Tag: funeral home consulting

Are You A Change Champion?

Written by Alan Creedy on November 25, 2013. Posted in The Creedy Commentary, Leadership. 1 Comment on Are You A Change Champion?

There are, in fact, many firms today that remain in denial that our profession has changed dramatically and will continue to change into the foreseeable future. We cannot help them.

I have lost count of the financial statements I have analyzed over the last several years. What strikes me is that virtually all of them have experienced a three year decline in average sale. WORSE, THE OWNERS WERE UNAWARE. Try it yourself. Take your total revenue minus any cash advances (this is your net sales) and divide that amount by your TOTAL number of calls for the last three years. My bet is that the overall average has declined.

While it is only my opinion, it is impossible for us to continue this trend without doing SOMETHING! So let’s start with the number one error most business owners make: lack of urgency.

If you are an owner then part of your job in these tumultuous times is to BE the change champion and to develop a base of allies within your firm. People resist change. We know that. According to John Kotter, retired Harvard professor and author of the book “Leading Change.” There is no urgency until at least 75% of a company’s management is honestly convinced that BUSINESS AS USUAL IS TOTALLY UNACCEPTABLE.

An old axiom says: “People will tolerate the conclusions of their leaders…they will only act on their own conclusions.” It is not enough to TELL people you have to change you must create an urgency to change within your constituency.

HOW do we do that? I have found over my career that the truth is surprisingly compelling (assuming your people trust you). A calm well prepared meeting with key staff is in order. Panic is not.

Here are some facts you might want to share:

Over the past 12 years the national Compound Annual Growth Rate in cremation is approximately 4.17%. Notice that up until 2000 cremation basically absorbed the marginal growth in deaths. Burials remained flat. Since then there has been an actual erosion of burials.
Analyze your own average sale and share it with them. Ask them what conclusion about change they draw? What impact might it have on salaries and size of staff?
Invite them to join you in creating urgency for change and developing an action plan.
BE AUTHENTIC! BE OPEN!

The Excellence Trap: How We Confuse Efficiency With Effectiveness

Written by Alan Creedy on November 18, 2013. Posted in The Creedy Commentary, Leadership. 1 Comment on The Excellence Trap: How We Confuse Efficiency With Effectiveness

Are you a shop foreman or a leader?

In recent years a new focus has crept in to the profession. We are trending toward becoming shop foremen instead of leaders. The belief being that we must measure everything and compare everyone to everyone else. This is, in fact, a good idea and a long time coming. But it is what we are measuring that is impairing our ability to adapt and seize the future. When you measure each person’s average sale, customers served and customer responses what are you actually measuring? In the end these are important numbers for the shop foreman to know but when your focus is on “hitting the numbers” you are in danger of losing sight of the bigger picture: repositioning yourself to be attractive to the market at the right price points. So, while there is nothing wrong with the metrics, does it really produce long-term excellence? Research suggests the answer is no.

Ask any funeral home owner what differentiates them from their competitors and you can expect one answer: “Service.” Ask them to be more specific and you get a lot of stuttering. Yet, a singular preoccupation among the better funeral homes is something called “Excellence.” Here, again, drill down and it’s as elusive as trying to hold mercury in your hands.

Here’s the rub, and you know it. The bulk of practitioners, while claiming high service levels, are not that good. So, if you are simply more than mediocre you have a good chance of outperforming your own competitors. But more than mediocre is not the same as excellence.

The fatal flaw in our thinking is that we confuse flawless execution with excellence. They are not the same thing. Our professional preoccupation with flawlessness has a corollary effect that is now becoming a major stumbling block for our profession: It blocks our ability to adapt.

When you and your staff fear making a mistake more than becoming irrelevant, when you fear change because it is messy, when you fear the rebuke of your colleagues and worst of all you think you can find refuge in the profession’s conventional wisdom you are at great risk of being outflanked by forces beyond your control.

Many firms have invested heavily in staff training and implementation of individual tracking systems. But the training and the metrics only lay a foundation and are not the end all for proper leadership. Remember, managers give direction…leaders set direction. This recent emphasis on measuring and training has simply brought us current. It has not addressed the future. You have also heard me say that we are a profession over-managed and under-led. And it’s starting to bite us…hard! It is because I am witnessing so many firms stop short of what is really needed that I write this blog.

Here is the problem:

Measuring everything, flawless execution and obsessing over mistakes or potential mistakes may lead to excellence in the PROCESS while inhibiting excellence in the RESULTS. In the 1970’s Swiss watchmakers lost control of the wrist watch market by focusing on Process Excellence over Excellence in Results. Click here to learn more.

