IntroductionWelcome| 00:04 | Can you anticipate the needs of others
before they even ask you for something?
| | 00:09 | How well can you predict what is going to
happen in your industry over the next five years?
| | 00:15 | Your answer to these questions indicates
how well you are thinking like a leader, which
| | 00:20 | can significantly impact
your career advancement.
| | 00:24 | In my book, Invaluable, I explored how to
help individuals increase the value of their
| | 00:28 | time and quality of work life, in
other words, how to become invaluable.
| | 00:34 | This course, Thinking Like a Leader, is part
of a five-course series on helping you become
| | 00:40 | invaluable and get the most from your career.
| | 00:44 | In my coaching, I refer to Thinking like a
Leader as the invaluable factor of savvy.
| | 00:50 | Savvy is about understanding your
company, your market, and your customers.
| | 00:55 | This understanding is a powerful tool because it
can give you the foresight to have excellent timing.
| | 01:02 | As an individual, you have little control over the
forces that shape your company or the market as a whole.
| | 01:08 | There is not much you can do to
change what people are demanding from you.
| | 01:14 | However, you can understand their needs and
wants to the point where you have impeccable timing.
| | 01:20 | You will often be able to
predict their needs before they ask.
| | 01:25 | Imagine an Olympic Swimmer.
| | 01:27 | It's taken years of hard work, dedication and
coaching to turn his body into a finely-tuned machine.
| | 01:34 | He knows how to make the turns, how to
breathe properly, and how to move through the water
| | 01:39 | to get the maximum speed.
He is ready for this moment.
| | 01:42 | He lines up on the starting block and waits.
| | 01:45 | The gun fires, and while his competitors jump in
the water, he is still standing on the starting block.
| | 01:51 | It is this anticipation and the timing, or lack thereof,
that indicates your ability to think like a leader.
| | 01:59 | Many people wait to be
told what to do in their job.
| | 02:03 | While you certainly want to respond to request
from your co-workers and your customers, doing
| | 02:08 | so does not make you invaluable.
That is just what is expected.
| | 02:13 | If, however, you can anticipate people's needs and fill
them at just the right moment, that demonstrates leadership.
| | 02:21 | In this course, I will give you tools that
will help you better understand your company,
| | 02:26 | the market, and your customers.
| | 02:28 | As you use these tools on a consistent basis,
you will begin to develop impeccable timing,
| | 02:34 | and when you can do that, you
will be thinking like a leader.
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| Using the exercise files| 00:01 | Throughout this course, I'll be asking
you to fill out worksheets to better
| | 00:04 | understand how well you're
progressing on the path to becoming invaluable.
| | 00:08 | These worksheets have been provided
in the Exercise Files tab on the Course
| | 00:13 | Details page for all lynda.com
subscribers, or if you're watching this tutorial
| | 00:19 | on a DVD-ROM, the exercise
files have been included there.
| | 00:23 | I suggest that you download these
worksheets and print them out prior to
| | 00:27 | watching the course.
| | 00:28 | At various points throughout the course,
I'll be asking you to pause the videos
| | 00:32 | and fill out a worksheet.
| | 00:34 | In order for you to get the most out
of this training, I recommend you have
| | 00:38 | these worksheets on hand.
| | 00:40 | Now, let's get started!
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1. Company SavvyUnderstanding your company| 00:00 | When it comes to developing savvy,
understanding is a powerful word.
| | 00:05 | For your career, the most important
thing to understand is the company
| | 00:10 | that you're working in.
| | 00:12 | Your company has a unique personality,
regardless of industry, size, or how long
| | 00:17 | it's been in business.
| | 00:18 | Understand this personality and you can
speak its language, adapt to change when
| | 00:23 | it happens, and be able to
anticipate what is needed without being told.
| | 00:28 | Your education may have prepared you
for your career, but it likely didn't show
| | 00:33 | you how to best meet
your company's unique needs.
| | 00:37 | For instance, a graphic designer
for an advertising agency will need to
| | 00:42 | behave and work in a different way, than a
graphic designer working for a public university.
| | 00:49 | Each of these organizations
has a very different personality.
| | 00:53 | By understanding their company's
personality, both graphic designers cannot only
| | 00:59 | perform better and have more
opportunities for growth, but they'll also enjoy
| | 01:03 | their jobs more, they'll feel like they fit in.
| | 01:07 | There are five areas where you can
learn about the personality of your company.
| | 01:12 | All of these may not apply to your
company, but this will give you an idea of
| | 01:16 | where to begin your
study and develop some savvy.
| | 01:20 | The first area is the values of your
business, meaning, the written statements
| | 01:25 | of what your company stands for.
| | 01:28 | This may be a mission statement or
perhaps a list of words that have meaning to
| | 01:32 | the company, such as integrity,
loyalty or customer service.
| | 01:37 | In my experience, many companies have
a mission statement or a set of values,
| | 01:43 | but they're not referred to very often.
| | 01:45 | My suggestion is to study these values
in depth, reflect on them, and rephrase
| | 01:51 | them in your own words, so that
you start to internalize them.
| | 01:56 | Keep a list of these values on
your desk where you can see them.
| | 01:59 | This will help you develop an
understanding of your company's personality.
| | 02:04 | The second area is the company's vision.
| | 02:07 | Sometimes this is a written document
created by leadership, and sometimes it's
| | 02:12 | just a verbal understanding
of where the company is headed.
| | 02:16 | It may be in a speech the CEO has
made about where the company will be
| | 02:21 | five years from now.
| | 02:22 | Do you understand where the company is headed?
| | 02:25 | Take the time to discover what the vision
is by finding the written document, if
| | 02:30 | there is one, or asking some
questions about where the leadership wants the
| | 02:34 | company to be in the future.
| | 02:36 | This will guide the decisions that
you make as you work in the business.
| | 02:41 | The third area is the company story.
| | 02:44 | How and why was it founded and by whom?
| | 02:47 | There might be a written document or a section
on your company's web site about its history.
| | 02:53 | Many corporations teach the
story of the business during new
| | 02:57 | employee orientation.
| | 02:59 | If there aren't documents about the
story, perhaps you can ask your company's
| | 03:03 | leadership to tell you what they know.
| | 03:05 | The more you understand the story, the
more passionate you'll become about the
| | 03:09 | place that you work, and you'll want
to contribute to its future story.
