Debt Management - Budgeting Your Money

Many people ignore one of the most obvious methods of wealth building: budgeting their money. Nobody will ever be able to increase their wealth unless they know how much money they have and what they spend it upon.

This means if you want to have money available you will have to budget. Fortunately, budgeting is not that hard or complicated.

Create a Budget

The first step in budgeting is to create a budget. All you have to do is simply sit down, look at your expenses and your income. Then write out how much you need to spend to pay off your expenses on a piece of paper.

Most people fail at budgeting because they make a budget that's too rigid and neglect two important aspects of a budget. Whenever you create a budget always include a savings and a cash reserve. Try to put 10% of your income in savings and 10% in cash reserve. Savings is money you are storing for the future, a cash reserve is extra money you can use for emergency and unforeseen consequences.

Having a cash reserve is vital because you will not have to use credit cards or dip into savings in most situations. If the cash reserve is still at the end of the month, leave it. That way there will be extra funds available.

A good rule of thumb for budgeting is to try and budget a little more than you actually spend for items. If the grocery bill is normally $ 500, budget $ 550 for groceries, this way you will not have to use savings or cash reserves if grocery costs are a little higher. Do the same for other expenses.

Staying on Budget

It is a good idea to compare your budget and your expenses about about once a week. Simply sit down and look over your expenses and your budget and see if you're staying within it.

A good way to keep track of your spending is to make all your purchases with a debit card. That way you will have a written record of your spending in the form of your statement. You will also have an online record of your spending that you can check.

Try and make as many purchases on debit card as possible. This way you can see if your budgeting is working or not.

Another good budgeting tip is to avoid automatic payment plans and checks. Instead try and pay as many bills as possible by using electronic bill pay. This way you will know what money is going out, when it is going and that only only payments covered by the funds in your account. Use the electronic bill pay that requires you to initiate the payment yourself.

Intel Is Going To Enter The Tablet Computer Market

The Intel will enter the tablet computer market, which is in people's expectation, because Intel has run successfully in the netbook market. Whether the tablet computer will replace the laptop computer is a question, but the entrance is a must. From the current module point of view, replacing the laptop computer is unrealistic now.

Customers care about the impact taken by the Intel after entering market most. Will it bring the new era to people? Currently, the Intel is behind the opponents who pay much attention to the low-cost and low power consumption processor. The Oak Trail will be released in the next year, which has improved the efficiency and kept its own characteristics. The display panel is the component which has the highest power consumption and this new chip is able to be used for twelve hours without charging, so it is competitive.

The innovation and change of the technology is always the focus of the market. When the Intel is progressing, the other companies do no drop behind. This situation makes more anticipation. Actually, Apple had released the iPad of this January, and the sales increased so much. With the entrance of the other companies, Intel also gains the market share. It is predicated that that the shipment of tablet computer will grow two times, while the laptop computer will only increase by thirteen percent in the next year.

The movable chip market is monopolized by British corporations, such as the Nvidia and ARM. It is well known that the chip of ARM is widely used in cell phone, and some have entered the tablet computer market. The chips of Nvidia had been used is the tablet computer most, so it is the competition of Intel. A series of tablet computer will be released by Intel in the following months. They will use different operating system, such as the Windows, Android and Meego. The related integrated circuit is YM3812 .

Planning For Financial Success

So, why do some educated, hard-working people always have to struggle to keep up with their bills? And why is it that everything some people touch seems to turn to gold? Is it just luck? Or, does it have something to do with their frame of mind?

There are two questions you should ask yourself: Are you comfortable with your present income? Are you satisfied with the amount of money you have accrued to date? If your response to either question is no, you will find many of the answers in the following pages.

Today's American adults are some of the luckiest people in the history of the world. Just think about it. If you were born between 1940 and 1980, you grew up during the most auspicious period in history. You have seen the birth of modern technology and enjoyed the benefits of the space age, the computer age-and, for the most part, a period of peace. Those of us who have good health, are indeed lucky. So, why should not we have a positive outlook?

The optimist says, "My cup runneth over, what a blessing."

The pessimist says, "My cup runneth over, what a mess."

Granted, the economic future for some Americans may not be as bright as it could be. Yes, the country still has political and economic problems and some families are experiencing a decline in their standard of living.

But, we should keep in mind that "the flip side of a problem is an opportunity-for those who are prepared to find and implement solutions."

Successful people have a lot in common

People who understand the importance of keeping their money working for them are usually more successful financially than those who fail to appreciate this fact. If you have a lot of money, it is important to keep it working because you have a lot to gain-or lose, depending on how well your money is working for you. If you have very little money, it is even more important to keep what money you do have working. It can be the seed that grows to become great wealth. Once you begin wisely investing your money, efforts, and talents, you are on your way to becoming financially independent.

Yet, those who have been successful in accumulating wealth through their own efforts have more than money in common. They think and plan "long- term." They believe in the planning process, set financial goals that are carefully thought out, put their plans into writing and then into action. They form good economic habits by saving and investing. They study, think, plan and learn from others and by doing. They make adjustments where necessary, continuously reinvesting. They never stop trying-and they always maintain "a winning attitude."

Successful people do not allow negative feelings to linger. They quickly get rid of the feelings by taking steps to solve their problems or by doing something positive.

Do not be surprised to discover that luck favors those who are prepared.

You, too, can be financially independent

Tenacity is also a most important quality. It is difficult to succeed with-out consistently focusing on the things we want to achieve-and by taking action each day to get us closer to where we want to be. We must be willing to do whatever it takes if we are to get the results we want.

