Category Archives: DASM

DASM: Bank of Montreal, Where I Don’t Want My Money

I was a client of Diners Club for 20 years. When it became simply another type of MasterCard, I stayed with them. I paid my bills in full, each month, for 20 years.

Unbeknownst to me, Diners Club cards were taken over by Bank of Montreal. Not long after, I received a form letter telling me my credit had been limited to a cap of $20,000 “after a review of my spending and credit information” and it basically explained they felt I was too much of a risk for anything higher. (I’m an American Express Black Card member, and my net worth is up there.)

I cut my card in half and sent it to the president, telling him basically that if they want to alienate clients with my history (and credit score), good for them, they succeeded. A month later, a woman calls from the “presidential complaints unit” (they apparently must receive a lot of complaints to have a separate unit) and tells me this is Bank of Montreal’s policy. But they don’t want to lose me, would I please come back.

“No,” I said, “unless you show me some sign of gratitude for my business. For example, raise my credit to $25,000 as a show of faith.”

She told me they could only do that with a full credit check and, of course, every credit check damages your credit score in this loony age of paying attention to computer numbers and not people.

“Ciao,” I said.

Today, I received a letter from the vice president of that woman’s presidential complaints operation (a LOT of complaints to merit separate officers), and he said, “Too bad you wouldn’t come back, but if you decide to reapply, we’ll review your application carefully.”

I suggested he not hold his breath.

Canadians are wonderful, polite people. But even my Canadian friends admit that service standards are lower in Canada than in the U.S. Bank of Montreal probably has more people in the “presidential complaints unit” than in its retail operation.

But it is good at something. It’s earned my Dumb-Ass Stupid Management Award. Congratulations!

© Alan Weiss 2012. All rights reserved.

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Wireless vs. Brainless

The National Transportation Safety Board wants to ban ALL use of phones in cars, even hands-free phones, except in the case of emergencies. (The NTSB has no enforcement power, but does have an influence on Congress.)

Can someone tell me how a hands-free phone is more distracting and more dangerous than:

• Fooling with the radio and finding different channels.

• Using an iPod for music in the car and finding the right playback.

• Talking to passengers in the car.

• Using GPS while underway.

• Trying to follow written instructions.

• Glancing at notes and reminders in those dashboard holders.

• Drinking hot coffee.

• Eating.

• Applying makeup.

• Daydreaming.

In today’s Wall Street Journal there is an article about how complicated and hard to use certain dashboard music systems can be.

I’m all for safety on the roadways, but I tend to become allergic to overwrought attempts to legislate every part of our lives (there are bills in several states that would prohibit smoking in your own car; and according to several car seat rules concerning weight and size, some petite women would have to go to their college proms or weddings in a child seat).

Dialing a phone and sending text messages while driving is insane, dangerous, and shouldn’t be condoned. Driving without a seat belt creates a greater chance of serious injury and expense in medical costs and insurance. These are legitimate and specific concerns.

But if you intend to try to legislate to the point of absolute perceived 100 percent safety, then you need to arrest every woman putting on mascara and lipstick; anyone with a drink rising from cup holder to lips; those changing their GPS views or looking at the map; and anyone seen glancing at a passenger in the course of conversation.

You can educate people to be careful, but there comes a point where attempting to legislate it clearly abrogates personal freedom. (A police cruiser, ostensibly driven by a careful, experienced, knowledgeable officer was shown on the news last night being towed off a telephone pole which the officer had driven up vertically while his attention was “distracted.”)

The tentative person pulling onto a highway at 25 MPH and not increasing speed immediately, the person rolling through the stop sign, the person not signaling the lane change—they are more dangerous than someone talking on a hands-free phone and, one would think, they ARE paying close attention.

Some people die of peanut allergies. The answer is not to ban peanuts from the marketplace. Some people die in plane crashes. The answer is not to ban flying. We know people die from tobacco, but we’ve yet to abolish its sale.

Careless people will cause accidents. We need to educate them, take them off the road if blatant or repeated. But we need to heed Peter Drucker, who said, “…and laws that result from a ‘scandal’ are invariably bad laws. They punish ninety-nine innocents to foil one miscreant. They penalize good practice, yet rarely prevent malpractice. They express emotion rather than reason.”