| | 03:15 | The fourth area to get to
know is your company's culture.
| | 03:19 | You usually won't find
this in a written document.
| | 03:22 | The culture reflects how the
organization works together.
| | 03:27 | In your own words, how would you
describe the culture of your company?
| | 03:31 | Is it a fun environment or is it strict?
| | 03:34 | Is it competitive or team-oriented?
| | 03:37 | Company culture influences day-to-day
norms that have been created over time
| | 03:43 | either intentionally or unintentionally.
| | 03:46 | The more you understand these norms, the
better prepared you'll be to serve in the company.
| | 03:51 | The final area to
discover is your company's cause.
| | 03:56 | Many companies have adopted a cause
that's greater than just profitability.
| | 04:01 | Sometimes that cause can be related to
their industry, such as a bank helping
| | 04:05 | entrepreneurship, or the cause may be
unrelated to the business, such as a
| | 04:11 | clothing store donating to cancer research.
| | 04:15 | If your company has a cause, learn about that
cause and why it's important to the business.
| | 04:21 | If you can, in some way, make that cause your
own, you'll find greater meaning in your work.
| | 04:27 | By getting to know the values, vision,
story, culture, and cause of your
| | 04:32 | company, you'll have a greater
understanding about its personality and how to be
| | 04:37 | sure that your work meets the
needs and wants of your company.
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| Understanding your role| 00:00 | In any company everyone
has a different role to play.
| | 00:04 | How well you understand your role will
influence how much savvy you have and
| | 00:09 | ultimately how valuable you are.
| | 00:11 | Imagine that you're an actor in a stage play;
| | 00:14 | you've been given the title of your role,
but no script and no information about
| | 00:19 | the character that you're supposed to play.
| | 00:21 | Not only will that be very frustrating
for you, but the audience will probably
| | 00:26 | not enjoy it much either.
It's no different in your job.
| | 00:29 | You've been given a position
and a title to go along with it.
| | 00:33 | How well do you understand the role
that you're to play in the business and
| | 00:38 | where it fits into the company as a whole?
| | 00:40 | The better you understand that, the
better you'll be able to relate to the
| | 00:45 | people around you and help each other succeed.
| | 00:48 | The easiest place to start is by
looking at your company's organization chart.
| | 00:53 | An org chart shows the structure of the
company, typically with various levels of leadership.
| | 01:00 | No matter where your position is in the
chart, you'll want to identify three things.
| | 01:06 | First, identify who you're accountable to.
| | 01:10 | Who do you report to on a regular basis?
| | 01:13 | In traditional businesses,
this will usually be one person.
| | 01:17 | In less established, or high-growth
businesses, you may have multiple people that
| | 01:22 | you view as your boss.
| | 01:24 | If you're not clear about who you're
accountable to, it's important to ask.
| | 01:28 | Find out who the person is that you
should be meeting with on a regular basis to
| | 01:33 | report your results.
| | 01:35 | Next, you want to identify who in
the org chart is accountable to you?
| | 01:40 | If you have any kind of managerial
responsibility, there are people who
| | 01:44 | are reporting to you.
| | 01:46 | Have you established a system of
regular contact with these people?
| | 01:50 | I recommend a regular one-to-one
meeting at a set time and place with each of
| | 01:56 | them to keep communication open.
| | 01:58 | If you want more insight on how to
hold those one-to-one meetings, see the
| | 02:03 | Effective Meetings course here on lynda.com.
| | 02:06 | Next we want to identify in your org
chart those people you're coordinating with.
| | 02:11 | They're usually on the same
level as you, on the org chart.
| | 02:16 | You're probably going to be talking
with these people a lot and sharing
| | 02:20 | resources. It's helpful to get together
with them as a group on a regular basis
| | 02:25 | to coordinate your efforts.
| | 02:27 | Now that you understand the role that
you're playing in the company, let's
| | 02:31 | consider your job description.
| | 02:33 | In the acting metaphor, this is
the script that tells you what you're
| | 02:37 | supposed to do and say.
| | 02:39 | Hopefully, your company provided you
with the description of the duties and
| | 02:43 | responsibilities of your position when
you were hired. This position description
| | 02:48 | outlines your job responsibilities.
| | 02:51 | How often do you look at that
document and review how you're doing with
| | 02:55 | those responsibilities?
| | 02:56 | There is usually a formal evaluation
time when your boss will tell you how well
| | 03:01 | you're doing, but part of being savvy
is anticipating the company's needs and
| | 03:06 | how well you are meeting them.
| | 03:08 | I recommend you look at that position
description on your own once a month and
| | 03:13 | ask yourself if there are any
areas where you need to improve.
| | 03:18 | Now what if you weren't given a written
description? This is a common situation
| | 03:22 | in small or high-growth businesses.
| | 03:25 | In a meeting with your manager, ask them
to help you come up with a written list
| | 03:31 | of all your job responsibilities.
| | 03:33 | You may wish to explain to them that
you're trying to document the position.
| | 03:37 | If your company doesn't have
documented positions, just that act alone will
| | 03:42 | increase your value, because you'll be
helping to create some business systems.
| | 03:47 | The more you research and understand
your role, the easier it is for you to
| | 03:53 | perform well and become savvy.
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| Understanding the role of money| 00:00 | Many people view money from an
emotional perspective, thinking about the things
| | 00:05 | that money can buy, or its
ability to provide for their family.
| | 00:09 | In a business context, we want to
remove emotion from the discussion and use
| | 00:14 | money as a score to measure
how well the business is doing.
| | 00:18 | No matter what position you hold in your
company, you can become savvy about money.
| | 00:24 | This doesn't mean becoming an accountant.
| | 00:26 | It's about understanding the basics of money
in order to measure your company's success.
| | 00:32 | There are three basics to study: profit,
cash flow, and budget. Let's start with profit.
| | 00:39 | In its simplest terms, profit means
that income is greater than expenses.
| | 00:45 | If the business brings in more money
than it spends, the business is profitable.
| | 00:51 | And if expenses are higher
than income, it has a loss.
| | 00:56 | There are a couple of ways you can begin
helping your company to become more profitable.
| | 01:02 | The first is learning about which
products and services your company provides
| | 01:07 | that are the most profitable?
| | 01:09 | Which make the most money per unit sold?
| | 01:12 | Are there some that make little
profit or even result in loss?
