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November 26th, 2008
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By Mark Smiciklas
A recent news story about iPod Loyalists places the iconic Apple brand in the middle of a discussion about the spread of “iCrime”. What happens to a brand when its influence is so great that it becomes the central focus of negative societal behaviour? Do companies have a social responsibility to try to mitigate some of the negative behavior that may be associated with their brands? Can negative brand evangelism result in long term damage to a brand or do passionate consumers simply ignore negative brand stories?
Brand Evangelism
Brand Evangelism is deemed the top rung of the brand loyalty ladder – it occurs when passionate consumers of products or services become so enthralled with a brand that they willingly engage in word of mouth marketing on behalf of an organization. These consumers have such a core belief in the brand and what it stands for that they try to convince their network to embrace its purchase or use.
In my opinion, Negative Brand Evangelism occurs when a brand becomes such a status symbol that it inadvertently promotes negative social behavior.
Social Brand Responsibility
Do companies have a responsibility to try to mitigate some of the negative behavior associated with their brands? In the case of the iPod, Apple surely can’t take responsibility for the actions of every criminal that targets their consumers – but they could try to reduce the their consumers’ exposure to risk by embedding some features into iPods that might make them less attractive to steal and re-sell. Wouldn’t this add even more value to the brand?
Tony Barr, Marketing Strategist and Founder of Brand Reasonality, believes that there are brand benefits to addressing user risk:
“As a parent of two teenagers who own iPods, I find your question particularly thought-provoking. The brewing industry’s advocacy of “responsible consumption” may be useful analog. Certainly, in some circumstances, companies have a legal duty to warn against certain types of conduct – known or potential – associated with their products or services. I suppose that one might posit, as a general principle, that companies who claim social responsibility as one of their brand pillars have an implicit duty to act reasonably against legitimate risk to their brand audience – and, derivatively, against risks to their brand value. In the case of the iPod, in particular, we would do well to remember that parents – while they might not be brand adopters per se – play an important gate-keeping role in purchase and usage behaviors. I suspect, again, as a parent myself, that reaction of the gatekeeper class to such social responsibility would be generally favourable. Moreover, I suspect – or, minimally, hope – that the reaction of the brand adopters would be similarly favourable.”
Peter Mojica, VP of Product Strategy at AXS-One Inc in Charlotte North Carolina, feels that “corporate brands have a responsibility to build products that meet consumer demand, and can be sold at a profit and build shareholder value.” During this business process, he feels that companies should act responsibly but cannot be expected to “take responsibility for miscreant’s societal ills.”
Peter goes on to draw parallels between Apple and Nike:
“I can recall a lot of news stories around Nike and the desire for Air Jordan sneakers which led to many a crime wave. It’s hard to peg Nike for some diabolical plan to create a product that would generate a desire for one fellow to knock another fellow senseless and take his sneakers off his feet! Meanwhile, behind the scenes, Nike and the Jordan brand gave away millions to charitable foundations.”
Public Relations in the Face of Negative Brand Evangelism
What should companies do when faced with negative brand evangelism? In the case of “iCrimes”, there has been some press (associated with police agencies) suggesting that consumers should swap out the traditional white iPod ear buds less obvious black ones…but I’m not sure if there has ever been a formal statement regarding this issue from Apple.
Nathan King, Art Director at Austin and Williams in New York City, suggests that the lack of any “very public announcements from Apple” is an indication that they are not concerned about iCrimes having a negative effect on the brand. “They didn’t try to change their product to react to the negative behavior. The masses of people wearing the white ear buds is a constant, visual reminder that people are using iPods – why would a company want to get rid of that?”
Brent Skinner, President & CEO at STETrevisions and a Web 2.0 public relations and marketing expert, suggests there really only two ways for companies to address Negative Brand Evangelism:
- Ignore it completely – the goal being to starve any attention negative brand evangelism might create
- Face it head on with the logic that open communication breeds truth – If the brand is undeserving of negative press, the issue will burn out more quickly with a formal series of rebuttals
Brent goes on to say:
“I know folks in communications positions at very large, high-profile companies who take option one as a matter of course and I know others who embrace item two as dogma. However, in my opinion, the approach partially depends on the strength of your brand in the first place, and your assessment of your own brand’s strength had better be accurate. For instance, GM seems to have largely ignored the groundswell of viral anti-GM sentiment that followed the release “Who Killed the Electric Car?” I think the company overestimated its brand’s strength, and now may be paying the ultimate price.”
