Category Archives: Fun

Support Theatre

Support theatre provides the appearance of supporting customers when in fact it is just treating customers poorly based on a management system that disrespects customers. It is a similar idea to security theatre that has become so popular for government in the USA for the last 10 years.

Dilbert does a good job of illustrating “support theatre” in this webcast:

I have had the exact experience Dilbert does of tech support refusing to think about the actual symptoms of the problem and insisting on following some script and wasting my time – repeatedly. This is not some accident. Management has designed systems with the attitude that customer’s time doesn’t matter.

Companies that practices support theatre are usually very focused on cutting the company’s cost and not “wasting” the companies time fixing the problems they create for customers or even helping customers put on “band-aids” to cope with the injuries the company has inflicted on the customer. Those companies also don’t learn from their failures to improve and stop future customers from suffering the consequences of their poor processes.

It is painful to interact with such companies. I find that most large companies I am forced to interact with are deeply into support theatre and only very superficially concerned with customers. It is a shame that the type of customer focus that those interested in management improvement have been advocating for decades is ignored by so many companies today.

If you care about your customers and want to build an organization that prospers by delighting customers go to the customer (user) gemba. Focus on how to improve the customer experience. You likely will have many easy opportunities to improve how things operate since the experience for customers today is often so bad.

Related: Making Life Difficult for CustomersPracticing Mistake-Promoting Instead of Mistake-Proofing at AppleCustomer Service is Important (2006)Simple Customer Care Strategy: CommunicateUse Urls, Don’t Use Click x, Then Click y, Then Click z InstructionsHow to protect yourself from your credit card companyVerizon Provides Lousy Service = Dog Bites Man (2008)Is Poor Service the Industry Standard? (2006)Incredibly Bad Customer Service from Discover Card

Your Brain Can Jump to Incorrect Conclusions

How our brain works without us realizing it often is hugely beneficial, but it also creates some faulty conclusions at times. The video gives a good synopsis of the quick intuitive leaps our brains make all the time. These are extremely helpful, but occasionally lead us to fall into traps.

I have discussed these idea before: The Illusion of Knowledge, Optical and Other Illusions. By understanding some of the traps our brain can fall into, we can improve our decision making.

By learning that our “system 1 brain” will jump to immediate answers but may make some risky assumptions in seeking the quickest answer we can learn to question that conclusion. I find building the case for that conclusion (and questioning the assumptions) is helpful.

The trickiest part is figuring out when to apply more conscious effort to exploring the options. I do not believe the quip “don’t assume” is useful. We have to make hundred of assumptions every day or we couldn’t make any progress. If I don’t assume the floor will support my weight I have to be very careful getting out of bed, then the stairway, then whether food is safe to eat, whether the brakes still work on my car…

We have to assume. But it is helpful if we can intelligently question our immediate conclusions if it is important to do so. Optical illusion are interesting, most often the mistakes our brain makes are not important to us. But if such a conclusion was important, knowing to question your system 1 response will give you the chance to improve.

Related: We are Being Ruined by the Best Efforts of People Who are Doing the Wrong ThingHow We Know What We KnowFlaws in Understanding Psychology Lead to Flawed Management DecisionsAlbert Einstein, Marylin Monroe Hybrid Image

Ackoff: Corporations Are Not Led By Those Seeking to Maximize Shareholder Value

If I had to limit myself to a handful of management experts, Russel Ackoff would definitely be in that group. Thankfully there is no such limit. Ackoff once again provides great insight with great wit in the above clip.

A corporation says that its principle value is maximizing shareholder value. That’s non-sense. If that were the case executives wouldn’t fly around on private jets and have Philippine mahogany lined offices and the rest of it. The principle function to those executives is to provide those executives with the quality of work life that they like. And profit is merely a means which guarantees their ability to do it.

If we are going to talk about values, we got to talk about what the values are in action, not in proclamation.

