Mike’s Speech to the Company – A New Vision

March 19, 2008

We have now been in business for more than 22 years! Most businesses can’t make it beyond year one. Statistics are on our side that we will succeed. But at the same time, we cannot be satisfied with the status quo or just being a good company. I read in the paper a couple of years ago where a 100-year-old furniture store, Rhodes, declared bankruptcy. Leaders said they simply failed to reinvent themselves and make the changes necessary to succeed. If we are to succeed, then we must set the lofty goal of being a great company! And that will take a lot of work and collaboration as we plan for the future.

If our goal is to write grants, evaluate grants, and simply make money, we can do a good job and then die! But I believe we have been predestined to do great things. When I read Jim Collins’ book Good to Great, I thought to myself, “What is wrong with just having a good company?” Then I read the book again, again and again—six times. After finishing that (and 50 other books), I am now convinced we must be great in order to succeed for the long haul. But what does great mean? What does a great company look like? How does it feel? What kind of outcomes (Joel) does it produce?

Jim Collins defines a great company as performance-based that is driven with passion by outstanding, humble people and leaders who focus on things that they do best and are the most profitable. They interviewed hundreds of CEOs and studied thousands of companies over a 20-year period. I did not agree two years ago, but I do now: hire outstanding folks, place them into the right jobs, define what your expectations are, coach and mentor them, and then let them do their jobs. Then design your strategic plans. That is where we are today. We are about to design the roadmap for where we are going. My philosophy used to be: I design the plan, tell people where they are going and how to get there, and then help them—wrong!

Then, I read all the books on my wall and began to see what a really great company was. And my conclusion: no one author or one book defined what a great company was or how to become one. Being great is a combination of many variables that are implemented by great, passionate people. I could spend an entire week defining what the research says a great company is, but I want us to define that vision. Then, I want us to make a commitment to become that great company that we envision! Today represents a new beginning. We have thoroughly analyzed our past and have learned from our mistakes. We did a lot of things right, we need to change some things we were doing, we need to do new things, and we need to stop doing others. As far as I am concerned, the past ends today. We have grown and matured from our mistakes. Now is the time for everyone to get aboard the train of our future.

First, let me define who I am inviting aboard this train: we want positive, can-do, proactive, smart, humble, hard- and smart-working, fun, passionate people who focus on the future. We want folks who can admit to their mistakes and learn from them. Second, we are not interested in people who whine, complain, don’t bring their frustrations out into the open, or try to undermine our actions. When you find yourself unhappy, looking for and complaining about little things, this suggests you are unhappy in your personal life or unhappy here. If you are not happy here, please think about another job or pursuing something else in your life.

We only want positive folks here who want to grow personally and corporately: they want to contribute to the good, they see the glass half full versus half empty, they want to contribute to making things better, they look for solutions, they think positive. I want to clearly define those who I want to surround me. For some reason, God has blessed me with future visions. It scares my wife, Deb, because many of them come true—or they fail and become my greatest mentors and teachers. I see into the future. But visions are worthless unless you have outstanding, smart, hardworking people around you, then plan the future together and then simply execute—get things done.

I don’t want this to be “my” vision, but rather “our” vision. We are about to assemble our future—our roadmap—defining who we are as individuals and a company. We are going to start with the big picture or vision, define our mission, passions, culture, values, and what we want in a company—what is our purpose for existence. We are going to look out ten years. Until recently, I thought it was difficult to plan more than 3-5 years ahead. I allowed the President or Congress to drive us. But we need a long-range target of where we are going—then bring it down from 10 years—to five years—to this year.

Once we obtain a clear big picture, Don will come back and bring that vision down to each division or company, and then we are going to bring the big picture down to an individual level. I asked each of you to bring with you three things that will keep you here for ten years. Tomorrow morning, Al Walker is coming to talk about his experience in working with great companies and then Don is going to facilitate a one hour session on how you define a great company—that will help us all understand how we individually and corporately define greatness. This session will compliment your strategic planning session.

As I said earlier, while research is important and we want to look at what is proven to work, we need to define who we are and where we are going.

I want to share my vision and I want you to use these items as food for thought. This is what I want us to do:

• Be ethical and honest
• Only pursue work that we are passionate about, do what we do best, and work that is most profitable
• Know exactly where we are going and how to specifically get there—benchmarks with targets
• Be financially secure where no outstanding worker has to lose their job (job security)
• Have clear expectations of what your job is and leaders give ongoing feedback
• Create a caring environment that is positive, healthy, and productive
• Have a lot of fun
• Leave this world a better place than when we found it
• See our companies as a university where lifelong learning and professional development are a central part of our culture
• Predict problems before they occur and be proactive in solving them when they occur
• Create $2 million in savings to enhance job security and prepare for financially dry times
• Develop a culture where people can speak their minds in a friendly, positive way without fear
• Everyone to make more money than they ever dreamed of making
• For all of us to become entrepreneurs, but be a compassionate company that significantly gives back to the less fortunate
• Fewer things really well versus a lot of things fairly well (avoid getting stressed out)
• Maintain very high but realistic standards
• Make good decisions promptly
• Stare conflict in the face, then confront and resolve
• Become customer intimate so when grants are mentioned RA comes to mind—when evaluators are needed, TEG is first to be called
• Have the fewest rules possible—no bureaucracy but maintain reasonable structure, clear expectations, and well-communicated parameters
• Build a company that is not dependent on any one person. When I die, I want this company to keep right on!
• Continually push for quality improvements where we learn from our mistakes
• Keep it simple
• Have humble, honest, ethical, and good leaders
• When I die I want all of my employees, family, and friends to say, “Well done!”

I burned out in 2006, but I am alive again and excited about our future! But it will take us all working in positive union to make this happen. So, where do we go from here?

Today, I have set the course for the companies from what I would like to see.

Yesterday, the grants team set their course.

Tomorrow morning, we will begin our day with Al Walker, who will talk about being great. He has worked with many great companies. Let’s have an open mind to what he has to say. Then, for an hour, Don is going to ask you what you would like to see in our becoming a great company. Please share your ideas about keeping you here for the next ten years. Then, Dan, Joel, and Martha will have some fun talks about exceeding customer expectations. On Thursday, Don is going to facilitate a discussion with the TEG team on where you all want to be in the next ten years.

How will all this work?

Don Jenkins is going to help us develop and execute our strategic plans. Don is a Naval Academy graduate and also has an MBA. He served as a commander on a nuclear submarine; served on many Boards of Directors, owned and lead his own company, coached many CEOs of small and large corporations, and has conducted about 50 leadership boot camps. Quite frankly, many CEOs and bank presidents kept telling me all about Don and I resisted using him. Then, I finally brought him in 2 years ago to help Kim and the CCC staff and he has been tremendous in helping them grow as a team and personally.

Over the last four months, he has helped me guide this ship behind the scenes and did an outstanding job. But he can only help you if you allow him into your world. He can be trusted and is a very honorable professional who can maintain confidentiality – he doesn’t tell me squat! And that is the way we want it.

His job is to help us grow and become a great company. His job is to work “on” the company and not to be involved “in” the company. Don has a big servant heart, so don’t let him assume any details of your work. We want him involved in the big picture and to keep us focused in that direction.

We are going to look at the big picture first, then we are going to examine each company, and then he will zero in to help each employee grow.

My role is to help transfer our knowledge and experience to you. The hierarchy has been flattened where you can talk to any of us at any time. You get an idea, let’s hear it. If you’ve got a problem, let us know.

It is now a ripe opportunity for all of us to humbly become great people and a great company. And together, we will do it!