4 Systems Jack Daly Says You Must Have to Build an Amazing Culture


By Kevin Daum

You can't have a successfully growing company without a solid, sustainable culture. Master coach Jack Daly has finally put the keys to building an incredible culture into his wonderful new book, Hyper Sales Growth: Street-Proven Systems & Processes; How to Grow Quickly & Profitably.

Management is often told to build a great culture, but do they really understand what it means to do so?

Daly clearly defines culture as the unique personality of your company--the people, the environment, the "feel." Great companies build it with intention, because, as Daly says: "You can't fake culture." Culture does more to bring great people in, keep them there, keep them happy, and keep them working longer and more productively than any other factor. Daly points out that to have a successful business you must create an environment where people want to go to work vs. have to go to work. Daly's motto: "Put the F word back in business. Make it FUN."

Daly rightly observes that many business leaders will design and articulate an ideal culture but never actually install the systems and processes needed to make sure it gets started and is upheld. Below are the four systems Daly says you need to build a killer culture.

1. Systems for Recognition

Daly explains that the people who work in your company should feel recognized and valued, from the very first day they start work. He suggests you should never start new people on a Monday, when things are unorganized and hectic. Instead, bring them in when things are humming and make their first day a day to remember.

With your existing staff, small but regular gestures go a long way. Recognizing milestones, achievements, and good efforts at any opportunity is sure to make someone feel valued and connected to the company. Recognition doesn't need to be expensive, but it needs to be personal. Make sure you tie your rewards as best you can to desired actions. As Daly says: "You get the behavior you recognize and reward." Imagine if today an outsider stood in front of your employees and asked, "By a show of hands, how many of you are overly recognized?" Put systems in place that ensure a full room of hands up.

If you can only do one thing differently tomorrow, Daly says: "Recognize the people you work with directly and win their hearts."

2. Systems for Communication

Many companies get by, day after day, without building specific communication systems. But as companies grow, this approach results in people problems and systemic breakdowns. A top complaint employees make in HR surveys is "I wish I knew more about what was going on."

Lack of consistent information breeds confusion, fear, and resentment. Daly advocates establishment of some simple systems of communication between management and employees that will get everyone on the same page. Teams and departments should check in daily. There should be larger monthly, quarterly, and annual check-ins. Establish policy and practice where bad or difficult news is proactively brought to the table. Daly preaches that the best policy is to shoot straight and don't spin. Most importantly he points out that everyone must learn to listen: "We've heard it often: two ears, one mouth, for a reason."

If you can only do one thing differently tomorrow, Daly says: "Shut down your inner voice and start being an active listener."

3. Systems for Personal and Professional Development

Daly says potential employees want to know why (besides a paycheck) they should come to work in your company and current employees need to know why should they stay. The best people see their careers as more than just salary and perks. They care about the overall experience they're going to have while working each day. They want the opportunities for growth and development that can only be fostered in a growth-oriented work environment.

Great employees want to become smarter and more productive in their careers. Their objectives are aligned with yours, so make the investment in them. Construct or pay for training that makes your employees better at their technical and people skills. Invest the time and money to cultivate your employees and you'll end up with skilled and loyal management that will happily expand the company for decades.

If you can only do one thing differently tomorrow, Daly says: "Discover the visions each of your employees have, and work to blaze a path for them."

4.  Systems for Empowerment

Daly explains how you can leverage the growth of your business by empowering your people. He stresses that a growing company needs active decision making by everyone, not just the CEO. But it's not as simple as telling people to make decisions. If they don't feel confident they have tools and authority, they will hold back and defer back up the ladder.

Daly says: "To truly empower your employees, you must create an environment where people feel comfortable making decisions, as if they were the owner." It's hard to build this empowerment all at once. If your culture is clearly defined and aligned, your people will know what action to take.

Every time you give over authority, your employees grow stronger. If they are rewarded for taking right action on their own, that behavior will expand. Put protective systems in place giving them the opportunity to fail safely so they can learn from error.

If you can only do one thing differently tomorrow, Daly says: "Give people power to succeed and fail on their own so they learn and grow."

VC Investment Hits 13-year High

money-tree

Venture capitalists invested $9.5 billion last quarter, the highest total since the dotcom doom's waning days.

FORTUNE -- No, it isn't your imagination: Venture capitalists are investing money at a faster clip than in any time since the final days of the dotcom boom.

