important?

The Purpose of an organization is the most central component of its culture. The Purpose defines why the organization exists. The Purpose is not the answer to the question “What does the organization do?” That typically focuses on products, services and customers. Instead, the Purpose is the answer to the question, “Why is the work of this company important?” This may sound like a simple question, but in its simplicity, lies tremendous significance for the organization and for each employee.

The Purpose is the cause that defines the contribution an organization makes to society through its work. Of course, businesses exist to make a profit, but they also exist to make a difference. Through their firm’s work, employees can make a difference and be part of a meaningful legacy. When an organization’s Purpose is meaningful to an employee, that person feels a connection to work that is not only rational—it’s also emotional.

Purpose Statement: Be Brief in Length and Broad in Scope

A Purpose statement is a few, crucial words that inspire and motivate employees who care about making that contribution. For example, the Purpose of a bread company might be, to nourish life. And the Purpose of an entertainment company might be, to make people happy. The Purpose statement is brief so employees can remember it and use it to guide their daily actions. Additionally, the Purpose statement is broad in scope to allow the organization to adapt over time to a changing world while keeping a constant, consistent central focus. Products and services often change, but the Purpose endures. Think of your company as a living entity; it is a vehicle for improving individual lives, and the world we live in.

Defining the Purpose: Include Everyone in the Process

When defining your company’s Purpose, be sure to include everyone in the process. Participation in the process builds commitment. Use small group discussions to come up with possible Purpose statements. Then, let everyone respond to a collection of options to see the statement that best conveys the fundamental reason why the company exists.

A Purpose statement does not have to be unique. Other organizations doing similar work may have a similar Purpose. Your Purpose should use words that are meaningful to employees and appropriate for your organization.

Purpose Statement: Screen Using the Six Criteria

Be sure your Purpose Statement meets the six Purpose criteria:

  1. It is a contribution to society—not a product or service.
  2. It answers the question: Why is this work important?
  3. It is inspirational and motivational.
  4. It uses powerful words.
  5. The statement is brief in length so employees will remember it.
  6. The statement is broad in scope to allow for future opportunities and change.

Use this worksheet for evaluating Purpose Statement Options: Organizational Purpose Statement Options To Be Evaluated

A Source of Meaning: Unite Employees with the Purpose

Take the time to unite employees around the organization’s Purpose so that work is more than daily tasks. Work should be viewed as a contribution to society and a source of meaning for each employee.

 

Related Posts:

Be the first to comment

Where is the soul of Dell?

by Sheila Margolis on April 25, 2011

After reading the WSJ article “Michael Dell Looks Beyond PC Business,” you may wonder where is the soul of Dell. In the excerpts of the WSJ interview with Michael Dell, no clear company Purpose or set of defining principles–a Philosophy–stand out. Where is the soul of Dell?

Leadership is the dominant driver of culture and strategy; therefore, in all communications, the CEO must share the Purpose of the company and its defining Philosophy. These core attributes must be at the heart of each conversation. These defining principles serve the company internally as a glue to unite and a compass to guide. But they also must be consistently communicated to the public so that everyone has a sense of the heart and soul of the company and its distinctive contribution. The energy of the company’s essence can be a powerful tool–when it is genuine and shared.

But in the interview with Michael Dell–the founder–the conversation centered more on the company’s move from consumer to enterprise, the importance of acquisitions and the push to supporting cloud computing. These are conversations that are important but not distinguishing.

If Dell wants to stand out and achieve, the company must look inside and unite again around a Purpose and Philosophy that every employee connects to and that the public understands. To be a leader, a company must know itself and its distinguishing attributes and then build on that internal strength and devoted mindset. Understanding your markets and strategy is essential, but you must also understand and communicate your Core Culture–the essence of who you are–so that you stand out and succeed because of your distinctive ability to make a contribution.

Related Posts:

Be the first to comment

According to the WSJ, Walmart will be reporting a second straight year of declining domestic same-​​store earnings. The cause is attributed to the company’s move from its core culture centered around the principle of providing everyday low prices to the American working class.

According to the Walmart website, they state that three simple principles that were part of their founding in 1962 are what make them great.

  1. Respect for the Individual–We’re hardworking, ordinary people who’ve teamed up to accomplish extraordinary things. While our backgrounds and personal beliefs are very different, we never take each other for granted. We encourage those around us to express their thoughts and ideas. We treat each other with dignity. This is the most basic way we show respect.
  2. Service to our Customers–Our customers are the reason we’re in business, so we should treat them that way. We offer quality merchandise at the lowest prices, and we do it with the best customer service possible. We look for every opportunity where we can exceed our customers’ expectations. That’s when we’re at our very best.
  3. Striving for Excellence–We’re proud of our accomplishments but never satisfied. We constantly reach further to bring new ideas and goals to life. We model ourselves after Sam Walton, who was never satisfied until prices were as low as they could be or that a product’s quality was as high as customers deserved and expected. We always ask: Is this the best I can do? This demonstrates the passion we have for our business, for our customers and for our communities.

Walmart’s changes in their merchandise and even the look of their stores was designed to attract higher-​​income customers. Then they instituted discounts on select items while raising prices on others–not in keeping with their tradition–and part of their core culture– of everyday low prices.

The company Purpose is simply stated by Walmart:

Saving people money to help them live better was the goal that Sam Walton envisioned when he opened the doors to the first Walmart. It’s the focus that underlies everything we do at Walmart.

Sometimes we get distracted from our roots in our attempts to grow and thrive. But when a company changes its central principles, then the company confuses its loyal customers and its employees. Changing core principles should be avoided unless it is required for survival.

