With FaceBook Music, You Don’t Need No Stinkin’ Payola

Rick_E_Norris_An_Accountancy_Corporation_With_Facebook_Music_You_Don't_Need_No_Stinkin'_PayolaMy father sang rockabilly in the 1950s under contract with Capitol Records. (Click here for a Bobby Norris sample.) When I was young, he told me stories of “payola.”  Payola is the (illegal) practice of record companies (and I guess artists) paying discjockies to  play their songs during the normal daily rotation.

Capitol Records, to his knowledge did not  offer payola  for him and his records didn’t sell much.  However, with the rockabilly resurgence of today (nine years after his death), his music is making its way to loyal fans.

Carl Jacobson’s article Fans on Facebook: What to Do Next to Engage Your Fans, Increase Sales and Grow Relationships provided some ideas that my dad would have benefitted from if such an opportunity existed in the 1950s.

IDEA 1 – Be Ready to Sell Today! Carl’s idea, here, actually transends any art or commerce.  Don’t launch your product of art until it is ready.  This is one of the biggest errors authors make with their first book.  They are so excited about getting their first book out that they fail to hire someone to read it and provide feedback.  The result many times is the author blows his or her chance to sell a great story because it is poorly written.  Carl suggests  Mystore for Facebook to capture fan’s information.  But, make sure your product is absolutely perfect.  This concept transfers to any business, in that you should not reach out until you have perfected your strategy, product, and service.

IDEA 2 – Engage…Don’t Advertise This works with any business of relationship.  People want to be involved; people want to contibute to a goal; people want to feel like they matter.  Don’t lauch your music saying “Buy this!”  Remember the advent of American Idol?  FaceBook allows people to share their opinions, so ask them to.

IDEA 3 – The Virtual High-Five The FaceBook “like” gets a lot of traction these days.  Thank and compliment others when the opportunity arises.

IDEA 4 – Reward Fans Then Ask Them to Reward Their Friends Freebees are nothing new in business.  Just make sure you limit what you are providing to your fanbase.

IDEA 5 – Advertise Yourself to Fans of Similar Artists In business we call this strategic relationships.  You can trade recommendations with other artists using MyStore.  This can also work in other business contexts.  Use complimentary companies to partner with in promotion.  For example, let’s say you own a beauty salon.  Women that go into beauty salons are concerned with their appearence.  So, you may want to partner with a Yoga or Spinning instructor to advertise and offer combined deals.  This way, your customer is enhancing her appearance in different ways.

With the proper use of social media(e.g., MyStore for FaceBook), you can reach your fans with investing just your time.  Payola is Gonola.

 

 

 

 

 

Year End Small Business Tax Tips

Rick_E_Norris_An_Accountancy_Corporation_Year_End_Small_Business_Tax_TipsAs  Los Angeles Certified Public Accountants, we have the opportunity to work in different industries.  Each industry has its own special personality, yet there are some tax breaks that many are not taking:

  1. Healthcare credit: This credit is not only new to Certified Public Accountants, but to small business owners.  If your company pays health insurance for your employees, you may be able to claim this credit.  Don’t be discouraged because you, as the owner, pay for your own health insurance.  That payment is not included in the computation.
  2. Section 199 domestic production manufacturing deduction: Companies seem to ignore this gem of a deduction if their core process is not manufacturing.   However, that is not the proper way to look at things.  If there is ANY part of your business that you “manufacture,” then we  certified public accountants are interested.   Music production, magazine publishing, and metal duct fabrication are some areas that one would not think are manufacturing, but they are.
  3. Tax withholdings: Recompute your tax withholdings for 2012.  If you are overwithholding, then the IRS is using your tax dollars interest free.  Any certified public accountant or bookkeeper can help you.
  4. Moving Expenses: Times are tough and many are moving to engage new employment.  Check with your certified public accountant as to whether you qualify for this deduction.  Job seeking expenses also could be deducted if they qualify.
  5. Energy Tax Credits: There still may be a chance that you can take energy credits for things like exterior doors, windows, etc.  Also, you may be able to better if you acquire alternative energy equipment.  Make sure you speak with your certified public accountant before making these decisions.
  6. Section 179 Accelerated Depreciation: Many businesses know about this, but make sure there are good business decisions for making your purchase. Don’t have tax considerations guide your business decisions.
  7. Retirement Plan: If you don’t have one, get one.  With the decrease in the stock market, so many people are ill prepared for retirement.  The current tax savings can take a giant chunk out of your tax bill.