VCs pumped $9.5 billion into 951 U.S.-based companies last quarter, which was the most money invested in any quarter since Q2 2001, according to MoneyTree survey data published today by PricewaterhouseCoopers, the National Venture Capital Association and Thomson Reuters (TRI). The dollar figure represents a whopping 57% increase over Q1 2013, while the deal number is nearly 4% higher (12% increase in dollars and 14% decrease in deals from Q4 2013). Or, put another way, average deal sizes are skyrocketing.

The quarter included nine rounds of $100 million or more, led by Dropbox's $325 million raise from back in January (a deal that may actually be a bit larger).

Not surprisingly, the leading industry sector was software with more than $4 billion invested. It was followed by biotech with $1.06 billion and media/entertainment with $743 million.

From a geographic perspective, California-based companies led the nation with a whopping $5.46 billion raised for406 startups ($4.6 billion of which was in Silicon Valley). Massachusetts placed second with $960 million raised by 88 companies, while New York had $754 million raised by 97 companies.

It's also worth noting that MoneyTree's reported VC investment pace over the past couple of years has easily outstripped VC fundraising (as reported by the NVCA and Thomson Reuters). But it really isn't an apples-to-apples comparison, because the investment reports include monies disbursed by non-traditional sources like T. Rowe Price and Fidelity (i.e., big later-stage players), while the fundraising stats don't account for those capital pools (only traditional GP/LP venture structures).

Growthink Client Dr. Kevin Forsythe - A Hero Entrepreneur!

One of the great things about Growthink are the amazing and inspirational clients we work with, especially in the healthcare space. Dr. Kevin Forsythe of the Oregon Urology Institute is a real entrepreneurial hero - in addition to having a full-time workload as a radiation oncologist and a young family, Kevin in his "spare time" is working on cutting edge treatments and tools for prostate and breast cancer.  Quick Facebook shoutout to Kevin and to the dozens of amazing healthcare-focused entrepreneurs that make our world a healthier, happier place.

EDGY Conversations: The Blunt Interview with Dan Waldschmidt


Dan Waldschmidt is an international business strategist, speaker, author, and extreme athlete.  His consulting firm solves complex marketing and business strategy problems for savvy companies all over the world. Dow Jones calls his Edgy Conversations blog one of the top sales sites on the internet. He’s been profiled in Business Week, INC Magazine, BBC, Fox News, The Today Show, and Business Insider, has been the featured guest on dozens of radio programs, and has published hundreds of articles on progressive business strategy. He is author of Edgy Conversations: How Ordinary People Achieve Outrageous Success. 

Dan was recently interviewed by Luke Brown, Engagement Partner with the investment banking firm Growthink. Dan isn't your ordinary business guy and this isn't your ordinary interview.

Q.  Your book has the most powerful first page most people will ever read.
Why start your book with those 13 words?

I wanted to be honest with the reader. Often books about motivation or inspiration are about how the author made millions of dollars at a very early age and had no problems for the rest of their life. I wanted to share a story that was grittier -- a little more realistic. Frankly, most of us have challenges in our lives that feel all encompassing. An honest book about success should start with the idea of the hopelessness that we all feel from time to time. 

Q. You tell stories of people who simply refused to accept society’s limitations or who overcame tremendous challenges. How does resourcefulness tie into success?

We learned from studying these ordinary people that success is less about the resources you have and more about how resourceful you are. When you can fall back on family money or on your Ivy League credentials, you are often less creative than when you feel like you are boxed into a corner. There is nothing wrong with having a great education or access to lots of money, but it is when we feel pressured by not having those resources that we often perform at our best. 

Q. You’re part of a monthly sales master-mind group. How could this type of group benefit most business owners?

All of us need a little help. One of the first pieces of advice that I share with CEOs of billion dollar companies is that if they don't already have a therapist they should get one. The most important part of being successful in business is being successful at keeping your mind straight. That doesn't come naturally to all of us. Sometimes you need someone who's “got your back”. When you are sick you go to the doctor. When you want to lose weight you hire a fitness trainer. The same is true for fixing what's broken with business. It's crazy not to get the help you need. 

Q.  Your philosophy of success is quite different from most people. What would you say to someone who would challenge your thought process?

Who cares what I think about success? Frankly, I'm already successful. I will continue to be successful. The real question to any of us is: “Are you were successful as you want to be?” If you're not then you need to start questioning what you're doing -- and more importantly your philosophy for achieving success. Whether you adopt some nugget of truth from something I've shared in the book or uncover your own nugget for achieving success, the introspection behind that struggle is wildly important for getting to where you want to be. 

Q. You work with companies who can afford six-figure consulting bills. What’s the difference between the advice they get and the advice you’d give a start-up or early-stage growth company?

