Archive for Uncategorized
First Whack Up the Side of the Head for Real Estate Leaders
Posted by: | CommentsThis January and February, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary recorded webinar for leadership. See more below, too.
Here is the first ‘whack up the side of the head’ we managers need to implement the actions to assure profits now. There’s a longer-term ramification, too. The result of implementing these ‘whacks’ is an tremendous opportunity to actually improve our industry, stabilize the freefall of commissions, and become the value-added profession we so long have touted as true.
Why Listen Up Now?
You have heard many of the ideas here before. Businesses in other industries have embraced these business concepts in the past decade. But, brokers simply have not adopted them. Why should brokers listen and take action now? Because times have changed enough that we can’t afford to keep persevering in old ways.
Small changes have big impacts. In his book, Microtrends, Mark Penn identified 75 microtrends sweeping the nation. One of them he calls ‘southpaws unbound’. Since I’m a lefty, I read that trend with interest, because I was one of a few of those children of my generation who learned to write properly with my left hand. When I was about four, my mother, a schoolteacher, taught me to write, and let me use my dominant left hand. When she found out schools were forcing kids to become right-handed, she asked my kindergarten and grade school teachers to allow me to write with my left hand. She actually single-handedly countered the principle of forcing naturally left-handed kids to become right-handed.
Now, though, the trend of making all lefties into writing with the right hand (or at least trying) is reversed. According to Penn, the number of left-handed people has doubled in two generations. Why? Because parents are encouraging their children to use the naturally dominant hand. Schools are now teaching left or right hand writing. What does that mean to business? A wealth of opportunities to create left-handed gadgets. What does that mean to the lefty? No conflict in the brain about natural dominance. No failure in school because we couldn’t translate the right-hand directions. More confidence in our own abilities. This trend may seem very ‘micro’ to you, but, to a lefty, it’s huge!
(My mom, who worried a lot about what people think, would feel very pleased that her bravery in insisting I stayed left-handed in school was vindicated).
The ‘Whack’ and Recommendations
Several societal sea changes were at work to alter how left-handed people were treated. One change was the recognition there were other ways to do things than what was traditionally done—a change embraced by both parents and schools. Another societal change was that creativity was now valued, not just ‘do it as I did it because I told you to do it’.
As with all adopted practices, several principles and actions come together to create a ‘critical mass’. Below are my observations about our traditional business practices that have become ineffective, due to consumer dissatisfaction, business expectations, much more education, and mass communication. Here are the observations, along with recommendations, to move our business practices to stability and profitability long-term.
Whack #1: Recruiting can no longer be thought of as an ‘on accident’ occurrence.
In a fast market, everybody wanted to sell real estate—and, most of them could sell—a bit. Now, that’s not the case. Brokers need to find agents who will actually develop careers. That means brokers must search for capable agents on purpose (just like agents must lead generate on purpose). Yet, very few brokers have a recruiting plan. It seems they are still waiting for the market to become that accidental market—just like agents. It’s time to break the habits of the ‘on accident’ recruiter and get focused. Now, just another body to fill a seat won’t cut it.
Recommendations to become an ‘on purpose’ recruiter:
- Make a recruiting plan! (You’ll need a ‘template’ to guide you through the thought process in my 365 leadership program)
- Use a good contact management program. How else are you going to track all those people you will be contacting?
- Set aside two hours each day (in the morning) to make recruiting calls.
- Set aside at least ten hours a week to interview ‘candidates’. Yes, stop thinking of anyone in front of you as a coveted potential agent, and start thinking of them as ‘candidates’. Using that word implies that it is a privilege to get to be chosen by you.
What paradigms have you changed in your recruiting and selection to adjust to the emerging market?
Leadership Strategies By the Month
Do you want to step into a better leadership style? Be more effective? Recruit more and better? I’ve created a very special, unique program for managers and owners: Once a month I share a specific leadershp strategy to recruit, choose, train, coach, and retain winners. These are proven strategies to get you out of a rut, take you past crisis management, and energize and inspire your team. See more at 365 Leadership. This new series closes for enrollment March 15. Find out more here.
Managers: Here’s a ‘Whack Up the Side of the Head’
Posted by: | CommentsThis January and February, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary recorded webinar for leadership. See more below, too.