Andrea Hill, Director of Social Media and Interactive Technology at Worldways Social Marketing in Denver, feels that it’s important to understand how your brand is perceived and to be active in managing your brand reputation. “I believe it’s far better to recognize a problem than to ignore it, and appear obtuse and out-of-touch.”
In the end, I think if a product or service has enough brand evangeslists it can likely avoid any long term erosion due to negative behaviour association. Mark Sofman, an experienced business communicator and manager of outreach, advocacy and issues management programs in Washington DC, feels that brand evangelists help protect a brand value in face of negative evangelism. He thinks that passionate consumers can be “harnessed to good purpose…not just to studiously ignore bad news, but to be motivated to critique negative stories.”
Long Term Brand Damage?
Can negative brand evangelism cause long term damage or do passionate consumers simply ignore negative brand stories? Logic might suggest that negative evangelism should erode brand value to some degree. However, using iPod as an example, I really wonder whether the brand will suffer when I read stories about kids risking getting stabbed rather than giving up their iPods…that kind of loyalty is scary!
Peter Mojica believes in the unfortunate truth that any kind of attention is better than no attention at all and feels that negative brand evangelism may actually fuel sales increases in certain situations. In the case of iPod, he doesn’t see a huge impact on the brand because the negative incidents taking place likely represent a very small percentage of the overall brand experience, which is overwhelmingly positive.
Brandon Mendelson, Editor in Chief at GSO Press in Albany New York, doesn’t think strong brands suffer long term damage:
“Look at the WWE, it took a real hard hit after the Chris Benoit incident, but over the long term their stock went up and the audience came back to watching their programming. The passionate consumers will look at the negative stories, but (after a short period of time) it won’t weigh too much into the purchasing process.”
Walter Jones, Director of Morris News Service in Atlanta GA, feels that most media is fair is dishing out brand criticism and that consumers are smart enough to recognize whether or not brands are victims of circumstance. He feels that the level of brand damage has a lot to do with how companies market their products:
“If a company deliberately sought a gangster image, say, then a news story about crime associated with the product would inevitably mention the possiblity that the company’s marketing may have set the tone for those crimes and the company would be fair game for criticism in such a case. On the other hand, I think reporters can recognize when a company is a kind of secondary victim. For example, when gangs adopted the jerseys of professional sports teams because of their colors or no-nonsense mascots rather than their success on the playing field, no one accused those teams of encouraging gang activity.”
I find this issue very interesting and been having trouble establishing a firm opinion:
- As an “iPod Parent” I don’t expect Apple to help mitigate my kids risk…I see this as my responsibility as a parent. But the issue is real – kids are getting rolled over for their iPods. Luckily, my son has taken matters into his own hands and has established his own policy of not taking his iPod to school and has traded in his white ear buds for innocuous black ones.
- As a socially responsible citizen, I have to say that I am troubled by what I perceive to be indifference on the part of Apple. A trial that began recently crystallizes the point for me – A youth is charged in the stabbing death of 22-year-old Michael Oatway, an Ottawa man allegedly killed for his girlfriend’s iPod on a city bus. It’s ridiculous to even suggest that Apple has any control over this type of behaviour or is culpable in any way, but, as an iconic brand, wouldn’t these type of stories prompt some sort or response? The kid died because he was wearing an iPod…Is Apple not disturbed by this?
- As a marketer and business person, I appreciate and understand the stance that a company’s main (and some would say only) goal is to make a profit – and it can’t be held accountable for negative brand evangelism, particularly if their product or service is safe to use and does not pose a direct risk to consumers.
 Michael Oatway was 22 years old when he was fatally stabbed over the iPod he had borrowed from his girlfriend (Image: Globe and Mail)
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Posted in Branding, Customer Service, HR, Leadership, Marketing, Organizational Culture, Public Relations, Social Responsibility, Strategy, Website Strategy | 8 Comments »
September 21st, 2008
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Coaching is a great way for small business owners to develop leadership skills, build strong teams and grow their organizations. In this instalment of the small business interview series, I speak with leadership and learning specialist Tammy Dewar, Ph.D., Principal at Calliope Learning in Victoria, B.C.