Lonnie Scruggs, the "father" of mobile home investments, says "the toughest thing for a lot of people is to actually get out and do that first deal. "

The first step in succeeding is that we must believe in what we are doing. If we do not believe well enough in the service we are performing, we will not succeed. We should not think, because we have lived in a nice single family home, that manufactured homes can not play an important role in today's housing market.

Efficient manufacturing methods, low maintenance, and lower utility costs make it possible for millions of people to have a better place to live. For many, it is a way to build an equity that can be used later to make a down payment on a conventional home.

The miracle of compound interest

When asked to name the seven wonders of the world, Baron de Rothchild once said, "I can not. But, I know the eighth wonder is compound interest."

Through the ages, the constant use of compound interest has made the difference between those who have become wealthy and those who stayed poor. In simple terms, compound interest means earning a return on both the money invested and on interest that was previously earned, but left in the account to grow.

If you do not understand the concept of compound interest, learn it thoroughly and keep it in mind when planning your investments. If you will continue to use the power of compounding your money at a reasonable rate of return over a period of years, you will almost certainly become wealthy.

The higher the return on your money, the sooner your net worth will double. Once you double your net worth, the same rate of return will double your income. To illustrate the importance of learning a higher return, the chart in Table I shows how long it will take to double your money at various rates, compounded monthly.

Table I

Time required to double your money, depending upon the rate of return

Compound

Rate

Months

Required

40%

21

30%

28

20%

42

15%

56

10%

84

6%

139

3%

278

We know that most banks will pay 2% to 5% on our money. But, before dismissing 20% ​​to 40% returns as wishful thinking and no doubt unsafe, bear with us a little longer and we will show you how.

First, there is another important concept that we should understand and keep in mind: The time value of money. We all understand the importance of avoiding losses when investing our money. However, most people do not realize that profits we could have earned had we taken the correct steps, is just as real as the loss of money when we make a bad investment. The longer our money is allowed to sit idle - or invested at rates that are too low - the more money we lose.

To show the dramatic difference, let's look at the results achieved by our two hypothetical investors. After keeping $ 10,000 in savings at 6% for ten years, Mr. DeLay discovered he could earn 20% on his money. At the end of ten years he invested the accrued $ 17,908 at the higher rate for the next ten years. Now, at the end of twenty years, his $ 10,000 investment has grown to $ 110,882 ($ 10,000 compounded at 6% to $ 17,908 over the first ten years; then compounded at 20% for ten years).

Mr. Timely, on the other hand, discovered at the outset that he could earn 20% on his money. During the same twenty year period his $ 10,000 gre to $ 383,376. Beside earning $ 272,494 more than Mr. DeLay, what did Mr. Timely do different? He allowed his money to grow at the higher rate for a longer period of time. He understood the concept of compound interest and the time value of money. Other important lessons can be learned by studying the following examples:

"Goals are simply dreams we are willing to take action upon."

Table II
Results of compounding a $ 10,000 investment at varying rates of return.

Compound

Rate

2 Years

5 Years

10 Years

20 Years

40%

$ 19,600

$ 53,782

$ 289,255

$ 8,366,826

30%

16,900

37,129

137,858

1,900,496

20%

14,400

24,883

61,917

383,376

15%

13,225

20,114

40,456

163,665

10%

2,100

16,105

25,937

67,275

6%

11,236

13,382

17,908

32,071

3%

10,609

11,593

13,439

18,061

Before going any further with this theory, let's get rid of some of your skepticism by reviewing a typical transaction, involving the purchase and sale of a used manufactured home. It was one of my wife's first transactions, done while she still worked as a nurse.

Advice should be measured by the success of the person giving it.

Example

Situation: The manufactured home owner was a registered nurse who had just contracted to purchase a house. She had maintained her home in good condition and paid off the loan. Her asking price was $ 5,000 cash.

My wife had discovered it was relatively simple to buy and sell used homes that were already set up in a park and did not need to be moved.

Problems: The owner had contracted to buy a house and needed to get cash for her mobile home to help with the down payment. But, most prospective buyers do not have the cash-and banks would not finance older mobile homes. She also needed to be relieved of lot rent of $ 158 per month.

Solution: The owner agreed to accept our cash offer of $ 3,500, with the understanding that she would be allowed to stay in the home for about three weeks until she could close on the purchase of her new home.

After the seller moved out, we resold the home within two weeks for $ 6,250. Our buyer paid $ 750 cash down and agreed to finance the $ 5,500 balance at $ 189.32 per month, including 14.5% interest for 36 months.

The financial results were as follows:

Purchase price

$ 3,500

Sales tax (6%)

210

Fee for recording title

35

Thorough cleaning of the home

50

One month's lot rent

158

Total Cash Invested

$ 3,953

Less down payment from "buyer"

750

Net cash investment

$ 3,203

Lease & option price

$ 6,250

Less down payment (option money)

750

Receivable from buyer

$ 5,500

Months

Annual

Return

Present

Value

Monthly

Payments

Receivable

36

14.5%

$ 5,500

$ 189.32

Net Investment

36

57.9%

$ 3,203

$ 189.32

Advantages: The owner received $ 3,500 of the cash needed for her new home and was relieved of $ 158 per month in lot rent. She no longer had to be responsible for the mobile home and was free to move at her convenience.