Not much difference at all. The terminology might be different and the number of zeros behind the strategy might be different -- but the same core philosophy for being extreme, disciplined, giving and human stay the same. The results can catapult a startup to wild success and can transform a bulky billion dollar enterprise into a fast moving industry juggernaut. 

Q. Many companies seek you out because they’re looking for different answers than they might usually get. What’s the most common challenge these companies face?

Almost every business challenge that we face is rooted in people problems and evidenced by a revenue problem -- people with skills lacking the will to do what is necessary to fix fixable problem. The consequences of not fixing these problems are stagnant revenue growth, high turnover, and an inability to be profitable. 

Q. You’ve faced and conquered many personal challenges. What was your most difficult business challenge?

My biggest challenge has it always been figuring out what I want to do with the rest of my life. I tend to be mission-driven rather than driven around a specific long lasting goal. Making lots of money isn't a huge motivator for me anymore. I want to change the world. That's so big and scary that living it requires lots of focus and attention to the details. I can find myself wasting time and emotion on things that don't matter. I try to have a sincere one-on-one with myself at least once a week to make sure I'm investing and things that'll be proud of later. 

Q. You were generous enough to donate your book to the students in my class at USC. What’s your advice for college students who want to become entrepreneurs?

It is the best ass whooping you'll ever get in life. You’ll sweat and cry and bleed and conquer -- all at the same time. The journey of an entrepreneur is a wild roller coaster ride of emotion. The lessons that you learn along the way will make you a better person. When you're a better person life is better. 

Q. It’s unusual to mention love in a book about success. Why is this so important for you to mention?

Love is transformational. Most business leaders who call me are looking for transformational business results. To leave out the one thing that can make that happen most assuredly seems like fraudulent behavior for an author. It's easy to label love as something that's “touchy feely” and relegated to your personal life. When you start to understand the power of love to engage prospects, increase wallet share with existing customers, and drive industry differentiation, you understand the secret to mind blowing success -- just love people. They will love you back. 

Q. What do you want your legacy to be?

I want to be like one of the thousand people that we interviewed. An ordinary dude that achieves outrageous success. That will be enough for me.

www.edgyconversations.com

www.danwaldschmidt.com

The Heartbleed Hit List: The Passwords You Need to Change Right Now

From Mashable

An encryption flaw called the Heartbleed bug is already being called one of the biggest security threats the Internet has ever seen. The bug has affected many popular websites and services — ones you might use every day, like Gmail and Facebook — and could have quietly exposed your sensitive account information (such as passwords and credit card numbers) over the past two years.

But it hasn't always been clear which sites have been affected. Mashable reached out some of the most popular social, email, banking and commerce sites on the web. We've rounded up their responses below.

Some Internet companies that were vulnerable to the bug have already updated their servers with a security patch to fix the issue. This means you'll need to go in and change your passwords immediately for these sites. Even that is no guarantee that your information wasn't already compromised, but there's also no indication that hackers knew about the exploit before this week. The companies that are advising customers to change their passwords are doing so as a precautionary measure.

Although changing your password regularly is always good practice, if a site or service hasn't yet patched the problem, your information will still be vulnerable.

Also, if you reused the same password on multiple sites, and one of those sites was vulnerable, you'll need to change the password everywhere. It's not a good idea to use the same password across multiple sites, anyway.

We'll keep updating the list as new information comes in. Last update: April 10, 8:25 p.m. ET

Social Networks

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

Facebook

Unclear

Yes

YesYes

"We added protections for Facebook’s implementation of OpenSSL before this issue was publicly disclosed. We haven’t detected any signs of suspicious account activity, but we encourage people to ... set up a unique password."

Instagram

Yes

Yes

YesYes

"Our security teams worked quickly on a fix and we have no evidence of any accounts being harmed. But because this event impacted many services across the web, we recommend you update your password on Instagram and other sites, particularly if you use the same password on multiple sites.”

LinkedIn

No

No

No

"We didn't use the offending implementation of OpenSSL in www.linkedin.com or www.slideshare.net. As a result, HeartBleed does not present a risk to these web properties."

Pinterest

Yes

Yes

YesYes

"We fixed the issue on Pinterest.com, and didn’t find any evidence of mischief. To be extra careful, we e-mailed Pinners who may have been impacted, and encouraged them to change their passwords."

Tumblr

Yes

Yes

YesYes

"We have no evidence of any breach and, like most networks, our team took immediate action to fix the issue."

