Monday, March 08, 2010

Toyota's Troubles

In 1958, I carefully cut out pictures of all the new cars from magazines and put them in a scrapbook, grouped by manufacture, make, model, and list price. I have been a follower of the auto industry ever since.

With that in mind I decided to weigh in on the Toyota deal. I heard the media say that Toyota has a reputation for quality, safety, and reliability. That is not quite true. Those are three different and mostly unrelated qualities. BMW and Mercedes Benz are known for quality. Volvo and Volkswagen are known for safety, and Toyota and Honda have a reputation for reliability.

Of the three, reliability is the most elusive. This is partly because all cars are pretty reliably these days with little difference between manufactures. Also, there are many ways to measure reliability. If we look at the number of times we have to take the car back to the dealer in the first 90 days, we would be looking at a totally different list than if we are talking about the cost of maintaining a car with 100,000 miles on the clock. Which is most important is up to the individual and of course, as they say, your mileage may vary.

Toyota’s problem was that in trying to hold on to this precarious position, they chose the route of denial, blaming their detractors, and offering a quick fix, instead of addressing the problem.

The lesson for the rest of us is to face our challenges head on, admit when we make mistakes, and solve the problems as best we can, as quickly as possible. Toyota, in believing their own marketing, has shown that any other approach doesn’t work.

Tuesday, February 23, 2010

Caring for the Poor

When Jesus began his earthly ministry, He stated His purpose in a statement at the synagogue in Nazareth. Reading from the Book of Isaiah He said, “God's Spirit is on me; He's chosen me to preach the message of good news to the poor, sent me to announce pardon to prisoners and recovery of sight to the blind, to set the burdened and battered free, to announce, ‘This is God's year to act!’” Later, the Apostle Paul said in Galatians 2:10, referring to the church at Jerusalem, “All they asked was that we should continue to remember the poor, the very thing I was eager to do.”

A central message throughout scripture is the importance of caring for the poor, the homeless, the orphans, and widows. It is not our place to judge how they got there, but only to do what we can to help.

Last night, Sky Blue, (Bob, Theresa, & Jim) played a special concert for about 100 homeless men at the Kansas City Rescue Mission. http://www.kcrm.org/ We didn’t preach to them or beat up on them, but rather, attempted to bring some light and joy into their lives. We were very warmly received and it was a very good experience. I am sure we will do it again soon.

This morning I attended a meeting of the Leawood, KS Chamber of Commerce. Leawood is one of the highest income per capita cities in the United States. The meeting was only about a twenty minute drive from the rescue mission, but the contrast between the two groups couldn’t have been greater. Frankly, I am right at home in the Leawood group, and I felt a little uncomfortable at the mission, but one doesn’t have to very observant to know where the greater need is. Jesus didn’t call us to be comfortable.

I have spent most of my life thinking about the difference between the people at the Chamber of Commerce and the ones gathered at the rescue mission. At the chamber meeting we talked about all the great new restaurants in Leawood. The people at the mission were there because of an offer of free food and a warm place to sleep.

So far, my only conclusion about the difference is: not that much. When I was five years old, I was told I was smart, that I could do anything I wanted, and I was encouraged to read. Most of my new friends at the mission were told they were dumb, that they would never amount to anything, and they never read a book. Encouragement verses discouraging comments, education verses dropping out, maybe a few bad choices, and the difference is either sitting in a nice office in Johnson County or standing in a food line at 15th and Cherry.

Jesus knew the differences were small. I firmly believe that God provided some with abundance to help those in need, but 80% of churches do nothing at all for the poor or homeless.

No matter what your situation, there is always something you can do to help someone less fortunate, even if it is just singing them a few songs.

Monday, February 22, 2010

Seat Belts


When I was about 12 or 13 years old, as part of a 4-H project, I got very involved with promoting public safety. As part of the program several of us were on a live weekly radio program about safety, especially automobile safety.

We would often talk about the need for automobile seat belts. This was in 1961 and very few manufactures offered seat belts as optional equipment, much less standard equipment. By the time I was 15 I was very much convinced that seat belts could and did save lives.

I was not quite 16 when I got me first car, a bright green 1952 Pontiac Catalina 2-door hardtop. The first thing I did on the very first weekend, was go down to the auto parts shop and buy a set of seat belts and install them myself, making sure that they were bolted directly to the frame of the car. I never started the car without first buckling the seat belt.