Our buyer was able to move into a neat home for only $ 750 down and $ 347.32 per month, including lot rent. His cash requirement and monthly payments were about the same as it would have had he rented a comparable apartment. But, unlike renting an apartment, the home will be paid for in three years. After that, he would have only lot rent to pay.

The park manager was happy to have the home stay in the park and to be able to continue collecting lot rent.

On a net investment of $ 3,203, my wife received $ 189.32 per month for the next 36 months-a net yield of 57.9% per annual.

Keep in mind, however, that we earn this kind of return by dealing in manufactured homes as a business-not a passive investment. While almost anyone can find ways to buy and sell manufactured homes, it does take a little time and effort.

Rules for setting effective goals

To become financially independent, we believe it is necessary to set effective goals. Here are some rules you may want to follow:

Your goals should be written. An unwritten goal is purely a wish that you probably will not achieve. By putting your goals in writing they become a commitment you have made to yourself. Since your situation today and your goals for tomorrow are both unique, your plan must be personalized.

Ask yourself, "How will I know if I am accomplishing my goals?" If you can not answer that question, you should rewrite your goals.

Financial goals should be specific. State your financial goals in terms of numbers and dates. For example, you may decide to have investments worth $ 250,000, producing an annual net income of $ 25,000 within five years.

Break your goals down into smaller sub-goals. For example, you may decide to increase your income by $ 5,000 each year and the value of your assets by $ 50,000.

Focus on the things you want to achieve. Setting your priorities is of utmost importance. Keep a daily or weekly list of things that you need to do. Arrange them in order of importance. Ask yourself: If I could accomplish only one of these objectives, which one should it be? Once the list is arranged in order of importance, take some action each day that will get you closer to where you want to be.

Your goals must be challenging but attainable. Excitement and challenge are important ingredients when setting goals. If your goals do not demand your best efforts and push you beyond where you have been before, the lack of challenge may cause you to lose interest. However, if it becomes apparent as you get more involved that your goals are unrealistic, adjust them to a more realistic level. If you do not believe you can achieve the goals, you will not be willing to pay the price. When they begin to lose their challenge because they are too easy, adjust them upward.

Review your goals regularly. This is another reason it is important to have written goals. In a world that consistently threatens to overwhelm us with alternatives, reviewing written goals will help you stay on course and make adjustments when appropriate.

Evaluate your progress regularly. Without the satisfaction of reaching some of your goals for long periods of time, you may lose interest in your long-term goals. It may be helpful to reward yourself when achieving one of your sub-goals. Such things as new clothes, a new car, or a vacation could have been a part of your goals. Do not spend any more of your profits than necessary. The more you spend, the less you have left to invest.

You must want to achieve your goals. The stronger the desire to reach those goals, the more willing you will be to pay the price for achievement. Spend a little time visualizing yourself possessing the things you want to acquire-then go out and do it. A plan that is not implemented is really no plan at all!

Obstacles you will need to overcome

To become financially independent, it is essential to know the obstacles you will face, and then devise methods of overcoming them. Three major obstacles which need to be considered are:

The fear of taking a risk: The inability or unwillingness to take risks can be a handicap to financial success. Those who will not take risks often become spectators in the economic world and eventually blame everyone but themselves for their lack of wealth. Most people, in their desire for safety, choose methods that are familiar-rather than keeping an open mind and considering new ideas.

Procrastination and indecision: The best opportunities are usually brief and do not wait for those who are unprepared. How many times have we missed an opportunity by waiting too long? Almost everyone procrastinates to some extent. The difference is one of degree and only a small degree of difference can separate the successful from the unsuccessful.

Taxation: Our income tax system promises to punish the uninformed and reward those who are informed-provided they plan ahead and then take action. While the existence of taxation is beyond our control, there are many ways to minimize taxes, while working within the system.

Avoid Making Decisions By Indecision

If you are like many others, one of the big problems facing you is indecision. Usually, indecision is based upon a lack of information. When you are faced with making important decisions that you are not sure about, why not talk to people who are in a position to help? Ask each to list all the advantages and disadvantages.

Once you have the information necessary to make an informed decision, evaluate that information and then take appropriate action. The best decisions are made by design and systematic planning-not by acting on impulse.

You probably learned in school that Benjamin Franklin was famous for making wise decisions. If it was the right thing, he wanted to be sure to do it. If it was the wrong thing, he wanted to be sure to avoid it. His simple method of making decisions is used by many astute people today.

Taking a sheet of blank paper, Benjamin Franklin would draw a line down the middle. On one side he would list all the reasons for taking the action. On the other he would list the reasons not to take the action. When he was through, he count the reasons on each side and the decision was made for him.

However, some reasons are more important than others. To be more precise when making important decisions, we could have given each reason a weighted number on a scale of one to ten. When the totals on one side out-weigh the totals on the other, the right decision becomes more clear.

Some decisions, such as buying or selling a large property, involve many different considerations. How will it affect your monthly income? Will cash be available to meet obligations? Do you have capable management? Will it result in additional taxes or tax savings? Is the property likely to increase or decline in value? Such decisions may be too complex to be made by approaching it as one decision.

Complex decisions should be broken down into "bite-size" pieces with each consideration listed as a separate issue. Then focus your attention on one issue at a time. When in doubt, get advice from people who are experienced in that area. When one issue is resolved, go to the next. When you are finished, the right decision will be clear.

Just do it!

All the information, ideas, and good intentions will not pay the bills-until we decide to make it happen. Why do so many capable people fail to take action? They talk, read and think about all the great things they would like to do. And, then they fail to take action.

