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When Behavioral Differences Impact the Bottom Line

Conflicts in the workplace are nothing new. When handled appropriately, conflicts often produce some of the best work. But when communication exchanges become toxic and disruptive and lead to poor decision making – then it’s a real issue and needs to be addressed.

To those leaders who appreciate the importance of understanding how to manage behavioral differences – good for you; your business is probably flourishing. For leadership that has no understanding and, in my experience, very often even promotes conflict in the belief that competitiveness is healthy and pushes individuals to perform more effectively – you’re missing a business building opportunity.

Behavior differences not understood at best and left unmanaged at worst can inhibit performance, cause unnecessary conflict and will only deteriorate if left alone.

People before numbers

I’ve worked in the corporate and government world for many years and it always bothers me as a consultant when a CEO cites issues such as, teams not aligned, communication problems, incessant complaining to supervisors, lack of business progress and so on.

Business is all about people. Whether they are your customers or your staff. Most conflict within and involving people revolves around unfulfilled needs:

  • Decision making – I want to make them. I want you to make them.
  • Communication – I’m expressive and want to talk. Im reflective and don’t want to talk.
  • Structure – I like order. I’m a free spirit.
  • Trust – Approach me, I’m an open book. I’m suspicious of your motivation.
  • Opportunities – Let’s go for it. I play it safe.

If we have no insight into these basic differences we should not be surprised when there is conflict or that teams can’t work effectively together, worse still, when customers get frustrated and sales are lost.

There is no magic wand to resolve behavioral differences, but there is a significant behavioral insight tool that can reveal individual unique behaviors. Armed with this insight, leaders can use the data to prevent unproductive and negative behavior that leads to conflict.

Know thyself

Most CEOs are frustrated with unmanaged behavioral issues and tend to push those off to HR to deal with or call in a consultant, like me, to make the issues go away. In reality, the starting point for a CEO should not be flicking issues off to HR, but to invest in getting to know their own behavior. That is always my starting point.

It never ceases to amaze me how impressed C-suite members are when they invest 10 minutes to understand their own inherent behavior. Suddenly they are sharing insights with each other – they have significant a-ha moments – they get why colleagues behave or react the way they do. More importantly, there is a genuine willingness to get below the surface in terms of how best to work together, and they make comments such as:

  • Will you let me know when I say something that belittles you?
  • Let’s have coffee together and figure out a better way to run our departments.
  • I see now why all my detail frustrates you – I’ll cut to the bottom line.
  • I understand you need time to reflect and think things through – I get it now.

As a consultant called to sort out people messes, always make sure you engage the leadership in understanding their behavior first. It will make dealing with their company problems much more effective.

Reconciling the differences that will undoubtedly exist between leadership will work toward resolution of wider issues in the organization.

One of the secrets of dealing with workplace behavioral differences is to have a clear journey for each individual. It’s more than a high-level vision; it’s the vision for the individual and how their contribution fits into the whole. When inherent behaviors are known, designing this pathway is likely to bring greater results.

Leverage our know-how

We provide organizations with a plug-in solution, so they don’t have to reinvent the wheel. If you are thinking, we need to address the behavioral differences in our business, feel free to rely on my knowledge and experience, not to mention the knowledge and experience of all my colleagues and our tools.

You can deploy us and our ‘behavioral chip” – DNA Behavior’s API - within your organization and quickly begin solving significant relationship, productivity and decision-making challenges. Imagine: Validated, scalable, practical solutions. Real insights for real results in real time.

Knowing yourself is the single most important 10 minutes you can invest in yourself.
Complete the DNA Behavior Natural Discovery for no-cost and no-obligation. You’ll ultimately get a one-page infographic report with actionable insights. Now, imagine everyone within your organization gaining such insights. THAT’s the kind of bottom-line difference I’m touting.

(Far) beyond risk-tolerance questionnaires

Quick or Quality? How About Both? (And We’re Scalable!)

In looking to leverage human behavioral insights to solve business problems and tailor employee and client offerings, do you want a very few questions that grab some data points so you can just keep moving?

Or do you want a discovery profile questionnaire that achieves results like these?

