Discipline. Get some. March 16, 2008

I had a conversation with a friend recently about those new LED billboards on you’re seeing popping up along the interstate.  She was complaining about how they’re too distracting, and to those who are visually stimulated (who isn’t – it’s why TV works), they’re very dangerous.  She insisted they should be illegal.

Illegal?  Geez, bit of a strech there, wouldn’t you think?

I challenged her on this point, noting that if people would just look straight ahead when they drive, as they’re supposed to, there wouldn’t be a problem.  Sure, the billboard wouldn’t be as effective, but who cares…that’s the free market at work.

The billboard relies on the fact that most people in this country don’t have an ounce of self-discipline in them.  Most people can’t say no to something appealing, can’t control their actions with logical thought.  That’s a big deal!

We’ve got to get a handle on this lack of self discipline and self-responsibility.  We blame and rely on the government when we get foreclosed on because we bought too much house.  We outlaw trans-fats when we get fat because we eat too damn much fast food.  We villianize credit card companies when they come to collect on the 24% interest they charged because we’re 6 months late on a payment.  Why can’t we admit - it’s our own damn fault?

This is the song and dance of the unhappy, the poor, the unmotivated and the dependant.  How can we really be expected to look after our own lives?  I mean, after all, so much happens to us.

Let’s compare two people.  One has zero self-discipline and personal responsibility.  We’ll call him Jack.  The other understands that only he can change his circumstances.  We’ll call him Joe.

Both Jack and Joe live a normal childhood.  Both grow up in middle class families (don’t you dare leave a comment to me and tell me that class makes a difference.  So help me…). Both went to an average high school.  Whether or not they went to college is irrelevant, but we’ll say they did.  They both graduate with a degree in business.

So, the playing field is level.  Right now, outside circumstance is negated, because it’s completely the same for both.  Let’s see how they approach things when it’s time to get to work on their life.

Jack graduates and fumbles a bit.  Knowing he needs a job, he starts looking through the newspaper.  Bingo!  He finds one.  It’s perfect.  The description is an entry-level job at a bank, handling books and other basic business matters.  He thinks “Nice!  This will have a good salary probably.  I should apply today.”  He writes his resume, and mails it in.  Naturally, he addresses the cover letter to “Whom it May Concern”, because the ad didn’t have a name for him to address it to.

Jack knows that it takes awhile for these kind of things to happen, so he waits for a couple weeks to hear back.  No call.  He decides they’re probably busy and waits another week.  At this point, Jack’s pantry is getting thin.  He’s been out of school for three weeks now waiting on this job to come through.  Any money he was able to save in school is quickly getting eaten away.

Jack never gets a call.  He starts looking through the paper again, but week after week doesn’t find anything just right.  Jack knows how to do basic business tasks, and most positions want a bit more expertise.  Oh how he wants that first job!

Money finally runs out.  Jack decides that, as a temporary measure, he’ll apply for food stamps and assistance.  After all, he’s got to eat!  If they won’t call him and give him the job, how’s he going to survive?  He starts buying food with the stamps, and realizes something – he doesn’t need much of a job after all.  I mean, sure, he needs something probably, but as long as he’s having the basic necessities cared for, there’s not much of a rush.

Finally, after months of living at the bottom of the barrel, Jack stumbles across a job.  The university needs someone to assist a department with some routine paperwork on a weekly basis.  Jack starts to work for them, happy that he’s got something “secure”, and the food stamps end since he’s now making more than enough to qualify.  He’s on the right track, he thinks.

Then, it happens.  The paperwork goes electronic.  Jack loses his job.

Like a bottle of shampoo, lather, rinse and repeat.  Jack stews over the job loss – how could they do that?  He deserves that job.  Jack returns to food stamp living, with barely enough to scrape by.  Sure, relatives pitch in here and there, but it’s not much.  Jack gets a credit card, or four, and racks up piles of debt.  He has to after all, just to live, right?  Money from relatives stops coming in after Thanksgiving dinners get more and more painful to sit through.  Collectors start knocking at the door looking for payment, which Jack doesn’t have.  He files for bankruptcy, trashing his credit and trustworthiness in the process.  Application after application for jobs goes by, and his past history is too risky for employers.  Jack spends the rest of his life stuck in this cycle that he’s SURE he can’t get out of.  Life just sucks.  Finally, Jack kills himself at the age of 34 as the only way out of the pain.

