Allyn Freeman likes to write books that teach others how to make money. In the process, he”™s not doing too badly himself. The author of “Why Didn”™t I Think of That: Bizarre Origins of Ingenious Inventions We Couldn”™t Live Without” and “The Leadership Genius of Alfred P. Sloan” (chosen by Bloomberg Europe as one of the outstanding managerial books of 2004) shared conventional wisdom with the business breakfast crowd at Rockland Country Club Nov. 1.
Freeman  not only brought everyday products Americans now accept as part of their office or kitchen clutter to the Palisades Institute breakfast as examples of American ingenuity, but encouraged his audience to create innovation within their own organizations by including their employees in the company”™s endeavors ”“ and  recognizing them for their efforts. “That”™s important; employee recognition builds value in your employees and ultimately builds through your entire company,” he said.
White-out, Post-its, Tabasco sauce and Velcro were all created not by laboratory geniuses, but by ordinary people who figured out a way to overcome an everyday problem, turning them into million-dollar moneymakers in the process. Others, who did not see the possible potential of their ideas, had them  bought by an  entrepreneur with an eye for a marketable product.
If you”™ve ever picked burdock seeds from your sweater, so did the creator of Velcro; the sticking qualities are the same.
Fran Nesmith (mother of  60s group The Monkee”™s Mike Nesmith) was a single parent who re-entered the work force when IBM had just introduced the Selectric typewriter. In order to correct errors, she combined white paint with water and used a nail polish bottle to apply to her typing gaffes. She quickly created a hit that is a staple in every office and home.
“Despite our technology-driven societal changes, we still make mistakes,” said Freeman. “Nesmith solved the problem and soon she had everyone in the office asking for white-out. Today, Liquid Paper is an American must-have, thanks to Nesmith”™s ingenuity.”
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Similarly, everyday items ”“ kitty litter (made from a mixture of kiln-dried clay and sawdust) and Tabasco sauce  (which reached the peak of its popularity with the creation of the vodka-laced Bloody Mary) ”“ were invented by people not for the purpose of creating a cash cow, but for personal practical reasons that went on to spread like wildfire.
“Light bulbs went off in other people”™s heads when they saw inventions their creators didn”™t see the potential in,” said Freeman.  “Donald Duncan saw the possibilities of a toy common in the Philippines ”“ the yo-yo ”“ bringing it to America in the 1930s and  making sure kids got the hang of it by bringing Philippino teens to tour the U.S. to demonstrate how to use it.
“Starbucks was also an idea its originator sold off, never seeing the potential that coffee bars would have on U.S. markets,” said Freeman.
While learning of others”™ serendipitous success may inspire, how can a small-business owner take these examples and apply them to their own enterprise? The answer, says Freeman, is probably sitting right outside the office door: employees, who often have their own ideas on how the office can be more productive, yet are not asked their opinion, which may prove invaluable to a company owner.
“The key is recognizing and rewarding them for their ideas ”¦ even if it is a gift card,” he said. “It”™s important to recognize an employee”™s contribution; it makes them feel valued and creates loyalty.”
One way employees have saved their company money, says Freeman, was when Southwest Airlines employees asked why the company logo was on the white plastic garbage bags they offered to passengers before exiting the plane. “Taking those logos off the bags and simply offering plain white trash bags saved Southwest $750,000 a year. Employees were the ones that brought the idea to the bosses ”¦ and in the process saved the company hundreds of thousands of dollars.”
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Just being on top of your own expenses can save big time. One business owner discovered his electricity charges spiked during evening hours when the offices were closed. His curiosity led him to the discovery that the cleaning crew had come in, thrown the main power switch, and when they finished, left his building lit up like a Christmas tree. “Needless to say,” continued Freeman, “it sparked an idea for this owner to make sure the lights were turned off once the crew was done with their work. Sometimes, the cost savings is right under your nose.”
Small business can also save money by teaming up with other companies and buying supplies in bulk. “Create a buying consortium,” he said. “It not only saves money, but you create a business partnership that may lend itself to sharing in other areas.”
Freeman espoused a four-day work week, saying technology makes teleconferencing and working from home a possibility that not only saves money, but produces “mental wellness and a more fit employee.”
Other ways small business (and even large ones) can energize employees and their bottom lines is by promoting “green days. If you have a morning breakfast, give out ”˜green”™ shopping bags with your company name on it. Tech days can also boost employee skills and morale. If you have an employee who is a technophile, have him (or her) spend the day teaching others programs they may not be knowledgeable in; it will help build a better office.”
Freeman promoted the idea of having a monthly employee meeting, where suggestions are pooled together and hoped more employers would look toward the baby boom generation to fill in at the workplace: “Seniors are a wonderful resource; they tend to stay with their jobs, are loyal and will work a lot longer because, let”™s face it, we are all living longer.”
One fly-fishing retired executive found himself coaching shoppers at L.L. Bean on the knack of fly-fishing. “We are not talking about high-pressure, high-level CEO jobs here, where they want someone younger,” said Freeman. “But seniors are an invaluable resource for employers ”¦ not just for their experience and productivity, but their loyalty.”
Freeman told business owners the best way to find employees, and for employee hopefuls to find new jobs, is through networking. “Send an e-mail to everyone you know that you are ”˜looking.”™ Essentially, contact your contacts. More than 60 percent of jobs are filled through networking.”
When asked why America continues to produce “disproportionate innovation” when compared with other countries, Freeman said simply, “Ours is a more social and mobile society; perhaps it”™s in our genes. Americans have a built-in confidence that, based on intelligence, they can rise to the top and they often do just that.”
Freeman”™s next book, “ReWorking Retirement,” will be out in December.
The Palisades Institute is sponsored by Dominican College of Orangeburg.
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