“All businesses experience growth,” says Cindy Batchelor, Executive General Manager – NAB Business. “It’s in their nature – at some stage in their life, they must grow to survive.” In the following article by Nigel Bowen, written for NAB Business View magazine, Geoff Slade credits a longstanding relationship with the bank as having an important part in the growth and success of his business enterprises over the years.
After half a century in business, Geoff Slade has learnt a thing or two. Here he shares seven truths about what it takes to make it in the business world.
Back in 1967, aged 21, Geoff Slade began his first recruitment agency. A couple of decades later he received an offer for the company he couldn’t refuse and sold it, moving on to become HR Director at Pacific Dunlop. In 1992 Geoff launched another recruitment business, Slade Group. In recent years, with the likes of Seek and LinkedIn affecting the recruitment industry, he’s adapted by moving away from commoditised services and launching business intelligence services, such as Yellow Folder Research, which harvests and sells talent intelligence. Here, the 72-year-old shares what he’s learnt after half a century of launching, building and selling businesses.
Whether it’s recruitment or any industry, you’ll usually find that 10 to 20 per cent of companies are doing well, 50 per cent are doing okay, and the rest are on their way to going broke. What separates out the 10 to 20 per cent? I’d argue it’s that they put the effort into truly understanding what their customer wants. Of course, often the customer doesn’t fully understand what they want. That just makes it more important to spend time with them, ask them searching questions and help them formulate what their real needs are.
I remember buying my first IBM golf ball typewriter and marvelling at the advanced technology! No matter what technological, economic or social changes are occurring, the two questions to keep asking yourself are: “What can I do to differentiate myself from the competition?” and “What can I do to enhance my relationship with the customer?”
It took me seven years, living on the smell of an oily rag, to make my first profit. People seem to want things quicker these days – to reap all the rewards before putting in the hard yards. Of course, you need to make a judgement about whether the industry you’re in is growing or contracting, and whether your efforts will pay dividends. But even in the most favourable of conditions, you should accept that you’ll need to work hard for a long time.
I launched my first business because a job offer fell through, not because I had an issue with being an employee. After selling that business I worked for a big company for a couple of years. There are things you learn as a business owner that make you a better employee, and vice versa. For example, business owners often don’t pay enough attention to collecting and analysing financial data. A stint in a corporate role is useful for learning that discipline.
I had no intention of selling my first business, but a buyer asked me to name my price. I thought of a figure, doubled it, and sold when they accepted that price. That meant I’d achieved financial security by my mid-forties. Whether it’s your company, your house or anything else, you shouldn’t be so emotionally invested that you pass on a great opportunity to sell.
Two pieces of business advice have always stuck with me. The first is: “Nothing happens until someone sells something.” That’s very true. The second is: “When you negotiate, you have to care, but not too much.”
After my first marriage ended, I realised I was guilty of not paying enough attention to my family. When I got remarried, I was determined not to make the same mistake. Thankfully, I haven’t. That’s involved decisions such as limiting the number of offices I open, which might have resulted in the business making less money than would otherwise have been the case. It also helps if you have a bank that is supportive during the tough times. I value the good relationships I now have with my children, my wife and my ex-wife. I lead a full life and have all the money I need to do what I want to do. Another $10 million, or even $100 million, isn’t going to make me any happier.
This article was originally published in Business View, the business magazine of NAB, Issue 24 Summer 2017.
In the following article by Maggie Chen, which appeared in the Autumn 2017 edition of the Victorian Chamber of Commerce & Industry Business Excellence magazine, Slade Group Chairman Geoff Slade shares his story and the insights he has developed over decades in business, in an industry he is proud to be a part of.
Geoff Slade began GW Slade & Associates 50 years ago, in a small office in Melbourne’s CBD. Before that, he worked as an assistant HR manager at an oil refinery at Western Point Bay. After almost taking up a job in consulting, at the age of 21, he decided to start his own employment agency in 1967.
His father had doubts, but his mother took a leap of faith and lent him $300 – all the money she had in the bank. It just covered his first month’s rent. “I had to make a placement in the first month; otherwise I couldn’t have paid the second month’s rent,” Slade recalled.
That he did, and for about 21 years, he built the business – by then called Slade Consulting Group – to be, by 1988, “the biggest executive recruitment company in the country”, spanning seven cities in Australia and New Zealand.
A UK-based multinational approached Geoff and bought the business from him. In 1989, he commenced a two-year stint as HR Director at Pacific Dunlop.