Let’s now look at Joe.  Joe graduates and also looks around for a job.  He sees the same problem as Jack.  Most people looking for employees want those with more specialized qualifications.  Knowing that, Joe visits the library and starts reading.  He notices that one company wanted someone with proficiency in strategy planning and management.  Joe goes to the library and gets every book he can on these two subjects and starts reading.  Meanwhile, Joe is working at a local restaurant, knowing he has to make enough to pay rent and feed himself while he learns what he needs to to move up.

Months of reading and studying in his dimly lit bedroom slip by.  The long hours at the restaurant are brutal, and he certainly doesn’t enjoy it, but he knows he’s got to do it temporarily – it’s a means to an end.  Finally, Joe feels pretty confident in his abilities and applies for a job looking for those qualifications (yes, the first job is gone, but others are sure to pop up).  Joe sends several resumes out and doesn’t hear anything.  He calls.  He calls often, asking who the manager of that department is so he can send direct correspondence to that person.  Sure, it takes guts, but Joe knows if he doesn’t, he won’t get much.   Finally!  Joe gets called back.  He rushes in for the interview (after having to cancel a trip with friends) and gets the job.

Over the next few years, Joe constantly improves himself.  Knowing that he can’t rely on his employer for advancement and opportunity, Joe creates it himself.  He reads, he studies, he takes free online classes and tutorials.  Joe reads every day!  He limits himself to an hour of TV a day, knowing that if he lets himself watch too much TV, he won’t get the work done needed to get ahead.  He starts reading non-fiction books, instead of the fiction he so loved in college, because he knows if he’s to get ahead, he’s got to take control and change himself.  He’s got to make a hard, distinct effort to constantly improve.  And does he improve!  Joe moves on from position to position, outgrowing where he is almost as quickly as he got there.  After 10 short years, Joe is the CEO of a bank…that very bank that Jack applied to after college.  Joe loves his family, has time and money to do whatever he pleases and complains that life is just too short. Jack on the other hand, complains that life is too long.

Which one are you going to be?  Are you going to be Jack – relying on other people taking care of you, thinking that you deserve this and that?  Or are you going to be Joe – take control of your life and make sure you’re making constant improvements in yourself to get ahead.

Yes, we all stumble. We all fail here and there. The point is not whether or not we fail. It’s what we do after we fail that’s so important.

It’s your choice, but I’d rather think that life moves too fast than too slow.

What you are vs. What you do March 14, 2008

We’ve got a problem.  We’ve got a serious “passion crisis” in this country and across the world.  Most of us, well…we don’t even think we should have a passion.  Think it’s crazy?  Well, it is.  It’s also reversible.

Looking across the landscape of American workers (this includes anyone doing something to make money), a vast majority hate what they do.  We’ve become a TGIF nation.  We revolve around the times when we don’t have to work, so that we can “live our life”.  What a sad way to go through life, eh?  Spending 5/7 of it waiting for the 2/7 that makes it worth living.  Man, no wonder Prozac and Zoloft are the new Pez of our generation.

Lucky for you – you don’t have to be in this majority.

Think back to when you were a child.  You were asked, quite often, “What do you want to be when you grow up?”.  You’d answer with vivid imagination about what you could be – an astronaut, a fireman, the president.  Fast forward to a short 15 years later and imagine yourself at a cocktail party.  You’re introduced to someone and the first sentence out of their mouth is “So, what do you do?”

Whoa.  Stop right there.

Did you catch that?  See the difference?

“What do you want to be?” vs. “What do you do?”.  That’s pretty huge.  Actually, it’s really huge.

We’ve become a nation (and a world to a large extent) of doers.  Do do do do do.  What ever happened to what we are?  What ever happened to that intrinsic purpose and dream that we held so longingly to as a child?  Have we become so swept up in the illusion of “personal accountability” that we’ve created a completely artificial set of rules by which we need to live our lives?  Yup.

You’ve heard the phrase “Don’t quit your day job”.  Generally, you’ve probably heard it while expressing interest in something else you’d like to be doing.  You’ve probably heard it from teachers, parents and the like, citing your responsibilities and security.  I mean, after all, risks are risky, right?  We don’t want that.  Go to work, make your money, get your paycheck, enjoy your security (yeah, right!) and retire at whatever age the government decides is the newly accepted age at which you can (finally!) quit working.

