People + Process = Performance

Author Archive for: eldoner


Added Value or Value Added

Is there a difference? Probably not. The message marketers are sending is the same: They are trying to convince you that you’re getting more than you expect for what you’re going to pay.  Both consumers and business buyers want ‘bang for the buck’ and everyone appreciates something extra without spending more.

First, let’s define value. Value is a perception of what a product or service is worth to buyers at a particular point in time. This perception is driven by needs and wants; buying motivation.  For example, a First-Aid kit is probably worth more when you’re bleeding than when you’re not. And if you’re dying of thirst, you’re probably not going to try to negotiate the

price of a bottle of water. Value establishes what the market is willing to pay and helps explain why consumers flock to buy highly anticipated or

promoted items (think iPhone 7) – and even pay more than MSRP when those products are in short supply.  It also explains why you can find slow-moving products at deeply reduced prices (think BIG LOTS).  It’s all a matter of market value.

The first step in selling value added is to define value in the buyer’s terms [1]. Then decide what you want to add to the basic product or service to give buyers more than they expect.

Lagniappe [lan-yap] is a great term that originated in Cajun country. It means ‘something extra’ – a small gift given to the customer with a purchase as a compliment – an unexpected benefit.  I’m reminded of when I bought my first set of Cooper Zeon high-performance tires; not only did the dealer give me a great price, he gave me a free beautifully embroidered Cooper Tires baseball cap!

Value can also be added at different stages in the manufacturing or distribution process. Steel service centers add value by cutting, shaping and finishing raw steel into sheets or bars used by manufacturers. These materials have greater value to buyers because they save them time and money compared to dealing with huge coils from the steel mill. Tech companies and professional service providers add value by giving customers access to special features, information and updates through downloads, conferences, forums and blogs like this one you are reading.

Added value is something customers get without incurring additional cost. Bundling is a great example that combines different products into a single purchase – at an overall lower cost than if each product were purchased separately.  Others are:  ’Buy 3 tires and get the 4th tire free’, ‘Order by 5 pm and get free shipping’ or “We pay the Sales Tax”.

Value Added or added value describes the feature, benefit or advantage – something extra –added to a basic product or service. You can add value by enhancing the appearance, serviceable life or ease of use of your product or service. Taking steps to change, improve or increase a product’s value will make it more accessible to a greater number of buyers’ needs. If your product provides
customers with an advantage that enhances their business system – and improves the output of their business – then you have added value.[2]

And here’s a point to remember: Don’t subtract value – I’ll cover this topic in another blog.

[1] Value Added Selling Techniques by Thomas P. Reilly, Motivational Press, St.Louis, MO, 1987.

[2] Managing for Value by Bernard C. Reimann, The Planning Forum, Oxford, OH, 1987.


What Entrepreneurs Need to Learn about Company Culture

I was talking with a colleague recently about organizational culture, and how critical it is for startups and emerging companies to create a culture where employees want to work. We also discussed the fact that many small business owners and leaders don’t know how to build and sustain a company culture in which employees are likely to contribute and thrive.

Startups can emulate Google and other tech giants: provide free snacks, hold poof ball tournaments and bring pets to work – but there is far more to creating a productive and happy workplace that attracts and keeps top talent.

Often, in the drive to secure funding, roll out products, and gain social media attention, founders overlook important, fundamental issues that can lead to problems. Likewise, many small and medium-sized company owners are so involved working ‘in the business’ that they fail to work ‘on the business’. Here’s a short list of proven principles (are these still taught in business schools?):

  1. Be absolutely clear on what you expect. Don’t leave employees guessing about what you want them to do.
  2. Treat people fairly. Favoritism breeds contempt, not loyalty.
  3. Let them know how they are doing; “Catch them doing something right” (Johnson, 1982).
  4. Praise in public, criticize in private – enough said.
  5. Families matter. Enable employees to stay home with sick kids, keep medical appointments, drive them to school and attend daytime events.
  6. Create and follow consistent employment practices for: Recruiting and Selection, Onboarding, Training and Coaching and Managing Performance.
  7. Demonstrate transparency: Let everyone know how the company is doing both in good times and bad.

There are many books on culture and several helpful surveys and tools to transform organizations. What is lacking is consistent, effective execution. Small things can make a big difference. Heed the words of the late, great business philosopher, Jim Rohn, who often said: “Don’t let your learning lead to knowledge… make it lead to action!”

Take the first step by requesting a copy of ‘Critical Actions to Sustain Performance’ a free, handy, color chart that lists 18 steps to positively affect company culture. To discuss how to transform your culture, contact Eric by phone at 408-476-1233, by email: or on the web

Eric Doner is a nationally recognized author, speaker and consultant on human workplace performance. He is the founder and President of AchieveCorp, a national firm that provides consulting, tools and training to help improve performance of people and process in organizations. ©AchieveCorp 2013



Can You Handle the Truth?

In the iconic 1992 film, “A Few Good Men,” Tom Cruise’s character, Navy JAG Lt. Daniel Kaffee challenged  the combat-hardened and highly decorated Marine Col. Nathan Jessup, aptly portrayed by Jack Nicholson. Their spirited courtroom dialogue concluded with Jessup adamantly telling Kaffee: “You can’t handle the truth!” 