As certified public accountants, we try to be proactive in advising our clients.  However, you, the business or individual must not procrastinate.  Listen to the certified public accountant tax specialists and retain some money in your pockets on tax day.  Discuss your situation with your tax advisor before acting.

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IRS CIRCULAR 230 NOTICE: To ensure compliance with requirements imposed by the U.S. Department of the Treasury and Internal Revenue Service, we inform you that any tax advice contained in this e-mail (including any attachments) is not intended or written to be used, and may not be used, for the purpose of (a) avoiding penalties under the Internal Revenue Code or state tax authority, or (b) promoting, marketing, or recommending to another party any transaction or matter addressed herein.

Even Entertainment CPAs in Los Angeles Make Odd Business Decisions

Rick_E_Norris_An_Accountancy_Corporation_Even_Entertainment_CPAs_In_Los_Angeles_Make_Odd_Business_DecisionsIn the last few weeks I have received not one, not two, but three phone calls from  actors who are looking for a Los Angeles Entertainment CPA.  Two of the calls actually were the parents of child actors.  The services they requested varied a little, but the one thing that they did not like was the fact that they could not find a Los Angeles Entertainment CPA who prepared tax returns.  What they usually found were Entertainment Business Managers who wanted to charge 5% of their income to handle their financial affairs(including tax returns).  As one mother told the business manager, “What could you possibly do to justify taking 5% of my daughter’s income?  She doesn’t own a house, or require any more than a few bills to be paid a month.”

I told each of the prospects, as entertainment CPA business managers,  that we have never  gauged services by billing a percentage of a client’s income.  Over twenty years ago, I had worked for firms that billed that way.   But, I believed it to be an inaccurate way of gauging a business manager’s value of service.  Sure agents, personal managers, and some attorneys who help “create” the wealth.  They have a legitimate reason to charge in such a way, but not entertainment CPA business managers and accountants.  It’s true at times, that I am involved with contract negotiations, but my function is not to promote the client and create the opportunities.

A year ago I heard  that  entertainment CPA business managers and accountants are shying away from this practice, possibly because of the economy.  But these last phone calls seemed to say otherwise.

So, what’s the point?  If you are reading this, you are probably not an entertainment CPA business management firm like us.  The point is whatever business you are in, you must always, always , always focus on the value you are providing the client and customer.  Just because you think you are worth your fees or price doesn’t mean you have convinced the client that you are.

Whenever you are fortunate to get a phone call from a prospect who tells you that your billing structure is obsolete, you should re-evaluate your business strategy and billing practices.

Now some entertainment CPA business managers and accountants  may say, ” Fine, you take the little guys and we’ll concentrate on the A+ level actors and musicians.”  This attitude is what drove US Steel and Bethlehem Steel out of business.  Micro mills slowly chipped away from the bottom up with a better strategy starting with the lowest grade of steel.  Eventually, the smaller mills moved up to take the high grade steel, too, driving the big companies out of business.

As  entertainment CPA business managers, our company  promotes good business strategies, not just for our CPA firm, but for our clients.  The small flame client you have today could be the big shining star tomorrow. And the shining star of today may be just a little brighter than what you think.

Business Opportunities: Gas Stations Making Their Own Music

Rick_E_Norris_An_Accountancy_Corporation_Business_Opportunities_Gas_Stations_Making_Their_Own_MusicBack in the 1960s, it wasn’t unusual to find four gas stations at an intersection in Los Angeles.  These were full service stations who would fill your tank, wash your windshield, and check your oil.  You would also just hand them your money (not credit card) from your open window to pay.  These stations would try so many ways to attract customers and build a niche market in their neighborhoods.

Union 76 (currently Unocal) distinguished itself by creating a relationship with the former Brooklyn Dodgers.  Union 76 would give away many different types of Los Angeles Dodger’s baseball memorabilia when you purchased a certain amount of gas.  One such item was a flexible 45 rpm record of a Dodger player interview.  Vin Skully would interview a Dodger player like Sandy Kofax. Union 76 had found a niche market with Dodger fans–forget about the gasoline.