Twitter

No

Yes

Unclear

Twitter wrote that OpenSSL "is widely used across the internet and at Twitter. We were able to determine that [our] servers were not affected by this vulnerability. We are continuing to monitor the situation." While reiterating that they were unaffected, Twitter toldMashable that they did apply a patch.

Other Companies

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

Apple

No

No

No

"iOS and OS X never incorporated the vulnerable software and key web-based services were not affected."

Amazon

No

No

No

"Amazon.com is not affected."

Google

Yes

Yes

YesYes*

“We have assessed the SSL vulnerability and applied patches to key Google services.” Search, Gmail, YouTube, Wallet, Play, Apps and App Engine were affected; Google Chrome and Chrome OS were not.

*Google said users do not need to change their passwords, but because of the previous vulnerability, better safe than sorry.

Microsoft

No

No

No

Microsoft services were not running OpenSSL, according to LastPass.

Yahoo

Yes

Yes

YesYes

"As soon as we became aware of the issue, we began working to fix it... and we are working to implement the fix across the rest of our sites right now." Yahoo Homepage, Yahoo Search, Yahoo Mail, Yahoo Finance, Yahoo Sports, Yahoo Food, Yahoo Tech, Flickr and Tumblr were patched. More patches to come, Yahoo says.

Email

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

AOL

No

No

No

AOL told Mashable it was not running the vulnerable version of the software.

Gmail

Yes

Yes

YesYes*

“We have assessed the SSL vulnerability and applied patches to key Google services.”

*Google said users do not need to change their passwords, but because of the previous vulnerability, better safe than sorry.

Hotmail / Outlook

No

No

No

Microsoft services were not running OpenSSL, according to LastPass.

Yahoo Mail

Yes

Yes

YesYes

"As soon as we became aware of the issue, we began working to fix it... and we are working to implement the fix across the rest of our sites right now."

Stores and Commerce

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

Amazon

No

No

No

"Amazon.com is not affected."

Amazon Web Services(for website operators)

Yes

Yes

YesYes

Most services were unaffected or Amazon was already able to apply mitigations (see advisory note here). Elastic Load Balancing, Amazon EC2, Amazon Linux AMI, Red Hat Enterprise Linux, Ubuntu, AWS OpsWorks, AWS Elastic Beanstalk and Amazon CloudFront were patched.

eBay

No

No

No

"eBay.com was never vulnerable to this bug because we were never running a vulnerable version of OpenSSL."

Etsy

Yes*

Yes

YesYes

Etsy said that only a small part of its infrastructure was vulnerable, and they have patched it.

GoDaddy

Yes

Yes

YesYes

"We’ve been updating GoDaddy services that use the affected OpenSSL version." Full Statement

Groupon

No

No

No

"Groupon.com does not utilize a version of the OpenSSL library that is susceptible to the Heartbleed bug."

Nordstrom

No

No

No

"Nordstrom websites do not use OpenSSL encryption."

PayPal

No

No

No

"Your PayPal account details were not exposed in the past and remain secure." Full Statement

Target

No

No

No

"[We] launched a comprehensive review of all external facing aspects of Target.com... and do not currently believe that any external-facing aspects of our sites are impacted by the OpenSSL vulnerability."

Walmart

No

No

No

"We do not use that technology so we have not been impacted by this particular breach."

Banks and Brokerages

All the banks we contacted (see below) said they were unaffected by Heartbleed, but U.S. regulators have warned banks to patch their systems.

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

Bank of America

No

No

No

"A majority of our platforms do NOT use OpenSSL, and the ones that do, we have confirmed no vulnerabilities."

Capital One

No

No

No

"Capital One uses a version of encryption that is not vulnerable to Heartbleed."

Chase

No

No

No

"These sites don’t use the encryption software that is vulnerable to the Heartbleed bug."

Citigroup

No

No

No

Citigroup does not use Open SSL in "customer-facing retail banking and credit card sites and mobile apps"

E*Trade

No

No

No

E*Trade is still investigating.

Fidelity

No

No

No

"We have multiple layers of security in place to protect our customer sites and services."

PNC

No

No

No

"We have tested our online and mobile banking systems and confirmed that they are not vulnerable to the Heartbleed bug."

Schwab

No

No

No

"Efforts to date have not detected this vulnerability on Schwab.com or any of our online channels."

Scottrade

No

No

No

"Scottrade does not use the affected version of OpenSSL on any of our client-facing platforms."

TD Ameritrade

No

No

No

TD Ameritrade "doesn't use the versions of openSSL that were vulnerable."