If you are in a leadership role in any type of organization you must know the truth.  Given your authority and responsibility for employee productivity and welfare you should consider two questions:

  1. Do you know how your employees really feel about your company?  and
  1. Why should you care?

Let’s assume that you really don’t know how they really feel, and explore why you should care.  We have found (and the research supports) that performance is directly linked to the effectiveness of people and processes.  We believe most organizations, including yours, try to hire the best people – who do the best job they can – with the tools they are given.  Further, you probably think your people have everything they need to perform at optimum levels.

So if the right people and processes are in place, why is it that gaps continue to  persist between expected and actual performance?  And, why are leaders so often confronted with unpleasant surprises?

Gaps persist and issues are overlooked because “We’ve always done it that way”  or “It’s good enough”. And sometimes we place too much trust in certain people. Today’s organizations are typically short-staffed, pursuing multiple projects and competing priorities. The consequence is that problems are not recognized until it’s too late. Consider these examples:

The comptroller of Dixon, Illinois, was arrested for embezzling $30 million dollars in public funds over the past 6 years to finance a horse breeding operation and opulent lifestyle.  Now you might say, “That could never happen in my organization! – We have controls”.  Well great – just be sure to examine the books while your comptroller is on vacation.

Another example: In October, 2011, a disgruntled employee walked into a meeting at the Lehigh Cement plant in Cupertino, California and shot and killed 3 of his co-workers and wounded 7 others. It was reported that the shooter didn’t like the way his manager and Union Steward talked to him about his attendance and work performance.

And I learned recently about a project manager at a construction firm who financed the remodeling of his home with a company credit card to the tune of over $100K.

Consider also Employment Practices Liability (EPL). During the recession there has been a huge rise in lawsuits against employers for age, gender, disability, and racial discrimination, sexual harassment, wrongful termination and retaliation (for reporting discrimination!).  According to an Inc. guide, “While American firms were downsizing in 2010, the U.S. Equal Employment Opportunity Commission (EEOC) saw a record 99,922 discrimination claims filed in the fiscal year ending September 30.  It was the highest number of cases brought in the agency’s 45-year history.”  The report further states that “EPL cases can be a drain on time and monetary resources for a small or mid-sized business.  The average tally for a discrimination case exceeded $235,000, according to the EEOC”. [i]

The economic and human costs in these examples are huge. So if you don’t know how your employees really feel about your company, and you now realize that you must care, what steps should you take to prevent catastrophes in your organization?

Start by learning your employees’ views and feelings about their workplace, their leaders and their co-workers.  Then you can take steps to correct deficiencies, remove performance barriers and create a more productive, supportive and healthy work environment. You should have policies in place to prevent the most egregious situations. EPL insurance and training can also help.  However, you can’t fix everything at once – and we have the tools to help you find out where to start.

When leaders don’t recognize problems, or know why gaps exist, they actually create barriers to performance.  This demoralizes the people who work hard – don’t feel they’re being heard. They don’t feel they are appreciated, so they leave – or worse, they return – too often with a gun.

If you think you can handle the truth, (It should be clear that you can’t afford not to) conduct a survey to learn the truth.  But don’t do it unless you are prepared to respond to the results.  To create hope and raise expectations and not act on the data – is worse than doing nothing.  We’ll help you figure things out, analyze performance gaps, identify the potential for improved performance and design interventions to enable you to implement solutions that stick.  Consider this quote from Simon Sinek: “Success always takes help. Failure we can do alone.”

Eric Doner is the Founder and President of AchieveCorp. His firm provides assessments, guidance, and training to enable improved organizational, team and individual performance.   Contact Eric at


The Killer App for Sales Presentations

Most well-managed sales organizations follow some type of consultative selling process. Such a process requires learning about customers’ needs and requirements before presenting a solution. Successful sellers then, ask well-planned questions and listen more than they talk. To do anything less results in ‘premature presentation’ – this creates buyer resistance and kills or delays the sale.

Our model provides a planned sequence of communication steps for sales interviews that ensures that you earn the right to present your solution. By consistently following seven simple steps, you can pinpoint customers’ needs and pain points, and fully qualify sales opportunities. Armed with this information, you can then make precise presentations, and tailor your solution specifically to each customers’ individual (and organizational) needs. By carefully sticking to the process, and not getting ahead of your customer, you will experience virtually no resistance when it comes time to ask for a commitment. We like to emphasize that “If you slow down the process, you can speed up the sale”.
This questioning process can be customized to fit any product or service – if you know the answers you are seeking. In our seminars we explain and supply examples for each step.

Question: Open, Closed and Leading
Listen: Active attending; not feigned
Observe: Verbal and non-verbal signals
Verify: Confirm, paraphrase what you hear
Explain: Describe your solution; be concise
Recommend: Tell them the next step to take – don’t ask
Secure commitment: Confirm agreement to buy or step advance the sale

The Explain Step can best be accomplished using our N-F-B sales aid below. This chart can be constructed during the sales interview by taking careful notes. Then, verbally review what you’ve written with your prospect.

Under Need,  list your customer’s need, pain point or problem. Under Feature, describe compelling characteristics of your solution that directly relate to customer’s need. And under Benefit, clearly describe how your solution will satisfy your customer’s need, remove the pain and solve the problem.

By presenting your solution in this format, you demonstrate that you have been listening, and you address only the needs important to each customer. Your product may fill dozens of needs, but if the customer only has two, you can avoid disclosing unnecessary product knowledge – and more easily set the stage for the buying decision.

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