Showing posts with label Management Tips. Show all posts
Showing posts with label Management Tips. Show all posts

Tuesday, June 23, 2015

What this Entrepreneur learned about business from her Great-Great-Great Gandfather

What This Entrepreneur Learned About Business From Her Great-Great-Great Grandfather


J.Q. Dickinson Salt Works is a modern revival of a long-defunct West Virginia company the founders' ancestors started in 1817.
Editor's note: This tour of small businesses across the country highlights the imagination, diversity, and resilience of American enterprise.
In May 2013, a small group of people gathered around a new wellhead on a farm in Malden, West Virginia. Water spewed airward; a man on the drilling team collected some in an empty Gatorade bottle. Nancy Bruns tasted it. "I told them to dig deeper," says Bruns. "It wasn't salty enough."
But at least, thank goodness, it was salty. "When we hit it, we knew we could relax," says Bruns. That single sip of saline proved that her dream of reviving a 200-year-old family business could work. And an industry that had once made West Virginia's Kanawha Valley famous--in a very small way--was back.
Nancy Bruns is CEO and co-founder--with her brother, Lewis Payne--of J.Q. Dickinson Salt Works, a maker of artisanal salt. J.Q. Dickinson, which has two employees and expects revenue of $225,000 in its second year of operation, bears the same name and operates from the same location as a company started by the siblings' ancestors in 1817. Younger generations routinely refresh existing family businesses. To bring such a business back from the dead and reinvent it for modern times, though, is a more challenging proposition.
The original J.Q. Dickinson served a basic need. In pre-refrigeration America, the salt produced by Bruns's ancestor William Dickinson and his brother-in-law Joel Shrewsbury was used to preserve meat and fish. In today's food-obsessed culture, Bruns's vision is less prosaic. Her product, which retails for $5 per one-ounce jar, is finishing salt: a dash of crunch and sparkle that puts fine food over the top.
Bruns also is among the very few salt producers using sustainable techniques, such as separating H2O from NaCl with solar power. Her approach is applauded by Mark Bitterman, author of two books on salt and owner of the Meadow, a gourmet store with locations in New York City and Portland, Oregon.
"Nancy understands that her resource is more than just a well with salt water and a family name," says Bitterman. "She's investing to create salt using all-natural, renewable energy where once her family burned inordinate amounts of coal to achieve the same thing. She is taking the high road."

Excavating the family tree.

Salt is not the natural resource people most associate with West Virginia. But once, salt was to this state what lobsters are to Maine. An ancient ocean--the Iapetus--lies beneath the Appalachian Mountains, largely dry but still feeding groundwater springs. In the early 19th century, settlers erected furnaces on both sides of the Kanawha River to boil brine down to salt, which they sold locally and later exported west.
Bruns's cousins now own the 50 acres of farmland in Malden where Dickinson and Shrewsbury first drilled for brine, pumping fluid into the wells through hollowed-out tree trunks. (Back then the territory was still Virginia.) Bruns grew up in nearby Charleston and, as a child, visited the farm often. "I knew we had been in the salt business a long time ago, but it was not a big part of family culture," she says.
In 1988, Bruns left West Virginia for culinary school in Vermont. Afterward she worked in food-related businesses--at a startup charcuterie, a catering company, and the food service at a University of Wyoming sorority. Eventually, Bruns and her husband, Carter, bought a restaurant called Wild Thyme Gourmet, in Highlands, North Carolina. They sold it in 2008.
At that point, Carter Bruns returned to school to pursue a doctorate in American history. While enrolled at Western Carolina University, he wrote a master's thesis on the salt industry in West Virginia. "He looked at how they exported the salt to Cincinnati and further west," says Bruns. "He was trying to buck the idea of this insular Appalachian mind frame."
The more Carter dug, the more he encountered J.Q. Dickinson. The family business was resilient: rebuilding after Union troops wiped out the salt works in the Civil War, and again after a big flood swept through the valley, taking much of the company with it. By the early 20th century J.Q. Dickinson had diversified, producing salt for dust control on roads and medicated blocks for livestock. In 1945, facing increased competition from larger scale, cheaper providers, it abandoned salt entirely, instead selling minerals extracted from the brine to large chemical companies. By the mid-1980s, J.Q. Dickinson had itself evaporated.
The farm, which still houses the original company office, proved an embarrassment of primary-source riches. "In our family we don't throw anything away," says Bruns, who prior to launching the startup was helping small nonprofits with strategic planning. "We have receipts that my great-great-great grandfather wrote bartering corn for tobacco. We have records of all the transactions. Everybody they sold salt to. The employee payroll. All the correspondence. And lots of old pictures.
"We started talking about the family history in a totally different way," she says. "That's when I had the aha moment."

