The good news is the economy is still growing, although slowly. Inflation is low and interest rates are at forty year lows. Mr. Greenspan appears to have finally got the message and is now consistently flushing the money supply. Yields on five year treasuries are now lower than dividend returns on many major corporations. Real estate refinancing at lower rates has enabled consumers to continue their spending. Automobile financing incentives have also enabled that sector to continue at a brisk rate.

The bad news is that there is no investor confidence in the system in general and corporate America in particular. This lack of confidence has now shifted from the well publicized instances of corporate fraud to a basic skepticism that corporations can earn legitimate profits from their primary business activities. In truth, there is little or no pricing power as a result of excess capacity and this is impacting capital spending - especially technology. That's bad enough, but corporations continue to push accounting and business practices envelopes to meet or beat quarterly estimates and guidance.

The potential positives are that negativity and pessimism of the current magnitude usually occur more toward major market bottoms than tops.

The key policy initiative is now to reflate the world economy and that may include some decline in the American dollar, which would be positive on several fronts. Central bankers are a cautious lot, but gradually, this policy option is coming into focus. Measures along this line would also fuel stock markets.

.............................................................................................

Listening

There was an old owl that lived in an oak,
The more he heard, the less he spoke;
The less he spoke, the more he heard,
O, if men were all like that wise bird!

Punch magazine, LXVIII, 155 (1875)

Why do people have two ears and one mouth? It's probably because we are meant to listen twice as much as we talk. Or is it because listening is so much more difficult than talking? Listening shows that you care, that you have empathy and are prepared to be influenced. It also allows you to understand where the person you are communicating with is coming from. Here are the golden rules of listening:

1. Give the other person your undivided attention. Don't do other work or take calls while you are listening.
2. Talk less or don't talk at all. This will force the other person to speak.
   
3. Find a quiet place to listen. Avoid places that are noisy or have other distractions.
4. Listen to be influenced. Concentrate. Don't allow your mind to be absorbed with developing rebuttals.
   
5. Let people finish their points. Only when they keep repeating the same point should you interrupt and indicate your understanding.
   
6. Show that you are interested. Do this by nodding or periodically saying yes and leaning forward.
   
7. Maintain eye contact without staring.
   
8. Show positive body language. Lean forward. Look interested. Face the person who is talking to you. Smile occasionally.
   
9. Ask for clarification if you are not sure you have clearly understood a message. Or summarize your understanding by saying, "So what I hear you saying is --. Is this right?"
   
10. Ask open-ended questions. Such questions help get at what people feel rather than eliciting responses you want to hear.
    
11. Be empathetic. Even if you disagree with another's views and sentiments, you are learning; try to see things from thier perspective.
    
12. Be patient. Some people take a little more time to articulate their thoughts. Wait until they have completed their points of view before responding.
    
13. Watch for non-verbal reactions during conversations. Most of what people think doesn't come out of their mouths. Observe their facial expressions, posture, gestures, and eye movements to evaluate what they are thinking.
    
14. Keep pace with the speaker. Don't jump to conclusions or fill in the gaps.
    
15. Allow people to finish their own sentences. Don't jump to conclusions or fill in the gaps.
    
16. Let others finish before you confirm your understanding. Train yourself to count slowly to five before interjecting or responding.
    
17. Learn to let short, comfortable silences descend on a conversation. Silence encourages the other person to fill the void.
    

Cy Charney, President of Charney & Associates Inc. (905-886-5606, www.askcharney.com ), is a leading Canadian management consultant focusing on organizational performance improvement. The above is an excerpt from his book, The Portable Mentor, published by Stoddart.

CFO
Ken Stouffer, ext. 315

• This individual has that winning combination of technical ability, street smarts and outstanding interpersonal attributes. He has a CA and CPA and 11 years of manufacturing experience, most recently as the CFO of a $700 million dollar per year operation. His long list of accomplishments includes settling an international tax issue that resulted in net savings to the company of $3 million. He was also a key member of a management team that brought about double digit increases in income and cash flow for five consecutive years. He has a very strong track record of bringing about cost reductions.
  

FINANCIAL REPORTING MANAGER, B.Comm., CGA
Tracy Shott, ext. 275

• A dynamic and driven Finance Manager with over fifteen years experience in major manufacturing environments.
  
• A proven track record in team building comes from excellent interpersonal and leadership skills.
  
• Has strong consolidation background and excellent technical ability. Strengths lie in enhancing financial reporting systems and policies.
  
• Looking for a management role in a corporate planning environment where an impact can be made on business development through effective financial and reporting planning.

.............................................................................................

ASSISTANT CONTROLLER
John Maybury, ext. 281

• An outstanding Accounting Manager wo is ready for the next step.
• A CGA with a passion for accounting.
  