When the multinational exited the Australian market a few years later, Slade re-established Slade Group in 1992. This time, as a 43-year old with four kids, he decided he would only have offices in Melbourne and Sydney so that he could spend more time with his children and less on planes.
Starting from scratch again at Slade Group was “great”, he said. Pacific Dunlop, which at one stage had 45,000 employees, retained him as a preferred supplier for over 20 years.
How did Slade manage to build and maintain such a successful recruitment company that has already outlived most businesses?
Building trust is crucial, according to Slade. “Companies don’t build long-term relationships with you unless they perceive you’re doing the right thing by them and they trust you,” he said. “The same goes with candidates. I’ve had candidates who I didn’t place, who came back to us to give us work when they were hiring, because we built a significant trusting relationship.”
Secondly, he suggests that persistence really does pay off. Recruitment is an industry with plenty of ups and downs. “When the economy’s going well, business can be very good. When it’s not going well, you can really struggle. And a lot of people bail out when things start to get tough.”
Thirdly, for a long-term business in HR, you need to really understand customer needs. “You have to understand what their culture is like to provide them with quality people that will fit into that culture,” said Slade.
Finally, for business sustainability, it’s important to stay in touch – and that means some ‘face time’. One issue Slade sees today is that young people tend to communicate by email or text and don’t actually go out to meet the customer and really get to know them.
The recruitment industry has faced some challenging times. Seek and LinkedIn both changed the game, as did the global financial crisis, said Slade. A lot of work went to internal recruitment teams. In the face of this, he set up a company with Julian Doherty called Yellow Folder Research, which sells information on talent.
Slade’s wife, Anita Ziemer, Executive Director of Slade Group, took over running the Slade business about five years ago, when Slade became Chairman of the group. He says this allowed him to spend more time developing Yellow Folder Research, which now provides research to public companies and multinationals around Australia. It has also freed him up to focus on the Slade Group-affiliated executive search practice TRANSEARCH International Australia, which is part of a global practice. Slade points out that particularly in the case of senior positions, you really need to understand your client and their needs, and the personalised filtering services that recruitment companies can provide can be invaluable.
Slade is keen to mention his wife and family. He “wouldn’t have survived if it wasn’t for them”, he said.
Slade has seen attitudes to health and wellbeing in the workplace change significantly over the decades. “As late as the 1980s, we would regularly walk into offices where there were ashtrays on desks, smoke in the air and meetings held amongst cigarette smoking executives,” he recalls. “Now, of course, you’ll be hung, drawn and quartered if you’re caught smoking on the forecourt.”
At Slade Group, there have been many individuals who have been proud and passionate about their sporting and athletic pursuits. And since early last year, they’ve been taking steps, led by General Manager Chris Cheesman, to create a company-wide healthy culture, Slade said. “We’ve had people in to give us talks and information emphasising a holistic approach: the value of good sleep, e-downtime, and agile work practices. We’ve introduced standing desks, removed the soft drink vending machine, encouraged walking meetings and provide bi-weekly healthy breakfasts.”
Finally, Slade adds, “A healthy workplace is more than just the physical and mental – it’s also the emotional connections and working relationships built on camaraderie.”
The future ain’t what it used to be. Continued globalisation, wide-scale disruption, uncertainty, exponential change in technology and a new generation joining the workforce are changing how business does business. To compound the challenge, the organisation we created in the last century – a veritable engine of wealth creation – is out of step with the emerging reality.
Tomorrow’s organisation will be fast, flat, focused and built around followership. If how you do business is pretty much the same as it was three years ago, you are already losing ground. If you are not fully invested in tomorrow’s conversation, you are being squeezed out of the game! If you are “dancing” as fast as you can and discover that the competition has stolen a march … it’s fruitless to try harder. You have to change the game!
Traditional management thinking is that strategy drives culture. Figure out the strategy and then make the culture fit. In a steady state world, it’s thinking that makes perfect sense. Except, we don’t live in a safe, predictable environment. In a world of uncertainty the only thing that is predictable is that your strategy will be “subject to correction”.
A scenario approach helps but that only makes the notion that strategy drives culture even less meaningful. Strategy clearly can’t drive multiple cultures. Even with scenario thinking, long after the strategy has shredded, what will endure is the culture. The new reality – culture enables strategy.