Drill a little deeper.

Fundamentally, J.Q. Dickinson in 2015 doesn't operate all that differently from J.Q. Dickinson circa 1817. Pump brine from the ground. Evaporate the water. Sell the salt.
Worried about contamination from corroded iron pipes, Bruns and Payne rejected the existing seven or eight wells that still dot the family property. Instead, they spent $10,000 to dig a new one. In the old office they found numerous jars containing samples of materials--coal, sandstone, limestone--excavated from those early wells and marked with the depth at which each material was found. "From that we knew we would hit brine at around 300 feet. And we did," says Bruns. "Then we went a little deeper." The saltier the water, after all, the less time it takes to evaporate.
Bruns's forefathers boiled the water using large furnaces stoked with coal and timber. Her reboot of the business relies on solar. Once every three weeks, workers run the pump to fill a 2,500-gallon holding tank. They then pour the brine into long wooden beds inside hoop houses, structures made of metal hoops with plastic stretched over them. Once the water evaporates, the residual 600 pounds of salt is pumped into beds in a greenhouse, where it crystallizes. The process takes five weeks.
For several months before launch, Bruns and Payne experimented with different temperatures, bed dimensions, and other variables, assisted by an intern from the chemistry department of a local college. They wanted to speed up evaporation. "But first and foremost we were going for flavor," says Bruns. "For example, we found out you have to get the calcium carbonate out at a certain time or else it makes the salt bitter."
Other minerals are more salubrious. Just as wine has a "terroir" imparted by the climate and geography of its origin, so salt has a "merroir" imparted by the water in which it is diluted. J.Q. Dickinson's salt includes magnesium, potassium, and more than a dozen other trace minerals. That's what gives it its particular flavor, Bruns says.
"It has a very vivacious texture--crunchy and unexpected," says Bitterman, who sells J.Q. Dickinson products at the Meadow. "It gives you these syncopated pops of salt that glisten and shift with every bite you take. It makes food more flavorful, and does it with elegance and pizzazz."
The company is on track this year to sell 7,000 pounds of salt, about half to small retailers and consumers who buy direct online. The rest of its clients are chefs, primarily adherents of the farm-to-table movement. They include some with national reputations, like Linton Hopkins of Atlanta's Restaurant Eugene and Shawn Brock of Husk, in Charleston, South Carolina. "Our margins are lowest selling bulk to the chefs," says Bruns. "But they are also our best educators, and they really get the word out."

Rich history, both good and bad.

While the best way to deliver the brand message might be through kale salad and caramel sauce, the company's backstory is a close second. Every jar of salt comes packaged with a card recounting seven generations of J.Q. Dickinson history. "It's important we communicate that this is not a commodity," says Bruns. "When you buy our salt you buy a little bit of our family heritage."
Not all aspects of that heritage burnish the brand, however. Last year, as the company began attracting press, a local historian complained on Facebook that its owners had failed to mention that the original J.Q. Dickinson--like the rest of the early West Virginia salt industry--relied on slave labor. (Other than J.Q. Dickinson, salt production is now gone from the area.) "It's not that we were hiding our slaveholding past," says Bruns. "But it is a little hard to get into all that when you are trying to market a product." Nonetheless, she wrote a post for the website acknowledging the role played by slaves in the history of the family business. "We are happy to talk about it," says Bruns. "But we are not going to get into an argument about it."
Other parts of the story resonate favorably with locals, who are pleased to learn their region has a claim to fame beyond coal. "People are always telling me that their great grandfather worked in the industry, and they are so glad to see it back," says Bruns. "For West Virginians, salt is a source of pride."