• As a result of this she has already identified and made significant savings in her current role.
  
• Experience in AP, AR, financial reporting, variance analysis, budgeting and management of people.
  
• Preferred locations are on the west end with a salary in the 70K range.
  

• A strategic planner with superior sales and marketing skills.
• Committed to total customer satisfaction.
  
• 15 years plus managing sales teams of up to 55 representatives in Canada and US
  
• Sr. Mechanical Engineer, designated with a P.Eng.
  
• Established and managed cross-border distributor and reseller networks that resulted in increase Canadian sales of 900%.
  
• Experience includes 10 years in the HVAC and field sales in telecommunications and high tech.
  

.............................................................................................

SALES DIRECTOR - TECHNOLOGY SECTOR
Bruce McAlpine, ext. 309

• 15 years of President's Club awards for sales overachievement.
  
• Success includes sales of CRM, billing, and SAP systems, massively parallel decision support processing systems, and outsourcing of people, processes and technology.
  
• Multi-million dollar deals reflect an ability to sell conceptually at the highest level, understanding the need to differentiate value propositions to suit the audience.
  
• Creative thinker, able to sell new service offering ideas internally.
  

DISTRIBUTION MANAGER
Silvio Rossi, ext. 306

• Strong experience as an implementer of RF_PKMS WMS system.
  
• Excellent project management and has helped set up and organize a 500K sq ft warehouse.
  
• Experience dealing with major Tier 1 retailers.
  
• Very dynamic, outgoing and bottom-line focused manager.
  
• Excels in a fast paced environment.
  

.............................................................................................

"Our people are the key to our success?" How so very often we have heard executives mouth these words. But then, how very often we have also heard their people mutter words such as, "Oh yeah, well, if we really are the key, how come they don't ... " Of course, it is true. In this increasingly competitive, knowledge-based and customer-driven economy your people are absolutely vital to how your enterprise performs. After all, pretty well everything that is done in your organization is done between and through people.

Yet, it never ceases to amaze me why management powers-that-be don't devote more effort to accessing all the talent that they have paid for. There is such a phenomenal additional return to be generated if they only would.

I am going to assume you are not like "them." I am assuming you do want to access some of that rich untapped potential contribution of your employees. How do you go about it? Well, you have essentially two ways.

The first is through what most companies the world over are rushing to do—leverage employee production through technology. It's no surprise that technology is the fulcrum of choice. It brings results relatively quickly and these results tend to be clear and measurable. You can calcuate a rate of return on your investment in technology. And there is no question that high-tech processes and information management systems have had a remarkable impact on the speed and quality of analysis and decisions people make.

But while technology tools leverage our interfaces with machines,information and distance, there remains a second, much deeper reservoir of untapped employee potential. I refer to the human element—what some people call the "soft side." This element involves both an internal and external focus.

The most successful and effective individuals possess a strong internal will to do better, to contribute more, to stay focused on results, and to grow and become even more effective. They intrinsically value other people and work hard at mastering interpersonal skills and a better understanding of themself. The impact of this emotional intelligence, to use author Daniel Goleman's now popular term, is superior effectiveness when dealing with such external situations as:

• interfaces with other people in and beyond the organization
  
• customer/client service
  
• resiliency in face of challenges and change
  
• bringing out the best in staff
  
• harnessing group synergy for creativity and fast results
  

The good news is these attitudes can be developed and these people skills can be learned. All you have to do is move the fulcrum ...

In physics, you move a FULCRUM along a lever to create mechanical advantage. This increased leverage enables you to apply the same amount of FORCE and move a greater WEIGHT. In your organization, the "force" is your investment in the salaries, wages, benefits, and allocated fixed costs of your people. Three key "fulcrums" are

• the leadership style of your managers and supervisors
  
• the processes and interpersonal dynamics of your teams, and
  
• the personal accountability which your individual contributors accept for their performance and their interpersonal effectiveness. The "weight" moved is the results your people ultimately generate.

You deserve a high leverage return on your investment in people ... and it is there for the taking. Let me suggest the learning curriculum your organization should be offering in order to access that part of your people's potential that shows up for work but does not get put into play. The recommended programs are grouped under the three key fulcrums mentioned above: Leadership, Individual Contributor Effectiveness, and Team Synergy.

Leadership

Nothing inspires people more than great leadership. At its core lies the persistent application of vision, involvement of followers and a belief in their fundamental ability to perform well.