Give. Me. A. Break.  Does that sound like a life worth living?  Does it sound exciting, just doing something for 40 years so you can finally spend the last few enjoy what’s left of your life? No it doesn’t.

It doesn’t have to be that way.  AND…it doesn’t have to be foolish, silly, or a pipe dream.

Dave Ramsey says about getting out of debt: “If your broke friends are making fun of you, you’re probably on the right track.”  The exact same goes for your occupation.  If your unhappy friends are making fun of your pursuit of your dream, you’re probably on the right track.  Keep it up.

It’s hard.  I know.  It’s hard to hear people saying to you “don’t be foolish” or “well, you’ll find out what we all do – it’s just not reasonable.”  Yeah, that’s tough to hear.  But, you’ve GOT to hear it…you’ve GOT to move through that to really find your purpose.

Your purpose is what you are, not what you do.   Are you simply living each day doing, or being?  It sounds rather metaphysical, but it’s important to understand.  If you don’t take the time to really find out why you’re here, what your calling (and I know that’s cliche’) is, and what you should be, you’re doomed to a rather long, arduous and mediocre (at best) life.

So, take that risk.  Move past thinking about what you do, to what you are.  Try thinking of your job not in the framework of what tasks you do on a daily basis, but the larger meaning behind those tasks.

And don’t think it’s silly, just don’t be afraid to dream a little (or a lot).  Don’t be afraid go back to asking what you want to be, rather than what you do.  You can’t ask yourself enough.

Vendor irritation, as well as some good thoughts January 8, 2008

Just got off the phone with one of the vendors who may be able to build our prototype/do production runs.  I’ve got some mixed feelings on using this vendor.  The general tone of the phone call was one of “Uh…we want to make sure you really want to build this product before we spend time doing estimates”.  Well…that sucks.  Hate that you feel lazy enough that you don’t want to do about 20 minutes worth of work to potentially have a lifetime customer.  Bad customer service if you ask me.

Now, he did raise a good question for me.  Again, since I’m not saying much regarding the product itself, I’ll try to elaborate unspecifically…however unsuccessful that may be.   The general question he raised is one of this: “The price of the product will end up being higher than the value it delivers, at least in terms of actual hard dollars.”  Hmm.  Good point.  Our product isn’t a necessity.  The price point of the product will probably end up in the $30-40 range, and will provide anywhere between $2 and $100 of value to the customer each time it’s used.  Most customers will fall underneath the $30-40 value/price range.

So, does this count this product out?  Does this imbalance between value and price mean that the product doesn’t have a place in the market?  Certainly not, and I might be biased, but let me explain a bit further.

Take, for example, one of those liquor bottle spinner things that holds your bottle upside down.  These retail for anywhere between $285 (kegworks.com) and $25 (some random seller on eBay).  The value of the product is simply that you don’t have to lift your own bottle up and pour it.  Honestly, that’s it.  If someone paid you $285 to lift your own liquor bottles to make a drink, would you?  I certainly would.

So, why do these sell?  Obviously they do, I’ve seen them all over the place and for sale at tons of places.  Well, the value of product isn’t in the dollar-to-dollar savings, it’s in the novelty aspect of the product, as well as some perceived benefits.

For one, the product looks pretty cool.  If I had friends over a lot, they’d probably be impressed and ooh and ahh over my liquor dispenser.  Starting to rachet up the value here.  Also, it (somewhat) saves me some space.  Now, granted, it really doesn’t save much, and in fact, might actually take up more.  However, it’s advertised to save you space.  And that’s worth a bunch.

Remember something here: people doubt themselves the most.  If you tell a potential customer, convincingly, that they need a particular product although the actual value may not make sense logically, they’ll think “Hmm…maybe they’re right.  There must be something I’m missing out on that I just don’t get.  I should buy one and see what it is”.  Now, yes, I understand this doesn’t always work.  Few people are running out to buy Ginsu knives because they think “Man, those knives must really be better than my Henckels.”  I know that’s not the case, but enough people HAVE bought them to keep those wonderful late night infomercials running.  Bless their hearts.

So, what’s all this rambling come down to?  Well, it proves the importance of good marketing and positioning.  Not everyone is going to have a need for your product, but someone will, and if you speak to the right people, in the right way, they’ll buy it.

Does this mean you can create anything and put it out?  Well, it definitely worked for the guy who marketed the Pet Rock.  However, no, it’s not an excuse to flood the market with crap products.  Simply put, it means that to a customer, there is more to just dollar-for-dollar value.  That’s the whole reason Mercedes-Benz is in business.  They convince you that the stature is important…and that has little to do with what the car is intended to do – transport you from one place to another.

