Simon used the test tube first and he shared his idea with me.

A simple game.

Put a marble in the test tube each time you win.

What’s the definition of a win?

It doesn’t matter.

Of the accountancy firms I work with here’s three ideas now in full swing with the test tube and the marbles:

- a referral request is made = a marble goes in.

This firm is increasing the number of referrals they get so they grow their firm

- a tax return is done = marble goes in.

This firm is reducing the January glut of tax returns

- a big rock is achieved = marble goes in (I’ll explain big rocks in my next blog next week)

When the test tube reaches quarter full it’s open-the-quality-street-tin time! 

Half full and its pizza time!

Three-quarter full it’s a 4pm finish and straight to the pub. 

Completely full and we’re having the afternoon off!

Make up the rules of your game…

Your rules depend on the one focus you want from your team and how generous the reward/recognition should be (NB avoid cash – if you want to know why read chapter 7 of Sway by Ori and Rom Brafman).

You could avoid the game and simply track performance as a personal or team KPI – hopefully you can already see or sense this (normal approach) is short of energy, passion or fun.

It pays off to play a game!

So what’s going on to make these marbles and test tube games work?

And they do work – I’ll prove it in next week’s blog…

1. It’s a game and people (your people) like games. They like games because it’s a chance to score goals and win – both as individuals and as a team. And most people prefer winning to losing!

2. Marbles in test tubes are noisy – it’s blatantly obvious to all present when a marble goes into the tube! The game is visual, it’s physical it’s not just mental

3. The tube is huge! The working environment has changed to accommodate the tube and the marbles. And with environment change often comes stronger performance towards the results you want

4. Team scepticism is soon dashed when the game starts

5. A weekly check in on game progress provides a way of performance managing the issue in focus – the problem you want fixing – the opportunity you want to realise

When Michael Gerber (of E-Myth fame) asks his audiences

“How do you get your people to do what you want them to do?”

He answers his own question with

“You can’t! You can only create a game they want to play.”

Get yourself some marbles and a test tube and create a game for your firm! And read the next blog…

Paul Shrimpling

PS If you have examples of other games working in your firm please share them by commenting on this blog

PPS If you want to buy a test tube to kick-start a game in your firm go here

The garish cartoon below reminded me of Aristotle!

It was Aristotle who suggested:

“We are what we repeatedly do. Excellence, then, is not an act, but a habit.”

So the quote below – “excellence in excellence” (see pic) – is about installing great habits in your firm.

And because this hints at raising the bar habitually in your firm, it hints at raising standards. And raising standards is suggested as a source of up 40% improvement in bottom-line results according to a comprehensive study by David Maister in his book ‘Practice What You Preach’

Every step you take towards raising the bar in your firm improves the likelihood of you raising your profits and profit growth. Which of course improves the capital value of your firm. 

How big an improvement in your team’s perception of standards should you aim for?

Only 10-15%.

Maister’s research suggests a 10-15% improvement will generate the 40% gain in financial performance.

How can that be?

Because when you raise your standards, employee satisfaction will increase and your firm’s performance on quality and client relationships will improve too (according to Maister’s findings). And these two issues help drive the results in your firm (according to Maister and according to common sense too!)

“Excellence in excellence” is a worthwhile goal it seems?

And it seems a relatively small gain (10-15%) will generate a relatively large upside (40%).

Go for it!

Paul Shrimpling

PS if you want to learn more about the artist of the cartoon go here

Author of the free report ‘the 7 big mistakes accountants make and how you can avoid them’

I’m obsessed with helping firms of accountants run a better business – this means growing your firm’s profits. This means keeping all your valuable clients and winning new valuable clients.

Are you serious about growing profits?

Let’s see…

Back in 2008 I ran a workshop for all the partners in the firms of accountants I consult with. The workshop  – held in a lovely little hotel by the river Derwent – was focussed on challenging these firms on the way they deliver value for money for their business owner customers.

Looking back, what stood out as the shining insight of the day was the need to establish crystal clarity on what your business owner customers’ expectations are. It still occupies my mind to this day because there’s so much to be gained from this important insight if you only put it to work in your firm. It’s worth revisiting now…

This blog is about your firm’s processes for capturing, recording and exceeding your clients’ expectations.
Why are expectations so important?

1. Because only your clients can determine whether they receive value for money or not
2. The value they receive is determined by the expectations they have before you start

Whether your client’s expectations are high or low, if you under-perform then value is below their expectations. This situation will prompt your client to question whether your price is too high and maybe even choose another accountant.