The Evolution of Your Small Business Fuels Leadership Learning
Can you explain how the evolution of a small business might lead to a need for coaching or team building?
“Most small business owners possess a skill set related to whatever type of business they are starting. As their business develops and grows, the skill set shifts from early start up mode (where everyone does everything) to creating an environment in which jobs might become more specialized. As this happens, the need to focus on creating an overall vision to keep people engaged and working together becomes more important. As a small business matures, the shift to a team culture also becomes more important.
It’s at this point that small business owners may recognize the need to provide people with these skill sets. This can vary from hiring a consultant to do a team building workshop to hiring an individual executive coach to help the owner develop those skill sets.”
Challenging the Status Quo
How will small business owners and teams be challenged during the development process?
“While people may come to coaching and team development with an open mind and willingness to learn, often they are surprised by how this process upsets the status quo and unsettles people. It’s normal for a bit of resistance from co-workers as people try on new behaviors. It’s also normal for individuals themselves to hang onto their old way of doing things as that’s comfortable and predictable. What usually helps people move forward is a clear vision of how they want things to be different as this vision can pull them along.”
Not Just for Big Business
Coaching and team development might be viewed as something that only larger organizations get involved in. Do many small businesses engage in this type of leadership learning? What are some of the benefits of coaching and team development for small business?
“In our experience, more and more small businesses are investing in this type of development – their employees are demanding it and owners see the need when they realize they have reached a plateau in their business.
We work with several organizations of 50 employees or less. Small businesses can get even more benefit than larger organizations because they can offer the learning experience to everyone in the company as opposed to a limited number of people (which typically happens in larger companies). Taking your entire staff to an offsite retreat for a day or so can help engage and energize your team – leading to a common vision for the business and facilitating a cultural shift that will help everyone move forward constructively.”
What to Look For In an Executive Coach or Leadership Consultant
What should small business owners look for in an executive coach or team development consultant? Is it important that a coach be in the same city as the client?
“While location might be important in terms of cost, finding someone who relates to the business owner and shares some common values and philosophy is perhaps more important. Look for someone who has a blend of theory/academic preparation in leadership, learning, teambuilding and practical experience in these areas. Probably most important is personal fit … how do you think the person will relate to your staff and build trust quickly? In my experience this is what contributes to a successful relationship overall.”
Investing in Your Small Business
Do small business owners see the value of leadership learning or are they hesitant when it comes to investing in executive coaching or team development?
“Small business owners can sometimes be reluctant to invest in employees for fear they may leave. We often ask small business owners the question: What if you don’t invest in your employees and they don’t leave? How will that impact your business?
It’s often a leap of faith to invest money when you are still trying to build the business. We have faced that ourselves as a small business and have been amazed at how our own business grew substantially when we actually invested in our own learning. It paid off in a more diverse skill set and perhaps more importantly, additional confidence to take on clients and business we didn’t feel comfortable with prior to the learning experience.”
About Tammy Dewar and Calliope Learning
Tammy Dewar combines an academic background in learning (Ph.D. in Adult Learning) with practical leadership and team expertise in a variety of sectors. Her independent consulting practice includes over 15 years of experience in leading and coaching face-to-face and virtual teams. She has designed and facilitated a variety of workshops on leadership, visioning and strategic planning, team building, and individual and organizational learning. More recently, she has been working with organizations to address leadership and employee turnover and morale issues utilizing action research, learning strategies and coaching. The other third of her time is spent teaching with Royal Roads University in their MA in Leadership and Training (MALT), the Master of Business Administration (MBA), and the MA in Distributing Learning (MADL).
Calliope Learning is a leadership and learning company. As “pracademics”, the Calliope team combines sound academic research principles with grounded professional practice. They utilize action research and learning to help individuals and teams enhance their engagement, enjoyment, resilience and performance, thereby realizing workplace potential, and contributing to the overall bottom line of the organization. Calliope facilitates provocative conversations, meaningful learning, and breakthrough changes using high tech and high touch methods.