Related: Ackoff, Idealized Design and Bell LabsDr. Russell Ackoff Webcast on Systems ThinkingA Theory of a System for Educators and ManagersCEOs Plundering Corporate Coffers

You’ve Got to Find What You Love

Your work is going to fill a large part of your life, and the only way to be truly satisfied is to do what you believe is great work. And the only way to do great work is to love what you do. If you haven’t found it yet, keep looking. Don’t settle. As with all matters of the heart, you’ll know when you find it. And, like any great relationship, it just gets better and better as the years roll on. So keep looking until you find it. Don’t settle.

– Steve Jobs

Watch this great commencement speech by Steve Jobs at Stanford in 2005.

We lost a great person today, when Steve Jobs died at the age of 56. His words are just as important today: you have got to find what you love to do. Keep looking until you find it. It won’t necessarily be easy to do. But life is too short to waste merely getting by.

My father found what he loved and pursued that throughout his life. He also died young. They both died young, but they both had great lives because they took charge to make the most of their lives. By doing what they loved they made the world a better place for many others, and themselves. Take that message to heart and make your life the best it can be.

Related: Quotes from Steve JobsPeter ScholtesPositivity and Joy in WorkBuild an Environment Where Intrinsic Motivation FlourishesRemembering Bill Hunter

Technical Non-Support

A bit of fun from Dilbert. I have had the exact experience Dilbert does of tech support refusing to think about the actual symptoms of the problem and insisting on following some script and wasting my time – repeatedly. The second act takes on another time waster with a management tip from Dogbert: “Always postpone meetings with time wasting morons.” Dogbert hasn’t quite adopted the respect for people principle.

via: The final word on making meetings better

Related: Dilbert and DemingFinancial Planning Made EasyCEOs Plundering Corporate Coffersposts on meetings

Kiva – Giving Entrepreneurs an Opportunity to Succeed

photo of a Kiva entrepreneur

Tony, a Kiva entrepreneur in Pennsylvania, USA looking to manufacturing specialty cars.

I really like Kiva. Kiva lets you lend small amounts of money to entrepreneurs around the world. My latest loan is to a manufacturing entrepreneur in the USA.

When Tony’s 6’0 6″ body could not fit in the traditional supercars, he built his own in 1990. Tony says, “If one door closes I just look for another opening; I don’t give up.” With much patience and hard work he continues to expand his business and hopes to make it a full-time job. With his ACCION USA microloan he has hired two designers to work with him part-time and has purchased a laptop.

I must admit I wouldn’t take this as an investment. It seems a very risky and doesn’t seem that likely to pan out, to me. But I see my loans through Kiva as a way to give people a chance to pursue their dreams. This loans is probably the one I find less compelling from a business point of view (to me), but I like to provide some loans in the USA so I decided to give Tony a chance.

I do try to select loans that look promising and seem to provide the entrepreneur an opportunity that will help them. By which I mean I love finding loans where, for example, they will buy equipment that will improve their productivity or take on new business. Very often loans are to buy raw materials or supplies, which is also fine but the potential gains are often less than something that improves the efficiency (it seems to me). Often this allows the entrepreneur to buy more and grow their business.

I have made nearly 200 loans now. The top country has been Togo (at 12%). I don’t target Togo but I do pay attention to the loan costs to the entrepreneurs (part of my assessment of the good business case for the loan) and some of the micro finance organizations offer good terms to entrepreneurs. Some of the microfinance organizations are more charitable (they may use donations to fund significant parts of the operating expenses, instead of profits from interest on the loans). Read more details on how Kiva works. It also used to be a bit difficult to find loans I really thought were great. It is getting easier to find more options so my guess is that the top few countries now will see declines in their percentages.

So far I have lent to 37 countries. Cambodia is 2nd at 7.7% of my loans, Viet Nam 3rd at 6.7%, Tanzania 4th at 5.1%, Nicaragua 6th at 5.1% along with Kenya, and Ghana and Boliva are 8th at 4.6%. The United States now makes up 2.6% and Mexico 1.5%. The sectors the loans are categorized in are: Services 25%, Food 18%, Manufacturing 17%, Retail 14%, Agriculture 12% and various others. Though the sector categorizations are pretty weak in my opinion (they seem to be fairly inaccurate – so it gives you an idea but it isn’t exact).

