Like most of us, I’ve been consumed by what has been going on with the Qaddafi regime.  Libya is the latest Middle Eastern authoritarian state to be struggling and possibly collapsing.

This is no surprise.  Authoritarian states tend not to last.

The authoritarian model, where a few people control the fait of many, only lasts when it operates in their people’s best interest.

But usually it doesn’t and the leader becomes disconnected over time.  Eventually this disconnection leads to breakdowns with the people it was ostensibly designed to serve.

Just look at what Maummar Muhammad al-Qadaffi now has to deal with.

In business, this is no different.

The more disconnected the decision makers are, the more likely business breakdowns and possibly failures.  Some well-publicized and extreme examples are Bernarld L. Madoff Investment Securities, Countrywide Financial, and the American Insurance Group (AIG), among many others.

Don’t think for a second this “disconnection” can’t happen to you.  Most likely it already has!

Disconnection can take the form of being in touch with the market you are in, the technology you use, products or services you sell, businesses you compete with, employees and communities you work with and so on.

To be disconnected from any of these at any time is not good for you or your company.

To be disconnected comes from one thing and is the #1 reason entrepreneurs fail:

Ego.

Your ego drives you to do what you do.  Many entrepreneurs tell me, “My product/service is the best in our industry.”  Really?  When was the last time you checked to see what your competitors are doing?  Or whether your market or technology has changed and made what you do either #2 or possibly even obsolete?

I cannot tell you how many entrepreneurs tell me crap like that.

We all have an ego that drives us.  That is a good thing and also a challenge for most of us.

Being an entrepreneur is very competitive and without an ego driving you, your chances of success decrease.  But when your ego takes over is when you can get bit in the &*@$.

For entrepreneurs, ego dominance can show up in many ways.  If your company is struggling right now, it is most likely the manifestation of your ego somehow getting in the way.

Ego-driven thoughts can range from, “I have been doing this for many years, I don’t need an outsider [younger person, employee…] telling me how to do things”, to “my company has nothing to do with the environment, so I don’t need to bother” or anything in between.

When your ego has taken over, ask yourself how up-to-date you are on:

• your industry
• your competition
• your competitive advantage
• technology that impacts your business
• engaging your team
• your community and other stakeholders
• your company’s responsibility towards the environment

How you answer these questions is a direct function of how connected you are to the things that make a business thrive in today’s world.

And if you’re like most entrepreneurs, you probably could use some improvement on being connected with these issues.

But it is simple to get reconnected by going back to the basics:

1)   Your company’s vision—what are you committed to making happen that inspires everyone around you.

2)   Core target market—that customer that generates 80% of your sales.

3)   What you really sell—what your product or service makes your customer feel about themselves, their business, etc.

4)   Don’t go it alone—engage your stakeholders: employees, customers, communities, investors, and vendors.

I suspect the authoritarian regimes of the Middle East could benefit from using these four principles in getting reconnected with their people.  Of course that might mean they would have to let go of the reins, but that might be a good thing for them.

At least they would get back control from their egos.

Action Steps for the Week:

What are you not letting go of that is not going the way you want it?

Get clear on what the core issue around that topic is.  Then do the following:

• Let go of what the outcome “needs” to be.
• Open yourself to possibilities beyond what you think what should be.
• Involve your stakeholders in solutions—make it their idea.
• Revisit, recreate or revamp your company’s vision.
• Rebuild your strategy using your stakeholders.
• Leverage your stakeholders in implementing your new strategy.

When your ego steps in, as it most certainly will, say to yourself, “Ego, thanks for sharing and now I have work to do.”

And then get to work!

Late last week I found myself in New Jersey in a deep conversation with a friend, Ron Bergamini, CEO of Action Carting, a waste management company.  Their several hundred employees and 100+ trucks on the streets makes them one of the largest in NYC.

The conversation turned to marketing his company and how to promote it as being “green”.  Ron has not fully leveraged this as of yet.

I was really surprised.