Companies should define their vital Purpose and their distinctive and enduring Philosophy and understand that those attributes are their identity, and they should always be preserved.

Related Posts:

Be the first to comment

Are you hiring for culture fit–like Warren Buffett?

by Sheila Margolis on October 27, 2010

In the Wall Street Journal article, “Buffett: Combs Is ‘a 100% Fit’,” culture fit is described as a critical criteria for selecting Buffett’s heir apparent:

Mr. Buffett says he and Mr. Munger (Berkshire Vice Chairman) were sold on Mr. Combs not only because of his ability and intelligence but also because they were convinced he would fit in to Berkshire’s no-​​fuss culture.

Buffett knows that a culture can change when a founder leaves an organization, and this can have a significant impact on the company and its future. Buffett states:

He is a 100% fit for our culture. I can define the culture while I am here, but we want a culture that is so embedded that it doesn’t get tested when the founder of it isn’t around. Todd is perfect in that respect.

So how do you determine if a candidate for a job is a 100% fit?

Companies screen applicants on at least two levels. First, they evaluate the candidate’s fit for the job. When evaluating an applicant for job fit, companies consider these questions:

  • Does this person have the knowledge and skills necessary for this job?
  • What past experiences have prepared the applicant for the job?
  • Do the strengths of the applicant match the requirements for the job?
  • Will this person be sufficiently challenged doing this work?

But more and more organizations are adding a second layer of questioning: to evaluate the candidate’s fit with the culture of the organization. When evaluating an applicant for culture fit, companies think about these questions:

  • Is the work of our organization something that is meaningful to the applicant?
  • Are the applicant’s values in harmony with the values of the organization?
  • Will the person naturally perform in ways that are consistent with how we do things here?

How well a job candidate fits the culture of a workplace can make the difference between job search success and failure. Those candidates selected on the basis of culture fit—in addition to job fit—will contribute faster, perform better and stay longer with the organization. Where culture fit is neglected, the burden is shared by both the employee and the company. Working at a company with values inconsistent with yours can be difficult, stressful and unrewarding. And if the new employee is the heir apparent, then the future of the company is at stake.

Culture fit is important for all potential employees. A person’s values are difficult to change. When you are not a fit with the culture of an organization, that fit cannot easily be altered through training and development. It’s just not the right place for you and not the right life for you to live.

Seeking that 100% fit is important in hiring employees and is essential in picking top leadership. This is why many organizations promote succession planning where internal candidates–who are known entities–are the candidates who get the top positions.

So, if you are a company, be sure you’ve defined your company’s culture–particularly your core culture. Use an organization-​​wide process to define the organization’s Purpose and Philosophy: the central and distinguishing attributes that are the character of the organization and the cause that it has served over the years. You must also know the Priorities of the organization so that you can screen to ensure that candidates naturally practice the values needed to achieve your goals.

By understanding the candidate and an organization’s core culture, you can screen for culture fit. A successful organization hires people who want to live the culture effortlessly.

Related Posts:

Be the first to comment

Nokia searching for new CEO to bring change

by Sheila Margolis on July 20, 2010

According to the WSJ, Nokia is searching for a new CEO to revive an organization that sells lots of cell phones but has been unable to compete in the high-​​end smartphone market. The WSJ says, “The company’s failure to get back in the race has taken a toll.” Selling in the mainly lower-​​end market limits profit margins. So what does the company do to push change…they search for a new CEO.

Leadership is a prime driver of change, and top leadership is the primary influencer of an organization’s culture. Thus, several things must be decided before looking for a new leader.

  • First, decide what is working with the culture and what needs to be changed. Is a new strategy with corresponding values what leadership must advocate or is the problem deeper? A clear assessment of the Core Culture and particularly the Purpose and distinctive and enduring Philosophy of Nokia must be assessed. What are they and can the organization survive sustaining that Purpose and those distinctive organizing principles that are the character of the company. Is a character change needed or a strategy change? Hopefully, it’s just a strategy change because the former requires a much more complex process of transformation.
  • Next, if the change is just a strategy change, be sure the new leader personally advocates and believes in the Purpose and Philosophy. If that leader sees the organization in a new way, changes may be made that were not intended.

Selecting new leadership is a delicate process. But first understand what must be sustained and what needs to alter. Then, choose the leader that will take the organization in the right direction rather than destroying those attributes that matter most to employees and the customers who identify with it.

Related Posts:

Be the first to comment

Do employees have the big picture?

by Sheila Margolis on January 26, 2010

Prosper Using the “Why,” the “How,” and the “What”

How would you describe the people in your organization?

  • Do employees genuinely care about the organization? Do they feel a connection to its contribution and its unique character?
  • Do valued employees want to continue working there? Do they identify with the organization? Do they feel invested in its future?
  • Do employees regularly put forth extra effort to help the company succeed? Are they adaptive? Focused? Persistent in their efforts? Are they willing to take on added tasks when they see the need?

Work today is different from the past.

If this sounds too idealistic, maybe it’s because organizations of the past have used a different model for work. In an environment of command and control, the focus was on following rules, with little place for personal initiative. But today, that model cannot thrive in our global, highly competitive, constantly changing, and transparent world. Successful organizations today are characterized by high energy, a sense of urgency, focus, passion, and perseverance.

So how do you help your organization generate the enthusiasm that propels it toward prosperity? The key is to share a—bigger picture—view of work to guide people as they create the success each organization seeks. [Continue reading…]

Related Posts:

1 comment

Building a Culture of Distinction- Leader Workbook Building a Culture of Distinction- Participant Workbook There Is No Place Like Work: Seven Leadership Insights for Creating a Workplace to Call Home There Is No Place Like Work- Job Seeker Manual