  • Easy and quick to complete (Don’t have 10 minutes to garner data that will affect decisions and relationships for a lifetime? Quit reading now and let’s go have coffee and talk about your priorities).
  • 91% reliability.
  • Predicts long-term behaviors.
  • Removes situational bias – education, culture, gender, race, etc.
  • Removes emotions.
  • Removes faking.
  • Is non-judgmental.
  • Provides greater depth and breadth of insights – 64 traits and 200+ insights covering all areas (from communication, financial decision-making, setting goals, choosing your role, team building or leadership and advisor development.)
  • Immediately usable results.

Then complete our DNA Natural Behavior Discovery Process, which uses a forced-choice scoring model with 46 simple to understand, non-situational questions that reveal your greatest strengths and struggles.

Small orgs, big orgs – no worries

Even better, we have an enterprise solution so you can have these validated, practical, applicable and scalable insights without reinventing the wheel. Just plug the DNA API into your system.

We provide the behavioral chip that enables you to harvest and leverage people data already in and around your systems organization. That means: Real insights for real results in real time – to tailor financial and other advice; communications, sales and marketing; recruitment, match-for-role, retention and hiring; and just about anything else in which behavior, decision and productivity is crucial.

Quick and quit, results be damned

Or, don’t use a questionnaire structured like DNA Behavior’s, and risk the following outcomes:

  • Results changing all the time; this variation signals that you’re not getting lasting, reliable insights.
  • Taking longer to do and measuring fewer insights and doing so less accurately.
  • Harder to complete because of the difficulty in understanding questions. (One of the several reasons we emphasize that ours produces more reliable results that are not situational.)
  • Not culturally neutral, which is a problem in and of itself but especially so if you’re committed to an even, non-judgmental process and one that embraces diversity by being culture agnostic.

Traditional risk-tolerance questionnaires are a good example of an instrument that might be pretty quick and painless and may ultimately be useless. The time you do invest addresses just one metric, which may not be accurate in the long run. And such questionnaires are susceptible to emotions of the moment and situational bias.

What’s your ultimate goal?

There are endless aphorisms, memes and jokes about whether you want something fast or correct. With we humans it’s usually not an either/or proposition, but a balance of all of the best factors. We’ve been working on DNA’s behavior tech platform for 18 years. So, the 10 to 12 minutes you or your employee or team member or client spend on completing the DNA Natural Behavior Discovery Process will be robust, meaningful, reliable, practical and lasting.

Take a test drive: Complete a no-cost, no-obligation DNA Natural Behavior Discovery here.

Short Investment of Time Can Pay Dividends for a Lifetime

Short Investment of Time Can Pay Dividends for a Lifetime

This article first appeared on Nasdaq.

We’ve been having an interesting conversation in our office about how often we have been required to complete a questionnaire, how long they have taken and the reason for them.

Some of the recent experiences of our team members:

  • Renewing a passport online – 45 minutes;
  • Completing a tax return online – 1.5 hours with all the documentation to hand;
  • Applying for membership at a local gym – 25 minutes;
  • A spouse applying for a part-time position – 35 minutes; and
  • Applying for a young child to go to school – 1 hour.

The topic was up for discussion due to occasional objections from advisors and clients taking a 10-12-minute behavioral insights questionnaire to best tailor their investment advice and financial decisions. Why wouldn’t every investor take 10 minutes to complete a one-time questionnaire that would change their investment approach and increase their wealth?

Moreover, why wouldn’t an advisor use the same 10 minutes to understand how to more effectively advise their clients through a deeper understanding of their own financial decision-making approach, cognitive biases and communication style?

The pause that empowers the process

Comparing the recent experiences of my colleagues to the 10 minutes it would take to reveal behavioral insights that would benefit both client and advisor for a lifetime of investing seems a no brainer, though I am admittedly biased, having spent nearly 20 years working in behavioral insights.

Even if that has not been your focus, it’s easy to see the value of completing questionnaires as outlined – those geared toward traveling, getting healthy, great kids education, work, and of course tax returns. Yet some question the value of investing 10 minutes as a gateway to a lifetime of behavioral insight-powered decision making (and investing).