Surprised because he has one of the greenest waste management companies I’ve ever seen!  Not only do they do use extremely detailed and intensive recycling of materials for their customers in their recycling center, they also collect about 35-40 tons of compost… a day!  This diverts a significant amount of NYC waste from ending up in our already overloaded landfills.

Some of Action Carting’s clients are the largest and best-known businesses here in the City.

So, why isn’t Ron fully leveraging all this in his marketing?

What he knows that most don’t is how tricky it is to market a company as being green… in a way that won’t trip his company up later.

Pros to Green Marketing

• Reputation—people love to know how your product or service is helping communities and the environment.  Anita Roddick, the founder of the Body Shop, made her company so incredibly successful on this principle before she sold it.  The more the authentic value the potential customer gets from the story, the less they focus on the price.
• Leadership— when you take a lead in your industry for being the first, the best, or the most engaged in being green, you most likely will be seen as the expert and/or leader.  Soon you’ll have the industry including you and coming to you for advice and input.
• Loyalty—the more involved your business is with your stakeholders and taking on environmental issues that you can relate back to your business goals, the more people will want to support you.  To a degree.  Make sure you keep this in check and are clear on what the benefits and costs are for what you are doing.
• Leverage— by engaging your community, vendors, customers, and other stakeholders, you will create a team who will more likely help promote your business.  Also to leverage the fact that you are authentically green will often times attract new sets of eyeballs.
• Efficiency—in many cases, but not all, your costs will decrease by going green.  Reduced expenses often occur in ways difficult to predict:  reduced sick days of employees, less expensive energy costs or smaller invoices for garbage collection, for example.
• Growth—existing products or services can (sometimes) demand a higher price.  Additionally, you might have access to new vertical markets as well as create new applications of your product/service.  Perhaps even develop a new one or two to complement your existing line.

Cons to Green Marketing

• Skepticism—with so many companies promoting their “green-nes”, when often times they are not that green—known as greenwashing—its no wonder consumers are trusting less these claims.  Managing this can be quite tricky, even when you are authentic about your claims.
• Engagement—getting your stakeholders on board with your green company is usually time consuming and can be expensive.  Social media can help, but can take a tremendous amount of time and often has limited results if not well planned.
• Complexity—to really address and take responsibility for your company’s impact on the planet is by far not an easy task.  It takes research.  And it takes commitment to fully understanding the core issues.
• Perception—your product is more expensive and/or not as effective than “non-green” alternatives.  Usually this is not the case, and getting your customers to understand this can be costly and challenging.
• Resistance—in trying something new.  From investors to customers, getting stakeholders to embrace your company going green may not be a smooth ride.

To implement a green marketing campaign is your choice.  It comes down to if you have what it will take to navigate these complex waters of promoting your company as green.

And whether you have a passion for it or not.

In Ron’s case, his commitment to his business and the environment is obvious.  And while the results in increased revenue and reduced costs are still being tabulated, they promise to be significant.

So Ron has decided to take on telling the world about how green his carting company really is and the impact it is having on New York City.

Perhaps you should do the same?

NOTE:  My newest company, the Shift Group, helps small-to-medium sized companies get the most out of their “green ways”.

Action Steps for the Week

Been thinking about marketing your company as being green?  Great!

First, take a hard look at what you are committed to.  Are you authentically committed to integrating your company with your community and taking responsibility to improving the environment?

Or are you doing it because you see a way to make more money?

Or both?

Depending on your answer is how you should proceed.  If you’re doing it just for the money, you will most likely fail.  Because without the authenticity and passion, you will either be discovered in the marketplace and be labeled as a greenwasher, or you’ll quit early on as you try to do it correctly.

Once you are clear on your commitment, examine how to integrate your involvement with your local community.  How do you engage them?  Get them to want your involvement?

Do the same for environmental issues you feel fit your company’s brand, mission and vision.

Once together, start to implement your strategy.  Don’t forget to engage your stakeholders along the way.

And tabulate the results of your green marketing campaign.