Jon Ostrow’s article, How To Conquer Your Musical Niche reminded me of Union 76’s niche serving with automobile/Dodger fans.  He laid out a number of items that a band should consider:

  • Demographic (age, gender location)
  • Similar / influential artists (remember to start locally, then branch out to the regional, national and global scale)
  • What are the influential promotional outlets?
  • Where do the fans exist online?
  • What blogs do they read?
  • How do they find out about new music?
  • Are they into fashion? If so, what brands?
  • What are their favorite hobbies?

At first glance, you may think this pertains to only musicians.  But, look again.  Here is the list converted to a 1965 Union 76 strategy:

    • Demographic (age, gender location)–Are they near a freeway that can lead to Dodger Stadium?  Are they male?

 

  • Similar / influential artists (remember to start locally, then branch out to the regional, national and global scale)–Unocal may have start in certain neighborhoods and branch out. 
  • What are the influential promotional outlets? Use Dodger radio to advertise Union 76 items.
  • Where do the fans exist online? What radio stations do Dodger fans listen to?
  • What blogs do they read? Advertise in the Sports Page of the Los Angeles Herald Examiner.
  • How do they find out about new music? Who do auto owners learn to about gas?  Mechanics? Make sure each station has one.
  • Are they into fashion? If so, what brands? Sell Dodger hats at the stations.
  • What are their favorite hobbies? Unocal hit the head of the nail with Dodger fans.

Each business or band can use similar questions in nailing their niche market.  The Blue Ocean Strategy is a strategy concept that can help you in searching for it.

Where Do We Go From Here? Strategic Planning In the Fog

Rick_E_Norris,_An_Accountancy_Corporation_Where_Do_We_Go_From_Here_Strategic_In_The_FogThe yellow bus lights glowed in the dark as my only beacon.  I couldn’t see 20 feet in front of me on Highway 99 in the central California valley, but we had to get to Lake Huntington.  The four cars packed with my companions followed my lead.  At last, I saw the exit.  Moving off the highway onto a dark farm road, my concern peaked.  Where were the street signs behind the foggy shrouds?  At last I stopped at an intersection and was able to see a sign, but only after I stood in the middle of a dark intersection looking almost straight up.

If you have been planning for the last three years, this story should sound like your attempt to plan strategically.  Hugh Courtney’s  Strategy under uncertainty lends us a flare in such dismal times.  He offers a four-level framework for determining the level of uncertainty surrounding strategic decisions and for tailoring strategy to the uncertainty:

Level one: A clear enough future: Courtney states that managers can use the usual strategy tools in a clearer future as this.  However, I see that medium and small businesses do not know what those tools are.  The biggest private producers of jobs in this country, small business, usually work in a strategy void.  Thus their decisions and plans are usually uninformed and a product of crises management even in the best of times.
Level two: Alternative futures: Outcomes are clear by hard to predict. Take the Ford Edsel, for example. The car seemed like a good strategy with a ready market, but it went the way of the do-do bird.  This is where probability analysis can come in according to Courtney.  For small businesses, look at the downside to each alternative.  Is one downside greater?  You may want to go the other way.
Level three: A range of futures:Taking Courtney’s cue, small businesses must limit their strategic options. Don’t take the shotgun approach and consider ten different strategies, for example, because you can.  Your brain will explode, not a pretty site.   Again, focus on the downside of your options.
Level four: True ambiguity: This option happens in an economic free-fall, or at least a controlled fall.  More than ever, I recommend small business to take a Blue Ocean Strategy viewpoint and focus on the needs of your clients. Eliminate those attributes that your industry is providing clients that they can live with, e.g., meals on a commuter flight.  You can take this approach for any other above levels, but at this level, it is usually a matter of survival.  The wrong decision could land you in bankruptcy very quickly.

If You Are Reading This, You’ve Proved My Point

Rick_E_Norris,_An_Accountancy_Corporation_If_You_Are_Reading_This_You've_Proved_My_Point Last January, I again participated on the planning committee for the 2011 Entertainment Industry Conference for CPAs and attorneys.  We agreed on most of the usual topics to be presented at the conference.  Then, I suggested social networking.  The idea was written on the board.

Fifteen minutes later, a respectible CPA turned to me and said, “Rick, I know social networking is a sexy topic, but I doubt it is what our attendees are looking for.  They won’t come away with anything.” I nodded my head and thought to myself: Thank you.  You just gave me an extra 12 months to blow my competition out of the water using social networking and SEO.

