Are you adding value

I used to be in the apparel manufacturing business.

Today I understand a little bit of what I used to do.

I have left the industry as early as eight years ago but I did spend a considerable amount of time in that field. I used to think that I was manufacturing denim jeans, knitted and woven shirts and jackets and sold it for a profit. Now I realized those were just the activities. The philosophy behind what I did is this.I bought me a piece of fabric, cut it, add thread, buttons, labels, washed it, packed it and sold it into the market place. The price I sell for the garments is obviously higher than the price of the piece of fabric I had. And when the consumers bought it, the margin that I get out of the item rewarded me with a profit.

In other words, here is the gist of what I am trying to say.

Business is all about adding value to the market place. I earn a profit not because I was bright but I made a profit because I have added value to the market place. From a piece of fabric to a finished, stylish durable pair of jeans is evidence that the value of that item in the market place has increased.

This is what enterprise is all about.

Business people are enterprising people. He or she is the same person who sees an old decrepit part of land and sees property development. This person sees a piece of wood. Makes furniture out of it or puts artistic touches on it and out comes a great piece of sculpture perhaps even a masterpiece. Such people are rewarded because of the value they have added to the market place.

Do you know that the same principle also applies to employment?

Gone are the days when employees are rewarded because of their length of years of service. Of course they get a gift or recognition once every ten, twenty or thirty years but long length of stays in business companies are becoming scarcer. Employees are and should be rewarded according to the value they add to their companies. Commissions, merit increases, performance bonuses are such things. Many employees do not understand this maybe because their companies have not articulated the philosophy behind it.This is my job. This is what companies pay me to do. To train people so they can add more value and to articulate this principle so that they will be challenged to do so.

You and I are paid for the value we contribute to the business organization and not for the time we spend in it. Had this been the case then all we need to do is to report for work and play computer games in our cubicles. The more value we contribute the more rewards we should be able to get. Some people come to me and complain, “But Francis, I have been with this company for so and so years and they still pay me the same.”

There are two possible explanations. Maybe this particular company is not fair with their employee dealings. If this is the case then the person may be able to easily find another job that would pay more wouldn’t he? The other possible option could be because he or she has not added value to the organization and that is why the pay remains the same.

Expand yourself. Do not waste time. Add more skills to your current work repertoire. Read books. Get successful people to mentor you. Challenge yourself to go to the next level each day and everyday. Attend seminars and this time be very serious with learning. Attend non-company paid seminars as well. Work on your attitude. Build up your confidence by building up your library of knowledge and menu of skills. Be so valuable such that every company in your industry wants to have you not because you are good looking but because of the value you can add to them.

This is what enterprise is all about.

I always like to remind people that God does not invent junk but He has created you and me for His Pleasure. He also endowed us with the ability to achieve great things for His Glory. So go out there and do so. 

(Francis Kong will be the lead trainer for the Dr. John Maxwell’s “Developing the Leader Within You” leadership program this October 20-21 at the EDSA Shangri-La Hotel. He will also do a repeat of his highly successful “Culture of Personal Excellence on November 26, 2009 at the Garden Ballroom of EDSA Shangrila-Hotel. For further inquiries contact Inspire Leadership Consultancy Inc. 632-6872614 or 09178511115)