Trump Fever

Is there an apprentice in your company?

By Judy C. Flanagan

With the advent of reality television shows, it was only a matter of time before television showcased a competitive struggle for the role of a lifetime, the opportunity to be president of one's own company. The jungle-like setting, as 16 contestants compete for a guaranteed $250,000 annual salary, is none other than the streets and board rooms of New York City. And the number one critic, responsible for evaluating the performance of 16 shining stars, is real estate mogul, Donald Trump. In case you have been on a desert island, the television program which has put Donald Trump front and center of B-schools across the country is The Apprentice.

The Apprentice
Each week, 18 million viewers tune into The Apprentice. According to Trump, Harvard University and the Wharton School of the University of Pennsylvania have made his television program “Must See TV.” Whether you believe leaders are born or made, pop culture is being used as a training tool, teaching basic skills in leadership necessary for the upward climb on the corporate ladder.

The candidates competing on The Apprentice include Ivy League MBAs and those who are self-made success stories. The candidates competing for the title of sales manager or parts manager at your company may have years of experience or may be entering the work place for the first time. Both could be your next apprentice.

Divided into two teams, the candidates for president of one of Trump's companies tackle various tasks under the leadership of a project manager. The winning team is rewarded with an extravagant outing, while the losing team meets Trump in the boardroom. One member of that team will hear that they are fired. Finally, during the last episode, Bill Rancic, a Chicago, Illinois, entrepreneur, heard the words, “You're hired.” Rancic, as president of Trump International Hotel and Tower, will oversee the construction of the new luxury property in the Windy City.

The fact that we as business owners are experiencing a rapidly changing marketplace and encountering new challenges is nothing new. Global economies require us to develop enhanced communication skills and to trim costs from our operations. A more competitive environment is placing increased emphasis on quick thinking and a cutting edge use of technology to deliver more product, more quickly. The optimum usage of resources to offset continually narrowing profit margins requires us to negotiate more for less when it comes to materials and employees. Now, more than ever before, we need to groom employees to take on the leadership roles which will help them to enhance our company's profitability and growth. Whether training long-time employees or the new college graduate eager to prove his or her knowledge, pop culture, i.e., Trump's mega-hit The Apprentice, may be a palatable, inexpensive training tool. While each episode is sugar-coated with entertaining characters and dialog, underneath that entertainment lay some important business principles.

A Real Time Apprentice Experience
Data Key Communications, Inc., the publisher of Welding & Gases Today and the GAWDA Connection, completed a training exercise on April 15, 2004, which has made The Apprentice required watching for each of its 15 weeks. After watching the hour-long program on Thursday nights, three teams met with company president, Judy C. Flanagan, each Friday morning. They critiqued the performance of the surviving contestants and determined how well the contestants applied various business practices.

In addition to critiquing the television show, each team applied what they were learning in an Apprentice-like contest of their own. Three and four-person teams were responsible for selecting a product and a venue to sell their product. Just as important as learning to work as a team, they were motivated by the competitive effort to generate the most profits for their team. By the end of the contest, over $1800 in aggregated profits were donated to a local charity.

The teams were required to write business plans which detailed their plans for manufacturing, marketing and sales. The business plans detailed budgets and projected potential profits. The business plans also specified the responsibilities of each team member.

On three consecutive Saturday mornings, teams consisting of sales and marketing, administrative, graphics design and editorial personnel worked to sell cookies, cakes and other baked goods at a regional market known for its sale of fresh produce and other food products. Another team opted to market coffee at a garage sale. Yes, that's right—coffee at a garage sale on a cold, rainy Saturday in March in Upstate New York.

Team Cash Money
Relying on the talents of individual team members, Team Cash Money focused their efforts on the baking of over 400 cookies. They also contacted area grocers who donated baked goods and raw materials. They addressed the need for a sales tax permit, a certificate of insurance, signage, advertising and even uniforms (the impression of a bow tie and a tuxedo in a blue jean and sweat shirt environment captured the attention of potential customers).

And what did they learn from the exercise? They learned the importance of the details. They also learned that if they had provided a sugar-free alternative, they could have sold more product to those who, for health and diet reasons, were restricting sugary desserts. Team members who did not have “sales personalities” learned that they could, indeed, talk with potential customers and sell them cookies. Net Profit: $373.50

The Big Production
While selling coffee, this team realized that sometimes it is necessary to spend a little money to make money. The location of a booth in a high-traffic location may have justified the cost of renting a booth. Renting equipment which would facilitate the manufacturing of their product in a more efficient manner may have been justifiable. Still, when faced with the need to assure their team of greater profitability, they teamed up with companies that were willing to pay the team to include their business cards and promotional offerings with the purchase of a cup of coffee. Charging $25 an hour for up to four hours, they distributed promotional coupons from dry cleaners, hair dressers and car washes. Mortgage companies, real estate firms, law firms and accounting firms provided the team with their business cards to distribute with a cup of coffee.

Going a step further, the team contacted Donald Trump's executive vice-president, George Ross, and suggested that a newly introduced bottled water product, Trump Ice, be distributed with each cup of coffee. Turned down, they doggedly approached him a second time and were told that although the product was not yet available anywhere in the country (with the exception of a couple of New York City restaurants), they could indeed have several cases for distribution at their sale.

The Big Production learned the value of thinking outside of the box. They learned that when push comes to shove, each team member was capable of performing a sales function. They also learned to utilize the media, gaining free publicity for their event. They learned to not give up when the outlook was, indeed, not good. Net Profit: $991.67

The Write Stuff
Like other small businesses, The Write Stuff utilized guerilla marketing and relied on word-of-mouth advertising to encourage friends, family and acquaintances to patronize their sale. The team pointed to their ability to work together, maximizing the benefit derived from each individual's strengths. When one was more organized, another was more gregarious in an effort to better market their product.

No matter how well a team works together, there is always an opportunity to review their performance and to learn how the task may have produced even better results. As a result of receiving better than anticipated donations of raw materials, The Write Stuff used less of their start-up capital than they had anticipated. By investing more of their start-up capital in raw materials and by delegating the task of baking the small, individually packaged cakes differently, the team could have produced significantly more product. And could they have sold more cakes? You bet they could. Some two hours prior to the official close of their sale, the team had sold 100% of their product, resulting in a higher net profit than their original projections. Net Profit: $509.25

A Win/Win Situation
While there is no doubt that Data Key Communications' employees have acquired some basic understanding of what it takes to successfully lead a company, management has also gained an understanding of the leadership talent within the ranks of administrative, sales and marketing, print and Internet production, and editorial personnel.

They have learned to think outside of the parameters of their job descriptions. They have a greater understanding of how important all of the little details are. Perhaps most crucial, they have a better understanding of the pressures our readers and advertisers face on a day-to-day basis. Each learned that being a leader may not always be easy. They have also experienced the up and down roller coaster of creating a product, marketing that product and counting the dollars in the cash box. An experience they are not likely to forget.

The Apprentice will be on NBC again in the fall, with new candidates and business challenges. For more information on how to use the show as a training tool with your employees, please call Data Key Communications' Judy Flanagan at 315-445-2347, or e-mail judy@datakey.org.