Skeptical? 5 Key Social Media Findings That Affect Your Business by Glen Stansberry lists some new findings:

1. Americans spend most of their time online on social network and blogs–If you are reading this blog, you have contributed to the 23% statistic that more time is used reading blogs and social networks than checking emails.  You may have also found me because of what I have been doing for over a year.  Writing

2. Seventy percent of active online adult social networkers shop online–Sell where your buyers live, online.  We are all going there.  Have a bigger presence than your competition.

3. Fifty-three percent of active adult social networkers follow a brand(only 32 percent follow a celebrity)–Adults follow brands across social networks.

4. Sixty percent of social media users create reviews of products or services–When was the last time you reviewed a book on Amazon, or rated a restaurant on Opentable?  You are contributing the movement.  If your business is not on there, then you are behind the curve.

5. The number of mobile Internet users is up 47 percent from last year–I have actually trashed a rude restaurant that made us wait an hour beyond their seating estimate. We were outside with our 85 year old father-in-law on Father’s Day in the dark.  My bad review went into Yelp before I reached my car in the parking lot.

If you are resisting the social network, SEO revolution, you are risking the well-being of your business.  But, before you jump in, do some research and learn.  There are consultants that can help you.  Then, create a strategy and stick to its implimentation.  Your online presence will not increase overnight, but the constant creation of content will get you noticed.

Small Business Promotion Using Social Media–How We Did It

Rick_E_Norris,_An_Accountancy_Corporation_Small_Business_Promotion_Using_Social_Media_How_We_Did_ItI couldn’t believe it.  Well, actually I could, but I didn’t want to.  Gregg Towsley of WSI Quality Solutions sat down with me me 18 months ago and showed me that my business’s social profile was dead.  In other words, if you typed in  industry key words, we didn’t even show up on ANY page.

I came across  What Drives Small Business Social Media Engagement? by Dan Schawbel.  He cited a study by Roost which offered  advice to small business owners who want to create brand awareness, customer, acquisition, and customer services.

Using only Facebook and Twitter, the study suggested the following:

  1.  Publishing photos: The study suggested photos of employees, products, and functions.  I remember when I first put up our web page, our most valuable search term was my assistant Maddy Curley.  She was an actress that had (and has) some success on television and film.  People googled her after seeing her on a TV episode and came up with her picture on our personnel page.
  2. Ask Questions:Start a discussion by asking questions.  You see this a lot on LinkedIn.  I feel that providing information along with questions is a better strategy.  What do you think?
  3. Share Quotes:There are way too many twitter sites and blogs quoting wise people.  I don’t like to.  I find it is far more interesting to coin my own phrases that display my expertise.  You don’t convince others of you knowledge and wisdom by using someone else’s brain. (You can quote that).

The main activity that got our firm on the front Google page ahead of CPA firms much larger than us is our content and consistency.  To be successful, you must give to the business community. We provide advice and steps to individual businesses that can help them in managing their finances.

 

2010 Small Business Tax Breaks Revisited

Rick_E_Norris,_An_Accountancy_Corporation_2010_Small_Business_Tax_Breaks_RevisitedIt’s always good to practice the basics, like a major league baseball player who may work on his swing by hitting a ball off a tee.  So here I am going back to the IRS tax site to remind small business owners of the Tax Relief Act of 2010. There may be benefits that you may be missing.

Sect. 2011: Temporary exclusion of 100% of gain on certain small business stock

Expanding on the provisions of Internal Revenue Code Section 1202 and the American Recovery and Reinvestment Act, the Small Business Jobs Act provides an additional incentive for investment in qualified small businesses. Under this Act, investors in qualified small business stock can exclude up to 100% of the capital gain upon sale of the stock.

Under the SBJA, in order to claim the capital gain exclusion, the qualified small business stock must be:

  1. Acquired after September 27, 2010, and before Jan 1, 2011, and
  2. Held for at least five years before the stock is sold.

However, Section 760, Temporary Exclusion of 100% of Gain on Certain Small Business Stock, of the Tax Relief Act of 2010, extended the exclusion for qualified small business stock acquired before January 1, 2012.

Under current law, the earliest tax year for which this 100% capital gain exclusion can be claimed is 2015. Additional limitations, qualifications and requirements may apply. Capital Gains and Losses has information on reporting capital gains.