Ok, that rant is over.

The last point I’ll make is this.  Vendors, and I think this is important, are in the business of manufacturing products.  (By vendors in this case, I mean contract manufacturers).  They are not, and should not be, involved with product feasability and marketing questions, unless it directly relates to a manufacturing process.

For instance, this vendor told me this would be an expensive product to make, and when I asked him what part of the design would be particularly expensive, he couldn’t really tell me, but simply stated he thought it would be more expensive than the value it delivered, on a dollar-to-dollar basis.  Not his place to say, if you ask me.  Do I appreciate feedback?  Sure, but not baseless feedback.  If he had told me that the way I designed the product would make it expensive to manufacture for reasons x,y, and z, then I would have appreciated it.  He’s in the business of manufacturing, not me.  This is why I would hire him.

To wrap up this insane rant, I’ll just underscore that people should evaluate products and services within the purveyance of their own expertise.  I wouldn’t tell a hot air balloon manufacturer that the materials they use for their baskets don’t make sense.  I have zero experience in marketing and manufacturing hot air balloons.  Seems so simple, doesn’t it?

Unfortunately, this vendor already has an uphill battle getting me to do business with them.  Just give me the damn quote and stop bitching.

Monday Morning Update January 7, 2008

Well, we’re back around to another Monday.  Here’s what we’ve been doing, and what we’ve got planned:

Over the weekend, we didn’t do a whole lot.  I did, however, test one design idea out (an engineering type thing) to find out that what I wanted to do won’t work.  Part of our product uses Velcro to attach removable elements.  I wanted to employ the use of magnetic strips, for various reasons, to replace the Velcro.  Come to find out, however, the magnetic strips simply don’t have the strength that Velcro does.  In fact, the magnetic strips won’t even stick to each other at all.  Guess I’m back to the drawing board on that one.  I’ve either got to find stronger magnetic strips, or go with Velcro.  Using the Velcro won’t be a deal-killer, the magnetic strips would have just been a nicer, sleeker design.

As for this week, here’s what’s on the docket:

• Finish emailing contract manufacturers about prototypes and secure some solid quotes.
• Finish working thru the design and commit to a concept that we’ll submit to the manufacturer for prototyping.
• Tomorrow (Tuesday), Mollie and I are attending a free class called “How to Start Your Own Business” put on by the Tennessee Small Business Development Center.  Now, I admit that these classes can be somewhat simple in scope and I’ve attended my fair share of them.  However, it’s always nice to throw our idea against the wall and see what other people think.  Networking, tips and tricks never go out of style.  Never think you’re beyond going back to learn basics – don’t get cocky.
• By the end of the week, I’d also like to have commited to a name and start the logo design process.  We’ll need a logo design for stamping on the product, as well as for the website.

So, by the end of the week, we should have a name, start on a logo, have a prototyping manufacturer in mind and have a solid design to give them in the next two weeks.   I’d say if we get that done (and we’ve got a short week…going out of town on Friday-Sunday), I’ll be pretty happy.

Friday…eventually I won’t care! January 4, 2008

Well, we made it to Friday.  This is the epitome of why I want to work for myself.  I never want to utter the phrase “TGIF” again (I guess it’s more an an acronym, not a phrase…anyway).  The idea that my work week won’t revolve around an arbitrary set of days called the weekend is a nice feeling.

Last night we were kinda lazy.  Didn’t get much new done, but then I’m sorta in a holding pattern until a few more folks get back to me regarding prototypes.  (Note: I realize that you’re never really in a holding pattern, as there’s always something that could be done.  However, considering how productive I was yesterday afternoon…I felt ok just relaxing.) I received a voicemail yesterday from another company who will do a prototype for $80/hour, with no commitment to purchase and a 1-2 turnaround (that’s nice).   The woman who left me the message said to give her detail info on the project and she’d quote to me what she thought it would cost, so I plan on sending that information over today.

Comparatively, the other company I contacted quoted $125 flat fee (although they noted it could be more expensive depending on complexity of design.  My design is pretty damn simple, so I feel pretty good.  However, this is a bit of a red flag regarding their ability to raise the price as they see fit…I mean, who defines “complex”?).  They have a 2 week lead time for prototypes, and can offer estimated production prices in 3-5 working days.  Not bad.  Redesigns of the prototype are free IF they interpreted the client’s specifications incorrectly (another red flag…who’s to say my directions were clear?), however changes will incur additional cost.   Logo setup cost is $40.00 per logo/color.