Maybe we should remove all those distracting advertising billboards, and clear all the trees and vegetation that cause the eye to wander, especially in the fall when trees turn color. Where does it end?

It ends when people are educated and expected to use good judgment, not when the government acts like a parent trying to control unruly kids. If the government wants to act like a parent, then clean up the tax code. That would be a welcome start. But stay out of my car.

© Alan Weiss 2011. All rights reserved.

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Posted in Alas Babylon, DASM | 2 Comments

Leaving Canada

After delivering my keynote and a special session for an elite group of Canadian speakers last night, I caught a limo from the hotel this morning after a 5:30 am fire alarm trumped my later wake-up call. The limo arrived early and the driver was very polite.

At the airport, I headed for Global Entry. There was a long wait in the regular system, with maybe 10 US immigration officers amidst booths for three times that number, and long, Disneyland lines. I bypassed everything, and then ran into Mr. Ugly American. An officer at the machine, instead of saying the machine was out of order, and he’s sorry, interrogated me as to whether I had Nexus, and why didn’t I know what that was. I said, “Can I use this machine or not?!” and he said, “Go see an officer!” I asked him if he were always that unpleasant. I find this intolerable as an American. It’s humiliating to employ this kind of attitude.

After 15 minutes in the line and halfway through, I saw that the machine was lighted again and Mr. Personality had left. I ducked under the ropes and did my thing in one minute. Then at the exit point, a woman was working slowly to collect forms but a man next to her was doing nothing. “Are you open?” I asked politely. “I’m Canadian police,” he said, “and all I can do is arrest you!”

“That’s the best deal I’ve had since I entered immigration,” I explained, “what can you do for me?” He offered cozy accommodations with three meals and a sound roof, with plenty of security. We both laughed and I was finally at the woman taking forms. He told her not to let me return, and she stopped her mechanical actions and asked him soberly, “Why?”

Security was fast, but I was asked for my boarding pass—I am not making this up—six times before I was finally on my way to the gates. Some of these people were all of 10 yards apart.

Finally, I entered the Priority Club, an Amex benefit. The hostess checked me in and I asked how far my gate was from the club. Incredibly, she replied, “I’m sorry, sir, I’m not familiar with the airport.” She was actually hired and trained and never asked to familiarize herself with the airport, while dealing with passengers! And coming to work every day, she didn’t feel the need to do so!

Never feel that there is no work for consultants and performance improvement. Most immigration officers are fine people, and anyone can have a bad day. But I sensed this guy was in the midst of a bad life. Security is vital, but paranoia is dangerous. (“The price of eternal vigilance is indifference”—Marshall McLuhan, ironically, a Canadian.)

And if you don’t know what’s outside your door, you might as well be a hermit. They don’t have to commute.

© Alan Weiss 2011. All rights reserved.

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Why Professional Associations Fail

I’m in Toronto keynoting for the Canadian Association of Professional Speakers (CAPS) tonight. In two weeks I’ll be in Key Biscayne helping to facilitate an “elite” speakers workshop for the National Speakers Association (NSA). I’ve made well over 60 appearances for NSA and the Institute of Management Consultants (IMC). I’m one of only two people in history granted the highest honors of NSA (Hall of Fame) and IMC (Fellow).

I tell you all this because I’ve been very involved in these organizations and have tried to “pay back” the professions which have been so important to my success. So I was saddened to receive an email today from the New England chapter of the IMC—historically highly innovative and organized—stating it is considering disbanding.

The problem with these organizations is historic (I’ve been a member since the 1980s): They have failed to brand themselves and their primary certifications. No one—no buyer—has ever asked me about CSP (Certified Speaking Professional) or CMC (Certified Management Consultant). Never. Moreover, there are thousands of superb speakers and consultants who choose not to belong to the organizations, because they see no need or benefit. (I believe you support professional associations in your profession, and try to help others.)