| | 01:17 | Now consider how
profitable you are for the company.
| | 01:22 | Are you worth more than what you're being paid?
| | 01:25 | If so, how much more?
| | 01:27 | Many people feel that having a position
entitles them to a certain level of pay,
| | 01:33 | and that pay scale is what they're worth.
| | 01:36 | The savvy employee recognizes that
their value is actually determined by how
| | 01:41 | profitable they are, so they seek to
give far beyond what they're being paid.
| | 01:48 | The rule of three is a simple
principle I teach my clients, and it says that
| | 01:53 | for every dollar that you invest in your
business, you want to get three dollars in return.
| | 01:59 | If you try to make investments like
that, even when some investments fail,
| | 02:04 | you'll almost always end up being profitable.
| | 02:07 | Ask yourself, am I providing a three
times return for my company? For every
| | 02:14 | dollar the business spends on you, do
three dollars come back in return? It's
| | 02:19 | a helpful measuring stick to help you
look for opportunities to increase the
| | 02:24 | value that you provide.
| | 02:26 | The second money basic is cash flow,
which measures how much cash the
| | 02:31 | business has available.
| | 02:33 | It's different from profit, because
cash flow represents money on hand.
| | 02:38 | Cash is the easiest and most immediate way to
buy something, as opposed to buying on credit.
| | 02:44 | Businesses need to have a good amount
of cash on hand in order to succeed.
| | 02:51 | Regardless of your position, your
actions affect the company's available cash.
| | 02:57 | Let's imagine that my company sells bicycles.
| | 03:01 | As the person building the bicycle, I
want to build them as efficiently and with
| | 03:05 | as little waste as possible.
| | 03:08 | As the salesperson of the bicycle, I
want to sell them as quickly as I can to
| | 03:13 | avoid having bicycles sitting in
inventory, and after the bicycles are sold, as
| | 03:19 | the person collecting money, I want to
get paid as soon as possible to get cash
| | 03:25 | back into the business.
| | 03:27 | Every position impacts, even in
small ways, the company's cash flow.
| | 03:32 | The third money basic that can help you
become savvy is the budget, a financial
| | 03:38 | plan that predicts expenses and income.
| | 03:41 | Few people enjoy budgeting,
yet, it's absolutely essential.
| | 03:46 | You can see the consequences all around you
for people who do not live within a budget.
| | 03:51 | Those who do not live within their means,
spend more than they have available,
| | 03:56 | and then either go without
essentials or end up in debt.
| | 04:00 | If your company or department has a
budget, it's important to stay within it.
| | 04:05 | In fact, it's better to
spend less than what is budgeted.
| | 04:09 | If you overspend, you'll have to
borrow money and repay it with interest.
| | 04:13 | If you've been given a budget, make
careful decisions about how you spend that
| | 04:18 | money, so that you stay within budget.
| | 04:21 | And if you haven't been given a budget, you
can always create a simple one for yourself.
| | 04:26 | By learning about profit, cash flow, and
budget, you'll be prepared to make wise
| | 04:32 | decisions that benefit both
the company and your career.
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| Understanding your company's future| 00:00 | Where is your company headed? Do you
know what to expect, two, three, or
| | 00:05 | five years from now?
| | 00:06 | Remember, being savvy is
about having excellent timing.
| | 00:11 | It's about anticipating when things
are going to happen, preparing for those
| | 00:14 | moments, and putting
yourself in a position to be ready.
| | 00:18 | There are three ways of finding out
where your business intends to go.
| | 00:23 | The first is the vision
statement or the business plan.
| | 00:27 | If your company has a written vision
about where it's headed, or you can access
| | 00:31 | a business plan stating its objectives
for the next few years, this is a great
| | 00:36 | resource for understanding the
general direction of the business.
| | 00:40 | Another resource to look at is
statements from the senior leaders about the
| | 00:45 | future of the company.
| | 00:47 | Where have they said it's headed, and
what have they said about its strategy
| | 00:51 | over the next months or years?
| | 00:53 | Executives often spend a great deal of
time preparing statements about where the
| | 00:59 | business is going, but employees often
miss an opportunity by not taking the
| | 01:04 | time to truly understand them.
| | 01:07 | You have an opportunity to be prepared
by paying attention to these statements.
| | 01:12 | The final resource for learning more
about the future of your company is to
| | 01:16 | simply ask questions of your manager,
and if you have the opportunity of company
| | 01:21 | leadership. You might ask where they
see the company one year from now, what
| | 01:26 | will be different about the company two
to three years from now, and what world
| | 01:30 | events are affecting the company?
| | 01:32 | Asking questions like this
will give you great insights.
| | 01:36 | After you've done a bit of research,
ask yourself a couple of questions.
| | 01:40 | First, are we really headed
in our intended direction?
| | 01:44 | Sometimes a business needs to change
its course in response to changes in the
| | 01:49 | market or world events.
| | 01:51 | If the business isn't headed in its
intended direction, you can contribute to
| | 01:56 | getting the company back on course.
| | 01:58 | Next, ask yourself how am I
contributing to the vision?
| | 02:02 | Are your daily actions helping the
company move toward its destination?
| | 02:07 | The more you can help a business move
in its intended direction, the more savvy
| | 02:12 | and the more valuable you'll become.
| | 02:15 | Consider changes you might want to make in
order to thrive in a new and changing business.
| | 02:21 | Just like you, companies are dynamic,
not static, they're always evolving.
| | 02:27 | Being savvy about the future is an
opportunity to be a part of making that
| | 02:32 | change happen, rather
than being surprised by it.