Based in Canada, John Burdett’s research and the work of others suggest that only about 20% of organisations manage culture. Organisations put culture on the back burner because of an attitude to change that is best described as “cultural drift”. Cultural drift is the misplaced belief that even if we fail to invest quality time at the top of the house on culture, somehow the secondary initiatives unfolding in the organisation (e.g., six sigma, process improvement, town hall meetings, an emphasis on safety, engagement surveys) will get us where we need to be. Are you managing your culture?
John’s new book, The A-Z Of Organization Culture, is a compelling playbook outlining how to leverage culture for competitive advantage. It draws on his extensive international work on culture with some of the world’s biggest multinationals, mid-size organisations, successful start-ups and not-for-profits.
Look for … how to have the “culture conversation”; breakthrough learning strategies; why your culture is your brand; working at the level of mindset; “re-engaging the middle kingdom”; and measuring culture. The latter will enable you to, literally, chart the
“roots” (where you are today) and “wings” (where you need to be) of culture in your organisation. If you don’t measure it, you can’t manage it!
Accessible and wonderfully illustrated, The A-Z Of Organization Culture is a unique “road map” that will enable you to make tomorrow’s culture come alive in your organisation, today.
An advisor to TRANSEARCH globally, we are delighted to say we are bringing John out to Australia in late March. We will also be launching his new book at that time.
Read more about the theme of John’s visit: If you’re not managing your culture, someone else is
Being genuinely interested in everyone you meet may be second nature to those of us in the executive search business, but contrary to the popular saying, the reverse isn’t always true. In London for an AESC conference recently, I met John Niland. John is best-known as a conference speaker on doing higher value work and for the last 15 years, has been coaching others to achieve success. He has a particular passion for supporting independent professionals to adapt and thrive in today’s challenging economies. In the following article he makes some valid points about the nature of trust – applicable to all of us, no matter what business you are in.
1. Cognitive trust and Affective trust
To win wholehearted trust from another person, you need to win both their head and their heart. However, not everyone we meet places equal reliance on these two faculties.
Some people (and cultures) are primarily cognitive. When building trust, they look for evidence that is factual: e.g. evidence of credibility, track-record, process, reliability, tangible results and useful insights. If you can answer their questions specifically (or guide them to ask better questions) then you build trust.
Other people (and cultures) are primarily affective. They first decide if they like you or not, then they listen to what you have to say. Bombarding them with evidence of your credibility is unnecessary and may even be counter-productive. Their decision to trust is intuitive rather than rational … and is often uncannily accurate. They take in your body language, your attentiveness to them and a host of non-verbal cues.
While most people will use both dimensions (i.e. cognitive and affective), in practice the majority of people have a tendency to rely more heavily on one dimension than the other. For example, in large organisations, the greater the likelihood that trust-building is cognitive… at least in northern Europe. But beware of stereotypes: I have come across senior managers in finance who build trust affectively, just as many freelance professionals are as cognitive as you can find on the planet.
In a team environment, affective trust tends to win out. If team members like each other, this generally makes for greater performance and mutual support than if they simply cognitively respect each other. However, in many teams, it’s worth noting that cognitive respect plays a big part in whether one professional likes another or not. So it’s always worth considering both dimensions… not just the one that most reflects you!
2. Trusting yourself
How do your build trust? Cognitively (via the head) or affectively (via the heart)? Which is your primary mode of trust-building?
Perhaps the person that it’s most important to trust is yourself. This is usually expressed as confidence: confident people have trust in themselves. Indeed, in some languages (such as French), the same word ‘confiance’ means both trust and confidence.
If a person is not particularly confident, then they struggle to trust themselves. So they furiously prepare for meetings, feel anxious in negotiations, worry about the future, avoid difficult conversations, postpone decisions, have difficulty with business-development and often with personal relationships, too.
Most people would agree that confidence is built though action, rather than by reflection. Certainly this is likely to be true for cognitive trust-builders. By creating their own track-record in dealing with scary situations, they see increasing evidence that they can trust themselves.
However, for those who build trust affectively (or intuitively), how do they deal with low self-confidence and lack of trust in themselves? In my coaching work, I see that affective trust-builders often have a harder time overcoming a poor reputation with themselves. Unlike the cognitive trust-builders, they cannot easily grow self-confidence through affirmative action… because they don’t like themselves very much to begin with.
Self-worth is about liking ourselves – with or without the evidence. It’s not the same as self-esteem and certainly not the same as confidence. It’s a fundamental pre-requisite for career-development, for charging better fees and raising the value of our work.
John Niland is a Brussels based management consultant. firstname.lastname@example.org