Our former Prime Minister Tony Abbott and Treasurer Joe Hockey have been shifted into history with the changes in leadership from their own party. To some overseas commentators we’re the “coup capital of the democratic world”.
Well consider this for a moment; the changes in the last Federal Budget gave small businesses a reduction in the tax rate to 28.5 per cent and immediate tax break for purchases up to $20,000.
These initiatives were well received and seen to reflect government acknowledging how small business needs to continue to support the economy. Even with these positive changes, the polls remained low to lead to September’s internal Liberal party revolt.
We’ve all evidenced the value proposition diminish with regular media coverage, even though we voted in the past leaders. There seems to be a currency of an individual or an organisation that rises and falls. In simple terms, popular one minute, out of favour the next.
In the business environment the same applies. Leaders in a company are seen to have achieved a rank based on past experience and current capability. They are seen to have attained a currency that is high value.
However not every employee will support their leader. Some reflect on the missed promotion to the same rank, whilst others will see the management style as being disconnected with the work force (especially in a public traded company serving shareholders and not just customers).
The value placed on the person or brand representing a business is dynamic in nature. It increases and decreases on factors that can be controlled and some that can’t. Major influences can be operating style, performance, demeanor and efficiency. Others are subtle, such as the frequency of communication, social skills and community support.
Your currency is dynamic and has near infinite permutations and considerations to those around you. Yes, you can’t be everything to everyone and the “Theory of Personal and Business Currency” can’t be prescriptive.
But can you sustain your value easily? Can others sustain it for you? No doubt some can break it too.
Stand still and your currency value is sliding away. Momentum is your best friend. Your achievements are someone else’s dream tomorrow to realise and when we don’t expect it, we can inspire and generate a following.
On the flip side, if you’ve hit your lowest point in your career or business life, survival instincts kick in.
Few followers exist when you’re down on your luck. But there are ways we can increase the value of our currency. The most important is not paying much attention to generating a following.
Increasing the value of your personal currency can be outside of the business environment. Those in the public eye through support of community and charitable causes are elevated as local heroes.
Also, being a leader in your field is much easier in a digital world. Whilst your revenue may be drying up, your industry commentary can be invaluable to others. When you’re part of a system or culture, your profile is elevated to being the expert in your field.
Crazy as it seems I’ve seen this nearly being washed away with a business seeking cost control and saw long service in business as a liability.
The CFO making a decision on retrenchment didn’t see the $10 million liability kept off the balance sheet by a single individual in the large organisation managing account allocations.
An intervention to challenge his decision was seen as career suicide, but was successful when referencing the lawsuits brought on by a number of customers.
Erving Goffman’s theory on Impression Management was coined in 1959 and the concept of Personal and Business Currency is evolving. However both Goffman’s theory and the evolving concept currency involve the personal brand.
Next month’s commentary will discuss recent cases on major shifts in personal and business currency.
The area is fascinating and we can all learn from it. If you have your own examples that I can reference, you can reach me on hardeep@girn.com.