Scores of chapter officials, national presidents, officers—and thousands of board members—have failed to understand the need to create a brand powerful enough to distinguish members and recipients from others—in other words, to create a gravity toward them and make marketing easier and more effective. There has been insufficient understanding, interest, investment, and action. Stringing initials after your name that are not recognized immediately by prospects creates skepticism, not acceptance. But using those that are readily known—MBA, PhD, PE—creates credibility.

Too often, these designations are simply used for elitism and “rank” within the organization, but rarely transcend those borders. Recognition is irrelevant if it doesn’t influence buyers. You can’t send your plaques and certificates to the mortgage company.

In a world where we see successful branding on a global basis, from commodities to services, small firms to large, why is it that professional associations don’t understand that their major function is to create brand recognition for their members? Nothing else is as important.

© Alan Weiss 2011. All rights reserved.

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Posted in Consulting Philosophy, DASM | 4 Comments

OH (Air) Canada! (Dumb Ass Stupid Management: Hall of Fame)

Every Canadian I speak to on the subject seems to loathe Air Canada. Here’s my most recent experience:

1. Going from Providence to Toronto, the plane is listed as increasingly late until it reaches three hours. No one from Air Canada (or their local representation, Star Alliance partner Continental) tells us anything. I figure out the arrival from Toronto, which is the incoming flight, will finally get to Providence at 1:40, yet Air Canada lists their departure from Providence at 1:30! I get all my information from Flight Tracker on my iPhone.

2. The Beach 1900D is finally ready, after 2:00, to depart. There are four of us on the 18-seat plane. The copilot gives us the normal briefing, and says, “The flight time is an hour and twenty minutes. The lav does not work. We’re hoping you can hold it for an hour and twenty minutes.” (I am NOT making this up.)

3. We arrive in Toronto, where the walk to immigration is at least two miles. There is no signage indicating that forms must be filled out or where they are. Air Canada has not provided them. I have to retrace my steps to find them. I ask the immigration agent, after the hike, if the intent is to only allow fit people into the country. She ignores me, asks me the usual dumb questions about whether I’m stealing jobs from indigenous peoples, and I proceed.

4. Air Canada originally had me on a 4 pm return from Toronto the next day, after my meeting. They told Amex that there was a “schedule change” and the plane would now leave, same day, AT 9 AM! I told Amex that we would call that a cancellation, not a schedule change. I had to take a flight into Boston instead of Providence.

5. Because of the changes, Amex mistakenly put me in coach on the way back to Boston. When I asked them to change it to business, Air Canada told them it would cost AN ADDITIONAL $1100 for the hour’s flight by jet to Boston. I refused to enable this kind of stupidity. At the airport, I asked the gate agent for an upgrade and she said, “Fine, but it will be $120.” That worked for me.

6. In the Priority Pass club I belong to through Amex in Toronto, I encountered six Air Canada pilots. “Is club membership a perk of flying for Air Canada?” I asked. “Are you kidding,” said a copilot, “we just spend so much time here (in the airport) without any amenities that we  join on our own.”

7. I can report that the US Global Entry System worked beautifully coming home, though the ticking timer in the upper right reminds me of a bad game show.

Canadians apparently have no choice but to fly this airline, or so I’m told. No wonder they all live in just a few populations centers.

© Alan Weiss 2011. All rights reserved.

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DASM: The Big Squeeze

(DASM= Dumb ass, stupid management)

The Big Squeeze

Outstanding businesses attempt to improve and increase their value to customers, thereby enabling higher prices/fees and enhanced customer loyalty and referral business.

But if you walk out the door these days, you’re not in any danger of tripping over those outstanding businesses.

Here are just a few examples of what airlines have done:

• Reduced amenities.

• Increased annoying charges for meals, luggage, leg room, etc.

• Penalized customers who choose to deal with people and not computers.

• Decreased ticket flexibility and change options.

And banks:

• Implemented fees for merely holding our money.

• Eliminated amenities such as free checking.

• Reduced services and hours at local branches.

• Increased fees for typical services (e.g., stop payments).

And newspapers:

• Annoying stick-on ads on front pages which must be removed.

• Charging for obituary notices.

• Increased charges for home delivery.

• Reduced news space and news influenced by advertisers.

And credit card companies:

• Increased monthly fees.

• Reduced billing cycle times requiring faster payment.