Jake Breeden, author of “Tipping Sacred Cows,” says it this way:

“Excellence is the drug of choice for the ambitious perfectionist, and it can lead to exhaustion and ruin. High standards are wasted on activities of low importance because leaders can’t give themselves a break. Some leaders obsess over every mistake, even the ones that don’t matter…When excellence is worshipped it becomes a goal in and of itself, disconnected from the larger goal.”

And this is exactly what I see. Service is confused with flawless execution of conventional practices. We are only doing better what we have always done. Some of which shouldn’t be done at all. The focus is managing to the metrics and so we abdicate our leadership role to become shop foremen.

So what is the difference? As I think about this question one word keeps leaping to my mind: agility. With the variety of consumer preferences becoming so complex that it is almost fluid, arrangers need an alert and agile mind free from the burden of flawless execution and rigid conformity to preset expectations to even begin to understand the dynamics impacting each individual customer and respond accordingly.

Some things do need to be measured. I don’t disagree with providing metrics as benchmarks. I violently disagree with their use as carrots and sticks for your employees. The overriding test of excellence in results is continuing growth in market share and revenue per call. Impossible? No, a few are doing both.

My advice? Chill out. Major on the majors and let the minors take care of themselves.

Making Myself Unnecessary

Written by Alan Creedy on October 7, 2013. Posted in The Creedy Commentary, Leadership. No Comments on Making Myself Unnecessary

I am a little annoyed with myself. As I address this topic of Leadership i find that I have fallen into the same trap as most others. I have succeeded in treating the difference between managers and leaders as two ends of a continuum and conveying the impression that one (managers) is bad and the other (leaders) is good.

In truth they are both good when they are good and abysmal when they are bad. But the point is they need each other. More to the point, in small business, senior management must almost perpetually play both roles simultaneously. The Bible says one cannot serve two masters because you will love the one and hate the other. And so it is when you must always wear two hats. We will gravitate toward one and develop a comfort zone and neglect the other.

The key to reaching the point of unnecessariness (I know it’s not a word) is emphasizing leadership traits over management traits in oneself.

Why Become Unnecessary?

Besides the obvious succession issues that this state provides there are some other significant benefits:

The Lone Warrior Hero is a myth that negatively impacts family relationships and health
Truly developing others to their own peak can be fun
Today’s competitive advantage comes from teams with shared vision and mutual loyalties
Teams equal shared burdens
No one is infallible but teams strengthen and safeguard, getting us closer to infallibility
Intentionally becoming unnecessary is a courageous and mature act of caring that is far more admirable than being a marginally successful Lone Warrior Hero
Intentionally becoming unnecessary protects and develops THE BUSINESS by focusing on what is needed for ITS success over the ego of the Lone Warrior Hero

How to Become Unnecessary.

This act requires a significant change of thinking for most people. It means intentionally shifting credit and prestige to others so that, over time, you are less and less visible but more and more successful.

Without using names let me tell you about a personal hero. I doubt many of you know this gentleman and I am confident most of you have never heard of him. But starting about 35 years ago this man began orchestrating a series of events that led to his firm owning about 2/3 of the funeral homes in his state. This sweet-natured self-effacing man had a vision. Unlike many, he had no real need for fame but was quite content to engineer things from behind the scenes. I am aware that many in our profession believe his partners orchestrated this success story but the reality is different from the appearance. As a result, this firm is not only successful by any definition it will be sustainable for several generations. He laid a cultural groundwork that will long outlive him.

What can we learn from him? The first is that we must have a long term vision. If your reason for becoming unnecessary is your personal leisure or your own fame and financial success it will be much harder to achieve. Second, by hiring people “better” than himself he was able to achieve far more than he could have individually and, finally, he is leaving a legacy for his future. Not a legacy of fame, but a legacy of achievement. Frankly, that’s what I want. Don’t you?

PP*2 ≠ FF

Written by Alan Creedy on September 30, 2013. Posted in The Creedy Commentary, Practitioner Forum: Insights and Ideas. 1 Comment on PP*2 ≠ FF

Protecting the Past and Perfecting the Present Does Not Equal Finding a Future.

Rearranging the deck chairs on the Titanic is a behavior often seen in organizations responding to massive change. Why is that? and why is it so prevalent in DeathCare.

It turns out our century old culture is to blame and resolving a very vulnerable “chink in our armor” will involve both frank discussion and humility. WE ARE ALL GUILTY.

Heidi Grant Halvorson and E. Tory Higgins in their recently published book, “Focus,” posed a provocative question:

“Do you play to win– or not to lose?”