In his outstanding tapes, "Personal Power," Anthony Robbins explains that our actions are based on pain and pleasure. We have allowed our sub-conscious minds to believe that we can get more instant pleasure by sitting in front of the television set than by taking action. We are painted by the fear of making mistakes, failing to get the desired results, or what others might think about us. So, rather than take a chance, we procrastinate.

But, that same fear and pain can be turned to our advantage. Spend a few moments thinking about the pain you will have if you miss the opportunity to enjoy the benefits because you failed to use the talents you have. Then think about all the pleasures that come from achievement; the personal satisfaction of knowing that you are a person who can make a decision. And, think about the security, peace of mind and freedom from financial worry when you become financially independent.

Change the way you look at failure. And always remember, it's a condition-not a person. The first time you tried to ride a bike, you probably had a few falls. You picked yourself up and kept trying until you got it right. Then you "practiced" riding the bike until you got very good at it.

You can avoid any feelings of fear or rejection when dealing with buyers and sellers by reminding yourself that you are just "practicing." Do not be shy about asking for more than you expect to get. If you do not get the required response, you will not be discouraged. You simply discover one of the things that did not work with that particular person. As adults, we practice in our trade or profession. Lawyers practice law and doctors practice medicine.

The Importance of Business Acumen Training For Managers and Employees

The message to CLOs is becoming clear and clear. Company leaders want them to align educational offerings with the organization's strategic objectives.

That's not an easy challenge. They must ensure that education and communication initiatives reinforce the company's goals. They must help employees understand these goals and develop the skills and motivation to contribute to them.

And at the most basic level of alignment, they must make sure that every employee understands how the company makes money. That includes understanding how profitability is driven, how assets are used, how cash is generated and how day-to-day actions and decisions, including their own, impact success.

Developing business acumen is fundamental to business alignment. Consider Southwest Airlines, which was founded in 1971. With 33 straight years of profitability, the airline has become widely recognized for the motivational culture it creates for employees and its extraordinary dedication to customer service.

Much of the industry has suffered during the years of Southwest's growth, including many airlines that have merged or declared bankruptcy. Southwest buys the same planes and the same jet fuel as other airlines, and pays its employees competitive wages and benefits. What's the difference?

Unlike some of its competitors, Southwest's management team involves employees in the company's financial results, explaining what the numbers mean and, more important, helping to link everyone's decisions and actions to the bottom line. The airline has an open culture, one of inclusion at all levels, and employees understand their roles in providing great service and keeping costs in line.

Certainly there are other factors that contribute to the success at Southwest, but it's difficult to ignore the positive impact of an approach that develops the business acumen of all employees and managers so that they can contribute to the airline's success.

An Educational Challenge

Unlike those at Southwest, individual contributors and managers in many organizations today have not been educated about the big picture of their businesses. They have a narrow focus on their own departments and job functions and are not able to make the link between their actions and the company's success. Multiplied by hundreds or even thousands of employees, this lack of understanding - the lack of true business acumen - means that too many decisions are being made and too many actions are being taken that do not align with business objectives.

How can training help bridge this knowledge gap? For many companies like Southwest, implementing learning programs designed to develop a strong foundation of financial literacy and business acumen has made the communication of financial results to employees easier and more effective.

Business Acumen: A Definition

Very simply, business acumen is the understanding of what it takes for a business to make money. It involves financial literacy, which is an understanding of the numbers on financial statements, as well as an understanding of the strategies, decisions and actions that affect these numbers.

Someone with financial literacy, for example, would be able to "read" the company's income statement. This employee or manager would understand the terminology (revenue, cost of goods sold, gross margin, profit, etc.) and what the numbers represent (ie, gross margin equals total sales / revenue less the cost of goods sold).

With business acumen, the individual would be able to "interpret" this same income statement, taking into consideration how company strategies and initiatives have affected the numbers during specific periods of time.

Consider a simple comparison: In football, it's necessary for players to know how the game is ranked as well as how to play the game to change the score . In business, financial literacy is understanding the "score" (financial statements) and business acumen is understanding how to impact it (strategic actions and decisions).

Asking the Right Questions

When business acumen spreads through an organization, employees and managers begin to ask questions. These questions are directed not only at the organization, but also at themselves and their departments - questions about processes, products, systems, staffing and more that can lead to necessary and innovative decisions and actions.

Business acumen helps everyone understand that it's not enough to ask, "How do we cut costs?" Egypt to say, "We need to increase sales." Digging deeper, employees with higher levels of business acumen will ask questions that take into consideration the far-reaching impact of potential decisions and demonstrate a greater ability to make the connections between performance and results.

Questions that could get to the root of disappointing operating ratios:
• Have production costs gone up? If so, why?
• Have we changed prices? If so, how has that affected our margins?
• Are there any competitive issues impacting our performance?
• Have there been any customer requirement changes?
• If our costs per unit produced have gone up, can we better control the efficiency of our production or service delivery?
• Is there a way to produce a greater product volume at the same cost?
• Can we raise prices, still provide value to the customer and remain competitive?

When questions become more specific, the right decisions can be made.

Business Acumen for Managers

Managers at all levels need a high level of business acumen to do their jobs. Every day, they make decisions about employees, projects, processes, expenses, customers and much more - decisions that extremely roll up into larger organizational results. Managers who make these decisions while looking through a departmental lens only, with a limited understanding of how these decisions affect financial results or how they are tied to the organization's goals and objectives, are working in silos that can extremely damage the company.