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| Understanding what your company wants from you| 00:00 | In a business, there's a
distinction between needs and wants.
| | 00:04 | Your company's hiring process, and their
ongoing reassessment of how well you're
| | 00:09 | performing, is based upon
both, its needs and its wants.
| | 00:13 | But there is an important
difference between the two.
| | 00:17 | Imagine a couple shopping for a
new vehicle at a car dealership.
| | 00:22 | As they go through the decision making
process, they'll consider a variety of
| | 00:26 | attributes that they need or want.
| | 00:29 | This couple has some
specific needs for their new car.
| | 00:32 | It has to have enough room for their
growing family, good gas mileage, adequate
| | 00:36 | cargo space, reliability, and safety.
| | 00:39 | These needs represent the
logical part of their decision making.
| | 00:43 | There is also an emotional aspect,
their wants. These include how the car
| | 00:49 | looks, its color, type of upholstery,
and maybe even their emotional attachment
| | 00:54 | to the brand of car.
| | 00:56 | In business it's the same. It's
important to meet your company's needs first.
| | 01:01 | If you're not satisfying the needs
that you were hired to fill, they won't
| | 01:05 | keep you for very long.
| | 01:06 | Just as the couple won't buy a sports
car that doesn't satisfy their needs for
| | 01:12 | their family, regardless of
how much fun it is to drive.
| | 01:16 | Obviously, you need to
provide what's expected of you.
| | 01:20 | But once you fulfill those expectations,
what really makes you excel in your
| | 01:26 | career is when you go beyond the needs and
start satisfying your company's wants as well.
| | 01:33 | We've provided a worksheet that will
help you analyze the difference between
| | 01:37 | what your company needs
and what it wants from you.
| | 01:41 | The first column is for
listing the company's needs.
| | 01:44 | For example, you may need to complete
reports in a timely manner, hit sales
| | 01:49 | targets, complete
projects on time, and so forth.
| | 01:53 | Take a moment to list everything
that the company needs from you.
| | 01:57 | These are your job responsibilities
and represent the minimum expectations.
| | 02:03 | Once you've done that, you can rate
yourself on how well you're doing on each of these.
| | 02:09 | I recommend using a scale of 0 to 10.
| | 02:12 | Zero meaning, you're making no attempt
to meet that need, and 10, meaning you
| | 02:17 | are satisfying the need so well,
there's no room for improvement.
| | 02:22 | Let's move on to the wants column.
| | 02:24 | Typically, the wants represent
improvement, areas where you'll do more, better,
| | 02:30 | beyond the basic
expectations that have been given to you.
| | 02:33 | Some wants might be improving the
quality of the reports you create, getting
| | 02:38 | higher-quality clients
or becoming more creative.
| | 02:42 | Take a moment to list some of the things
you believe your company wants from you.
| | 02:46 | It may help to ask a co-worker or
your manager to give you some ideas.
| | 02:51 | If you've watched the previous videos
in this section, you've also gained some
| | 02:56 | understanding about the future of
the company and the role of money.
| | 02:59 | Use that knowledge to give you
insight into what the company wants.
| | 03:04 | Then rate yourself on a scale of
0 to 10 on how well you're doing.
| | 03:09 | By performing the minimum
requirements of your job to satisfy the needs of
| | 03:14 | your company, and then going above
and beyond to satisfy the wants of the
| | 03:19 | company, you'll begin setting yourself apart from
the others and making yourself invaluable.
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2. Market SavvyYour company's business| 00:00 | How often are you asked the
question, what do you do for a living?
| | 00:05 | How do you respond?
| | 00:06 | Your response to this question reveals
a lot about how well you understand your
| | 00:11 | market, a critical aspect of becoming savvy.
| | 00:15 | Most people will answer that
question by giving their job title.
| | 00:19 | I'm a Sales Executive, for example.
| | 00:21 | However, that answer,
while accurate, is incomplete.
| | 00:26 | Every business is different.
| | 00:28 | A Sales Executive in a chemical
company is providing something completely
| | 00:32 | different than a Sales
Executive in a graphic design business.
| | 00:37 | Think about the company
that you work for right now.
| | 00:40 | What market is it in?
| | 00:42 | What is its geographic reach?
| | 00:44 | Is it international?
| | 00:45 | Is it just your local
neighborhood, or something in between?
| | 00:49 | Next, consider what industry
your company is involved in.
| | 00:53 | Are you in banking,
business services, education?
| | 00:57 | Identify that industry.
| | 00:59 | Finally, distinguish between your
company's features and its benefits.
| | 01:05 | The features are what you provide.
| | 01:08 | Let's say we provide haircuts.
| | 01:10 | If someone asks you what you do for a
living, you might simply say, I cut hair.
| | 01:15 | But what is it that you're really
providing when you cut someone's hair.
| | 01:20 | Aren't you providing a better self-
image, and perhaps more confidence?
| | 01:24 | Aren't you improving the quality of
life for your customers in some way?
| | 01:28 | These are the benefits.
| | 01:31 | How are the features and benefits
that your company provides different than
| | 01:36 | other businesses that provide a similar service?
| | 01:39 | Understanding the differences
between your business and other businesses
| | 01:43 | that provide a similar service, will help
you see how it fits in the market as a whole.
| | 01:49 | I'll talk more about why this is
so important in the next video.
| | 01:53 | For now, just take some time to identify
your company's market and industry, and
| | 01:59 | what features and benefits it provides.
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| Caring about market trends| 00:00 | Market trends are forces outside of
your company that influence what's
| | 00:05 | happening inside the company.
| | 00:07 | Understanding markets is a bit
like understanding the weather.
| | 00:11 | You have no control over the weather
itself but you can control whether or not
| | 00:15 | you're prepared for it.
| | 00:17 | By taking a look at the weather
forecast for the day, you'll know if you need
| | 00:21 | to bring an umbrella.
| | 00:22 | It's the same with your career.
| | 00:24 | By taking just a few minutes on a
regular basis to understand the market
| | 00:29 | weather, you'll be prepared for
things that catch other people unaware.
| | 00:33 | I'll help you create a simple program
to stay up-to-date with things that are
| | 00:38 | going on in the market.
| | 00:40 | There are three resources that you
can use in creating that program.
| | 00:45 | The first resource is trade magazines.
| | 00:48 | These are magazines that are created
specifically for the industry that you're in.
| | 00:53 | If your company builds computer
software, for example, then these would be
| | 00:57 | magazines specifically
related to software development.
| | 01:01 | Trade magazines are such great
resources because they are focused on your
| | 01:06 | industry, and bring together the most
important, relevant stories to your company.
| | 01:11 | For a small cost, sometimes even for free,
you can get the benefit of all the hard
| | 01:16 | work and research that others have done
to anticipate trends in your industry.
| | 01:22 | I recommend that you subscribe to one
or two of these trade magazines and then
| | 01:27 | spend time regularly reading the stories.
| | 01:30 | A second resource to use is
industry conferences and seminars.
| | 01:35 | Like trade magazines, these events
are highly focused and give you a great
| | 01:40 | amount of knowledge in a short period of time.