The market was on fire. To take advantage of that situation, the majority of brokers were hiring everyone that walked in the door They knew even the least dedicated agent could find a friend, a relative—a stranger—to sell a house. Most brokers considered the business as a ‘bigger is better’ proposition.
The ‘on fire’ agent mentality. Agents scoffed at the notion of business plans. They didn’t need business plans. They were too busy. They didn’t need training. Who needs training or coaching when buyers and sellers find them? In truth, there were plenty of opportunities to make money in real estate without much dedication, hard work, and skill required. So, that’s what brokers got: Lots of agents having happy ‘accidents’, not skilled, not very committed to the long term—but making some money.
Happy Sales Accidents Come to a Screeching Halt
Then, things changed. Those ‘fair-to-middlin’ agents having many happy ‘accidents’ in an on fire market weren’t really ‘fair-to’middlin’. In a more challenging market, their deficiencies showed up. They became one-to-two transaction agents who had a few lucky accidents and sold some houses. Even though we love to tell agents to create referral businesses, we would all agree that closing one to two transactions yearly will never create the critical mass needed to drive a referral business.
Agents reacted quickly to market change. Realizing that the market wouldn’t be so forgiving, agents found ‘real’ jobs. But, in most cases, they kept their licenses with the brokerage, hoping to run into someone with whom they could work. Some hoped that this was just a blip in the market and that the fire would rise from the ashes again soon.
Brokers less quick to adapt. While agents sought other jobs or relied on other sources of income, most brokers took no actions. So, brokers were left with half their office ‘checked out’. They languished about their work force. “How can we get them to work?” they asked. The answer is simple but not what brokers want to hear. Most agents who had a few happy accidents in the former market aren’t willing to lead generate to make sales.
Bottom line: What worked in an ‘on fire’ market just doesn’t work when the market isn’t ‘pushing’ sales.
Get Whacked and Make the Changes Needed to Profit
My dad used to say when my sister and I were behaving badly he thought we needed a ‘whack up the side of the head’. Don’t worry. He didn’t actually do it, but we did pay attention when he said it, because we knew it was time to stop, look, and listen—and change our behavior! It’s time, I think, for brokers to get that ‘whack up the side of the head’, too.
In my next few blogs, I’ll provide that ‘whack up the side of the head’ I believe we brokers need to move our businesses past ‘maintenance to leadership.
Gain Innovative Action Strategies
Do you want to step into a better leadership style? Be more effecctive? Recruit more and better? I’ve created a very special, unique program for managers and owners: Once a month I share a specific leadershp strategy to recruit, choose, train, coach, and retain winners. These are proven strategies to get you out of a rut, take you past crisis management, and energize and inspire your team. See more at 365 Leadership. This new series closes for enrollment March 15. Find out more here.
Do You Have a Group or a Team?
Posted by: | CommentsThis January and February, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary recorded webinar for leadership. See more below, too.
A Group is Not a Team
So, you’ve got a group of people together in an office. They’re a team, right? Wrong. Until the leader orchestrates teaming, the group is just a group. Can’t associates start teams without the support of the manager? Sure, but the leader (who, I assume thinks he/she is the leader) can’t be assured that the team is going in the direction that’s best for everyone. (Prima donnas, anyone?) Reminds me of the saying, “Where are they going? How many of them were there? I must find them. I’m their leader….”
When a group of musicians gathers to play together, we first have to decide where we’re going–the tune we’ll play. We must decide what key it will be in, and what rhythm we’ll use. To make these decisions, we find ourselves starting to cooperate and compromise, to share the talents of each player. I’ve played in musical groups that obviously weren’t teaming–just getting through the tune. That’s no fun, and actually takes more energy than it’s worth. I’ve played in other groups that were so attuned to each other, that it the joy in creating became so infectious that we all played better than we knew we could. That’s when a team starts happening.
Creating Team Synergy
Without the synergy of the team feeling in an office, agents (and manager) spend too much energy just fighting to stay in business. Managers spend too much time with crisis management, constantly handling internal and external conflict. Working together toward common, inspiring goals, crisis management shrinks, while inspiring leadership blossoms. With teaming, agents and manager perform to higher standards than they thought they could. With consumer expectations so high today, it’s much safer, and a better way to reduce risk, to orchestrate methods where agents are working together for the best interests of the consumer. That takes teaming.