If their expectations are met (not exceeded, just met) then they might feel OK about the value received. They may not question the price, they may not consider other accountancy offers. But they might! They might consider alternative firm’s because you only just delivered on their expectations. You were nothing special. However…

…when you exceed their expectations (whether they are high or low)they feel as though they received a wonderful deal and happily use you again and even recommend you to others. It’s unlikely other firms will get a look in and so you’ll secure their business for another year and lock in the GRF and their goodwill value to your firm. You keep them. You also increase the chances of them recommending you to other business owners and as a result grow your firms fees and profits.

Jan Carlson in his book (moments of truth) about his transformation of Scandinavian Airlines captured this insight best when he described three customer experiences:

1. Miserable – expectations were not met
2. Neutral – expectations were met
3. Magical – expectations were exceeded

IMPORTANT: Jan Carlson took over the reins of Scandinavian Air at a time when the airline was suffering an $8 million loss and turned it around to a $71 million profit within one year. You interested in expectations now?

Here’s the rub…

If you don’t know what your clients’ expectations are how can you even think you can give them a magical experience?

So what is your firm’s process for identifying, capturing and recording your clients’ expectations every year?
Focussing on your A-class clients first, does this help?

1. Add ‘expectations for next year’ to your pre-year-end client meeting agenda (add it to your post year-end meeting if you aren’t having pre-year end meetings)

2. And then have a discussion about the 9 things David Maister et al suggests you talk about in the book ‘The Trusted Advisor’ in your pre-year-end meetings

   a. Clearly articulate what you will and will not do
   b. Clearly articulate what the client will and will not do
   c.  Define the boundaries of the analyses you will perform
   d. Check with the client about areas and people with whom the client does not want you to be involved
   e. Identify precise working arrangements
   f. Agree on methods and frequency of communicating
   g. Decide who should get which reports, how often those reports will be delivered and how they will be used
   h. Decide what milestones and progress reviews are needed
   i. Decide how success will be measured, both during and at the end of the process

OK I know this looks onerous, but…

…continue with no expectations processes and you’ll continue to run the risk of losing valuable clients because you do not exceed their expectations. You’ll also continue to be challenged on price. And you’ll be missing out on positive word-of-mouth recommendations to grow your firm.

Decisions, decisions!

IMPORTANT: According to Jan Carlson, Moments of Truth are those critical times when a customer forms an impression of you, deciding whether your offerings and their standards see eye-to-eye.  The moment you start discussing expectations is a jugular moment of truth don’t you think?

Time to install your ‘expectations for next year’ processes?

Let me know your reaction and thoughts on this important subject will you?

Paul Shrimpling

www.remarkablepractice.com

Hello,

INSPIRING you is the goal of this page… and this very short video can’t not inspire you!

Staying on top of your game is an important, if not jugular, part of leading a firm of accountants, don’t you think?

Drop off top-form and you will negatively influence your team, your customers and even your family.

Such a negative influence can and will have an impact on your results, your profits. At it’s worse you can set off on a downward spiral. A spiral that’s hard to break, so do you…

…accept that your self-belief, your confidence, your enthusiasm helps determine your future success?

I think so too. 

Because it’s your job to lead, it’s your job to inspire those around you to perform.

Sometimes it is hard to inspire. Sometimes it’s very hard. Particularly when you yourself are less than inspired yourself. And when it’s hard you need what the NLP experts call a pattern interupt.

I received just such a pattern interupt last night from one of my team (thanks Karen) – an inspirational pattern interupt.

And you know what? Inspiration comes in all shapes and sizes – wait till you see this one!

As a business leader in your community it’s vitally important you stay inspired, wired, up-for-the-cup.

This 4 minute youtube video dragged me out of the frustrataion, impatience and dissapointment I was feeling about some technology issues, some project frustrations and a cock-up I made!

I’ll be revisiting this four minute video often when I’m feeling less than top-form.

What about you?

Enjoy the next 4 minutes

http://www.youtube.com/watch?v=Gc4HGQHgeFE

Paul Shrimpling

You and I both know there’s power in setting goals…

There’s clarity in setting goals.

There’s focus in setting goals.

But what sort of goals?

There’s a very strong argument to suggest financial (money) goals are self-defeating. They undermine your future performance. Sounds weird I know…

I recently read a wonderful piece by Roy H Williams (AKA the Wizard Of Ads). Here’s Roy’s argument against money/cash/profit targets or goals or objectives:

“Money fails as a compass because it can be found in every direction. Guiding directives and unifying principles are never merely financial.” 