A year or so later, I was driving home from school with a friend when I topped a hill doing about 60 MPH to find another car straddling the center line. I swerved but over corrected and hit the steep ditch nose first. The car flipped over end for end, sliding upside down on the pavement, before continuing to roll, landing on its wheels.

My friend and I jumped out of the car as I realized that my beautiful Pontiac was now a scrap of metal with deep grooves gouged in the roof from our upside down slide. Neither of us had a scratch. Without seat belts, the outcome would have been much different. Many people have been killed in much less serious accidents because they hadn’t bothered to fasten the seat belt that was already in the car.

After that I got a 1956 Pontiac, a 1958 Oldsmobile, and ’59 Olds, all of which I installed seat belts myself. The next car, a ’61 Chrysler New Yorker came with factory belts. A ’61 Thunderbird was the last car that I had to install seat belts in, after that, the other 30 or so cars I’ve owned came with factory seat belts, mostly three-point types with a shoulder belt.

A little know statistic is that traffic fatalities per mile driven have dropped every year since the 1920’s when they first started keeping track of such things. This is largely due to increased use of seatbelts, with slight improvements due to better belts and airbags. The other big reasons are better highways and cars that stop and handle better.

I was thinking about this after seeing the movie “Crazy Heart” last weekend. In one scene, the hero, “Bad Blake” suffers a concussion and a broken ankle after rolling his Suburban without having his seatbelt on. It reminded me of another relatively minor accident a few years ago when a Kansas City Chiefs football player was killed when he was thrown from his Suburban because he didn’t have his seatbelt fastened.

Fasten those seatbelts folks. Somebody might need you someday.

Friday, February 12, 2010

Knowing too much

Ted DeMoss, the late president of CBMC would occasionally comment that a person was “educated beyond their intelligence.” This was just his funny way of saying that the person knew too much and thought too little.

I can certainly see where this whole idea of knowing too much and not thinking enough is a common trait. I see it in myself. In my early career, I started a photofinishing business. I know absolutely nothing about photofinishing, so I had to think through everything and figure it all out for myself, relying mainly on my heart and intuition. (I know now that this was wisdom from God and not any knowledge I had.) This led to some very creative solutions that set us apart and led to a very successful business.

Later in another project, I was very well prepared and approached the business pretty much along the lines of our competitors. This business was no more successful than some others in the field. In retrospect, I am sure it was because we were not forced to be creative and find new and better ways of doing things. We relied on our own understanding.

This seems counter-intuitive. One would expect that the more you know about something the better, but it doesn’t always work that way. I suspect that Steve Jobs never would have started Apple Computers if he had come from a background with IBM. His lack of computer experience caused him to think in totally new ways.

In the spiritual terms we could say to trust God and not our own knowledge. Proverbs 3: 5-6 says, “Trust in the Lord with all your heart, and lean not on your own understanding; in all your ways acknowledge Him and He will make your paths straight.”

Before the Renaissance 500 years ago, it was assumed that all people were about the same and if someone was capable of produced art, music, or literature, that they somehow had a received a gift from the supernatural of some sort. People would say that someone had a genius, not that they were a genius. With the renaissance came a belief in humanism and that man was highly capable of creativity on his own. While this type of thought has some practical advantages, it is not altogether correct.

God most surely gives and takes away gifts, and we should not give ourselves too much credit or beat ourselves up too much, if we do not have the gifts we want. Chances are we are gifted in ways that probably don’t seem like gifts to us. One of my definitions of giftedness is if we don’t see why others are not like us.

Mark Twain said the real danger is not in not knowing something, but in being absolutely certain of something that is wrong.

The only thing worse than too much information is having the wrong information. That is why it is dangerous to trust in ourselves too much.

Thursday, February 04, 2010

30 Years of Lifting Weights

About 30 years ago, I realized that youth was no longer on my side and decided to join a gym and start lifting weights to get into shape. I was assigned a personal trainer who took my measurements and made up a chart of the exercises I should be doing. I kept the chart in a file drawer at the gym along with all the other members.

I faithfully and regularly worked out, recording my somewhat remarkable progress. One day a few months later, I went for my regular workout to find the file drawer missing. I was told that they had thrown out the charts; they didn’t know how many people used them, and besides, it wasn’t their responsibility to keep track of everybody’s charts anyway. I was furious. I could have easily kept my chart in my gym bag if I had known they were going to throw them out.