Taking another look at ‘teams’ in the real estate office. There are three reasons why the industry should redefine teams–and use them:
1. The public is pressuring real estate companies to be accountable to them. When they call a manager, they want to know “who is supervising that agent?” Risks could be reduced greatly by agents working more closely together for the good of the consumer–and much more return business, at low cost, could be generated.
2. The industry is changing too quickly for managers or agents to keep up ‘on their own’. Too much information too fast– on our own, we simply can’t process and prioritize this information sufficiently well to compete in the future. Agents who have been extremely independent are finding out that the isolation they thought they treasured is leaving them behind the learning curve.
3. The business world internationally is using new combinations of teams to manage their new work force–the values of Generation X and Y. With more workers staying home to work, or working in a ‘mobile office, the most successful businesses in the world are finding that innovative teams solve the problems of ‘culturizing’ and sharing vision. As real estate offices hire more of these people, they must change their management strategies to fit the style of the Generation X and Yers, who value education, information, and teamwork.
Translating teams to the real estate office. One of the biggest concerns of real estate companies today is raising the productivity of their agents. Those of us in performance fields know that raising performance comes from associating–working with–the best. Creatively orchestrating people working together is the best way to enhance performance.
What’s your take on teamwork and the real estate industry? Have you had success creating a team?
Teamwork: Is the Team Concept Up to Date or Obsolete?
Posted by: | CommentsThis January and February, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary recorded webinar for leadership. See more below, too.
Yes, we real estate professionals are independent. We go into real estate to “be our own bosses”. We love to be “on our own”. In fact, in some offices, it’s become fashionable to say “we don’t need a team. We’re all entirely independent.” This shift to ‘on your own’ correlates to a shift in management from the autocratic style of twenty years ago (I’m the boss–follow the rules here), to the “operations” manager of today–providing the physical needs to work, and leaving the responsibility for the emotional needs of associates to someone else.
Which Way is the Shift Going Now?
Is the shift continuing? Is it good for the industry? Is it good for you, the individual salesperson? Should you isolate yourself from others to get the job done? Or, are we, by rejecting the idea of teamwork, working ourselves toward extinction? Perhaps successful businesses internationally have some value to us when it comes to this question. They see innovative ‘teaming’ as critical to their success in the twenty-first century. Lest we real estate professionals miss what may be a critical strategy for us, let’s take another look at ‘teamwork’.
Owners Reject the ‘Team’ Concept
What do owners think about the ‘teamwork’ concept: When I was teaching a CRB (Certified Real Estate Broker) course on teamwork, I had some very interesting reactions and comments from students. About an hour into the course, a woman drew me aside, and told me that her company didn’t believe in teamwork. It was against the “culture”. She told me she hated teams. I was stunned at her vehemence, and found it hard to concentrate on the rest of the day’s curriculum. In addition, I had just rebuilt an office from “failing miserably” to spectacular, using teaming concepts.
What Did She Really Mean?
I asked myself, “Why did she have some an adverse reaction to that word?” Then, I remembered what she looked like, and had one of those ‘ahas’–those blinding flashes of the obvious. Remember when, in grade school, you picked sides for Red Rover Come Over? The good-looking athletic kids got picked first. The others shyly waited, anxiously hoping they wouldn’t be last, or worse yet, be the one the teacher ‘helped’: “Put Johnny on your side, please.” As I thought about those situations, all those depressive feelings came flooding back. No wonder that manager hated teams! In this time of lightning fast change, our emotions can stop us from investigating ideas that frighten us. Yet, it may be the very idea that you need for your business. As you continue reading, keep an open mind about this ‘team’ idea. It may be exactly what’s been missing in your moving from “just okay” to spectacular.
What a Team Isn’t
First, in the real estate industry, let’s clarify what we don’t mean today when we say ‘teams’. We don’t mean a bunch of people all being “pumped up”by a manager (or a salespeople, when you’re managing your own team), who resembles the cheerleader of the past. We don’t necessarily mean all the people in the office on one team at once. We don’t mean a lock-step mentality where one loses one’s independence. What we do mean is combining the talents of individuals so that we experience much more meaningful business lives.