Managers are often promoted to their positions of responsibility because of their "technical" expertise. They've been successful customer service representatives, great salespeople, innovative researchers or well-respected IT professionals. They are now entrusted with decision making, budgets, projects and people. They often do not have financial literacy, nor have they developed a higher-level perspective about the business. Over time, especially if they move up the managerial ladder, they may develop these. Or they may not.

Organizations need managers who operate as part of the management team, taking account for their own results as well as the results of the entire company. Therefore, more and more organizations have built financial literacy and business acumen into managerial competency requirements and have integrated business acumen training into management curriculums.

Business Acumen for Employees

Although there is little debate about the need for managers to develop business acumen, organizations sometimes question the need for this understanding at employee levels. But frontline contributors, those who are most directly involved with production or customer service, for example, take actions every day that impact business results.

Consider the salesperson who discounts products, or the service representative who deals with an unhappy customer, or the maintenance person who notices a problem. The actions each of them takes may erode profit margin, lose a good customer or allow safety issues to escalate. Without an understanding of how their actions impact the company's results, they may not have the context to consider alternatives.

Many organizations have determined that financial literacy and business acumen are not just for managers anymore. They have decided to develop a company of people who understand the business; who know what return on assets and return on investment mean; who know how inventory turnover rates affect results and the importance of positive cash flow; who see the connection between the company's financial success and their own health benefits, 401 (k) plans and more. In other words, they need people who understand the "business" of the business.

In his book Good to Great , Jim Collins says, "We found no evidence that the 'good-to-great' companies had more or better information than the comparison companies. The key, then, lies not in better information, but in turning information into information that can not be ignored. "

With an increased level of business acumen, managers and employees can better interpret information, making the connection between their actions and the company's results.

Another Reality of Today's Business World

A public company's operating results are well known at the end of each quarter. Analysts, investors, the media, employees-everyone has access to a company's financial results. With a significantly increased focus on accounting overproprieties over the past few years, senior management has become highly conscious of the need to provide accurate and timely financial information. And employees have become much more likely to wonder about these numbers. "Is my company being honest? Are the numbers telling the whole story?"

Without a fundamental understanding of financial results and an ability to interpret them, employees may become suspicious and, extremely, disengaged. Disengaged workers, in turn, negatively impact productivity and profits.

CEOs of public companies, then, must ensure that managers and employees are able to understand the numbers and have confidence in them. That means effective business acumen education as well as ongoing and open communication from the top.

Former GE chairman Jack Welch said in his book Straight from the Gut , "Getting every employee's mind into the game is a huge part of what the CEO job is all about ... There's nothing more important."

The Big Picture

As we have become a nation of specialists, armed with new information technology and enterprise-wide operating systems, it has become easier for managers and employees to become myopically immersed in their own jobs. This immersion can have the effect of obscuring their view of the big picture. They may not consider the cumulative effect of wasted assets. They may have little regard for the objectives and responsibilities of other team members, departments or divisions. They may lack the motivation to invest personal energy in critical project work.

Organizations that engage in developing business acumen provide a clear vision and an overall context within which employees can work, while creating an environment that is more likely to break down internal barriers. There is less waste and less ambivalence. There is increased innovation. Employees are more engaged, they understand their role and its impact on business results, and they are more likely to believe that their efforts really matter. They are more likely to think like a business owner.

Think Like an Owner

To be successful, business owners must be able to helicopter above day-to-day issues and see the big picture. They must understand how the pieces of the business fit together to impact profitability and cash flow, and they must be able to assess the risks and rewards of potential decisions. The best business owners study the numbers, ask themselves tough questions, analyze their mistakes and take decline action.

To truly understand the business, owners have to understand how business makes money - in other words, how it produces sales, profit and cash . Organizationally, they know that it's about people, processes and productivity . On the customer front, it's about satisfaction, loyalty and market share . Ultimately, every action taken and every decision made in any of these areas will impact sales, profit or cash.

When managers and employees begin thinking like owners, they, too, look at the big picture, understand how all the pieces fit together, and assess risks and rewards. They understand, like an owner, how the company makes money, how it stays in business and how they contribute to its success.

The benefits to an organization of engaging managers and employees in this kind of ownership thinking are obvious. So how can a company develop the business acumen of its people?

Developing Business Acumen: Two Stories

Entrepreneurs are generally forced to develop business acumen on their own. They are hands-on with their businesses and have to make all the decisions as they go along, whether good or bad. They either learn from their mistakes or fail.

It's very different for managers and employees in an organization.

They are not involved in all aspects of the business, and they make decisions primarily within their own areas of responsibility. Since seeing the connections is not easy, they need to learn in some other way.

Books and lectures can help. But business acumen is best developed experientially. Learners must be able to analyze situations, ask questions, discuss issues with other learners, consider options, make mistakes and see results.

Although there are a variety of ways to accomplish this kind of experiential learning, many companies have found that simulations, which mirror reality and allow learners to experiment in a safe environment, are one of the best ways. Here are the stories of two companies who chose to educate their learners with business simulations.

Comcast Cable Communications

The NorthCentral Division of Comcast - one of the country's largest entertainment, information and communications companies, specializing in cable television, high-speed Internet and telephone service - set out to ensure that managers and employees through the organization had the financial acumen required to make good decisions. A companywide survey had clearly demonstrated this need - especially for managers of employees who had direct contact with customers.