As I read the book it seemed to me that the overwhelming majority of the DeathCare profession is focused on “Not Losing”. Ms. Halvorson labels this mindset as “Prevention Focused.” Further, ALL of our associations are fully prevention focused. My favorite phrase is:

Funeral service is a place where more time is spent on thwarting things than doing things…but in the nicest way

Prevention focused organizations and people are preoccupied with preventing bad things from happening and, as a result, spend little or no time focused on making good things happen. Activities like imagining a brighter future, how we can reengage our customers, developing exciting new skill sets and exploring opportunities for adaptation that goes beyond re-merchandising what we already do are virtually ignored or, even, dismissed. After 30 years of “Prevention Focused” leadership I think it’s time to change it up.

No, I don’t mean a full swing of the pendulum toward what Halvorson and Terri call Promotion-Focused. Rather, how about some balance? Here is a comparison of typical traits of both types.

This explains to me why we seem predisposed to so much doom and gloom.

Halvorson and Terri approach this topic from the perspective of managing to the type. In other words, if the profession is prevention focused then you should speak to it and motivate it by using prevention type language. I guess this is what our associations have been doing. If that were working that would be ok. BUT IT’S NOT!

As for me, I tend a little toward the prevention minded. It seems to take more than it gives. So, learning about this theory has caused me to rethink my World View. I think we need a little more winning and a lot less losing. I have been approaching things in a new way lately. Instead of harping on what is going bad and how awful it is, I ask people: “What’s working? How can we do more?” Instead of focusing so much on what is changing, let’s talk about what is not and sift out the opportunity. Instead of thinking about how we can slow down the erosion, I think about how we can rebuild and reimagine to grow margins.

Am I whistling in the cemetery? I don’t know. But it seems to be working. Not just for me but for the clients who assume similar approaches.

In my opinion the one thing people want is for their death experience to transform them in some way. Prevention minded folk will have a hard time doing that. In fact, more often than not, we leave them the way we find them. Which is one reason they look elsewhere to satisfy their needs.

How about you? Don’t you feel it’s time for a little optimism, a little energizing and at least a little self confidence?

What DeathCare Can Learn From The Way Women Dress…An Epiphany

Written by Alan Creedy on September 16, 2013. Posted in The Creedy Commentary, Practitioner Forum: Insights and Ideas. 5 Comments on What DeathCare Can Learn From The Way Women Dress…An Epiphany

Insights come from the strangest places. This time from why women dress the way they do.

My wife has bad feet. Most women do. Why? Because women’s shoes are not designed for practicality. They are intended only to create an impression. Comfort and productivity, as purpose, are lost in favor of competing with others.

When my children were in high school their youth pastor did something very bold, even risky. Frustrated with the immodest behavior of the girls and the consequent disruption it created with the boys and other girls he held an open meeting. Somehow he got the kids to talk about the impression provocative dress and behavior created in the boys. Everyone was surprised to learn that the girls had absolutely no idea the impact their provocative attire and behavior was having on the boys. More to the point they were horrified by the opinion of them the boys formed as a result.

I couldn’t help but be curious about how the girls could have missed something so obvious to even a casual observer. At the time, I had a friend who was a retired psychiatrist. I shared this with him and his response was even more surprising. “What you don’t understand,” he said, “is that women don’t dress for men. They dress for other women. It’s about competition not attraction.” Again, I had to check this out and, sure enough, every woman I spoke with, including my wife, acknowledged this truth. WOW!

What has this to do with DeathCare?

I have always been curious about the “herd effect” so prevalent in this profession. Ideas are not adopted because they are good or because they fit a given firm’s strategy. Nor are they adopted because they work. No, they are adopted because they are trendy. People don’t innovate for competitive advantage but to impress other funeral directors. This would, at least for me, explain the overwhelming prevalence of mediocrity in preneed programs.

Could this be the thinking: I don’t want to sell preneed but if I don’t have a preneed program people will think I am stupid. So I will do something just so I can say I have a preneed program. Or, worse, I will build a 30,000 square foot megabuilding so people will THINK I am successful.

I honestly don’t know. I hope not. But something in me says I am at least partly right. So, if the results of wearing bad shoes is bad feet what is the result of herd behavior? Bad results?

FUNERAL SERVICE : YOUR FLY IS UNZIPPED

Written by Alan Creedy on August 5, 2013. Posted in The Creedy Commentary, Practitioner Forum: Insights and Ideas. 7 Comments on FUNERAL SERVICE : YOUR FLY IS UNZIPPED

OR WHY FUNERAL DIRECTORS ARE NEUROTIC

A pastor friend once told me: “The test of love is whether or not you are willing to tell someone their fly is unzipped.”