A Definition of a Team 
A team is two or more people working on a meaningful task for a commonly shared goal, of common benefit to both or all members of the team. A team works well when the expertise of two or more people are more effective and efficient than each person working on his own. Because I’m a musician, I know the importance of teamwork in a musical ensemble. When I’m playing jazz piano with a bassist and a drummer, I must feel confident that we’re all together in this, that we’ll be sensitive to each other’s strengths and challenges, in harmony to produce the best version of that tune possible. There must be great interdependence on the talents of each of us, when such a goal is at stake. Yet, there’s great independence in the improvisations that we each bring to the tune. In the best team atmosphere, both interdependence and independence is nurtured and appreciated.
Do you have a team? Or, do you just have a group? In the next blog, we’ll explore the differences.
Leadership Strategies By the Month
Do you want to step into a better leadership style? Be more effecctive? Recruit more and better? I’ve created a very special, unique program for managers and owners: Once a month I share a specific leadershp strategy to recruit, choose, train, coach, and retain winners. These are proven strategies to get you out of a rut, take you past crisis management, and energize and inspire your team. See more at 365 Leadership. This new series closes for enrollment March 15. Find out more here.
Turning your Leadership Style Upside Down for more Effectiveness
Posted by: | CommentsThis January and February, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary recorded webinar for leadership. See more below, too.
Is your leadership style ‘tell them what to do and expect them to do it’? It seems so easy. You’re the chairperson or manager. Just take charge, tell people what to do, and they’ll do it. NOT. It’s just not that simple. At least, it’s not that simple unless systems are already in place and people on the committee know what their tasks are.
Seven Truisms about Effective Participative Leadership
It’s not enough today to be good at a traditional leadershp style. In fact, you have to really ‘turn your leadership style’ upside down to become effective. You must become a ‘participative’ leader. Here are seven truisms to help you flex your natural style toward more participation from your team members.
Truism #1: New chairpeople don’t know what’s expected of them
Just because people accept the title it doesn’t mean they know how to proceed with the job. Most people have never chaired a committee, so they don’t have the skills. It’s especially challenging when it’s a new task. They need to have clear direction, a job description, job responsibilities, and exactly who to go to when the job doesn’t get done.
Truism #2: People don’t know HOW to get it done
Even when people know what to do, they don’t usually have checklists, systems, deadlines, and assignments to get it done; it doesn’t work to leave it to a person (95% of the time, the other 5% will figure it out on their own) to decide how to get the job done.
Truism #3: Myth: “Leaders are the “idea people” and aren’t supposed to get into implementation (someone else will figure out how to get the work done)
When leaders say that, they immediately put others into the “secretary” mode. Their mentality is, someone else beneath them should be able to figure out how to get that done. That’s a secretarial or assistant’s job, isn’t it? But, your committee members don’t work for you. They work with you. You can’t expect someone to raise his hand and offer to be your assistant because you came up with the idea.
Truism #4: Verbal-type people resist processes and systems
There is a natural resistance in us (maybe especially in we verbal-type people) to organizing processes and systems. We love to talk about the idea. We don’t like to clarify exactly how that idea gets into process.
Truism #5: We ‘big idea’ people think we can delegate systemization to an assistant
Having worked with assistants for over 15 years, I have found that not true. Assistants need help in systemizing any process that YOU want done. They are good at systemizing their own processes–but not good at all at systemizing ours!
Truism #6: Leaders know committees take most of their time REPORTING to the larger group, not deciding on issues or processes
A mistake that committees make is to try to design processes within the large committee meeting. Instead, create task forces to report back quickly to you.
Truism #7: When accountability factors aren’t built in, things don’t get done.
This is a dicey issue, because you’re working with volunteers. Or, in the case of a real estate company, with independent contractors. At the same time, your association or business also expects the services and programs you promised. There’s a great difference between “do it the way you want” and expecting results and “do it the way you want” and let’s check how it’s going regularly.
Sharpening Your Participative Leadership Skills
What truisms do you want to add from your experiences in leadership? What do you see of yourself in these truisms? How can these help you lead? What needs to be done in your leadership position to gain greater skills? These skills are learned over time, and the pay-off is an association or business that is ‘owned’ by all those involved, with empowerment assured.
Leadership Strategies By the Month
Do you want to step into a better leadership style? Be more effecctive? Recruit more and better? I’ve created a very special, unique program for managers and owners: Once a month I share a specific leadershp strategy to recruit, choose, train, coach, and retain winners. These are proven strategies to get you out of a rut, take you past crisis management, and energize and inspire your team. See more at 365 Leadership. This new series closes for enrollment March 15. Find out more here.