The default rate on my loan portfolio is 2.1% (3 defaults). One was in Kenya where $71.50 out of $75 was paid back and then huge civil unrest took place and it defaulted. The other 2 are from the same microfinance bank in Ecuador that was closed down due to mismanagement. In that instance I lost $87.50 out of $100 lent. 94 loans have been fully paid back and 94 are being paid back now.

I would love it if more Curious Cat readers joined Kiva and helped other entrepreneurs. If you do let me know your Kiva page and I will add you to the Curious Cat Kivans page. Also join the Curious Cats Kiva Lending Team.

Related: 100th Entrepreneur LoanThanksgiving: Micro-financing EntrepreneursUsing Capitalism to Make the World BetterKiva Opens to USA Entrepreneur LoansMicroFinance Currency Risk

Worker Retention at Zappos

Tony Hsieh, chief executive of Zappos, spoke at a recent y-combinator event (two great organizations we have mentioned before).

Facebook and Zappos’s Different Views on Worker Retention

“We actually want our employees stay with the company for a long time, for 10 years, maybe their entire life.”

“We now provide mentorship and training so employees can join at the entry level and, over a period of five to seven years, have the opportunity and training to become senior leaders in the company,” he said. “Constant growth is what will keep them in the company for a very long time.”

Hsieh said he wants Zappos to have a higher purpose than just driving profits and that if employees buy into it, it is easier to have great customer service and for employees to want to stay at the company. He’s outlined that in core values that the company uses to guide itself.

“For your employees, if you can inspire them through your vision, that’s not just about profits or being number one in the market,” Hsieh said. “I like to say the best businesses are the ones that figure out how to combine profits, passion and purpose and the vision and culture to do that.”

Great stuff. I must admit I would not find spending $700 million on an internet shoe and apparel retailer was a great idea for Amazon if it were not Zappos. I am happy to own a small portion of Zappos with such inspired leadership. The contrast in the respect for people Hsieh shows and so many other unethical CEO’s is amazing and inspiring. We need more such leadership examples to follow.

Related: Paying New Employees to QuitZappos and Amazon Sitting in a Tree…People are Our Most Important AssetBuilding a Great Workforce

Zappos and Amazon Sitting in a Tree…

Amazon is acquiring the unique company – Zappos: we have written about Zappos previously: Paying New Employees to Quit. Jeff Bezos uses the webcast above to talk to the employees of Zappos. Excellent job. The letter from Tony Hsieh, the Zappo’s CEO, to employees is fantastic. This is a CEO that respects employees. These are leaders I would follow and invest in (and in fact I am glad I do own Amazon stock).

First, I want to apologize for the suddenness of this announcement. As you know, one of our core values is to Build Open and Honest Relationships With Communication, and if I could have it my way, I would have shared much earlier that we were in discussions with Amazon so that all employees could be involved in the decision process that we went through along the way. Unfortunately, because Amazon is a public company, there are securities laws that prevented us from talking about this to most of our employees until today.

Several months ago, they reached out to us and said they wanted to join forces with us so that we could accelerate the growth of our business, our brand, and our culture. When they said they wanted us to continue to build the Zappos brand (as opposed to folding us into Amazon), we decided it was worth exploring what a partnership would look like.

We learned that they truly wanted us to continue to build the Zappos brand and continue to build the Zappos culture in our own unique way. I think “unique” was their way of saying “fun and a little weird.” 🙂

Over the past several months, as we got to know each other better, both sides became more and more excited about the possibilities for leveraging each other’s strengths. We realized that we are both very customer-focused companies — we just focus on different ways of making our customers happy.

Amazon focuses on low prices, vast selection and convenience to make their customers happy, while Zappos does it through developing relationships, creating personal emotional connections, and delivering high touch (“WOW”) customer service.

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