Funeral service I love what you do and I love many of you. Your fly is unzipped.

My phone rings: “Al, this is Ron.”

Me: “hey Ron.” (That’s how we talk in the South)

Ron: “I just got home from trying to make my prearrangements at the funeral home and I am totally confused. Can you go back and help me? and by the way, I want you to do my eulogy.”

Me: “Well, gee, thanks Ron. I am honored. I’ll be glad to do it. Are you Ok?”

Ron: “I’m fine. I just need to get this done. As for the eulogy, you’re the only one who will tell my story the way I want it.”

This is a true story. Ron is one of my best friends. 7 years older, he is a graduate of West Point (class of ’65) and a nuclear engineer. He is retired from a prominent career in the nuclear power industry and is considered an international expert on quality control. In other words he is smart. I have known him for 28 years. He is a man on a clock. This story occurred when he had turned 65 and 65 was when you took care of your funeral arrangements. 45 was when you took care of your cemetery arrangements.

We arrive at the funeral home at our appointed time and are ushered into the arrangements office. A few moments later the funeral director enters. I know him. Approaching retirement he has had a long successful career, serves on a national committee and (I think) has served on the board of his state association. He is someone I both like and respect. We will call him John (not his real name).

John (setting down a legal pad and a folder): “Ok. What do you want?”

Ron and me (exchanging glances): “Well, what do you have?”

John: “It depends on what you want.”

We go back and forth like this for a few minutes and finally I take over. I am not a funeral director and I was careful not to break any laws but I know enough to lead a discussion. (Operative word: “lead”)

Me: “Ron, I know you have already bought your cemetery plots so I am assuming you plan on having something approximating a traditional funeral.”

Ron: “Of course.”

Me: “would you like a visitation the night before the funeral?”

Ron: “yes.”

Me: “john, would you write that down?”

Me: “Were you planning on a military style funeral”

Ron: “Of course. My roommate (a former chairman of the joint chiefs of staff), if he is still living, is going to do the flag presentation. It’s a West Point custom.”

Me: “Great, do you think you might like a bagpiper at the gravesite?”

Ron (surprised look on his face): “Can I have a bagpiper?”

Me: “John, can you arrange a bagpiper?”

John: “yes”

Me: “good, write that down too, John.”

I won’t go through the whole scene but that was the way the conversation went. We ended up with a funeral somewhere in the 5 figure range.

Let me repeat: I am not a funeral director! But I know when someone needs me to put my expert hat on.

At the time of this post I am 63. This happened 4 or 5 years ago. I have now assisted 3 other friends with their prearrangements and two with at need arrangements. All but one with different funeral directors. People I know and respect. All with 30 to 40 years experience. Exactly the same experience each time.

I don’t know about you but I am alarmed!

For the 33 years of my career in funeral service I have assumed that once you had around 5 year’s experience you were pretty much on top of your game. These experiences caused me great concern. So, I began experimenting and it went like this:

I would be at an industry gathering either speaking or facilitating and I would create an opportunity to ask:

“let me ask you. You graduate from mortuary school, you go to work. Maybe you are a first generation funeral director or you go into the family firm. It doesn’t matter. You start out working visitations, assisting with body prep, doing removals, embalming, mowing the lawn. You’ve been there a number of months and one day the funeral home gets really busy and without warning someone hands you a file, says: ‘The Smith Family is coming in at 2:00 to make arrangements. Good luck.’

and there you are…on your own. Is that what happens?”

The responses, dear readers, shocked me and I hope they will you as well:

“Exactly. But they didn’t say good luck. They said: “Don’t Screw it up.”

“Yup. That’s how it is. But they didn’t say good luck. They said: “Don’t worry. It’s only a cremation.”

“Yeah, and it was a saturday and the family name was Jaworksi” (this was 40 years later)

“So, let me get this straight.” I query further. “You’ve been doing this 25, 30, 40 years and you have never been trained on how to make arrangements.”

“nope.”

“Have you ever observed someone else making arrangements?” “nope.”

“Has anyone else ever observed you and offered suggestions.” “nope.”

OMG!!!! Holy Cow!!!

IT ALL MAKES SENSE

After doing this for several months with different groups ranging in size from 9 to over 50 all the inconsistencies:

The unwillingness to defend ourselves, the capitulation to cremation, the preoccupation with prominence over significance fell into place. I had, for years, been confused by these things. Now I understood.

We won’t defend ourselves.

We won’t address and adapt to change.

We won’t do anything that even hints of upsetting the customer even when we know what they are doing will hurt them in the long term.

We are frustrated. Maybe even despairing.

We feel trapped.

We are relentlessly being marginalized by the public.