What Leaders Do Differently from Managers
Posted by: | CommentsThis January, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary webinar on Jan. 30 on leadership, trends, and what you should do about it! See more at the end of this blog.
In my last post, we talked about the differences in management–specifically maintenance management–and leadership. Now, let’s look at the specific things leaders do to move offices ahead. After I list them, ask yourself, “Would I describe myself as a leader–or a manager?”
What Leaders Do
It’s easy to say you are a leader. But, how do you know you really are? Here are several actions leaders take. After all, we can’t judge people from what they say. We must judge them from what they do.
1. Leaders initiate new programs that move them closer to their vision.
2. Leaders enlist others prior to starting a new program, to assure the whole team has input, judgement, and ‘buy in’.
3. Leaders look at their planners, and evaluate whether they started something new that week or month. Did they start something that was innovative, creative, fun, and team-enlisting? Was it connected to their vision and goals?
4. Leaders do specific actions that solve problems. For example, in my new series, 365 Leadership, I will provide specific strategies, with all the guidance and documents to implement them–one strategy per month. One of these strategies is the Listing Presentation Play-offs. What problem does this solve? The problem of unskilled agents taking over-priced listings. It also changes the culture of the company from ‘we take anything’ to ‘we are professionals who act in the best interests of sellers’.
5. Leaders don’t rest on their laurels. They don’t believe they ever ‘have it made’.
Look at 365 Leadership to see the topics that we address. There’s still time to become a part of this group. I’m excited to provide 12 new, immediately doable strategies for you. It’s low-cost (both the series and the strategies) and it will move you into leadership and toward profitability.
What do you think the difference between management and leadership is? How do you know you’re a leader?
Complimentary Leadership/Management Webinar
Join me on Jan. 30, from 1-2 PM PST for Leverage the Top Trends for Profits in 2012. We will explore the top real estate business trends for 2012 and beyond–and I will provide you specific strategies to not only manage to those trends, but to thrive because of them. This is a complimentary webinar. Space is limited, so register today.
Jan. 30
Time: 1-2 PM PST
To register: https://www3.gotomeeting.com/register/306755846
Are you a Manager or a Leader?
Posted by: | CommentsThis January, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary webinar on Jan. 30 on leadership, trends, and what you should do about it! See more at the end of this blog.
Are you a manager or a leader?
In truth, if you’re managing day to day, you hopefully are both. Why? Because there are normal, repetitive things you need to do as a manager, and there are those bold, new, innovative steps you need to take to move your office forward. Here’s my quick definition of management:
Management: Managing the day-to-day tasks of a real estate office
Leadership: Creating the vision, values, and strategic ‘moves’ that move an organization from maintenance to vision-attainment
To further define the differences, let’s look at what I call ‘maintenace’ management:
Maintenance Management: Doing the day-to-day tasks that keep an organization operational; a tactical approach; a somewhat defensive approach
How do you know if you’re a maintenance manager or, if you’re doing some leadership actions?
It’s not easy. Everyone talks about leadership, but has trouble identifying leaders. In fact, one company owner I worked for has been called a ‘visionary leader’. From working closely with him for many years, I know him to be a very tactical thinker. There’s nothing wrong with tactical thinking, when it’s appropriate. But, without a strong vision, and the true leadership activities that relate to and move the organization to that vision, you’re just maintaining the stability of the company.
Why Visionary Leadership is Important
When I worked for this tactical owner, I could see he didn’t have a real core reason for what he was doing. He just copied other owners in his brain-storming group. So, we were constantly changing course, trying new things without logic, and wasting money and talent going down too many paths at once. In addition, we would start a new project seemingly every week, and none got defined, refined, measured, and retooled. It was very frustrating to see some good ideas not developed! To compound the errors, people let him to believe that all these disparate, poorly-developed tactics were effective (just feeding his ego.)
Does this ring some bells with you?
In my next blog, I’ll show you a contrast between the activities a maintenance manager does and what a leader does.
Exercise: Write down 3 ‘moves’ you made last year that were new to you, that took you out of your comfort zone and moved your company ahead. My question: Were these strategies related to fulfilling your vision, or, were they done just because you wanted to do them or heard someone else had success with them?
