Memo Example #1 LBD ASSOCIATES, LLC

ICM IN-HOUSE MEMO #1

The following was written to the employees at ICM Laboratories to calm anxieties over a work shortage.

Memo to All
March 30, 1989
Subject: Going for the Gold Ring

As we all know, things are somewhat slow around ICM. Fine, enjoy it while you can because it's about to change. First, let me say that in spite of the slowness, March will represent ICM's all time biggest sales month and the first quarter sales of 1989, likewise, are the highest ever. We are now operating (during the winter) at a pace that is already 20% greater than in 1988 that was our best year. So there's no need to panic.

Nonetheless, when this type of situation develops, it triggers a basic response in Suzie and myself; we go out and sell. It doesn't happen often so you really haven't seen us in action, but we are pretty good at it.

Then, too, it is much easier to promote ICM these days. We have a lot of very good features to offer and impress the customers. It becomes a question of salesmanship and striking the right deal, so to speak.

The thought occurs to me that as we do this, we really wish to target the larger accounts. It is their business we seek. They can supply larger projects, and this means steadier work and good profits. It is the gold ring to grasp in this environmental merry-go-round.

But, and this is the real point here, some hard facts must be communicated before we go out and do this. Otherwise, we will fail and all look bad. Simply put, if we sell a large account, then we must service a large account. We can't go out into the world, tell someone how wonderful we are and then not be able to back it up. We would look foolish.

Back in 1984, when the environmental industry was becoming more technical and ECRA was just getting started, ICM started to deal with numerous engineers. We had a good reputation, but when these engineers tried us, we weren't properly equipped, staffed, or organized to do the job right. We fell flat on our face. Today, when we try to re-approach these same engineers, they remember their previous experience with the old ICM. Effort is needed to make them realize and appreciate our growth, capabilities, quality, and success.

Again, it isn't too hard to get the second chance. But as you appreciate, if we screw up a second time, then forget it. We will have blown it.

There are some things that need to be emphasized on how we can avoid blowing it.

1. Obviously, we have to maintain our high quality.

2. We can't make promises of any kind that we can't keep. If we do make a promise, then it must be met. No if, ands, or "butts" except our own.

3. For the larger accounts, we have to be flexible and satisfy them, even though it may be difficult. Any reasonable request must be met, and even (in some instances) the unreasonable ones as well. We must literally bite the bullet in these cases, and do whatever is necessary. After all, there are oodles of other labs out there just waiting should we fail. And if we can't meet suggested turnaround schedules, I am sure they will find a lab that can.

4. A thirty-day turnaround time is essential. Forty days or more just won't cut it. We need to develop mechanisms to be able to achieve our high quality and get it out the door in 30 days or less.

5. We have to be prepared for problems. This means that we must have on hand the essential supplies and parts to keep going. We can't depend upon our suppliers to help us in times of a crunch.

6. Efficient operation is a must. Wasted effort will literally mean wasted money.

These are the rules of the game. The rewards are great; failure stinks. While our competitors seek to achieve the level of quality we have, we can go out there and catch them with their pants down now.

As a final point, I wish to emphasize that I do not intend to go crazy with this promotion business either. Too much work, too soon will blow us away, and despite our efforts we won't be able to accomplish our goal. Hence, I want to target only 1-3 new clients, each in the $250,000 range. But as we grow, I want to have this growth controlled and managed properly. Don't be alarmed.

I know we can all do this job together. I have seen it, and you have too. This is a very good thing. Incidentally, our slow period is about to end anyway. So, enjoy it and use this time to prepare.

Rich

LBD ASSOCIATES, LLC
Randolph, New Jersey USA
973.895.5207
salevine@lbdassociates.com