For example, if a customer calls with a service problem, frontline employees and their supervisors can issue credits to the customer's account in an effort to resolve the issue. Although this may be exactly what is needed for the situation, Comcast realized that employees making these decisions did not need to understand that a $ 10 credit could extremely require more than $ 100 in revenue for the company to break even. Similarly, a service technician's visit to a customer's home may cost cost $ 50 directly, but the company may have to sell an additional $ 500 in services to cover the cost.

"The lack of financial acumen among supervisors and employees was deeply understood," says Mark Fortin, senior vice president of finance for Comcast's NorthCentral Division. "Almost 75 percent of the company's employees are on the front lines in roles such as call center personnel or field technicians.

Comcast human resource executables determined that a fundamental approach to the development of business acumen was needed. However, this approach also would need to be fast, engaging and job-relevant. Expanding upon its already robust Comcast University management curriculum, the executives chose to integrate a high-energy, tailor learning experience that would provide the "basics" and, at the same time, deal specifically with Comcast terminology, concepts and strategic imperatives.

As they participated, learners made decisions about products, processes, pricing and more, and they saw how those decisions impacted financial success. In the end, it became easier for them to make sharper day-to-day choices.

"The thing that sticks out for the frontline leaders, the field technicians, and the call center supervisors and managers who attend, is the high cost of sales in our business," says Sophia Alexander, senior manager of curriculum and metrics for the division. "It's like a bell goes off in their heads when they realize what it costs for us to earn what we need to earn to run the organization."

Attending the learning session is not mandatory for supervisors and managers. However, there is an unwritten expectation that they will participate in business acumen training as well as other Comcast University core programs, according to Jan Underhill, senior manager of leadership development for the NorthCentral Division. That expectation, coupled with the fact that manager compensation has recently become tied to meeting specific financial goals, has kept attendance high.

Senior executive support also has been an important factor in creating interest and awareness around financial literacy. "Getting people to sign up is much easier when senior executives like Mark Fortin are strong advocates for the program," says Underhill.

Feedback has been resoundingly positive. On average, for example, Level 1 feedback about the discovery learning based business acumen sessions has been 4.5 on a 5-point scale. That means that the program has exceeded expectations. Better than that, says Sophia Alexander, senior manager of curriculum and metrics for the NorthCentral Division, is the empirical evidence that the new insights and knowledge have made a difference. For example:

• Participant self-evaluations indicate that financial literacy has increased by at least 25 percent as a result of the business acumen training.
• After the training, there was a 20 percent increase in the participants' ability to use basic financial terms and concepts on the job.
• Almost 45 percent of supervisors participants report that they are using their business acumen knowledge in daily communications with staff and peers.

"Some people, particularly in big companies, feel like there is an open checkbook. companies in trouble, everyone needs to be part of the solution. Business acumen education for managers and employees helps the company as a whole, but it also helps employees. comments Fortin.

Southwest Airlines

Southwest Airlines is one of the consistently profitable companies that makes "business literacy" a core component of its employee training programs. Every employee has a solid understanding of what a new customer, and new revenue, means to the company. Employees also know how the loss of a customer can affect the business.

According to Elizabeth Bryant, director of leadership training at Southwest Airlines, "Our training covers how the financial ratios such as return on assets and various margines are determined. detailed financial reports and explain to the teams where the margins need to be. Management can speak more in depth to all the employees, and the employees understand what the objectives are. "

Bryant added, "Because we do not waste the little things, because we track every penny and every activity, we've all come to know the importance of each cent. for example, how the small savings help us by year's end and how small amounts of waste can conversely add up to hurt us. "

Consider the importance of a key operating metric for the airline industry - operating cost-per-seat mile. This is how much it costs an airline to fly one seat one mile. All the operating costs are divided by the total number of seat shares (the total number of miles of all the seats that were flown for a given period, whether a passenger was in the seat or not). Much of the industry has had cost-per-seat mile results at or over 10 cents. Southwest Airlines' cost-per-seat mile is about 6.5 cents. The lowest cost-per-seat mile in the industry almost 25 years ago was just over 5 cents.

How do they do it? Certainly there are a number of factors that lead to success. However, one of the key influences is Southwest's training in business acumen. This training ensures that employees know:

• How challenging it is to ensure ongoing profitability; making a profit can never be taken for granted
• The importance of utilizing the benefits of the good years to prepare for the tough years
• The impact of individual actions and decisions to the bottom line

In other words, Southwest invests in training to help employees think like business owners. This, in turn, produces real results, like its consistently low cost-per-seat mile. When Southwest's learning team decided to implement a business acumen simulation several years ago, there was some initial concern about how well it would have received.

Bryant explained, "Some people, especially those without financial training, were nervous about the topic. but we posed the need for the business literacy training as another way to prove that we actually care tremendously for each employee. integral contribution to the business. "

Southwest Airlines, according to Bryant, has never had a layoff - a rarity in the airline business. The more their employees understand the challenges of the business, the better they appreciate the importance of making smart decisions every day.