Complimentary Leadership/Management Webinar
Join me on Jan. 30, from 1-2 PM PST for Leverage the Top Trends for Profits in 2012. We will explore the top real estate business trends for 2012 and beyond–and I will provide you specific strategies to not only manage to those trends, but to thrive because of them. This is a complimentary webinar. Space is limited, so register today.
Jan. 30
Time: 1-2 PM PST
To register: https://www3.gotomeeting.com/register/306755846
The Changing Face of Real Estate Leadership
Posted by: | CommentsThis January, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary webinar on Jan. 30 on leadership, trends, and what you should do about it! See more at the end of this blog.
Check at the end of these blogs for those ready-to-use documents and checklists to put these ideas to work.
The guidelines of effective leadership have changed dramatically in the last thirty years. Top-down decision-making is out; participative leadership is in. Having no standards is out; standards-driven leadership is in. Everyone doing their own thing is out; mutual accountability and teamwork is in. Yet, as I look at real estate offices nationally, I see most leaders still leading as though it was 1970—or earlier.
In fact, a new book by Morris and Murray, Game Plan: How Real Estate Professionals Can Thrive in Uncertain Times, names Need for Leadership as one of the trends for 2012 and beyond. Get this book. You’ll find some trends predictable–but some are not.
Compare and contrast. Let’s look at four principles of effective leadership today. These principles have been proven effective again and again by huge companies internationally. They should be embraced by the real estate industry, which badly needs effective leadership in this challenging time:
- Vision-lead: Few companies have an articulated vision that’s shared by all in the company. Fewer yet have leaders who have the fortitude to ‘do the right thing’ (as stated in their vision), even if it means turning down a deal.
Example: When is the last time you saw a manager fire a top producer who acted unethically? How do managers treat customer complaints—especially if it’s against a top producer? (Ask agents if they feel managers unfairly favor the top producers. Boy, will you get an earful!) In too many cases, the ‘leader’ isn’t leading. The big loser long term: The company, because agents are de-motivated when they feel there is not a level playing field, and consumers will seek out new companies if they feel their complaints are not handled seriously. (read Built to Last: Successful Habits of Visionary Companies, Porras and Collins, for stunning examples of vision-integrated companies.)
- Everyone is involved in the decisions: This is participative leadership, and it’s the leadership style that is best suited to our real estate industry. After all, with independent contractors, we need strong organizational structures to pull people together. What percent of real estate companies have effective leadership councils, one of the attributes of participative leadership? In my teaching, I’ve found about 2%. What this means it that the vast majority of agents don’t feel it’s ‘their company’, they don’t feel empowered, and they aren’t very loyal. I will be writing blogs about participative leadership in January, so watch for them.
Leaders will be those who empower others. Empowering leadership means
bringing out the energy and capabilities people have and getting them to work
together in a way they wouldn’t do otherwise.
—Bill Gates, fellow Washingtonian, founder of Microsoft
As you read articles and books on leadership, you will find every successful company today has turned its hierarchical leadership upside down and/or flattened it to become inclusive, participative, and as some people term it– ‘spiderweb’. (read The Female Advantage, Sally Helgesen).
3. Standards-driven: During my presentation at a recent National Association of Realtors’ Convention, I asked attendees if they had productivity standards (minimum expectations) in their companies. Out of 200 attendees, three raised their hands. No wonder agents don’t believe they must be ‘on the team’, pulling their own weight in production.
In a recent study by The Ripple Effective of Negativity Leadership IQ, 87% of the 70,305 executives, managers, and employees interviewed said working with a slacker actually made them want to change jobs; 93% said it hampered their development or decreased their productivity. So, without standards, real estate leaders are de-motivating their good performers!
Here’s what Roy Disney says about effective leadership, from the New Leadership Paradigm:
Leadership is the ability to establish standards and manage a creative climate where people are self-motivated toward the mastery of long-term constructive goals in a participatory environment of mutual respect compatible with personal values.
4. Mutual accountability: Creating a participative environment suggests that everyone must be accountable to their goals. It’s just amazing that managers are frustrated by agents’ lack of business plans and accountability. Yet, as I coach managers, I find that many in each organization don’t feel they need to be accountable to their recruiting goals. (In fact, only about 2% have written recruiting plans!). In addition, owners have not hired and coached them to standards, so the managers just want to ‘leave that part out’!