If stacks of cash is your only goal you’re likely to be distracted at every turn. As Roy puts it:

“You can’t navigate a ship by studying the wind and waves. Fix your gaze on your goal, a non-negotiable, fixed position that can never change. Let that be your lighthouse, your reference point, your North Star.”

At just short of 460 words Roy’s article is well worth the reading time. IT’S HERE.

Certainly if you leave port without a fixed port of call to aim for you’ll be at the beck and call of the wind and sea. By definition monetary targets alone are not a good compass.

So…

Achieving crystal clarity on your firm’s future (vision) and your firm’s operating principles (values) provides an ADDITIONAL and powerful compass to guide your firm. Getting the buy-in from your key players also has a big part to play.

How would you describe your lighthouse guiding your behaviour and your team’s behaviour? What are the ‘directives and unifying principles’ steering your ship?

…then look at raising the eyebrows of your clients!

It’s not surprising to discover the three most effective ways of getting new clients (based on the successes I’ve seen across 19 firms in 2009) are:

1. Referrals from existing clients

2. Referrals from influencers (bankers, solicitors, IFA’s etc)

3. Events

The number one source being referrals from existing clients. And if it’s not the number one source in your firm it should be!

Why?

Because only when you get referrals from your clients do you know they are truly happy – and a very well researched article at wikipedia agrees. The article suggests the willingness of your clients to refer is the only true judge of client loyalty!

Also…

When you do everything possible to encourage client loyalty they are more likely to stay – and I’m guessing the last thing you want is to be finding new clients whilst watching old established clients leave your firm?

So how do you raise the eyebrows of your clients (in a good way)?

Simply exceed your clients’ expectations!

The better you get at managing client expectations and exceeding their expectations the more likely you’ll see them raise their eyebrows. And the more likely you are to keep all your clients and all your existing fees. Plus your clients are more likely to refer you to others they know.

No rocket science here I’m afraid – BUT WHY IS IT RARELY APPLIED BY ACCOUNTANCY FIRMS?

Mainly because their definition of accountancy does not clearly focus on the expectations of clients. Instead firms focus on getting the technical work done.

And yes the technical work must get done, and get done well.

However the stuff your A-class clients value the most is the interaction they have with you, their accountant. The quality of the relationship you have with your clients makes a massive difference! Have you ever asked them what their expectations are around speed of response, speed of delivery, interpretation and guidance, how often they’d like to hear from you?

Interpretation, explanation, guidance and support is what matters most to your clients – not the technical detail of a set of accounts.

OK, I know!…

                  …you’ve heard it all before…

                                                           …It’s just that I’m stunned by the lack of commitment towards processes that manage, improve and stimulate the relationship between most accountancy firms and their clients.

Whenever the firms I work with apply some science to staying in touch with their most valuable clients they amazingly hang on to clients they would otherwise have lost. PLUS they start a flow of referrals that previously seemed unlikely (if not impossible)! A conversation yesterday included this comment from a managing partner we’ve been working with:

“One of my clients now realises I am serious about getting new business through recommendations from him (because I’ve asked him several times in the last 6 months). He has recently introduced me to two valuable and very warm prospects.”

You don’t say!

What am I advocating?

Create processes to manage, improve and stimulate a better relationship between you and your clients (including one linked to client expectations). Coupled with processes asking for referrals and recommendations. Simple stuff.

Vive la revolution!!!

1. The starting point I suggest is improve the relationship – improve your conversations:

Work out what matters most to your clients and then deliver on it.

1. Ask them what matters most. And I suggest you work on discussing three aspects of their experience of working with your firm – timing expectations – and technical work expectations – and relationship expectations

2. Capture client expectaions. Yes write them down! And then share them with your team and work out how you at least deliver on their expectations – although you might be wise to do what you can to exceed their expectations slightly (start by only focussing on your top 20% clients to make this project more achievable)

3. Do the work necessary to exceed their expectations

No rocket science. Just simple, solid process improvement aimed at raising your clients’ eyebrows (in a good way).

2. Next. Work out several (at least five) processes to capture recommendations from your clients and put them to work systematically  

Customer feedback processes should be a source of recommendations. Events too can generate leads (we got 17 from a recent event in Lancashire). LinkedIn can be tool that generates referrals too. Your client contact programme can and should also generate referrals. What about a wow process for new clients with a focus on getting referrals early. And what about joint lunches with clients and bank managers? More on referrals processes in a future article.

How else can accountants ‘raise the eybrows’ of their clients? Feel free to comment on this article and ask any questions that bug you or you want to resolve.

Happy hunting!