Posted in Coaching, HR, Leadership | No Comments »
May 11th, 2008
By Mark Smiciklas
It’s not a stretch to suggest that an organization has a greater chance of achieving success when it employs the right people. Obviously, the goal of any company is to hire well, but many small businesses mis-step during the process of seeking out the right employees. What are the characteristics of the "right" people? As a small business leader, what ideas do you need to understand and embrace in order to get the right people into your organization?
Having the "the right people on the bus" is one of the business concepts discussed by Jim Collins in his book, Good to Great: Why Some Companies Make the Leap..and Others Don’t. Collins researched over 1400 companies and discovered a set of ideas that, when embraced and implemented, differentiated great companies from their "good" counterparts.
The Basic Principles
- The first step your small business should take is to hire the right people, even before establishing a strategic direction. The idea: getting the right people working together will help your organization manage change. For example, if your small business attracts people because of your products, service offering or strategy, you might have issues if you have to change the direction of your business. On the other hand, if people join your organization because of reasons such as values, working with like minded people, etc. you will likely be able to "change the direction of the bus" without too much difficulty.
- The right people eliminate the need for your small business to focus on the motivation and management of your team. The right people are driven, self-motivated and responsible.
- Your small business will never maximize its potential with the right strategic direction but the wrong people. To quote Jim Collins: " Great vision without great people is irrelevant."
Characteristics of the "Right" People
The concept of having the right people on the bus is rooted in the belief that it’s critical to hire the right people first, then establish a strategic direction for your small business. An interview with the author (www.jimcollins.com) inspires the following list of things that your small business should consider when looking for the right people:
- The right people must share the same core values as you and your small business. An important thing to understand about core values is that they can’t be taught – you can’t force someone to change their behaviour to correspond to the values of your organization – it’s critical to find people that are the right fit.
- The right people do not need to be managed – they may need coaching or mentoring to ignite the fire and tap their full potential, but they do not need to be "baby sat". Trust can be a good indicator when assessing whether or not a hiring may have been a mistake. Do you trust an employee to manage a critical situation or speak with an important client without feeling the need to look over their shoulder?
- The right people possess the ability to be the best of breed in their positions. Do your people have what it takes to be the best client service managers, salespeople, administrators, etc?
- The right people understand the difference between "having a job and holding a responsibility." Jim Collins refers to this trait as being "productively neurotic".
- Knowing what you know about people after they have worked in your small business, would you re-hire them? If the answer is no, they they are likely not right for your organization.
The right people are critical to a small company. In larger organizations, wrong people can make it difficult to succeed – in more intimate cultures the wrong people will suck the life out of your small business. Hiring the right people and letting go of the wrong people is not an easy task…it requires discipline and courageous leadership. Is it worth the commitment? Mediocre companies are a dime a dozen..good organizations are slightly harder to find…but great companies are few and far between – they stand out in the marketplace.
Posted in HR, Leadership, Strategy | No Comments »
May 5th, 2008
By Mark Smiciklas
Change is an ever-present component of small business ownership. The ability for small business owners to effectively manage change lays the groundwork for growth and helps build the foundation for the development of a positive corporate culture. What can small business owners do to make themselves better change leaders? What are the most important factors to consider when managing change?
Have a Plan and Take Small Steps
Change is something that your small business is sure to experience. A great way to prepare yourself to manage change as a small business owner is to develop a change plan. Take a look at all facets of your business and write a simple list of strategies that take into account possible changes in each functional area. "Build a big plan with small steps. A ‘big’ plan isn’t an enormous impenetrable document, it is the summation of big ideas necessary to build belief and overcome inertia…it functions as an overlay across the business to keep initiatives in balance" says Philip Stanley, Founder at Minutecoach in the U.K. "For the owners, small steps mitigate risk and allow fluidity of movement. If the pace of change gets a little aggressive or laggardly, you can jiggle your blocks into a new pattern."
Communication
One of the most important components of change management is effective communication. Terri Maurer, Planning and Strategies Consultant and Owner of The Maurer Consulting Group in Cleveland Ohio believes that "communication is the key to a smooth passage of change in any organization. Getting as many people as possible into the change process, even if it involves no more than gathering input from staff through management, will do much to move the process forward." She also mentions that keeping your team "appraised of what is going on and why" should facilitate a smooth transition. "Utilize as many channels of communications as possible: face to face meetings, company memos, e-mail, newsletters, company intranet, etc."