Our businesses…our livelihoods are in jeopardy.

BECAUSE

We have no way of knowing what we are doing is right. We are making it up as we go along hoping it will turn out alright. We judge our effectiveness and accomplishments solely by the reaction of others. If they like us, life is good. If they don’t, life is very, very bad.

We think it’s just us. Surely other funeral directors know what they are doing. So we say:

“If I rigidly follow the rules, meekly acquiesce to every request, sacrifice my family over-serving my customer, throw in a free video tribute maybe no one will find out that I don’t know what I am doing.”

This revelation creates in me simultaneous despair and wild optimism.

If this is the root and core of our low self-image and unwillingness to stand up for what we believe the consequences of doing nothing are plain for all to see.

At the same time, “We Can Fix This.”

The only question that remains is: “Will we?”

Let me say this: “I believe this is a noble profession. I can quantify my belief and I can stand for it publicly without reservation. As a profession it is eminently defendable. Yes, I fully understand that not everyone in it is noble. But ask yourself:

How noble would I be, could I be, if every day I had no way of really knowing if I were doing it right?.”

In my mind, (and I concede it may only be in my mind ;)) this travesty is a potential lynchpin for turning this industry (sorry, you can’t call untrained people who aren’t able to stand for what they believe professionals) to turn itself around.

I use strong language here deliberately to startle you and maybe to make you say “No More”. In your hearts you are great people. You serve a noble profession but your self doubt is a significant stumbling block.

Now you know you are not the only one. In fact, you are in the majority. Now you can see the king has no clothes. What are you going to do about it?

You may want to read more about my beliefs here.

Our Industry’s Self Talk: The Bad and the Great.

Written by Alan Creedy on July 22, 2013. Posted in Video Gallery, Leadership, Practitioner Forum: Insights and Ideas, The Creedy Commentary, The Video Blog, Video. 1 Comment on Our Industry’s Self Talk: The Bad and the Great.

Alternative Title: It’s Time To Get Over Yourself!

Not long ago I was part of a group studying the challenges of recruitment in the funeral profession. I was stunned to hear the “table talk” of practicing funeral directors.

Our conversations centered around why people wouldn’t want to be funeral directors…the long and unpredictable work hours, the low pay. Worst of all, and a major factor making recruitment difficult, was having to work with dead bodies. I finally felt compelled to speak up:

“What I am hearing you saying,” I told the group, “is that if it weren’t for the abysmal working conditions and those darn bodies this would be a pretty good job.”

What I was really thinking was: “how can you expect people to want to work in this profession if all you talk about is the unpleasant stuff?” The reason this is so vivid for me is that I don’t agree with the low pay / long hours part and I don’t know any career funeral directors who function as professionals that do this job for the money. For my career of more than 30 years it has been my observation that the successful ones do it for the psychic rewards as much as and probably more than the monetary rewards.

The Canadian Funeral Directors Associations published this video recently. View it. Hopefully, you will be inspired as I was. Hopefully, it will remind you why you are here. And, hopefully you will ask yourself what is significant about what I do?

Thank You Canada!!

As for the abysmal working conditions: I am an accountant. How would you like to conduct an inventory audit in a frozen food plant? What do you think it is like for accountant’s families during tax season? How would you like to be assigned to reconcile accounts and prove veracity on financial statements? BORING, COLD, SMELLY AND TEDIOUS are all words that come to mind.

On Motivation – Money Is Not The Answer

Written by Alan Creedy on July 15, 2013. Posted in Video Gallery, Leadership, The Creedy Commentary, The Video Blog, Video. 1 Comment on On Motivation – Money Is Not The Answer

Did you know that money is not a motivator. It is only a hygiene factor. Paying too little creates dissatisfaction…paying fairly only takes away the bone of contention…paying too much does not create enthusiasm and can often lead to dissatisfaction.

So what really motivates people. It’s simpler than you think and if you are as introspective as I can be at times you will realize you already know it. The trick is to get over your personal trash and execute what, strangely, seems counterintuitive but is really not.

I try to keep the amount of time you need to commit to my posts limited but this 20 minute video is too good to exclude Dan Ariely shares how to really motivate and demotivate people.

Take Aways:

Ignoring contributions is the same as shredding people’s work in their faces
Meaning is more important than efficiency
When people have to make an effort (work harder) at something they actually love their work more

So, go get a cup of coffee, sit back and learn something valuable enough to spend 20 minutes.

On Becoming Unnecessary

Written by Alan Creedy on May 27, 2013. Posted in Leadership, The Creedy Commentary. 3 Comments on On Becoming Unnecessary

Funeral Service is simultaneously over managed and under led.