Leadership is not just for top executives. Nurture it at all levels. Teach it to your managers, supervisors, project leaders and lead hands. Whether guiding a department through a period of transition, creating a supportive, gratifying atmosphere for staff, or coaching the best out of a struggling performer or high potential employee, the aspiring leader must be sensitive. He or she must be aware of both the impact of his/her own style and the current needs, fears and hopes of those whom he/she leads. Your leaders should be learning how to:

• Manage through others
  
  • Motivating and focusing staff
    
  • Recognizing and rewarding results achieved
    
  • Developing an optimum style
    
  • Clarifying vision, mission, values, and priorities
    
  • Ensuring high performance standards and results
    
• Coach for individual and team performance
  
• Manage change and personal transition
  
• Deal with conflict, resistance and so-called "difficult people"
  
• Run a meeting effectively
  

Individual Contributor Effectiveness

Individual effectiveness combines a distinct set of skills with a clearly defined attitude about one's personal accountability in life and work. The skills, which all can be learned, fall into four essential categories:

Self-Direction—Establishing purpose and goals for your job and career

• Identifying (and updating) what is important to you
  
• Determining your personal strategic career direction
  
• Planning, to transform your job and career goals into action
  
• Self-Awareness—Of one's own style, needs, preferences and impact on others
  
• Taking stock of your skills, knowledge, experience, attitudes, external resources and overall current situation
  
• Obtaining feedback on how your style is experienced by others

Self-Management—Daily focus on priorities and maintenance of positive mental, emotional and physical states

• Self-organization & time management
  
• Harnessing cognitive and creative capacities through mental techniques
  
• Performing well during pressure and stress
  
• Maintaining health and physical fitness
  

Self-Presentation—Expressing yourself in a variety of ways

• Clear, assertive face-to-face communications
  
• Networking and influencing others
  
• Projecting the appropriate, professional image
  
• Concise and persuasive writing
  
• Negotiating for win/win

Team Synergy

A "team" can be a group of functional managers, a distinct department, a self-directed work group, or a temporary project team. Whenever people collaborate to perform a task or make a decision, we have a potential minefield of conflicting perceptions, agendas, needs and work styles. High performing teams focus on results and are willing to address, when required, how they are working together. Teach your teams how to:

• Boost their performance by...
  
  • Understanding human dynamics in groups
    
  • Establishing agreed-upon operating guidelines
    
  • Clarifying deliverables, expectations, roles and leadership
    
  • Creating trust and openness
    
  • When stuck, taking time out to deal with it
    
  • Building individual member buy-in to a shared vision
    
• Tap into the creative potential of the group
  
• Kickstart a newly formed team
  
• Deal with conflict, resistance and so-called "difficult people"
  
• Run a meeting effectively
  

While you cannot pay your people to want to put out extra effort, your leaders can help coax it out and your teams can foster a spirit of going the extra mile. But, ultimately, it is up to the individual. What is your organization doing to develop these skills and attitudes? Focus on them. Move the fulcrums. Leverage your people investment for organizational and business success.

Ian Cook, presenter and consultant, is an expert in assisting managers and supervisors build strong teams and get more from their employees through modern leadership approaches.

Ian can be reached toll free at: 1-888-FULCRUM (385-2786) or ian@888fulcrum.com

............................................................................................

by J. Christa Thomas, Lawyer

Firing an employee, even if you think that person is grossly incompetent, can be a risky venture. If you do it for the wrong reasons, or in the wrong way, a court may force you to pay damages to the employee. Fortunately, there are several steps you can take to reduce the chances of being sued.

1. The Employment Contract

A well-written employment contract can help you avoid a lawsuit. Be sure to review it for provisions that limit your ability to fire:

• Guaranteed employment for a fixed period of time
  
• Job security promises
  
• Conditions that limit firing to specified causes
  

The contract should specifically spell out an employee's obligations to you. If the employee isn't performing well, chances are that they are in breach of the contract, giving you the legal right to terminate the relationship.

If there is no written contract, the law views the employment relationship as an on-going one of indefinite duration. The relationship can be terminated for just cause, reasonable notice, or payment in lieu of notice. But, a written contract is strongly recommended.

2. Reasonable Notice

The Employment Standards Act (ESA) for Ontario imposes a mandatory minimum notice period of one week per year worked. But in case after case, the courts have stressed that the ESA is a minimum guideline only. In determining the appropriate notice period, courts take into account several factors:

• The employee's position
  
• Work performed
  
• The ability to find other work
  
• Length of service
  
• Age
  
• Security provisions in contract
  
• Whether they were persuaded away from another job
  
• Whether or not they have attempted to find other work
  
• The employee is entitled, during the notice period, to whatever benefits they were receiving during the employment. This may include vacation pay, insurance, and health/dental care.