TD Bank

No

No

No

"We're currently taking precautions and steps to protect customer data from this threat and have no reason to believe any customer data has been compromised in the past."

U.S. Bank

No

No

No

"We do not use OpenSSL for customer-facing, Internet banking channels, so U.S. Bank customer data is NOT at risk."

Wells Fargo

No

No

No

No reason provided.

Government and Taxes

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

1040.com

No

No

No

"We're not vulnerable to the Heartbleed bug, as we do not use OpenSSL."

FileYour Taxes.com

No

No

No

"We continuously patch our servers to keep them updated. However, the version we use was not affected by the issue, so no action was taken."

H&R Block

Unclear

No

Unclear

"We are reviewing our systems and currently have found no risk to client data from this issue."

Healthcare .gov

No

No

No

"Healthcare.gov consumer accounts are not affected by this vulnerability."

Intuit (TurboTax)

Yes

Yes

YesYes

Turbotax "has examined its systems and has secured TurboTax to protect against the “Heartbleed” bug." Full Statement

IRS

Unclear

Unclear

Unclear

"The IRS continues to accept tax returns as normal ... and systems continue operating and are not affected by this bug. We are not aware of any security vulnerabilities related to this situation."

TaxACT

No

No

No

"Customers can update their passwords at any time, although we are not proactively advising them to do so at this time."

USAA

Yes

Yes

YesYes

USAA said that it has "already taken measures to help prevent a data breach and implemented a patch earlier this week."

Other

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

Box

Yes

Yes

YesYes

"We're currently working with our customers to proactively reset passwords and are also reissuing new SSL certificates for added protection."

Dropbox

Yes

Yes

YesYes

On Twitter: "We’ve patched all of our user-facing services & will continue to work to make sure your stuff is always safe."

Evernote

No

No

No

"Evernote's service, Evernote apps, and Evernote websites ... all use non-OpenSSL implementations of SSL/TLS to encrypt network communications."Full Statement

Hulu

Unclear

Unclear

Unclear

GitHub

Yes

Yes

YesYes

GitHub said it has patched all its systems, deployed new SSL certificates and revoked old ones. GitHub is asking all users to change password, enable two-factor authentication and "revoke and recreate personal access and application tokens."

IFTTT

Yes

Yes

YesYes

IFTTT emailed all its users and logged them out, prompting them to change their password on the site.

Minecraft

Yes

Yes

YesYes

"We were forced to temporary suspend all of our services. ... The exploit has been fixed. We can not guarantee that your information wasn't compromised." More Information

Netflix

Unclear

Unclear

Unclear

"Like many companies, we took immediate action to assess the vulnerability and address it. We are not aware of any customer impact."

OKCupid

Yes

Yes

YesYes

"We, like most of the Internet, were stunned that such a serious bug has existed for so long and was so widespread."

SoundCloud

Yes

Yes

YesYes

SoundCloud emphasized that there were no indications of any foul play and that the company's actions were simply precautionary.

Spark Networks (JDate, Christian Mingle)

No

No

No

Sites do not use OpenSSL.

SpiderOak

Yes

Yes

No

Spideroak said it patched its servers, but the desktop client doesn't use a vulnerable version of OpenSSL, so "customers do not need to take any special action."

Wordpress

Unclear

Unclear

Unclear

Wordpress tweeted that it has taken "immediate steps" and "addressed the Heartbleed OpenSSL exploit," but it's unclear if the issue is completely solder. When someone asked Matt Mullenweg, WordPress' founding developer, when the site's SSL certificates will be replaced and when users will be able to reset passwords, he simplyanswered: "soon."

Wunderlist

Yes

Yes

YesYes

"You’ll have to simply log back into Wunderlist. We also strongly recommend that you reset your password for Wunderlist."Full Statement

Password Managers

Was it affected?

Is there a patch?

Do you need to change your password?

What did they say?

1Password

No

No

No

1Password said in a blog post that its technology "is not built upon SSL/TLS in general, and not upon OpenSSL in particular." So users don't need to change their master password.

Dashlane

Yes

Yes

No

Dashlane said in a blog post users' accounts were not impacted and the master password is safe as it is never transmitted. The site does use OpenSSL when syncing data with its servers but Dashlane said it has patched the bug, issued new SSL certificates and revoked previous ones.

LastPass

Yes

Yes

No

"Though LastPass employs OpenSSL, we have multiple layers of encryption to protect our users and never have access to those encryption keys." Users don't need to change their master passwords because they're never sent to the server. But passwords for other sites stored in LastPass might need to be changed.