Sect. 2012: General business credits of eligible small businesses for 2010 carried back 5 years

The new law allows an eligible small business to carry back general business credits five years. Previously, the credits could only be carried back one year. The carryback is for credits determined in the first taxable year beginning after December 31, 2009.

An “eligible small business” in general is defined as follows:

  1. A corporation whose stock is not publicly traded, a partnership, or a sole proprietorship, and
  2. The taxpayer must have $50,000,000 or less in average annual gross receipts over the three preceding tax years.

This is a one year initiative applicable only to the tax year 2010 (For fiscal year filers, the effective tax year is the first tax year beginning after December 31, 2009). The five-year carryback period is available only for credits carried forward to the tax year 2010 and/or earned in the tax year 2010.

Sect. 2013: General business credits of eligible small businesses in 2010 not subject to alternative minimum tax

The new law allows general business credits to offset both regular income tax and alternative minimum tax of eligible small businesses as described in Section 2012 of the Small Business Jobs Act (see above). The provision is effective for any general business credits determined in the first taxable year beginning after December 31, 2009, and to any carryback of such credits.

This is a one year initiative applicable only to the tax year 2010 (For fiscal year filers, the effective tax year is the first tax year beginning after December 31, 2009).

Sect. 2014: Temporary reduction in S-Corporation built-in gain recognition period

Under the Small Business Jobs Act, if the fifth year of an S Corporation’s recognition period ends before their 2011 taxable year begins, then no entity-level tax is imposed on the net recognized built-in gain for the 2011 tax year. Sect. 2021: Increased expensing limitations for 2010 and 2011; certain real property treated as Code section 179 property.

An expense deduction is allowed for businesses which choose to treat the cost of certain qualified property, called section 179 property, as an expense rather than a capital expenditure. For qualifying property placed in service during the taxable years 2010 and 2011, the new law increases both the maximum amount of the deductible expense under IRC Section 179, as well as the statutory phase-out amount. The provision also expands the definition of IRC Section 179 property to include the following types of real property: qualified leasehold improvement property, qualified restaurant property and qualified retail improvement property.

Sect. 2022: Additional first-year depreciation for 50% of the basis of certain qualified property

Generally, businesses are allowed to recover the cost of capital expenditures over time through depreciation expense. IRC Section 168(k) allows for additional first-year depreciation, for 50% of the basis, of certain qualified property placed in service after December 31, 2009. The new law extends the additional first-year depreciation deduction to qualified property acquired and placed in service during 2010.

Section 401, Extension of Bonus Depreciation, of the Tax Relief Act of 2010, expands the additional first-year depreciation deduction (bonus depreciation) to equal 100 percent of the cost of qualified property placed in service after September 8, 2010, and before January 1, 2012. It also provides for a 50 percent first-year bonus depreciation deduction for qualified property placed in service after December 31, 2011 and before January 1, 2013.

Sect. 2031: Increase in amount allowed as deduction for start-up expenditures in 2010

For taxpayers starting an active trade or business, the new law increases the amount the taxpayer is allowed to elect as a deduction for start-up expenditures under section 195(b) for taxable years beginning after December 31, 2009. Section 2031 allows up to $10,000 as a deduction for start-up expenditures, but requires a dollar-for-dollar reduction of the $10,000 deduction if startup expenditures exceed $60,000. This expense should be claimed as an “Other Deduction” on business returns, such as the Form 1120, 1120S or 1065, or as an “Other Expense” on the Schedules C or F of the Form 1040. The remainder of any start-up expenditures, not deducted under section 195(b), can be amortized ratably over 180 months on Form 4562, Depreciation and Amortization.

Sect. 2042: Deduction for health insurance costs in computing self-employment taxes in 2010

Generally, small business owners may not deduct the cost of health insurance when calculating self-employment tax. Under the Small Business Jobs Act, and subject to specific statutory restrictions (i.e. deduction is not available if self-employed individual is eligible to participate in an employer-subsidized health plan maintained by the employer of the taxpayer or the employer of the taxpayer’s spouse), business owners can deduct the cost of health insurance for themselves and their family in the calculation of their 2010 self-employment tax.

Always consult your tax professional before making any of these decisions.