Not long after that the management posted signs at the parking places closest to the door saying they were reserved for the owner and managers. It was not unusual to see the parking lot full, with cars on the street with the four or five parking spaces by the door blocked, being reserved in case the owner should stop by. It was pretty obvious that the needs of the members were of little interest.

Of course, I cancelled my membership and moved to another gym. Now 30 years later, I still workout and lift weights regularly. I think I am in better shape now than I was when I was thirty. Of course, I will never know, since Gold’s threw out my workout charts years ago.

Monday, January 18, 2010

On being flexible

This week I heard two different definitions of being flexible. One method which I am familiar with is flying by the seat of your pants because you haven’t prepared. This seems to be what most people are referring to when they say they are flexible.

A better definition of being flexible is being so over prepared that you are prepared for just about any contingency. This seems to make a lot more sense.

I was at a gig recently when the question of flexibility came up. I said I was flexible. It dawned on me that what I meant was that I had about every piece of equipment I might need, and a few backups, in the car. Not that we would make do with what we had as is sometimes what we mean by being flexible.

Yes, flexibility is a good thing, but only if it means being over-prepared and not under-prepared.

Tuesday, January 12, 2010

Foul Language and Consistent Pricing

I have inadvertently got caught up in a couple of controversies lately that I didn’t even know were controversial.

The first was a few months ago when I responded to a survey asking whether cursing was ever appropriate in a business setting. I said no and soon found out I was in the minority. Later when I quoted my late father as saying that foul language is a sign of a lack of vocabulary and poor education, I was surprised by the negative response. And when I said that if I ever heard one of my employees cussing a customer, I would show them the door, there was even more negative response. Someone suggested that I was out of touch. Obviously I am because I thought cursing went out of style with smoking. I presume that most of those people have no idea how much business their language has cost them.

Then this last month I commented in a professional photographer’s magazine that photographers should follow the lead of other professions and develop a consistent pricing policy. It turns out many, or maybe most, commercial photographers make up prices as they go based on the clients ability or willingness to pay.

In looking at the history of civilization, one mark of a civilized culture is consistent pricing. Third world street merchants are pretty good at sizing up their customers and extracting as much money as they can from them. In western culture, we rely on prices in stores being well-marked and everybody paying the same price. I know how much my mechanic charges an hour and my dentist will quote a flat rate for teeth cleaning no matter who calls.

In every business I have owned, setting the prices, publishing a rate card, or displaying a menu has been a high priority. Restaurants know that they live or die by their menu. When I decided to get back in the photography business a few years ago, having sold my photo lab in 1996, the first thing I did was decide on my hourly rate. I charge $50 an hour plus expenses, with prints and extra CDs a la carte. If there is any negotiating with a client it is over how much time a project should take, not how much I charge per hour. If I get too busy, I will raise my hourly rate. This is basic Econ 101.

Five thousand years ago Moses cautioned the Israelites in Deuteronomy 25: 13-16, “You must use accurate scales when you weigh out merchandise, and you must use full and honest measures. Yes, always use honest weights and measures, so that you may enjoy a long life in the land the Lord your God is giving you. All who cheat with dishonest weights and measures are detestable to the Lord your God.” The problem Moses faced was merchants using a different set of weights depending upon the customer. In modern terms - treat everybody the same.

I researched some books on business ethics and just about everybody addresses this issue. The most common problem is charging poor people more and wealthier people less without a sound business reason. For example should people with less money pay a higher interest rate than a major corporation; after all, what is the chance of General Motors going bankrupt? (That’s a joke.)

The last time I addressed this issue it concerned the wholesale cost of film. My question was “Is Walmart seeing the same price list as I am?” The answer was yes they were. If I wanted to buy film by the truckload and send my own trucks to Rochester to pick it up, I would get the same price as Walmart.

But the opposite question is, “Is Walmart paying more for their commercial photography just because they have deep pockets.” Apparently they are. Commercial photographers still size up the client, shoot from the hip and charge whatever they think they can get away with. Portrait and wedding photographers usually have printed price list, offer a variety of packages, and let the cutomers know what they are getting for the money, and charge everybody the same.

My dad was in the auction business. An auction is the purest form of letting the market determine the price. The rest of us have to make sound business decisions based on what we think out product or service is worth; and then stick by those decisions until we have a good reason to change our prices.

After five thousand years, it seems most professionals are finally standardizing their rates and charging fair and consistent prices to all of their clients.