The key to overcoming the “Being Necessary” complex is to recognize the difference between management and leadership. It is the overmanagement that creates all the physical and emotional stress in this profession. More to the point the current trends in misapplying management data is turning professionals into shop foremen.

Let’s be clear: contrary to popular opinion leadership is not about the “embattled lone hero”. Nor is it about some charismatic, mystical vision. Leadership is a set of skills that enable an individual or a SMALL group of individuals to set a direction and thereby align and inspire their people to accomplish a vision. But we get ahead of ourselves.

Management and leadership are complementary skill sets. In large companies these responsibilities can be borne by different people and different job titles. In small businesses like ours owners and managers must wear both hats. The key is to know which is which and when to be a manager / leader and when to be a leader / manager.

Managing is about coping with daily operational needs. Without it organizations would become chaotic. It brings order and consistency while producing quality and profitability.

Leading is about coping with the future. It is about change brought about by such things as demographic changes, financial changes, market changes and customer changes. In simpler times leadership could take a back seat to managing because our business environment was stable. It changed maybe once in a generation. Today our environment is in a constant state of change. In DeathCare this coping with change responsibility often is left to default. As a result, firms begin to decline and lose direction and relevancy. Leadership is all about setting a direction. Its most valid implicit operating assumption is that doing what was done yesterday better is no longer a guarantee of success.

Our current operating environment is not stable. It is dynamic and changing. So, where it used to be appropriate for our manager’s hat to be bigger, today requires a level of leadership clarity and direction that was not necessary in former years. Becoming unnecessary requires a vision and a direction that then suggests a variety of actions. A plan, so to speak.

Managing achieves its plans by organizing and staffing and creating an organizational structure. Leadership achieves its plans by aligning people. Without alignment around a shared vision well-meaning people simply trip over each other…a phenomena I have observed often in even the best firms. To achieve alignment requires strong communication skills as well as clarity of purpose and direction. Leadership in the context of today’s workers cannot be achieved alone.

Management’s primary tools are controlling and problem solving. Managers direct activities and monitor results and identify deviations. They rely on reports, meetings and mechanisms of reward and punishment.

Leadership tools for achieving a vision are entirely reliant on motivating and inspiring people to move in the right direction. They do this by connecting often untapped human needs, values and emotions. In times of significant change those with strengths in management will often misapply or overuse their management tools in a misdirected effort to control change. This is too often counterproductive, producing in the short term at the sacrifice of the future.

Peter Drucker once observed: “you cannot manage change, you can only be ahead of it.” Which is precisely the role of the leader.

Scripture says: “Without a vision the people perish”. Setting a direction is fundamental to leadership. Sometimes the future is so unclear that the only direction to be set is “We can’t stay the way we are.” A leader will begin at this stage and rather than relying on the deductive reasoning of a manager will begin to look more broadly and inductively identify gaps and then seek solutions. For instance: A leader will ask why more people are selecting cremation (a gap). He will challenge his / her own paradigms and more closely examine those sacred cows. Eventually a leader will choose a direction and begin to move in that direction. He will include more of his people in the process both to test his / her own assumptions and to begin to inspire and motivate them.

AS I SEE IT:

I see two options emerging. Both will require leadership.

Both options require a realistic assessment of the owner’s capabilities and desires. I always start these conversations with new clients with the question: “What is your vision for yourself.” As small independent businesses the owner’s vision for him or herself is the vision. But it often takes people off guard. Once, however, they can answer the question the conversation quickly accelerates. It is here that we can make a choice between Option A or Option B.

Option A is a decision to take yourself and your family into what I call “Safe Harbor.” Safe harbor involves the current leader deciding to withdraw. Although it can involve selling the business it doesn’t have to. It can also involve succession to a new leader. For parents it can mean it is time to let son or daughter take over. Or perhaps a key employee is more suited for the task.

Option B involves stepping up to the plate as a leader. With my clients this involves a discussion about what it will take in all its goriness. This is especially true in a turnaround situation.

At the risk of repeating myself, either option requires setting a direction and, for a period at least, being more a leader than a manager.

Are You Too Necessary?

Written by Alan Creedy on May 6, 2013. Posted in The Creedy Commentary, Leadership. 4 Comments on Are You Too Necessary?

Saturday morning, January 7, 2012 my phone rings at home.

“Al, this is Bob. Guess where I am?.” Bob Neiman is a successful internet entrepreneur who flies his own plane and dominates a narrow niche in the construction industry. Bob and his wife Amy have been friends of ours for many years now. Amy is one of 2 known survivors of a rare, normally terminal, blood cancer. We had been part of a prayer team that met weekly to pray specifically for her during that time. Bob has seen plenty of adversity in his life but his faith has brought him many, many blessings as well. Those of us who know him know he is a classic “doer” and can often be expected to do the unexpected. But this call was new.

