Follow the Leaders
Let’s Not Forget What We’ve Learned
There’s really no other event like the VACEOs Annual Retreat, is there? This year, we were asked to open our minds, examine why we serve and acknowledge how we perceive our work. (As a job? A career? A calling?)
We were asked to have the courage to be candid and consider how difficult a trek through No Man’s Land would be. Our Learning Labs taught us things like why we should hire hunters instead of farmers, and how we can protect our financial assets from theft. We had the opportunity to learn the ins and outs of employment and cyber-security laws.
We expanded our viewpoints, made new contacts and laughed a lot – but let’s not forget what we learned!
We’ve taken the time to publish a few highlights and give you an assignment or two.
Links:
FBI and VA CEOs Partner Up Against Cyber Threats
Question: What is one of the fastest growing forms of crime in the world – and possibly the most lethal threat to your business?
Answer: A malicious cyber intruder determined to compromise your company’s computer system and all of the precious customer, employee and financial data it contains.
Pretty scary, right? So how, as owners of small or mid-size businesses, can we arm ourselves against those who are intent on destroying what we’ve worked so hard to build? That was the topic at the center of our most recent VACEOs Quarterly Luncheon, where the theme was “Protecting Your Business from Cyber Threats: A Practical Discussion.”
Adam Lee, Special Agent in Charge (SAC) of the FBI’s Richmond Division, joined a panel of our own experts: Clay Westbay of Synergy Technical; David Crisafi, Special Agent, Federal Bureau of Investigation; and Julie Gustavsson, COO of Keiter. The group provided us with an overview of the scope of cyber crime and steps we can take to prevent it.
The discussion was moderated by Doug Jones of The Fahrenheit Group, who underscored the importance of the topic. “Understanding how cyber crimes are committed and the risks your business could face if it’s compromised is an important topic of discussion for all businesses, no matter their size,” he said.
“There’s no doubt that cyber crime and system intrusions are here to stay,” Jones continued. “Our panel of experts had tangible experience and advice to share, which really resonated with the group of CEOs who attended the session. It was an eye-opening knowledge-sharing experience.”
Special Agent Lee said the problem of cyber crimes involving businesses is more prevalent than most people think. “The director of our division often says, ‘There are two types of companies: those who have had their computer systems hacked or compromised and those that don’t yet know they’ve been compromised.’”
Agent Lee and the panel asked those of us in attendance to think like hackers and made us wonder, “Am I properly managing my data that’s sitting on my servers?” “Do I have a culture of security?” “Do my employees understand the risks?”
Here’s a snapshot of what we learned and a few takeaways.
PARTNERING IN THE FIGHT
Adam Lee was a surfer, a lawyer and an FBI sniper before taking on the role of SAC of the Richmond Division of the FBI. His territory spans the entire state. All told, the Richmond Division provides federal national security and criminal investigative resources to 82 of Virginia’s 95 counties.
Recently, his division has become laser-focused on national security intrusions and crimes that affect commercial networks and computer systems. His mission is to identify and neutralize these threats utilizing an agency with a relatively small staff.
To succeed in his job, he must build partnerships between his agency and local businesses. Those partnerships begin by making educational presentations and asking businesses to stay on top of common threats – and to think like hackers.
Essential steps for protecting your business? Stay aware of current schemes. Educate your employees. Take proper internal security measures. And most importantly, have some kind of response plan in place in case your system is compromised. (Make sure your plan includes contacting the FBI’s Richmond Division.)
YOUR BIGGEST THREAT = YOUR EMPLOYEES
All of our experts agreed: Your employees are the biggest threat to your system’s safety. Careless sharing of confidential data and opening malicious links are some of the most common ways they can put your data in harm’s way.
So how do you implement a cyber-safe culture? Our panelists say you can start by taking the following steps:
1) Invest in cyber safety training.
2) Make sure your have a clear internet security and data sharing policy in place.
3) Personally demonstrate your commitment to this important issue by setting quarterly meetings to discuss the topic.
4) Be sure your employees understand what measures you will take should your system and/or their mobile device be compromised.
REDUNDANCY IS A GOOD THING
Our panel members also agreed that adding layers of security around your systems is essential. The more important the data, or the higher the risk to your business should it be compromised, the more security measures should be put in place around it. According to Clay Westbay of Synergy Technical, “It’s all about layers of protection and having the right layers in the right places.”
It’s also worth considering engaging a professional consultant to conduct a security audit of your business for peace of mind.
7 CYBER SECURITY TAKEAWAYS FROM OUR PANEL OF EXPERTS**
1) Understand where your biggest data risks and threats are.
2) Invest in redundancy.
3) Keep malware protection up to date.
4) Don’t get too secure in your environment. (One silver bullet does not a secure network make.)
5) Don’t forget to have physical security procedures in place, too. (How easy is it for someone to walk into your server room?)
6) Consider getting a formal audit.
7) If your business is compromised, know exactly how to get your data back and how long it will take.
** Source: “Protecting Your Business from Cyber Threats: A Practical Discussion”Panel Discussion, VACEOs Quarterly Luncheon; March 26, 2015.