Monday, April 27, 2015

The 9 Books Every Boss Should Read

There are a million books about management but these nine are essential.
 
BY GEOFFREY JAMES
 
 
Contributing editor, Inc.com
 
 
There are more than a million business books in print, and thousands more published every year. But what if, for some reason, you were only allowed to read nine books about managing people? (Why nine and not ten? I'll explain at the end of the post.)
After giving it a lot of thought, here's the nine that I would recommend:

The Effective Executive

Subtitle: The Definitive Guide to Getting the Right Things Done
Author: Peter F. Drucker
Why it's a must read: This book is literally definitive in the sense that it definesmanagement at the executive level so clearly that most other serious management books takes this book's concepts for granted. The Effective Executive also rejects the concept that an executive should encourage a personality cult among employees and the press. For Drucker, management means getting things done without grandstanding or being concerned about your public visibility.
Best quote: "Men of high effectiveness are conspicuous by their absence in executive jobs. High intelligence is common enough among executives. Imagination is far from rare. The level of knowledge tends to be high. But there seems to be little correlation between a man's effectiveness and his intelligence, his imagination or his knowledge. Brilliant men are often strikingly ineffectual; they fail to realize that the brilliant insight is not by itself achievement. They never had learned that insights become effectiveness only through hard systematic work. Conversely, in every organization that are some highly effective plodders. While others rush around in the frenzy and busyness which very bright people so often confuse with "creativity," the plodder puts one foot in front of the other and gets there first, like the tortoise in the old fable."

The One Minute Manager

Authors: Kenneth H. Blanchard & Spencer Johnson
Why it's a must read: The One Minute Manager, along with The Greatest Salesman in the World, is the best of the "teach through parables" style of business book. The advice it offers is mostly common sense, but it's laid out in such easily-understood terms and actionable advice that it makes common sense into something that's uncommonly valuable.
Best quote: "The managers who were interested in results often seemed to be labeled "autocratic," while the managers interested in people were often labeled "democratic." The young man thought each of these managers--the "tough" autocrat and the "nice" democrat--were only partially effective. "It's like being half a manager," he thought. He returned home tired and discouraged. He might have given up his search long ago, but he had one great advantage. He knew exactly what he was looking for. "Effective managers," he though, "management themselves and the people they work with so that both the organization and the people profit from their presence."

Dilbert and the Way of the Weasel

Subtitle: A Guide to Outwitting Your Boss, Your Coworkers, and the Other Pants-Wearing Ferrets in Your Life
Author: Scott Adams
Why it's a must read: Adams's earlier book, The Dilbert Principle, outlined the absurdity and inconsistency of the business world. This book goes deeper into management and decision-making, explaining why everyone's experience at work differs so greatly from the idealized picture that's provided in books like The Effective Manager and The One Minute Manager. If you've got a sense of humor, this book will definitely make you laugh, but it will probably the uncomfortable laugh resulting from seeing a bit too much of your own inner weasel.
Best quote: "There's a gigantic gray area between good moral behavior and outright felonious activities. I call that the Weasel Zone* and it's where most of life happens. (Note: *Sometimes known as Weaselville, Weaseltown, the Way of the Weasel, Weaselopolis, Weaselburg, and Redmond.)"

The Age of Unreason

Author: Charles Handy
Why it's a must read: Every book you've read about the digital age, disruptive innovation, massive change, etc., is based on this book. This was the first book to really nail the fact that what we now call the Mad Men era was disappearing and that we were about to slip into a crazy period where none of the old rules work and nothing makes much sense. It's a quick read and some of his observations are dated, but it's really amazing how much he got right and how much later business writers have stolen his ideas.
Best quote: "We are now entering an Age of Unreason, when the future, in so many areas, is there to be shaped by us and for us--a time when the only prediction that will hold true is that no predictions will hold true; a time, therefore, for bold imaginings in private life as well as public, for thinking the unlikely and doing the unreasonable."