Paul Shrimpling

PS You can see this article on AccountingWeb http://www.accountingweb.co.uk/topic/practice/how-grow-your-fees-2010/399281

The latter half of 2009 had me experimenting with twitter, facebook and linkedin to see what it can do to support the marketing efforts of accountants.

LinkedIn seems to have the most potential and given it has become one of the most successful sources for recruiting team members in the states – chances are the same will happen here.

And twitter has given me this brilliant little article on ten technologies to watch in 2010 - an article you might want to share with your list of customers too?

I’m still formulating my thoughts and on the hunt for sites, info and materials to help reach my conclusions – just reading a brilliant book ‘six pixels of seperation’ which is providing some powerful insights – I’ll be reporting back on this stuff during 2010 and suggesting ways you fold these into the ideal marketing model for accountants.

Good hunting in 2010

Paul Shrimpling

In November 2009 I enjoyed the great privelege of interviewing Michael Heppell about two of his fantastic books – ‘FlipIt’ and ‘How to be brilliant’.

In our discussion Michael raved on about how good the Chris Evans autobiography was as a business and self-development book. So I was delighted when my mum bought me a copy for Christmas! Aren’t mum’s great?

I’m only a few pages in but Michael is right – it is a great read (so far) and has prompted the use of my highlighter already!

This quote stood out as a perfect focus for 2010. What do you think?

“Ultimately I look back and see a minefield of huge risks and high stakes in all aspects of my life, some of which went my way, some of which did not, but most of which I didn’t have to take in the first place, yet I still felt compelled to do so. Barring physical, mental and social disadvantages, I think this is the single most  common theme that links people who might be more  likely to exceed their so-called ‘expectations’ as opposed to those who don’t”

I had to read it three times to get it fully (my first day back after a two week break!), glad I did.

You may be contemplating some decisions and actions in 2010. Decisions and actions you don’t have to make but feel compelled to do so. If you do feel compelled then Chris’ insight should hopefully give you some strength and resolve.

I wish you remarkable success in 2010.

Paul Shrimpling

PS You don’t have to read good books but may feel compelled to try one or more of the three mentioned in this blog (just click the links above).

PPS If you want to hear one of the interviews with Michael Heppell (It’s completely FREE) simply click this link now to get your copy of the interview – it’s definitely worth a listen

Living the values of your firm can get lost in the melee of running your firm.

But it doesn’t have too.

You’ll find a valuable article on accounting web describing how one firm has made a difference to all the stakeholders in their firm by living their values and by being creative at Christmas. They have positively made a difference to all the stakeholders in their firm:

- customers are involved and feel part of something meaningful

- team members are involved and feel they are doing something worthwhile

- and their community are involved too by involving a local special needs school and sending a message to our troops on active duty

The article starts…

The festive season is a great time for practice managers to make a difference not just for charity, but also for their clients and teams, advises Paul Shrimpling.

Living the values of your firm can bring a focus to what’s possible. It can bring something extra-ordinary.

Here’s an example worthy of your attention: Mitten Clarke is a successful practice in Stoke on Trent and Congleton. The practice is driven by delivering customer experiences that are seen as ‘a breath of fresh air’ to its customers and team. This ‘breath of fresh air’ approach might not sound unusual, but it is.

It is unusual.

In my experience of working with many firms over many years, it is rare to find a firm seriously committed to the firms values. How clear are you about what your firm’s values actually are?

Here’s the full article if you want to learn more…

http://www.accountingweb.co.uk/topic/practice/accountants-offer-christmas-inspiration

So why don’t you?

Because if you could you would wouldn’t you?

What I mean is:

If you could choose to be successful you would wouldn’t you?

If you could choose to be happy you would wouldn’t you?

So why don’t you?

According to Michael Heppell you need to master just one skill.

The skill he calls:              FLIP IT!

I recently interviewed Michael and in just 18 light-hearted minutes he explained how this one skill can transform my results, my approach and my enjoyement. I think you’ll enjoy it and find it both practical and inspiring.

To listen to the interview click here and download the MP3 file

What will you find in the interview?
- Flip your mind set so that you turn difficulties into solutions
- Michael talks about how your problems are just answers in disguise
- How every problem you face can be creatively flipped using a simple ‘linking’ process to generate the solution you seek
- How challenging your habits creates new and powerful experiences
- And which of these two questions – ‘WHY?’ or ‘HOW?’ – would win in a boxing match!
- Plus how a UK hotel beat all the worlds hotels to be crowned the best customer service hotel in the world

I’m honoured Michael was happy to give this interview – click here and download the MP3 file

Why don’t you Flip-It?

Paul Shrimpling