In many litigated wrongful dismissal claims, there is a claim for mental distress and/or punitive damages, which can lead to large amounts of money. Although punitive damages are rarely awarded in wrongful dismissal cases, they are awarded in cases where the employer dismissed the employee in an unseemly way (ie: claiming just cause when none existed). Mental distress claims tend to be successful where mental suffering was caused by an unkind or improper behaviour during the firing (ie: physically escorting an employee out of the building in front of peers).

A dismissed employee is required to reduce damages by attempting to obtain other employment as quickly as possible. They are obligated to attempt to find equivalent employment at equivalent compensation.

3. Just Cause

If you fire an employee for cause (ie: theft) you must pay them amounts owing, but do not need to give them notice. But, it is extremely difficult to establish cause for dismissal in the courts. The onus is on the employer and the standard of proof is high. Be sure to have followed these steps before dismissing an employee:

• Proper warnings and opportunity to improve
  
• These should be clear, concise and in writing
  
• If a specific problem occurs, confront the employee (verbally and in writing)
  
• Give the employee a chance to explain
  
• Check performance appraisals
  
• Check raises/bonuses/incentive payments to ensure that you're your actions are consistent with the position that the employee is not performing well
  

Smart Tip: If you regularly let some employees engage in prohibited conduct, you'll be on shaky legal ground if you fire others for the same reason.

4. Conducting a Safe Exit Interview
Follow this list to ensure a safe dismissal session:

• Have two people present, in case there is a dispute about what went on
  
• One person should speak, while the other takes notes
  
• Say why you are firing the employee
  
• Remind them of the warnings you gave
  
• Ask the employee to return all documents and records belonging to the company
  
• Remind the employee to maintain the confidentiality of the company's business after thier departure
  
• Make arrangements for the employee to remove thier personal belongings at your mutual convenience
  
• Tender a cheque to the employee for outstanding salary, commission, vacation time etc.
  
• If the employee disputes the amount, make a record of their version, and offer to get back to them
  
• Obtain a release
  

Always listen to the employee, but do not argue with them. Things said in the heat of the moment may come back to haunt you later. Do not call the employee incompetent or dishonest as such statements may later form the basis for a defamation suit.

The Final Checklist

• Consult your legal advisor
  
• Review and comply with the employment contract
  
• Review and comply with any written company procedures regarding firing (ie: manuals, internal policies)
  
• Ensure you follow the same procedures as were followed in similar situations with other employees
  
• Give the employee adequate and documented warnings that they will be fired unless improvements are made
  
• Conduct a sound exit interview
  
• Do not discuss the circumstances surrounding the termination with anyone other than the employee to avoid a defamation/character claim
  
• Consider offering a termination package that the employee may receive upon executing and delivering a release of liability to you.

Smart Tip: If you are asked to give a letter of recommendation, or are called upon by a prospective new employer, it is safest to just confirm the position held and dates of service.

.............................................................................................

Ken Stouffer , CPC
Senior Associate

Ken has 15 years of recruiting experience and has been with our organization since 1992. His area of specialty from the time he joined the company has been accounting and finance. Ken recruits the most talented people available for positions ranging from Financial Analyst to CFO.

Ken has a B.A. from the University of Toronto and is a Certified Personnel Consultant (CPC). Ken has been awarded the title of "Consultant of the Year" once and is consistently one of the top billing consultants in the company.

Ken's client base includes some of the largest companies in Canada as well as a number of medium and small businesses. The industries include financial services, professional services, retail and consumer-packaged goods.

Ken's clients appreciate his ability to listen carefully to their needs. Through gaining a thorough understanding of their needs, and his years of experience, Ken is very adept at only putting forward candidates who are highly suited to the job.

Outside the office Ken stays busy as well. He is a director of a federal political party for his riding and is a deacon in his church. He also plays basketball and enjoys wilderness canoe trips. Ken and his wife have 5 children ranging in age from 22 to 10.

If you have any questions or comments, you can contact Ken at Ken.Stouffer@fulcrumsearchscience.com
or ext. 306.

Fulcrum Search Science Inc.

• Serving the Toronto business community since 1971 with well over 11,000 successful assignments
• Members of ACSESS & NAPC
• We have had continuous representation on the national board of ACSESS for almost 20 years, including two past presidencies and the current presidency.

Fulcrum Search Science Inc.
85 Richmond Street West, Suite 702
Toronto, Ontario M5H 2C9
Tel: 416-847-4990

www.fulcrumsearchscience.com

Subscription Contact:

Cathy Cheng
Career Support Specialist
Fulcrum Search Science Inc.

Unsubscribe | Subscribe

For More Information Visit - www.fulcrumsearchscience.com

Thank you for reading The Fulcrum Quarterly Newsletter.
Copyright 2003 Fulcrum Search Science Inc.
All Rights Reserved.