The Art Of War

Author: Sun Tzu
Why it's a must read: This book is usually read as if it were a collection of fortune cookies proverbs. That misses the point, though, because this book is actually a philosophy of life that extends to every type of leadership. It's one of the those books that you can read 50 times and get something different with each successive reading. The edition that I've linked into the heading above is not just a beautiful work of the art of publishing, but also contains the best commentary and notes, all of which can deepen your understanding.
Best quote: "Be extremely subtle, even to the point of formlessness. Be extremely mysterious, even to the point of soundlessness. Thereby you can be the director of the opponent's fate."

Don't Bring it to Work

Subtitle: Breaking the Family Patterns That Limit Success
Author: Sylvia Lafair
Why it's a must read: If you've ever wondered why the people you work with behave in such strange ways, wonder no more. As this book clearly explains, whatever happened or is happening in their family is reflecting and repeating itself at work. What's truly valuable about this book is that it identifies the personality types that cause problems and then explain exactly how to use and redirect the problematic behavior so that it serves the goals of the team.
Best quote: "Once you learn how people's past family life and their work behaviors connect at a core level, you'll know where performance problems originate and conflict starts. Then you'll gain skills to do something about it. The reason most organizational programs abort is that they fail to deal with our life patterns, which are at the foundation of workplace anxiety, tension, and conflict."

The Prince

Author: Niccolo Machiavelli
Why it's a must read: This is a book of bad advice. It was supposed to be "how to" guide for leaders in Italy at a time where every city was fighting every other city and the entire region was full of mercenaries, inquisitors and other unsavory types. Why do I include it? Simple. This book accurately predicts the decisions of a sociopath in a management role. As such, it's perfect defense against predatory competitors and allows you to keep one step ahead.
Best quote: "And here comes in the question whether it is better to be loved rather than feared, or feared rather than loved. It might perhaps be answered that we should wish to be both; but since love and fear can hardly exist together, if we must choose between them, it is far safer to be feared than loved."

The 21 Irrefutable Laws of Leadership

Subtitle: Follow Them and People Will Follow You
Author: John C. Maxwell
Why it's a must read: Sometimes it seems like everyone in the management consulting business has a list of principles, habits, laws, rules, and so forth, that explain everything you really need to know. What's funny about all those books, though, is that they're all valid! Leadership is such a complicated phenomenon that it's possible to describe it in hundreds of different ways. That being said, this book (of all the other books of this type) is the easiest to read, with techniques that are easy to apply. (Note: In this category, I went back and forth between this book and "7 Habits." But "7 Habits" gets a little preachy, so I finally settled on this book.)
Best quote: "Instinctively, successful people understand that focus is important to achievement. But leadership is very complex. During a break at a conference where I was teaching the 21 Laws, a young college student came up to me and said: 'I know you are teaching 21 Laws of Leadership, but I want to get to the bottom line.' With intensity, he raised his index finger and asked, 'What is the one thing I need to know about leadership?' Trying to match his intensity, I raised my index finger and answered, 'The one thing you need to know about leadership is that there is more than one thing you need to know about leadership!'"

How to Win Friends and Influence People

Author: Dale Carnegie
Why it's a must read: The writing style is a bit corny and the anecdotes incredibly out-of-date, and yet it's a well of wisdom that has yet to run dry. Everyone I've known who's read this book cover to cover (and made the effort to implement its lessons) has been successful, if not in business then in their personal life. This book has been a bestseller for decades and likely to be a bestseller for decades to come. There's so much in this book that for the quote, I just plucked out one that's helped me in my interactions with colleagues and family members.
Best quote: "Criticism is futile because it puts a person on the defensive and usually makes him strive to justify himself. Criticism is dangerous, because it wounds a person's precious pride, hurts his sense of importance, and arouses resentment."

Why Only Nine?

I was going to make this a top 10 list but then it occurred to me that every reader probably has a favorite that's helped them to be successful but which is not on this list. If that's the case with you, leave me a comment or send me an email. I'd love to know what's working for you.