I’m Matt Manero back in the studio with Judge Graham. Today is Thursday. The question we have for you on this podcast is who is doing, what, what on earth does your org chart look like? The organizational chart in your office? Who does what here’s, where it spurs. And I hope you appreciate the podcast because the stuff that Judge and I are talking about, isn’t that we read in books.
Dude, we’ve experienced all of this in our business career and we still experience it in our business career. We had a group of attendees at the last burn, the ships, um, a great group of guys came in and as we went around the room to do introductions, three of the six guys introduced themselves with the same title. I think it was VP of sales.
I’m like, well, you guys get that many salespeople that you need three VP of sales. I mean like, no offense guys.
We’re five minutes into the, into the bootcamp. And I already see a problem here. Right. And they laughed and they looked at each other and they instantly knew where we were going with it. I mean, they knew there was a problem with who’s doing what in the organization and, and you know, it judges as well as anybody, we walk into companies and everyone is confused about who’s in charge of that. Yeah. Right. Yeah. And it’s a bigger problem too, because then everybody’s trying to do the same job and it’s just one neck to the truth.
Yeah. Who who’s responsible. Who’s getting it done. I thought Steve was no, John was, Oh nightmare. It is a nightmare. So it’s really simple. The first thing you do, we, we refer to these as Monday moments. The first takeaway that you can do on Monday for this, whenever you listen to it is you’re going to map out the organizational chart of what you want your company to look like. Doesn’t have to be where it is today. So what does it look like? Do you anticipate having a board of advisors or a board of directors, is there going to be a CEO? Is there going to be a president? So going to be a president who is the CEO or vice versa, or they’re going to be two separate deals.
Are you going to have a COO or not? Are you going to, you have to have a marketing department, you have to have a sales department. Do you have to have an it department? You have to have an operations department, have to have a shipping department. Do you have to have a development department? Do you have to have an accounting department map this thing out and then subsections to the department? Are you going to have smaller groups factions within each of the departments?
Right? That we talked so much about niche.
If you’re in the sales side of things, are you going to have unique verticals? Right? We’re a digital marketing agency and this group handles real estate. And this group handles dental. And this group handles insurance, whatever it happens to be map out the org chart of what you want the company to look like because you and I can build it out generally, which would work for many businesses, but your business is going to be somewhat specific. Look, you know, if you’re a service company, selling insurance products, you’re not going to need a shipping department. I think the, the important thing here too is, you know, if a listener is going to go, I’m a sole proprietor or I can do it.
Doesn’t matter. What should eventually your org chart look like the scale and you need to grow into it, right? You need to dream of what a real company at scale will look like before you could even start to get their house, You get there. And then once you built it out, now you’re going to go back and you’re going to fill in the names of the staff that do this, or don’t do it or, or missing not do it. Yeah. And what you’re going to find is if you are that solo preneur, it should, again, it’s the scale with speed podcasts, not the do do as little as you can podcast, you’re going to realize that your name is on all these different departments. And that in itself is a pure problem. The sales guy is often not the marketing guy.
The sales guy is most rarely Who Is Doing the accounting guy or the operations guy. Right. But if you’re doing all of it, you’re probably a Jack of all trades and a master of none. So the first thing you gotta do is you better get hired by somebody. Now let’s say that you do have the people on staff who are in charge of what one neck to choke. And when we talk about that example of one neck to choke and burn the ships, bootcamps, that, we have a very aggressive visual of it. And I think people take it as is. It’s sort of like a physical thing we’re talking about from a responsibility standpoint and who’s in charge, who’s in charge of that process. And not only that Who’s in charge of the process, how do you, how are you measuring success or failure? Totally. You need both to be in charge.
How do you measure success or failure in most organizations, Matt, that we see are riddled with, you know, who does what right? I mean, and I’m, I’m looking at it at the team here. This is really Matt’s team. We’re in this beautiful studio and in Matt’s new office. Right. And, and, um, we’ve got two amazing guys in here. One is dressed just unbelievably. Yeah. I mean, he’s got, he got the Cheetah, he’s got cheetah print on and cheetah shoes. It’s awesome. Good. But, at the end of the day, you’ve heard me Matt on this, or you I’d say, okay, Z are you Let’s do it Z. What do you do in the commercial fleet? And the video editor here. Okay. And Ramsey, what do you do at commercials? Um, I’m in Legion, uh, marketing website management emails, videos. No, that’s the CS job solely. You do paid ads. No. Yeah. It’s great. Right? I mean, it’s clear and using that example, right. With just that context you gave, because this is a great example, Matt. Okay.