Assuming a typical advisor minimum threshold for client investing is $250,000, and based on Vanguard research with over 56,000 clients, we know that advisors bring 150 bps of additional value to a clients portfolio through behavioral management. That is 1.5%, which means that an advisor has the potential to bring an additional $3,750 annually just by the client investing 10-minutes for completing a behavioral discovery questionnaire.

Whether you start your investment with a $500 gift from grandparents or are reviewing your million-dollar portfolio, take 10 minutes to get a comprehensive insight into your decision-making approach. Then ensure your advisor invests 10 minutes into you by completing the same questionnaire – then you have a wealth creating partnership. From a teenaged investor just setting out to a seasoned investor – the 10 minutes needed to uncover innate behaviors is unlikely to change with age or through various life stages.

Should my client invest 10 minutes?

Very often in my experience it is an advisor perception that clients will object to participating in a 10-minute behavioral discovery process. Yet when clients understand the go-forward value of that investment of their time, they not only are willing but eager to take part in fine tuning their wealth management.

Of course, advisors who want the edge such a behavioral questionnaire provides must choose one that is truly actionable, unlike the many questionnaires we complete that give us no real value and gather dust on a proverbial shelf somewhere. It’s not a one off, but something that provides lasting value as advisors and clients continue to reference the information.

In fact, with the right behavioral discovery tool, the actionable takeaways should be so practical that clients can leverage the behavioral insights in other facets of their lives beyond wealth planning and money decisions.

Clearer picture, clearer roadmap

Other short questionnaires around the financial industry often look at or reveal just one aspect, for example, risk tolerance. They stop short of providing a full picture of who the client is and can short-change both investor and advisor.

These narrower assessments that have been the norm for many years are outmoded. So, it likely is the time now to embrace more comprehensive behavioral discovery which provides a deeper, broader, more practical and lasting result.

As more people are exposed to the value and power of leveraging behavioral insights toward better and more tailored financial advice, it becomes not a nice-to-have extra, but a wanted, needed integral part of tailored, high-net-worth planning.

How many other things do you and your clients spend 10 minutes on that will not have near as great an impact or lasting return?

Business meeting

What’s 10-Minutes of Your Time Worth?

During a recent presentation, I shared our unique DNA Behavior Discovery assessment process (think probing questionnaire) on screen and a skeptic gasped, No one will spend the 10-minutes to do this. I found this surprising and it has still not escaped me.

With all the time we spend on inane things (satirical YouTube videos, social media, reality TV and more), investing the same amount of time it takes to fold a load of laundry or order a few office supplies online to learn something about yourself that will pay dividends for the rest of your life hardly seems like a waste.

How much time do you spend sitting around talking about money (or lack of it) and your desires? Cutting to the chase by getting clarity on who you are and how you make big decisions will come back to you in spades.

I’ve been reflecting on, What is the value of spending 10-minutes to measure your “DNA”- innate behaviors you may not even know you have but which drive all types of critical decision making throughout your life? Below I take a stab at the value. I’ve low-balled this a bit based on research we have today and the ways our clients are using behavioral insights to bring value to their teams and clients.

Before we jump into that data it’s important to know that DNA Behavior has three main segments (Financial DNA, Business DNA, and Communication DNA). When a participant spends 10 to 12 minutes, he or she receives insights from all three segments where we predict virtually every human habit: such as habits for investing, spending, working, communicating and decision-making.

Investing: Financial DNA brought an average portfolio: $3,750++ annually

One of the main benefits of Financial DNA is powering advisors with tools to behaviorally coach their clients. Most advisors leveraging Financial DNA set the minimum threshold for clients at $250,000. Let’s assume this skeptic had the minimum threshold – as I do know they have an advisor. Based on Vanguard research with over 56,000 clients, advisors bring 150 bps of additional value to a clients portfolio. That is 1.5%, which means that an advisor has the potential to bring an additional $3,750 annually just by investing 10-minutes.
Another personal benefit of Financial DNA is revealing clients spending (and saving) habits and the action steps to manage these behaviors. Imagine the value of a tool that could save you 5, 10, even 15% of your annual expenses just by being aware of your spending.