Bryant concluded that the discovery learning techniques in a robust business simulation work well in the Southwest culture because of the team orientation. "All the participants learn that they can not individually make it all happen," said Bryant. "They learn that they have to look beyond them, act and think like an owner, and realize that our efforts and financial results here are not just for a career, but for a cause." It's this cause-oriented philosophy toward delivering a low- cost, high-quality service that allows people the opportunity to travel. Our success at achieving positive results translates to individual opportunities to work, to grow and to continuously think of innovative ways to improve our business and serve our customers. "

The Classroom Advantage

These two companies chose to develop the business acumen of managers and employees by using a classroom-based simulation, facilitated by instructors at company sites. Although online options were available and were used in some cases to supplement the instructor-led training sessions, they determined that there were significant advantages to tackling this subject in a "live" session where they could leverage the power of:

• SHARED KNOWLEDGE AND EXPERIENCE: Learners bring their own perspectives and issues to the session.
• TEAMWORK: Learners work together, make decisions together and rely on each other as they learn.
• COMPETITIVE FUN: Small teams "play" against each other and enjoy a competitive environment.
• COMPANY-SPECIFIC DISCUSSIONS: The learners' common interest in their own company's financial and strategic issues allows for greater analysis and depth of discussions and a true "connection" between the learning simulation and the organization's reality.
• LEARNING MOTIVATION AND COMFORT: Learners who may not be comfortable with the subject of finance find themselves playing a game in the comfort of a team environment.

Although there are a number of educational approaches available to organizations in the area of ​​business acumen, classroom-based training that brings together teams of learners can help ensure that learning occurs and that connections to the business are made in ways that prompt action back on the job.

The Bottom Line

More than ever, successful companies will need to focus on developing the business acumen of managers and employees. These companies will realize that when their people understand the numbers, when they understand how their departments contribute to the company's objectives and when they see how their own decisions and actions make a difference, they will begin to operate as part of a team rather than in a departmental or personal silo. And a critical piece of the alignment puzzle will be solved.

With vast business acumen, companies can have a powerful asset - educated, knowledgeable and motivated employees. And with this asset, those companies will be best positioned to succeed.

Best Places For Investment Jobs

When you are looking for investment jobs, knowing the best places for finding them can offer some advantage. There are a few places that might immediately come to mind, and of course, it depends on your location and the type of pace you like to keep. Some people enjoy the specialized nature of the venture capital field and if you are interested in becoming an entry-level investment analyst, you have to be prepared for a substantial amount of learning to reach the next levels in this highly specific type of investment. There are many venture capital firms you might consider and they are constantly looking for aggressive sales-minded and highly analytical people to help them raise and lend venture capital. These companies are responsible for funding many of the operations that create jobs, once they are capitalized.

Many of the best places for investment jobs can be in the investment banking industry, but it can be tough to break into this field, without the proper knowledge, experience or background. That's not to say that you can not start out in an entry-level position and work your way into higher paying positions. In the investment banking industry, you will find full-service investment banks that deal on an international basis and there are regional investment banks that are more localized to a specific region. To break into either of these places that offer investment jobs, an educational degree in finance or accounting can be important, but those that are good communicators with finely honed interpersonal skills and a high degree of analytical and creative abilities, will do best in these types of jobs.

Analyzing market trends is an important part of investment jobs, so these practices will be essential, no matter where you look for jobs, but looking for analyst jobs may be the easiest way to find a job. Some of the big name investment banks are a good resource because they are always looking for younger, aggressive analysts to make into investment bankers. You may be required to start out as an entry-level investment assistant, but this can help you break through barriers to higher positions.

When you are in the commercial lending field, there are many commercial lending opportunities and some of them may be pension fund administration jobs that invest in various investments. If being on the speculative end of business investment is not the type of jobs in investment you had in mind, there is always a need for the other types of investment jobs that are more consumer oriented, such as financial planners, stockbrokers, mutual fund management and even the insurance field holds investments investment.

If you have analytical skills and education, there are a number of fields and different directions where you can find jobs that involve offering advice on investments, which might be for those a little less risk-oriented. While venture capitalists are found in a variety of businesses that are involved with finance, the most traditional banking, insurance and financial investment fields, including venture capital firms are the best places to find investment jobs of all types.

Why Does a Bone Seem to Stick Out in My Upper Back and How Can I Prevent It Or Get Rid of It?

Usually when I see this it is associated with forward head posture. Forward head post occurs for many reasons. You may have had a neck injury or whiplash injury that shifted the spell and was never corrected, or it could be from repetitive motion or a repetitive posture.

ESPecially with the emergence of computers, laptops and mobile devices you see many people who log long hours with their head down and forward. This is the posture I'm referring to.

What happens as the head shifts forward is that the cervical spine often loses curvature. The upper back follows and starts to hunch outward. This often creates what is called an increased khyphosis. A khyphotic curve is in your dorsal or thoracic spine, otherwise known as your upper and mid back. In the neck and lower back the curvature opens towards the back and is called a lordosis.

An accentuation of one of these curves is called Hyperlordosis, and a flattening or loss of one of these curvatures is referred to as a hypolordosis. One more thing to note is that in some cases of forward head and hunching of the upper back we see a cervical khyphosis. This is when the normal "C" curve in the neck, the cervical lordosis, actually curves in the wrong direction. And do not forget, any misalignment, even millimeters, is enough to block the nerve flow over 50% of the normal amount.

A cervical khyphosis puts an abnormally large amount of stress on the spine as well as the spinal cord, nerves, and neck and upper back muscles. Imagine taking a loose rubber band, pulling and stretching it, this is analogous to what you would be doing to your spinal cord. However, this is a topic for another ezine.

Let's get back to the upper back. In some cases we see extreme humping of the upper back and a hyper khyphosis in the thoracic spine. This is often associated with severe degeneration and osteoporosis. We will sometimes see fractures of the vertebrae allowing this extreme change in alignment to occur. This is called a Dowager's Hump.