Vijay Shah, Engineer and Operation Manager at Bauer Controls in Detroit, developed the following list of change management best practices:
- Communication: Every change requires communicating the goal to all who are involved. And listening to the all who are involved
- Humility – Understanding the constraint of your resources and making sure you do all in your power to accommodate.
- Democratic dictatorship – As someone said, “The Roman empire was not created by committee”, you need to communicate/listen but then take quick decision. It may not satisfy everyone but it will allow you to move forward knowing that you communicated with humility.
More Change Management Ideas
I will leave you with a few more ideas on change management derived from "The Biggest Mistakes in Managing Change" (Carol Kinsey Goman, Ph.D.):
- Appreciate and acknowledge the importance of people in any change initiative. "Organizations don’t change. People do — or they don’t." Whenever possible, include your employees in any change discussions and recognize that each person may react to a specific change differently. Let people know the reasons for change and include them in any change planning conversations.
- Treat change as a "mental, emotional and physical process" as opposed to another business "event". Acknowledge the fact that change may be a very emotional process for your team.
- Direct, honest communication is the best policy. Don’t attempt to "protect" your employees by withholding facts about any pending changes or trying to spin doctor the details. Also be aware of communicating change in a timely fashion – people are smart and will figure out pretty quickly that something is up. If you create an information vacuum by ignoring the need to communicate changes quickly, your team will fill the vacuum with their own interpretation of the changes are taking place.
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Believe in the potential of your group and their ability to embrace change and flourish. "Trust in the innate intelligence, capability, and creativity of your employees — and people will astound you."
Posted in Change Management, Leadership, Strategy | No Comments »
March 7th, 2008
Business coaching is a relatively new discipline. As a result, many small business owners are probably not aware of the coaching process and why they might consider coaching as a resource to fuel their business growth and personal leadership development.
What benefits can a coach bring to you and your small business? Will a coach help you become more effective in the day to day management of your small business? What specific skills or experience should you look for in a business coach? How do you find a business coach?
Benefits of Coaching
Coaching can offer a number of benefits to those that embrace the possibilities and enter into the experience with a positive attitude. Ed Rankin, Executive Coach and Founder & President at Manera Group in Dallas Texas, believes that coaching offers small business owners an increased level of self-awareness with respect to their strengths and weaknesses, better focus, and tangible strategies and tactics for addressing real-world concerns. He also states that “coaching helps people become more effective by bringing clarity to real challenges and opportunities.”
Virg Setzer, President and Executive Coach at Performance Point Solutions LLC, has many years experience as an internal and external business and executive coach. He feels that coaching offers up the following benefits for small business owners:
- A fresh and objective view of a small business owners situation
- A unique, competent and confidential resource that may not be available within the organization
- The opportunity to have a “partner” in your small business that is focused on your success
- A confidential partner that is available to test ideas and brainstorm possibilities
- Assistance in looking at the “big picture” and long term results as well as short term goals
- The opportunity to get challenged and receive candid feedback
Opportunity for Strategic Thought
It is a well known fact that owning a small business can be all consuming – so much time is spent on managing the day to day tasks that little thought ever goes into strategic planning. Gina Duvall, Owner of Business Sculpting, expands on the benefits of generating new ideas and focusing on strategic thought. “Coaching is a great opening for this kind of thinking. Left to their own devices, small business owner won’t get off the merry-go-round of finding the next customer, or producing more widgets, long enough to engage in critical thought,” says Duvall. “Having a business coach allows this to happen and have it happen within a partnership. It’s easier for a business owner to do this kind of thinking in partnership with a coach, as opposed to locked in their office alone hoping to not be interrupted.”
One might assume that the primary benefit of having a business coach would be an ample supply business advice. Not really – the benefits of a good coach extend beyond management consulting. “Many people start a business without understanding their real motivation and a good business coach can do much more than just work on the business process – a good consultant could do that. We ask different kinds of questions and have a different quality of conversation,” says Anne Wilkinson, Managing Director at Executive Playground Ltd in Birmingham, UK. “A coaching relationship is based on skilfully guiding a client through a process of increasing self awareness backed up by solid business acumen. This has the added value of increasing confidence and establishing a better process for making decisions in the long term.”
