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3 Signs Your Advertising Agency Culture Is Starting to Stink

If your advertising agency culture sits on either end of two extremes, you don’t need an engagement survey or a high-priced consultant to confirm your reality. You can feel the energy when things are amazing, and you can smell the stench when things are rotting away in your business. But what if things are somewhere in between? What if you’re unsure if things are heading in the right direction? Or what if you’re confident they’re really good, but you want a heads-up before you suddenly realize you’re whiffing six-day old cod? You might need that engagement survey, and you may need that consultant. In the meantime, here are three danger signs that will tell you if your advertising agency culture is in trouble: YOU’RE EXPERIENCING "MEGO" A journalist friend once had an editor who routinely rejected poorly written copy because it produced what he called MEGO – My Eyes Glaze Over. In other words, it was boring. Are your organization’s vision, mission, and values creating MEGO? When you read the statements to employees, do they say, “Yes! That describes us so well!”? Or do they roll their eyes and say, “Yeah, right. That’d be nice.”? It’s great to have statements that set the bar high, but most employees have a pretty sophisticated BS meter. If you acknowledge the gaps between where your advertising agency culture is and where you and others want to take it, most employees will help you make it happen. If you’re trying to prop up your culture with $10 words, however, you’ll lose respect and trust. YOU’RE BEGGING FOR RECRUITS When your culture is strong, healthy, and vibrant, your employees become your best recruiters. They sing the company’s praises every chance [...]

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Are You Rewarding Agency Employees the Right Way?

Pause for a few seconds and make a mental note of the five-to-ten most recent examples of how you are rewarding agency employees within your organization. In other words, who got a raise, a bonus, a promotion, an award or some other form of recognition for a job well done? In many organizations, perhaps even most, those honors go to people who achieved some tangible, measurable result. They hit their sales goals, signed a new client, or found some way to save the organization a few buckets of money. That’s all good, but it might not always connect in a positive way back to the organization’s stated values. When rewarding agency employees doesn't factor in the means that lead to the ends, they actually can become culture killers rather than culture builders. Tae Hea Hahm, the managing director of the venture capital firm Storm Ventures, once pointed out that “real culture” is defined by “compensation, promotions and terminations. Basically, people seeing who succeeds and fails in the company defines culture. The people who succeed become role models for what is valued in the organization, and that defines culture.” Performance is vital to success and growth, but values are foundational to organizational health. So, the challenge for Extreme Leaders is to increase the real value of things that are critical but hard to measure. Here are a few tips for doing that: ALIGN ON YOUR VALUES People often define their values based on their personal experiences and expectations. Your definition sustainability, for instance, might not be the same as someone else’s definition. So, it’s not enough to publish a list of things that are important to your leadership and your culture. Go a step further and [...]

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Hey Agency Owner — Give your employees context and connect the dots

Sometimes I think as agency owners we forget to connect the dots for our team in an agency management system. Remember when you were a kid and your parents started to talk about something and then in the middle of the conversation, one of them gave the other "the look" and they either stopped their conversation, lowered their voices so you couldn't hear, or left the room to finish the conversation? What did you immediately do?  You tried even harder to listen. If you couldn't hear, your imagination started filling in the blanks. Suddenly the story includes espionage or murder or at the very least your favorite neighbor moving away. In the absence of facts, our brains create a story that is usually wrong and usually way out of proportion from reality. When we were left on our own to connect the dots, the picture got a little crazy. That is happening today in your agency management system, especially as it pertains to money, billings and profitability. How many times have you uttered a sentence like this without any context: Our billings are down again this month.  We've got to reverse this trend or we're in some serious trouble. I don't think that client XYZ won't be around much longer. It doesn't look like we're going to pay out a bonus this year. I get so sick and tired of writing time off. Each of those sentences may be true.  But if you don't connect the dots and give your employees the context to gauge just how serious the situation is, they go into imagination mode.  Suddenly, in their heads, they are all out on the street, looking for work, and begging for change so they can bring [...]

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Hey agency owner — fire someone today

Yes, you heard me right.  I am talking to you, the agency owner.  And I want you to fire someone today. In doing so, you'll improve employee morale. You're thinking I must be the Scrooge of agency life -- suggesting you fire someone during the holiday season. It will ruin their Thanksgiving and the rest of their year.  No one hires during the holidays. Relax -- I am not talking about one of your employees.  If they're doing a good job -- send them a note this week telling them how grateful you are that they're part of your team. It's great for their morale. If not -- then you're like most agency owners and you'll hang onto them for another six months before they drive you to the brink and you finally fire them. I'm actually talking about firing a client.  Yes...a revenue producing client. Every agency has at least one client that is: Tough on employee morale Demanding without being equally appreciative A bad planner which means their emergencies become yours Drags projects on and on, burning through any hope for profitability Always nitpicking every invoice or project authorization Keeping you from pursuing a better client in the same category or industry You keep them on for cash flow.  Or because they've been a client for a long time or maybe because they're a marquee name and you like the recognition.  Whatever your reason is -- it's not good enough.  Those kinds of clients are wearing.  They beat up your staff, teach them bad habits (like complaining about the clients), will drive your best employees away and are a huge boulder in the path of you getting a bigger, better client. Yes, it's [...]

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5 Mistakes that cost agency owners money

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