Me in here, they’re doing a podcast together. Ramsey has headphones on right now in this film mean Z has a, you are filming is next to a microphone. There’s all these lights and everything. One would assume they’re in marketing. We are, or who’s, who’s editing in the video. Right? Very clear. Now Z is going to be responsible for the video. Ramsey is going to be responsible for if we want to put ad dollars or whatever together. So like it, you need that, right. Versus if we finish this podcast using this example of Ramsey and Z and Matt goes, all right, guys, when is this going to be up? I’d like it up Friday. And these guys don’t know who’s doing what, what’s the type of answer. They’re both just going to nod their heads because they don’t want to do it. And then they’re going to walk away and nobody’s probably going to get done because Ramsey’s thinking Z’s doing it. And Z’s thinking Ramsey’s doing it. And the big boss comes back in, where is it? Friday? And where is the video? And then they both look at each other and go, I don’t know. I thought he was doing it. And that happens all the freaking time. Quit coming into meetings. And just assuming whatever you ask, it’s done no in the meeting and go, okay, Ramsey, how are we getting this done? Who owns what in when? And let me be clear, how do we measure it? And if it doesn’t happen, I’m coming to Ramsey for this.
And I’m coming to Z for that. It’s simple. But Two bullets. Now we talk again, one neck to choke. Everybody has this negative connotation, right? That neck to choke means they did something wrong. How about you reverse it? How about one neck to celebrate Z doing an amazing job editing the video. I usually do the optimistic things or the negative. [inaudible] Let me see efforts because they’re working. I mean, it’s it, you don’t know who to celebrate because you don’t know who’s doing what. So the Monday moments, so simply map out the org chart, the organizational chart of how your business is supposed to look, not where it is now, but how it’s supposed to look. And now that you’ve done that, figure out who put the name of the person on staff This transcript was exported on Nov 17, 2020 – view latest version here.
That does it now, and what you will most likely find is there’s tremendous overlap in these departments. Jenny is doing sales, but she also does a little bit of marketing. And she also does a little bit of accounting on the side. And you will begin to realize where the holes are. Now, the question we always get when we talk about org charts at burn, the shifts from the ships.com, check it out. I can’t afford, I can’t afford to hire those people. How am I going to do it? I know I got the holes in the organization. I can’t afford to do it. You know how You do it? My comp I’m jumping the gun here and it frustrates me so much. How do you afford to get the org chart? Okay. My perspective. And you may have a different one, man. We’ve, we’ve, we’ve, you know, done this so many times that it burned the ships. We had like 250 people come through at this point, right? If you have to map it. We all agree to map what it needs to be. And then you have to have a realization in your life. At what point do you, why will I make more money by not cleaning the toilets or not doing the accounting or not making the sausage in my unique ability right now, this entrepreneur is selling. And I’ve taken the time to realize this. If I take the chance calculated by the next body, I need an operation and delivery and it’s going to free me up 50 or 60% of the time to sell more. Therefore I make more revenue. It’s just a math equation. Yeah. The fundamentals to the dollars and cents to buddy, which we both know is yeah, you can take a pay. Cut. Yeah. That’s the best you got to make less money. Yeah, . You make less to make more. That’s just how it plays out. You are going to take one step back to hopefully take two steps forward. Yeah. But you know, I, I, I, what if I make the wrong hire? What if I hire the wrong person to run that dude, follow the system to burn the ships. So you don’t make the wrong mistakes. I mean, that’s how it plays out. It’s a culture thing. It’s a personality index thing. It’s an interview process thing. It’s an expectation thing. It’s a niche domination thing. It’s all that we talk about and burn the ships to offset the mistake of taking the step back, taking less and, and, and going forward. Now we know this dude. We’re not, not to get, we’re not going to get too deep into one of the businesses that we’re in, but we have this challenge right now where the compensation of one of the partners is stressing the business. It’s impacting the ability to make strategic hires because of the cashflow demand on one of the, One of the partners. But you know what we’re doing on that, right. We’re solving it, right. We’re I mean, this should be another podcast of actually how we solved this problem.
But we basically through transparency and through financial presentation have told the story of the comp creating the problem. And now we’re coming up with a middle ground in which this person is going to go to a smaller base salary and an unlimited upside on what they eat, what they kill. If they’re going to have to sell, to pay for the difference for the listeners. Think what? That was just created There. Okay. We are, we are cash constrained because of, uh, you have a partner Or your yourself or your wife, won’t take a pay cut, Whatever it is, dude, we’re not saying go make less money in this scenario. We’re saying, go make more money, but you’re going to have to put more work in, okay? You, you, you want to, you want to grow a company. And if you’re in part of this company, is this guy’s been able to pull this amount. Now consistently a rabbit out of the hat for eight or nine years, we took this business over right by us coming in and saying, yay.