The Coaching Relationship
In my opinion, a key benefit of coaching is the opportunity for small business owners to develop a special relationship that adds real value to their organization. Francis Laleman, International Consultant, Coach and Trainer at Beyond Borders Training and Consultancy in Antwerp, Belgium, believes that “the mere fact of having an objective outsider at hand, someone who delivers insights from experience, who asks the right questions, who doubts the answers given, who suggests alternatives and ponders over chances and opportunities, can really have a miraculous effect.” In Laleman’s opinion “the key strength is in the mutual process of the business owner and the coach, working gently together in order to understand the dynamics of growth and change.”
What to Look for in a Business Coach
There are some set criteria that you should look for when hiring a business coach. As with any other position within your small business, experience, is a key factor. Gil Gerretsen, President at BizTrek International, Inc in Greenville, South Carolina, suggests that you look for a combination of business experience and a history of proven results
and warns that “too many coaches shoot from the hip with counsel based on a limited set of experiences in one venue/industry.”
Anne Wilkinson advises that you look for a coach that has general business experience as well as specific experience in the areas of your business that you know you need to develop. “I personally don’t agree with some of the coaching purists that say you can be a good coach without the business experience. My clients expect me to understand their business issues and wouldn’t tolerate a coach they couldn’t respect.”
In addition to business experience, Ed Rankin reminds small business owners to not forget that coaching in itself is a special and important skill. “A coach should be educated and trained in the process of coaching. Coaching is not
mentoring, consulting, advising or counselling. It’s something different.”
Coaching Case Study
Merri Bame, an Executive Communications Coach, shares the following real life coaching story:
The owner of a small business came to me with a common, yet fragile matter. He had been an owner for several years while his mother remained board president.
What “John” experienced was the demotion of his authority every time his mother was present. From John’s perspective, his staff, managers and board all viewed him with little respect in her presence. He came to me, (an outsider; a neutral third party) for fresh perspective on how to have a very honest talk with her because he was intent on releasing her from her duties. With two major relationships hinging on this outcome, “John” was at a loss on how to proceed. Since this was a single circumstance, we met for an hour to give him
guidance on focusing on the intent (restoring good relations) while broaching a difficult subject, and also wanting a good outcome.
John learned he could speed up (in his career and influence) if he chose to slow down (to address things properly and with care). Without a third party coach, he didn’t feel neutrally supported. And using one, he experienced a new way to address both conflict resolution and professional growth.
How to Find a Business Coach
Your needs and comfort level will have some bearing on searching out a business coach. For example, if you prefer
face to face coaching, you will need to search locally, whereas, telephone coaching presents the opportunity to engage in a coaching relationship outside your geographic area.
In Gil Gerretsen’s opinion, face to face coaching offers more value to small business owners. He suggests looking for
someone in your area by checking with your local Chamber of Commerce or asking for referrals from other local small business owners. He adds “if there is no one available locally, check the nearest big city and drive to see them there.
Before I first launched my business, I flew to Los Angeles once per quarter to meet with my coach. It was worth every penny!”
Another thing to remember is to ask any prospective coach for references, training background and accreditation. “The best way, really, is to find a coach on personal recommendation because then you know what you are getting,” says Anne Wilkinson, “Certainly go for a professionally trained coach, even if they are not certified.”
The Heart of Coaching by Thomas G. Crane states the following: “As coaching becomes a predominant cultural practice, it will create a performance-focused, feedback-rich organization capable of creating and sustaining a competitive advantage.” If you are open to the process, coaching can provide you and your small business with a number of great benefits – and offer a new perspective on how to plan, manage and grow your organization.
Resources:
Worldwide Association of Business Coaches, http://www.wabccoaches.com/
International Coach Federation, http://www.coachfederation.org
Contributor Links:
Gil Gerretsen, BizTrek International Inc, http://www.biztrek.com
Ed Rankin, Manera Group, http://www.maneragroup.com
Gina Duvall, Business Sculpting, http://www.bizsculpting.com/
Virg Setzer, Performance Point Solutions LLC, vsetzer@gmail.com
Anne Wilkinson, Executive Playground Ltd, http://www.executiveplayground.co.uk/
Francis Laleman, Beyond Borders Training and Consultancy, flaleman@telenet.be
Posted in Leadership, Strategy | 1 Comment »
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