What is the result of this leadership paradigm switch? A real team, a team with a common goal. Why is it in the real estate industry’s best interests to adapt to this participative leadership style? To preserve the industry, maintain commissions, add ‘pride in belonging’ back to the real estate company, and, most important of all, put the consumer first, where he belongs!
Do you have the attributes of a ‘change leader’? Click here.
In an earlier post, I talked about the 3 things change leaders do to impact the industry. See how you stack up here.
Complimentary Leadership/Management Webinar
Join me on Jan. 30, from 1-2 PM PST for Leverage the Top Trends for Profits in 2012. We will explore the top real estate business trends for 2012 and beyond–and I will provide you specific strategies to not only manage to those trends, but to thrive because of them. This is a complimentary webinar. Space is limited, so register today.
Jan. 30
Time: 1-2 PM PST
To register: https://www3.gotomeeting.com/register/306755846
Leading with these 4 ‘change leadership’ attributes assures a future, thriving business.
Change Leaders Do These Three Things to Impact the Industry
Posted by: | CommentsThis January, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary webinar on Jan. 30 on leadership, trends, and what you should do about it! See more at the end of this blog.
Check at the end of these blogs for those ready-to-use documents and checklists to put these ideas to work.
Look Outside our Industry for Leadership Examples
No one in the real estate industry would argue that we’re in turbulent, changing times. In this climate, many real estate owners and managers are looking to others inside the industry for the “answers”. Unfortunately, in times of great change, this may not be the best place to look for smart business moves that ensure a bright future. Instead, it may be more valuable to look outside our industry for adaptable strategies. Not only must we look for these strategies, we must identify the kind of leaders who have the personal initiative, commitment, and courage to lead the change–and, perhaps in some cases, the charge.
The leaders, the strategies, and the real estate examples. I decided to do just that–look outside the industry for leadership examples. I found several commonalities. Then, I related these leadership actions to real estate and found examples of that leadership in the industry.
Proven ‘Change Leadership’ Strategies
Here are three of the most important strategies that are assuring long-term profitability–and stability–in businesses. These strategies solve many of the critical problems in our industry, including low customer satisfaction levels, management disillusionment, and lack of common focus. Bottom line, these strategies have been proven to deliver long-term, unassailable profits through change:
1. Leading from your vision.Businesses today have found that It’s not enough to strive only for profits. Today, to be profitable, the values of the firm and its real purpose must guide business decisions. According to a recent study, firms who had a firmly company-held vision earned twelve times the profits of other companies! (Nordstrom was one). This means, for many real estate companies, it’s time to look at the behaviors of the “team” members and ask whether these behaviors reflect the values the firm says it has.
Disparities? If there’s a difference between stated values and real behaviors, change leaders must have the fortitude (that’s guts, in real language) to do something about it. Why? Leading with your values allows a company to project the kind of image the consumer trusts–and the agent values most highly. That’s money in the bank for recruitment and customer retention.
The new book, Game Plan: How Real Estate Professionals Can Thrive in Uncertain Times , names leadership as one of the huge trends for 2012 and beyond. The authors, Ian Morris and Steve Murray, urge real estate leadership to lead from vision–from their recruiting to their retention practices.
2. Getting everyone in the firm “into management.” Businesses internationally are switching their management styles from autocratic to participative. They know that, with the radically-different profile of today’s worker, the old “my way or the highway” just doesn’t work (and neither does the ‘leave them alone’ school). The most successful businesses have created structures to share accountability and rewards. Real estate companies have been struggling with adversarial relationships which result in a tug-a-war on commission dollars. The answer lies in mutual accountability and sharing the management decisions. When all involved are focused on mutual goals, everyone profits. Change leaders must be willing to go through the challenging process of a management paradigm switch–from autocratic to participative. The pay-offs are in the ability to recruit real winners, and retain proven producers.
3. Marketing paradigm switch: From getting new business to keeping old business. Businesses internationally have discovered that chasing new business is a way to spend money they don’t have. To maximize marketing dollars, they’ve developed programs to keep the customer enthusiastically happy for a long-term, mutually-productive relationships. Real estate agencies need to switch their emphasis from getting, getting, getting, to keeping, keeping, keeping. This means more mutual profits, better customer satisfaction, and a more pleasant consumer-agent relationship.