| | 01:43 | These events also provide the benefit
of discussion and debate with others in
| | 01:48 | your industry, which can
lead to greater insight.
| | 01:51 | Try to find a budget and schedule that
works for you to regularly attend these events.
| | 01:58 | The third resource is online experts,
which could be the social media, web
| | 02:02 | sites, blogs or podcasts.
| | 02:04 | Identify a few experts that you trust,
who you can follow to gain more knowledge
| | 02:10 | and insight into your area of expertise.
| | 02:13 | Like trade magazines, the information
that they provide will be highly focused
| | 02:18 | and usually relevant to your industry.
| | 02:20 | Be aware that an online expert
generally has free reign with their opinions
| | 02:25 | and may speculate more and be a little less
cautious in their assumptions than a trade resource.
| | 02:32 | However, the very act of challenging
those ideas as you think about them can be
| | 02:37 | valuable in developing your
knowledge and understanding of market trends.
| | 02:42 | As you continue to gain knowledge
from these sources, I suggest creating a
| | 02:47 | reminder in your calendar to think for 15
minutes, once per month, about this question.
| | 02:54 | Where are things headed in my industry?
| | 02:57 | This simple and powerful question will
give you ideas and insights into actions
| | 03:03 | you can take to anticipate market trends.
| | 03:06 | You may even want to get together with
a group of people in your industry to
| | 03:09 | discuss that question.
| | 03:11 | Whether you consider the question with a
group or independently, by studying the
| | 03:16 | forces affecting your industry, you'll
be prepared for the market weather that
| | 03:21 | catches other people unprepared and
take another step toward becoming savvy.
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| Enhancing product and service knowledge| 00:00 | I once surveyed thousands of business owners about
what traits they felt made an employee invaluable.
| | 00:07 | One of the common traits was that the
most valuable employees know the products
| | 00:12 | and services of the
business better than anyone else.
| | 00:15 | We've provided a simple worksheet to help you
analyze each of your company's products or services.
| | 00:21 | You could do this for a variety of products and
services, but let's start with the top three.
| | 00:27 | These could be the three that sell the most
or the ones you're most directly involved with.
| | 00:32 | For example, let's say that I'm
selecting bottled water as my first product.
| | 00:38 | I will enter sales for the
last year in the next column.
| | 00:42 | If you don't have easy access to this
information, you might want to ask someone
| | 00:46 | for the total volume of sales for
this product in the previous year.
| | 00:51 | Next, describe the product in your own words.
| | 00:55 | There may be a product description
on the company web site or brochure.
| | 00:59 | You can use that as a starting point,
but it's important to use your own words.
| | 01:04 | This is a great opportunity for you
to get more familiar with the product.
| | 01:08 | So, I might say that we provide
delicious bottled water in environmentally
| | 01:14 | friendly containers, with a hint
of essential nutrients and vitamins.
| | 01:19 | Next, consider the
greatest benefit to our customers.
| | 01:23 | Remember that features are really what
I just described, but the benefits are
| | 01:28 | how the product improves someone's
life or affects them emotionally.
| | 01:34 | I might say that our water provides
instant refreshment plus helps people stay
| | 01:40 | energetic throughout the day.
| | 01:42 | Next, think about the
greatest area for improvement.
| | 01:47 | Do you have any ideas about how
to improve your product or service?
| | 01:50 | Perhaps you've heard customers
complain about an aspect of the product, or you
| | 01:55 | see a way that it could be better.
| | 01:57 | Use the worksheet to identify one or
more suggested areas for improvement.
| | 02:03 | In the bottled water example, perhaps we'd
use more attractive labeling or packaging.
| | 02:09 | The final question is the toughest.
| | 02:11 | It asks, what can I do to
improve this product or service?
| | 02:16 | What can you as an individual
do to make that improvement?
| | 02:20 | Perhaps it's as simple as making a suggestion.
| | 02:23 | In my example, I might make a
suggestion to the graphics department for a
| | 02:28 | possible improvement to the labeling.
| | 02:30 | There's no right or wrong answer here,
but try your best to come up with an idea
| | 02:35 | for what you can do to
improve the product or service.
| | 02:39 | Repeat this process for at least two
other products or services that your
| | 02:44 | business provides, completing the
worksheet as you go.
| | 02:48 | This simple analysis of the products
and services can contribute to your value
| | 02:54 | because you'll be able to speak
more confidently when asked about those
| | 02:58 | products and services, and you'll see
opportunities to improve your company's market position.
| | 03:06 | Employees who can do this are
often perceived as more valuable.
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| Understanding the competition| 00:01 | An important part of understanding your market
is to be aware of your company's competitors.
| | 00:06 | Whether or not you feel you're
competing, or even if you dislike the concept of
| | 00:11 | competition, it is a reality.
| | 00:14 | Competition exists because your customers have many
options and limited time, money, and attention.
| | 00:21 | It's important to know your competitors
so that when you're asked, what makes
| | 00:25 | your company different, you can
speak about it with authority.
| | 00:29 | Also, this knowledge increases
your market savvy in general.
| | 00:34 | We have provided a worksheet that you
can use to quickly and easily gain an
| | 00:39 | understanding of these basic
differences between you and your competition.
| | 00:44 | The worksheet is meant for
one competitor at a time.
| | 00:48 | You'll see a list of areas of
competition where you may be stronger or weaker
| | 00:53 | than the other business.
| | 00:54 | You don't need to complete every
option available if you're unsure.
| | 00:59 | I'll run through each of these options for you.
| | 01:01 | Size refers to which company is bigger,
either in terms of sales or employees.
| | 01:07 | Speed means how quickly you deliver
products and services to your customers.
| | 01:12 | Innovation refers to your ability to
create new product ideas and new ways of
| | 01:17 | delivering your products and services.
| | 01:20 | Quality is the comparison of the company's
products and services in relation to each other.
| | 01:25 | Suppliers provide the material that you use
and can influence the quality of your product.
| | 01:31 | Distribution refers to your company's
ability to get your product into the
| | 01:35 | hands of your customers.
| | 01:37 | Customer service reflects how
responsive and helpful you are to your customers.
| | 01:43 | Reputation refers to media attention
and general discussion about your company.
| | 01:48 | Is your reputation more
positive than your competitors?
| | 01:52 | Market awareness is similar to
reputation but refers to how well known your
| | 01:57 | company is in the market,
compared to your competitor.