Working: Business DNA could bring $22,540 in value to your time at work

One area where behavioral assessments have been more embraced is the hiring process. It is relatively routine to be required to complete an assessment before landing a job (and often these assessments can range from 10-minutes to 1-hour to complete, with 30-40 minutes being typical). It is not uncommon for applicants to be required to complete five assessments before they land a job, but if a DNA Behavior Discovery was in the mix, they don’t need to complete any of them.

Instead, all participants can receive their Business DNA results alongside their Financial DNA – there is no need to ever complete another pre-employment assessment again as even more robust information is already in hand via the investment in a single DNA discovery. The median household salary in the U.S. is $56,000 (approx. $28/hour). If each process was an hour long – this would save $140.

Gallup did research on Individual Productivity and found that processes like Business DNA reduce stress and unproductive time in the workplace. In fact, Gallup quantified this at an increase of 40% in employee productivity and 70% in team productivity. Again, assuming with the national average of $56,000 a 40% increase in productivity lends itself to a rough savings of $22,400 per year.

Decision-making: Awareness to Check yourself before you wreck yourself: Priceless

The same one-page report that informs financial decisions and workplace scenarios can be brought to bear in any facet of your life. The power of having this validated information at your fingertips is incredible. For instance, pausing to consider maybe five of your strengths and perhaps three of your challenges may change the lens through which you see things, influencing untold decisions.

And think of that multiplied by two. That is, pausing to consider not only your own strengths and challenges, but the same information on the other side of the equation – perhaps a team member, client or even family member who also invested the 10 minutes to discover their own DNA.

I was recently at a business dinner at which a guest produced business card-sized DNA Discovery “cheat sheets” from his wallet. He confessed that he occasionally stops to re-review his own and his wife’s Communication DNA reports. Now THAT’s valuable.

Still not convinced? Consider: It has taken you less than 10 minutes to read this article.

Convinced? Complete a no-cost, no-obligation 10-minute discovery (Choose: Financial DNA or Business DNA).

34

When Top Talents Holds Leadership Hostage

This article first appeared on HR Management App.

Every organization has talent stars. The ones who shine. The ones who consistently get wins for the business. The charismatic, in-crowd types.

We all know them. We may secretly envy them. Maybe even some of us are them.

But where do they fit in today’s more enlightened business environment?

To begin with, most leaders would never admit to favoring their rock stars – because that just isn’t politically correct. Yet, secretly, they do.

A healthy working environment for teams (in fact for any group of individuals) is for everyone to be treated equally. When a culture of inclusivity is fostered, individuals work more effectively. When no one person is bigger than the collective culture – and all are valued equally – success is an inevitable outcome.

When individuals and/or teams feel they have a right to certain privileges, resentment creeps in. When individuals have a talent that the business needs, they can easily hold colleagues and leadership to ransom to gain favors. Again, if leadership allows this sort on behavior, this leads to toxic environment.

One of the most effective keys to ensuring that privilege/entitlement doesn’t form roots in organizations is to have a healthy culture that begins at the top. An executive team that is focused on the business, and not on their own salary packages, sends healthy messages to people throughout the organization.

An executive that really works as a team, where they understand each others behaviors, where they have trust and respect for each other – that’s the fertile soil within which to build healthy working teams.

The quickest way to break down and undermine “teamness” is to constantly turn the spotlight on one or two individuals. When hiring key talent, it is important to understand how they will respond to teamwork. Those that present with a persona of entitlement will be difficult to manage and are less likely to blend with an existing team.

This is a time when reliance on resumes must be supplemented by a scientifically based natural discovery behavioral data process. One that reveals what is ticking below the surface. Such lurking characteristics are likely to appear when people are under pressure, so it is best to have this information in hand before a crisis makes it apparent. If not revealed and addressed, a spirit of entitlement damages teams.

One of the keys to creating a culture of togetherness – for the good of delivering the vision of the business – is to have zero tolerance of any behavior that surfaces which would comprise the way teams operate.

Once behaviors are uncovered, decisions can be made on how best to onboard stars and talent. If the business needs their skillset, there will be work to be done to use the personality data to integrate them into their teams.

Further, integration and, therefore, success can be achieved more effectively when the behaviors and communication styles of every member of the team – supervisor and line management – are known.