We Realtors wish our theme song were “On A Clear Day, You Can See Forever”. In truth, our approach today must be closer to “Whole Lotta Shakin’ Goin’ On”. Applying change leadership in this turbulent, “shakin’” climate while adapting proven innovative strategies to our business assures we lead the industry through change with confidence and success.
Want to know more about change leadership? See this blog.
Do you have the attributes and actions of a ‘change leader’? Take the questionnaire I created for you. Click here.
Complimentary Leadership/Management Webinar
Join me on Jan. 30, from 1-2 PM PST for Leverage the Top Trends for Profits in 2012. We will explore the top real estate business trends for 2012 and beyond–and I will provide you specific strategies to not only manage to those trends, but to thrive because of them. This is a complimentary webinar. Space is limited, so register today.
Jan. 30
Time: 1-2 PM PST
To register: https://www3.gotomeeting.com/register/306755846
Are You a ‘Change’ Leader?
Posted by: | CommentsThis January, I’m featuring the topic ‘leadership’. Why? Because it’s one of the biggest real estate industry trends (and probably world trends) of 2012 and beyond. Look for leadership strategies and trends (not just in the real estate industry), plus ready-to-use documents to go from ‘maintenance management’ to leadership. And, check out my complimentary webinar on Jan. 30 on leadership, trends, and what you should do about it! See more at the end of this blog.
Check at the end of these blogs for those ready-to-use documents and checklists to put these ideas to work.
Leadership: It’s REALLY Big for 2012
According to authors Ian Morris and Steve Murray, leadership is one of the big trends of 2012 and beyond. In fact, to read their take on 10 big trends, grab Game Plan: How Real Estate Professionals Can Thrive in Uncertain Times . In fact, I think leadership is in such a crisis state (think companies, politics, families, etc.) that I created a 12-part subscription series for real estate owners, managers, and team builders. In 365 Leadership, I provide one new leadership strategy per month, with everything subscribers need to put that strategy right to work (low or no cost and workable for the 5 person or the 500 person office). I know how difficult it is to go from maintenance to leadership (and especially so, because the majority of managers and owners now also sell!). So, I want to make it as easy as possible to step into effective leadership.
Needed today: A Special Kind of Leader
I think we would all agree that leadership is desperately needed in the real estate industry. I read a book several years ago titled Sacred Cows Make the Best Burgers (I also highly recommend it). In it, authors Kriegel and Brandt show why people resist change, and the kind of leadership it takes to move people off dead-center into new actions. Isn’t that what’s needed in business today? Not ‘maintenance management’ but leadership. (I’ll write more about the differences in another blog). The authors introduced the concept of a ‘change leader’. So, what’s a ‘change leader’?
An individual who leads initiatives that influence others to perform differently–and better.
If you’re an owner or general manager, you need this ‘change manager’ in your organization. If you’re an agent, you’ll want to look for a ‘change leader’ to help you adjust to the rapidly changing real estate industry. How would you identify one? Find a leader who leads the way great leaders of businesses internationally today are leading.
Change Leader Attributes
Commitment to a better way
Personal initiative to go beyond defined boundaries
Stay undercover (stay close to the everyday business)
Sense of humor
Courage to challenge existing power bases
Motivate themselves and others
Care about how people are treated and enabled to perform
Change leaders believe in:
Tough standards of performance
Joint accountability
Democratic principles to tap creative power
Even though the real estate industry cries for ingenuity and creativity, compared to other businesses, it has been slow to change the way it does business. Allowing ‘change leaders’ to come forward and thrive is vital for the very existence of our industry–and, of course, vital for a bright future.
In my next blogs, I’ll be talking about how to implement these attributes of change leadership.
Do you have the attributes and actions of a ‘change leader’? Take the questionnaire I created for you. Click here.
Complimentary Leadership/Management Webinar
join me on Jan. 30, from 1-2 PM PST for Leverage the Top Trends for Profits in 2012. We will explore the top real estate business trends for 2012 and beyond–and I will provide you specific strategies to not only manage to those trends, but to thrive because of them. This is a complimentary webinar. Space is limited, so register today.
Jan. 30
Time: 1-2 PM PST
To register: https://www3.gotomeeting.com/register/306755846