Want to know more? Visit the Internet Crime Complaint Center’s website or the cyber page at FBI.gov to learn more about cyber crime and find out how to make your business more secure.
It’s Confidential. It’s Safe. It’s Good Stuff.
We admit it. We ask our membership for feedback often. Call us crazy, but we want to know. We want to know things like: How’s your business doing? (Quarterly Economic Survey). Did this topic resonate with you? (Quarterly Luncheon surveys). How would you rate this speaker? (Annual Retreat Q&A).
Recently we asked, What about your VACEOs Roundtable or Forum experience is most valuable and meaningful to you? Seems our members are all on the same page. Almost every response included phrases about confidentiality, knowledge sharing and making connections.
Here’s a snap shot of some of the unedited feedback we gathered. Contact us today if you’d like to see the full set of the 100+ responses.
Engaging the Millennial Generation
Meet Kelly. She’s a bright, energetic young professional. Does she look scary to you? Probably not, but some CEOs and business owners might find her intimidating. You see, she’s part of the Millennial generation – the most studied generation to date. And for good reason: There are so many of them! (80 million plus, according to U.S. Census Bureau stats)
Millennials, according to the White House, are defined as Americans born between 1980 and the mid-2000s. In 2013, they represented one-third of the total U.S. population. Millennials’ numbers are significant, as well as the fact that they are the most diverse and educated generation to date.
This generation has been largely shaped by technology and has witnessed economic disruption at home and abroad. Studies show Millennials are masters of self-expression and are more caring, community oriented and politically engaged than previous generations. But they’re also known for being a challenge to manage, typically wanting to work WITH a boss, not FOR one. They can be full of contradictions, but isn’t that an innate trait of the young, no matter the generation?
Kelly admits she is motivated by money. It influenced her college major (economics) and determined which companies caught her eye during her job search after she graduated. “I was attracted to companies that were large and well known,” she explains. “I applied to entry-level positions that I felt I was qualified for. In general, I wanted to get my foot in the door with a company and later move into a role where I could hopefully use my degree one day.”
“I was looking for a place where I would stay for a long time, a place to start a career,” she continues. “I wanted an IRA package, too. I wanted to invest in my future. So for me it was about finding the right company that could give me financial security and opportunities for growth – a place to be long term.”
Kelly’s job search lasted about six months before she found an entry-level position with an international life insurance firm. She works with approximately 25 employees and says the office is made up primarily of a diverse group of fellow Millennials. Her boss is 25. Her boss’ boss? 31. She says that for now the company has what it takes to keep her happy.
“The people drew me in,” she says. “They are good to me. It’s like a family there. After only a few months, my responsibilities have grown. I’m now a hiring manager, and I feel I have a lot of ownership in what I do. I’m recruiting, interviewing and hiring employees, which I like most, and I’m doing some training and sales work, too.” She’s also excited about the financial rewards she anticipates in the near future, since much of her work is commission based.
Kelly’s motivations may or may not be the same as other Millennials’, and it would be unfair to make too many generalizations about this group as a generation of employees, but the fact is, if you’ve owned a business in the last five years, you’ve probably witnessed an increase in the number of Millennials in your workplace. How is your business adapting?
DIFFERENT, OR NOT?
Is the Millennial Generation really so different from Xers and Boomers?
Melissa Laughon, managing partner of Catch Your Limit consulting firm, doesn’t think so. “There are differences between generations,” she says. However, I don’t feel that the key needs or desires of Millennials are that much different from Xers or Boomers.”
Laughon backs up her assertion with data. “My research finds that this generation desires an employer who: 1) invests and encourages development, 2) values their opinion, 3) creates opportunities for them to learn and grow, and 4) coaches real time. These are the same factors Gallup identified so many years ago as indicators for retention.”
In Laughon’s view, the difference between the generations is where they place accountability. She explains, “Millennials have put more accountability on leadership. The key difference compared to years prior is the control has shifted. Millennials will walk if they are not satisfied in their work or if it’s not a fit. Millennials are in the driver’s seat when it comes to workplace and culture.”
Brian Goulet, owner of The Goulet Pen Company, LLC, weighs in. “It’s clearly very popular to talk about Millennials in the workplace now, because they’re quite a bit different from previous generations,” he says. “I am one myself (I’m 30), and I always find it interesting when I hear about how hard ‘we’ are to manage. I actually don’t really feel that way at all. Probably the reason my company attracts so many Millennials is because we focus on building a lot of what they want: company culture, a strong sense of purpose, a team-oriented environment, and a progressive social media-savvy approach to educating and finding new customers.”
TAPPING INTO THE PASSION OF YOUTH
Sara Roberts and Michael Papay have advice for those who hire Millennials in their recent Fast Company article, “Stop Treating Millennial Employees Like Enigmas.” “If you want to see our engagement skyrocket, please try to go beyond checking the box after you push ‘send’ on that next annual survey. Instead, look to connect with us in a timely and transparent dialogue. Tap into our passion for truly authentic connection, and, together, let’s take our organization to new heights.”
