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The Visual MBA

1 - Leadership

Fundamentals of leadership:

• Strategy
  • Creating a vision and plan

1. Execution
   • Taking action of the plan created to deliver result
2. Talent management
   • Motivation, engagement, communication with employees
3. Talent Development
   • Helping people develop their skills
4. Proficiency
   • Integrity, social and emotional intelligence, decision-making, trust building

• Our leadership is based on what other people think of us, not what we think

Building a brand:

1. Set a goal for 12 months
   • Consider the desires of everyone involved (customers, investors, employees)
2. What do you want to be known for?
   • Good practice is six descriptors to aim for as your core brand
   • Combine them into three, two-word phrases
3. Test it
   • Reflect on the values to see if they truly reflect your purpose
4. Execution
   • Share it, adjust, deliver

Good First Impressions

1. Happy facial expression
2. Good posture
3. Smile
4. Eye contact
5. Raise eye brows
6. Shake hands
7. Lean in

• To keep employees happy, find a balance of competence, passion, and opportunity
• An environment change can be revolutionary
  • Consider how the environment plays a part in the workflow
    • ex) Isolated cubicles, quiet
• Some stress is helpful to increase performance but there comes a point where performance drops. Make sure to take breaks, exercise, and relax to maintain performance.

3 c’s of team performance:

1. Context
   • Environment? Tone?
2. Composition
   • The variety of skills and personalities and their compatibility
3. Competencies
   • Goal setting and achievement
4. Change
   • Adaptability

2 - Financial Reporting

• Income statement
  • Revenue - Expenses = Net Profit
    • Revenue/Gross profit is money after deducting costs of goods
    • Operating income (EBIT) is after employee pay
    • Net profit is after taxes and interest
  • Use percentages from previous income statements to judge performance and growth
  • Pro forma is the future prediction of company success
• Balance sheet
  • Net worth
  • Assets = Liabilities + Equity
    • Assets are what you own, liabilities are debt, equity is shareholders and profits
• Cash flow statement
  1. Operating activities
     • Sale of goods
     • Purchases, wages
  2. Investing activities
     • Sales of assets
     • Purchasing of assets
  3. Financing activities
     • Issuing stocks, borrowing
     • Loan payments
• Cash is unproductive, as you can be using it to buy more assets

Financial Ratios

1. Debt to equity
   • How much debt is used to finance assets
   • Total liabilities / shareholder equity
2. Current Ratio
   • Ability to pay back obligations (higher is more capable)
   • Current Assets / Current Liabilities
3. Return on Equity
   • Profit generated with money by shareholders
   • Net income / Shareholder equity
4. Net Profit margin
   • Efficiency at converting revenue into profit
   • Net profit / net sales
5. ROE
   • (Net Income / Sales) x (Sales / Assets) x (Assets / Equity)

3 - Entrepreneurial Management

• Solving unknown problems with unknown solutions

  • Identify pain, experiment possible solutions to solve uncertainty

• !300

• What are people willing to spend money or time to solve? (Pain)

• Price, benefits, ease of use, ease of purchase

“When you start looking at a problem and it seems really simple with all these simple solutions, you don’t really understand the complexity of the problem Then you get into the problem, and you see it’s really complicated. And you come up with all these convoluted solutions  That’s . . . where most people stop But the really great person will keep going and find the key The underlying principle of the problem. And come up with a beautiful elegant solution that works.”—Steve Jobs

• Look for a deeper problem than the one you planned on solving
  • Can lead to more opportunities
• Surveying customers can help find the right price point
  • Take the price suggested and multiply it by the amount willing to see potential revenue
• Empathize → Define → Ideate → Prototype → Test
  • Empathizing is thinking from their point of view
  • Defining is thinking of the problem
  • Ideating is coming up with ideas
  • Prototyping is creating the bare minimum
  • Testing is seeing how people enjoy it

4 - Managerial Accounting

Types of costs

1. Fixed
   • Stays the same despite production changes
2. Variable
   • Changes due to production

• CVP (cost x volume = profit) helps understand selling
• Contribution margin (extra money after sales) is determined by revenue - cost
  • Can help find out minimum products needed to sell to break even
  • (Fixed cost + Goal) / Contribution margin = cups needed
• Activity Based Costing (ABC) helps keep track of expenses

5 - Business Finance

• Optimal deployment
  1. Decision-making
  2. Asset purchases and sales
  3. Operational efficiencies !Pasted image 20210607115132.png
• It’s important to evaluate assets based off their future value and usage

6 - Marketing

• Target an audience, don’t please everyone
  1. Segment
     • Possiblities
  2. Target
     • Specific groups
     • Keep as effective as possible
       • Who’s interested?
       • Who has the money to buy?
       • Who’s already purchasing goods?
  3. Position
     • Planning !400
• The deeper the reason for purchase, the more effective
• 7.5 or above is the target on a 10 scale
• Brand is spread through touchpoints (website, ads, email)
  1. Resonate with customers
  2. Differentiate from competitors
  3. Motivate employees
• What, how, why
  • Why is important as it is the most personal

7 - Operations Management

• Design, manage, improve
• Make sure the perfomance meets customer standards
  • Based on capacity and efficiency
• Lead Time: The time between a request and the delivery of your product to the customer
• Throughput: The amount of a product a business can create within a period of time
• Cycle Time: The total amount of time from the beginning to the end of the process
• Capacity: Maximum output from a process, measured in units per unit of time
• Efficiency: A business’ performance standard. All processes are leveraging resources in the most optimal way
• Bottleneck: A process in a linked chain that is slow, reducing the capacity of the whole
• Find bottlenecks that could use optimization to boost productivity

8 - Human Resource Management

Being systematic when hiring removes bias:

1. Identify purpose for hire
2. Create job definition
3. Define tasks
4. Prioritize tasks
5. Define needed competencies
6. Ask questions and rate responses
7. Hire
8. Evaluate Motivating Potential Score (MPS) can be found by: ((Skill Variety + Task Identity + Task Significance)/3) x Autonomy x Feedback

• Boositng motivation
  1. Opportunities
  2. Recognition
  3. Rewarding work related to their skills
  4. Responsiblity
  5. Personal Growth
• Reducing motivation
  1. Obstructive policies
  2. Supervision
  3. Fear of job loss
  4. Unmeaningful work

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Created:: {{1amt1:2021-06-07}} 11:13