What ever the case, I see hunching out of the upperback more often than I like. I see it in patients, and often they present into the office with neck or back pain, but not always. I also see it sometimes in relatives, people at the grocery store, you name it, just look around.

Remember that if your future is starting to look like this, then your spine inside is looking like this also, and it usually will continue to worsen. Use postural exercises to prevent as well as get rid of this hump. Also, always be aware of your posture; this can make a huge difference because you can correct it if you are in one position to long or find yourself with your head forward to often. Lastly, a great posture correction tool is a neck pillow. Not only will it prevent this bad post but it will keep the nerves free from pressure in other instances too.

Cheap Data Recovery

The average computer user has only a vague understanding of how their data is stored. They know they have this "hard drive thingy" inside the computer and they know that's where their data is kept. That's about as far as it goes for most users. Many do not even know what a hard drive looks like.

However, when you are faced with data loss, you quickly learn a lot about hard drives. Not only do you begin to get an understanding about how complex they are, you also find out how expensive it can be to get your data back. At least once a day customers will ask "Why does it cost so much? I only paid $ 100 for my hard drive". Yes, data recovery can be that expensive. My answer is simply this, if you had a million dollars sitting in a $ 50 safe, and you could not get to it ... does it really matter how much you paid for the safe? Data recovery should only be taken, if the value of the data exceeds the cost of the recovery.

Data Recovery Costs

On average a reputable data recovery company is going to charge anywhere from $ 400 to $ 700 for a logical hard drive recovery. A logical recovery is where there is damage to the file system, or partition table and the data becomes inaccessible. This can be caused by an accidental format, electrical issues, viruses, etc. In some cases physical issues with the drive can also cause this problem, especially if the drive has weak or deteriorating read / write heads. A logical recovery can typically be performed without having to make any repairs to the drive.

Physical recoveries can be priced all over the place. It really just depends on who you call. A physical recovery actually requires the hard drive to undergo some type of repair before the actual data recovery process can begin. In most cases a physical recovery entails swapping out the read / write heads, repairing the electronics or transplanting the platters. There are a handful of companies out there that are very skilled at performing this type of recovery. A word of caution though, for every one good company, there are probably five dozen others out there that will make the situation worse.

Budgeting Your Data Recovery

If data recovery is not in your budget now, and the data is not time sensitive, one thing you can do is just keep the drive stored somewhere safe. This gives you time to save up money in order to have a competent lab recover the data for you. You should look for a lab that offers free evaluations, and will give you a firm quote in writing before they start the recovery process. That way if the price ends up being too high you can just have the drive shipped back to you, and you would know the exact amount you would need to save up in order to get the recovery done at a later date. It's not going to hurt the drive, or make the chances of a recovery any less possible if the drive is stored somewhere while you save up to have it recovered. Keep in mind that any reputable company will not charge you anything if the data is unrecoverable. This is one critical thing to verify with any company you contact. Consumers can be paying a lot of money for data recovery services, and still do not have their data when it's done. It's not uncommon for some companies to charge $ 150 to $ 300 for parts, lab fees, attempt fees, or whatever they want to call it even on cases where the data is not recoverable.

Things You Can Do Yourself

If you suspect your hard drive has failed there are a couple of things you can try on your own to avoid the costs of shipping the drive to a data recovery lab. First of all, if the drive is clicking, knocking, or making any unusual noises, you are out of options to try yourself. Those cases definitely need professional data recovery service. Regardless of what you read about putting drives in freezers, opening them up, or whatever, anything you do in a case like this can only make the situation worse. If the drive makes any unusual noises at all, it's best to just immediately power down the drive.

If the drive sounds ok, you may want to try it in another computer. It could be an issue with your motherboard, or even the cabling in your computer. Make sure all connections are secure to the hard drive. If you do not know what to look for, see if you can find a family member who is knowledgeable with computers to help you.

If the drive is in an external enclosure, like a backup hard drive, and it no longer powers up, remove the drive from the enclosure. Check for signs of an electrical short. If it was enough enough, you will smell the burnt electronics. In a case like this, a data recovery professional would be needed. In most hard drives today, you can not simply replace damaged electronic boards from one hard drive to another. There is unique, adaptive information that is stored on various chips on those boards and the data will not be accessible without it.

If there are no obvious signs of physical damage to the drive, then you might want to find another computer or another hard drive enclosure and try the drive in that. It may have been an issue with the drive enclosure that preceded the drive from powering up. If it still has problems, then chances are you are going to need a data recovery professional help you.

Cheap Data Recovery

Try to avoid companies that price themselves too low. You would not have brain surgery performed on you by the doctor who bid the least would you? In a way, it's the same thing with data recovery. Consumers do not realize how difficult data recovery actually is. Some of the information out there does not help, and will often times tempt users into trying to perform the procedures themselves. YouTube videos, even the ones that we have out there, one of which is titled Western Digital Head Swap , simplify the process and make it seem easy. Our videos were never intended to be instructional. They were meant to give our customers an overview of the process when we repair hard drives for data recovery. There is a lot more to data recovery than will ever be shown in a video. If the data is worth it, and many times our pictures, business files, and intellectual property is priceless, then it will be worth it to go with a company that you have confidence in. Not just some fly-by-night company who says they can do it for $ 199. Sometimes the parts alone can cost that much.

In closing, while data recovery can be expensive, cheap data recovery can cost you more in the long run. Do your homework, study the industry, and choose a company you feel comfortable with.