• Draconian penalties for missing a payment date or minimum amount.

• Interest rates far higher than economically necessary.

I could go on, but I have space limitations. Stupid management takes the constant position of regarding the customer both as a problem and an ATM. (“This business would be great if it weren’t for the customers.”) I remember interviewing a candidate for managing director of a theater company. “Why did the theater you left almost go bankrupt?” I asked. “Because,” he immediately responded, “the  audience was biased and didn’t understand out offerings.”

Oh. But you can’t fire an audience, can you?

Enlightened leadership understands the obligation to increase value. Dumb-ass, stupid leadership simply strives to perpetuate the enterprise, meaning you cut services and exploit the customers. (If you’ve been flying airlines and dealing with banks and DON’T feel exploited, you have a higher threshold of outrage than I do.)

For consultants, the opportunity is clear and so is the challenge. First, find prospects and buyers who believe in value and investing in business. Eschew those who want to squeeze the customer and sell the conference tables.

Second, when you find clients sliding into reducing its value for any reason, tell your buyers you have just three words for them: Bank of America. Amadeo Giannini would be spinning in his grave, but I think there’s an extra charge for spinning these days.

© Alan Weiss 2011. All rights reserved.

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Why Lawyers Need Consultants

The paragraph below was forwarded to me by Josh Richards from the New York Times. The story was about the kibillion dollar Los Angeles Dodgers’ bankruptcy and possible purchase. You’ll see the gesture made by the law firm as one that just couldn’t be made up. I’m appending a virtual Whack-A-Mole for those of you who might need its comforting powers.

The (law) firm has discounted its $1.7 million in billings to $1.37 million, plus $31,682 in expenses. On the lowest rung of costs, the law firm revealed that it is giving the Dodgers a deal. On photocopies. Usually, the firm charges clients 25 cents a page. For the struggling Dodgers? Ten cents apiece for $5,851.20 in copies.

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If This Is Leadership, I’m Not Following

What do airlines, banks, newspapers, speakers bureaus, and publishers all have in common? (This is not a joke, but I wish it were.)

They run their businesses horribly and try to atone for it by gouging the customer, vender, or supplier.

Book publishing, with rare exception, has failed to appreciate, much less leverage, the advent of electronic media. So what do conventional publishers do? They demand that authors buy copies of their own books to reduce the cost of the press run. They refuse to promote books actively, demanding that the author do so. They invest money in promotion with authors who don’t need it (Tom Clancy, Danielle Steele) and don’t invest in new and promising works. They hire such young and inexperienced people to save a dollar, that one permissions editor once told me that she wouldn’t approve production until I had written permission submitted for quotes from Oscar Wilde. The question is no longer, “Where did you go to school?” but “Did you go to school and were you awake the entire time?”

Speakers bureaus, traditional “middlemen” dealing with other “middlemen” (meeting planners, trainers, human resource people) have traditionally received about 25 percent of speaking fees from the speaker, supposedly in return for marketing that speaker. Today, many have raised their rates to 30 percent while reducing their marketing and, instead, charging the speaker. Many bureaus now charge to “evaluate” demo videos, place people in prime spots in a catalog, include people in “showcases” (cattle calls), critique promotional material and so on. Excuse me, but aren’t you supposed to be marketing me for my 25 percent fee?

One bureau, the most unethical I’ve ever seen, actually tried to charge me 30 percent when I beat out a speaker they had nominated to speak at Toyota. I was in their catalog, but they promoted someone else, I still got the job, and they wanted a third of my earnings!

Airlines which have been led abominably and can’t seem to come up with effective labor relations, fuel management, intelligent route structures, efficient baggage handling, and so on, now charge customers for:  pillows, food, a few inches of leg room, boarding sequence, the attention of a live agent, seat location, changing a reservation, and so on. One considered charging for lavatory use. Why not just fly us all at gunpoint? The “friendly skies” have become a bad neighborhood.

Banks are now charging some customers for deposits, and for simply holding their money. I have seven-figures invested in a bank where I also had some small accounts I had forgotten about. One would have disappeared in a year simply due to the monthly charges! The bank treats me as separate computer numbers, instead of a major, diversified customer. Your “personal banker” today has a hand in your pocket.