When this environment of transparency is achieved, rock stars can thrive because their skills and talents are used for the good of the team and the business, and not for their own personal gratification.

No one individual is bigger than the team, and every ego and every bit of one-upmanship is parked at the door. Only when individual behaviors are known and understood can top talent be leveraged in a way that ensures leadership is never held hostage by talent. Why not begin by understanding your own natural behaviour, try our complimentary DNA Behavior Natural Discovery here.

To learn more, please speak with one of our DNA Behavior Specialists (LiveChat), email inquiries@dnabehavior.com, or visit Business DNA

The Security of Your Personality

The Security of Your Personality

Individuals often marvel at the amount of data that we have available with the DNA API. The follow-up question (often with skepticism) is what personal information DNA requires in order to provide it. We can now say: “None”, “zero”, “zilch”, “zip”, “nada”.

With the DNA API, participant data can remain completely anonymous – we don’t need client’s names, emails, date of birth, address, assets, anything. All we need is their responses to the psychometric questions.

Improvements to the DNA API:

Over the past year, we have seen trends of security breaches, data leakages, and data misuse. If your firm is as concerned as we are over this then you should be hesitant to provide any of your data to third-parties. Now, if you don’t have a business reason for us to know the identity of your clients, then simply don’t send it to us.

With the DNA API, client’s results are stored in our database using a GUID – ‘Globally Unique Identifier’. It is a 128-bit integer number used to identify people, places or things. In our case, each participant is assigned a GUID by our API partner. We store this value in our system alongside the behavioral data we have available and use this ID as the “name” of the client going forward.

In addition to modifying how we identify participants; we have also added 100′s of new behavioral insights and area adding 100′s more. We now can measure virtually every human habit an individual has for investing, life, working, or decision-making. If you are interested in learning more about our API, access the guide below.

Download the API GUIDE

Clients data is anonymous and lasts forever:

On client demo calls, we are often asked: “if the data remains anonymous on your system, how do you manage clients as they retake the process each year.” The beauty of the Natural Behavior product, the backbone of our API, is that clients do not need to retake the process, ever.

The results last a lifetime with our Natural Behavior assessment, unlike many other behavioral products out there. Natural Behavior is built using a forced-choice model which removes situational bias- this allows us to measure a client’s instinctive behaviors that don’t change after age two. This means that clients don’t have to re-take our assessment and their investing, work, and decision-making habits we provide insights on last a lifetime.

Other security measures we take to bolster security:

In addition, to allowing individuals to remain anonymous in our system, we have also taken many measures over the years to increase overall system security and align our processes with industry best practices. Below are some of the measures taken to ensure the security of the DNA Systems.

Active Security Monitoring:

DNA Behaviors application environment is enabled with a security service to actively monitor all of its resources. This system collects and processes security-related data, including configuration information, metadata, event logs, crash dump files and more. These processes help identify securities incidences in real-time.

This security service helps prevent, detect, and respond to threats with increased visibility into and control over the security of the DNA Systems. It provides integrated security monitoring and policy management across the network, helps detect threats that might otherwise go unnoticed, and works with a broad ecosystem of security solutions.

Security Pen tests:

Throughout the year, DNA Behavior works with an experienced third-party security consulting firm to perform both manual and automated vulnerability scans and penetration tests on our systems. The third-party security experts perform this penetration process using many methods such as those prescribed in OWASP methodology to identify potential vulnerabilities. All the vulnerabilities are then reviewed and fixed by our technology team and a final report is available. This penetration report is available to our client base. To request your copy, contact us.

Undergoing Security Reviews by enterprises:

DNA Behavior caters to all clients, large and small. When we work with large enterprise clients, the team routinely participates in security reviews with their technology team. This provides an objective additional eye on our processes and is readily welcomed by myself and my team.

Reviewing Trends in Security Breaches:

As part of my role, it is my responsibility to regularly review current trends and styles of breaches that are happening to firms around the globe. We regularly review the methods and mode of these breaches and make proactive steps to ensure that we are taking appropriate precautions to prevent a breach of that type.

To learn more, please speak with one of our DNA Behavior Specialists (LiveChat), email inquiries@dnabehavior.com, or visit DNA Behavior.