“I don’t know Bob, where are you?” I replied.

“Amy and I are sitting on the balcony of a condo in Miami, Florida enjoying the sea breeze and the view. We are going to be here for three months. I just wanted to call because we have you to thank for it.”

“Well, thanks Bob, why is that?”

“Do you remember that conversation you and I had about my business years ago?”

Years ago was actually 12 years ago and, for some reason, I did remember…vaguely.

“Sort of, but refresh my memory.” was my response.

“I asked you how I could increase the value of my business and you told me I needed to make myself unnecessary. Now I am. So, Amy and I can enjoy 3 months in Miami and I don’t even have to call in.”

Saturday morning, January 12, 2013. My phone rings. “Al, this is Bob, guess where I am?” “I don’t know Bob. Where are you?” “Amy and I are in Miami again for three months. I just Wanted to call and thank you…”

The conversation Bob and I had some dozen years ago was a simple one but apparently a turning point for him. His business was doing well, he was having fun and making good money but he didn’t feel like he was growing the value of the business. He asked me to have coffee with him to discuss it and I did. The question was simple: “How do I grow the value of my business?” My answer was equally simple.

Owning a business can serve many purposes. Too many to list here. But a few will help us focus. Obviously it provides a living (hopefully). Sometimes it provides a lifestyle. Often it can provide a life purpose.

But too often it can provide a self-definition. That is when people stop owning the business and the business begins owning them. What I told Bob was that if his purpose was to build value then he needed to make himself unnecessary. He needed to move beyond being a manager to being a leader. A business that is actually a person is intrinsically less valuable than a business that is self sustaining.

We all know the egos of too many funeral home owners are deeply entwined in their business. After all their family name is on the sign. In fact, in some states their name is required to be on the sign. But “being” the business and leading the business are two polar opposites.

In my opinion, when Bob first approached me he represented the best example of a good strong manager and he was already showing signs of becoming a good leader. In terms of employees and revenue his business is small. Probably the equivalent of a 300 to 400 call funeral home (albeit far more lucrative). He made a simple decision. Simple but emotionally (for the vast majority of people) very hard. He decided he needed to develop people to be able to assume his responsibilities as manager so he had time to lead. This kinda sheds true light on the common excuse that you don’t have time to work ON your business because you are too busy working IN your business.

Bob checked his ego at the door. I really don’t know how much turnover he has had. Not much. I do know that he began deliberately grooming someone to assume those daily responsibilities and they became a team.

What does this mean for Funeral Service?

Any particular day: My phone rings:

“Alan, I am tired. I’m 58, 60, 65 (Whatever. Bob just turned 70 and is going strong) and I really want to slow down. I don’t want to stop totally because I really love what I do but I would like to have a lot more time off.”

Me: “So what’s keeping you from doing that?”

Them: “Well, there really isn’t anyone to pick up the slack and deal with all the day to day issues. Every time I leave they call me and I have to call in all the time. And then if it’s someone I know I feel like I have to be here.”

Me: “What about your son, daughter, key man?” (usually in their mid ’30’s with 12 to 15 years experience)

Them: “Well, they just aren’t ready yet.”

Me: “What are you doing to get them ready?”

Them: after long pause “Well, no one did anything to get me ready.”

Me: “That’s not an answer. That’s not even a bad answer.”

It took time and a plan for Amy and Bob to be able to enjoy 3 consecutive months in Miami, now interspersed with flights to the UP of Michigan to visit their first grandchild.

The bible says: “Train up a child…” The problem is that, since my client caller was never trained, he / she doesn’t really know how to start with the next generation but they intuitively know that the business is significantly more complex than it was 30 and 40 years ago. Consequently, this generational transition is far riskier. Compound this with the unsaid reality that their ego is still deeply intertwined with the business and they feel trapped.

Next week:

Tune in next Monday when I will talk about a way you can quickly ramp up your transition plans.

4 Early Signs You May Be Losing Control of Your Business

Written by Alan Creedy on April 29, 2013. Posted in The Creedy Commentary, Leadership, Money: Getting it and Keeping it. 6 Comments on 4 Early Signs You May Be Losing Control of Your Business

Recently I read something that triggered an insight. In my Funeral Home Consulting practice it is clear that businesses don’t just suddenly spin out of control. Except in the rare case of disruptive innovation like an unconventional competitor, calamity does not occur overnight. “Things” start happening well before the challenges are apparent. Almost all of these “things” are correctible and most are the result of benign neglect.