| | 02:00 | Customer loyalty means how long
customers stay with you and Patents/legal refers
| | 02:07 | to legal advantages that you may have
over your competition by virtue of the
| | 02:12 | patents or trademark that you've filed.
| | 02:15 | There are plenty of additional
spaces on the worksheet to add any areas
| | 02:19 | you'd like to compare.
| | 02:21 | You'll notice there are
columns for Competitor, Tie, and Us.
| | 02:25 | For each of the areas, mark who is
winning the head-to-head comparison.
| | 02:29 | Is it your competitor,
is it you, or is it a tie?
| | 02:33 | There is also a Notes column where you can
jot down anything you want to remember later.
| | 02:39 | As you complete this worksheet, you'll
very quickly get an idea of the areas
| | 02:43 | where you're strong and where
your competitors are strong.
| | 02:47 | There is no business that beats
their competitor in every single area.
| | 02:51 | It's not practical to try to achieve.
| | 02:54 | What matters more is that a company emphasizes its
strengths in comparison to the competition.
| | 03:01 | At the bottom of the worksheet,
there is a space for One action.
| | 03:04 | Think about an action you can take as a
result of the knowledge you've gained.
| | 03:10 | Knowing what you know now about your competitor,
what's one thing you will do or say differently?
| | 03:16 | Right down the first action
that comes to mind and then do it.
| | 03:20 | This process can take some time to
complete but it's time well spent.
| | 03:25 | Not only will you be better prepared to
talk about your competition, but you'll
| | 03:30 | understand your company even more.
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|
|
3. Customer SavvyUnderstanding the relationship between customers and your career| 00:00 | We've talked in previous videos about
understanding your company and the market,
| | 00:05 | but in reality, understanding your
customers is perhaps the most important
| | 00:09 | aspect of developing savvy.
| | 00:12 | This is because the customer ultimately
determines whether or not you have a job.
| | 00:16 | There are five reasons why customers
are so critical to your career and why you
| | 00:21 | want to take the time to understand them.
| | 00:24 | Reason 1: customers equal employment.
| | 00:28 | Without customers there's
no reason to have a product.
| | 00:31 | Without a product there's no reason to
have a company, and without a company,
| | 00:35 | there's no reason for you to be employed.
| | 00:37 | Many people look to the company as
the source of their job security, when
| | 00:42 | in fact, it's really whether or not
the customers keep coming back that
| | 00:46 | creates that security.
| | 00:48 | Reason 2: customers equal a paycheck.
| | 00:52 | Not only do customers help provide your
job security, but they also help furnish
| | 00:57 | the money that you receive on a regular basis.
| | 01:00 | Loyal customers refer others to the
company which helps the business grow and
| | 01:05 | provides more opportunity for
you to increase your pay scale.
| | 01:09 | Also, when customers share great
feedback about you to your manager, this also
| | 01:15 | gives you an opportunity for a pay increase.
| | 01:18 | Reason 3: customers equal advancement.
| | 01:22 | Employees that best satisfy customers
and help them become loyal to the company
| | 01:28 | are the ones that are most
likely to advance in their career.
| | 01:31 | Many employees put the emphasis on less
important relationships when it comes to
| | 01:36 | advancing their career.
| | 01:38 | They worry too much about how they look
in comparison to their coworkers or how
| | 01:43 | well they can build a relationship with
their boss, when in fact, building strong
| | 01:47 | relationships with customers is the
fastest path for career advancement.
| | 01:52 | Reason 4: customers equal education.
| | 01:56 | Customers provide an opportunity for
you to grow every time you interact.
| | 02:01 | If they complain, you have an opportunity
to learn about how to serve them better.
| | 02:06 | If they ask for help, you have an
opportunity to get more on-the-job training.
| | 02:11 | So if you really want to learn
and grow, the best way to do that is
| | 02:16 | through serving customers. And that leads to
the fifth reason why customers are so important.
| | 02:22 | Customers equal an opportunity to serve.
| | 02:25 | While money can be a good incentive, in
my experience, most people are motivated
| | 02:30 | by something other than money.
| | 02:32 | Very often, it's that feeling of being
important and worthwhile and that you're
| | 02:37 | making a difference in the world.
| | 02:39 | Every customer that you interact with
provides an opportunity for you to make a difference.
| | 02:45 | Hopefully now you have a general
understanding of why the relationship with your
| | 02:50 | customers is so important, and why
you want to become savvy about them.
| | 02:55 | In the next video, we'll give you some
tools that you can use to improve your
| | 02:59 | interactions with your customers.
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| Understanding customer complaints| 00:00 | In nearly every role in a company,
there are opportunities to have contact with
| | 00:05 | customers, even if you
don't work in customer service.
| | 00:08 | To help you understand customer
complaints, consider this example.
| | 00:12 | Picture yourself in an unfamiliar city.
| | 00:15 | You're driving down the road trying
to find an address you're looking for.
| | 00:18 | Suddenly, off to the side, you see
someone waving their hands and yelling,
| | 00:22 | you're going the wrong way!
| | 00:23 | This is a one-way street!
| | 00:25 | Now, imagine how silly it would be if you
yelled to that person, leave me alone, I
| | 00:30 | know what I'm doing!
| | 00:32 | You wouldn't do that, of course, you'd
be appreciative, maybe a bit embarrassed,
| | 00:36 | and you'd correct the
situation as quickly as you could.
| | 00:39 | All too often, however, when a
customer complains our first reaction isn't
| | 00:44 | saying thank you and making a quick
correction, but instead we say, leave me
| | 00:49 | alone, I know what I'm doing.
| | 00:51 | We tend to view customer complaints
as annoyances, when in fact, these
| | 00:56 | complaints are wonderful opportunities.
| | 00:59 | They are opportunities for us to learn,
for the company to improve, and to correct
| | 01:03 | our course and get back on the right track.
| | 01:06 | In the next video, I'm going to give
you a simple system that you can use to
| | 01:10 | resolve and learn from these complaints.