Brian Goulet agrees. “The most challenging aspect of Millennials in the work environment is that they (we) need to be plugged in,” he says. “We have grown up being very socially connected and have more access to information than any people from any society at any point in history since the creation of the world.”
He adds, “They [his employees] need to understand how my company is helping people, impacting the world and helping them to achieve their greater career goals. When I can get them plugged in to that, amazing things happen. They light up, they bring creativity and excitement to the workplace, and they become incredibly loyal because they know I care about them holistically.”
COMMUNICATION + COLLABORATION = THE RIGHT CULTURE
Creating the right culture is key for future success with employees of all generations, according to Melissa Laughon. “A collaborative culture is imperative for the future,” she says. “In order for the culture to have a heartbeat, the process to create that culture must be collaborative. Once the values and behaviors are identified, then every person at every level must be held accountable to those values and behaviors.”
Laughon adds, “The culture must also embrace diversity at all levels, meaning, the culture should not be designed specifically for Millennials – the culture should be designed so that everyone’s ideas have value, and out of the diverse thinking comes greater ideas. This is the type of culture that people should aspire to.”
Kelly says her office meets once a week to go over company business and gather ideas for enhancing the culture. She’s been on the job for just four months, and she feels comfortable bringing new ideas to top management and feels like she is heard. Her work environment balances fun with professionalism, and she enjoys that mix.
Brian Goulet’s commitment to his company’s culture begins with the hiring process. “When hiring, we have a multi-step interview process that involves communication-style (DISC) profile testing, and we spend a great deal of time showing our culture and talking about our company’s values. Cultural fit is incredibly important, and is the number one factor for someone’s success in our company – more than education or previous work experience.”
Goulet Pen Company’s culture includes regularly scheduled strategic and check-in meetings. There is a defined company mission, purpose, vision and core values that are followed every day, and team-based incentives keep employees motivated.
Brian Goulet has grounded his business success in adapting his message to his audience. “I have to communicate things clearly and consistently and adapt my communication style to each individual,” he explains. “That’s a lot to ask of me as the CEO, and it’s taken a lot of very intentional focus for me to build a company culture and a management team that also supports my philosophy of leadership.”
IT’S ALL ABOUT LEADERSHIP
The Virginia Council of CEOs connects CEOs for learning and growth. So much of what our members work on in their roundtable groups comes down to leadership. We also present exclusive education events like next month’s CEO Retreat, where you can learn from practitioners like Brian Goulet and experts like Melissa Laughon. We hope to see you there!
Story sources:
: The Millennial Generation Research Review; uschamberfoundation.org
: 15 Economics Facts About Millennials; The Council of Economics, October 2014; whitehouse.gov
: Millennials Coming of Age; goldmansachs.com Stop Treating
: Millennial Employees Like Enigmas by Sara Roberts and Michael Papay; fastcompany.com
Getting to Yes: How to Position Your Business for Funding Success
We all need bankers, and finding the right financial partner could be one of the most important decisions you will make as a business owner. Sure, asking for financing is never easy, but as our “How to Position Your Business for Funding Success” Knowledge Network panel recently discussed, a little preparation can go a long way.
Moderator Stephanie Ford, former commercial banker turned management consultant, and three local banking representatives on the panel gave the CEOs in attendance a glimpse of the challenges today’s lenders often face – like incomplete financial spreadsheets and uncharted industry risk analyses.
We discovered why a community bank might be a better fit for some of us – and why we CEOs may have more to do with our own financial happiness than we think. Here are four key takeaways from the panel discussion. Want more? Download “Financing Alternatives” by Stephanie Ford today.
“How to Position Your Business for Funding Success” Knowledge Network Panel Key Takeaways:
#1 COMMUNICATION IS KEY
“Be transparent. Be honest and up front. The more we know, the more we will be in a position to help.” – Matthew Schaaf, Xenith Bank
#2 RELATIONSHIPS REALLY DO MATTER
Find the institution that has the qualities that are most important to you, and then build a relationship with your contact. Think beyond financing when it comes to your bank, and don’t be afraid to ask for business advice.
#3 BE PREPARED
Get your story and financials together. Be prepared to tell your story: where your business fits within important industry indicators, how you managed to survive during the recent downturn. Prove that you know what you’re doing.
Be ready to talk about how you’re going to manage your plan. Bottom line: The panel members all agreed that being presented with an articulate, passionate appeal coupled with a transparent financial statement puts lenders at ease.
#4 BE PROACTIVE
- •Realize that capital is key, and so is equity that is easily accessible.
- •Know that good economic times could be an opportunity to stretch your financials and lower the risk for your bank.
- •Have a great working relationship with your suppliers: You may need to “cash in” on those great relationships in a downturn.
Last point: Clearly, as your business grows, your financial needs will change, but, says Ford, ask yourself, “Do I really need capital to grow my business? Will more money actually help me grow my business?” The right financial partner can help you answer that tough question.
VACEOs Knowledge Network Event
“How to Position Your Business for Funding Success”
February 11, 2015
Panel Members:
Stephanie Ford, Warren Whitney – Moderator
Gary Armstrong, First Capital Bank
Cary Ayers, Union First Market Bank
Matthew Schaaf, Xenith Bank
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