Over the years I have seen patterns that I now realize are clear indicators that trouble is ahead. Here are 4:

1. Preoccupied Leader– Some years ago a casket company Exec asked me what I thought most funeral home owners wanted. Without thinking and to my utter surprise I said, “Based on their behavior I think most funeral home owners want to not be there.” After I got over my shock I realized that answer had come from my subconscious and it was true. Whether from boredom or frustration too many owners spend a lot of time away from their business. Fortunately or unfortunately in a small business it is the owner that has the primary responsibility of being a hands-on leader. In order to lead you have to be there. While it sounds simple it is a common problem in most organizations. Too many owners like to brag that they have forgotten where the prep room is and don’t know how to fill out the paperwork any more. Yes, you have to work on the business. But mostly I see owners escaping the business under the guise of working on the business. You can tell because there are always lots of ideas and never any execution.

2. Lack of Clear Expectations – The owners of the under-performing funeral homes are absurdly unclear with their employees about what is expected, in everything from how they should greet customers to what they wear to what their specific job responsibilities are. I have never been able to reconcile the claim by owners that their market differentiator is “service” with the knowledge that almost none of them train or monitor the practices of staff. These owners are reluctant to place specific demands on their people, often in the spirit of giving them freedom. But like any business plagued by a lack of clarity, what they get is an organization without a culture, plenty of employees who don’t belong, and, worst of all, inconsistencies around what customers experience. Basically, people show up and apply their own definition of what is right in a given circumstance in a self-defined effort to provide good service.

3. Lack of Focus – Typically, funeral homes do too much or too little. Most often, if it’s a new initiative they don’t finish what they start. They never get to the “Goldilocks level” where it is Just Right. Employees don’t understand what is expected and struggle to sell what the business has to offer. Interestingly, if you challenge them you quickly learn they aren’t sure what that is. Or, worse, they are pretty sure it’s just one more thing to line the owner’s pockets.

The drive to be all things to “all people means we are nothing to everyone.” No one takes risks because the fear of losing one customer overrides the opportunity to gain five.

4. Lack of Attention to the Right Detail – During the 70’s I worked for a firm that had service contracts with big city school systems. Part of my job was to call on school principals. It got so I could tell what kind of principal I was calling on within 5 feet of the front door. The same thing is true of funeral homes. Sometimes you can tell before you drive in the driveway. Paint peeling, failing to have a greeter at the door, taking too long to answer the phone, a dirty prep room are all signs things are going from bad to worse because someone is asleep at the switch. “Funeral service is in the details” is a saying I haven’t heard in too long. We all have anecdotal stories.

My worst was attending a visitation on the night a local funeral home had two too many. I stood in line while the guests tried to sort out which way to go in the crowded foyer while being watched by the morbidly obese employee in his shirtsleeves eating a foot long subway sandwich behind the office glass window sipping on his “Big Gulp”. The epiphany for me at that moment was that some owners don’t care and can’t be helped.

We all get comfortable in our work environments. I recently told a couple of clients that they should get a video camera and video their building inside and out and then watch it. You will see things on video that you don’t see when you walk in every day. Sometimes it’s just good to have a brutally honest friend or consultant who isn’t afraid to tell you the truth about what they see. More importantly, we all need to be reminded that keeping things simple and focusing on the basics is the best place to start a turnaround and sustain a healthy organization. If you own the business maybe it’s time for you to pay attention.

Is this REALLY a Hill Worth Dying on?

Written by Alan Creedy on March 25, 2013. Posted in The Creedy Commentary, Leadership. 4 Comments on Is this REALLY a Hill Worth Dying on?

I think I can make a very strong case that funeral service as a profession makes a vital social contribution to society. For me that makes it a noble profession. Unfortunately, the profession doesn’t act with nobility as often as so many of us would wish.

Not long ago I spoke of Alpha Dogs and observed that one way to recognize them is their obsession with fighting lost wars. In a very recent Wall Street Journal article was this headline

A Casket Cartel and the Louisiana Way of Death

We have enough strings to push up hill without this kind of publicity:

“It didn’t take a divine revelation to recognize that funeral directors were using the law, the government licensing entity they controlled, and their political clout to monopolize the lucrative casket market…In ruling for the monks this week, however, the Fifth Circuit held that the Constitution prohibits laws that amount to “naked transfers of wealth” to industry cartels.” Quoted from the article

This has to fall in the category of “what are you thinking?” Can’t you come up with something less politically popular to fight about?

Of course, as with Pennsylvania, we should expect this to go all the way to the Supreme Court.

Thank you guys for making it harder for the rest of us to earn respect.