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| Resolving customer complaints| 00:00 | All customer complaints are
opportunities, but they aren't all the same.
| | 00:05 | Depending on the type of complaint,
and who it's coming from, your response
| | 00:10 | may need to change.
| | 00:11 | I'm going to give you a simple system
that you can use for three different types
| | 00:15 | of customer complaints;
| | 00:17 | green, yellow, and red.
| | 00:19 | This is not designed to replace your
company's system for handling complaints,
| | 00:24 | but instead, be a helpful resource.
| | 00:27 | Green complaints come from happy customers.
| | 00:30 | They like working with you, but
they're giving you an idea or suggestion.
| | 00:35 | Yellow complaints are from people
who are upset or unhappy about their
| | 00:39 | experience with your company.
| | 00:40 | The majority of the complaints that you
receive are going to be in the yellow category.
| | 00:45 | Red complaints are from people who are
downright hostile, angry or threatening.
| | 00:50 | Each type of customer complaint should
be resolved differently and I'm going to
| | 00:55 | give you some suggestions about
ways that you can handle each of them.
| | 00:59 | Let's start with the green complaint.
| | 01:01 | When you get an idea or suggestion
from a friendly customer, I recommend your
| | 01:06 | first reaction should be gratitude.
| | 01:09 | You want to genuinely express
appreciation, be sure to note the idea, and
| | 01:14 | forward it on to the proper person.
| | 01:17 | Then communicate to the customer that
it's a great idea and you're passing it on
| | 01:22 | to the appropriate person to take action.
| | 01:25 | I also encourage you to look
for a way to reward that customer.
| | 01:29 | Hopefully, there's a policy in place to
give people a perk, or reward, for sharing
| | 01:34 | these great ideas, if not,
you might suggest one.
| | 01:37 | Now, let's talk about the yellow
category where the majority of the
| | 01:41 | complaints are going to be.
| | 01:43 | This is a customer who is unhappy.
| | 01:45 | I suggest that first, you empathize with them.
| | 01:49 | This is more than saying I understand.
| | 01:52 | Listen and imagine yourself in their
situation, genuinely try to understand.
| | 01:58 | Thank them for bringing this to your
attention and make a note of their suggestion.
| | 02:03 | If appropriate, tell them that
you'll pass along their feedback to make a
| | 02:07 | change if possible.
| | 02:09 | Then try to make it right and
also give a little bit more.
| | 02:15 | Suppose there was a mistake on an invoice.
| | 02:18 | You make it right by
correcting the billing error.
| | 02:21 | Then you give a little bit more, find
a perk or a benefit to give them to thank
| | 02:26 | them for bringing it to your
attention, and as a friendly gesture. Your
| | 02:31 | company can discuss appropriate ways
to give a little bit more when it comes
| | 02:36 | to yellow complaints.
| | 02:38 | Now the red complaints come from people
who are threatening, hostile, and angry.
| | 02:44 | Perhaps they threatened to tell others
bad things about your company or to sue.
| | 02:49 | When you receive a red complaint, be calm
and allow them to vent their anger to you.
| | 02:57 | It's possible that what they're
saying is true, but it's also possible that
| | 03:02 | they're not being truthful or rational.
| | 03:04 | In either case, be calm and then
restate to them what they said.
| | 03:10 | Also, try to speak as little as
possible and let the other person talk.
| | 03:16 | Not only will that help defuse the
situation, but it will also keep you from
| | 03:22 | possibly saying something incorrect,
or legally damaging to the business.
| | 03:27 | Then thank them for bringing it to your
attention and be sure to document the conversation.
| | 03:33 | If you're not authorized to resolve
the situation then hand it off to someone
| | 03:39 | who is able to make a decision.
| | 03:41 | If you do have the authority to make a
decision then try to respond in terms of if then.
| | 03:48 | Ask, if I take care of it this way, then will
you feel like we've dealt with you fairly?
| | 03:55 | Getting their agreement will
also help defuse the situation.
| | 04:00 | The good news is that the majority of
the customer complaints that you handle
| | 04:04 | won't be in the red category, but a
little bit of preparation will help you feel
| | 04:09 | calm and ready to deal
with them when they do arise.
| | 04:13 | Remember, whether the complaints
are green, yellow or red, all customer
| | 04:18 | complaints are opportunities.
| | 04:21 | View them as such and you'll find
more opportunities every day to increase
| | 04:26 | your customer savvy.
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| Understanding your customer profile| 00:00 | Every company has a unique customer profile, a
general description of who the typical customer is.
| | 00:07 | When you really know who your customers are,
you'll find it easier to understand them.
| | 00:12 | You'll communicate more effectively
with your customers and serve them
| | 00:16 | better when you understand not only the ways
in which you're similar, but also your differences.
| | 00:21 | We've provided a worksheet that will
help you understand the customer profile.
| | 00:26 | This particular worksheet would be
valuable to complete as a group exercise.
| | 00:30 | You can also do it individually if you'd like.
| | 00:33 | Your marketing department should be
able to help you find out this information,
| | 00:37 | but if that's not an option,
just give your best guess.
| | 00:40 | The worksheet asks for two types of
information, demographics and psychographics.
| | 00:47 | Demographics are the physical description,
the observable details of your customer.
| | 00:52 | They include things like the typical
age of your customer, the typical gender,
| | 00:56 | typical income level, where they live, and
other physical descriptions that are observable.
| | 01:02 | The upper section of the
worksheet deals with demographics.
| | 01:05 | The second section of the
worksheet deals with psychographics.
| | 01:10 | Psychographics are what's going
on inside of their head and heart.
| | 01:14 | This includes their Activities, Interests,
Opinions, Attitudes about life, and their Values.
| | 01:21 | With your fellow employees, or by
yourself, complete these two sections of the
| | 01:26 | worksheet and create a
profile of the average customer.
| | 01:30 | Try to be as specific as you can.
| | 01:33 | Instead of writing that your customers
are between the age of 30 and 40, write
| | 01:37 | that their age is 36.
| | 01:39 | Remember, we're looking for an exact
description of the average customer.
| | 01:44 | In each of these sections, you'll
also see a question about needs or wants.
| | 01:49 | In general, what do my customers need
and in general what do my customers want?
| | 01:54 | Earlier in this course, I discussed
the distinction between needs and wants.
| | 01:59 | Needs are the minimum requirements
for them to be a satisfied customer.
| | 02:03 | Wants deal with higher emotional expectations.
| | 02:07 | When you fulfill a customer's wants,
you're helping make them a loyal customer.
| | 02:13 | Do this well, and they'll not only
be happy with the service that they're
| | 02:16 | getting, but they might rave about
working with you and your company, and
| | 02:20 | tell all their friends.