Newspapers plaster ads on the front page, often with stickers that obliterate a headline. Try to complain to the Wall Street Journal or New York Times about your subscription. You can’t talk to actual people, but an automated service will “credit you for one day” if your paper wasn’t delivered. Isn’t the point better, more reliable service and not a buck? Newspapers in many cities now charge for obituary notices. When I asked a local editor how he could countenance that, he said, “Oh, Alan, we all do it.” Oh, I guess I had missed that logic.

Why the rant? Because Pogo ought to be in charge here.

Entire industries often suffer from poor leadership, because the same crowd kicks around at the same levels (a guy who ran several airlines, Dick Wolf, including United and USAir, would paint all the planes as soon as the board confirmed him as CEO). The exceptions (Kelleher and Bethune in the airline business) are easy to note because they stand out in dull crowds.

It’s time to stop blaming and squeezing the client, the customer, the supplier, the talent. It’s time to look in the mirror. You might just see a reflection with nothing there.

© Alan Weiss 2011. All rights reserved.

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Shell for Brains: DASM Hall of Fame

I’m installing Shell Oil into the Dumb-Ass Stupid Management Hall of Fame.

I’ve been a Shell customer for over 25 years. Every single month, I pay the bill in its entirety. Every month. I think many of you can imagine what my credit rating is, and I may be earning more than the CEO of Shell (with a stress on “earn”).

With 25-gallon tanks, all three of our vehicles cost about $100 to fill when the tanks are near empty with today’s gas prices. My son has rented a large truck in Florida to drive cross-country to his new place in LA, and I provided him with a Shell card to make life easier, all on my account. Shell bills me about every 30 days.

Guess what? After I paid my last bill, we charged more than $1,000 collectively before I’ve yet to receive my next bill, AND DUMB-ASS SHELL SUSPENDED THE CARDS WITHOUT WARNING. I received an automated message from Shell after the fact, and when I called back a rocket scientist of a woman told me that she couldn’t tell me when the cards would be reinstated because I was “over my limit.” She repeated this like a broken record but without the same degree of variety.

How stupid does it get? Do you simply extend the credit limits when you have such a good customer, or when gas prices (Shell’s prices) have reached current stratospheric levels? Do you try to help your customers? Or do you just pull the plug because you’re afraid your customers are cheating you somehow?

I think a guy named Peter Voser is CEO of Shell. Maybe he and his crack team ought to get their heads out of the drilling holes and smell something besides fumes. Just when you think you can’t make this stuff up, you fall behind he satirical curve.

“Hey, let’s take one of our best customers, who’s spent probably six figures with us over the years, and just suspend his credit because he’s spending too much with us. Doesn’t that seem a good way to spend our time?”

Stay away from these people. It’s a shell game. They have shell-for-brains.

© Alan Weiss 2011. All rights reserved.

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Small Business Small Mindsets

I am an advanced stamp collector (stop snickering), and have a quite sophisticated US collection. I’m constantly looking for those rather expensive issues I’ve not yet acquired.

In a national publication, I found a stamp dealer online in my home down, specializing in the US! I send an email, asking if he had three issues in particular I was looking for. Here’s what he wrote back:

Hi Mr. Weiss,
Received your note looking for some staionery (sic) items.  While we do handle back of the book material, we tend not to have very much in the way of stationery.  Unfortunately we do not have any of the 3 items you asked for.  Thanks for thinking of us.
Can you think of a dozen other ways to respond to this, such as:
1. Sorry we don’t have this, but I can look for them among colleagues or put  you in touch with people who probably carry them.
2. Sorry we can’t help with this, but tell me what other needs you have that we may be able to fill.
3. Sorry we can’t help with this, but we specialize in X, Y, and Z, which a collector like you would probably find valuable.
I’m local!!
When a prospect comes to you, don’t simply say you can’t help. Either offer alternatives of help or ask what other help may be needed. A prospect is not an annoying insect or junk mail. You WANT this person “in your house.” But this is why you have to have a large mindset to run a small business successfully.
© Alan Weiss 2011. All rights reserved.
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