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IRS CIRCULAR 230 NOTICE: To ensure compliance with requirements imposed by the U.S. Department of the Treasury and Internal Revenue Service, we inform you that any tax advice contained in this e-mail (including any attachments) is not intended or written to be used, and may not be used, for the purpose of (a) avoiding penalties under the Internal Revenue Code or state tax authority, or (b) promoting, marketing, or recommending to another party any transaction or matter addressed herein.

The Tightrope of Employee Tax Classification is Getting Frayed

Rick_E_Norris,_An_Accountancy_Corporation_The_Tightrope_Of_Employee_Tax_Classification_Is_Getting_FrayedMy grandfather was Alfano the Great.  In the 1920’s he walked between 2 eight story buildings with no net.  In addition, he walked on his hands, rode a bicycle and did wheelies.  All for a few bucks.  Obviously, he never fell, or I wouldn’t be here.

The IRS, US Labor Department, and several state labor departments are about to cut the tight rope of some employers who classify employees as independent contractors.

Michael Cohen report, IRS to Team with Labor Dept. on Employee Classification, discusses the IRS and the Labor Dept. combine efforts with seven states to tackle the problem of employee tax classification.   This could be a game-changer because one of the problems in employee tax classification has been defining what an “employee” is.

This move among all of these agencies (and I can only guess that the number of states signing on will grow), will allow a sharing of information about employee tax classifications.  Now, this may seem harmless, but remember when you can operate a business in Los Angeles without a business license?  Ten or fifteen years ago, one of the main ways L A City found you was to look at the business marques in buildings and cross-check them to the business license lists.  Now, they get their information from Sacramento and individual tax return schedule C.  All they do now is match the addresses to the individual tax return and send out penalty notices.

I have been writing about this issue for a long time.  Here is an article in relation to the healthcare deduction. Healthcare Reform: If It Walks Like a Duck and Quacks Like a Duck…We’ll Call it a Toad

Employee tax classification databases may change the odds for those employers who are skirting the issue.  The penalties could be stiff.  Discuss your tax situation with your advisor before making any decisions.

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IRS CIRCULAR 230 NOTICE: To ensure compliance with requirements imposed by the U.S. Department of the Treasury and Internal Revenue Service, we inform you that any tax advice contained in this e-mail (including any attachments) is not intended or written to be used, and may not be used, for the purpose of (a) avoiding penalties under the Internal Revenue Code or state tax authority, or (b) promoting, marketing, or recommending to another party any transaction or matter addressed herein.

Business Vision and Goals: Understand the Target You are Aiming For

Rick_E_Norris,_An_Accountancy_Corporation_Business_Vision_And_Goals_Understand_The_Target_You_Are_Aiming_ForIn the early 1970s, I watched a Stanford professor  choose Jim Plunkett, (Stanford’s star quarterback) to demonstrate perception and the brain. The professor placed a pair of glasses on Jim that caused his vision to be distorted, shifting everything he sees to the right about 20 degrees.  Jim missed his attended receiver throwing consistantly  to the right by 20 degrees.

Drawing his share of laughter, Jim compensated and started aiming 20 degrees to the left, thus hitting his receiver about five times.  The professor explained his point about perception and congratulated Jim on his adjustment.  As Jim took off the glasses and proceeded to sit down, the professor asked him to throw one more pass with no impairment to show the crowd that the professor did not ruin the star quarterback’s talents.  Jim laughed and passed the ball one last time.  The ball soared past the receiver by 20 degrees to the left.  His brain had not re-adjusted.

The Association for Strategic Planning-Los Angeles (ASP) had the honor of hearing Deepa Prahalad speak on September 13 at the beautiful Dole Corporation auditoium.  Deepa spoke of her book, Predictable Magic, and its message to identify company goals.  She stressed that if you have only broad goals, both your customers and employees will not understand what the company stands for.  She suggested that you must become the interpretor of your message.

As in the case of Jim Plunkett, if you cannot see what you are aiming for, you will miss your target.  The start of a good strategy is to have a clear vision of what you want to accomplish.  Just to have a vision to be your industry leader is not good enough.  Once a business establishes a viable vision, they can create a path with quantitative metrics to move towards that vision.  Jim Plunkett’s vision changed, so he has to alter his tactics to get there.

Business today is always changing, so a vision you had five years ago will most likely be obsolete, or commonplace in your industry.  The ASP preaches the steps of Think-Plan-Act, but if you are thinking about the wrong vision, your plans and actions will lead you towards a failing destination.