Yeah, that we can’t have that anymore. Here’s your new salary, but you’re the primary sales guy. If you go kill this dude, you’re going to make more. But what does that do? Now? We have decisions and investments we can make against that reduced reduction in the salary. And there’s a new found urgency and pressure on that individual to perform, which does what Matt compress time This transcript was exported on Nov 17, 2020 – view latest version here. Creates momentum. And it’s just going to change it. So, so you can do this. All it is is a math problem. There are always going to be different math problems, but do you want to win or not? That’s win or not Exactly. That’s exactly what I was going to finish. At what point, at what point do you say enough? The eight hours, the nine hours, the 10 hours a day. Aren’t getting me what I want. And so now I’m going to do two years at 80 hours a week. That’s the question you have to ask yourself. And everybody who started from nothing and made it has done that. They’ve said, I’m going to make less than I’m going to work, but now I’m going to do it more strategically. I’m going to do it with a better end game. The vision is crystal clear, and I’m going to win. Yeah, because I’ve been losing for too long When the difference, and this is a different podcast. We should do this online. This idea of when, because every most people’s idea of win is 75% on. Okay. I can tell you 75%. Let me just let me frame my, my story. Cause, uh, Mitch, the guy I work out with . He’s about to start only, only accept greatness and his whole new venture after our workout this morning. I said, I said, Mitch, one thing I’m going to give counsel. I said, dude, we’re going to get the positioning lockdown.
The offer, the niche, the website. It’s going to be unbelievable. Okay? If this thing fails, that’s on you. Okay? In, in what you have to take to this Mitch, your discipline in how your body and your diet and your work did. That is the same thing. That’s going to have to happen to this business because I can promise you when I ask you won’t have that conversation with Jordan. I said, these five years have to look like this. They can’t kind of look like this. They can’t 75% look like this. They have to , daddy’s not going to be home. I’m not going to be the greatest father. I’m not going to be the greatest husband. I’m not going to be present. I’m going to live on a plane. I’m going to work 120 hours because I built the plan and what was required to be successful. I didn’t deviate from yeah, but most people, Matt, they don’t want to do what they don’t want to win. And look that’s okay too. You just have to understand how that plays out. I’m fired up. Don’t be, don’t be worried about it.
That’s how it plays out. Y’all it’s all an individual decision and judge, and I remind you that you’re listening to the scale of speed podcasts and you’re not listening to how to get the bare minimum done podcast. It’s not fair. I want to eat right now. It’s not fair to you. It’s not fair to your kids. It’s not fair to your wife because what happens, Matt? When you don’t go a hundred and you go 75 and let’s say it’s two years or three years, dude, at the end of those three years, you still did the 75. And guess what? It’s just as painful or more going into year three. And it’s worse. Yeah. It never gets better for most business owners, dude. I mean, just, just walk into nine of the 10 businesses that you will exchange dollars with over the next week. And you will see it. The owner hates it. Yeah. The sandwich shop where he’s still there.
The lady, uh, that played that at the deli this morning, you know what outcome does she have? The only outcome she has is closing the doors and starting something else. It’s over that time that will not heal that wound. Yeah. Well we are on an insurance podcast and you know this, you know, somebody was saying, you know, man, I’m, I’m, I’m killing it in my business. How, how many, how many people do you have? We got three. That’s not killing it. If you’re killing it with three, why don’t we have 300, right? Like, yeah. I hope you guys are getting it, man. This is an important one. So what did it take was so they needed to build the org chart. First thing is they got to build the org chart. They have to map out what the business is to look like. Not where it is today. The second half to start putting names of who’s in the organization, into the org chart and begin to recognize that you’ve got holes in it. Or you got lots of people doing lots of things. And therefore you got jacks of all trades and masters of none. And the third piece, which is always hardest. And we always get this comment. This is the sidebar. Nobody’s nobody raises their hand to burn their shoes. This is when we’re smoking a cigar, whatever on Thursday night, it burns. The ship is where the guy talks to us about. I can’t swing it. I can’t afford it. Dude. You are going to take a step back financially to take two steps forward. And, and here’s the, the thing you and I have done it. We’ve told the story of that big time sales guy that you hired at one you’ve hired, the data scientist you won every single time that I have taken a step back to take two steps forward, relying on other people to do work.
That was not my super power. I have one. Yeah. I mean, if I was to look at you using me as the example in that five-year window, we always talk about from [inaudible] scaling to selling five years, no money, year one, barely any money year to barely money in year, three, little bit more money in year four, lots of money. You’re five, lots of money. Exit. Yeah. W w what game are you playing? Yeah, right. Yeah. True. What’s the end game? We were on that podcast the other day. And, uh, I said to the guy, the number one takeaway from burn the shifts, and there’s so many of them, but for me, the number one takeaway for, for an attendee is did you create the end game?
Because that is what 99% of real businesses are missing. They don’t know what the , why are we dealing with them? This pain. Yeah. And part of that plan is the one topic Matt and I’ve been talking about. So that recap builds your freaking org chart, who needs to be in there, do your math problem, which is going to end up being, how do you sacrifice to just do it? Just execute? Well, it was helpful. We’ll see it down the road and as always make it happen!