| | 02:21 | Take some time to fill out those two
sections, what my customers need and
| | 02:26 | what my customers want.
| | 02:27 | Once you've completed the worksheet, review the
list and compare yourself with your average customer.
| | 02:34 | In what areas are you the same,
similar, and different from your customers?
| | 02:40 | In the areas where you're different,
think about what you can do to better
| | 02:44 | harmonize or adapt to them.
| | 02:46 | You won't change your personality, but
just instead will meet them on common ground.
| | 02:51 | For instance, if your interests are
painting and their interests are soccer,
| | 02:57 | then you might want to learn
just a little bit about soccer.
| | 03:01 | Understanding what your customer enjoys will
give you an opportunity to be more connected.
| | 03:06 | Now at the bottom, you'll see
two very important questions.
| | 03:10 | The first question is, knowing what I
now know about my customers, how can I
| | 03:15 | better tailor my actions to their needs?
| | 03:19 | What's one thing you can do a little
bit differently to meet them at the level
| | 03:23 | in which they need your help?
| | 03:25 | Remember, that needs are the minimum
requirements to satisfy your customer.
| | 03:29 | The next question takes it a step further.
| | 03:32 | Knowing what I know now about my
customers, how can I better tailor my
| | 03:37 | actions to their wants?
| | 03:39 | In the workplace, how can you satisfy what
your customers want on a deeper emotional level?
| | 03:46 | These are great questions for team discussion.
| | 03:48 | Whether you discuss this as a group or
work on it by yourself, the answers that
| | 03:52 | you come up with are
opportunities for you to take action.
| | 03:56 | I recommend that you move forward with these
actions and set a time to work on the next step.
| | 04:02 | The better you understand who your
customers are, the easier you'll find it to
| | 04:07 | communicate with and serve them.
| | 04:09 | And those who best serve and
communicate with their customers are some of the
| | 04:14 | most valuable employees in any company.
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| Understanding customers while at work| 00:00 | The most important word when it
comes to dealing with customers is
| | 00:04 | understanding. The better you
understand your customers, the easier it is to
| | 00:09 | serve them, and the more loyal
they'll be to you and your company.
| | 00:13 | In the long run, this will have a
positive effect on how valuable you are.
| | 00:19 | So what does understanding mean?
| | 00:21 | Think for a moment about the person
you feel understands you best, what is it
| | 00:27 | makes them such an understanding person?
| | 00:29 | There are many ways to look at it,
but in my experience those who best
| | 00:33 | understand others, share three characteristics:
| | 00:36 | listening, responding, and harmonizing.
| | 00:39 | Let's talk about listening for a moment.
| | 00:42 | An understanding person takes the time
to get to know you, they listen actively.
| | 00:47 | An active listener is someone who
doesn't necessarily sit back and let you do
| | 00:52 | all the talking, but instead
occasionally asks you questions to not only get the
| | 00:56 | details, but also the
emotions that you're experiencing.
| | 01:01 | This means that a good listener is
empathetic. An empathetic listener makes an
| | 01:06 | effort to understand the
emotions of the other person,
| | 01:09 | not just the events they experienced.
An empathetic listener may not know what
| | 01:14 | you're going through, but wants to
understand and will ask questions to fully
| | 01:20 | appreciate where you're coming from.
| | 01:23 | With your customers, how well do you
listen actively and empathetically?
| | 01:29 | Are you engaged in paying attention to
them when they're talking, or are you
| | 01:33 | multitasking, looking at other
things and giving a halfhearted effort?
| | 01:38 | As you think of ways you can improve
your listening skills, write down a note
| | 01:42 | about one thing you might start doing
differently when communicating with your customers.
| | 01:48 | The next important element of
understanding is responding.
| | 01:52 | Being responsive to your customer's
needs, means responding quickly and
| | 01:57 | courteously to their requests.
| | 01:59 | Perhaps you've had the experience of
walking into a business where you're
| | 02:03 | greeted warmly the moment you step
through the door. That quickness and courtesy
| | 02:08 | makes you feel welcome and engaged.
| | 02:11 | Being responsive means that you're
aware of the customer, and that after you
| | 02:15 | listen to them, you quickly
take action on their request.
| | 02:19 | The third element of
understanding your customer is harmonizing.
| | 02:23 | Think about harmony in music,
what makes for great harmony?
| | 02:27 | It's not that the notes are exactly the
same, in fact, the notes are different,
| | 02:32 | but they're moving together in a
way that complements each other.
| | 02:36 | Harmonizing with your
customer means that you are adaptive.
| | 02:40 | It doesn't mean you change your
personality, but that you understand their
| | 02:44 | personality and their needs, and adapt,
so that you can best work together.
| | 02:50 | I once helped a company who
had many elderly customers.
| | 02:53 | Their college-aged employees learned
how to change their pace of speech, reduce
| | 03:00 | the use of slang, and use different
technology tools in order to better serve an
| | 03:05 | older generation. That's harmonizing.
| | 03:10 | When working with your customers stay
alert for opportunities to be an active
| | 03:15 | empathetic listener, to respond quickly
and courteously, and to harmonize your
| | 03:21 | actions and words to their needs.
| | 03:24 | When you do this, you'll have a
greater understanding of your customer,
| | 03:28 | you'll likely enjoy your job more and
ultimately increase your value in the
| | 03:33 | eyes of your company.
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ConclusionFinal thoughts| 00:01 | Thank you for completing
our course on becoming savvy.
| | 00:04 | We've given you a framework for
understanding three critical areas in your
| | 00:07 | career, your company, the market
as a whole, and your customers.
| | 00:12 | If you've enjoyed this course, I
recommend that you share it with your
| | 00:15 | coworkers and managers.
| | 00:17 | If you can, consider making the
materials I've covered here a discussion in
| | 00:21 | future group meetings.
| | 00:23 | If you can work together as a group to
learn these principles, you'll begin to
| | 00:28 | speak a common language in the
workplace, and you'll learn from each other as
| | 00:33 | you increase your savvy.
| | 00:34 | Remember, timing is everything.
| | 00:37 | When it comes to your career, the more
savvy you have, the better you'll be able
| | 00:42 | to predict what's taking place in
the market and in your business.
| | 00:47 | And you'll be prepared for
opportunities when they arise.
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