Now, here’s the real catch on this one.  Production orders have a 5-7 week lead time!  And, they’re busy now and running a full 7 weeks to ship.  That’s ALOT of time, and in my opinion, way too much.  If during the initial rollout of the product, we end up short on volume because so many people want this thing (which would be a nice problem to have), I definitely don’t want my customers having to wait 7 weeks to be able to get the product again.  Honestly, 2 weeks is about the maximum I’m willing to go.

Now, it’s early in the game to be thinking about the details of manufacturing and production lead times, however, beginning with the end in mind will allow me to make smarter decisions and serve the customer better once we’re in production.  So, right now, we’ll keep those production lead times in the back of our mind, but concentrate on the prototype for right now.  Once we have that in hand, test marketing done (and successful), we’ll think about production.

Look for another post coming up about the student projects and our thoughts about timelines regarding that.

New Year…new plan January 2, 2008

Every year I make resolutions.  Lose weight, read more, eat better…etc.  Generally, I proceed accordingly, with gazelle-like intensity…for about a month.  Then the wagon hits a pothole, I fall off and resolve to do better next year.

This year…it’s different.  Yeah, I’d like to lose weight (admittedly, it’s only about 10 lbs I’d like to lose, but still), read more and eat better,  but I’m not going to cloud my focus with those goals.  I’ve got one single, solitary goal in mind this year – by Dec 31, 2008 I will be self-employed and on the way to more freedom than I’ve ever known.  Ambitious?  Yup.  Never one to have my feet firmly on the ground, I’m committed to changing my life forever.

Here’s the scoop on what this will all entail.  I’ll lay out my goal, my somewhat cloudy plan, and all the other supporting pieces that are important.

Last year, I began thinking seriously about how to get out of the employed, weekend-focused lifestyle and into something that made more sense and allowed me more freedom.  After circulating through various ideas, I’ve finally landed on one that has made sense to me for months.

Paranoia alert: This is a public blog.  The ideas, experiences, thoughts and musings here are available to anyone and everyone, with essentially no way of tracking and verifying users of the content.  As such, I’m sorry, but I’m not giving out specifics on what I’m creating/doing within this new company.  Hate that for you, but once it’s patented and on the shelf, I’ll let you in on it.  Til then, you’ll have to be ok with abstracts.  Don’t like it?  Go read another blog and steal someone else’s idea.  I’m not normally this paranoid, but I’m determined to make this work.  That involves not letting someone in the ether grab this before I have my shot at it.

That said, I’ve created a product.  This product is something that I’ve seen a need for over the past few months, and is targeted at craft beer drinkers, as well as wine drinkers eventually.  I’ve spent the last year involved deeply in the craft beer industry, and I feel pretty damn good that this particular product is something that is able to fill a need.

A few goals for this product/company:

• The product must sell enough (perhaps in combination with other products that are related) to permit me to quit my 9 to 5 by Dec 31, 2008.
• The company must become automated and outsourced enough to require only minimal involvement by myself once I am able to quit the 9 to 5.
• The main goals are to create a source of income which is completely automated, based not on time-for-money (time-based earning…e.g, I work 4 hours and make X dollars for those hours), and allows me to pursue education and entertainment in hobbies, travel, service and reflection.

Many of you reading this are thinking “Oh geez, someone trying to do as little as possible and make as much as possible”.  Yup.  However, I’ll caution you to be careful about calling this laziness.  On the contrary, the epitome of laziness would be staying in a mediocre job and not dreaming/reaching for something difficult to obtain.  I submit to you that my goal of creating a company that supports my lifestyle, instead of hindering it, is actually the antithesis for laziness.  Just because it doesn’t seem normal and seems like a way out of the daily grind doesn’t constitute a bad plan – just something very different.

So, with that, I’ll sign off here and start on the next post with the specifics of this project.  There will be a whole random slew of postings, ranging for tactical problems to goal setting issues, and probably occasionally touching on personal obstacles and hurdles.  There may be times where I don’t post for awhile, and then post quite a bit.  However, I promise you, it’s going to be entertaining, emotional, and filled with great stuff.  Glad you stopped by.

Now, let’s get started…